Tag Archives: cochlear

Risky business

To build research-industry partnerships for successful technology transfer, Step 1 is to develop a culture and practices that promote partnership and Step 2 is to build a strong foundation for your partnership. At this point, you (a research organisation and a commercial company) have established a relationship based on trust and understanding, and are on the verge of serious commitment.

Researchers should be aware that collaboration with Company A may restrict you from jumping into bed with Company B, particularly if A and B are competitors. In business as in love, consider whether monogamy suits you before beginning a long-term partnership.

It’s hard to imagine D-I-V-O-R-C-E when you’ve just fallen in love, but any country-and-western singer and I would recommend that, before you make any vows, you should invest in couples counselling and a pre-nuptial agreement. It’s time to…

Manage risk (Step 3)

A company considers spending on research to be an investment in product or service development. Any investment carries risk, but investing in experimentation is high risk: the research may not result in the outcome desired by the industry partner, or it may take longer and cost more than anticipated to achieve that outcome.

An example from my experience at Cochlear was a surgical tool that showed promise in laboratory testing, but trials in a simulated operating theatre revealed that it was impractical for routine surgical use. Unfortunately, this issue could not be resolved, so the project did not proceed further.

The company’s decision-makers will be held accountable for the performance of their investment and so should seek to minimise or mitigate the associated risk. The research partner should share that aim, if they want a long-term relationship with the company, or a good reputation in the industry.

Risk management is hard for early-stage, ground-breaking research where the outcome is unknown and likelihood of failure is high. It’s easier for late-stage research such as product prototyping, especially where the new product’s capabilities can be demonstrated using standard components in simulated conditions.  For instance, a low-risk project to develop an augmented-reality surgical training system involved the novel integration of existing software and hardware.

Some of the most useful risk management strategies are:

  • seeding the project team with people who have the experience and skills to straddle the industry/research divide
  • nominating a divide-straddling project manager with authority to set and revise the scope, schedule and budget
  • breaking the work into small chunks with shorter timeframes
  • clearly defining roles, responsibilities and deliverables
  • linking the achievement of milestones to payments, and
  • monitoring progress with regular project reviews and making timely decisions when issues emerge.

Expect and plan for administrative overheads, including legal and reporting costs. Best practice is to establish an umbrella agreement that covers the ‘big picture’ of the partnership, with a series of smaller agreements covering specific projects. The latter should use a project management framework to define each project’s scope, resources, timeframe, deliverables and milestones, and the team members’ roles and responsibilities.  If these administrative aspects of collaboration are treated with contempt, stakeholder issues can escalate rapidly, leading to relationship breakdown.

In some industries, such as medical technology and pharmaceuticals, legal compliance is an important consideration in collaboration, requiring additional documentation, such as a formal contract including a detailed scope-of-work. In my experience, the researchers – usually university academics – with whom Cochlear collaborated were often also medical professionals involved in purchase decisions for their practices.  A contract and scope-of-work demonstrates that any payments are for legitimate research and not an inducement to do business with the company.

Often it’s legal and commercial issues that are the main hurdles in establishing research-industry collaboration. Companies want to own any intellectual property (IP) generated through the collaboration to give them freedom to operate – for example, to use the research results to support the product claims – and to gain advantage over competitors. A company will not participate in a partnership if the ownership of the relevant IP is complicated, or likely to be contested. Legal assignments or similar agreements can simplify IP ownership.

Once you’ve done all you can to manage risk, feel free to release the doves, scatter the rose petals and process down the aisle. But if you hope to see cobwebs grow on your unused pre-nup, remember that the happiest marriages are those supported by the extended family on both sides. That’s why my next post will be about using your teams to best effect (Step 4). My final post in this series will be about measuring your impact (Step 5), because every marriage has a legacy. Watch this space.

research-industry collaboration

– James Dalton, gemaker

Click here for information about gemaker’s industy engagement training program for researchers.

industry-research collaboration

Laying the foundations

In response to Innovation and Science Australia’s recent performance review of Australia’s innovation, science and research system, I am producing a series of posts about improving industry-research collaboration, to share lessons from my experience leading collaborations for Cochlear, as well as recent research into best practice.

This blog series describes five steps to build industry-research partnerships for successful technology transfer. If you missed it, you can learn about Step 1 – develop a culture and practices that promote partnership – in my previous post. When you’re ready, here’s Step 2…

2. Build a strong foundation for your partnership

This stage of the potential collaboration follows the introduction and is about getting to know each other and building trust and understanding. These intangible assets take time to develop and are essential for a positive, productive relationship. Therefore, spending time in regular contact with potential partners, especially face-to-face, is critical and will pay dividends.

While informal meetings help potential collaborators get to know each other at a human level, face-to-face time should not be entirely unstructured. Every interaction should work towards answering two critical questions about motivations and expectations:

  • What does the company hope to achieve through the industry-research collaboration?
  • What does the research organisation seek to accomplish? 

