Table Of Content
A small number of interviewees cautioned that some of the fee-for-service work conducted by HHT could potentially overlap, or compete, with CRO services. However, HHT management has expressed on multiple occasions and in program documentation that the Portfolio strives to offer innovative and differentiated R&D support, so that it is not in direct competition with CRO s. In fact, some internal interviewees noted that when asked to perform technical services that would be more appropriate for CRO s, HHT will frequently point clients in that direction.
1 Continued Need for Portfolio Capabilities
HHT management and staff who were interviewed as part of the evaluation generally felt that the Portfolio operates in an efficient manner and provided examples of measures that have been taken to reduce or eliminate duplication. Most importantly, interviewees noted that the internal restructuring that has taken place over the past couple of years has led to significantly higher levels of efficiency and effectiveness. In line with the new matrix-based approach instituted at NRC , HHT has implemented its own matrix structure within the Portfolio, organizing expertise from across its three sites into four R&D departments, as well as an Operations department. Interviewees indicated that the alignment of HHT 's workforce and the streamlining of its activities have resulted in greater synergies within the Portfolio and have made it easier for management to assign resources according to project priorities. In fact, some interviewees noted that projects of the magnitude of those that are conducted for Zymeworks, for example, never could have succeeded under the previous institute model, where resources were much more siloed.
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Evaluation of NRC Human Health Therapeutics
Such is the philosophy of Artemis Design Co., a company that makes shoes from the kaleidoscopic textiles of vintage kilim carpets. In 2007, the brand’s founder, Milicent Armstrong, visited Istanbul and noticed vendors wearing bags and shoes made from kilim rugs. In 2013, she decided to bring this style to a broader audience and founded Artemis, combining the beautiful, colorful textiles of Turkey with modern-day styles.
1 Positioning and Progress toward the Achievement of Expected Outcomes
It became apparent through the evaluation that the Vaccines Program has been devoting significant efforts to network and engage with Canadian industry. However, it was difficult to determine why significant research collaborations stemming from these efforts have been slow to materialize. In its Operational Plan for 2014‑15, HHT is proposing a "strategy refresh" for the Vaccines Program. This exercise provides an ideal opportunity for HHT to further examine these challenges and establish appropriate measures to address them. Indeed, that uniqueness is a large part of what makes Artemis shoes so coveted, especially their loafers, which start at $268 and have proven to be a big hit with men.
Handmade, timeless, and uncommonly beautiful
External documentation shows that the pharmaceutical sector makes a significant contribution to the Canadian economy. The industry is also a major R&D performer, conducting around 10% of all Canadian business research and development. The industry in Canada is mainly composed of early-stage research companies, many of which are years away from clinical trials and even further away from significant revenues.
Academic institutions and contract research organizations ( CRO s) were noted most often, although in almost all cases, clients noted that HHT provides certain advantages which make working with them more attractive. Specifically, the breadth and depth of services and expertise provided by HHT was frequently noted by clients and by expert reviewers. A few clients also reported that CRO s generally lack the ability to be experimental, to solve problems and to innovate. Ultimately, several clients indicated that, in the absence of HHT , the only options for them to access comparable services would have been from organizations outside of Canada. Above all else, Canadian biopharmaceutical SME s require access to funding, which will enable them to move their products from the early stages of drug development through clinical trials. This need was emphasized repeatedly by stakeholders consulted as part of the evaluation and in the documentation reviewed.
4 Profile of HHT Clients
One expert also questioned whether the services being offered were the right ones, given the needs of the industry. Both of these experts also noted that there are many players in Canada with strong expertise in the area of vaccines and NRC should attempt to be more flexible in supporting and collaborating with these organizations. It should be noted that the Vaccines Program has demonstrated strong efforts to network and engage with other key players in this area.
Other actions undertaken by the Portfolio in 2013‑14 include the updating of communications materials and of the NRC external website, as well as the publication of 20 print articles and third party press releases. With respect to the Vaccines Program, HHT organized the Canadian Adjuvant Initiative Workshop (March 2013) and continues to actively participate in the development of the Federal Research, Development and Innovation Vaccine Federal Action Plan. This action plan seeks to enhance communication among sector stakeholders (government, industry and academia) and to address identified Canadian vaccine and immunization priorities. Footnote 34 Internal and external stakeholders described these two activities as having been central to the Vaccines Program's strategic positioning within the industry, as well as to the broader vaccine innovation ecosystem. However, due to time and resource constraints, few efforts have been made to actively market these technologies to Canadian companies.
