Creativity - IDA Ireland

INNOVATION
IRELAND REVIEW
IN ASSOCIATION WITH
// ISSUE 2 SPRING/SUMMER 2011 //
ALIFEIN
SCIENCE
Luke O’Neill on Ireland’s
thriving life sciences sector
IRISHWOMAN
IN EUROPE
EC secretary general Catherine
Day on links that bind
Creativity
by
design
European Ambassador for Creativity and Innovation Damini Kumar

INNOVATION
IRELAND REVIEW
CONTENTS »
Welcome to the latest issue of Innovation Ireland
Review, where we feature some of Ireland’s leading
thinkers and innovators who are part of the drive
that will ensure our position as an Innovation nation.
I am delighted to say that foreign direct investment
continues to be a bright spot on our landscape
with many of the world’s leading companies
continuing to reinvest, and other world leaders
choosing Ireland as their European base for the
first time.
Today Ireland is home to eight of the top 10 US
ICT companies; nine of the top 10 pharmaceuticals
companies; 15 of the top 25 medical devices companies;
and eight of the top ‘Born on the Internet’
companies.
Thanks to all those leaders who have
contributed their time and shared with us their
valuable insights. The editorial team welcomes
all feedback and suggestions to
IIR@businessandleadership.com.
Barry O’Leary
Chief Executive
IDA Ireland
Issue 2, Spring/Summer 2011
IN ASSOCIATION WITH
24
THE IRISH MIND
COVER STORY 4
Award-winning designer and
European Ambassador for
Creativity and Innovation, Damini
Kumar, on the creative economy
IN BRIEF 8
Innovation, research and development
news from the island of Ireland
INDUSTRY FOCUS 14
We look at the thriving life
sciences sector in Ireland with Prof
Luke O’Neill of Trinity College Dublin
COMPETITIVE LANDSCAPE 20
As the World Competitiveness
Centre announces its 2011 World
Competitiveness Rankings, we discuss
the findings with Stephane Garelli
38
THE IRISH MIND 24
Irishwoman Catherine Day,
secretary general of the European
Commission, on Ireland’s place at
the heart of Europe
RESEARCH 28
We talk to Prof Roger Whatmore,
CEO of Tyndall National Institute
in Cork, Ireland’s largest research
institute
INTELLECTUAL PROPERTY 32
Intellectual property expert and
award-winning author Prof James
Boyle makes the case for untangling
the web for the benefit of science
FREEZEFRAME 36
Striking photographs from University
College Dublin’s annual Research
Images Competition
inside
SMART IRELAND 44
Dr Emmeline Hill’s company Equinome
has stolen a march with a product that
helps maximise the genetic potential of
thoroughbred horses
DIGITAL WORLD 48
John Kennedy asks if Ireland can
capture for itself a major share of the
booming cloud computing industry
Dr Frank Mullany’s R&D team at
Alcatel-Lucent in Dublin is spearheading
a radio technology to help bring
the internet to everyone on the planet
MANAGEMENT INNOVATION 56
Prof Oded Shenkar argues that imitation
can be combined with innovation
to create business growth
SUSTAINABILITY 60
Willfried Wienholt, VP of urban development
at Siemens, on setting road
maps for tomorrow’s sustainable cities
CULTURE AND THE ARTS 66
Imagine Ireland, a year-long
programme of Irish cultural events
in the US, may well have a lasting and
wide-ranging impact on connections
between the two countries, says
Culture Ireland’s CEO, Eugene Downes
INDIA IRELAND LINKS 72
A look at the developing relationship
between India and Ireland, and some
of the players involved
Editor: Ann O’Dea. Innovation Ireland Review is published on behalf of IDA Ireland by Business and Leadership Ltd;
Tel: +353 1 6251400; Email: IIR@businessandleadership.com; Address: Top Floor, Block 43B, Yeats Way, Park West Business
Park, Nangor Road, Dublin 12. © Business and Leadership Ltd 2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 3

» CREATIVE ECONOMY
Mother
of Invention
An award-winning designer and passionate educator,
DAMINI KUMAR was appointed European Ambassador
for Creativity and Innovation by the European Commission
in January 2009. She speaks to Sorcha Corcoran about the
priorities for a creative economy
4 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

CREATIVE ECONOMY »
‘It doesn’t matter
whether you’re
studying geography
or industrial
design; the
problem-solving
techniques are
the same’
AWARD-WINNING DESIGNER DAMINI KUMAR IS
EUROPEAN AMBASSADOR FOR CREATIVITY AND
INNOVATION, A PRESTIGIOUS ROLE TO WHICH SHE
WAS APPOINTED BY THE EU COMMISSION IN
JANUARY 2009, IN ORDER TO FOSTER THE PRINCI-
PLES AND VALUE OF INNOVATION AND CREATIVITY
AT ALL LEVELS OF EUROPEAN SOCIETY. An international
expert in design, creative thinking and innovation, Kumar
regularly advises organisations and government on these areas
that she believes are critical to the future of the economy.
One of the areas about which Kumar is most passionate is the
introduction of creative thinking tools and techniques into the
Irish education system, something she has already piloted at
National University of Ireland (NUI) Maynooth where she is
currently director of design and creativity.
“My aim is to take students from all the different disciplines
and roll out creative thinking tools and techniques modules. It
doesn’t matter whether you’re studying geography or industrial
design; the problem-solving techniques are the same.
“Rather than just training employees within organisations,
which I am already doing, I believe it is better to also bring creative
thinking into the education system so that young people
will have the skills needed in any profession to foster innovation.”
The NUI Maynooth pilot project last September involved
three different groups: business students, product design students
and a group from the education department.
“The courses weren’t directly related and the students
weren’t sure why they were there in the beginning. By the end
of the module they could see how they could use what they had
learned when teaching second-level students and also in their
personal lives.
“It involved a change of mindset and they felt inspired. People
tend to associate creativity with being artistic, but anyone
can start thinking creatively,” says Kumar, who is running a
pilot in mid-May, training staff in two departments in NUIM in
creative thinking tools and techniques.
“I am not attached to one academic department now [previously
she was linked to the industrial design department] and
want to foster creative thinking skills across the campus.
Broader than this, I want to try to work with other institutions
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 5

» CREATIVE ECONOMY
‘Brainstorming
ideasina
boardroom is
completely
pointless if the
goals or problems
aren’t clear.
Creative thinking
involves an actual
structure and an
end result’
so that it is rolled out in every
university and Institute of
Technology. It needs to be
done everywhere.”
CREATIVE THINKING
Kumar’s belief is that the general
rule when it comes to creative
thinking is that there is
no point to it unless a problem
is clearly defined or a goal is in
place first. Creativity is simply
about looking at problems and
trying to solve them, she says.
“Brainstorming ideas in a
company boardroom, for example,
is completely pointless
if the goals or problems aren’t
clear. Creative thinking involves
an actual structure and
an end result.”
Kumar is trained in leading
authority Dr Edward de
Bono’s creative thinking approach. One of the systems she
teaches is ‘Six Thinking Hats’, which has been used in the
Northern Ireland Peace Process, and by the US Supreme Court
when the jury is unable to come to a verdict.
With this system de Bono identifies states in which the brain
can be ‘sensitised’. In each of these states the brain will identify
and bring into conscious thought certain aspects of issues being
considered (ie gut instinct, pessimistic judgement, neutral
facts). Each state is assigned a colour, so for example when
you’re wearing your red hat this represents gut instinct and you
only deal with the problem being posed from that perspective.
Along with such luminaries as Ernö Rubik (inventor of the
Rubik’s cube) and French designer Philippe Starck, Kumar was
asked to become an EU Ambassador for Creativity and Innovation
along with 22 others in January 2009.
“The European Commission decided to call 2009 the Year of
Innovation and Creativity, in light of the economic crisis having
hit in 2008. The reason we were asked to be ambassadors was
to emphasise the importance of creativity and innovation to Europe’s
future and to foster creative capacity across Europe to
help it to achieve economic and social objectives. The EC
wanted to ensure it took a central role in all future policy-making,”
she explains.
THE EUROPEAN MANIFESTO
The ambassadors spent nine months writing a manifesto, which
they presented to President of the European Commission José
Manuel Barosso in October 2009. It was a two-page document
with seven priorities and seven action points listed for each, representing
the ambassadors’ universal views (see panel).
“President Barosso has been looking at the manifesto and a
lot of the new strategies implemented since have incorporated
it, such as the Europe 2020 strategy. Our points have been implemented
to a level, but not as much as we would have liked by
this stage. Creativity and innovation still need greater prominence.”
Focusing on Ireland, Kumar believes we have the capacity and
talent here but that even more could be done to foster innovation.
“We could learn from other countries like Finland, which has
a similar population and adopted innovation and creativity during
the previous recession. The Finns are doing well in this crisis
as a result, because they put in a strong infrastructure to
foster innovation, but with long-term objectives.
“In Ireland we need to be fostering ‘learning by doing’ in primary,
secondary and third-level education, rather than just
exams and parrot-fashion learning. Kids need to experiment,
test things and evaluate them. They need practical hands-on experience,
which is critical for creativity.”
SOLVING REAL PROBLEMS
At third and doctorate-level, Kumar believes it is vital that researchers
actually work on problems that need to be solved to
a greater degree, and that what should be avoided is research
for the sake of it.
“Industry needs to be brought in to a greater degree, and real
problems need to be solved as projects for university researchers
more and more. Europe has two huge, critical problems
approaching – one is the ageing population and the other
is that the economy needs to be greener. Unless we start addressing
those problems within research in a bigger way, we are
going to hit a crisis we won’t be able to cope with. The Government
needs to put more funding into research in these areas.”
As Kumar notes, the majority of our population is going to be
over 50 in 2030. “My field is project design. This trend means
that products need to be designed with these people in mind and
services need to be designed to cater more for older people. It
used to be the other way around – that product design was
mostly geared towards young people’s way of living. This will all
change.
“There are so many multinationals sitting here [in Ireland].
Imagine that instead of trying to do research themselves that
they worked with students in doing research on a much larger
scale. There are of course projects happening this way, but it
needs to be across the board. The more collaboration you have,
the more likely you are to solve a problem. In-house research
teams can become quite stagnant.”
AN INVENTOR’S JOURNEY
With a childhood desire to be an inventor, Kumar did a mechanical
engineering degree followed by a master’s in engineering
and product design in the UK. This led to her first
product invention – the world’s first non-drip teapot. She says
she simply knew it was a problem that had never been solved.
“I thought I’d give it a shot. I found a ceramics maker in London
and spent the summer with him making prototypes of
teapots and testing them using mathematical and scientific formulae
until I came up with the one that was fool-proof scientifically
but worked practically – the spout was shaped so that no
matter what way you poured it wouldn’t drip or spill,” she says.
Kumar filed for a patent and found herself in the media spotlight
as the awards flowed in, appearing on the BBC, Sky News
and the Discovery Channel, as well as making newspaper head-
6 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

CREATIVE ECONOMY »
lines. “It is still the only worldwide patent for a non-drip spout,”
she says proudly.
After this period, Kumar worked in industry for a few years
for companies such as Habitat and went on to organise the
BBC’s Tomorrow’s World Roadshow, taking the exhibition
across the UK to 100,000 children.
She was headhunted to work for MediaLab Europe in Ireland
in 2004, where she worked until the operation shut down after
12 months. The Higher Education Authority offered her a scholarship
to do a second master’s in University College Dublin and
she has made Ireland her home ever since.
“If Ireland is to achieve its goal to be a creative economy, I’d
like to see long-term objectives being set now,” says Kumar. “I
don’t believe in quick fixes. As well as changing the education
system, we need to create an infrastructure that helps businesses
to survive and up-skill in the creative skills they need in
order to create economic growth.”
Kumar will clearly continue to be a key player in this
transformation.
EUROPEAN AMBASSADORS FOR
CREATIVITY AND INNOVATION
MANIFESTO – THE PRIORITIES
1. Nurture creativity in a lifelong learning process
where theory and practice go hand in hand.
2. Make schools and universities places where
students and teachers engage in creative thinking
and learning by doing.
3. Transform workplaces into learning sites.
4. Promote a strong, independent and diverse
cultural sector that can sustain intercultural
dialogue.
5. Promote scientific research to understand the
world, improve people’s lives and stimulate
innovation.
6. Promote design processes, thinking and tools,
understanding the needs, emotions, aspirations
and abilities of users.
7. Support business innovation that contributes to
prosperity and sustainability.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 7

» IN BRIEF
In brief
NDPTOUPATHLONE
EMPLOYMENT BASE
TO 100
Consumer and retail tracking
market research company NDP
Group has officially opened its
new Global IT/Operations Centre
in Athlone, where it established
a pilot effort in early 2010.
Employment at the facility is
projected to grow from its current
20 to 100 people over the next
three years. The new jobs will be
in the areas of data classification,
data analytics, quality assurance
and software development.
The centre is part of the company’s
overall plan for introducing
a new state-of-the-art data management
system.
“Athlone was our preferred location
for several reasons, but
none more important than a deep
talent pool of well-educated and
multilingual people,” said Tod
Johnson, chairman and CEO of
NPD Group. “The presence of
Athlone Institute of Technology
was also a factor in our decision.”
Frank Conlon, IDA Ireland; Tod Johnson,
NPD; John Perry TD; Mary Buckley, IDA
Ireland; and Dermot Ainsworth, NPD
IRELAND THE BEST
PLACE IN WORLD FOR US
MULTINATIONALS TO DO
BUSINESS
Ireland’s offering to US multinationals
remains one of strongest in the
world, a report by law firm Matheson
Ormsby Prentice has revealed.
The MOP FDI Index surveyed 250
top Irish-American business leaders in
the US, and according to US corporations
considering Ireland as a location
for FDI, the country’s competitive tax
regime (29pc), English speaking (21pc),
ease of access from North America
(18pc), government incentives (17pc),
and skilled workforce (17pc) are its most
attractive attributes.
When compared with other European,
Asian, Middle Eastern and
African countries, Ireland scored best
for corporate tax rates, corporate tax
regime, interest rates, government incentives,
physical infrastructure and IT
environment and access to a pool of
local skilled labour at appropriate
levels.
ACCENTURE
OPENS DUBLIN
ANALYTICS
CENTRE
The Accenture Analytics
Innovation Centre
(AAIC) has been
officially opened in
Dublin and is set to create
100 new highlyskilled
positions over the
next three years.
The centre will form part
of a wider Accenture global
network of nine innovation centres
dedicated to the demonstration,
research and development,
and delivery of predictive analytics.
Employing people with backgrounds
in statistical modelling
and management science, AAIC
will deliver compliance and fraud
related analytics solutions to
clients worldwide. It will also be a
global showcase for Accenture
analytical capabilities to clients
who will visit from around the
world.
“Thanks to the tireless efforts
of IDA Ireland, this country now
has a growing reputation as a
global hub for technology research
and innovation, with Accenture
being one of several
companies to recently choose Ireland
as an investment location,
ahead of other countries,” said
Mark Ryan, Accenture Ireland’s
country managing director.
8 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IN BRIEF »
EASYLINK OPENS
EUROPEAN SHARED
SERVICE CENTRE IN
CLONAKILTY
Messaging services and e-commerce
solutions provider EasyLink
is establishing a
European Shared Service Centre
in Clonakilty, Co Cork, with
the creation of 20 new professional
positions.
Having acquired Premiere
Global Services Inc’s messaging
services in 2010, EasyLink now
has over 30,000 customers on five
continents. The Clonakilty operation
will include its finance and accounting
team, along with the
existing team of 25 customer support
staff who formerly worked
for Premiere.
“The establishment of these operations
in Cork is as a result of
access to a highly-skilled workforce
and a strong reputation for
hosting business service operations,”
said Mark Herold, EasyLink’s
vice-president of human
resources.
Mark Ryan, country managing
director, Accenture Ireland; Richard
Bruton TD, Minister for Jobs; and
Barry O’Leary, CEO, IDA Ireland
FIFTY NEW JOBS AT HP’S
CLOUD SERVICES CENTRE
IN GALWAY
HP is adding a further 50 hi-tech, graduate
to senior engineering jobs at its
Cloud Services Centre in Ballybrit,
Galway. These jobs are in addition to
the 105 positions HP announced for the
same facility in December 2010.
The investment follows HP’s recent
successful recruitment drive.
“Ireland is poised to become a global
cloud centre of excellence due to our significant
software economy and combination
of talent and track record,” said
Barry O’Leary, CEO of IDA Ireland.
“The expansion of HP’s Cloud Services
Centre in Galway signifies the potential
for continued growth within the large
number of leading software companies
which have selected Ireland as their location
of choice for European data
operations.”
NEI SETS UP GALWAY
MANUFACTURING
FACILITY AND
TECHNOLOGY SUPPORT
CENTRE
US technology company NEI is to establish
a manufacturing facility and technology
support centre in Galway, which
is expected to create more than 50 new
positions.
The Galway operation will enable NEI,
which provides application platforms, deployment
solutions and lifecycle support
services for technology software developers
and OEMs worldwide, to more efficiently
meet global demand for its
products, deliver comprehensive global logistics
and offer technology support services
to customers serving markets abroad.
“The Ireland facility is part of NEI’s
growth strategy and expansion into Europe,”
said Greg Shortell, CEO of NEI. “Ireland
offers a great place from which to do
business with its ease of access to Europe,
an increasingly competitive environment
and a highly skilled and talented workforce.”
NEI’s Galway capabilities, services and
processes will be identical to and fully integrated
with those of its US-based facilities
located in Canton, Massachusetts and
Plano, Texas.
Fergus Gloster, managing
director EMEA, Marketo
CLOUD COMPUTING
COMPANY MARKETO
TO CREATE 125 JOBS
WITH ESTABLISHMENT
OF EUROPEAN HQ
IN DUBLIN
Marketo, one of the fastest
growing Silicon Valley cloud
computing companies, is to establish
its European headquarters
in Dublin.
A total of 125 jobs will be created
over the next three years and
the company has already started
recruiting for sales, marketing,
support, consulting and development
positions.
Marketo, which was founded in
2006 and has raised US$57m so
far, specialises in revenue performance
management, which combines
marketing automation with
sales to grow revenues utilising all
the latest customer interaction
points including social media.
“Marketo’s decision to locate its
European headquarters in Dublin
is excellent news for cloud computing
here,” said Barry O’Leary,
CEO of IDA Ireland. “Ireland is
fast building a reputation as a
leading location for cloud
computing activities.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 9

