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Reinventing Manufacturing

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<strong>Reinventing</strong> <strong>Manufacturing</strong><br />

Recommendations to Bolster<br />

California’s Clusters of Innovation<br />

Related to <strong>Manufacturing</strong><br />

Leverage capabilities across California iHubs, and<br />

within individual iHubs, through a dedicated statewide<br />

funding mechanism.<br />

Currently, the iHub system operates without any<br />

state funding. Instead, iHub activities have been<br />

funded through external partnerships—that often<br />

then dictate the iHub’s strategies going forward.<br />

If the Governor’s Office of Business and Economic<br />

Development (GO-Biz) were to provide a pool of<br />

competitive funds based on targeted metrics and<br />

goals, iHubs could be more effective and accountable<br />

in expanding the innovation infrastructure that<br />

underlies advanced manufacturing. Competitive<br />

funding also creates an opportunity for iHubs with<br />

overlapping capabilities or geographies to partner<br />

together to further their reach.<br />

Invest in shared manufacturing spaces and provide<br />

avenues for small manufacturers and start-ups to<br />

engage with and commercialize new technologies<br />

and processes.<br />

Particularly in portions of the state where national<br />

laboratories do not exist, there are opportunities for<br />

the state to invest in high-tech facilities with state-ofthe-art<br />

equipment that can support specific innovative<br />

regional clusters. An example of this approach is New<br />

York State’s commitment of $225 million to investments<br />

in the Buffalo/Niagara region that would build<br />

a cluster of green energy businesses. 26 The money will<br />

go toward state-owned facilities that will house equipment<br />

and machinery that clean energy firms need<br />

to develop new products but cannot easily afford on<br />

their own. To catalyze participation among a wide<br />

range of manufacturers in similar programs, California<br />

can employ a strategy resembling the small business<br />

voucher program used in some national labs. Small<br />

manufacturers would submit business plans to a governing<br />

body that would select companies to participate<br />

in the shared facility. These manufacturers would<br />

then be given credits to be spent through utilization<br />

of equipment and other business assistance.<br />

Create improved coordination across engineering research<br />

functions at University of California campuses.<br />

Similar to the multi-state strategy employed by the<br />

NNMI designee headquartered in Tennessee—which<br />

includes participants from eight states—future California<br />

applications for federal grants could consider<br />

ways to better leverage competencies and areas of<br />

specialization across the UC system. For example,<br />

UC Davis has a well-regarded machine tools program;<br />

UC Irvine’s core competencies include defenserelated<br />

applications and medical devices; UCLA has<br />

a smart manufacturing research center; UC Berkeley<br />

is a leader in sustainable manufacturing; and UC<br />

Santa Barbara has core strengths in materials. Creating<br />

cross-campus partnerships in an application<br />

supported by businesses and other research and<br />

manufacturing organizations across the state would<br />

allow California to better leverage the assets concentrated<br />

in distinctive regions.<br />

56

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