Robotics PA

8/8/2019 Robotics PA

1/56

Robotics and the Pennsylvania

Economy


2/56

Vertical Integration

Andrew Carnegie coined the term, in the late 1800s, to

describe the structure of his company, U.S. Steel, which

owned its entire steel supply and distribution chain.


3/56

Andrew Carnegie and US Steel established a

paradigm for the 20th Century.

I


4/56

Vertical integration was typified by a single firm engagedin different parts the production process, acquiring rawmaterials, manufacturing, marketing new products,transportation and sales of finished goods.

Horizontal Integration was the consolidation of many

competitive firms, engaged in the same part of theproduction process, into one company.


5/56

Horizontally and vertically integrated companies were ableto gain competitive advantages in a single market orindustry.

Companies became self-sufficient castles, protectingtheir products and intellectual property, with littleincentive for communication or interaction outsidecorporate boundaries.


6/56

US Steel focused heavily on developing talent internally,

from the bottom up, rather than importing it from other

companies.

Later on, Andrew Carnegie even established an exceptional

institute of higher learning to teach the steel making

processes to the next generation.

Carnegie Technical Institute, 1912


7/56

Carnegie Technical Institute served as a center of industrial

and scientific education in southwestern Pennsylvania.

Begun in 1900, and renamed with degree granting status in

1912, Carnegie Tech merged with the Mellon Institute in 1967

to form Carnegie Mellon University (CMU.)


8/56

At the beginning of the 20th century most universities andgovernment agencies were not involved in commercial

applications of science.

Vertically and horizontally integrated companies invested in

R&D departments to control product development cyclesinside their companies.


9/56


10/56

For most of the 20th century the paradigm worked andworked well. One has only to think of the Thomas Edisonand Bell laboratories.

At its peak, Bell Laboratories was the premier facility of itskind, developing a wide range of revolutionary technologies,including radio astronomy, the transistor, the laser,

information theory, the Unix operating system and the Cprogramming language.


11/56

Closed Innovation: new business development

processes and the marketing of new products are

isolated and take place within a firms boundaries.


12/56

In 21st century, a number of factors have combined to erodethe underpinnings of Closed Innovation

Information flows cheaply and instantaneously over theInternet, corporate isolationism and the bunker mentality cutspeople off from new ideas, stifling innovation.

Smart people are widely dispersed but more closelyconnected than ever before. Ideas bubble up in organizationsof all kinds and sizes, not just in large research labs.


13/56

In the 21st century we are seeing a dramatic rise in the

number and mobility of knowledge workers, which makes itincreasingly difficult for companies to control their

proprietary ideas and expertise.

Knowledge workers are ever more mobile, willing to jump

ship and take their ideas and talent to whatever firm willdevelop them.


14/56

Another important factor in the erosion of Closed Innovation is

the growing availability of private venture capital.

It helps to finance new firms and their efforts to commercializeideas that have spilled outside the silos of corporate researchlabs.


15/56

Open Innovation is a trend that is reshaping how

organizations structure innovation processes.

An accelerating shift in managing human capital is underway,from closed innovation, in which R&D is vertically integrated

within a single organization


16/56

to an open model, in which firms learn to use ideaswherever they find them.

A flexible business model is emerging that is open to abroad spectrum of arrangements. Company insiders are

contributing to external projects and outside innovatorsare able to influence internal product development cycles.


17/56

In his landmark book, Open Innovation, Henry Chesbrough

demonstrates that because useful knowledge is no longer

concentrated in a few large organizations, business leadersmust adopt a new, "open" model of innovation.

Henry Chesbrough (University of Berkeley,

Haas Business School)


18/56

Open Innovation describes a new paradigm for the

management of industrial innovation in the 21st century.

Companies are rethinking the ways in which they

generate ideas and bring them to market, harnessingexternal ideas while leveraging their in-house R&D

outside their current operations.


19/56

"...Companies can no longer keep their own innovationssecret unto themselves.

... the key to success is creating, in effect, an open platformaround your innovations so your customers, your employeesand even your competitors can build upon it, because onlyby that building will you create an ongoing, evolvingcommunity of users, doers and creators."

Open Innovation, Henry Chesbrough


20/56

Open Innovation, combines internal and external ideas

as well as internal and external paths to market to

advance the development of new technologies, like

biomedical engineering, nanotechnology and robotics.