» IN BRIEF
FIVE RESEARCH
PROJECTS CHOSEN
FOR HIPA FUNDING
IRELAND IS SECOND
MOST GLOBALISED
ECONOMY
Melanie Hughes, chief human
resources officer, Gilt Groupe;
Dermot Clohessy, IDA executive director;
and Fidelma Healy, chief
operations officer, Gilt Groupe
GILT SETS UP
INTERNATIONAL
HQ IN DUBLIN
AND CUSTOMER
SUPPORT CENTRE
IN LIMERICK
Online shopping destination
Gilt Groupe has established
its international headquarters
and software development
centre in Dublin and is
set to open a customer support
centre in Limerick,
which is expected to be operational
by September.
The company, which offers
its 3.5 million members invitation-only
access to merchandise
and experiences at
insider prices, expects to create
between 100 and 200 jobs
in the next two years. Employment
is expected to be split
evenly between the two sites.
“As a rapidly growing company
we were attracted to Ireland
because of its
multilingual business and
technical skills base, the growing
digital media and e-commerce
cluster and the
pro-business operating environment,”
said Kevin Ryan,
founder and CEO of Gilt
Groupe. “We are excited about
our worldwide expansion and
growing product offering and
we are confident that our Irish
operation will be at the centre
of Gilt’s continued success.”
Five new research projects in the biomedical
sphere were launched recently
under the Healthcare Innovation Programme
Award (HIPA), funded by the
Johnson & Johnson Corporate Office of
Science and Technology (COSAT) and
Science Foundation Ireland (SFI).
HIPA is aimed at encouraging biomedical
exploration in immune-modulated inflammatory
diseases.
The five projects chosen for funding
are: Abhay Pandit, NUI Galway (Nanosphere
Mediated Delivery of Extracellular
SOD to the pulmonary epithelium in the
acutely injured lung); Cliona O’ Farrelly,
Trinity College Dublin (Soluble CD1d: a
novel regulator of iNKT cells and potential
immunotherapeutic agent); Justin
McCarthy, University College Cork (Evaluation
of selective gamma-secretase inhibitors
as novel modulators of IL-1β-and
TNFa - mediated inflammatory disease);
Rhodri Ceredig, NUI Galway (Feasibility
of automated whole blood screening to
evaluate novel immunomodulators extracted
from natural by-products); and
Ruaidhri Carmody, University College
Cork (TNFa and inflammatory bowel disease:
a role for Escherichia coli).
Ireland has moved ahead of Singapore
to become the second
most globalised economy in the
world, according to the Ernst
and Young Globalisation 2010
Index Rankings.
The Globalisation Index measures
and tracks the performance
of the world’s 60 largest
economies in relation to separate
indicators in five broad categories:
openness to trade; capital
movements; exchange of technology
and ideas; movement of
labour; and cultural integration.
“This is an excellent recognition
of Ireland’s strengths and it is particularly
encouraging to see that
we scored highest globally in exchange
of technology and ideas,”
said Barry O’Leary, CEO of IDA
Ireland.
“Ireland’s value proposition as a
leading location for foreign direct
investment (FDI) is based on our
reputation as a country that embraces
open innovation and the
survey result further enhances
this reputation.”
AVAYA OPENS CUSTOMER EXPERIENCE CENTRE
IN GALWAY
Global enterprise communications
systems, software and services company
Avaya recently launched its
Galway-based Customer Experience
Centre and announced plans to increase
its employee base there over
the next year.
The centre is a global R&D facility
offering customers direct access to developers
who can create customer-specific
environments showcasing Avaya’s
technology and allowing a view of future
technologies.
“The innovations Avaya is bringing
to communications are true game
changers, and will allow our customers
in Ireland and throughout the world to
change the conversations with their
own customers,” said Michael Bayer,
president, Avaya EMEA. “Our Galway
Customer Experience Centre is a
unique showcase facility in which customers
can see our collaboration solutions
in action and in an environment
that has been customised to reflect
their own business use cases and challenges.
“Avaya is aggressively expanding our
market reach in Europe, and the
growth in Galway via additional employees,
for which we’re currently recruiting
will help Avaya further expand
our customer base throughout
Europe.”
10 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IN BRIEF »
EMC EXPANDS RESEARCH AND
DEVELOPMENT PRESENCE IN CORK
EMC has expanded its cloud computing, big data and
data centre research programmes with the establishment
of EMC Research Europe, which is headquartered
in the company’s Centre of Excellence (COE) in
Ovens, Cork.
The new facility will advance the EMC Innovation Network,
a worldwide collaboration of advanced technology
researchers across EMC and its university research partners,
and strengthen the company’s longstanding commitment
to technology innovation and university research
and collaboration across the region. EMC’s anchor university
research partner in Ireland is University College
Cork.
“The collaborative nature of this announcement highlights
the strong relationships which exist between industry
and academia as part of Team Ireland,” said Barry
O’Leary, CEO of IDA Ireland.
Jim Murren, IDA manager western region; Minister
for State at the Department of Enterprise,
Jobs and Innovation, John Perry TD; Peter
O'Hara, Metal Improvement Company’s VP of
sales and marketing for Europe and Asia; and
Ben Hayes, regional sales manager for UK and
Ireland for Metal Improvement Company
PAYPAL CREATING 150
NEW JOBS IN DUBLIN
Online payments provider PayPal
is creating 150 new jobs at its European
operations and customer
service headquarters in Blanchardstown,
Dublin.
These new roles, which are in addition
to over 200 already announced in
the last two years, will support the
company’s growing European business,
which achieved US$1bn in revenues
for the first time in 2010.
“PayPal’s continuing success story
means that we need to expand our excellent
team in Dublin for the fourth
time in the last two years,” said
Louise Phelan, senior director for
global customer services and EU
merchant services, PayPal European
operations.
PayPal’s European operation centre
opened in Dublin in 2003. Since then
staff numbers have increased from
just 25 to more than 1,200 today. In
2009, the company invested €15m in
the establishment of a European Centre
of Excellence in Blanchardstown,
with the support of IDA Ireland. The
Dublin centre manages all direct customer
contact for PayPal’s businesses
across Europe.
LINKEDIN
ANNOUNCES 100
ADDITIONAL JOBS
IN DUBLIN
Online professional network
LinkedIn recently marked its
first year in Ireland with the announcement
that it would be
creating 100 new jobs during its
second year here.
“LinkedIn has continued to expand
since we opened our international
headquarters in Dublin
in March 2010, working closely
with IDA Ireland,” said Connie
Gibney, international human resources
director at LinkedIn.
“Since then, we’ve added more
than 70 people to our team here
and 40 million additional members
worldwide.
“Ireland is increasingly one of
the world’s centres of talented
people with international language
skills and experience in
working for fast growing internet
companies,” she added. “This
makes it the ideal place from
which to support our continuing
growth in Europe and further
abroad.”
GALWAY FACILITY
FOR METAL
IMPROVEMENT
COMPANY
Metal Improvement Company
(MIC), a provider of
advanced surface treatments
and technologies,
has opened a new high
technology coating facilityinGalway.
The company will initially
create 20 technical
manufacturing jobs, with a
further 20 to 30 jobs
planned by 2015.
The new operating facility
in Galway will specialise
in the application of Parylene
PVD coatings typically
used in the medical device,
electronics and aerospace
market.
Barry O’Leary, CEO, IDA
Ireland, said the company
will greatly add to the medical
device infrastructure
already operating from Ireland
by offering a very specialised
and technically
advanced service to the
EMEA market.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 11

» IN BRIEF
AMGEN TO BUY
PFIZER’S DUN
LAOGHAIRE
MANUFACTURING
FACILITY
Amgen has signed an agreement
to purchase Pfizer’s manufacturing
facility in Dun Laoghaire, Co
Dublin. The transaction is expected
to close in the second
quarter of this year.
The Pfizer facility is a 37,000 sq
metre aseptic operations facility
with freeze dry product and liquid
vial filling operations. The transaction
anticipates that most of the
site’s employees, approximately
240, will transfer their employment
to Amgen. Around 40 people will
remain employed by Pfizer.
“As we expand internationally,
the Dublin site will help us deliver
a growing supply of Amgen medicines
for patients worldwide,” said
Madhu Balachandran, senior vicepresident,
Amgen Manufacturing.
“We are impressed with the technical
expertise and commitment to
excellence demonstrated by the
employees who work at the Dun
Laoghaire site and look forward to
welcoming them to Amgen’s global
manufacturing team.”
Under terms of the agreement,
Amgen will manufacture Pfizer’s
products at the facility for an interim
period. Pfizer will also lease
part of the facility on a temporary
basis. Amgen intends to develop
the capability to formulate and fill
its biological products at the site
and expand the manufacturing
capabilities there over time.
Anthony Schoofs
IRELAND RANKED
SECOND MOST
ATTRACTIVE COUNTRY
GLOBALLY FOR FDI
A recent report from National Irish
Bank and fDi Intelligence has ranked
Ireland as the second most attractive
country globally for foreign direct investment
(FDI).
The National Irish Bank/fDi Intelligence
Investment Performance Monitor
also reveals that the number of projects
into Ireland increased by 15pc in 2010,
with a corresponding increase in the rate
of job creation. The quality of jobs, meanwhile,
is high, with a relatively large proportion
involving R&D and headquarter
facilities.
The report also indicates that improving
global economic prospects should result
in continued FDI growth in 2011.
“This report provides further evidence
of Ireland’s attractiveness for FDI
and follows a strong performance in
2010, which saw increased inward investment
into Ireland during the year,”
said IDA Ireland CEO, Barry O’Leary.
“This momentum has continued into
2011, evidenced by recent announcements.
Ireland’s improving competitiveness,
allied with our talent base,
favourable corporate tax regime, ease of
doing business and strong track record
in winning global investments ensures
Ireland will continue to be one of the
most attractive countries in the world
for FDI.”
UCD RESEARCHER
WINS 2011 GLOBE
SUSTAINABILITY
AWARD
In recognition of his contribution
to sustainability research,
Anthony Schoofs, a PhD
researcher at CLARITY in UCD,
has been awarded the Globe
Sustainability Research Award
2011.
According to the awarding jury,
Schoofs’ research demonstrated
clear gains in all three dimensions
of sustainable development – economic,
social and environmental.
“The work is both original and
practical,” said jury chair Prof Munasinghe,
who shared the 2007
Nobel Prize for Peace as vice-chair
of the UN Intergovernmental Panel
on Climate Change. “I am especially
pleased that it is an excellent
application of the Sustainomics
framework, showing how individuals
and companies can and must
act now to make development
more sustainable.”
Schoofs’ winning project is part
of his PhD research which is focused
on appliance load monitoring
systems for commercial and office
buildings. His work has been implemented
and tested into multiple
pilot sites, ranging from hotels to
hospitals, and is in the process of
commercialisation.
ZENIMAX ONLINE STUDIOS TO OPEN EUROPEAN CUSTOMER SUPPORT CENTRE IN GALWAY
ZeniMax Online Studios has revealed
plans to open a customer
support centre in Galway. The new
facility will provide customer support
for players of the company’s
future massively multiplayer online
games (MMOG) and is expected
to result in the creation of hundreds
of jobs over the next few
years.
“Galway has world-class educational
facilities, is a beautiful place to
work and live, and offers a wide variety
of benefits for our employees,”
said Matt Firor, president of ZeniMax
Online Studios. “Our ability to provide
superior customer service for our
future products is firmly on track.”
12 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IN BRIEF »
VALEO TO INVEST €17M
IN EXPANSION OF TUAM
OPERATION
Automotive supplier Valeo is embarking
on a major expansion and RD&I
programme at its Valeo Vision Systems
(VVS) operation in Tuam, involving
an investment of €17m and the
creation up to 100 new high-skilled positions
over the next three years.
Through the R&D initiative Valeo intends
to develop the next generation of
new camera/vision systems and supporting
technologies for vehicle parking
and manoeuvring.
Valeo Vision Systems has already
built up a strong RD&I competency at
the plant and has developed close links
with NUIG with the establishment of
the Connacht Automotive Research
(CAR) Group in 2004.
The additional jobs will be recruited
across its manufacturing and RD&I operations.
The investment will involve
expansion of the plant (including the
lease of existing units on the Tuam
Business park), investment in advanced
technology, training and RD&I.
LIFE SCIENCES
COMPANY INVESTS
€4.6M IN ATHLONE
MANUFACTURING
OPERATION
American Medical Systems Holdings
(AMS), a leading supplier of medical
devices to treat urological and pelvic
health conditions, is to establish a
manufacturing operation in Athlone
with the creation of 50 new jobs and
plans for future expansion.
The new operation will involve an investment
of €4.6m, and is supported by
IDA Ireland.
“This is the first manufacturing operation
AMS has established outside of
the US,” said Thomas Rasmussen, vicepresident
of global operations and supply
chain, AMS. “The decision to locate
in Athlone was strongly based on the
cluster of leading life sciences companies
located here and the opportunity
to partner with such companies in the
processes carried out by AMS.”
FIDELITY INVESTMENTS ADDING 100 NEW
TECHNOLOGY JOBS IN DUBLIN AND GALWAY
Financial services provider Fidelity Investments is creating 100 highskilled
technology positions at its facilities in Galway and Dublin.
The new recruits are being brought in to focus on investment management
and corporate enterprise technology solutions for Fidelity’s global
operations. The initiative represents an investment of €11m by Fidelity
over three years.
Fidelity said the expansion is strategically important and will further
enhance its Irish operations.
“Ireland is a proven market in which Fidelity can continue to develop a
vital part of our global technology organisation,” said Julia Davenport,
senior vice-president of Fidelity Investments. “By expanding here, Fidelity
is making a strategic, long-term decision to invest in a region with a
well-educated, highly-skilled workforce from which we can draw the quality
talent needed to provide services across the firm.”
Ciara Fitzgerald with
Ashley Stevens,
immediate past
president of AUTM
NUI GALWAY STUDENT
AWARDED PRESTIGIOUS
INTERNATIONAL PRIZE
Ciara Fitzgerald, a doctoral fellow at
the Centre for Innovation and Structural
Change (CISC) at NUI Galway,
received second prize in the Association
of University Technology Managers
(AUTM) Graduate Student
Literature Review Prize at its annual
meeting in Las Vegas recently.
Fitzgerald’s research, which is funded
under the Programme for Research in
Third Level Institutions (PRTLI 4) as
part of the Irish Social Sciences Platform,
is focused on examining strategic
planning and formulation practices in
Irish Technology Transfer Office.
Her prize-winning paper focused on
‘Legitimacy, Mission and Management:
Key Challenges for Technology Transfer
Offices’.
The criteria for this global competition
include topic saliency to AUTM
members and adequate richness of
discussion for application to practice.
INTEL INVESTING
US$500M IN
UPGRADE OF
LEIXLIP PLANT
Intel is to spend US$500m
on an infrastructure project
at its Leixlip technology
campus, which will
create 850 construction
jobs. The technology upgrade
will allow Intel to
create 200 new high level
jobs.
“The fact that a global
leader such as Intel, which
has already invested close to
US$7bn in Ireland, has chosen
to invest a further
US$500m here is an enormous
vote of confidence and
endorsement of Ireland as a
competitive location for
global investment,” said IDA
Ireland CEO, Barry O’Leary.
“High end manufacturing
will continue as a key strategic
feature of Ireland’s economy,
and capital investment
of this scale with the associated
investment in training
and up-skilling is what will
truly transform the Irish
economy.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 13

» IINDUSTRY FOCUS
‘In certain areas we’re now
competitive internationally,
and immunology is the big
one that we’re involved in.
It is staggering what we have
achieved there’
14 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IINDUSTRY FOCUS »
FROM RELATIVELY HUMBLE remarkable scientific career, but as we
BEGINNINGS, THE LIFE SCIENCES speak it is clear that this ability to communicate
with ease and ‘translate’ com-
SECTOR TODAY ACCOUNTS FOR
SOME 50PC OF ALL EXPORTS plex subjects into plain English may well
FROM IRELAND, A FIGURE THAT be one of the keys to his remarkable success
in his field.
HAS BEEN GROWING BY SOME
6PC EVERY YEAR SINCE 2000. He believes the whole life sciences sector
in Ireland has transformed radically
LIFE SCIENCES EMPLOYS IN EX-
CESS OF 52,000 PEOPLE HERE. in the 20 years since he took up his post in
One of Ireland’s leading thinkers, Luke
O’Neill, professor of biochemistry at
Trinity College Dublin, has participated
in, and watched, the transformation in
the sector since the late Nineties. O’Neill
has won numerous awards for his pioneering
work on the molecular understanding
Trinity in 1993, moving back to Ireland
from Cambridge at just 26 years old, and
he clearly has great pride in having been
part of the revolution.
“We’ve made huge progress,” he says.
“I was appointed here in 1993 when Ireland
was a different country. When I told
of innate immunity and my boss in Cambridge I was moving here,
inflammatory diseases, and has gained
worldwide recognition for his contribution
to this field of research. He has
received, amongst many others, the
Dan Perry Award for Immunology from
McGill University, and has been named
a Distinguished Lecturer at Oxford
University.
O’Neill’s easygoing and approachable
he said: ‘Are you mad? That’s a backwater!
There’s nothing going on there’. And
it really was seen that way at the time.
There were no areas of science really that
were in any way known outside of Ireland,
with the exception of pockets like genetics,
which was strong here. It was the
usual story where most of our best scientists
emigrated to get experience on the
manner belies a sharp intellect and international stage.”
science
A life in
One of the world's foremost authorities in the
innate immune system, PROF LUKE O’NEILL
has seen a remarkable transformation in
Ireland’s life sciences sector over the past
20 years, as he tells Ann O’Dea
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 15

» IINDUSTRY FOCUS
‘This is a real coup
for Ireland, to be
awarded the honour
of hosting European
City of Science in
2012, which is a
hugely competitive
award process’
The first turning point was the 1996–
1998 period, according to O’Neill. He had
only foreseen himself staying in Ireland
for a few years, but then the tide turned,
thanks largely to European Union
grants.
“You have to raise money to fund the
research, and in those days there was no
money coming from the Government.
So, while accessing European money
was very bureaucratic and onerous, we
managed to obtain a few large grants,
and that made all the difference. I said to
myself, ‘hang on a minute, I’m going to
stay now because I can really make a go
of it here’.
With no shortage of international job
offers, O’Neill admits it was somewhat of
a gamble and, indeed, he did consider
leaving Ireland again in 1999. He had
gone to the US on a sabbatical to a large
company called Millenium, and it
wanted him to stay on.
“In the late Nineties it was the real
flash company in biotechnology, one of
the really prominent players.”
GAME CHANGER
After much soul-searching, O’Neill opted
to stay in Ireland, and then came the big
game changer, he says. “The big event, of
course, was the establishment of Science
Foundation Ireland (SFI) in 2000.”
The Irish Government had realised by
the late Nineties that it was time to fund
scientific research, and commissioned a
major study into the sector. The result
was the establishment of the Technology
Foresight Fund, with an allocated budget
at the time of €646m. SFI was established
in 2000 to administer the fund.
“It made all the difference. Suddenly
there was money and the country began
to invest in science,” says O’Neill. “And
you need only look at the metrics. In certain
areas we’re now competitive internationally,
and immunology is the big
one that we’re involved in. It is staggering
what we have achieved there. In the
space of 10 years we went from nothing
to third in the world.
“The key metric in our game is what’s
called citations. So if you make a discovery,
how do you know it’s important?
Someone mentions it, someone cites you
in their work. Our average citation per
paper in the 10-year period went up
hugely and in 2009 we were ranked third
behind the US and Switzerland, so that
was a great achievement.
“Itwentfromaverylowbasetoareally
big, competitive one – and that
means things like discoveries. I’ve always
said the job of the scientist is really
twofold, it’s to make new discoveries and
the kind of discoveries you want are the
ones that are going to shake the world.
Out of Ireland in the past 10 years you
would have had several of those. The second
thing you want is some kind of commercial
aspect that will promote
commercial development.”
He recalls speaking at an SFI event
several years into its establishment.
“I was asked to say a few words on
how we would know if SFI had been successful.
I said I hoped that within a 10–15
year period there would have been
earthshaking discoveries made in Ireland,
and secondly there would be an indigenous
biotech sector. They were the
two things that I proposed as evidence of
success, and I’m delighted to say both
are happening.”
Not that it’s not a challenge, admits
O’Neill. “This is a long-game sector.
When you look at the financial side of it,
a lot of people don’t like funding science
because it’s too long, there’s no immediate
reward. Plus, it’s risky because you’re
trying to discover brand new things.
You’re trying to create brand new knowledge,
so it’s difficult, people have to have
a lot of patience. One of the challenges
we will face now is sustaining this
progress in an economic downturn.”
This is why the SFI and the continuing
support of government is so vital,
stresses O’Neill. “I believe the job of government
is to fund the risky basic research,
because venture capital won’t.
However, then you must have a system
through which that can be commercialised
and that’s not the job for government.
That’s a job for the private sector
to take on and that’s the way it should
flow really. If you don’t have the latter,
then that key part of the chain is missing
and that government investment is not
fully realised.
“I know there are economic challenges,
but this is the one time they need
to be brave, given the level of investment
to date. Science is a long game and you
need perseverance, you need commitment
and you need doggedness, both day
to day in your experiments – because
they’re always failing – and then with
regard to the long-term output.
THE IRISH SCIENTIST
O’Neill believes there is something in the
Irish character that is particularly suited
to scientific pursuits. “It is interesting
that Ireland internationally is more
known for the arts, but the truth is Irish
science has always been strong right
through the 19th century. One of the reasons
we don’t hear about these scientific
Irish heroes is partly because someone
else wrote the history, we didn’t write it!
Once you chip into it, you see there’s
always been a great interest in science in
Ireland.
“Another trait the Irish would have is
to do with networking, we’re very good
at that and science is a hugely collaborative
business,” continues O’Neill. “All of
my successes, whatever they have been,
have been very collaborative. Our major
paper on diabetes last year, for example,
had seven labs involved, collaborating
from all over the world. So, networking
is something we’re very good at.”
He also points to the creativity of the
Irish, something not always associated
with science, but vital too, according to
O’Neill. “That creative trait the Irish
have lends itself to scientific activity as
well, because where does an idea come
from? It’s no different from the arts. New
ideas crop up and it can be a subconscious
process.”
16 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IINDUSTRY FOCUS »
The Irish also have what O’Neill
describes as a healthy sense of skepticism.
“It is another trait I always emphasise.
We Irish are inclined to be a bit
skeptical, we always want to see the evidence
before we believe, we quite like to
puncture the balloon.
“It is not a sense of begrudgery, it’s not
about outdoing the other guy, it’s about
looking for the truth. Science is all about
discovering something that’s true, so a
healthy skepticism is a key scientific
trait. That mix of creativity, skepticism
and interpersonal skills, I think that is
what marks the Irish out in this field.”
I suggest that interpersonal skills are
not considered by us non-scientists as an
obvious requirement in science. “No,
we’re seen as nerds,” O’Neill laughs. “In
the old days you could have the boffin in
his garden shed not talking to anybody or
banging away at something on his own,
but today it’s all about collaboration.”
He mentions an initiative recently
launched in the States called the Wild
Geese – or the “Wild Geeks” as he likes
to call them – a network of Irish-
American scientists and Irish scientists
based in the US, which aims to provide
support for Ireland’s scientific community
in North America and to connect
Irish scientists around the world.
“You wouldn’t believe the number of
Irish people in senior positions in US science,”
says O’Neill. “One example is the
National Association of Health (NAH),
the biggest health association in the
world, with a multi-billion dollar budget.
Its director is a guy called Francis
Collins, an Irish-American. You see this
throughout American public and private
life, but you see it in science too. To me it
shows that the Irish, when placed in the
right environment and given the right
support, will outperform others.”
The Wild Geese Network will become
a key collaborator in the run up to Euro-
Science Open Forum (ESOF) 2012, a key
element of the Dublin City of Science
2012 programme. And O’Neill will have a
major role to play in this too, as chairman
of the programme committee.
“This is a real coup for Ireland, to be
awarded the honour of hosting European
City of Science in 2012, which is a
hugely competitive award process, and
it is largely down to the hard work of our
chief scientist Paddy Cunningham,”
O’Neill says.
“Again, if you look around Europe,
Dublin is not the first city that comes to
mind when you think of science, you
think more of arts and culture. They
could have gone to London or Stockholm
or anywhere. It’s a testament to our heritage
in science, and those 10 years of investment
in the sciences, which is now
yielding results. And Paddy made that
argument very clearly.
“This is going to be huge,” he enthuses,
referring to the major ESOF conference,
which will draw in some 5,000 scientists
from around the world, as just an example
of what will be going on.
“One of the key themes is going to be
science policy, so the debate will be
around ‘Why should Europe fund science?’.
It is a healthy debate for us to
‘That mix of
creativity,
skepticism and
interpersonal skills,
I think that is what
marks the Irish out
in this field’
have. Why can’t Europe beat the US or
China at this innovation game? I think it’s
a very important debate for the country
and for Europe as a whole.”
As for the future, O’Neill believes we
will see even further progress in Ireland
in coming years. “As I say, this is a 10-
or 20-year game. The SFI was 10 years
old last year, and I’d be confident that in
another five or 10 years this indigenous
sector will have grown even more, there
will be greater employment in the sector,
and of course the strong multinational
aspect will continue to be an
important feature.
“And it’s not just in biotech, it’s in IT
as well. The reason why the European
headquarters of Facebook, Google, Pay-
Pal, Amazon are here is because the
message is getting out there that Ireland
is about science and innovation
and technology.
“I’m very proud, as an Irish scientist,
of the way that Ireland has risen up in
this way and is now delivering internationally.
It’s a wonderful thing.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 17

