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Technology and Innovation in Israel

In May 2008 the WA Mission to Israel took representatives from business, research and government to one of the most innovative countries in the world. The Australia-Israel Chamber of Commerce (AICC) organised a whirlwind of varied and informative meetings, providing a snapshot of where Israel excels and clues as to why it excels.

A clear factor in the innovative success of Israel is the government's support for industry. Not only do they understand that any investment in industry is returned four-fold, they also see their place as supporting risk-taking ventures. In the grant schemes that are available, funds are only paid back when the project generates a profit. Failures are accepted as part of the learning process. Entrepreneurs are encouraged to keep trying, to keep innovating.

We visited a number of universities, each with very strong commercialization branches. In each case, it was clear that the researchers were respected for their ability to solve problems, but were not expected to find their own way through the bureaucratic minefield of patents, IP and startups. While the university still supported publication and pure research, the Technology Transfer Organizations (TTO) were available to researchers when needed. By having clear processes, fair and transparent division of IP and royalties, and a team to take over the commercialization of potential products; it is possible for the researchers to take on advisory roles and continue to be creative in their area of expertise. At the Weizmann Institute, the symbol for their TTO is the Tree of Basic Science. The TTO patiently waits for the tree to bear the fruit of research; then they take it to market. This useful analogy shows how commercialization needs to be ready to catch the fruit, but not damage the tree in the process.

In many cases, we were told the geo-political environment of Israel is a driver of the innovation they exhibit. Clearly we cannot move Western Australia, nor do we want to emulate their political environment. What we can do is work with government to improve support to industry for the benefit of the whole community. We can look at collaborative projects and exchange of researchers to capitalize on the synergies in our areas of research. We also need to build the foundation of scientists, engineers and entrepreneurs who can create new and interesting industries in WA.

Another common comment was the place of military service in the innovative culture of Israel. Perhaps because lives depend on continual technological improvement. Through many meetings and discussions, however, I began to see that a more subtle result of military service were the extensive social networks it generated. Everyone we met seemed to know someone from our previous meetings, or suggested someone else we could talk to. We often talk about how small WA is, perhaps as a negative observation. I think we need to look at this "smallness" as a positive. We already have strong informal networks in WA - we need to utilize them for collaboration, share them to intensify the links and see how they can be used to the benefit of the industry and the community.

ICTICC is grateful for the support of the AICC and the Department of Industry and Resources for us to represent the WA ICT industry on the WA Mission to Israel.

For information on future Missions to Israel, see the AICC website.

Valerie Maxville

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