21/56

Robotics is a 100 billion dollar industry that consists of next-generation, intelligent, some times mobile devices, vehicles,and machines.

The robotics industry and its rapid technological evolutionhas become a leading indicator of a regional economy'sability to change.


22/56

How does the promotion of robotics in the European Union(EU) and the robotdalen (robot valley) in Central Sweden

compare with the US and the Robotics Corridor in

southwestern Pennsylvania?


23/56

In the robotdalen companies collaborate with the academic

and public institutions to secure Central Sweden in its

position as a world leader in the manufacturing, research and

development of robot-based automation.


24/56

The EU uses industry clusters to foster regional development,

creating regional brand names for the clusters.

The concept of a territorial branding is not a mere marketing

wrapper, but a value-added proposal that changes perceptions

and preferences and drives investments in the EU community.


25/56

The EU finances needs-driven research and helps develop

open innovation systems, based on the interactions

between academia, business and the public sector, the

Triple Helix.


26/56

The Triple Helix is a model for understanding and guiding

interactions in university, industry and government relations.

The linkages implied by this approach are at three levels,

between firms, between firms and organizations and between

organizations.


27/56

In the 20th century, each actor had its own tasks:

Universities produced science.

Industries applied research and manufactured.

Governments secured a stable framework for interaction

and exchange.


28/56

The Triple Helix approach evolved from a moreconservative co-operation model (often discouraging

innovation) to an open model supporting would-be

innovators.

Open Innovation in regional industry clusters leads tointeractions that support invention, creativity andexperimentation.


29/56

Research that leads to radical new innovations is especially

important for long-term growth.

Engaging industry, academia and the public sector in co-

financed investments in order to increase their impact and

share risk is important for achieving this.


30/56

Geographical proximity between different players createscompetitive advantages in terms of co-operation, learning,access to know-how and expertise.

Although information flows instantaneously, knowledge islocalized in a region and rooted both in the local labor forceand in local institutions and organizations.


31/56

In a rapidly changing economy, rsums alone dont reflect

potential and college degrees are not a proxy for technicalskills or competency. Hiring and retention of employees isoften based on skills, abilities and competence.

This perspective, with its focus on localized knowledge, has,in light of the Silicon Valley phenomenon, resurfaced

strongly among industrial and regional economists over thelast few decades.


32/56

Economists and Industrial Engineers have noticed that TripleHelix collaboration leads to upgrading education:

Companies help develop and fund customized degreeprograms.

Academics get retrained, leading to curriculum developmentthat begins to meet the needs of industry.

A new emphasis on moving the workforce up the ladder ratherthan simply graduating more students begins to take hold.

University to industry linkages are strengthened as education

focuses on local needs.


33/56

Regions that realize this and that have a capacity forrenewal can radically develop their competitiveadvantages.

However, this also requires that companies, researchers,and the public sector work actively towards realizing jointstrategic ideas.


34/56

The robotdalen in Sweden is an example of an EUinvestment in an industry cluster and strategic

branding.


35/56

Within the Central Swedish geographic valley, business,

academies, municipalities and public players work together

to lead robot development and have established the

reputation of the region in robotic education, research and

development.


36/56

Participation in innovative projects and support for ideas

leads to the commercialization of products and services,

robotdalen has, in just a short time, become an globally

recognized innovator in robotics, especially healthcare

robotics.


37/56

Bestic, the eating aid, a Swedish firms table top robotic

arm with a spoon as the end effector.

Giraff, a remote controlled robot with a camera and display

that enables nursing staff and relatives to quickly andeasily come in contact with a patient or family member.

Bestic Giraff


38/56

Like ther

obotdalen in Sweden, the Robotics Corr

idor

insouthwestern Pennsylvania, has the possibility of being

shaped into a coherent and easily identifiable platform for a

regional innovation system and a regional brand name.


39/56

A regional innovation system extends the cohesive and

systematic approach to Open Innovation from the shop

floor production system to the institutional system of a

territory.


40/56

A single regional innovation system is necessary for regional

place strategy to work.

A partnership between the territory and the local government,

academic and entrepreneurial forces, is a must for any

territorial branding strategy.

Welcome to Pittsburgh.


41/56

Creating a culture for modern, effective and rationalpromotion of a territory as an industry attractor andinvestment destination begins with the requirements of

communication, based on the identity and the existing valuesof the region.