» LIFE SCIENCES
Award-winning university
spin-out Celtic Catalysts boasts
a Nobel prize-winning chairman,
and its technologies have caught
the eye of the big pharma players,
but, says founding CEO DR
BRIAN KELLY, it wants to
remain an Irish company
The right
CHEMISTRY
LIFE SCIENCES COMPANY CELTIC CATALYSTS HAS
DEVELOPED GROUND-BREAKING CHEMISTRY THAT
ENABLES ITS END-USER CLIENTS IN THE PHARMA-
CEUTICAL, BIOTECH AND FINE CHEMICALS INDUS-
TRIES TO REALISE SIGNIFICANT MANUFACTURING
COST SAVINGS.
The innovative venture capital-backed company and its
founders have caught the eye of the experts in recent years,
snatching a number of awards that include the Thistle Biotech
International Rising Star Award (2008), the NovaUCD Innovation
Award (2008) and the Shell LiveWire Entrepreneur of the
Year Regional Winner (2006). In April it won the Application of
R&D category at the 2011 Irish Times InterTradeIreland Innovation
Awards.
Headquartered at NovaUCD, the Innovation and Technology
Transfer Centre, Celtic Catalysts boasts Barry Sharpless, who
won the 2001 Nobel Prize for his pioneering work in chiral
chemistry, as the chairman of its scientific advisory board.
Today the firm’s technology is integrated into the manufacture
of a number of potential blockbuster drugs currently in development
by major pharmaceutical companies, but it has taken
Dr Brian Kelly 13 years to bring his idea to this stage.
“I was at a PhD conference in St Andrews, Scotland, sitting
listening to a speaker, when I realised that robotics could be applied
to use and discover catalysts,” Kelly recalls. The catalysts
he was considering are those chemicals that speed up chemical
reactions, particularly as they apply to the pharmaceutical
industry. The conference was held in 1998 and Kelly was
halfway through his PhD at the time.
“I put the idea to the back of my mind and got on with finishing
my PhD. Later, as part of my study, I was asked by Dr Declan
Gilheany, my PhD supervisor, to proof-read a paper which was
part of a grant application to the European Union,” he continues.
Gilheaney wanted to carry out experiments in parallel in research
labs. “It was clear to me that he was thinking along similar
lines to my idea from St Andrews. We spoke about it and
identified the type of machine which would be most suitable for
the lab experiments.”
18 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

LIFE SCIENCES »
The third-year PhD student realised how
“somebody of Declan’s calibre could add value
to the concept” and in February 2000 the pair
jointly set up Celtic Catalysts as a campus
company in UCD.
However it was not until 2001 that Kelly
completed his PhD and began working seriously
on a business plan aimed at raising the
necessary funding. Kelly and Gilheany needed
about €2.5m, but Kelly quickly discovered that
raising funding would not be easy.
“The Government was into IT and biotechnology
and we were neither. Indeed the venture
capital companies did not understand a
chemistry start-up. They didn’t know where to
place us,” he explains.
The pair of chemists quickly realised that
one of the first things they needed for the company
was a heavyweight scientific board.
“Through Declan Gilheany’s academic contacts,
Barry Sharpless of MIT agreed to come
on-board as chair of the scientific board of Celtic Catalysts.”
Sharpless was impressed by the duo’s plans and when he won
the Nobel Prize in this area, interest in the company increased
and, as Kelly puts it, “we became credible”.
To assist in raising funding, Kelly contacted UCD Michael
Smurfit Graduate Business School, which ran a scheme called
the Hatchery that was set up to help MBA graduates to start
businesses. “Jonathan Mills took an interest and he paired us
up with Pierce Cole, an MBA who helped us revise the business
plan,” Kelly says. He was still living with his parents and teaching
music in order to make a living.
EUREKA MOMENT
Then came a real Eureka moment, giving the company the momentum
it needed. “We were sitting in Luton, waiting for a
flight, when we realised that we needed some intellectual property
so we licensed an IP for a catalyst from UCD,” Kelly recalls.
“This gave the company a recognised patent plus the plan to
research and develop others.”
Throughout 2002 Kelly continued to engage with venture capital
companies with little success until he addressed a conference
in early 2003 in the Burlington Hotel. He was approached
afterwards by Denis Jennings, founder of Fourth Level Ventures
who expressed an interest in the start-up.
In February 2004, Celtic agreed a €700,000 funding package
with Fourth Level Ventures and Enterprise Ireland came in with
€250,000 to get them going. Celtic took on Brian Elliott as parttime
CEO and hired two full-time chemists to develop the technology
licensed from UCD.
“We hit all the milestones and in 2006 we raised €1m in Business
Expansion Scheme funding through our own contacts. We
also recruited Geoffrey Fuller who had huge experience, having
built and sold his own business. He came out of semi-retirement
to run our labs and we continued to hit all the technical milestones,”
Kelly explains.
Fuller brought new impetus to the team and towards the end of
2006 Celtic won its first contract from a major pharmaceutical
‘I was at a PhD
conference in
St Andrews,
listening to a
speaker, when I
realised that
robotics could be
applied to use
and discover
catalysts’
company to carry out lab contracts in UCD.
“Our business model evolved. There is not
much money to be made from selling catalysts,
so we worked on building up relationships with
the fine chemical and pharma companies
through doing service contracts. These companies
need to trust your technical ability and
your security.
“I shadowed Brian Elliott and then became
CEO. We were doing well on service contracts,
which made up most of our turnover in
2008/09. Since then we have developed a range
of products to sell,” Kelly says.
The Celtic CEO explains that the company
uses catalysts to make key chemical-enabling
technology to create chemicals, many of which
end up in important drugs.
However, licensing catalysts to a fine chemical
company would not maximise the added
value that Kelly wanted. “We looked all over
Ireland to see if we could manufacture catalysts
ourselves but there just wasn’t enough wet lab space. After
looking at quite a few sites in the UK, we decided to go with a
former ICI manufacturing facility in Wilton near Middlesborough
because it had all the licences and permits. We were manufacturing
within three weeks of going there.”
Wilton gives Celtic Catalysts a facility to show its customers.
“We don’t just hand clients a recipe for a catalyst; we partner
with them to produce the chemicals and the end drugs. This is
a longer-term process before we will receive a royalty,” Kelly
explains. Celtic will only receive a royalty from this process
when all clinical trials are passed.
Significantly, most of Celtic Catalysts clients are based in the
UK, Switzerland, the US, Germany and Scandinavia. “What
happens in Ireland is that the large pharma companies manufacture
the drugs, which are developed elsewhere,” he says.
The company now has five patents in its stable and turnover
is today in seven figures. It deals with all of the top 10 pharma
companies in the world, and catalysts it has developed are in
use as building blocks for a treatment for Parkinson’s and
another for rheumatoid arthritis.
The company specialises in chiral catalysts, which are used
in the manufacture of 40pc of all drugs on the market. Kelly explains
that chiral catalysts act on the chemical reaction to produce
the drugs you want. Chemical reactions normally produce
good and bad drugs, so this means half of the results must be
destroyed. Chiral catalysts can be used to stimulate the production
of the good drug, thus minimising waste.
The company has raised €3.5m to date and plans to raise
another €750,000 this year to fund expansion through sales
offices in the US and continental Europe, Kelly points out.
And the future? “We have had expressions of interest from
fine chemical companies who want to engage in development
which would result in them taking us over, but we are not interested,”
he stresses. “We want to remain an Irish company.”
This article first appeared in Irish Director magazine,
Summer 2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 19

» COMPETITIVE LANDSCAPE
‘In many parts of the world
people are going to rediscover
the power of manufacturing,
of exports, of developing
technology at home’
World
Competitiveness 2.0
20 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

COMPETITIVE LANDSCAPE »
As the World Competitiveness
Centre at IMD announces its 2011
World Competitiveness Rankings,
we talk to director STEPHANE
GARELLI about some of the key
findings
IN MAY THE WORLD COMPETITIVENESS CENTRE AT
IMD ANNOUNCED ITS ANNUAL WORLD COMPETI-
TIVENESS RANKINGS FOR 2011, WHICH INCLUDED
NEW RESEARCH RANKINGS ON COUNTRIES’ GOV-
ERNMENT AND BUSINESS EFFICIENCIES. THE CEN-
TRE’S DIRECTOR STEPHANE GARELLI, A FORMER
MANAGING DIRECTOR OF THE WORLD ECONOMIC
FORUM (WEC) SAYS THE FINDINGS DEMONSTRATE A
CHANGED GLOBAL LANDSCAPE.
Two countries shared the No 1 spot this year, Hong Kong and
the US, the latter rebounding from last year’s position in third,
thanks largely to the relative recovery of its financial services
sector after the crisis, continues Garelli.
“Traditionally the US is the first financial power in the world,
so this development has placed them back where they used to
be to some extent,” he says, but he points also to another factor.
“It seems that they are starting to pay more attention to
manufacturing than they have done in the past, and this is
pushing the confidence levels up in the US.”
Hong Kong is, of course, continuing to benefit from the
strong growth in China,” Garelli says. “Not only China in general,
but in particular the southern region of China, the region
of Shenzhen and the Pearl River Delta.”
Last year’s top ranked country Singapore drops to third place
this year. “It is a little bit down on its No 1 position last year because
the country has gone through a period of inaction, as you
have done in Ireland. There is always a period of uncertainty
when this occurs. In the survey Singapore seems to be affected
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 21

» COMPETITIVE LANDSCAPE
by the fact that the older generation is going into retirement, so
there is some uncertainty about the future. I think it is mainly
a question of perception.”
The real star in the rankings this year is Sweden, which has
jumped from sixth place to fourth in 2011. “Sweden is interesting
because, on paper, it’s a country with one of the highest levels
of taxation, one of the highest levels of government
spending, and still it manages to be highly competitive,” he says.
“This suggests that it may not be so much the style of government
which matters but rather the efficiency of government.
That’s why we have spent some energy this year looking
at the efficiency of government, which seems to be one of the
key issues at play. It’s not so much how big is the government,
but what the government delivers. It seems that in Sweden people
are relatively satisfied by the way the government is delivering
services.”
Garelli points also to the country’s focus on small enterprise.
“Sweden is extremely strong in terms of its infrastructure of
course, and it is very successful when it comes to its small and
medium-sized enterprises, which are
very diversified and export-oriented,
and are developing their own homegrown
technology.
“This is a factor which is interesting
for Ireland I think, because it shows
that a country does not succeed only
because it has large enterprises, but
also because it has a very dynamic
layer of small and medium enterprises.”
The same applies to Garelli’s own
country Switzerland, which ranks just
behind Sweden in fifth. “Again I think
it is about that very high level of diversification,
which is very often the result of that strong layer of
medium-sized enterprises. It does serve as a kind of buffer
against recession.
“In our research, we identified two types of countries – those
that are resistant, that don’t suffer so much from recession, like
Switzerland. They go into recession but not as deeply as others.
Then there are those like Singapore that are resilient. They
have seen recession but are bouncing back faster than anybody
else.”
SIZE MATTERS?
A notable development this year is the presence of just four of
the major economies in the top 20 rankings. “From our survey,
it appears that the big countries are suffering from two things,”
explains Garelli. “Firstly, it seems that in the big countries the
concept of a very efficient government is much more difficult to
implement than in smaller ones.
“And the second is that it is easier to turn a small country
around after a recession than a big one, of course. Now, when
the big ones start to click, then they get a huge competitive advantage
because of size, but it’s a bit like a tanker. It takes a lot
more time to turn it around.”
It is a finding that offers Ireland some reason for optimism,
he says, before referring to some of the survey results. “Twothirds
of the criteria used in the WCC report are around hard
statistics, and the other third is an opinion survey. The good
news is that Ireland improved over last year in the opinion survey.
People were already more optimistic than last year.”
NEW AGE OF COMPETITIVENESS
According to Garelli, what emerges overall from the centre’s
research is evidence of a changing competitive landscape. “It is
clear that we are entering a new age of competitiveness, and a
new age of globalisation.
“This is something that is emerging very strongly. We had
gone through a period of time where everybody was looking at
outsourcing and delocalisation. That was done simply because
China, Asia and others were extremely cheap in terms of production.
Now people realise that Asia is not as cheap as before.
Labour costs are going up – on average 15pc per year in China,
for example – and transport costs, especially for freight, are
‘I think that the big revolution of the next few
years is going to be that those emerging
nations will carry out much more business and
economic activity among themselves’
going up all the time because of the cost of energy.
“So for the first time you see people starting to think ‘maybe
we should revisit our business model and emphasise again
more manufacturing, industry and exports’. This is quite powerful
because if you look at the US, Japan and England, during
the past 20 years the proportion of manufacturing in GDP
terms has gone down by about 25pc. It means that we have seen
a de-industrialisation of many countries, and I believe we are
going to see some kind of reaction to that. In many parts of the
world people are going to rediscover the power of manufacturing,
the power of exports, the power of developing technology
at home.”
He points to the case of California in the US. “California is a
fabulous place for enterprise. Some of the best innovation of
the past 10 years has come out of California, and in spite of that
California is bankrupt. Because they don’t manufacture any
more in California, they just invent and then they produce elsewhere.
Just take your iPad. It says ‘designed in California, assembled
in China’.
“This is something which I think more and more companies
are going to react to, and many will see it makes more sense to
manufacture closer to their own markets.”
22 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

COMPETITIVE LANDSCAPE »
This has implications not so much for wage pressure, but for
productivity in these countries, Garelli stresses. “Jeffrey Immelt,
the CEO of General Electric, says the next generation of
products will be produced in the US. He says Kentucky can be
just as competitive as China. That is all very well, provided that
the productivity is the same level.
“The issue is that in many parts of Europe, and even in the
US, we have a problem with productivity. It’s one thing to say
‘yes we can do more things closer to home’, but the productivity
has to follow and in many cases that is a problem.”
FLEXIBLE LABOUR SYSTEMS
After Sweden and Switzerland, Germany ranked top among
European countries at tenth, thanks largely to its impressive
performance in exports, but also because of its flexible labour
system, says Garelli.
“Germany adopted a very flexible labour system under
Shroeder where, when they went into the recession, they could
adapt. They could reduce the working time, slightly adapt the
SOUTH SOUTH TRADE
The big economic story in recent years has, of course, been the
rise of the so-called BRIC (Brazil, Russia, India, and China)
countries, and as these countries continue their growth, it will
change trade patterns radically, believes Garelli.
“I think that the big revolution of the next few years is going
to be that those emerging nations will carry out much more business
and economic activity among themselves. It is going to be
far more lateral than vertical, with trade going from south to
south, rather than the traditional movement from north to south.
“We saw last year that China for the first time directed 56pc
of its exports, not to the US, not to Europe, but to the other
emerging countries. I think we are going to see that the emerging
countries will be less and less dependent on the US, Europe
and Japan. They will go elsewhere. They have a life of their own,
and this is developing very quickly.”
And the implications for the developed economies? “Well number
one it will be tougher to invest in China and the other emerging
countries,” he says.
‘A country does not succeed only because it
has large enterprises, but also because it has
a very dynamic layer of small and medium
enterprises’
wages etc, but not actually fire people. This meant that when
the economy bounced back, they had everybody already there
in place.”
It is a labour model that Garelli believes will be adopted by
many others in the future. “It is a very interesting model, because
most people would prefer to keep their job, earn a little
bit less and have the government perhaps compensate some of
the difference. That’s a very clever way of getting through a recession.”
“The point is, if you look at the five past recessions, they all
happened within a period of time of about 10 years. Every nine
or 10 years you have a big economic problem, a recession, a
bubble, whatever it is, but the economy stops. Somehow we
need to find a way to manage these without destroying the
labour market every time.
“It’s a very big challenge for Europe because our labour market
is not as flexible as elsewhere, and we end up with long-term
unemployment in some countries, which is a big issue, especially
when it is youth unemployment. If you don’t provide jobs
to the younger generation you have a real social time bomb. It
is something we should never forget. This is not just about the
economy. It is about people.”
“We see it already now. Enterprises are telling us ‘if we have to
invest in China and we know that there is a national champion
which is bred by China in the same industry sector, they will tell
us no thank you, we don’t need you’.
“It also means that we are going to see new brands emerging,
more competition worldwide emerging from these countries.
This is something which is rather new because countries like
China are going to say ‘if you make it difficult for us to go into
Europe, we will go to Brazil, to Kazakhstan, to Africa, and we
will make just as much money’.”
Not that developed countries can fall back on trading with
each other. “The challenge is we are in what I call a ‘replacement
economy’. Today, when we sell a product into another
country, it is to replace another one. Just look at this last recession.
I didn’t change my mobile phone and I’m still happy! I
can wait one more year. I didn’t feel that my standard of living
had dropped because I didn’t change my mobile phone or I didn’t
immediately buy an iPad.
“No, in the advanced economies it will be difficult to do this,
because we have saturated markets. When you look at growth
in incomes it is elsewhere, and I think we too will have to look
elsewhere.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 23

» THE IRISH MIND
A passionate
European
Catherine Day
24 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

