NCE program agrees to sweeping changes in response to international review

The Networks of Centres of Excellence (NCE) program has agreed to a reduction in the time a Network can receive funding from two seven-year terms to two five-year terms except in "special circumstances", in response a series of sweeping recommendations by an international advisory committee (IAC). Only Networks with a plan to transfer technology or knowledge to a specified user sector will be considered for a third five-year term — an attempt to get Network managers to implement "business planning and goal setting earlier in their life cycle".

The NCE program has also agreed to require new Networks to address the 13 sub-priority areas identified earlier this year by the Science, Technology and Innovation Council (STIC), which refined the four priority areas established in the 2007 S&T Strategy. New Networks must address one or more of the sub-priority areas and only one new Network will be permitted per major priority area.

The NCE program secretariat is implementing the new funding term structure with last week's call for new Network proposals. Up for grabs is $15 million a year which will allow for three or four new NCEs. The findings and recommendations of the IAC were largely reinforced by another evaluation conducted last year as part of regular NCE oversight by Circum Network Inc and RA Malatest & Associates Ltd. The idea for the new funding cycles were contained in a report by an international advisory committee which examined the NCE program last year.

"(The new time frame) means we can adapt the length of the cycles depending on the needs of the network," says Jean-Claude Gavrel, associate VP in charge of the NCE program secretariat. "The third funding cycle takes elements of the Business-Led NCE program in that it's receptor driven … They need higher level of involvement from receptors to pull the technology into its application area."

no mid-term reviews

Winners of the 2009 competition will also be the first NCEs that will not be subject to mid-term reviews which are being eliminated. Instead an analysis of a Network's activities and progress will be incorporated into its annual reporting requirements.

The decision to limit one new network to each of the government's four priority areas is in part a reaction to the hostile reception given to the first competition for the Centres of Excellence for Commercialization and Research (CECR) program. When the 11 winners did not include any networks in the area of information and communications technology (ICT) — one of the S&T Strategy's priority areas), a storm of criticism was unleashed (R$, March 27/08).

"The mandate of the NCE program should be extended to include investment in national (NCEs) with the specific objective of stimulating the development and adoption of internationally competitive, leading-edge research for the economic, social and environmental development of Canada … The NCE program should focus its resources in broader Canadian needs or problems and not be driven by discipline needs." — NCE International Advisory Committee

As a result, a new CECR competition was launched aimed primarily at ICT. The traditional network competition will also ensure that no one area is ignored.

"That was a lesson learned from the CECR competition. We should have anticipated that," says Gavrel.

The IAC report is highly supportive of the NCE program and argues that implementation of its 19 recommendations will assist Canada in accelerating the commercialization of research and increasing private sector R&D. The report sees the NCE program as a key component of the national innovation system, from refining and enhancing its training of highly skilled personnel to urging for the widespread adoption of industrial internships and boosting support for Business-led NCEs.

Gavrel says he is pleased with the conclusions of both reports as they recognize the increasingly diverse nature of NCE support for both academic research and industry needs and commercialization.

"Each NCE program targets a proven need. They offer different tools for different needs and are not just one unique model but three models," he says. "It has enabled the program to be chosen by government to deliver programs in support of innovation — not just R&D but innovation."

The NCE program has not responded to all of the reports' recommendations. Among those it is silent on are the IAC's call to dedicate 10-15% of all NCE budgets for knowledge and technology transfer. While NCEs already support these types of activities, the IAC report says it should be an "integral part of of their network management plan" and should also require matching funds.

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