42/56

A regional innovation system generates a collective

learning process, the rapid diffusion of knowledge and

best practices. This leads to better communication.


43/56

The first law of communication is,

You can not Not communicate!


44/56

But it helps to communicate with one voice!

Pittsburgh is robot country.Growing out of its industry roots, Pittsburgh is now the SiliconValley of droid design.

Wall Street Journal dubbed the city "Roboburgh."

Robot City

Agile Robotics Industry Partnership

Agile Robotics Alliance

Roboville

NationalRobotics

EngineeringConsortium


45/56

An untapped goldmine of

knowledge and innovation

$48.8 billion is invested every year in U.S. university researchwith very few spinoffs and less than $2 billion in licenserevenue.

European university investment is much lower than the U.S.,but generates three times as many startups.


46/56

Common Problems with Commercialization

Academics have brilliant ideas, but often lack the businesssense necessary to bring them to market. Universitytechnology is often half-baked, proof of concept is notfunded.

The institution of commercialization is an incomplete system,the legal and financial conditions for technology transfer may

be in place, but industry links, corporate development,marketing, and sales are missing.

Academics want to disseminate knowledge and publishpapers rather than encourage its use.What comes first,graduating more students or commercialization?


47/56

Foster entrepreneurship at its source, the workforce.

Focus on moving the workforce up the ladder rather thangraduating more students.

Make our investments in research more effective andcommercialize university research.

Understand globalization and create new businessmodels which leverage innovation.

Solutions


48/56

A university's contribution to regional strategy works best

when the university understands what is happening in the

regional economy and what they have to offer to change it.

Even when robotics technologies were relatively primitive,

their potential role in boosting the productivity and

competitiveness of the United States was foreseen by CMU.

The Gates Center and Hillman Center

forFuture-Generation Technologiesat CMU


49/56

The Robotics Institute at CMU was established in 1979 toconduct basic and applied research in robotics technologies

relevant to industrial and societal tasks.

In 1994, Red Whittaker and other CMU scientists agreed that

mobile robotics technology had matured sufficiently to enablecommercial applications in markets such as agriculture,

construction, mining and electric/gas utilities.


50/56

The National Robotics Engineering Consortium (NREC) opened

on July 29, 1996. At NREC, theoretical concepts and laboratorytechnologies are converted into functional, reliable and cost-

effective robotics systems.

Today, NREC thrives as home to more than 100 of the worlds

leading robotics experts conducting applied research anddevelopment on more than two dozen innovative projects,

many of which have been licensed for commercialization and

are being deployed successfully in real-world applications.


51/56

The Robotics Corridor Project involves two dozen industry

partners who have joined with CMU and other Pittsburgh area

universities and community colleges to create an associate

degree program that will train technicians to build and maintain

robots and other automated systems.


52/56

CMUs Collaborative Machining Center is a new type of

student-oriented machine shop, a place for translating ideas

into reality and connecting students to the global economy

through collaborative projects with industry partners.

The center is tailored toward student participation. The workspace is equipped with manual and CNC machine tools,

metrology tools, six-axis industrial robots and rapid

prototype machines.


53/56

Faculty, students and industry partners work together in the

Collaborative Machining Center on real problems.

Student teams work with engineer mentors, to solve

problems posed by joint projects. The goal of the center is to

foster in students the ability to solve systems engineeringproblems independently.


54/56

Collaboration with industrial partners provides students with

real-world experience and practical skills. The relationships

formed in the process help retain students in the region after

graduation.


55/56

The Robotics Industry Partnership in southwesternPennsylvania is a regional organizing effort initiated by theCMU Collaborative Machining Center and PennsylvaniaWorkforce Development.

Its mission is to unify the diverse robotics efforts insouthwestern Pennsylvania into one system and speak withone voice.

Industry Partnerships

in Pennsylvania


56/56

Summary

Establishing southwestern PA as a center of excellence inrobotics requires a transition to an Open Innovation model ofdevelopment.

Strengthening the links between education and industry is keyto making the transition to a sustainable model in the 21st

century economy.

In order to compete in the global economy, the region needs aglobally recognized territorial brand name, like the RoboticsCorridor. To do that, the players must work inside of onesystem and speak with one voice, hence the need for aRobotics Industry Partnership.

We can compete on American strengths. In other words, letsdo what we do better.

Documents

Robotics PA