Government can take technology to new commercial heights

Thursday, October 22, 2015

Pretoria - Government can play a role in creating an environment conducive to the successful commercialisation of any technology, says the Department of Trade and Industry (dti).

Speaking at a stakeholder engagement workshop on factors contributing to successful technology commercialisation, Chief Director of Innovation and Technology Nonkululeko Shinga said many internal and external factors come into play and influence the outcome of the technology commercialisation process.

While some of these factors and their respective effects are not easy to pinpoint, government can play a critical role in the innovation process by assisting in addressing market failures and creating an environment conducive to successful commercialisation of new or significantly improved products and process, she said.

“Much effort is needed to intensify the translation of innovative ideas into new products, services or processes to be introduced to the market and successfully commercialised.

“In response, the dti has identified the need to undertake an investigation into the advantages and disadvantages of different methods employed in technology commercialisation,” she said.

Shinga said while two thirds of SMMEs engaged in innovative activities, only one out of four succeeded in bringing their innovative products to the market.

She said the National System of Innovation (NSI) has been in existence for over a decade to stimulate and support innovation.

The NSI comprises a wide range of innovation stakeholders, institutional structures and relationships, laboratories, advanced facilities and equipment, research support, and expanded international relations.

“This implies that the importance and need to improve collaboration and synergies within government entities and among the public, academia, research institutions and business sectors has been acknowledged,” she said.

Helene Debbari of Urban-Econ Development Economists (Pty) Ltd -- the company appointed by the dti to conduct the study on the factors contributing to successful technology commercialisation in South Africa, with a particular focus on SMMEs -- said that South Africa’s Industrial Policy Action Plan 2013 - 2016 identifies innovation as the most important driver of long-term prosperity, business growth and job creation.

“Technology commercialisation is also considered critical in creating new industries, transforming the structure of the economy and supporting industrialisation, it is one of the main priorities of the National Development Plan.

“The importance of technological advancement in enhancing a country’s competitiveness, wealth and job creation that ensue, has been recognised in most of the economic theories, as well as its contribution to addressing pressing developmental needs” said Debbari.

The findings of this study will be used to inform the dti National Strategy on Technology Commercialisation for Innovative Enterprises to be released in 2016. – SAnews.gov.za