VTV Analysis - Socioeconomic Benefit-Investment Analysis of Technology Development Initiatives
Identifying the benefits and projecting the payback of industrial consortia
The Situation
A not-for-profit government funded organization, HereToHelpYou needed to assess
the benefits and positive impacts of the research and technology development
projects that it supported. They wished to examine and quantify both the
tangible and intangible benefits. The financial support was known to provide
benefits in terms of business development, as well as related benefits such
as job creation, the fostering of subsequent technology development through
spin-off opportunities, and the development of expertise both at the university
and in the workplace. Many of these intangible benefits were difficult to
quantify.
The Challenge
HereToHelpYou wished to have an assessment of the fundamental financial benefits
achieved through its programs. It was necessary to obtain unbiased third
party input that could demonstrate the benefit of supporting technology developments.
HereToHelpYou felt that such an analysis would assist in providing the justification
for continuation of its government support.
The Solution
The VTV Analysis (Vertex Intellectual Property Strategies Inc.'s
proprietary method for carrying out an economic benefit-investment evaluation
of technology development initiatives) was utilized by the Vertex project team
to assess one project that HereToHelpYou had helped fund.
The Result
The results of the study demonstrated the far reaching value of government
support for new technology development. The analysis indicated that the research
work generated a benefit-investment ratio of approximately 30; or in other
words, there was $30.00 of benefits for every $1.00 of funding provided.
This analysis provided HereToHelpYou with another means to demonstrate its
value to its funders.