D
‘For me, that
is what the
European Union
is all about, that
is what makes it
exciting and
dynamic, just to
see how you can
constantly
reshape it’
As secretary-general of the European
Commission, CATHERINE DAY is
the European Union’s most senior
civil servant, the first woman to hold
this role. On a recent trip to Dublin
she spoke to Ann O’Dea about the
challenges and rewards of the job
THE IRISH MIND »
UBLINER CATHERINE DAY JOINED THE EUROPEAN
COMMISSION BACK IN 1979, AND STEADILY ROSE UP
THROUGH THE RANKS TO REACH HER POSITION
TODAY AS SECRETARY-GENERAL OF THE COMMIS-
SION, THE MOST SENIOR OFFICIAL IN THE EUROPEAN
UNION, AND THE FIRST WOMAN TO HOLD THIS ROLE.
“That means I have actually lived longer in Brussels than I
have in Dublin, but once a Dubliner always a Dubliner,” she
laughs.
A passionate European, in a previous role as deputy director
in Chris Patten’s external relations Directorate General, Day
was deeply involved with the enlargement of the Union from 15
countries to today’s 27. Her role involved working with the
accession countries to help them understand and prepare for
enlargement. It was a useful precursor to her current position,
which involves both the technical and political in spades.
“The secretary-general is the head of the civil service, which
means that my role is to be the link between the technical work
of departments – or, as we call them, the Directorates General
– and the political level of the College of Commissioners. So my
job is to help the president of the Commission, José Manuel Barroso,
to set the priorities and then to get the machinery of the
Commission to deliver them.”
A challenging role, which involves dealing with representatives
from the 27 countries in today’s enlarged European Union,
Day does not seem in the slightest bit phased, and she is clearly
proud of the relatively smooth process of enlargement.
“I think enlargement has been an enormous success,” she tells
me. “I mean it’s been a political success and an economic success.
Yes there is a feeling of what I call indigestion but that will
pass. We will grow into our new size and shape, even if we
haven’t quite done that yet.”
Day admits there is sometimes what she describes as a “false
nostalgia” among the older member states as to how much easier
it was when there were only 15 countries. “You do get a lot
of ‘Oh in the old days it was so cosy, so easy’. It wasn’t. We’ve
done all kinds of analysis to see if the arrival of the 12 new countries
has slowed us down in decision-making and the answer is
simply no.
“Of course, it is somewhat more complicated because you
can’t talk to 27 people individually in the same way as you could
15, and Europe is much more diversified now,” she says. “We
were getting very homogenised as a block of 15 western European
countries, so suddenly to have to open up to countries with
completely different levels of standards of living and different
experiences had its challenges.
“But for me, that is what the European Union is all about, that
is what makes it exciting and dynamic, just to see how you can
constantly reshape it. Of course we are complicated, and sometimes
slow. The media doesn’t always understand because there
is not one person making the decisions. They find it difficult to
really accept that a collective of 27 can take decisions. But we
can.
“Maybe it can be dragged out of us under crisis pressure,
and maybe sometimes it’s too late and too little, but we are
doing extraordinary things that, had you said to people three
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 25

» THE IRISH MIND
‘Inawayyou
can see this as
the policy
completion of
economic and
monetary
union – the
parts that we
didn’t include
10 years ago
when we
signed up to
the euro’
years ago – including us – we
would be doing, we wouldn’t
have believed it possible.
“I think what keeps me so
motivated is that it is endlessly
possible. We keep setting hard
challenges for ourselves and
we always get there – in a complicated
and expensive way at
times, but we do get there!” she
laughs.
FINANCIAL GOVERNANCE
The financial crisis of recent
years, and the travails of
Greece, Portugal and Ireland,
have brought into stark focus
some of the inherent weaknesses
in the European project.
It had clearly not foreseen,
and was not prepared for such
remarkable challenges. However,
says Day, whose role also
sees her closely involved in
financial governance, there is
a determination at EU level to
ensure the necessary changes
are made.
“The thing now is to coordinate
our policies much
more, and to start with a much better set of indicators to see
when things are getting off-track,” she stresses. “Look at the
case of Ireland where wage competitiveness was being seriously
eroded, and look at the correction that has taken place since the
recession – spontaneously without anybody imposing it. Had we
been monitoring that in more detail earlier on, we would have
seen this bike starting to get out of control. So we want to have
those kind of monitoring mechanisms in place. It’s not a guarantee
that we will not face problems in the future, but it should
mean that we do not face the same problems.
“We are now, of course, in the business of drawing lessons for
the future to ensure that we don’t have a repeat of what has happened,
and I think one of the lessons is clear – that we need
much more co-ordinated policy-making.
“For years the Commission has been running after member
states trying to get them to change decisions, but we are now putting
in place a very tight system of economic policy co-ordination
for the future,” she continues. “In the first half of the year the
Commission will issue recommendations to each member state
which they should then incorporate into their budgetary and economic
policy for the following year. I hope that by getting ahead
of the curve we will have more impact, and also make it politically
easier for governments to accept recommendations.”
The member countries have committed themselves to following
the Commission’s recommendations as a general rule, or to
explain in writing to the Commission should they not. “I think
that will help,” says Day. “Peer pressure on governments to follow
the right policies in future, combined with much better monitoring
and early warning will, I hope, help us to do away with
the problems of the past.
“My belief is that something has changed in this crisis,” she
says. “I think there is a better understanding now of the interdependence
of our economies, and there is a determination on
the part of many to ensure that we enact our economic policy
differently in the future. In a way you can see this as the policy
completion of economic and monetary union – the parts that we
didn’t include 10 years ago when we signed up to the euro.
“And then we also want to adapt the policies at EU level to be
part of accompanying this process, so we are currently preparing
a proposal for the budget from 2014–2020. We want that to
be the Europe 2020 strategy in numbers, and to put the money
into research, into infrastructures, into energy.
“One of the things that we did recently was to fund an interconnector
between the UK and Ireland so that the wind energy
Ireland generates, above that which it needs, can be exported.
This will help Europe to be more sustainable in its energy use,
and of course Ireland can make very nice revenue from that. So
it’s those kinds of initiatives we have in mind. The member
26 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

THE IRISH MIND »
Catherine Day,
secretary-general of
the European
Commission,
pictured with José
Manuel Barroso,
European
Commission
president
states have to do most of the work themselves, but we can provide
the missing links to bring it all together.”
IRELAND IN EUROPE
Despite recent challenges, and strained relations at times, Day
believes that Ireland still has an important role at the heart of
Europe, and that the benefits of membership continue to be
highly significant.
“Being a small, open economy in a bigger entity takes away a
lot of the disadvantages of being small and on the fringe,” she
says. “Also in a new digital economy, location becomes less
important, and I think what Ireland has lots of is the kind of creativity
that you need in the digital age. It’s not only for tax reasons
that companies like Google are here. I’ve talked to them
and it is also because they can get the kind of graduates who
have not only the technical training, but also that creative side.
“That’s always been a part of the Irish make-up, so I think
that’s a very important asset – highly educated, English speaking,
but also creative, open-minded people.”
That is just one of our many strengths, maintains Day. “Ireland
has a very pro-business environment, and will always
attract that kind of investment, but what’s been different in the
last 10 years is we now have home-grown multinationals as
well, something we never had before. It shows that it’s not just
an attractive place for inward investment, it’s an attractive
environment for investment, full stop.”
Day says the determination of Irish people to recover from
the recent travails is striking. “You hear it from everybody here
– ‘Yes, it is tough, but what choice do we have but to succeed’. I
think we Irish are probably at our best in adversity so I think
that’s a very good key to the future.”
And Ireland continues to punch above its weight in Europe,
she continues. “Ireland, as a fully paid up member, can also
shape the agenda in Europe. Yes, we have had our ups and
downs. There have been times when we’ve been very involved,
but we had become more detached in recent years. I think the
understanding is there again that you have to invest in this, that
this has to be a long-term engagement.”
It is interesting to note that when Day became secretarygeneral
in 1995, she succeeded another Irish colleague David
O’Sullivan. It was purely coincidental she says, but is still a testament
to how well regarded Irish people are in European
circles.
“There are a lot of Irish people in strategic positions in Europe,
some more visible than others. Everybody thinks there are
loads of Irish people – they don’t realise it is such a small population
– just because we get about so much. We are also not seen
to have the big country agenda so we’re very acceptable everywhere,
and we have that flexibility and we like tick-tacking and
networking. That’s also part of our character and background.
We’re very sociable, very good communicators, we don’t take
ourselves too seriously, we’re not seen as a threat to people so
they open up more to us. I think all of that is part of the mix.”
Clearly, Catherine Day has herself all the qualities she attributes
to the Irish psyche, and it is not hard to see how she has
achieved her meteoric rise to become the top civil servant in
Europe. Her enthusiasm and drive have clearly not been diminished
over the years.
“It has been a very satisfying role,” she tells me. “There is
nothing more satisfying than when you see it coming together.
Just take the example of energy and climate change. There were
potentially two opposing agendas here. The eastern European
member states were more concerned about energy security,
while the rest of Europe was more focused on the climate
change issues. It was only by putting a European package
together that addressed all the concerns that everyone could
agree on that, and that we have made such great progress in
this area.”
As regards her native Ireland, Day is characteristically
upbeat. “It is not only because I’m Irish, but I do think Ireland
will come out of this leaner, fitter, better,” she says. “It will be
painful. People will have to pay the price for it, including people
who had nothing to do with getting us into this situation.
But I think Ireland has so much going for it – a strong currency,
a sound economy, all the right fundamentals. We have
great confidence that Ireland will make it though, and it will
be back again as one of the success stories of the European
Union.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 27

» RESEARCH
Tyndall National
Institute in Cork is
Ireland’s largest
research institute, and
the new technologies
it has developed have
been licensed by major
organisations like
Intel. Grainne Rothery
speaks to CEO, PROF
ROGER WHATMORE
TOMORROW’S
WORLD
28 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

RESEARCH »
‘The work we’re
doing in photonics
is really cutting
edge and it’s
attractive to a
number of
companies’
A SERIES OF GROUNDBREAKING DEVELOPMENTS IN
ITS SPECIALIST AREAS OF PHOTONICS, NANOTECH-
NOLOGY AND MICROSYSTEMS, as well as high-profile collaborations
with some of the world’s leading IT companies such
as Intel and Analog Devices, and positive international scientific
reviews, have helped establish the Cork-based Tyndall National
Institute as a major European research hub in information and
communications technology in the relatively short time since
being set up in 2004.
Today, with 460 people working onsite – including more than
200 staff and 140 research students, as well as interns on shortterm
secondments and a number of researchers in residence
from industry – Tyndall, which is a part of University College
Cork and has strong links with Cork Institute of Technology, is
Ireland’s largest research institute.
In addition to its three core areas of interest, the centre has a
theory, modelling and design technical centre and a fabrication
facility. Included onsite is a state-of-the-art €47.8m research
building opened in 2009 and dedicated to ICT and nanoscale
semiconductor research and development.
The institute has a strong commitment to sharing both its
knowledge and its facilities. For example, a National Access Programme
(NAP), funded by Science Foundation Ireland (SFI), has
been running since 2004 and enables access to Tyndall’s facilities
and expertise for all academic researchers in Ireland. Tyndall’s
vision, meanwhile, is to play a central role in the future of the development
of the Irish knowledge economy.
The institute has a “from atoms to systems” philosophy, according
to Prof Roger Whatmore, who has been CEO of Tyndall
since January 2006 and previously spent 18 years in the electronics
industry in the UK and 11 years at Cranfield University.
While exploring the technologies around its key areas of interest
is vital, he believes the aspect of where the technology is going
and its applications is almost more important.
“We are looking towards where these technologies go in communications
and the digital economy, healthcare, care of the environment,
and energy, particularly from the point of view of
energy management.
“Pretty much everybody in Tyndall has ultimately a view of
where the technology is going to go sometime in the future,” he
says. “It’s not what you’d call blue skies. It is always with a view
that it might be useful somewhere. It’s curiosity driven because
we’re curious to know if we can make it better. Even the most
theoretically-minded individuals in Tyndall would still have that
point of view.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 29

» RESEARCH
That Tyndall has been successful in this regard is demonstrated
through its strong links with industry and its development
of new technologies that have been licensed by a number of
companies, most notably Intel.
The latter signed a three-year, US$1.5m advanced research
collaboration with Tyndall last September. The agreement was
Intel’s first in Ireland and establishes a direct collaboration between
the Cork-based institute and
the chip manufacturer’s technology
research group in the US. Under the
agreement, Intel has a commercial
exploitation licence to technology
created through the partnership.
Included in the programme is the
world’s first junctionless transistor
device, which was invented at Tyndall
by Jean-Pierre Colinge and first
announced in 2008. Made from a silicon
nanowire, the device is designed
to significantly reduce power
consumption and simplify the fabrication
process of silicon chips.
“This will be coming into its own
in eight or nine years’ time when the
generation of chips gets down to
that scale,” says Whatmore. “We believe
the junctionless transistor has
very important things to offer.”
As regards the collaboration with
Intel, he asserts that the interactions
with the company’s engineers
‘United Technology
Research Centre is
basing its European
research arm here in
Cork because of
Tyndall and what
Tyndall can do’
and scientists will enable Tyndall to
advance its technologies to the marketplace
much more rapidly than it
could possibly do on its own.
Another significant area that Tyndall
is currently working on is the
growth of magnetic materials on silicon.
“One application is what we
call power-supply-on-chip, where
Tyndall is currently in a leading position,”
he says. “This offers big
advantages in terms of saving electrical
power.”
“There is a real need to save
power in electronics for all sorts of
reasons. This magnetics on silicon is
a way forward for helping to meet
that problem. Ideally you may want
to have several different power regulators
on a chip providing different
voltages to different parts of the chip to maximise the efficiency
of power use. It’s the increasing sophistication of circuit design.”
Tyndall is also heavily focused on photonics, which is playing
an increasing role in delivering and processing information and
is a key underlying technology supporting worldwide telecommunications
networks and the internet. Tyndall’s photonics centre
is made up of more than 100 researchers, support staff and
PhD students working on everything from quantum processes
and materials at the atomic level to advanced photonic communications
systems.
“We’re currently working on how to get the maximum possible
number of bits down a single optical fiber in one go,” says Whatmore.
“There are many ways of doing
that and we have a world lead in a few
of them.”
A standard technique is to use
many wavelengths of different colours
of light. “But if you get the wavelengths
too close together in the optical
fiber, they start interfering with
each other and you can’t get the information
out,” he explains.
To address this problem, Tyndall
researchers have invented and successfully
demonstrated a new technique,
coherent wavelength division
multiplexing (CoWDM), which involves
transmitting the wavelength
channels with precisely controlled relative
optical phases. The interference
between adjacent channels can be
minimised by this method, allowing
closer channel spacing, while the technique
also allows the transmitter to
have a simpler, lower-cost design.
Another new technique invented by
Tyndall researchers in this area is
electronic dispersion compensation,
which was published in Nature Photonics
at the end of last year and has
created quite a bit of interest, according
to Whatmore.
“The work we’re doing in photonics
is really cutting edge and it’s attractive
to a number of companies,” he
says. “It’s important internationally
and it’s also important locally. We’ve
been working with British Telecom,
Alcatel-Lucent and France Telecom.
“We’re also working in this area
with small Irish companies like Intune
Networks, Eblana Photonics,
Firecomms and one of our own spinouts,
SensL. For example, Eblana
Photonics makes a design of laser that
was originally invented here and licensed
to them. Intune Networks, an up and coming photonics
company in Dublin, has invented a way of optimising the amount
of information that can be transmitted around a ring of optical
fiber. They’re setting up the Exemplar network in Dublin, which
we’re working with them on.”
30 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

RESEARCH »
Elsewhere, a team of researchers
at Tyndall led by Domenico Zito has
come up with a ‘wearable heart monitor’
after developing a microchip
radar sensor that detects the heart
beat and respiratory rate without any
contact with the person under observation.
According to Whatmore, this
innovative microchip represents a
significant contribution of microelectronic
technology to health.
FUNDING
The vast bulk – some 83pc or 84pc –
of Tyndall’s funding is derived
through the competitive process,
with SFI programmes accounting for
30pc to 35pc of this and EU and Enterprise
Ireland projects typically
amounting to up to 25pc each. Work
funded by the Higher Education Authority
or carried out for industry
and the European Space Agency
makes up the remainder.
“We have a core grant, which comes from the Department of
Enterprise, Jobs and Innovation, which is about 9pc of our income,”
says Whatmore. “We also get a payment from the university
because all the graduate students are registered in its
departments. If you add together the core grant and the university’s
contribution, it’s about €5m out of about €32m.”
INDUSTRY LINKS
Whatmore believes that Tyndall helps to make Ireland more attractive
to international companies at the cutting edge of ICT.
Intel has based researchers at its centre, as has Analog Devices.
“Applied Materials is placing equipment and people here now because
Intel is here are and because of our expertise in the areas
it is interested in,” he says.
“United Technology Research Centre is basing its European
research arm here in Cork because of Tyndall and what Tyndall
can do. Those are just a few examples of the multinationals that
find Ireland attractive partly because of Tyndall. There are many
other reasons why they find Ireland attractive, but we’re part of
the landscape.”
It’s vital for research institutes to connect their technologies to
the marketplace through the people who will exploit the developments,
he maintains.
“Some companies do come out of institutes, but actually the
majority of high technology companies are not formed as spinouts
from universities, they’re formed as spin-outs from other
companies,” he says. “Even in the west coast of the US, the majority
of companies don’t form as spin-outs of universities, they
form outside the universities and pull technologies out.
“Ireland is at the start of this process. Over the last 10 to 15
years Ireland has come from a very low level of research attainment
and focus on research to a point where it’s now sixth in
terms of output for euro spent.
‘The sharp necessity to
transform technology into
jobs is a big challenge and
we have to address that
challenge’
“And now we’re starting to see
some of the innovations, the new
companies coming out of that – the
Intune Networks, the Eblanas.”
Whatmore says that Tyndall’s own
research does not lend itself as well
to spin-outs or smaller, indigenous
firms as to larger companies. “In
many cases the technologies we develop
are quite difficult for a small
company to set up and exploit. The
large telecommunication-type technology
activities are probably best
exploited by big companies, which
would take a licence.”
However, licensing is not a huge
money spinner for Tyndall, he points
out. “The important thing is that the
technology gets out there and is exploited,
in my view, and creates jobs
in Ireland ultimately.
“If we can use our excellence to
bring a company into Ireland, say
from the United States, and we have to be a bit generous with
our intellectual properties to do it, that’s fine. That’s more important
really – to get the company based here.”
As regards its research activities, Whatmore believes Ireland
has come a long way in the last 10 years, since the Government
intensified its investment in science, technology and innovation.
“It now has some areas of technology that are world leading,” he
says. “It has areas of technology that are internationally very interesting,
enough to bring people in from the United States and
from Europe. And when people come here, their eyes pop.
“If you can get them here in Tyndall – and other places – people
come through the door, hear what we do, and say, ‘Wow, we
had no idea you were doing this’. That’s partly because we’re, relatively
speaking, new kids on the block as far as this is concerned.
“But we have to keep running extremely hard to stay up there
– that’s the game that Tyndall is in. You absolutely have to have
the funding and you absolutely have to have the concentration
of resource in order to stay at the leading edge.”
And he believes maintaining the momentum is vital for the future
of Ireland. “Ultimately, it’s the only way forward for Ireland.
What else is there? Do we really want to be known as a world
leading hub of science and technology or do we want to be a
tourism hub?”
As regards the future, Whatmore says Tyndall’s ambition is to
continue to be the best and to strive to be better. “We want to be
well known internationally for what we do so that people don’t
get surprised when they come across the door and say ‘wow’.
They know the wow factor before they come. We’re getting there,
but it takes time.
“The sharp necessity to transform technology into jobs is a big
challenge and we have to address that challenge,” he concludes.
“That’s the really important thing. It’s not just to be the best; it’s
also to do our best to work with the various agencies to help
translate what we’re doing into jobs.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 31

» INTELLECTUAL PROPERTY
Renowned intellectual property (IP) expert and awardwinning
author PROF JAMES BOYLE makes the case
for untangling the web for the benefit of science.
Gordon Smith hears more
‘Google doesn’t look at what the sites say. It looks at who links to the
sites. That’s called peer review; except it’s being done by all of us all the
time, in the process of just communicating’
32 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INTELLECTUAL PROPERTY »
Lessons for
science
from the web
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 33