Both were very complimentary of NRC 's expertise, considering NRC to be a leader in this area, and were optimistic about the results that could potentially be achieved. Global sales for central nervous system ( CNS ) drugs are estimated at around US$65 billion. Footnote 24 It is the fastest growing segment of the pharmaceutical market, yet treatments for most disorders are considered to be either suboptimal or not available. Hence, NRC 's work in the development of blood brain carriers has the potential to open up new markets in this area. Globally, it is widely acknowledged that R&D productivity within the pharmaceutical industry, and particularly that of MNE s, has seen a declining trend for a number of years.
Although the Vaccines Program was close to meeting its revenue targets for 2013‑14, the evaluation raised concerns about the Program's ability to secure important co-development research agreements with Canadian industry. Since its creation in 2012, HHT has made good progress in developing required competencies and has generally been successful in meeting its activity targets. By addressing certain limitations it currently faces, HHT has the potential, going forward, to achieve even greater levels of success. The key findings for each evaluation issue have been summarized and are presented below, along with the recommendations and management responses. In the not-quite decade the company has been in business, it’s enjoyed high-profile partnerships with interior designers Nate Berkus, Jeremiah Brent and Charlotte Moss, and clothier Madewell, among others. Plans for the men’s line include raffia shoes next year and hand-embroidered suzani shoes for women sometime this summer.
When compared to operations under the previous institute model, HHT also appears to be operating with a healthy level of productivity (as per an analysis of expenditure and revenue data). Our kilim products are crafted from hand-sourced vintage textiles, and each pair of shoes takes two full days to create. Ours is a love story; a magical carpet ride started in 2007 when designer Milicent Armstrong first fell in love with shoes and bags made from vintage Kilim carpets on a trip to Istanbul. In order to assess the productivity (i.e. operational efficiency) of HHT , the evaluation examined the expenditures and revenues of the Portfolio, using 2013‑14 data, as compared to operations under NRC 's previous institute model, using data from 2011‑12.
We believe in getting to the most meaningful outcome as efficiently as possible, with human needs in mind. This includes questioning core assumptions, investigating existing conditions, exploring analogous industries, understanding the competitive landscape, and observing behaviors in context. This holistic approach opens new paths for discovery and unleashes ideas that lead to innovative outcomes.
The evaluation found that there is strong industry endorsement with respect to HHT 's selected areas of focus. Most clients and expert reviewers agreed that HHT services are aligned with industry needs and one VC company representative confirmed that the kind of progress HHT aims to achieve when collaborating with clients is attractive to funders. At a federal level, the refocusing of NRC toward more industry-relevant R&D , with the aim of "helping the growth of innovative businesses in Canada" has been identified as a priority in both the 2012 and 2013 federal budgets. Moreover, the federal Science and Technology Strategy identifies "Health and related life sciences and technologies" as a priority area. At a time when any foible can now be airbrushed, edited, filtered or just plain omitted at will, the idea of imperfection as asset is a refreshing one.
The Portfolio also sought to consolidate some of its administrative staff, although some internal interviewees pointed out that this has occasionally led to inefficiencies as more administrative work has been taken on by senior level staff. That is, in 2013‑14, 78% of HHT 's labour expenses were spent supporting NRC programs. This ratio indicates a relatively high utilization of HHT human resources as, again, HHT has the highest ratio among the three life sciences portfolios and the third highest among all NRC portfolios. The quality of HHT 's research competencies was confirmed by the expert reviewers consulted as part of the evaluation. In this regard, seven experts out of the nine consulted considered HHT 's research competencies to be "good" or "excellent". Footnote 31 The case study findings and client interviews also revealed that many HHT clients strongly appreciate the quality and breadth of expertise offered by the Portfolio.
At this time, the large majority of HHT resources are supporting HHT -hosted programs. For example, in 2013‑14, approximately 77% of HHT 's labour workforce supported HHT -hosted programs, whereas approximately 1% worked on programs for other NRC portfolios. The remainder of labour expenditures were devoted to portfolio activities that fell outside the scope of approved programs. HHT has been successful in reaching its target clients, as demonstrated by a market penetration rate of 25% and the fact that the Portfolio has significantly exceeded its portfolio-level activity targets for 2013‑14.
It is in this context, the store itself ode to vintage craftsmanship, that Artemis Design Co. has its summer-long pop-up. The brand’s shoes are made in Istanbul using vintage upcycled Kilim rugs that may be too damaged or otherwise flawed to be sold as floor coverings, giving them another life. Each pair is one of a kind and handmade by artisans and cobblers, taking two full days with special attention to production quality. A few years later, she returned with her mother and brought back a carpet bag and a pair of carpet shoes. Armstrong was drawn in by the warmth and color of the kilims, which are traditional Turkish rugs, but wanted to bring them to a new audience.
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