Answering these questions will minimise the risk of disappointment and conflict later.  Also, when the tech transfer office and other administrators step in to draft the contract, having a clear, shared understanding of the purpose of the collaboration will simplify their negotiations. It’s useful to have these parties meet face-to-face as early as possible, so that they have time to build empathy too.

At Cochlear, when my colleagues and I met face-to-face with potential research collaborators, we planned an agenda in advance, identifying the issues we needed to discuss. We also spent time over lunch or dinner getting to know each other personally.

When members of the research team visited our office to learn more about Cochlear’s operations, we invited them to explain their research interests, achievements and experiences to all staff in a lunchtime seminar. These interactions helped both parties and their wider organisations develop trust and understanding.

Industry-research collaboration brings a sudden injection of new colleagues. Before commitment, each party should understand the strengths and weaknesses of their potential co-workers, and what they would contribute to the collaboration, i.e:

  • Who is in each team and what is their role?
  • What is each team member’s experience and expertise? 
  • How does each team measure up against their peers and competitors?
  • Has either team ever collaborated with others on the opposite side of the industry-research divide before? If so, what was the outcome?

As companies need to keep a watchful eye on their competitors, while sniffing out new market opportunities, they will also ask the research team the following questions:

  • Where is the science heading and on what timeframe?
  • What are the critical questions that remain unanswered in the field and what will it take to answer them?
  • What do the researchers know about any relevant industry collaborations involving their peers?

One of the best ways to understand technological trends and the R&D strategy of competitors is by analysing their patenting and publishing activities.  At Cochlear, we readily shared knowledge of competitors’ activities with our research collaborators, so they could be our ‘eyes and ears’ in the research sector.

Potential collaborators must discuss the following:

  • What problem are we seeking to solve? 
  • Who are the end users / customers and how can we improve value for them?
  • What are our time and budget constraints and what is achievable within them?

This phase of the industry-research collaboration is the time to identify any flaw in the research direction. In one case in my experience, the research had merit in its aims, but the proposed solution was impractical. Cochlear’s engineering expertise redirected the research, leading to a significant leap in the field and demonstrating the benefit of the collaboration.

By taking time: to build a personal relationship based on trust; to understand each other’s strengths and weaknesses; to share information about threats and opportunities; to nail down the problem and how it may be solved practically; and above all, to clarify the expectations of each party; collaborators will lay down a solid foundation on which to build successful commercialisation projects.

The next steps in best practice industry-research collaboration for technology transfer are:

  1. Manage risk
  2. Use your teams to best effect and
  3. Measure your impact

To learn more about these, please watch this space for subsequent posts.

– James Dalton, gemaker

research-industry collaboration

multidisciplinary approach

How to move mountains

Collaboration has long been identified as an important requirement for success in business and indeed wider society. As the world changes, however, this requirement is changing too, and in many instances it is not just important, but vital for success.

Those organisations that struggle to make it central to their operations can be at a serious disadvantage. It is a case of collaborate or crumble.

We live in a world that is very complex and getting more so. This means today’s societal challenges are also getting harder to resolve. And as much as we would like simple solutions to complex problems, they usually don’t exist. Sophisticated, multi-faceted solutions are more often the only way to address complex challenges.

At Cochlear we are very familiar with such a challenge: hearing loss. Hearing loss is already a recognised global public health issue, with the World Health Organisation estimating that over 360 million people worldwide suffer from disabling hearing loss.

It is a health issue with significant medical, social and economic impacts. And with populations in many countries getting older, the problems are likely to get amplified.

Addressing the hearing loss challenge requires a sophisticated, multidisciplinary approach. The technology challenge alone involves over 30 different science and engineering specialities required to develop an implantable hearing solution that addresses severe to profound hearing loss.

And that is just the product, which on its own won’t do anything. It needs to be clinically validated for different age segments and approved by more than 20 regulatory bodies around the world. Policy makers and health insurers need to be convinced of the technology’s efficacy in order to improve access and funding. And we need to work with industry organisations, consumer groups, government and media to elevate the importance of hearing loss and the treatments available.

This of course can’t happen by a single person or team – it requires collaboration between numerous disciplines and professionals who contribute to different parts of the problem at different stages.

As we work to address more complex problems, we are also facing a paradox: on the one hand we need deeper and deeper expertise in specific areas because breakthroughs in one specialty area can have huge impacts on the total solution. And on the other hand we need some breadth too – specialists who can reach out from their niche to the broader teams that they are working with, both locally and globally, to understand the big picture problem and to help construct the end-to-end solution. Collaboration and being able to connect the dots are critical skills as they allow the solution to work in the real world.

Collaboration is vital in today’s world. It enables problem solvers to work together, extract value from diverse speciality areas and focus on large, important challenges. Without it we would crumble, but with it we can build a better future.