» INTELLECTUAL PROPERTY
Mark 1 eyeball. Sure, we’ve got search engines, but we haven’t got
anything like the sophistication of search that we have for many
other things on the web. Why? Because much of the scientific literature
lives behind paywalls or in journals. You can find that the
word occurred, but you can’t link to the article. It’s not possible for
a university to text mine all of the digital journals it subscribes
to, to see if patterns emerge, to say ‘ah, here’s this person writing
about rheumatology information and here’s this cancer biologist’s
writings and the same gene is involved in both’.”
THE WORLD WIDE WEB WAS CREATED
FROM SCIENCE AS AN OPEN SYSTEM,
BUT MORE THAN MOST OTHER DIS-
CIPLINES, SCIENCE IS VERY POORLY
SERVED BY ITS CREATION – AN
IRONY NOT LOST ON PROF JAMES
BOYLE, WHO LIKES TO GIVE THIS
SUBJECT A GREAT DEAL OF
THOUGHT. He spends a lot of time at the
intersection where innovation and IP meet.
A renowned IP expert, legal academic and award-winning author,
he also co-founded Science Commons and is a former chairman
of the Creative Commons board. Currently the William Neal
Reynolds Professor of Law at Duke University School of Law in
North Carolina, Boyle’s CV includes teaching posts at Yale, Harvard
and University of Pennsylvania Law School.
A Scot by birth – he graduated from the University of Glasgow
in 1980 – Boyle’s burr has since given way to a mid-Atlantic twang
and his rapid fire delivery reflects an active mind perpetually in
motion.
In person he comes across less scholarly academic, more internet
entrepreneur. He was in Dublin recently for the first in a series
of new events organised by McCann Fitzgerald. Dubbed
‘Open Minds’, the events gather local and international speakers
to engage with topical issues relevant to science, engineering and
technology businesses in Ireland.
Outlining how science can benefit from the principles of the
web, Boyle makes the analogy between how web search engines
work and scientific research. In both cases, the most useful material
gets ranked highest because search engines have a clever
way of sorting out good sources from bad ones. “Google doesn’t
look at what the sites say. It looks at who links to the sites. That’s
called peer review; except it’s being done by all of us all the time,
in the process of just communicating,” he says.
The same open, democratic idea can be seen in the act of buying
a book online. Any person is presented with all the information
they need to see what others thought of a book, along with other
works they liked, and the transaction is made in a single click. Science
has no equivalent to this simple process, explains Boyle, because
much of the knowledge lies in closed systems.
“Right now we are generating scientific information at digital
speeds, but our method of processing is still analogue; it’s the
SCIENCE COMMONS
Boyle cites a recent article in the American Journal of Medicine
which found that most biomedical scientists who abandon promising
research areas do so because they are unable to get the materials
to replicate the experiment. One of the goals of Science
Commons is to eliminate barriers to scientific innovation; not by
removing patents, but by lowering the cost of transactions.
The web makes it easier to share virtual things but science has
tended to bring a mindset from the physical world. “If this is the
kind of property that lives on networks – if it’s a file, if it’s an image,
if it’s an idea – you can have it and I can have it too. Our instincts
about how to handle them are derived from a world like this,
where control is a very good thing. Someone has to own that field
so we know who gets to plant it and who gets to reap from it. In
the digital world, that may well be true, but we need to figure out
exactly when it’s true,” says Boyle.
He makes clear he is talking about state-funded basic research,
as distinct from private sector innovation. The first part of his
proposal is for the published results of that research to be available
on the open web within a certain amount of time after publication.
“That is being done in the EU, and the US only being
done in the last three years. Isn’t that amazing? We’re paying for
the research, we’re giving the money and we don’t bother to say
‘here’s a condition that you make the research available’.”
Secondly, he favours reducing the transaction costs. Wikipedia,
notes Boyle, stands in fair comparison with many scientific journals,
yet its contributors do so for free – the lowest possible cost.
He proposes a system whereby anyone sharing their expertise or
actual physical material would receive appropriate credit in the
scientific community, be it a high grading in an EU Framework
grant application, or a higher rating in a tenure review for a university
posting.
“If you align social and private incentives, good things happen.
In science, the scientists are smart people, nice people and often
sharing people. We have done a really poor job of incentivising
them to do the things that would benefit science. So take the insights
of the web and apply them to science seriously. It has to be
done by the funders, it has to be done by universities, and what
you get is better, faster and more efficient science at a lower cost,”
he says.
“Every time we lower the cost of scientific research, good things
happen. More scientific information and more accurate information
gets to more researchers faster, and it does so in ways that
problems can be solved. Right now there are diseases that we’re
not going to go and develop cures for because there aren’t enough
people who suffer from them.
“Lowering the cost of scientific research can’t solve all of those
34 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INTELLECTUAL PROPERTY »
problems. It can’t solve the problems of developing anti-parasite
medicines for the global poor. But it can lower the margin of cost
that we have to pay. If we did for science what we learned from the
web, I actually think we would revolutionise scientific discovery.
In the areas where we’ve tried this, we have seen extraordinary
development.”
The biggest obstacle to overcome, as Boyle sees it, is people’s
collective fear of openness, which he calls cultural agoraphobia,
and this often acts as a roadblock to innovation.
“We have a cognitive bias that leads us to underestimate the
benefits and overestimate the failures of open systems. That doesn’t
mean open is always right; it’s not. Lots of times we need control,
we need authentication, we need privacy controls, we need
intellectual property. But the point is, we are systematically bad
at figuring how this will play out,” he insists.
“One of the great insights about the world of the web that I’ve
learned is, if there are a billion connected people, at least one of
them has a smarter idea about what to do with your information
than you do. And that should be a happy thought, not a sad
thought.”
“What we need are the limitations and flexibilities that continue
the incentives and so forth but they don’t give the copyright
owner a veto over technological development – particularly disruptive
technological development. That’s like giving the people
who control the whale oil industry control over the electric light
industry. That’s not going to be a good way of regulating things.”
Boyle accepts the pace of technological development frequently
leaves the law in its slipstream, but he doesn’t accept the portrayal
of the legal sector trying to hold back rapid progress. “I actually
think in many ways you could argue that the legal system
in different countries, certainly in the US, has made some really
inspired bets. The Sony decision in the Seventies and Eighties in
the US [US Supreme Court, Universal vs Sony, 1976–1984] actually
set a rule which said if your device has a substantial non-infringing
use you can’t say that it’s illegal. People can use VCRs to
do illegal things but that doesn’t make VCRs illegal. That rule
made the thing you’re holding possible,” he says, pointing to the
iPhone which I am using – appropriately, as it turns out – to
record our interview.
“You could say people are going to misuse this, people are going
‘The scientists are smart people, nice people and often sharing people.
We have done a really poor job of incentivising them to do the things
that would benefit science’
IP AND INNOVATION
Another of Boyle’s pet subjects is how the IP system in its current
form holds back innovation. Here again, he is rational rather
than ranting. His background in Science Commons makes him
advocate lowering unnecessary barriers, not simply setting
everything free. He has no issue with patents, particularly to protect
organisations that have invested heavily in developing a
process or technology. On the other hand, he is against protecting
intellectual property so stringently that it strangles subsequent
innovation.
“When search engines started on the world wide web, there
was a very credible argument that they were illegal because they
were copying the entire web without asking for permission,” he
points out. But a combination of technical protocols, fair-use rulings
and copyright directives circumvented this particular problem,
“and there was a company that did quite well from that”.
He credits the legal system for not always being so entrenched
in an old mindset. “It was partly that the technology moved fast
enough that people realised what we would lose if we applied the
old laws. It’s a bit like the position at the start of commercial air
travel. The original position of the landowners was ‘you can’t do
that, it’s our property’ and property extends up into space, right?
“Until the courts looked at it and thought, you know what, in
theory you’re right but that would be really stupid. There would
have to be limitations on your property. You’re not really losing
anything here, it’s a technological accident that this thing passes
over it.
to take pictures of movies or concerts. The rule is substantial noninfringing
use. We’re going to let the technology flourish and we’re
not going to stop you. So the legal system gets out ahead.”
Or to put it another way, Boyle’s vision is that researchers
should be free to build the proverbial better mousetrap without
worrying that the first people beating a path to their door will be
intellectual property lawyers. He doesn’t think his suggestion
solves the IP problem entirely, but he is upbeat that progress will
find a way. “Though I’m Scottish, I’m an optimist,” he says.
This article first appeared in Irish Director magazine Summer 2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 35

» FREEZEFRAME
» MICRO NAZCA
By James Gibbons and Pablo
Rojas, UCD School of
Agriculture, Food Science &
Veterinary Medicine.
Ice crystals in MSRV medium
used for the detection of
salmonellae from animal and
environmental samples.
The research group looks at
antimicrobial resistance levels
in bacteria (including
salmonellae) from animals, in
particular bacteria that can
also cause disease in humans.
Funded by Department of
Agriculture and Food
STIMULUS fund
36 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

FREEZEFRAME »
Research
in the
frame
Each year, University College Dublin organises the Research
Images Competition, offering its researchers the opportunity
to submit compelling digital images created in the course of
their work. The competition aims to find the most
innovative and imaginative research images that convey the
depth and range of research taking place at the university.
On these pages we feature some of the winners from 2010
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 37

» FREEZEFRAME
» CONCRETE CHRYSALIS
By Connell Vaughan, UCD School of Philosophy
While Connell Vaughan was researching murals
in Limerick, this butterfly landed on the mural
he was studying. This kind of experience is
unlikely in a gallery context and echoes the
transitory nature of mural art.
» FLUORESCENT
MICROSCOPY
By Naheda Alkazemi, UCD School of
Biomolecular & Biomedical Science
Fluorescent microscopy plays an
important role in scientific research.
38 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

FREEZEFRAME »
» MASTERS OF EVOLUTION
By Prof Steffen Backert, UCD School of
Biomolecular & Biomedical Science
Squid are marine cephalopods of the order
Teuthida, which comprises around 300 species.
Like all other cephalopods, squid have a distinct
head, bilateral symmetry, a mantle and arms. They
have lived on earth for millions of years and have
differentiated from their ancestral molluscs in such
a way that the body plan has been condensed
antero-posteriorly and extended dorso-ventrally.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 39

» FREEZEFRAME
» REACHING FOR HEAVEN
By Dr Brian Tobin and Dr Matthew
Saunders, UCD School of Agriculture,
Food Science & Veterinary Medicine
An extendable mast reaches above the
canopy of a young ash forest carrying
meteorological and air sampling
instrumentation. The CARBiFOR
project measures the changes in
atmospheric CO2 concentrations
above a number of forest types to
calculate the carbon uptake by the
trees.
Funded by COFORD
40 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

FREEZEFRAME »
» IGNITING THE GASES
By Brian Dolan, UCD School of
Archaeology/Humanities Institute of Ireland
Early iron smelting furnaces worked by
reducing iron ores to metallic iron by means of
carbon monoxide produced at very high
temperatures. This image shows the ignition
of exhaust gases at the mouth of an
experimentally reconstructed furnace, which
indicated that conditions were right for
adding the iron ore and beginning the process
of transforming it into metallic ore.
Funded by IRCHSS Government of Ireland
scholarship and National University of
Ireland Travelling Studentship
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 41

» FREEZEFRAME
» CLIMATE CHANGE –
COMING CLOSER
By Judith Kochmann, UCD School of
Biology & Environmental Science
Pacific oysters are known as ecosystem
engineers: they can restructure
habitats and turn a bare mudflat into
a structurally complex oyster reef.
Thus their shell structures might serve
as a natural ‘life raft’ for periwinkles
struggling with sea-level rise where
man-made structures are limited.
Funded by IRCSET and IRCHSS
» FLIGHT CONTROL
By Billy Clarke and Dr Gareth
Dyke, UCD School of Biology &
Environmental Science
A hummingbird hovering at
flower. This research team is
involved in the study of bird
flight and its evolution.
Funded by SFI
42 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

FREEZEFRAME »
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 43

» SMART IRELAND
Gene
‘We are investing in
R&D and hope to
have a second test
product available by
the end of this year’
Genie
44 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

SMART IRELAND »
Operating within the intensely competitive global
thoroughbred industry, Irish company Equinome
has stolen a march with a product that helps
maximise the genetic potential of top horses.
Jim Aughney talks to the woman behind the science,
DR EMMELINE HILL
W
HEN I ARRIVE AT UNIVERSITY COLLEGE DUBLIN
(UCD) TO INTERVIEW DR EMMELINE HILL, SHE IS
HAVING HER PHOTOGRAPH TAKEN FOR THIS AR-
TICLE ABOUT HER COMPANY EQUINOME.
Photographer Angela wonders about using props and I
ask Hill if we might use the award she has won. “Which
one?” she asks without a trace of bravado.
It’s a fair response. In 2004 Hill received Ireland’s most
prestigious award for young scientists – the Science Foundation
of Ireland (SFI) President of Ireland Young Researcher
Award. In 2010 she was named the Image
Entrepreneur of the Year, and in January her company
Equinome was shortlisted for the Irish Times/Inter-
TradeIreland 2011 Innovation Awards.
Yet the company employs a mere six people for now, including
Hill and managing director Donal Ryan. The key to
Equinome’s success to date, and its ability to catch the eye
of award judges, is based on the fact that its product is
truly unique worldwide.
Equinome operates in the intensely competitive world
of the global thoroughbred industry, which produces
100,000 expensive foals each year. For the past 300 years,
thoroughbred horses have been bred to maximise their
speed and stamina. Throughout those three centuries,
Weatherbys The General Stud Book has been the means of
recording the most successful horses. The General Stud
Book and the breeder’s experience and ‘eye’ have been the
only tools used for selecting which horses to breed.
THE SPEED GENE TEST
Equinome has developed the Speed Gene Test as a further
third tool for breeders, trainers, owners and bloodstock
agents to assist them in maximising the genetic potential
of thoroughbred horses. The test, which is carried out in
the labs at NovaUCD, can be used to predict the optimum
racing distance for an individual thoroughbred. It does this
by analysing the DNA sequence of a gene related to muscle
mass development.
Equinome was established in 2009 as a result of groundbreaking
research led by Hill in UCD’s School of Agriculture,
Food Science and Veterinary Medicine, in partnerhip
with Irish racehorse trainer Jim Bolger.
In 2007 the genetic blueprint for the horse was unravelled
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 45

» SMART IRELAND
for the first time – a whopping 2.7 billion units of information.
The findings by the Broad Institute of MIT and Harvard in the
US revolutionised equine research. Hill was involved in that
groundbreaking research programme.
SPEED AND STAMINA
Within two years Hill had identified the codes in the gene (myostatin)
in a horse’s DNA that result in desirable athletic traits in
the thoroughbred: speed and stamina.
“Our test can be used by trainers to optimise the racing opportunities
of horses in a yard and it can be used in the breeding
industry to select young stock. Our tests will tell you what
each horse is likely to be good at,” she explains.
As part of her research, which was funded by SFI, Hill had to
collect a large sample base of horses, achieving this through the
Irish Thoroughbred Breeders’ Association.
“Many breeders gave anonymous samples for DNA analysis.
We returned the results to them. One of them was Jim Bolger.
When I met him a year later he asked me how the research was
going and offered me samples from another 100 horses. We continued
building on our research through his training yard in
Kilkenny,” Hill continues.
As well as being one of Ireland’s most successful trainers – he
holds the record of 125 flat winners in a season – Bolger is a successful
breeder of champion horses like Teofilo and Soldier of
Fortune.
“He was the first person I discussed the application of the research
with and our partnership arose out of his generosity,” she
says. Jim Bolger is a director of Equinome, as is Professor David
MacHugh, associate professor of Genomics at UCD.
The research was based on 179 elite race winners and 142 twoyear-olds
in training with the same trainer.
46 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

SMART IRELAND »
‘Our most
successful market
abroad has been
Australia, which
isgreatasitis
the second
largest
thoroughbred
market
after the US’
BILLION-DOLLAR
INDUSTRY
Apart from Bolger, Equinome
does not identify any of its
clients as confidentiality is critical
in the racing world. Clients
do not have to identify the
source of the samples sent to
Equinome at UCD and the results
of the speed test are also
confidential.
Equinome will only accept
samples from known owners,
breeders and trainers to prevent the possibility of stolen samples
being used. “This is very valuable information in a billiondollar
industry,” Hill explains.
For a company that has only been in business for little over a
year, Equinome is enjoying international success. Hill has spoken
at conferences and seminars of breeders’ associations in the
US, Ireland, UK and Australia, and the Speed Test is now used
by breeders and trainers in 10 markets, including Russia,
France, South Africa and Japan. The industry is international
by its nature and many breeders and owners have studs and
yards in a number of countries.
“Our most successful market abroad has been Australia,
which is great as it is the second largest thoroughbred market
after the US,” Hill says.
The company, however, faces a battle convincing many in the
traditional thoroughbred industry about the benefits of the new
technology.
“Where we differ from other companies that claim they can
identify speed and stamina in a blood sample is we have carried
out scientific research that has been peer reviewed and accepted
in scientific journals. The science stands up to scrutiny,”
she explains.
Equinome has negotiated an exclusive licence with UCD to
use the research carried out by Hill and her team there. It has
made a PCT filing for the intellectual property behind the Speed
Gene Test.
Equinome has received seed capital and is also receiving revenues
from the tests it already carries out for clients in its 10
markets.
A DISRUPTIVE TECHNOLOGY
Managing director Ryan describes the Speed Gene Test as a
“disruptive technology” which will go through certain phases of
acceptance.
“One breeder has used the test to focus on optimal mares for
his breeding goals. The tests confirmed what he already suspected.
It means he can predict the breeding outcome a year or
more earlier than with traditional methods,” he says.
Because the lab test will identify whether a horse is a sprinter
(6.1 furlongs or 1,300 metres) a middle distance horse (9.1 furlongs
or 1,830 metres) or a longer distance horse (11.1 furlongs),
it allows trainers to optimise their training regime. It saves a
trainer (and an owner) the expense of a season racing a horse in
the wrong races.
The three gene characteristics are CC (short distance), CT
(middle distance) and TT (long distance). Obviously, CC stallions
will father CC foals if matched with a CC brood mare. CT,
the middle distance type, combines the elements of speed with
some stamina.
Hill points out that the Speed Test is growing in acceptance
and by the end of 2011, horses will be advertised for sale using
the CC, CT or TT label. “It’s great to hear people in the industry
with no scientific experience refer to a horse as a CC or a
CT type.”
Equinome is not resting on its laurels, however, and will not be
a one-trick pony. “We are investing in R&D and hope to have a
second test product available by the end of this year,” Hill says.
Currently, the company is focusing on thoroughbreds involved
in flat racing, despite the fact that Hill’s grandmother Charmaine
Hill was the owner of Dawn Run – probably the best National
Hunt horse of all time.
Staff numbers will increase as Equinome appoints people to
focus on particular markets such as Australia.
“We will continue to carry out all tests here at NovaUCD,”
says Ryan. “It is not information that is required within 24
hours, but we may look at a secure lab in Australia as the market
there develops.”
What’s the betting that Hill and Equinome don’t qualify for
another award to add to the collection in UCD before very long?
This article first appeared in Irish Director magazine, Spring
2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 47

» DIGITAL WORLD
‘The cloud is a
transformative
technology that
could have an
enormous impact
and at an early
stage’
cloud
chasers
48 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

DIGITAL WORLD »
With the cloud computing
industry estimated to be worth
some €40bn worldwide by 2014,
Ireland has all the attributes to
capture a significant share of this
burgeoning market, reports John
Kennedy
CCLOUD COMPUTING IS A MAJOR EVOLVING
INDUSTRY WORLDWIDE, WITH SOME ESTIMATING
IT TO BE WORTH IN THE REGION OF €40BN BY 2014.
ACCORDING TO A RECENT STUDY, IN IRELAND THE
INDUSTRY HAS THE POTENTIAL TO CREATE €9.5BN
IN ANNUAL SALES PER ANNUM BY 2014, PROVIDING
8,600 JOBS.
The economic impact study prepared for Microsoft in Ireland
by Goodbody Economic Consultants revealed that Ireland
has many of the necessary attributes to become a global cloud
computing centre of excellence, and could capture a disproportionately
large share of the cloud computing industry.
The study also projected that the cost savings for small business
from migrating to the cloud could result in some 2,000
new non-IT small and medium-sized firms being created that
would in turn employ 11,000 people. Early adoption of cloud
computing by Irish users could take costs of €500m a year out
of Irish businesses, it concluded.
“There is an opportunity that is real and clear. It is vital that
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 49

