PKF has the pleasure and privilege of inviting those interested to visit the Cambridge Innovation Center (CIC) Thought Leadership Centre in Rotterdam, The Netherlands. The Centre in Rotterdam will be the home for about 550 innovative companies and is built to synergise with CIC's international community of entrepreneurs, investors and established businesses.
CIC, which is based in Boston, USA, has recently expanded to Rotterdam. This city was chosen as an ideal location after research was carried out that earned it bonus points as a city situated in a very central location just an hour's flight south of Amsterdam, a mere 'footstep' away from the Belgium border and really close to other European hubs.
Innovation starts with smart people, wherever they may be: R&D departments at start-ups, businesses from small through to large, universities and research institutes - in a word, the innovators. These professionals often work together in national and international public-private alliances and there are various phases in innovation, from an initial idea to a new product or service that is poised for up-scaling.
It is a fact that the growth in radical innovations demands focus and input from a wide range of parties. The promoters of CIC are aware of the need for teamwork involving innovators, decision-makers, policy-makers and enablers - in short, an active innovation eco-system. Like Malta, the Dutch population is fluent in English and prides itself on being a melting pot of different cultures. The visit to Rotterdam begins in the week commencing 6 February and anyone interested in joining the official delegation can contact me at [email protected].
This initiative follows an event organised by PKF last year, supported by Finance Malta, at the Microsoft Innovation Centre, Skyparks Gudja. Blueprint for Innovation saw an expert line-up of speakers, including Gor Sargsyan, MD of Qbiticlogic International Atlanta USA, based in Silicon Valley; Stas Gayshan MD, CIC Boston US; Jeffrey Pullicino Orlando, MCST chairman; Joe Woods, MD, Creolabs; Netrefer CEO; Kenneth Farrugia, President of FinanceMalta; Ing. Joe Sammut, CEO of Life Sciences Park and top speakers from MCAST and the University, while Silvio Schembri, who is responsible for innovation at the Office of the Prime Minister, gave the opening speech.
Feedback was positive and all agreed that the island needs to do more to boost its contribution to R&D which, based as a percentage of GDP, is one of the lowest in the EU and in this context, in its 2018 budget the government has pledged to open the taps for more investment.
The good news is that last year both political parties promised in their election manifesto to increase investment in innovation, as a consequence of which PKF considers its efforts to attract a world-class organisation in this field are not a moment too soon. The aim of having a high calibre innovation and business accelerator centre will prove to be a true catalyst for anchoring existing research within the diverse manufacturing community and attracting new ones. This roadmap is an ambitious one as European governments are competing to attract international companies and start-ups particularly focused on fintech and blockchain technologies.
This brings us to why PKF is keen to attract investment in this regard. Two years ago, it pioneered a familiarisation trip to the Massachusetts Institute of Technology (MIT) in Boston, to explore links to promote Malta as a potential business accelerator and/or life sciences hub for innovators, inventors and entrepreneurs. This visit was held with the blessing and patronage of Economy and Start-ups Minister Chris Cardona. He offered the services of a technical representative from Malta Enterprise, based in New York, to join in the discussions - with each party responsible for its own expenses.
MIT is a private research university in Cambridge, Massachusetts, founded in 1861 in response to the increasing industrialisation of the United States. The uniqueness of MIT is its appetite for problem-solving, especially those intractable technical problems whose solutions make a tangible difference. It goes without saying that this impressive learning institution is the pride of the American intelligentsia, and other advanced countries - such as Singapore - have invested regularly in its development since the 1960s to share its overflowing chalice of innovation and cutting-edge research.
Another interesting landmark was the Boston-based Cambridge Innovation Center (CIC), which houses more than 1,000 companies in an impressive building that has 50,000 square metres of premium office and working space across eight facilities. Another six centres are located in St Louis, Missouri, Miami, The Netherlands, Poland and Australia.
A number of high-profile companies trace their origins to CIC, including HubSpot, which employs over 1,100 people and raised $125 million through its IPO, and Greatpoint Energy, which several years ago announced a $1.25 billion deal to build reactors in China. In addition, Android co-founder Rich Miner built his unique Google Android software, having established Google's New England headquarters there. CIC also has a non-profit sister, the Venture Cafe Foundation, which provides a forum for venture capitalists to scout and help fund new talent. After having toured CIC in Boston US, the PKF delegation were guests at the Venture Cafe.
Back in Malta, the government's own objective to create a Centre of Excellence is reinforced by Barts Medical school, AUM, MCAST, the University and other colleges acting in unison which will attract talent and be the birthplace of a nexus of superior minds in the Mediterranean area. This is a pipe-dream which, with some imagination and a degree of political foresight, can be re-engineered to house a group of talented graduates operating in a congenial atmosphere supported by venture capital. Only this way can we attract international business to exploit top-end R&D and, with support of the government, the private sector is encouraged to attract new talent - a particularly shy bird.
It is not an easy journey and many countries now, including Saudi Arabia, want to emulate the commercial success of Boston, New York and Silicon Valley. Even China is investing massively in the Pearl River delta town of Shenzhen to emulate the success of Silicon Valley. Can our country, albeit small and lacking indigenous materials, rise to the occasion and surf gloriously over the tide to seize this opportunity? Boldly embarking on this ambitious roadmap will shine a light to guide us along a shadowy tunnel at the end of which we can underpin GDP growth and improve our competitiveness level.
George Mangion is a senior partner of audit and consultancy firm PKF
Mr Mangion can be contacted at [email protected] or on +356 21493041