Jan Janssen

Senior Vice President, Design & Development, Cochlear

Read next: Professor Ken Baldwin, Director of the Energy Change Institute at ANU and founder of Science meets Parliament, offers a way forward for evidence-based policy in Australia.

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Research industry collaboration

Research-industry collaboration guide part 1

Innovation and Science Australia recently released its performance review of Australia’s innovation, science and research system, finding that while we’re above average at creating knowledge, we’re poor at applying and transferring it, so our researchers’ wonderful innovations frequently fail to (a) improve lives in the real world, and (b) earn a return on our nation’s significant investment in research.

There’s often a huge crevasse between research organisations, such as universities, and commercial companies, in any industry: a gap in understanding and a potential grave for hopes and dreams. Over a couple of decades of product research, development and commercialisation in international markets, I have crossed that crevasse many times.

For Cochlear, I led ten significant collaborative agreements and participated in five others, involving more than 25 research organisations around the world. Cochlear’s annual R&D budget was around AUS$90 million, or up to 17% of sales.

I have insights to share about building bridges across the research-industry gap for mutual advantage and to benefit society. This is the first in a series of posts about improving research-industry collaboration, in which I will share lessons both from personal experience and recent research into best practice.

Whichever side you’re starting from, below are five steps to build research-industry partnerships for successful technology transfer. In this post, I have focused on the first step. I will explore the other steps in greater detail in subsequent posts.  

1. Develop a culture and practices that promote partnership

Successful research-industry collaboration can often be attributed to executive members of a research organisation who understand business, or have worked in industry. They can empathise with potential industry partners, promote research-industry collaboration by being effective champions and mentors in their own organisation, and provide the continuity in strategy and resourcing needed to maintain a partnership.

Senior businesspeople with a research background can similarly build bridges from the industry side. For example, in my experience, it was much easier to establish research-industry collaboration when surgeons with whom Cochlear had a commercial relationship also had an academic role at a university.

If you’re not at the top of your organisation, and can’t find a senior bridge-builder to mentor you and champion your cause, there’s still much you can do to establish productive research-industry collaboration, even from a cold start.

If you’re a researcher, you can find potential industry partners in the sector/s relevant to your research, and start to understand the problems they need to solve, via: industry conferences; company websites and annual reports; LinkedIn profiles and posts; and other business media, including blogs, etc. If you’re from industry, use similar channels devoted to academic and research organisation communications to seek out the leading experts in relevant areas.

The collaborations I developed for Cochlear had varied origins, e.g: a conversation at a conference; a university actively seeking collaborators to achieve its vision of being at the bleeding-edge of technology; an existing collaborator recommending another researcher who had the expertise we needed; mutual friends introducing me to a researcher because they knew about our shared interests; a local sales team developing a relationship with a university on which I built.

However you find them, when you meet a potential partner, ask questions and listen carefully to the answers. How does the company serve its customers and what stands in the way of improving the customer experience? How might the researcher shine a light on, or solve the company’s problems, or even open new markets for the company?  

Be prepared to invest significant face-to-face time getting to know each other on a human level and building trust and understanding. Research-industry collaboration is usually seeded by mutual connections and personal contact, and it only ever grows with shared interests and values.

2. Build a strong foundation for your partnership

Once the willingness to work together has been established, a deeper conversation is required to define the problem/s you are best positioned to solve together, the nature of the relationship, and the benefits each party could expect from it.

3. Manage the risk of your research-industry collaboration

A company considers spending on research an investment in product or service development, but research can be speculative and may not result in the outcome desired by the industry partner, so risk-mitigation strategies are essential.

4. Use your teams to best effect

By encouraging broad participation within both organisations, across a range of disciplines, and including customers or end-users, you can ensure that the project is solving real and important problems, the solution/s will be adopted, and the mutual benefits of the partnership fully realised.

5. Measure your impact

So that the value of the collaboration to each partner can be appreciated, it’s important to measure its impact on the customer experience as well as each party’s bottom lines.

To learn more about Steps 2–5 of research-industry, please watch this space for subsequent posts.

– James Dalton, gemaker

Click here for information about gemaker’s industy engagement training program for researchers.

research-industry collaboration

With an engineering background, James combines strategic marketing mastery and product development expertise, derived from decades of experience with leading global companies, especially Cochlear. In 2010, he won the Engineers Australia Design Excellence Award and the Red Dot Award for Product Design. He is named as the inventor on six patents. His current role as Commercialisation Manager with gemaker is to support diverse clients – researchers, inventors, startups and expanding businesses – through the many stages of commercialisation, including idea validation and protection, industry engagement, funding acquisition, product development, and marketing.

graduate program

Getting into a top graduate program

An excellent graduate program helped accelerate my career progress.