» DIGITAL WORLD
we put in place a productive policy to take advantage of the
transformative potential cloud computing has for all our organisations,”
says Microsoft Ireland managing director Paul
Rellis, adding that, over time, cloud computing will have the
same socioeconomic impact as the arrival of water and electricity
to premises.
“There is a huge job creation opportunity and an opportunity
to leverage multinationals to create a cluster of cloud computing
industries and this is going to help significantly with
competitiveness. The potential is enormous.”
Rellis is working with IDA Ireland to influence
policy changes that will help boost
cloud take-up in Ireland, but also attract
cloud computing organisations into the
country. These policy areas involve entrepreneurship,
broadband and electricity.
UNIQUE OPPORTUNITY
The author of the study, John Finnegan of
Goodbody Economic Consultants, says:
“This is a unique opportunity. The cloud is
a transformative technology that could
have an enormous impact and at an early
stage. It will be an opportunity for Ireland
to once again be seen as a technology leader
and be the place that good technology
comes from.”
In 2010, 30pc of Irish ICT firms were selling
cloud services, which is already above
the international average, and by 2013, this
is predicted to grow to 47pc of Irish ICT
firms, he adds.
EMC, a major player in the cloud infrastructure
market, employs 1,600 people in
Ireland and recently invested €20m in its
local R&D centre in Cork. The company has
partnered with Cork Institute of Technology
(CIT) to develop Ireland’s first master’s
and undergraduate degree programmes in
cloud computing.
The degree in cloud computing has been
developed for a new type of ICT worker, according
to general manager of EMC’s operations
in Ireland, Bob Savage.
“The future for ICT is going to get very exciting and it will
embrace many aspects, from analytics to virtualisation, and
all encompassed by the cloud revolution,” he explained. “The
challenges and complexities of managing big data will require
creativity and good technical knowledge.
“This will require a new way of looking at ICT, where a
broader experience and range of expertise that includes strategy,
humanities and analytics can play a part.”
Designed to be delivered remotely or on campus, the oneyear
courses address future industry skills requirements and
strengthen Ireland’s advancement as an international cloud
computing centre of excellence.
‘The future for
ICT is going to get
very exciting and
it will embrace
many aspects,
from analytics to
virtualisation, and
all encompassed
by the cloud
revolution’
Initially, 20 master’s degree places are on offer, commencing
in September 2011, with the expectation that enrolment
will grow to meet demand in future years.
The MSc degree and BSc (Hons) degree in cloud computing
are one-year add-on courses for computer science graduates,
commencing in September 2011.
Content development began in 2009 by CIT in consultation
with a consortium of industry leaders, including EMC, Cisco,
VMware, RSA, SpringSource and Greenplum, and 30 EMC
and VMware employees took part in the pilot programme from
2010, graduating in 2012.
The aim is to provide graduates with the
advanced conceptual understanding, detailed
factual knowledge and specialist
technical skills required for successfully delivering
cloud computing, and to equip
them to meet the challenges associated
with the rapidly changing IT industry.
THE IRISH VIEW
The wins for business are significant, according
to the Goodbody study, which estimates
that early adoption of cloud
computing by Irish users will take costs of
€0.5 billion per annum out of Irish organisations.
A survey carried out by Readydynamics.com
for the Irish Internet Association
(IIA) has tracked how organisations have
been using cloud technology in Ireland. It
now has data to compare between 2009 and
2010 and some clear trends have emerged.
Understanding of cloud computing has
improved year-on-year. In 2009, only 46pc
of senior businesspeople understood what
the term meant. That figure rose to 65pc in
2010, and most estimate that figure will
have risen significantly in 2011, with cloud
firmly on the agenda in Irish business.
The survey showed strong intentions by
Irish firms to deploy cloud technology in
the short term; 71pc planned to do so in 2011
and a further 19pc were aiming for next
year. Medium and large enterprises expect to increase using
systems in the cloud by 30pc over the next four years.
The IIA survey found that tools for collaboration, office software
and IT management are perceived to be more suited to
the cloud, and suggested this may be because they are easier
to deploy, or that it is easier to convince management to buy
into and therefore they will gain widespread traction quicker.
Those businesses using cloud computing have had a good
experience with it, the IIA found. According to the survey,
94pc said their cloud project was successful and 97pc said they
would use the technology again.
What is more, larger organisations have begun to take more
interest than last year, when the most enthusiastic cloud sup-
50 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

DIGITAL WORLD »
L–R: Phil Fernandez, president and CEO of Marketo; Paul Rellis, Microsoft Ireland managing director; and
Minister for Jobs, Enterprise and Innovation,Richard Bruton
porters were found in small firms. The belief that the cloud is
best suited to SMEs has dogged it since its earliest days.
Unsurprisingly the technology’s cheerleaders beg to differ:
Microsoft’s recent deal to move New York City workers to
cloud software and services – serving 100,000 users and promising
savings of US$50m – suggests a technology that’s up to
the task regardless of size.
Closer to home, the GAA chose Google for an ambitious project
to provide web-based email and collaboration tools for its
6,000 staff and volunteers, a very impressive number in an
Irish context.
CENTRE OF EXCELLENCE
Meanwhile, overseas companies are looking to Ireland as a
base for their cloud computing services. HP has been expanding
its Cloud Services Centre in Galway, recently announcing
the addition of 50 hi-tech graduate jobs, adding to the 105 positions
HP announced for the same facility in December 2010.
Marketo, one of the fastest growing Silicon Valley cloud computing
companies, is establishing its European headquarters
in Dublin. Marketo says it will create 125 jobs over the next
three years at the new HQ, with recruitment
already underway for graduates and
experienced staff covering sales, marketing,
support, consulting, development and back
office positions.
Marketo specialises in a new area of
cloud computing known as revenue performance
management. This combines
marketing automation with sales to grow
revenues by using all the latest customer interaction
points, including social media.
Founded in 2006, it posted a 315pc revenue
increase in 2010. The Marketo move is
backed by IDA Ireland, and it is just one indication
that the Irish Government is taking
the cloud computing opportunity for
this country very seriously indeed.
In May, Minister for Jobs, Enterprise and
Innovation, Richard Bruton announced the
establishment of a new €5m applied research
centre in cloud computing as part of
‘Ireland has built
a great reputation
as a centre for
software-as-aservice
companies’
the Government’s efforts to support the development of cloud
computing in Ireland. And he hailed Marketo’s arrival in
Dublin as “a great confidence boost for cloud computing in Ireland
and for the hi-tech sectors of the economy generally”.
“I am developing ambitious plans to ensure that Government
continues to provide whatever supports and policy
changes are necessary to build on our achievements, so that
we can realise our potential in these innovative sectors and
create more jobs and growth in the economy again,’’ added
Minister Bruton.
Phil Fernandez, president and CEO of Marketo also had encouraging
words for Ireland’s potential in this sector. “We selected
Ireland because we needed a European hub with a large
talent pool of skilled people,” he said. “Ireland has built a great
reputation as a centre for software-as-a-service (SaaS) companies.
We look forward to expanding operations in EMEA and
supporting our swiftly growing international customer base
from Dublin.”
Irishman Fergus Gloster will be Marketo managing director
for Europe. Gloster was one of the co-founders of Salesforce.com
in Europe and headed the company’s European corporate
sales centre in Dublin from 2000 to
2009.
“I was attracted to Marketo because of
its great technology and ability to help companies
drive revenues from their marketing
and sales investment,” Gloster said recently.
“I feel the same buzz about Marketo that I
felt at the start of Salesforce.com.”
Indeed Salesforce.com, recently named
by Fortune magazine as the fourth fastest
growing company in the world, has had a
presence in Ireland for over 10 years. The
enterprise cloud computing player last year
expanded its workforce here to 400. Having
grown substantially over the last decade,
the Dublin office is the European hub for
Salesforce.com’s multilingual corporate
sales operation.
The future looks sunny for cloud computing
as an industry, and for Ireland’s role as
a significant player within it.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 51

» DIGITAL WORLD
Bell Labs' Dr Frank Mullany
at Alcatel-Lucent's R&D
operation in west Dublin
52 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

DIGITAL WORLD »
An Irish R&D group at Alcatel-Lucent in west Dublin
is spearheading a radio technology that will help bring
the internet to every person on the planet. John
Kennedy speaks to Bell Labs’ DR FRANK MULLANY
Closing the
digital
divide
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 53

» DIGITAL WORLD
‘It makes you proud
when you think of
the contribution
the Irish team is
making in the
development of this
game-changing
technology’
TO WALK THROUGH ALCATEL-LUCENT/BELL LABS’
BLANCHARDSTOWN OPERATIONS IS TO GET AN
APPRECIATION OF THE WHIRLWIND HISTORY OF
TELECOMS OVER THE PAST 150 YEARS.
Ensconced among hi-tech research labs and state-of-the-art
facilities is a little corner where the very equipment responsible
for the telecoms and internet revolution sits. For visitors,
it’s a mind-blowing experience to see the antenna responsible
for the world’s first transatlantic phone call, the first cinema
projector with sound, replicas of the world’s first telecoms
satellites, the earliest telegraph machines and sections of the
world’s first transatlantic fibre optic cable.
It is thus fitting that yards away young engineers are spearheading
the development of a new technology with an addressable
market of €100bn over the next seven years, which
is little more than the size of a Rubik’s Cube. The technology,
incidentally, could be a game changer for humanity.
WHAT IS LIGHTRADIO?
Known as lightRadio, the tiny new technology will revolutionise
base stations and mobile masts, effectively reducing
their carbon footprint by 50pc, leading to more bandwidth per
person and to universal broadband coverage.
LightRadio represents a new approach to base-station technology
and shrinks today’s clutter of antennas serving 2G, 3G
and LTE (4G) systems into a single, powerful Bell Labs-pioneered
antenna that can be mounted on poles, sides of buildings
or anywhere else there is power and a broadband
connection.
Underlining the oncoming gridlock in mobile communications,
Bell Labs predicts there will be more than 21.6 billion
downloads of mobile apps by 2013. By 2015, the world will experience
18 times more smartphone devices and 30pc more
wireless data traffic. There will be 32 times greater smartphone
usage per urban kilometre.
As well as the obvious business opportunity for the mobile
industry and for firms to engage in e-commerce and new forms
of content delivery, the real benefit will be a humanitarian one
because it will address the digital divide in the world.
Today, only 59pc of the world’s population use mobile
phones. That means nearly three billion people are excluded
from the mobile community. A 10pc increase in mobile pene-
54 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

DIGITAL WORLD »
tration would lead to a 1pc increase in low–
medium income GDP. That’s about $160bn
added to the global economy.
CLUTTER-BUSTING TECHNOLOGY
Leading the research in Dublin is Bell Labs’
director Dr Frank Mullany, who explains
that the tiny new technology will remove the
clutter of equipment that is usually seen on
a base station tower.
“We are creating a technology that removes
at least two or three of the different
boxes you’ll see on a tower down to one single
device that will, in most cases, be connected
to fibre cable.”
Mullany says the technology being built in
Dublin and which was unveiled at the recent
Mobile World Congress is a radical development
that puts Alcatel-Lucent years ahead
of competitors.
“Not only is this more aesthetically pleasing,
but it increases the capacity of base stations
to serve users with better bandwidth,
at the same time reducing power consumption.
“For mobile operators, they can have
more control over beam shaping, which allows
them to add or remove capacity in
built-up or rural areas depending on the
time of day.”
The technological breakthrough puts Ireland
at the coalface of what's happening in
communications around the world. The
Dublin operation emerged from a major
€69m investment in a new R&D headquarters
in Blanchardstown, which included the
establishment of a Centre for Telecommunications Value
Chain-Driven Research (CTVR) at Trinity College Dublin.
This was followed up last year by a multimillion-euro investment
that will create 70 new jobs in Dublin. The posts will
all be technology R&D-focused and the research will centre on
Bell Labs' Open Innovation structure and will include a focus
on Alcatel-Lucent's Green Touch strategy, an initiative aimed
at improving communications networks' energy efficiency.
DEVELOPING BUSINESS
Mullany maintains that increasingly R&D researchers are
playing a pivotal role in the business development of giant
multinationals.
"Commercialisation of new technology is a discipline that's
every bit as important as shipping products to market. The
faster we can develop that technology the faster the business
can take advantage of the new capabilities. It makes you proud
when you think of the contribution the Irish team is making in
the development of this game-changing technology."
Mullany says the Dublin research team, which also played a
‘We are already
starting on new
technologies that
will have major
implications for
developing world
countries’
key role in the development of femtocell
technology that boosts mobile signal in
homes and offices, such as Vodafone's Sure
Signal Technology, is driven by Alcatel-Lucent's
desire to close the digital divide between
the developed and developing
worlds.
According to a model developed by Bell
Labs and the World Economic Forum, with
the right combination of actions and investment,
we can accelerate the impact of
mobility by as much as 36pc, measured in
GDP.
During the past five years, significant
progress has been made in providing the
benefits of connectivity. In Africa, Asia and
Latin America, mobile phones have helped
more than two billion people become more
productive and efficient.
CONNECTIVITY BENEFITS
WORLDWIDE
The beneficiaries range from fishermen in
India who use mobile phones to find the
best markets for their catch, village women
in Kenya who receive mobile remittances
and make mobile payments, and health
workers in Brazil who can now collect data
more efficiently. The number of mobile devices
in use globally has grown to five billion,
and the number capable of accessing
the internet is expected to reach 1.82 billion
by 2013.
Developing countries now comprise
86pc of the world’s population, and over
half the people in those nations are living
in rural environments. Mobile access in these areas is still far
behind adoption in developed regions. People in emerging markets
are only half as likely to have access to mobile communications
as the residents of developed countries. And fewer
than 10pc have internet access, far below the global average of
23pc.
Mobility affects GDP and can be a tool to drive education
into underserved areas. Alcatel-Lucent says it believes the
right combination of applications and affordable access can
lead to a 2.7pc GDP increase, and 1pc increase in HDI in
Kenya. In real terms it means that Kenyans could educate an
additional 443,000 students and add 15 months in life expectancy.
“We are already starting on new technologies that will have
major implications for developing world countries,” Mullany
concludes. “One of the hardest things is making the leap from
mad science or a blue-sky idea to creating real world technologies
with a real commercial impact. The journey from an
idea to a product with real world benefits is happening here in
Dublin.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 55

» MANAGEMENT INNOVATION
‘Part of the lesson
we can learn is that
innovation is not
enough, you also
have to know how
to imitate’
56 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

MANAGEMENT INNOVATION »
In his latest book, Copycats: How Smart Companies Use Imitation
to Gain a Strategic Edge, PROF ODED SHENKAR dispels some of the
taboos around imitation, and argues that it can be combined
with innovation to create business growth. He spoke to Ann O’Dea
Innovation
meets
Imitation
WHILE MANY WILL PRIVATELY ACKNOWLEDGE THAT
CREATIVE IMITATION CAN BE AN IMPORTANT PART
OF BUSINESS STRATEGY, FEW SHOUT IT FROM THE
ROOFTOPS. In his latest book, Copycats: How Smart Companies
Use Imitation to Gain a Strategic Edge, Oded Shenkar, professor
at Ohio State University's Fisher College of Business,
tackles the subject head-on.
In Copycats, Shenkar goes as far as to say that imitation can
be more important than innovation when it comes to business
growth, so I ask him to elaborate on this when we meet.
“Part of the idea with the book was that we have all this talk
about innovation, innovation, innovation,” he tells me. “We are
really flooded with attempts to remind us that we need to innovate,
and how to innovate and so forth. The reality of it is that
imitation is at least as important if not more important at times.
And I think it has always been true. If you look at human civilisation,
if you look at our history, at how we have developed
throughout the ages, it was always through imitation.”
Of course, despite the book’s title, the reader quickly understands
that Shenkar is not talking about straight ‘copying’ or
‘stealing’ ideas. He is talking rather of imitation linked with creativity.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 57

» MANAGEMENT INNOVATION
TACKLING THE TABOO
One can’t help admiring Shenkar for tackling such a taboo subject
as copying. “Absolutely, there is a taboo,” he agrees. “There
is a very strong stigma associated with copying but, by the way,
this is more in Western societies than in some other societies,
and even in Western societies this is only the product of the last
century because there was a period in time where we valued imitation.
I hope that we will learn to do it again.”
Shenkar has done many years’ research into China, and has
penned such highly regarded books as The Chinese Century.He
believes that we in the West may have lessons to learn from the
Chinese in this area.
“It’s kind of ironic, China was one of the impetuses for me
doing the book,” he says. “If you look at the Chinese they are
also very focused on innovation. So it sounds almost funny to
them that we mention imitation. Yet if you look on the ground
they are tremendous imitators and I believe this is one reason
for their success. Part of the lesson we can learn is that innovation
is not enough, you also have to know how to imitate.”
THE IMOVATORS
Shenkar calls corporations that carry out excellent imitation
‘imovators’. “I call these companies imovators because they do
imitation and innovation very well, and indeed part of the argument
in the book is that the two capabilities are rather complementary
– certainly they are not contradictory.”
He points to the iconic Apple. “It’s ironic because everyone
thinks of Apple as the ultimate innovator but actually Apple did
not and does not invent new technologies.
“You might argue that they innovate in the business model
they embed the innovation in, but they rely very much on imitating
existing technology.”
Ryanair is also an imovator, argues Shenkar. “Ryanair is a
classic example that I used in the book and there are many others.
Those companies know how to do both activities well – both
imitation and innovation. My argument is if you want to be successful
you really need to be able to do both.
“When Ryanair started it was really about to fail. Basically it
came up with the idea of being the discount airline here, and
was going to compete with Aer Lingus and the other players.
There was only one problem. It didn’t really have the business
model to support it. Then when the current CEO was appointed,
the boss basically said: ‘Let’s go to Texas’ and they went and visited
Southwest Airlines. As soon as they came back they set out
to copy Southwest.
“I give Ryanair a lot of credit for being very open about it, and
not shying away from it. They were very, very clear about it. So
they set up to copy the model, to replicate the model and then,
importantly, they decided they could take it further, take it in
another direction.”
It is no accident that Shenkar uses Southwest among his case
studies. The low-cost US airline regularly appears in the major
works on business strategy.
“It’s a fascinating example. Even one piece by one of the strategy
gurus, Michael Porter, brings in Southwest Airlines as an
example of a model that cannot be imitated! Okay? So I figure
I’m going to take that as supposedly the more difficult example
and show you that it can be imitated.”
‘Everyone thinks
of Apple as the
ultimate
innovator but
actually Apple
did not and does
not invent new
technologies’
That said, Shenkar also demonstrates in the book that there
are many companies that have tried this and failed.
FALLING BEHIND
When Shenkar went to tackle this area for his new book, he
began by looking to other areas of scholarship, and read voraciously
“anything from history to archaeology, art to biology,
neurosciences and so forth”.
“I had this feeling that maybe within the field we call business
administration, we are really missing something, and boy was I
in for a surprise!” he continues.
“All of these different disciplines, which really range from the
humanities to the natural sciences, have gone through a transformation
over time. They have started at some point by looking
at imitation as something very primitive. Now, over time they
have all changed their perspective quite dramatically, and they
all have come to see imitation as a very complex and intelligent
capability.
58 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

MANAGEMENT INNOVATION »
“That taboo has a lot to do with it,
because if it’s taboo we don’t want to
discuss it, we do it behind closed
doors. And typically what we do behind
closed doors and in the dark is
not going to be dealt with very seriously,
very systematically. It’s not
going to produce very good results.
So we are doing imitation, but we’re
not doing it right.”
“There is only one area that has fallen behind and remains
with the old perspective and that is, I regret to say, business administration.
Which is kind of funny because you expect business
to be ahead of the game! But we are not, and I think there
are very, very important lessons to be learned from that,” says
Shenkar.
Whether those in business will be open to embracing the idea
remains to be seen, he maintains. This taboo we have already
discussed is part of the problem, as it means imitation in strategy
is somewhat ignored when it comes to business strategy.
“Reading some of the early texts, there were very few people
that noticed the importance of imitation,” Shenkar explains.
“Theodore Levitt, for instance, who wrote for the Harvard Business
Review back in the 1960s, he looked at companies and he
found out that the same company that had invested a lot of time
and developed a system to handle innovation dealt with imitation
in a most amateurish fashion. That’s 50 years ago. I was
shocked to find that that remains the case today.
ACCELERATING RATE
In Copycats, Shenkar argues that the
rate of imitation is in fact accelerating.
“Many will counter argue that in
a modern environment, innovation is
ever more important, because the
pace of, for example, product introduction
is so much faster. My answer
to that is that this is precisely what
makes imitation also much more important.
“You need only look to historical
data. If you look at something like
porcelain which was invented in
China around the 7th or 8th century
during the Tang Dynasty, it took European
nations about 1,000 years to
replicate it – and not for lack of trying!
“Then the further up you go, you
see that the length of time shortens
dramatically, so if you think of the
phonograph that Thomas Edison invented,
it took about 30 years before
we had the first commercial version.
The compact disc – it took three
years.”
Shenkar looks also at prescription
drugs. “It really began in the 1960s
and then it took maybe two years before
somebody would come up with a generic substitute. Then
it went down to nine months. Then for Prozac, it took two
months. And you see it in almost everything else, whether it’s a
product like a savings plan for a bank or a business model or a
service.”
“And it is because of this acceleration that you’ve got to have
the capability, you’ve got to have the infrastructure to actually
process it, turn it into a successful imitation. But until we put
our mind to it and do it in the right fashion, and systematically,
our chances of doing it right are really slim.
“Then we fail and it’s easy to come and say: ‘Imitation doesn’t
work, imitation doesn’t pay’. Well, it’s like everything else, if you
do it right it works.”
Copycats: How Smart Companies Use Imitation to Gain a
Strategic Edge, by Professor Oded Shenkar is published by Harvard
Business Press. This article first appeared in Irish Director
magazine, Spring 2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 59

