1/31/2011
Massachusetts’
Medical Device Ecosystem
Steven Tello, Ed. D.
Assist. Professor, UMass Lowell
Assoc. Director, M2D2
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Pharmaceuticals
Biotechnology
Medical Devices
Wholesale Trade
Medical Testing Laboratories
Teaching Hospitals
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Empl.
59,000
62,500
58,500
57,200
Year
2009
2008
2007
2003
1/31/2011
Range of Jobs Created
BASIC
RESEARCH
APPLIED
RESEARCH
SCIENCE
SCIENCE &
ENGINEERING
Ph.D Biology,
Chemistry,
BS, MS
Research Assts.
PROTOTYPE &
DEVELOPMENT
ENGINEERING,
REGULATORY &
BUSINESS
PhD Researchers
COMMERCIALIZATION
BUSINESS
Marketing
Engineers
MD, Clinical
Researchers
Medical Affairs
NPD/ Operations
Specialist
Brand Managers
Regulatory
Manufacturing
QA/QC
Sales
Research Assts.
Lab Technicians
Statisticians
Clinical Lab
Technicians
Technicians
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• Concentration of World-Premiere Medical
& Research Institutions
• Engaged Software, VC, Trade Councils
• Established and Startup Life Science
Companies
• Business Services to support Company
Establishment and Growth
R&D as Percent of GDP
Mass. & International
• Leading Technology State in R&D
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Private Investment in
Life Sciences (pre-2008)
Licensing Revenue
• MTTC/JAII Index of MA Innovation Economy
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Comparisons
Massachusetts
Ireland
Population
6.6 M
4.2 M
Area
21.5 km2 (8.3 miles2)
70.2 km2 (32.6 miles2)
GDP
$365 billion
(3.2% 2008)
$228 billion
(-3.5% 2008)
Med. Device Comp.
250
160
Employment
59,000
24,000
Exports
$7.2 B
€6.8
Research on
Medical Device Entrepreneurs
• Role Confusion among Inventor/Entrepreneurs
(M2D2 Experience)
– 75% Medical Professionals
May not want to start a business!
– 25% “Idea Guy”
May not know market or science
– Limited Knowledge of Commercialization Process
1/31/2011
Research on
Medical Device Entrepreneurs
• Networks critical to Venture Development
– Help to educate Inventor/Entrepreneur about
Commercialization Process
– Participation in Network Activities increases
Legitimacy
– Legitimacy through Network Activities contributes
to additional Network Access and accompanying
resources
– Experienced/Serial Entrepreneurs better
understand how to leverage networks
Networks in Massachusetts
• M2D2
– Concept to Prototype, Resource Network
– Business, Clinical, Engineering Assistance
– Incubator
• Massachusetts Life Sciences Center
– Research Funding, Accelerator Funding
– Infrastructure Support, Summer Intern Program
• MassMEDIC
– MedTech Ignite
Mentoring by Experienced Med Tech Execs,
Education programs
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Networks in Massachusetts
• Mass. Technology Transfer Center
– Platform Presentation
– Entrepreneur/Inventor Training
– Revolving Grants Program
• Massachusetts Technology Collaborative
John Adams Innovation Institute
– Support Innovation activities across industry sectors
in Mass.
– IT/Wireless, Life Sciences, Medical Devices
• MVVF: Merrimack Valley Venture Forum
– Promote regular meetings among entrepreneurs,
inventors, funders and related support personnel
– Recent launched first business plan competition
Research on
Technology Transfer Officers
• Life Science TTO
(21 TTO, 11 Institutions)
– Rank Market Need and Competition in Market
as most important success factors
– Level of Innovation and Degree of Maturity
ranked as less important success factors
– Medical Need mentioned consistently as an overriding factor
– Years Experience positively related to value for
Inventor Involvement and Internal and External
Collaborators
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Research on
Technology Transfer Offices
Research on
Technology Transfer Offices
• Offices in 6 Research Hospitals
– Inconsistent in how TTO make decisions
about technology commercialization
– The beliefs and experiences of individual TTO
significantly influence decision-making
– Few common practices among institutions in
assessing Market Need, Competition in
Market
– 100% Focus on Licensing Arrangements
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Research Implications
• Medical Need may trump Market Need in the
pre-license phase.
• Bias toward Licensing may inhibit commercial
success by limiting other value options
• Individual experience influences TTO decision
making and Institutional Practice
• Opportunity to improve Institutional Knowledge
Management (and possibly ROI).
Questions
• Steven Tello, Ed. D.
University of Massachusetts Lowell
Steven_Tello@uml.edu
http://faculty.uml.edu/stello
1/31/2011
Resources
• Index of the Massachusetts Innovation Economy
2009, Mass. Technology Collaborative
http://www.masstech.org/institute2009/the_index_2009.html
• Irish Medical Device Association
http://www.imda.ie/
• MassBenchmarks
http://www.massbenchmarks.org/publications/issues/vol8i1/5.pdf
• Tello, S., Latham S. & Kijewski, V. 2010. “Individual Choice
or Institutional Practice: Which Guides the Technology Transfer
Decision Making Process?” Management Decision 48, 8, 12611281.
Resources
•
Tello, S., Latham S. & Kijewski, V. (In Press). “Assessing
Differences between Technology Transfer Officers and Institutions in
the Decision to Commercialize New Technologies," International
Journal of Technology Transfer and Commercialisation, Accepted
September 2009 (19 pp).
•
Tello S., Yang Y. & Latham S. “How Nascent Entrepreneurs
Leverage Networks and Resources in a University Incubator”,
Academy of Management Annual Meeting1, Montreal, Canada,
August 8-11, 2010