Collaborating for Innovation:
Community colleges, SMEs, and innovation in Manitoba
by
Thomas Keith Edmunds
A Thesis presented to
The University of Guelph
In partial fulfilment of requirements for the degree of
Ph.D. in
Rural Studies
Guelph, Ontario, Canada
© T. Keith Edmunds, 2015
ABSTRACT
COLLABORATING FOR INNOVATION:
COMMUNITY COLLEGES, SMES, AND INNOVATION IN
MANITOBA
Thomas Keith Edmunds University of Guelph, 2015
Advisor: Dr. Al Lauzon
The importance of SMEs to the Canadian economy coupled with the significant role of innovation in ensuring the long-term viability of these businesses highlights the value of removing any barriers to innovation that may be experienced. Community colleges may provide a largely untapped resource for SMEs seeking to innovate. Focussing on Manitoba’s college system, this research was conducted utilizing interviews with key informants from three community colleges and surveys distributed widely throughout the province’s business community. A number of impressions were formed from this largely exploratory research project, including: (1) the conceptual model on which this research was largely based may not be ideally suited for all community college situations; (2) colleges and SMEs appear to have
different operational definitions of “innovation”; (3) SMEs are largely unaware of the capacities
of colleges to provide services regarding innovation; and (4) colleges have often developed bureaucratic roadblocks to the provision of services to SMEs.
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Acknowledgements
This project could not have been completed without the support of many people. I gratefully acknowledge the following individuals:
My advisor, Al Lauzon, who tolerated both long delays in activity and frantic barrages of emails asking for advice. His patience, insight, and eye for detail were always appreciated.
My advisory committee—Fred Pries, Wayne Caldwell, and James Mahone—whose advice shaped my research and allowed me to avoid innumerable pitfalls during both the research itself and the writing of this document.
The examination committee, including Bill Hunter, John Fitzgibbon, and Nathan Perkins, for making my defense a challenging and enjoyable event.
The management of Assiniboine Community College for affording me the time to engage in this pursuit and my colleagues at the college for their support.
My parents, Tom and Margaret Edmunds, for their on-going and unfailing encouragement. Josh and Nick, my boys, who gave me time to work on this research by going without as much time with me as they would have liked.
And finally, Joanne, without whom I could not have accomplished anything.
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Table of Contents
Abstract .........................................................................................................................................................................ii Acknowledgements ......................................................................................................................................................iii List of tables..................................................................................................................................................................ix Preface...........................................................................................................................................................................1 CHAPTER 1 .....................................................................................................................................................................3 1.0
1.1
Introduction......................................................................................................................................................3
Context.........................................................................................................................................................3 Problem Statement ......................................................................................................................................7 Research Goal & Objectives .........................................................................................................................8
1.2 1.3
1.3.1 Research Goal ...............................................................................................................................................8 1.3.2 Research Objectives......................................................................................................................................8 1.3.3 Outcomes......................................................................................................................................................9
1.4. Methodology ....................................................................................................................................................10
1.4.1. Conceptual Model .....................................................................................................................................12
CHAPTER 2 ...................................................................................................................................................................15 2.0 Literature Review...................................................................................................................................................15
2.1 Introduction.......................................................................................................................................................15 2.2 The Changing Economy......................................................................................................................................16 2.3 SMEs in the Changing Economy.........................................................................................................................21
2.3.1 SMEs in the Canadian Economy..................................................................................................................24
2.4 Innovation..........................................................................................................................................................25 2.5 Innovation and SMEs .........................................................................................................................................28
2.5.1 Barriers to Innovation.................................................................................................................................34
2.6 Colleges and SME Innovation ............................................................................................................................36
2.6.1 Historical Development of Community Colleges in Canada .......................................................................37 2.6.2 Community Colleges’ Activities Regarding Innovation ...............................................................................39 2.6.3 Applied Research ........................................................................................................................................41 2.6.4 Human Capital ............................................................................................................................................45
2.7 Government Policy Regarding Innovation.........................................................................................................48 2.8 Conclusion .........................................................................................................................................................52
CHAPTER 3 ...................................................................................................................................................................53 3.0 Manitoba’s Community Colleges............................................................................................................................53
3.1 History of Colleges in Manitoba .........................................................................................................................53 3.2 Justification of institutions selected ...................................................................................................................58 v
3.2.1 Red River College ........................................................................................................................................59 3.2.2 Assiniboine Community College..................................................................................................................61 3.2.3 University College of the North...................................................................................................................63
3.3 Classification of selected colleges ......................................................................................................................64
CHAPTER 4 ...................................................................................................................................................................67 4.0 Methodology .........................................................................................................................................................67
4.1 Overview of case study......................................................................................................................................67 4.2 Part 1: The Colleges ..........................................................................................................................................68
4.2.1 Sampling Design..........................................................................................................................................68 4.2.2 Instrumentation..........................................................................................................................................68 4.2.3 Procedures..................................................................................................................................................69
4.3 Part 2: The Businesses ......................................................................................................................................70
