Digital Journal’s Post

We need your help. What is the best way for the federal government to catalyze much higher levels of investment, innovation and growth in Canada? This matters because, despite innovation being a stated government priority, Canada’s results remain underwhelming — especially when you consider our collective potential, and the billions spent annually on “innovation support”. In its 2024 Innovation Report Card, The Conference Board of Canada ranked Canada 15th out of 20 countries. We’ve all seen how this plays out in our lives, be it in terms of assessments of GDP/capita or median earnings/capita. With our gifts and talents, we should be a podium nation. Consequently, given our laggard status, I was astonished when one particular innovation program, Innovative Solutions Canada, had its budget cut in half earlier this year. Why? The government itself reported that the ISC program delivered $3.10 in GDP and $1.40 in tax revenue for every $1.00 invested. To me, cutting this program made absolutely no sense. In response, our office spent the summer looking into the 130+ federal programs that are intended to support innovation. We asked seven questions, made observations and considered ideas for improvement. This initial report is FAR from definitive. It is only intended to provide a starting point for a much wider discussion. Our hope is that Canada’s innovators will now step in and provide their thoughts here on LinkedIn with the hashtag #CatalyzingCdnInnovation. Please review this initial report. Then, with your help, I’m confident that we can uncover actionable insights for improving the effectiveness of Canada’s innovation programs. Collectively, let’s work to ensure that federal investments catalyze increasing levels of private sector investment that accelerate Canada’s competitive success, globally. Thanking you in advance for your help, as well as Ryan Laberge, Benedicta Arthur and David Dlab for their extensive and dedicated work on this initial report. It wouldn’t have happened without them. In our office, we firmly believe that “An Innovative Economy Needs An Innovative Government.” I don’t believe that government can become innovative without first listening to, following the lead of, and catalyzing the success of, private sector innovators. Their individual success will fuel our collective success.

📢 We need your help! Comment on Senator Colin Deacon's post below or email our office (Colin.Deacon@sen.parl.gc.ca) to share your thoughts on how we can build more effective innovation programs in 🇨🇦. #CatalyzingCdnInnovation

Thank You Colin Deacon for leading this discussion paper ... Here is a quote from the work - "Despite the billions in funding dedicated to promoting business innovation, Canada received a ‘C’ grade on the Conference Board of Canada’s 2024 Innovation Report Card, ranking us 15th out of 20 countries. This Government has consistently emphasized innovation as a priority, yet results remain underwhelming considering our collective potential." Canada needs innovation to keep the number of jobs up (63% of Canada's workforce comes from small businesses with less than 100 employees, 21% in the 100-499 category and only 16% from the 500+ club - StatsCan March 2023) .. innovation is one way to help create jobs. ISED needs to hire entrepreneurs to help get the program right ... the civil servants need to have metrics that really measure what counts, all the civil servants in the program need to understand how payroll and cashflow might impact the small and medium businesses they work with and KPIs to show they are on track. Here is the discussion paper ... Senator Deacon is looking for comments... please read and comment.

Thank you Colin Deacon for taking an active role in this important topic. According to Bloomberg, former Bank of Canada Governor Stephen Poloz is examining a list of ideas – including the creation of a pooled fund that would make dealmaking easier for some of them. The challenges of which are well documented, especially where early stage IPO candidates are stacked against inherent transparency challenges. One alternative idea...imagine if...issue private bonds with institutional quality assurance and revenue augmentation (legacy financial services opportunity) could offer a viable option to achieve the goals outlined: Opportunities: Pooled Capital Risk Mitigation Efficient Capital Allocation Support for Local Markets Avoiding High Fees Prevent Performance Dilution Advantages: Revenue Augmentation Customizable Flexibility Control Issuing private bonds with institutional quality assurance and revenue augmentation could provide flexible and efficient alternatives to "fund of funds" models concerns like high fees, performance dilution, and risk management. This would align with the goals of mobilizing domestic investment into smaller opportunities, offering both secure returns for institutional investors and capital for local businesses; and, address structural financial risks associated with VC & PE.