I arrived in Australia at the turn of the century. The trigger for leaving South Africa to move here was a little-known industrial automation software called Citect. I was inspired by this Australian invention, that back then was simply the most advanced, most innovative software in its industry.

It had been less than 10 years since I graduated from university with an Electrical Engineering degree, but the first five years were the most formative. The company that employed me as a fresh graduate had a fantastic graduate program, and equipped me with essential skills that have served me well for the past 25 years.

Today I look back on the 16 years I have been at Cochlear – another great Australian innovation – and am proud to have been part of an organisation that excels at nurturing young talent.


An undervalued characteristic is curiosity, coupled with the eagerness to experiment without the fear of failure.”


I’ve witnessed many excellent graduate programs develop in Australia and I believe they are vital for helping young professionals to realise their full potential. We’ve been running our own graduate program at Cochlear for the last 10 years. Many of the graduates who began their careers in that program are now in leadership positions and excelling at their jobs. One of the reasons it has been so successful is because Cochlear focuses on hiring people with skills that set them up for success.

Possessing the technical fundamentals taught in STEM-based degrees is only part of what we look for in a prospective graduate. Other important attributes are intuition, creativity, critical thinking, communication skills and the ability to work collaboratively within and between multidisciplinary teams.

Collaboration in particular has become such an important attribute in a young people entering graduate programs. I cannot emphasize enough the need to develop this ability early, especially when aspiring to leadership roles. The days of the lone, genius contributor have all but gone. Today, the projects and startups that produce ground-breaking products achieve this because of the team-collaboration factor. Nothing says this more outspokenly than when Atlassian listed on The NASDAQ Stock Market and named their stock symbol “TEAM”.

Perhaps another undervalued characteristic in graduates is curiosity, coupled with the eagerness to experiment without the fear of failure. A number of companies have a graduate program that formalises this process. Google and Atlassian are two companies that have successfully implemented 20% experiment time. There are countless examples of successful products that were born from these programs, such as Gmail, AdSense and Google News.

Often in an interview I will ask a candidate what they do in their spare time – the things they don’t put on their resumes, which might indicate a genuine thirst for knowledge.

Looking more closely at the foundation of Australian graduates, I’d like to add a few thoughts on STEM education in schools. In a 2014 Australian Mathematical Sciences Institute report, Kelly Roberts provides some disturbingly low participation rates of women in STEM subjects in high school. As the father of two daughters, my hope is that education systems will improve in order to draw out the innate inquisitiveness of young kids.

Let us build on that capability at an early age and nurture it. Let us teach them reasoning and critical thinking skills as young as possible. These skills are the means to building a stronger Australia.

Victor Rodrigues

Chief Software Architect, Cochlear 

Read next: Andrew Coppin, venture capital investor, on the changing demographic of founders in today’s startup scene.

People and careers: Meet graduates and postgraduates who’ve paved brilliant, cross-disciplinary careers here, find further success stories here and explore your own career options at postgradfutures.com

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Be part of the conversation: Share your ideas on creating and propelling top Australian graduates. We’d love to hear from you!

More Thought Leaders: Click here to go back to the Thought Leadership Series homepage, or start reading the Australian Innovation Thought Leadership Series here.

Top 25 R&D spin-offs

Top 25 R&D spin-offs

For a country that makes up just 0.3% of the world’s population, Australia packs a heavyweight punch in science – generating 3.9% of the world’s research publications. However taking that research to market has proved a broader challenge.

Fostering the commercialisation of research success and encouraging collaboration between industry and researchers is at the forefront of the government’s renewed focus on scientific innovation, with over $1.1 billion earmarked to kickstart the “ideas boom” as part of the National Innovation and Science Agenda.

“Collaboration is key to turning Australian ideas into viable and lucrative commercial products and services,” says Christopher Pyne, Minister for Industry, Innovation and Science, adding that high-tech knowhow plus innovative R&D will drive jobs and wealth in the future.

“We must capitalise on the opportunities that are presenting themselves in the economic transition taking place in Australia by being agile, innovative and creative,” Pyne says.

He notes a range of measures, including the $155 million Industry Growth Fund and the R&D Tax Incentive program, are supporting firms to innovate and drive investment into new high-growth industry sectors.

From industry-funded ventures to university spin-offs and rising star start-ups, these are the Science Meets Business Top 25 Australian research and development spin-off companies.

Click here to see the full list, or continue reading. For further insights from the leaders of the Top 25 R&D spin-off companies, read their interviews on attracting venture capital, learning from overseas marketsgetting past the valley of death, overcoming major start-up challenges and starting up.