4.3.1 Participants.................................................................................................................................................70 4.3.2 Survey Development ..................................................................................................................................71 4.3.3 Procedures..................................................................................................................................................72
4.4 Limitations and Delimitations............................................................................................................................73
4.4.1 Limitations ..................................................................................................................................................73 4.4.2 Delimitations...............................................................................................................................................75
CHAPTER 5 ...................................................................................................................................................................77 5.0 Interview Analysis..................................................................................................................................................77
5.1 Interviewee overview/methods ........................................................................................................................77 5.2 Forms of Collaboration ......................................................................................................................................79
5.2.1 Advisory councils ........................................................................................................................................79 5.2.2 Education/ training activities involving students........................................................................................80 5.2.3 Capstone projects.......................................................................................................................................81 5.2.4 Co-ops, placements, and similar engagements ..........................................................................................82 5.2.5 Applied research (through a research agreement) ....................................................................................83 5.2.6 Faculty projects...........................................................................................................................................85
5.3 Entrepreneurship...............................................................................................................................................85 5.4 Networking ........................................................................................................................................................88 5.5 Communication .................................................................................................................................................89 5.6 Noncompetition.................................................................................................................................................90 5.7 Student involvement .........................................................................................................................................92 5.8 Benefits..............................................................................................................................................................93
5.8.1 Faculty.........................................................................................................................................................93 vi
5.8.2 College ........................................................................................................................................................94 5.8.3 Community and Society..............................................................................................................................95 5.8.4 Students......................................................................................................................................................97 5.8.5 Business ......................................................................................................................................................97
5.9 Barriers ............................................................................................................................................................100
5.9.1 Awareness.................................................................................................................................................100 5.9.2 Infrastructure............................................................................................................................................102 5.9.3 Money.......................................................................................................................................................103 5.9.4 Time ..........................................................................................................................................................104 5.9.5 Culture ......................................................................................................................................................106 5.9.6 Timing .......................................................................................................................................................109 5.9.7 SME buy-in................................................................................................................................................110
5.10 Funding ..........................................................................................................................................................111 5.11 IP issues .........................................................................................................................................................112 5.12 Preferred/desired engagement .....................................................................................................................113 5.13 Implications ...................................................................................................................................................115
CHAPTER 6 .................................................................................................................................................................118 6.0 Survey Results......................................................................................................................................................118
6.1 Survey overview...............................................................................................................................................118
6.1.1 Location ....................................................................................................................................................119 6.1.2 Industry.....................................................................................................................................................120 6.1.3 Number of Employees ..............................................................................................................................122
6.2 Past Engagement .............................................................................................................................................123
6.2.1 Colleges Engaged ......................................................................................................................................129 6.2.2 Success of Partnership..............................................................................................................................131
6.3 Unsuccessful Partnership Attempts.................................................................................................................132 6.4 Why Partnership Did Not Occur ......................................................................................................................133 6.5 Non-partnership ..............................................................................................................................................134
6.5.1 Innovation is not essential to my business ...............................................................................................135 6.5.2 Did not know how to partner with a college ............................................................................................136 6.5.3 Unaware such services are offered by colleges........................................................................................137 6.5.4 Skills(s) required are not available at the colleges ...................................................................................139 6.5.5 Too expensive...........................................................................................................................................140 6.5.6 Distance to college is prohibitive..............................................................................................................141 6.5.7 Other reasons for not engaging................................................................................................................144 vii
6.6 Likelihood of Future Engagement....................................................................................................................146 6.7 Focus of Future Partnership ............................................................................................................................150