» INTERVIEW
Gearing up for
sustainable
cities
WILLFRIED WIENHOLT is VP of urban development
at Siemens, and a member of the Urban Infrastructure
Initiative of the World Business Council for Sustainable
Development. He speaks to Ann O’Dea about setting road
maps for tomorrow’s sustainable cities
60 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INTERVIEW »
‘Because they
account for huge
consumption of
energy, cities are
responsible for
about 80pc of
greenhouse gas
emissions globally’
TODAY, MORE THAN HALF OF THE PLANET’S
INHABITANTS ARE LIVING IN URBAN AREAS, WITH
THREE MILLION MORE PEOPLE ARRIVING IN
CITIES EVERY WEEK. BY 2050, MORE THAN 70PC OF
THE GLOBAL POPULATION IS EXPECTED TO LIVE IN
CITIES. CITIES ARE THE FUTURE, AND THEY ARE
WHERE THE CLIMATE CHANGE BATTLE WILL BE
WON – OR LOST.
That is according to Willfried Wienholt, vice-president of
urban development at Siemens, who is was in Dublin in May
to address the second annual Green Economy Business &
Leadership Briefing, where other international speakers included
the former UN climate change chief Yvo de Boer.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 61

» INTERVIEW
In his role, Wienholt supports decision
makers in cities to connect the sustainable
development of urban infrastructure
with green and efficient technologies. He
is also a key member of the Urban Infrastructure
Initiative of the World Business
Council for Sustainable Development.
“Today economic life takes place in
cities, but because they account for huge
consumption of energy, cities are responsible
for about 80pc of greenhouse
gas emissions globally,” says Wienholt.
“And that is why cities play such an important
role in the debate. This humaninduced
climate change needs to be
resolved by the cities if we want to really
combat it efficiently.”
He points to a simple example of the vicious
cycles that take place in cities.
“When you take a look at traffic jams for
example, they have a very, very strong
negative impact. First of all the people
just stay around in the traffic jams so
they can do nothing, and as they just sit
around in their cars the engines burn
more fuel than is needed to get the person
from A to B, which results in more
CO2 emissions. These emissions may
also have an impact on the health status
of the people living in these congested
areas, and if it has an impact on the
health of the people, it has an impact on
productivity, which again connects back
to economic growth.
“So in cities we are facing cycles like
this and it is vital to get out of these vicious
circles that are induced by congestion
and other problems related to
greenhouse gas emissions. This we
know.”
CITIES OF TOMORROW
Cities throughout the world are working
towards becoming more sustainable, but
in the current economic climate the
question of cost regularly raises its head,
says Weinholt. “Today we know that climate
change is unequivocal and that if we
don’t do anything, we will have to cope
with a cost of 3pc of global GDP by 2030.
So now the question has to be not ‘What
is the cost of doing nothing?’, but ‘What is
the benefit of doing something?’.
“Many cities are afraid that if they
don’t do everything then they won’t be
‘Now the question
has to be not “What is
the cost of doing
nothing?”, but “What
is the benefit of doing
something?”’
doing enough, and that’s wrong,” he continues.
“Cities need to look at what needs
to be done in terms of transportation, in
terms of buildings, of energy supply and
energy consumption, of waste and water,
and create a long list, a road map.
“We do not make progress because we
feel we have to do everything at once –
that is not feasible, that is too complex.
Rather we must find a way to prioritise
and then act.”
GREEN CITY INDEX
In the European Green City Index, a research
project conducted by the Econo-
62 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INTERVIEW »
mist Intelligence Unit in 2008 into the environmental
impacts of 30 of Europe’s
major cities, Dublin came in just 21st – although
it did rank fourth when it came to
the air quality category, thanks in no
small part to Mary Harney’s smokeless
fuel legislation in the 1980s.
If Dublin, and other cities like us, are to
become more sustainable, environmental
governance will be key. This has worked
for Copenhagen, which came out top in
the same European Green City Index, although
Wienholt cautions that every city
is unique and will need its own combination
of measures.
“If you take Copenhagen, all activities
in the city are based on their overall climate
plan for the city, which is driven by
the Lord Mayor. They really address all
the topics of quality of life, increased business
activity, reduction of CO2.”
The municipality created an integrated
environmental management framework
across all departments, appointing environmental
co-ordinators for each administrative
unit who meet regularly to
exchange experiences.
“Before choosing the technologies,
they set a framework first to ensure that
they go for the appropriate ones,” explains
Wienholt. “And the city is working
on how to increase the co-operation with
the private companies, which is also key.”
He argues that public-private partnerships
offer a means for city managers and
companies to share their expertise, and
enable co-operation between authorities
for the city to act as a single unit.
“This can’t be about ‘give me your
technology’, and then it’s done,” he says.
“There has to be a real understanding
about how the different technological solutions
interact with each other to come
to a good outcome on the sustainability
road map.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 63

» INTERVIEW
DIFFERENT STROKES
While Wienholt emphasises that every
city’s requirements will differ, he cites some
examples of the technologies that are helping
some cities score high on the sustainability
front.
“If you look again at Copenhagen, about
98pc of the buildings are connected to the
district heating system, and they use combined
heat and power plant, which helps
them to have a good efficiency level for the
energy supply and, at the same time, to
provide an according yield. They also have
a very good transport network with a
seamless ticketing system. It doesn’t matter
if you go by waterbus, by bus, by train –
you can always use the same ticket, or even
your mobile phone.”
He points also to Vienna, which in 2006
opened Europe’s largest biomass-fuelled
power station in the Simmering district,
which powers over 48,000 homes and
heats some 12,000. Renewable sources account
for over 13pc of the energy consumed
by the city, reducing greenhouse gases significantly.
“Or, if you go to Oslo, they have installed
new technology in their subway which
helps them to save about 30pc of the energy
for the trains because they use the energy
which is released during braking and
store it for later acceleration.
“So, as I say, it’s not like there is one set
of solutions that fits all. It really depends
on the individual needs of the city which
type of combination of solutions makes
more sense.”
Paul Lynam is the CEO of Siemens in Ireland.
He says that it is the financial element
that will create the biggest challenge as we
move Dublin towards a more sustainable
model. “Basically the core of our economy
is still pretty strong, the export orientation
at the moment from FDI is performing very
well, but in order to make this step change
to become a green city there is a capital investment
that is required, and that is one of
the big challenges that Ireland will face.
64 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INTERVIEW »
‘So it’s really
something like an
overarching cost
benefit analysis we
need. We have
healthcare
economists. In the
same way we need
something like
infrastructural
economists’
“When the investments are made and it
leads to a greener, cleaner city, it makes the
city more attractive, and we have a high
correlation between the attractiveness of
cities and their performance in the Green
City Index, so I think it will contribute
strongly to prosperity and jobs.”
ECONOMICS OF INFRASTRUCTURE
I ask Weinholt whether a new range of skill
sets is required in this move towards sustainable
cities, and whether the education
system needs to adapt.
“I think it is less about looking for something
new, but more to look at how we can
make use of our existing knowledge base,”
he responds. “I suppose it is more about
combining that expertise to cope with
these new challenges, and perhaps expanding
that knowledge base.
“Take this example – if we look at healthcare
systems in different countries, we always
find healthcare economists who are
quite able to assess the value for society, as
well as the cost of the current healthcare
system. They have a good understanding
of what is affordable and what is not affordable.
“If I translate this into infrastructure, we
are facing quite the same challenges. Today
it is not really known just what the cost and
benefit for the society is, for the environment,
for the economy, if we do implement
a combination of different solutions. The
Green City Index, for example, can help
cities like Dublin to prioritise, to see where
the city performs well or where it underperforms.
This, all of a sudden, gives you
focus areas so you don’t need to cover each
and every infrastructure segment, but
maybe start with these.
“Where we do need new skill sets is in
the economic area – the capability to assess
the economic value of what we want to do.
If I want to improve my transportation system
let’s say, and I go for traffic management
and I go for a better bus or transit
system or light rail system, I have to assess
if I do it how does it benefit the society?
How does it benefit the economy? How
does it benefit the environment? How does
it benefit the politics? And, of course, the
cost of these benefits.
“So it’s really something like an overarching
cost benefit analysis we need. We
have healthcare economists. In the same
way we need something like infrastructural
economists. That is a skill I think we desperately
need in order to translate good
plans, good ideas, good intents into something
that is tangible and feasible
technology-wise.”
This article first appeared in the Green
Economy Report in Irish Director
magazine, Summer 2011
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 65

» ARTS & CULTURE
‘Being able to present a 360 degree of
contemporary Irish creativity, culture
and innovation, I think is more powerful
than any snapshot of an individual area’
The
creative
connection
A year-long programme of Irish cultural events
in the United States may well have a lasting and
wide-ranging impact on connections between the
two countries. Grainne Rothery spoke to Culture
Ireland’s chief executive, EUGENE DOWNES
Eugene Downes
66 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

ARTS & CULTURE »
IF AMERICA WAS IN ANY DOUBT THAT IRELAND’S
CREATIVITY AND INNOVATION IS AT THE VERY TOP
OF ITS GAME, an ambitious year-long cultural initiative
that is bringing over 300 Irish theatre, literature, dance, music,
film and visual arts events, and a cast of 1,000 artists and ensembles
to more than 40 US states during 2011, should brush
those reservations firmly aside.
The overt aim of the Imagine Ireland project may be to showcase
the country’s creativity from an artistic perspective, but
the Irish Government makes no bones about the fact the initiative
is also about creating and renewing connections with this
vital market, both for the arts and for Irish business, and about
changing perceptions about Irish innovation in all areas of endeavour.
Imagine Ireland is a Government-supported project that is
being co-ordinated by Culture Ireland, the six-year old organisation
dedicated to promoting Irish arts internationally. According
to Eugene Downes, chief executive of Culture Ireland,
the US market has been a critical area of focus for his organisation
from the outset.
“It’s been one where Irish artists have met with great success,
but also vast tracts of the country would have been relatively
untouched, certainly by more contemporary Irish arts of different
kinds,” he says. “Even in the great cultural centres, there
would in many years be surprisingly little contemporary Irish
work in leading venues. We felt there was a real challenge there
to up our game collectively and to reopen connections with
major institutions.
“We felt there would be value in choosing a moment to try to
get something that would have real critical mass and that would
be able, as a special separately branded platform, to communicate
a particular set of messages.”
This idea coincided with a Government review process which
took place in late 2008/early 2009 and examined the whole Ireland
US relationship.
“The review was launched in March 2009 and had a major
chapter on culture: the role of culture and the power that arts
and culture have in renewing that Irish-American relationship
and how that can reenergise other parts of the relationship as
well,” he continues.
A recommendation to organise a high-profile cultural initiative
in 2011 was approved by Government. “That gave us the
starting gun officially to be able to move ahead and plan with a
definite timeframe,” says Downes. “Since 2009, we’ve been
steadily putting the plan together. It is a very ambitious undertaking
and the largest promotion of Irish arts ever abroad.”
Imagine Ireland has received a one-off investment of €4m. In
addition, up to €1m of Culture Ireland’s regular core budget of
€4m will be spent on Imagine Ireland-related programmes as
part of its normal US spend.
The Imagine Ireland programme covers a full spectrum
across the art forms. “To exclude any art form would be to
weaken the thrust of the whole effort. Being able to present a
360 degree of contemporary Irish creativity, culture and innovation,
I think is more powerful than any snapshot of an individual
area.”
Details of the programme were announced in January by Ireland’s
newly appointed Cultural Ambassador Gabriel Byrne.
The artists involved range from the established – Colm McCann,
Anne Enright, the Abbey Theatre, Paddy Moloney and The
Chieftains, Colm Tóbín and Roddy Doyle are just a handful of
the big names involved – to more emerging talents.
One of the programme’s aspirations has been to highlight the
fact that Ireland's tradition of creativity and innovation in the
arts continues. “Joyce and Beckett were absolutely at the cutting
edge of redefining their art form,” explains Downes. “As innovators,
one couldn’t possibly find better symbols of Ireland’s
cutting edge, imaginative power in whatever sector. Equally, it’s
fantastic to be able to introduce to America, through Imagine
Ireland, younger Irish artists, musicians and writers.”
The geographical scope of the project extends beyond the
centres where Irish art and indeed people have traditional connections.
“We wanted to try to reach into states that would
have seen very little work, to try to pioneer new trails that
Irish artists would then be able to build on and that we’d be
able to build on with them and that other agencies can connect
into.”
CONVERGENCE
In certain events, Culture Ireland is working with other agencies
to explore the convergence of art, design and technology. A
good example is the South by Southwest festival which takes
place each March in Austin, Texas. “We’ve worked for a number
of years with the music part of South by Southwest. This
year for the first time the Irish Film Board came in to promote
Irish film at the film strand of the event and Enterprise Ireland
came on board to promote Irish interactive technologies and
digital technology in digital media in the interactive part.
“South by Southwest is a platform that gives us a glimpse of
the power that bringing art, digital media and cultural content
together with the technological platforms can distribute, and
how interactive technology, particularly engaging with cultural
content, is opening up all kinds of routes that we wouldn’t have
imagined.
“We’re clearly a global leader in the field of live music, and
equally obviously a leader in the field of ICT. So there’s an obvious
opportunity there to match that cultural content with the
technology platforms.”
According to Downes, a number of other events in the autumn
part of Imagine Ireland will further showcase and explore the
value and the benefit of the whole art, cultural content, digital
media and technology convergence.
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 67

» ARTS & CULTURE
MEDIA IMPACT
Downes believes that the media impact associated with Imagine
Ireland productions will have long-lasting benefits. As an example,
he references the media coverage in leading newspapers
across America for Druid Theatre Company’s eight-city tour of
Martin McDonagh’s The Cripple of Inishmaan. He believes that
people who read the reviews will “have a sense that there is
great creative work coming out of the country, that there is energy
coming out of the country, that there is work of world-class
standard coming out of Ireland”.
“And I think that feeds across into a general sense of goodwill,
of openness, of interest in Ireland that benefits tourism, trade,
investment and Ireland’s general standing in the States,” he
says. “So there’s a very rich series of benefits, from the benefits
to the individual artist, to the company, to the sector, to Ireland’s
cultural presence, and then through to Ireland’s overall reputation
and opportunities in the States.
“We’re only here since 2005, but IDA pioneered cultural marketing
or advertising with the ‘Irish Mind’ campaign and other
previous campaigns. They’ve done a huge amount of work in
spreading the broad appreciation of Irish creative thinking,
imagination and cultural excellence as it feeds through into a
broader image of Irish creativity.
“It’s a great example of where the different agencies can forge
paths which then can be broadened and explored by others.”
The value of the media coverage around the initiative cannot
be underestimated, he says. “In media terms, even before the
crisis hit, about two thirds of all positive coverage of Ireland in
The New York Times was cultural-related. Going back two years,
the equivalent advertising value of that cultural coverage in just
the key New York-based global media would have been in the
order of US$20m per annum. Again, a multiple of the level of
public investment involved.
“I think the stakes are so much higher this year than they
were even two years ago, so the battle for Ireland’s reputation
being fought through the key print and broadcast media stateside
is absolutely critical and I think Irish artists and cultural organisations
and companies are some of the most effective
players we have in presenting the best face of Ireland.
“And it’s something entirely on its own terms, something that’s
not propagandistic, but is actually communicating in quite a
complex sense what Ireland is about, what’s been happening
here and what the future might be. And who better to imagine
a future than the creative artists?”
Above: Tadhg Murphy in
the Druid’s production of
Martin McDonagh’s The
Cripple of Inishmaan
Left: Denis Conway in the
Druid’s production of
Penelope by Enda Walsh
Below: The Druid’s
production of Sean
O’Casey’s The Silver Tassie
TRACKING VALUE
Culture Ireland will be tracking the value of the media coverage
very intensively, says Downes. “One of the challenges with a
project like Imagine Ireland in the cultural field is to build an
evaluation model that actually captures the longer term intangibles
as well as the shorter term tangibles.
“The first order impact is clearly to the benefit of the artist,
and that’s as it should be, just as if there’s a full page feature in
the business section of The New York Times on an Irish company
that’s breaking through or going to market or has just landed a
venture capital investment. But there is such a powerful broader
message about what Irish business is capable of, what Irish
writing is capable of.”
68 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

ARTS & CULTURE »
Bigger footprint
In a six-month tour of America this year, Galway’s Druid Theatre Company is presenting Martin
McDonagh’s The Cripple of Inishmaan, Penelope by Enda Walsh and The Silver Tassie by Sean
O’Casey, at various locations across the country.
While Druid has toured America extensively over the years, artistic director Garry Hynes says
that being a part of Imagine Ireland “feels like you’re playing on a bigger field”.
“Because there are other artists there and other art forms, it means the footprint is bigger
and there’s a bigger connection between things. It also feels really good to be a part of something
like that. This year 1,000 artists are going to the US as part of Imagine Ireland, there’s a
great feeling in that.”
She believes the year-long project has the power to have a very positive impact on Ireland.
“We’ve been the subject of negative stories about the state of our economy for the last two or
three years. If you compare the number of good news stories there has been about the arts, of
course that has an impact. It very much has an impact on the perception.
“Even the networking, the actual friends you make, have an impact. Every time there’s a performance,
even if it’s a poetry reading to 100 people or it’s a performance to 1,000 people in
the Kennedy Centre, the whole network of US and Irish people are connecting in there. That in
itself just makes a huge difference.”
Hynes is also of the opinion that audiences are included to link Ireland’s cultural creativity
with its creative abilities in other fields. “I think the Americans would have been one of the earliest
people to cotton on to that. The Americans knew long ago that there was a connection between
creativity, culture and output and economics and so on and so forth.
“I think the problem is we were slower here to see that and that curiously enough it has been
something like the few years that have suddenly made people realise how important it is.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 69

» ARTS & CULTURE
ENGAGEMENT FROM THE TOP
According to Downes, engagement in the Imagine Ireland
programme has been very strong across Government. “I think
the Global Economic Forum at Farmleigh at a really interesting
moment definitely focused on this area and that we were only
scratching the surface in terms of the impact Ireland’s culture
could play as one of the strongest cards we have in our global
reputation.
“This project is the first to really try to explore that and scope
it out and see what impact we can have. The same way Gabriel
Byrne taking up this new role of Cultural Ambassador for Ireland
was a way of saying, ‘Can we imagine some new way of
drawing in Irish artists and indeed the global Irish diaspora to
join in this collective process of reimagining Ireland?’. I think
that model of cultural ambassador is very unusual and one that
probably other countries and perhaps other sectors have taken
notice of and are looking at.”
Downes notes that the face of Ireland in America has changed
in recent years. “Obviously the pattern of emigration has
changed so much so we can’t take for granted the scale of either
first generation or of subsequent generation Irish in the States,”
he says. “The nature of their awareness and their engagement
with Ireland is different to what it was in the past.
“We need to create new connections with Irish-America, but
also connect with Americans who have had no connection whatsoever
with Ireland, but are open to something that is excellent,
exciting, different, contemporary and so on, and just to build
those new communities of interest across the United States,
some of which will have a cultural cast, some of which may have
a business-related or environmental or other character.
“Behind Imagine Ireland is a long awareness and a reflection
on the changing nature of Irish cultural identity in the States
and how we need to try to recognise where that is, try to engage
with it in a creative way and renew it.”
Different voices
Belinda McKeon is curating the literature strand of Imagine Ireland
and has devised a programme that includes around 100 writers and
will involve venues in up to 20 states in the course of the year. “We’re
really reaching out right across the spectrum in terms of the mixture
of established and emerging writers and also in terms of reaching
out to different audiences for literature,” she says. “And we’re going
to venues that are not just in the main cities.
“There have also been really strong influences and interconnections
between Irish and American writing. My aim has to been to
build on that, but also to create new audiences for Irish work, to help
make American readers and audiences of literature aware of the exciting
new things and also to create opportunities and relationships
for Irish writers with festivals and venues in the US.
“This year, as a result of Imagine Ireland, dozens of festivals and
venues are programming Irish writers for the first time, and my great
hope is that going forward, that looking towards Ireland and its contemporary
literature scene will continue.”
Irish writers are already playing a bit part in the literary scene and
literary events in the US, McKeon points out. “But when audiences
here [in America] think of Irish writing, I think they think of a few key
very high-profile people. My objective as literary curator has been to
help audiences to see that there’s so much else going on and that
there’s some really exciting new work and writers and that mid-career
writers are doing brilliant work.
She believes the initiative is helping to change perceptions of Ireland
by providing a platform to such a wide range of perspectives
and voices. “Audiences are being brought in to many different imaginative
versions of Irishness and Ireland. Every time an audience is
moved at a reading or gains something enriching or entertaining
through an encounter with an Irish writer, I do believe that they come
to think about Ireland differently and that they continue to think
about Ireland and take another look at it.
“I do think there is a direct pay off in terms of perceptions and the
image of the country and a sense of how much energy is there and
the diverseness of perspective.
“If you’re in a position to bring up to 100 hugely imaginative artists
to a country, I think that says something about the level of creativity
and innovation in the country outside of literature.”
70 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