FIBROTECH THERAPEUTICS PTY LTD

 

TYPE: NOT LISTED

CEO: Darren Kelly

SOLD FOR: US$557.5 million

INNOVATION RATIO*: 0.15


Fibrotech develops novel drug candidates to treat fibrosis (tissue scarring) associated with chronic conditions such as heart failure, kidney and pulmonary disease, and arthritis. The company spun out of research by Professor Darren Kelly at the University of Melbourne in 2006, and its principal asset is a molecule, FT011, which helps prevent kidney fibrosis associated with diabetes. In May 2014, in one of Australia’s biggest biotech deals at the time, Fibrotech was acquired by Shire, a Dublin-based pharmaceutical company, for an initial payment of US$75 million. Further payments, based on a series of milestones, will bring the total value of the sale to US$557.5 million, and the deal was awarded Australia’s best early stage venture capital deal in 2014. At the time of the sale, FT011 was in Phase 1b trials for the treatment of renal impairment in diabetics – a market worth US$4 billion annually.

*Innovation ratio = patents published/cited

Founder, CEO & director of Fibrotech Therapeutics, Professor Darren Kelly
Founder, CEO & director of Fibrotech Therapeutics, Professor Darren Kelly

SPINIFEX PHARMACEUTICALS PTY LTD

 

TYPE: LISTED

MARKET VALUE: $264 million

CEO/President: Dr Tom McCarthy

INNOVATION RATIO: 0.13

SOLD FOR: acquired by Novartis for US$200 million up-front payment plus milestone payments


Spinifex Pharmaceuticals was launched in 2005 to commercialise chronic pain treatments developed by Professor Maree Smith of The University of Queensland. Pharmaceuticals giant Novartis acquired the company in 2015 for a total of US$725 million, based on the promising results in Phase 1b and Phase 2 clinical trials. Spinifex’s treatment targets nerve receptors on peripheral nerves rather than pain receptors in the brain, making it possible to treat the pain from causes such as shingles, chemotherapy, diabetes and osteoarthritis without central nervous system side-effects such as tiredness and dizziness.

Dr Tom McCarthy_intext
CEO/President of Spinifex Pharmaceuticals, Dr Tom McCarthy

ADMEDUS LTD

 

TYPE: LISTED

MARKET VALUE: $61.88 million

COO: Julian Chick

INNOVATION RATIO: 0.02

REVENUE: $10.2 million


Admedus is a diversified healthcare company with interests in vaccines, regenerative medicine, and the sale and distribution of medical devices and consumables. Currently, the company is developing vaccines for herpes simplex virus and human papillomavirus based on Professor Ian Frazer’s groundbreaking vaccine technology. In the regenerative medicine field, Admedus is the vendor of CardioCel®, an innovative single-ply bio-scaffold that can be used in the treatment of congenital heart deformities and complex heart defects.


BIG 3 – RESMED LTD

 

TYPE: LISTED

MARKET VALUE: $7.85 billion

CEO: Michael J Farrell

INNOVATION RATIO: 0.02

REVENUE: $1.68 billion


For more than 25 years, ResMed has been a pioneer in the treatment of sleep-disordered breathing, obstructive pulmonary disease and other chronic diseases. The company was founded in 1989 after Professor Colin Sullivan and University of Sydney colleagues developed nasal continuous positive airway pressure – the first successful, non-invasive treatment for obstructive sleep apnoea. Today, the company employs more than 4000 people in over 100 countries, delivering treatment to millions of people worldwide.


BIODIEM LTD

 

TYPE: NOT LISTED

CEO/Executive Director: Julie Phillips

INNOVATION RATIO: 0.22

REVENUE: $203,809


BioDiem specialises in the development and commercialisation of vaccines and therapies to treat infectious diseases. The Live Attenuated Influenza Virus vaccine technology provides a platform for developing vaccines, including one for both seasonal and pandemic influenza. BioDiem’s subsidiary, Opal Biosciences, is developing BDM-I, a compound that offers a possible avenue for the treatment of infectious diseases that resist all known drugs.


VAXXAS PTY LTD

 

TYPE: NOT LISTED

CEO/Director: David Hoey


Vaxxas is pioneering a needle-free vaccine delivery system, the Nanopatch, which delivers vaccines to the abundant immunological cells just under the skin’s surface. Preclinical studies have shown that vaccines are effective with as little as one-hundredth of a conventional dose when delivered via a Nanopatch. In 2014, Vaxxas was selected by the World Economic Forum as a Technology Pioneer, based on the potential of Nanopatch to transform global health.


6 ACRUX DDS PTY LTD

 

TYPE: LISTED

MARKET VALUE: $122.39 million

CEO: Michael Kotsanis

INNOVATION RATIO: 0.01

REVENUE: $25.4 million

Biotech company Acrux was incorporated in 1998 after researchers at Monash University developed an effective new spray-on drug delivery technology that improved absorption through the skin and nails. In 2010, Acrux struck a US$335 million deal with global pharmaceutical company Eli Lilly for AxironTM, a treatment for testosterone deficiency in men. It was the largest single product licensing agreement in the history of Australian biotechnology.