6.7.1 Acquisition of machinery, equipment or other technology......................................................................151 6.7.2 Employee training.....................................................................................................................................154 6.7.3 Original research.......................................................................................................................................157 6.7.4 Developing product prototype(s) .............................................................................................................159 6.7.5 Product testing/analysis ...........................................................................................................................162 6.7.6 Adapting technologies to business needs ................................................................................................164 6.7.7 Conducting field/clinical trials ..................................................................................................................165 6.7.8 Launching new product(s) ........................................................................................................................167 6.7.9 Developing spin-off business/launching new business ............................................................................168 6.7.10 Business expansion.................................................................................................................................171 6.7.11 Implementation of new policies .............................................................................................................174 6.7.12 Other.......................................................................................................................................................175
6.8 Other Engagement...........................................................................................................................................175 6.9 “Other” Engagement .......................................................................................................................................177 6.10 6.11
Other Comments......................................................................................................................................178 Implications..............................................................................................................................................180
CHAPTER 7 .................................................................................................................................................................183 7.0 Analysis of Intersection........................................................................................................................................183
7.1 Key Themes......................................................................................................................................................184
7.1.1 Past Engagement ......................................................................................................................................185 7.1.2 Successful Partnerships ............................................................................................................................186 7.1.3 Unsuccessful Partnerships........................................................................................................................187
7.2 Future Engagement .........................................................................................................................................187
7.2.1 Acquisition ................................................................................................................................................188 7.2.2 Employee Training ....................................................................................................................................188 7.2.3 Applied research.......................................................................................................................................189 7.2.4 Developing spin-off/new businesses ........................................................................................................191 7.2.5 Business expansion...................................................................................................................................191 7.2.6 New policies..............................................................................................................................................192 7.2.7 Obtaining skilled employees.....................................................................................................................192 7.2.8 Marketing .................................................................................................................................................193 7.2.9 Focus on students.....................................................................................................................................193
7.3 Entrepreneurship.............................................................................................................................................194 viii
7.4 Noncompetition...............................................................................................................................................196 7.5 Barriers ............................................................................................................................................................196
7.5.1 Awareness.................................................................................................................................................196 7.5.2 Infrastructure............................................................................................................................................197 7.5.3 Money.......................................................................................................................................................197 7.5.4 Time ..........................................................................................................................................................198 7.5.5 Culture ......................................................................................................................................................198 7.5.6 Timing .......................................................................................................................................................199 7.5.7 SME buy-in................................................................................................................................................200 7.5.8 Distance to college....................................................................................................................................201 7.5.9 No need ....................................................................................................................................................201 7.5.10 Needed skills not available .....................................................................................................................201
7.6 IP Issues ...........................................................................................................................................................202 7.7 Implications .....................................................................................................................................................202
CHAPTER 8 .................................................................................................................................................................206 8.0 Conclusions..........................................................................................................................................................206
8.1 Model of SME-College Collaborations .............................................................................................................211 8.2 Conclusions and recommendations.................................................................................................................213
8.2.1 Conclusion 1: Student Involvement.........................................................................................................214 8.2.2 Conclusion 2: Expansion of student involvement....................................................................................215 8.2.3 Conclusion 3: Contract training ...............................................................................................................216 8.2.4 Conclusion 4: Barriers to collaboration ...................................................................................................218 8.2.5 Conclusion 5: Communication .................................................................................................................219 8.2.6 Conclusion 6: Networking........................................................................................................................221 8.2.7 Conclusion 7: Satellite campuses.............................................................................................................222 8.2.8 Conclusion 8: Local SMEs.........................................................................................................................223 8.2.9 Conclusion 9: Entrepreneurship ..............................................................................................................224 8.2.10 Conclusion 10: Noncompetition ............................................................................................................225 8.2.11 Conclusion 11: Applied research............................................................................................................226 8.2.12 Conclusion 12: Policies for engagement................................................................................................227 8.2.13 Conclusion 13: Post-secondary relationships ........................................................................................228 8.2.14 Conclusion 14: Intellectual property......................................................................................................229
8.3 Suggested Research.........................................................................................................................................230
9.0 References ...........................................................................................................................................................235 APPENDICIES..............................................................................................................................................................246 ix