ARTS & CULTURE »
A complex portrayal
Above: John Wayne and Maureen O’Hara in The Quiet Man
Below: Maureen O’Hara
One of the highlights of the film strand of Imagine Ireland has been ‘Revisiting
The Quiet Man – Ireland on Film’, curated by Gabriel Byrne and
presented by The Museum of Modern Art and the Irish Film Institute
(IFI), which ran from 20 May to 30 May and involved 14 films and 21
screenings.
“It’s something Gabriel has been mulling over for a long while,” explains
Sarah Glennie, director of the IFI. “It’s about questions about Irish
identity on film and representations of Ireland within Hollywood and the
comparisons then with more indigenous film-making here and how Ireland’s
history has been dealt with by Irish film makers.
“The Quiet Man is a very iconic film that is very much about the emigrant
experience and the emigrant returning home, a lot of which is a
theme underlying Imagine Ireland. Using The Quiet Man as a starting
point, we’ve worked with him to select a number of titles, all feature
films, that Gabriel feels really articulate these themes about home,
about exile, about Irish history, a sense of Irish identity, politics, religion,
all of the things he sees as very much central to The Quiet Man.”
The IFI has also been involved with a 13-week documentary film programme
running at the New York Public Library. “Within that programme
we’ve been able to communicate a really multifaceted and very
complex portrayal of Irish society in a very effective and moderately
easy way. We very much tried to present the reality versus the imagined.”
Glennie firmly believes in the wider benefits for Ireland of highlighting
Irish creativity. “I was talking to Tim O’Connor who is the previous
Consulate in New York. On his arrival there he was very focused on Wall
Street and he saw that as his main task. But he realised very early on
that much of Ireland’s reputation
rested within Broadway and the
cultural sphere and really the
way into Wall Street was through
that cultural recognition.
“The great thing about Imagine
Ireland is it allows us open
up to a range of art forms,” she
continues. “It’s such a strong
message about Ireland and it’s
more than ‘Doesn’t it look nice
and wouldn’t it be a great place
to visit’. It’s about a sophisticated,
dynamic, very diverse
culture.
“The focus within Imagine Ireland
and within our programme
on contemporary culture is very
important because that signals
that it isn’t just about Joyce and
Beckett and the past and that
there’s a huge amount of very
exciting and very dynamic creativity
coming out of Ireland now
and I think that signals a huge
amount about the potential of
the country in the future. And I
think in America that’s really
understood.”
‘It’s something
entirely on its
own terms,
something
that’s not
propagandistic,
but is actually
communicating in
quite a
complex sense
what Ireland
is about’
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 71

» IRELAND INDIA LINKS
INDIA
is now
Grainne Rothery talks to
DAVID CARTHY, a
corporate partner in
William Fry and
chairman of the Ireland
India Business Association,
about the developing links
between our two very
different countries
W
ITH A POPULATION OF MORE THAN A BIL-
LION PEOPLE, ONE-FIFTH OF WHOM ARE
NOW MIDDLE CLASS, AND ENVIABLE
GROWTH RATES, INCLUDING A 9.6PC IN-
CREASE IN GDP AT MARKET PRICES IN 2010,
INDIA IS FAST BECOMING ONE OF THE
WORLD’S ECONOMIC SUPER POWERS. Indeed,
PwC has forecast that it will be the second largest
economy by 2050, just behind China.
But far from being a prospect for tomorrow, the
sub-continent represents a very real opportunity for
forward-thinking Irish businesses today, says David
Carthy, a corporate partner in William Fry and chairman
of the Ireland India Business Association (IIBA).
“There was a view that China was a ‘now’ opportunity
and India was for five years’ time,” he says.
“That’s essentially wrong. The time is now for both.”
Carthy has been chair of the IIBA since it was
founded in May 2008 as a member-driven, non-profit
organisation to facilitate knowledge sharing and networking
and to ultimately increase commercial links
– in both directions – between Irish and Indian businesses.
“There was a need for a private sector group to act
as a chamber of commerce for the Ireland/India business
relationship, which people can see a lot of potential
for, but the figures and the amount of trade weren’t
where we would have liked them to be,” he explains.
There’s a strong focus on growing the relationship
both ways. “It’s about growing the amount of Irish
business done in India and within India, and growing
the amount of Indian business done with Ireland and
in Ireland.”
Knowledge sharing is a fundamental part of the
IIBA’s activities. “Previously, when you had Irish businesspeople
going to India or vice versa, everything
was new and they were all pioneers,” says Carthy.
“Those who had gone before would have made certain
mistakes, reaped certain benefits and formed certain
contacts that could be very useful.”
72 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IRELAND INDIA LINKS »
‘There was a view
that China was a
‘now’ opportunity
and India was for
five years’ time.
That’s essentially
wrong. The time is
now for both’
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 73

» IRELAND INDIA LINKS
The IIBA is based on the idea that those pioneers would be
willing and able to share their insights with the people following
them.
“In the past, Irish businesspeople were all doing it on their
own and all making the same mistakes,” continues Carthy.
“They were all struggling to find a joint venture partner or the
right advisor. They were trying to do things the way they’re
done in Europe or the US and trying
to make that work in India. All
of these things seem like common
mistakes. Having people talk to
each other and network – the idea
was that would help.
“And the same applies for Indian
companies coming to Ireland. Although
there are historic links between
Ireland and India and a lot of
people of a certain generation in
India were educated by the Irish, it’s
fair to say that many Indians might
have the misconception that Ireland
is still a part of England. There is a
low recognition for Ireland as a distinct
business destination. Whereas
an American company would understand
that, it takes a lot more
work to get that message to Indian
business.”
The IIBA, which has strong and
supportive links with IDA Ireland,
Enterprise Ireland and the Indian
Embassy, currently has around 150
member companies, most of which
are Irish-based. While around 20 Indian
companies are currently members,
Carthy sees this number
growing significantly over the next
few years. “We recently set up a
Mumbai chapter with a view to
growing the number of Indian members,
including Irish businesspeople
or companies who might be based in
India.”
Given the growing interest in
India as a market, it’s no surprise to
find that interest in the association
is also on the increase. “We have
around four or five events a year
and get an excellent turnout every
time,” says Carthy, adding that
these events tend to focus on the realities
of doing business in India. “And we interact with a lot
more companies than simply our members. It’s fair to say a lot
of people are very interested in India; a smaller subset are prepared
to do anything about it, but that’s growing.
“There is a lot of interest in India. What people have found
is that their markets in Ireland particularly, and also in Europe
and the US, have been saturated,” he says. “In India it’s
growth, growth, growth. Although cracking the Indian market
is challenging, the time is definitely now.”
The sectors with good opportunities for Irish companies in
India include software, construction and infrastructure,
pharma, medical devices, and food technology and logistics,
points out Carthy. Tourism and education
are also areas of interest.
‘It’s about growing
the amount of
Irish business done
in India and with
India, and
growing the
amount of
Indian business
done with Ireland
and in Ireland’
over the coming years.”
Some of the major Irish companies
that are developing their presence
in the Indian market include CRH,
Total Produce, Kerry Foods and
Dublin Airport Authority.
Indian companies that have so far
ventured into Ireland include players
in IT services and pharmaceuticals
in particular. Big name Indian
companies that are doing work
here include IT services giants TCS
(Tata Consultancy Services) and
pharma company Wockhardt,
which recently bought Pinewood in
Tipperary.
“A lot of Indian companies look at
acquisition rather than greenfield
projects,” says Carthy. “Consequently
there are not huge numbers
of Indian companies here but
the ones that are here are significant
companies.”
Carthy believes India will be a
growing source of inward investment
to Ireland over the coming
years. “India has a lot of very established
large companies. And also
very strong brands like TATA, Infosys
and TCS, which are all extremely
strong on a global level.
“I think Indian companies are
starting to look to Europe. Their
first port of call has traditionally
been the US but they’re looking at
Europe more. As with US companies
Ireland needs to position itself
as the gateway to the European
market.
“Everybody wants everything to
happen quickly but I think you’ll
probably see the IDA making announcements
on Indian companies
NATURAL ADVANTAGES
Ireland may have the advantages of the English language, the
euro and a strong family orientation when trying to do busi-
74 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

IRELAND INDIA LINKS »
ness with India, but it has its competitors, notes Carthy. For
example, India’s historic, cultural and personal links with the
UK are very strong.
“Many people in India have lived or have relatives in the UK.
It’s an obvious first port of call for them, whereas we punch
way above our weight as against the UK when it comes to US
influence. Also, Ireland has taken longer to focus on the business
opportunities in India than
other European countries that are
putting major resources into it.”
Certain other traditional advantages
for Ireland are not as apparent
initially to Indian businesses. “I
think Indian companies tend to
think in terms of size of market.
Whereas American companies
have been used to thinking of the
tax and logistical advantages of
doing business in Ireland, Indian
companies tend to go to the market
first and then think about those details
later. It’ll be more of a challenge.
It’s not going to fall as
naturally or as easily for Ireland to
attract Indian investment as it did
in the US.”
As a result, one of the key challenges
is to get the message about
Brand Ireland out more through the
IDA, Enterprise Ireland, IIBA and
other means in India.”
Getting to the table and becoming
one of the options up for consideration
is vital. “That’s our challenge
because we’re a small country with
limited resources. It’s a lot of people
to convince.”
And the IIBA’s role in helping to
do this? “There’s nothing more
credible than talking to people
who’ve already done what you propose
to do,” says Carthy. “If you receive
an Indian company and are
able to understand where they are
coming from culturally, and what
their business drivers are, it’s undoubtedly
going to help. So that’s
what we see ourselves doing.
“And it’s definitely building up
momentum. There’s always been a
lot of interest from companies in
‘It’s about
establishing the
business links,
establishing the
partnerships,
laying the seeds for
what you can grow
forfiveyears’or20
years’ time’
Ireland – our events are very well attended. We have very
prominent companies involved.
“We’re trying to do the same in India and we have several
people on the ground who have been working with us here and
have moved back to India. There are a lot of people willing to
help. The logistics in India in getting people together are huge
so although it may seem obvious that a group of businesspeople
want to get together it’s not something that’s ever been easily
done before.”
Ireland currently has a very small share of Indian trade, but
Carthy is of the opinion that these figures will improve over
the next couple of years. “With further focus, we’ll get a larger
share. The Indian economy is going
to grow in importance and its top
companies are going to grow in importance
and it’s about positioning
Ireland as a location of choice to
them.”
Carthy firmly believes it’s a time
to partner with Indian business and
to see India as an opportunity
rather than a threat. “In some ways,
we’re further along the curve than
India is. In education, we’re definitely
further along, but they’re
catching up. In innovation, it’s the
same story. In terms of raw numbers
they’ll absolutely outmatch us
at every point. But in terms of understanding
the marketplace in Europe
and the US, we’re obviously
ahead. Our time zone is also neatly
placed between the US and India. A
number of those factors are to our
advantage.
“There will be a point further
along the curve when India may not
need the assistance or the partnership
with Ireland to the extent it
might now. So, it’s about establishing
the business links, establishing
the partnerships, laying the seeds
for what you can grow for five
years’ or 20 years’ time.
“We shouldn’t see India and Ireland
as two competing locations for
a foreign investment job that a
global company may have, but look
at how we can combine the best of
both and present the opportunity as
a joint effort.
It’s about realising that there are
some things that India is doing
cheaper, and availing of those cost
savings when available and Ireland
maintaining value-added roles if
it can.
“I think the two-way nature of the trade is very important,”
Carthy concludes. “India is a huge opportunity for Irish business
and any of the companies involved would give you that
message.”
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 75

» INDIA IRELAND LINKS
A little luxury
Dublin-based ANTRA BHARGAVA
has been cultivating her strong links
with her native country to bring
Irish brands to the Indian market.
She spoke to Grainne Rothery
LIVING IN DUBLIN FOR THE LAST 11 YEARS, BUT STILL
DEEPLY LINKED TO HER FAMILY IN CALCUTTA,
ANTRA BHARGAVA IS NOW COMBINING HER
INSIGHTS, connections and experience in the Irish market
with the expertise and resources of her parents in India to offer
companies in Ireland a viable route into one of the fastest growing
markets worldwide.
It’s perhaps a measure of the family’s ambition and abilities
that the award-winning Cooley Distillery, which owns the Connemara,
Tyrconnell and Kilbeggan brands, came in as its very
first client. Bhargava, who initially came to Ireland to study law
in Trinity, contacted Cooley “partially because my father has
been visiting every year and we were introduced to Connemara
through a friend and my Dad loved that whiskey – he’s very
much a single malt connoisseur”.
“We’ve had an interest in Connemara whiskey for a long time
and we were talking about possibly doing business between
India and Ireland,” she continues. “So I picked up the phone to
Cooley Distillery and I was put through to the Teelings who
were very interested in our idea to bring Connemara to India.”
They set up a meeting to coincide with a visit by Bhargava’s
parents, who have been in business in Calcutta for decades and
have strong contacts in a range of industries. “They have all the
right infrastructure there so I knew we could make it happen if
the brand had the commitment.
“The discussion went really well and we decided on that basis
to give it a trial period initially to see if this marketing would
work out because, although we have been a business family for
a long time, we hadn’t been involved in marketing of liqueur. We
got an initial exclusive agreement for the whole of India.”
The family acts as the marketing agent for the brand and, as
such, brings the product to India, identifies the correct people
in the distribution business and educates them about the product.
“We’d talk to retailers, to entertainment/hospitality industries,
we’d create the demand in the market and the marketing
strategy. We’d basically be the brand’s eyes and ears in India.
“We were only doing it four months when we got our first
order. Our distributor has become almost a family friend although
we didn’t know him beforehand. We connected between
mutual contacts and it ended up that my father is now arranging
his daughter’s wedding. That’s how it works in India – it’s
Antra Bhargava, Indian actor Prem Chopra,
and Stephen Teeling, brand manager at
Cooley Distillery
very much personal relationship-based.
“Then we got another distributor on board and we now have
another mass distributor interested so things happen very
quickly when they do happen when you use the right channels.
The difficulty is finding the right channels to do business with
and ensuring that you pick the right partners early on so your
reputation is established.
“Once your reputation gets tarnished in any way or you’re associated
with the wrong sort of people, everything becomes difficult.
As it does here, to some extent. But memories are shorter
here. There, they stay for generations!”
The family has also recently added Irish chocolatier Lily
O’Brien’s as a client. “We have a commitment that we’re going
to be bringing them to India very soon. And I’m in talks with a
few other companies. Each company we take on we’re very clear
– it’s Irish origin, Irish manufactured, high quality, luxury but
mass market – in the sense that it’s middle class in India, which
is 200 million people, so we have a substantial potential market
there.
76 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011

INDIA IRELAND LINKS »
‘In 10 years it has
gone from a
developing country
to an emerging
country – the
phrasing has
changed, people are
recognising it as a
potential super
power’
“We take on one product and we will not take on a competitive
product in the same portfolio. That’s the commitment we provide
to the Irish companies.
“We’ve had lots of meetings and we’re in talks with at least
three other companies, potentially five. We need the commitment
from the brand and we need them to understand that
they’re dealing with a new market, and a very different style of
market. And that’s sometimes difficult for them to get their
heads around – it’s not the US style. You’re not just going in and
getting a distributor and everything flows from that. You need
the brand commitment that they are interested in India.”
Bhargava sees India as a vital and growing market for Ireland
in the future. “When I first came here 11 years ago, India was
very much a third world country in the minds of the west. In 10
years, it has gone from a developing country to an emerging
country – the phrasing has changed, people are recognising it as
a potential super power, if not a super power.
“Hopefully a lot more will happen between Ireland and India
so the links will get closer and closer,” she concludes. “The world
for me then gets smaller and smaller.”
RITA SHAH, managing director
of Shabra Group, was part of a
delegation of 22 Irish companies
that travelled to India on a trade
and education mission in April.
She tells Grainne Rothery about
the trip
On a mission
FOR RITA SHAH, CO-FOUNDER AND MANAGING
DIRECTOR OF MONAGHAN-BASED SHABRA PLAS-
TICS AND PACKAGING, THE SIGNIFICANCE OF
DEVELOPING HER COMPANY’S CONNECTIONS
WITH INDIA RUNS DEEPER THAN SIMPLY TAKING
ADVANTAGE OF FINANCIAL OPPORTUNITY.
Although she was born and raised in Kenya and came to
Ireland in the mid 1980s, Shah has Indian grandparents on
both sides and many of her relations continue to live in India.
“It’s been a country I always wanted to be associated
Issue 2 Spring/Summer 2011 INNOVATION IRELAND REVIEW 77

» INDIA IRELAND LINKS
with,” explains Shah.
“From the time I’ve been
going there in the last 10
years, the country has really,
really changed.”
Her initial, fleeting experience
of India occurred
around20yearsagoasa
transit passenger in what
was then Bombay (Mumbai).
“The first impression
in the airport wasn’t inviting.
I never came out of the
terminal building. So my
first time really was when
I was invited to a wedding
10 years ago and when I
did go I couldn’t believe the
change that had occurred
there already.
‘It’s inevitable that
India will become
increasingly
important. It’s
going to be the
same way as China
has been coming
up. In maybe 10, 15
years’ time it will
just boom’
“Now, in the last four years, it’s transformed totally. Even from
my own relations who are there, I can see such a huge challenge
and such a huge change.
“It’s a land of opportunity,” she continues. “It’s very progressive
and democratic. The growth rate is about 8.5pc and the
middle class has really moved up. Everybody now has a comfort
zone, whereas 10 years ago the poor were very poor and the middle
class was poor as well. Plus, the language is not a barrier –
they’re very, very good at English.”
Shah is says she is very proud of the way India has progressed
in recent years. “It is a resilient economy. It has gone through
global recession but it is definitely in the top 10 or even better as
an investment.
“I just couldn’t believe it the last time I went there, although
it was the first time I went to Delhi. If you go into certain areas
there, it’s all designer, which you would never have seen before.
I really admire it, I have to say. I feel proud and absolutely delighted.”
Her own company, which is involved in recycling and the manufacture
of a wide range of plastics products, exports to a range
of countries worldwide, including India, which Shah believes is
an increasingly vital market. “We have to look at India because
it is growing at such an astronomical pace,” she says.
“It’s inevitable that India will become increasingly important.
It’s going to be same way as China has been coming up. In maybe
10, 15 years’ time, it will just boom.”
TRADE MISSION
In April, Shah was part of a delegation of 22 Irish companies
that travelled to New Delhi, Mumbai and Hyderabad on an Enterprise
Ireland trade and education mission. As part of that operation,
Minster for Jobs, Enterprise and Innovation, Richard
Bruton TD, led groups of Irish companies in key corporate presentations
to promote their products and services to potential
Indian partners and buyers.
“As I was already doing business there it was easier to showcase,”
says Shah. “I wanted to have an insight into Delhi, which
is a hub for India, and then I met the companies I would be doing
business with along with a few companies in Mumbai. I was trying
to investigate the opportunities there and the opportunities
are magnifying.”
She’s hugely impressed by the level of entrepreneurship in
India. “You just have express a thought or an idea, and the next
thing is, they’re relating India to the business and the opportunities.
They’re very entrepreneurial and they take it very seriously.”
Shah believes she will get business as a result of being on the
trade mission. “There’s a great sea of opportunities there and I
would definitely endorse it.”
The main problems around doing business are also discussed
at the top level during these missions, she explains. “This is very
important because the two parties can discuss the relevant
problems. It’s people like me and other people who go who can
say, see why it’s feasible, why it’s not feasible and they can bring
it to the table.
“It’s also PR, particularly for Ireland, to go out with this image
and say look, we’re open for business and we’re quite serious
about doing business.”
78 INNOVATION IRELAND REVIEW Issue 2 Spring/Summer 2011