Scottish Government

Improve knowledge exchange from university research

DESCRIPTION:

This indicator is measured using the Scottish Funding Council's (SFC) Knowledge Transfer Metrics Return. This dataset records the income received by all SFC-funded Scottish Higher Education Institutions (HEIs) from knowledge exchange activities, designed as a means of allocating a grant for knowledge exchange.

The measurement of this National Indicator captures the Scottish Higher Education (HE) sector's income from a variety of knowledge exchange activities ranging from the commercialisation of new research to the delivery of professional training and consultancy services. In this respect, the indicator is a proxy measure of the quantity, but not the quality, of knowledge exchange activities undertaken by Scottish universities.

SOURCE:

The data used for the indicator are a weighted, inflation-adjusted index of the Scottish Funding Council's (SFC) Knowledge Transfer Metrics Return.

The Scottish Funding Council publishes the Knowledge Transfer Metrics Return data annually.

These metrics were developed by SFC and Universities Scotland and are collected from all SFC-funded Scottish HEIs by SFC annually. They have been used as a means of allocating a grant for knowledge exchange to universities, in effect rewarding them for the volume of income from their historic knowledge exchange activities. They record the actual income universities received the previous year under a number of categories (metrics) of knowledge exchange activities e.g. from licensing or consultancy. Due to the time-limited nature of many funding schemes, SFC frequently reviews and updates the KT metrics categories to reflect the changing importance in funding streams. From 2010-11, a new category, 'Translational Awards' was added to reflect new or relatively new funding sources that were of sufficient value to warrant recording separately.

The SFC's Knowledge Transfer Metrics Return data were adjusted to enable them to be used to measure progress on the National Indicator (see table below for metrics and weightings). The main adjustment made was to give a zero weighting to all publicly-funded activities to stimulate knowledge exchange, such outreach activities which attract income from European Structural Funds. This was to ensure any change in the index is not directly influenced by a change in public funding.

This left two categories of income. First, from activities which demonstrate actual knowledge exchange linkages between universities and businesses, such as licensing, consultancy and provision of continuing professional development, which were given a full weighting. Second, from external research grants from public bodies, which were given a medium weighting because they result from universities bidding against each other competitively to win contracts to exchange their knowledge with public sector bodies. Finally, the data were adjusted to strip out the effects of inflation and turned into an index with the base year set at 2007-08.

DEFINITIONS:

In this context, the phrase knowledge exchange is used to refer to the systems and processes by which Higher Education Institutions interact with private and public sector organisations to enable the wider use of the knowledge and expertise that they possess.

In this context, the term Higher Education Institutions refers to universities and colleges located in Scotland with academic degree awarding powers which are funded by the Scottish Funding Council.

BASELINE AND PAST TRENDS:

The baseline for this indicator is the 2007-08 data point.

It should be noted that Scotland’s Rural College is excluded from the data for all years. The Open University in Scotland is excluded from the data for the years prior to 2004/05.

Recorded knowledge exchange activity for Scottish HEI sector

CRITERIA FOR RECENT CHANGE ARROW:

Any difference within +/- 2.5 per cent of last year's figure suggests that the position is more likely to be maintaining than showing any change. An increase of 2.5 per cent or more suggests the position is improving; whereas a decrease of 2.5 per cent or more suggests the position is worsening.

For information on general methodological approach, please click here

FUTURE ISSUES OR REVIEWS:

The increase in the KE index over the year (2014/15 to 2015/16) was predominately driven by a substantial increase in income from venturing (up 112% over the year).

It should be noted that venturing data is particularly sensitive to the timing of when individual projects start and end – and fluctuations over time in income from venturing have highlighted the volatility of this component of the index. For example, income from venturing has increased from £9m to £19m between 2014/15 and 2015/16, and over the lifetime of the series (2002/03 to 2015/16) it has varied between £2m and £48m.

The fall in the KE index over the course of the previous year (2013/14 to 2014/15) was also predominately driven by a change in income from venturing – in that instance, a substantial decrease (down 80% over the year).

Additionally, it should be noted that there is potential for future changes to the Scottish Funding Council Knowledge Transfer Grant (KTG) metrics.                             The SFC have consulted on a revised metrics for the use of the Knowledge Transfer Grant (KTG) that more transparently supports the Scottish Government’s Government Economic Strategy than the model for KTG currently in use. SFC have advised continued reporting on core KTG metrics is problematic as SFC have publically stated that they no longer “consider them to be fit for purpose as proxies for economic or social impact arising from the activities of universities.” SFC have committed to collecting

ASSOCIATED TARGET:

No associated target.