CEO of Acrux, Michael Kotsanis
CEO of Acrux, Michael Kotsanis

PHARMAXIS LTD

 

MARKET VALUE: $72.9 million

CEO: Gary J Phillips

INNOVATION RATIO: 0.76

REVENUE: $59.25 million

Listed on the ASX in 2003, Pharmaxis has two products on the market: Bronchitol, a treatment for cystic fibrosis; and Aridol, a lung function test to diagnose and assess asthma. In 2015, Pharmaxis sold the rights to a treatment for the liver condition nonalcoholic steatohepatitis, to Boehringer Ingelheim in a deal that could be worth US$750 million.

Garyphillips_in text
CEO of Pharmaxis, Gary J Phillips

OPTHEA PTY LTD

 

TYPE: LISTED

MARKET VALUE: $42.80 million

CEO/MD: Dr Megan Baldwin

INNOVATION RATIO: 0.01

REVENUE: $939,008

With a focus on ophthalmology, Opthea’s main product is OPT-302 – a treatment for wet age-related macular degeneration – which is currently in a Phase 1/2a clinical trial. Wet macular degeneration is the leading cause of blindness in the Western world. Opthea was formerly known as Circadian Technologies, acting as a biotechnology investment fund before transitioning to developing drugs in 2008.


BENITIC BIOPHARMA LTD

 

TYPE: LISTED

MARKET VALUE: $63.01 million

CEO: Greg West

INNOVATION RATIO: 0.14

REVENUE: $1.37 million

Benitec Biopharma’s leading product is DNA-directed RNA interference (ddRNAi) – a platform for silencing unwanted genes as a treatment for a wide range of genetic conditions. ddRNAi has broad applications, and can assist with conditions as diverse as neurological, infectious and autoimmune diseases, as well as cancers. The company’s current focus inludes hepatitis B and C, wet age-related macular degeneration and lung cancer.


10 CATAPULT GROUP INTERNATIONAL LTD

 

TYPE: LISTED

MARKET VALUE: ~$256 million

CEO: Shaun Holthouse

REVENUE: $11.8 million

Catapult makes athletic performance monitoring systems using global and local positioning technologies for more than 750 elite teams, universities and institutions worldwide. The technology was commercialised in 2006 and its IPO in December 2014 raised more than $12 million from investors – including from US billionaire Mark Cuban.

CEO of Catapult, Shaun Holthouse
CEO of Catapult, Shaun Holthouse

11 SMARTCAP TECHNOLOGIES PTY LTD

 

CEO: Dush Wimal

INNOVATION RATIO: 0.03

TYPE: NOT LISTED

Using a wearable electroencephalograph (EEG), SmartCap monitors driver fatigue by measuring changes in brain activity without significant discomfort or inconvenience. It notifies users when they are fatigued and what time of day they’re most at risk. SmartCap was formally EdanSafe, a CRCMining spin-off company.

CEO of Smartcap, Dush Wimal
CEO of Smartcap Technologies, Dush Wimal

BIG 3 – COCHLEAR LTD

 

TYPE: LISTED

MARKET VALUE: $4.8 billion

INNOVATION RATIO: 0.05

CEO/PRESIDENT: Chris Smith

REVENUE: $925.6 million

Cochlear delivers hearing to over 400,000 people worldwide through products like the cochlear implant. Pioneered by the University of Melbourne’s Professor Graeme Clark and developed with assistance from The HEARing CRC, the bionic devices were first successfully implanted by the Royal Victorian Eye and Ear Hospital for people with moderate to profound hearing loss. The global company now employs 2800 staff and assists people in 100 countries.

CEO/President of Cochlear, Chris Smith
CEO/President of Cochlear, Chris Smith

12 ECOULT PTY LTD

 

TYPE: NOT LISTED

CEO: John Wood

Founded by the CSIRO in 2007 to commercialise the UltraBattery, Ecoult was acquired by the East Penn Manufacturing Company in 2010. The UltraBattery makes it possible to smooth out the peaks and troughs in renewable power, functioning efficiently in a state of partial charge for extended periods.


13 QUICKSTEP HOLDINGS LTD

 

MARKET VALUE: $87.09 million

CEO/MD: David Marino

INNOVATION RATIO: 0.04

REVENUE: $39.51 million

Composite materials company Quickstep was founded in 2001 to commercialise their patented manufacturing process. Working with the aerospace, automotive and defence industries, Quickstep supplies advanced carbon fibre composite panels for high technology vehicles. In 2015, the company increased its manufacturing capacity, establishing an automotive production site in Victoria in addition to their aerospace production site in NSW.


14 ENGENEIC LTD

 

TYPE: NOT LISTED

JOINT CEOs/DIRECTORS: Dr Jennifer MacDiarmid and Dr Himanshu Brahmbhatt

MARKET VALUE: $178 million

INNOVATION RATIO: 0.03

EnGeneIC’s cancer treatment platform, the EnGeneIC Dream Vector (EDVTM), is a first-in-class cytoimmunotherapy.

