Our Approach
Acorn Technologies works with a range of players and participants
within the life sciences sector, and takes on projects at
various stages of the innovation chain – from concept
through to commercialisation. The scope of Acorn Technologies’ involvement
in transforming inventions into innovations is depicted in
the schematic below.
Acorn Technologies has built a team and a network with
the requisite mix of commercial and technical know-how that
understands the complexities of projects in the life sciences
sector, and to add value to each project. The four broad performance areas Acorn Technologies
focuses on to be a successful incubator, are
Building relationships: The life sciences sector
in South Africa is a small one, and it is appropriate that
an environment of collaboration exists. Acorn Technologies
has built good relationships with the various ‘feeder’ sources
of novel concepts/technologies that hold promising commercialisation
value, viz. the Higher Tertiary Education institutions
(HTEs), existing SMMEs, entrepreneurs, and funders/investors, and
the majority of Acorn Technologies’ projects arrive
through these channels. Also, Acorn Technologies operates
within a highly networked environment, and is able to bring
on board an array of commercial and technical experts to
add specialist value to its projects, where and when required.
Identifying the right projects: The timescales involved
in life science projects are extended, and it is therefore
crucial to select the winners. Before accepting a
project into its portfolio, Acorn Technologies project managers
will subject the opportunity to a series of in-house screening
and evaluation techniques (due diligence), to determine its
worth as an investment opportunity, its fit with the rest
of the portfolio, and the level of match with Acorn Technologies’ mandate. A
full risk assessment will also be performed on the project.
Developing projects: It is Acorn Technologies’ role
to actively develop projects, increasing their
commercial value and removing risk elements. There
are four broad areas (each with sub-areas) representing the
commercialisation drivers of a project, and each project
will be constantly evaluated against these to track changes
in the project’s value and its risk profile. The four
areas are: (i) the market opportunity, and the potential
for revenue and profit generation, (ii) the strength of the
underlying technology or technical uniqueness of the project,
which should form the basis of the venture’s competitive
advantage, (iii) the business itself, including the strength
of the team and the business- and revenue models, and (iv)
the level of strategic fit, within the context of Acorn Technologies’ existing
projects and existing research and/or commercial activity
in the same area.
Embarking on industry-wide initiatives: Acorn Technologies
recognises that there are broader issues that affect the
competitiveness and growth of the local life sciences sector.
Therefore a holistic approach to our involvement in the
sector is preferable and accordingly have launched various
initiatives aimed at addressing ‘problem areas’ in
the sector.
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