This issue focuses on the ICP impacts on technology and industry of selected ICP projects. These impacts may contribute to creating jobs, attract investment, and create business opportunities in the supply chain ecosystem related to the manufacturing and service sectors in Malaysia. Table 1 below shows the ICP recipients that have participated in this study.
Table 1: ICP recipients
Technology development plays a key role in building national competitiveness. As the technology developed and advances, it will contribute to the growth of innovation capability, one of the pillars in measuring Global Competitiveness Index. The role of TDA in technology development is to identify the gaps in technology in the local ecosystem and where possible, addresses them through ICP programme. These programme focused on developing new knowledge and skillsets, development and application of technology that will facilitate the industry to the development of new products/services and process development/improvement.
Meanwhile, industrial development is necessary for the modernization of local sectors in Malaysia. The role of ICP in industry development is to address some of the need for the development of the industry in the local ecosystem through various projects under ICP objectives.
1.1 ICP Impact Assessment Framework
An impact assessment framework for technology and industry was developed to measure the impact of ICP projects to the development of technology and industry. The framework contains three (3) main components which are input, output, and outcome of ICP.
For technology development, the output measures the technology capability and the absorptive capability of the recipients prior and after project completion. The outcome, on the other hand, measures the innovation and organisation performance as a result of the output. The ICP providers performance was also measured to verify any relationship on its influence to the output and outcome of the projects.
For industry development, the output measures the impact on the industry landscape by evaluating the growth in knowledge and skillsets, job creation or sustenance, local supply chain development and new investment made. The outcome measurements are the same as that of earlier framework mentioned above.
2.0 Impact Assessment Analysis
2.1 Technology Development Analysis
2.1.1 Research & Development Capabilities
The effectiveness of Research & Development (R&D) capabilities are measured by four (4) criteria which are the ability to produce new products, R&D know-how, productivity, and plan to develop new technology. The study utilises a rating scale to analyse the effectiveness of R&D capabilities.
The following are the results of the R&D capabilities based on the study.
Figure 1: Research & Development Capabilities
Figure 2: Research & Development Capabilities
Figure 3: Research & Development Capabilities
2.2 Industry Development Analysis
Industry development analysis in the ICP context consists of training programmes, development of skilled personnel, job opportunities, supply chain ecosystem, and investment.
2.2.1 Training programme
The analysis identified and measured types of training programmes in ICP, the effectiveness of the training, and organization expectations towards the ICP training programme.
Based on the study, the analysis found five (5) main types of training were conducted as shown in Figure 4.
Figure 4: Types of training programme
Figure 5 illustrates the effectiveness of the training programme(s) according to the types of training. The classroom and on-job training were evaluated as very effective by ICP recipients.
Figure 5: Effectiveness of the training programme(s)
Figure 6 indicates that most of the recipients agreed that the training programme met organization expectations (8 projects) with a percentage of 90%.
Figure 6: Training program meet organization expectation
2.2.2 Job Opportunities
The study found 726 jobs have been created after the implementation of ICP. There are four (4) recipients who have successfully created job opportunities through ICP projects. Figure 7 shows the results of the study.
Figure 7: Job Opportunities
2.2.3 Local and Global Supply Chain Ecosystem
There are several recipients have successfully qualified and/or certified by ICP providers and become a supply chain partner.
Figure 8: Local Supply Chain Ecosystem
Figure 9: Global Supply Chain Ecosystem
Figure 10 illustrates seven (7) recipients who have received investment from the ICP provider. These investments have enabled the recipients to make a significant growth in the industry and presence in the market they are serving.
Figure 10: Investment
3.0 Summary and Conclusion
Industry Intelligence Department