The EDV is a nanocell mechanism for delivering drugs and functional nucleic acids and can target tumours without coming into contact with normal cells, greatly reducing toxicity. Above all, the EDV therapeutic stimulates the adaptive immune response, thereby enhancing anti-tumour efficacy. More than 260 patents support the technology, developed entirely by EnGeneIC, giving the company control over its application.

Joint CEOs and directors of EnGeneIC, Dr Jennifer MacDiarmid and Dr Himanshu Brahmbhatt
Joint CEOs and directors of EnGeneIC, Dr Jennifer MacDiarmid and Dr Himanshu Brahmbhatt

15 SNAP NETWORK SURVEILLANCE PTY LTD

 

TYPE: NOT LISTED

CEO: Simon Langsford

CTO/FOUNDER: Dr Henry Detmold

Snap’s FMx is a unique approach to video surveillance that forms cameras into a network based on artificial intelligence that learns relationships between what the cameras can see. It enables advanced real-time tracking and easier compilation of video evidence. Developed at the University of Adelaide’s Australian Centre for Visual Technologies, the system is operational at customer sites in Australia, Europe and North America.


16 ORTHOCELL LTD

 

TYPE: LISTED

MARKET VALUE: $32.89 million

MD: Paul Anderson

INNOVATION RATIO: 0.81

REVENUE: $1.69 million

Orthocell develops innovative technologies for treating tendon, cartilage and soft tissue injuries. Its Ortho-ATI™ and Ortho-ACI™ therapies, for damaged tendons and cartilage, use the patient’s cells to assist treatments. Its latest product, CelGro™, is a collagen scaffold for soft tissue and bone regeneration.


17 REDFLOW

 

TYPE: LISTED

MARKET VALUE: $111.3 million

CEO: Stuart Smith

INNOVATION RATIO: 0.16

REVENUE: $265,436

As the demand for effective energy storage grows, RedFlow’s zinc-bromide flow batteries are gaining attention. RedFlow has outsourced its manufacturing to North America to keep up with demand, while the company’s research and development continues in Brisbane.

CEO of Redflow, Stuart Smith
CEO of Redflow, Stuart Smith

18 MINIFAB PTY LTD

 

TYPE: NOT LISTED

CEO: Dr Erol Harvey

INNOVATION RATIO: 2

Since 2002, precision engineering company MiniFAB has completed more than 900 projects for customers across the globe. MiniFAB provides a complete design and manufacturing service, and has developed polymer microfluidic and microengineered devices for medical and diagnostic products, environmental monitoring, food packaging and aerospace.


19 RAYGEN RESOURCES PTY LTD

 

TYPE: NOT LISTED

CEO: Robert Cart

INNOVATION RATIO: 0.74

RayGen’s power generation method involves an ultra high efficiency array of photovoltaic cells, which receive focused solar energy from heliostats (mirrors) that track the sun, resulting in high performance at low cost. In December 2014, RayGen and the University of New South Wales (UNSW) collaborated to produce the highest ever efficiency for the conversion of sunlight into electricity. The independently verified result of 40.4% efficiency for the advanced system is a game changer, now rivalling the performance of conventional fossil power generation.

Robert Cart_intext
CEO of RayGen Resources, Robert Cart

BIG 3 – CSL LTD

 

TYPE: LISTED

MARKET VALUE: $44.93 billion

CEO/MD: Paul Perreault

INNOVATION RATIO: 0.05

REVENUE: US$5.6 million

CSL is Australia’s largest biotechnology company, employing over 14,000 people across 30 countries. The company began in 1916, when the Commonwealth Serum Laboratories was founded in Melbourne. It was incorporated in 1991, and listed on the ASX in 1994. Since that time, CSL has acquired established plasma protein maker CSL Behring, and Novartis’ influenza vaccine business, and has become a global leader in the research, manufacture and marketing of biotherapies.


20 CARNEGIE WAVE ENERGY LTD

 

TYPE: LISTED

MARKET VALUE: $88.38 million

MD: Dr Michael Ottaviano

INNOVATION RATIO: 0.21

REVENUE: $1.72 million

Carnegie Wave Energy’s CETO technology converts ocean swell into zero-emission renewable power and desalinated freshwater. Ten years of research at test sites off the coast of Western Australia, along with over $100 million in local and foreign investment, has helped grow the company’s global profile.

A recent £2 million grant from the Scottish government boosted stock prices.


21 DYESOL LTD

 

TYPE: LISTED

MD: Richard Caldwell

MARKET VALUE: $110.13 million

INNOVATION RATIO: 0.12

REVENUE: $1.44 million

Dyesol Limited (ASX: DYE) is a renewable energy supplier and leader in Perovskite Solar Cell (PSC) technology – 3rd Generation photovoltaic technology. The company’s vision is to create a viable low-cost source of electricity with the potential to disrupt the global energy supply chain and energy balance.

MD of Dyesol, Richard Caldwell
MD of Dyesol, Richard Caldwell

22 EVOGENIX LTD

 

TYPE: NOT LISTED

SOLD FOR: $207 million

INNOVATION RATIO: 0.11

EvoGenix began as a startup in 2001 to commercialise EvoGene™, a powerful method of improving proteins, developed by the CSIRO and the CRC for Diagnostics. It acquired US company Absalus Inc in 2005, then merged with Australian biotechnology company Peptech in 2007, to form Arana Therapeutics. In 2009, Cephalon Inc bought the company for $207 million.


23 MURADEL PTY LTD

 

TYPE: NOT LISTED

CEO/MD: David Lewis

REVENUE: $4.18 million

With a vision to create sustainable energy through renewable biofuels, Muradel is a joint venture between the University of Adelaide, Murdoch University and SQC Pty Ltd. Their $10.7 million Demonstration Plant converts algae and biosolids into green crude oil. Muradel has plans for upgrades to enable the sustainable production of up to 125,000 L of crude oil, and to construct a commercial plant capable of supplying over 50 megalitres of biocrude from renewable feedstocks.


24 iCETANA

 

TYPE: NOT LISTED

CEO: Gary Pennefather

INNOVATION RATIO: 0.05

iCetana’s ‘iMotionFocus’ technology employs machine learning to determine what is the ‘normal’ activity viewed by each camera in a surveillance system and alerts operators when ‘abnormal’ events occur. This enables fewer operators to monitor more cameras with greater efficiency.


25 PHYLOGICA LTD

 

TYPE: LISTED

MARKET VALUE: $33.82 million

CEO: Dr Richard Hopkins

INNOVATION RATIO: 0.09

Phylogica is a drug discovery service, and the owner of Phylomer® Libraries, the largest and most structurally diverse suite of natural peptides. It has worked with some of the world’s largest drug companies, including Pfizer and Roche, to uncover drug candidates.


The Top 25 Science Meets Business R&D spin-off companies was written by Refraction Media in consultation with universities, industry and funding bodies, and supported by data from Thomson Reuters.

The research compiled by Refraction was judged by a panel comprising of: Dr Peter Riddles, biotechnology expert and director on many start-up enterprises; Dr Anna Lavelle, CEO and Executive Director of AusBiotech; and Tony Peacock, Chief Executive of the Cooperative Research Centres Association. The panel considered the following: total market value, annual turnover, patents awarded and cited, funding and investment, growth year-on-year, social value, overseas expansion and major partnerships.

Leading the revolution

Cochlear implants have become synonymous with Australia’s innovation history. Inventor and surgeon Professor Graeme Clark put the first implant into patient Rod Saunders in 1978. Since then, Cochlear – the company that commercialised the cochlear implant – has been developing hearing products that improve the lives of hundreds of thousands of children and adults worldwide.

Today, Cochlear maintains its market competitiveness with aggressive R&D, research arrangements with 100 universities, and a strong leadership team. CRC partners have also helped maintain Cochlear’s position as world leader in implantable technology. For example, the Contour Advance Electrode array is now fitted to more cochlear implant patients worldwide than any other electrode design in the history of the field.

In return, the CRCs have gained access to a world-leading industry partner, and have helped contribute a value to Cochlear of approximately $120 million.

Cochlear’s Contour Advance Electrode is fitted to patients around the world.
Cochlear’s Contour Advance Electrode is fitted to patients around the world.

In April 2013, the CRC and Cochlear relationship entered a new era: the Australian Hearing Hub (AHH) at Macquarie University officially opened with an inaugural symposium managed by the HEARing CRC. The AHH
will provide the CRC with a Sydney base, as well as access to new facilities, including the world’s only magnetoencephalographic imager (MEG) that can be used with cochlear implant users to explore hearing centres in the brain, and how they adapt to cochlear implant hearing sensations. They have also developed a new 3D, real-world acoustic test environment.

“The potential impact for hearing health from this innovation worldwide is enormous.”

“This is a sensational example of what can be done through partnership,” says Associate Professor Jim Patrick, Chief Scientist at Cochlear Limited.


FAST FORWARD

Name: Cochlear Limited

HQ: Sydney

R&D: $500 million in 5 years (to 2014)

Reach: Africa, Europe, USA, Middle East, Asia-Pacific as of 2012

At a glance: Listed in 1995, Cochlear Limited is one of Australia’s most celebrated advanced manufacturing success stories. It employs 2700 people in 25 countries with manufacturing sites in Sydney, Sweden, Belgium and the US.

– Paul Hendy