Filling the Innovation Void: Community of Guardians and SDG-Driven Impact Thank you Colin Deacon for sharing these insights on Canada’s lagging innovation performance and the importance of reimagining government programs to catalyze meaningful change. The Community of Guardians (CoGs) is uniquely positioned to address this gap by offering a platform that promotes measurable sustainable action—aligned with the UN SDGs—as a framework for innovation, growth, and social stability. Through CoGs, we leverage the knowledge of scientists, industry experts, and traditional knowledge keepers to create plain-language lessons and challenges for citizens. This bottom-up approach empowers people to take direct action, contributing to societal innovation that complements government programs. The findings in your report highlight the need for: -Private-public collaboration with actionable KPIs. -Programs that respond to local and global needs and sustainably scale innovation. -A focus on intellectual property retention and preventing brain drain, much like CoGs emphasizes knowledge-sharing and community action to combat the climate crisis and social inequality. We believe that innovation thrives where community involvement and sustainability intersect. CoGs is ready to help fill this void by showcasing how sustainability-driven innovation can yield both economic and social dividends. Let’s not just catalyze investment—we need to catalyze informed action. Together, we can drive the innovation Canada needs, mobilizing communities across industries and geographies. We invite thought leaders and innovators to join the Community of Guardians and share lessons and challenges that align with Canada’s innovation goals. 📢 Join the conversation with #CatalyzingCdnInnovation! Together, we can rally the world to action. 🌍 #whatsmynumber #CoGs #Communityofguardians #action #innovation

"The problem is not that Europe lacks ideas or ambition. But innovation is blocked at the next stage: it is not translated into commercialisation, and innovative firms that want to scale up are hindered by inconsistent and restrictive regulations. Many European entrepreneurs prefer to seek financing from American venture capitalists and scale up in the American market." Draghi's plan makes sense. Let's hope it gets fully supported. Promoting the necessary EU innovation with risk-bearing investment and dramatically streamlined regulation can push the continent beyond self-imposed constraints. If the EU creates the environment for research organizations to push the boundaries in AI, agro tech, green tech, and biotech and simplify the translation of invention to innovation, the pipeline will widen. If EU start-ups have access to venture capital and networks and can scale up in a genuinely single-market Europe, global competitiveness and local economies will be boosted. https://lnkd.in/exFD2bZf

Reflecting on an incredible week. Attended two outstanding events looking at 1) the state of the national economy (thank you Canadian Chamber of Commerce for the #Canada360 Economic Summit and to all the presenters); and 2) the state of entrepreneurship and the tech sector in #Ottawa (thank you Council of Canadian Innovators | Conseil canadien des innovateurs , Innovator Network of Canada (Inc.) and all the presenters). Made some amazing #Connections. 💡 So many incredible perspectives and lots to think about. One core theme stood out very loudly: #Productivity in Canada and how it's affecting our competitiveness. ❗ We are lagging the US by more than 25%, dropping in comparison to other OECD countries, and can do better to support #Canadian businesses to not only survive, but to thrive and compete in global markets. ❓ What is your company doing to bolster productivity and take our rightful place in the global economy? Thanks to Stephen Tapp, PhD for the chart.

Through the #IntegratedMarketplace (IM), and with support from key partners in the Province of British Columbia and PacifiCan, Innovate BC is working to accelerate and de-risk the adoption of domestic innovations while supporting key areas of the provincial economy. We are thrilled that the Honourable Mary Ng, Minister of Export Promotion, International Trade and Economic Development, and David Eby, Premier of British Columbia, continue to engage with and support the program and recognize its value to Canadian innovation. ➡️ Learn more: https://loom.ly/bA63lqk #InnovateBC, #canadianinnovation #bcinnovation #techinbc, Government of British Columbia, Pacific Economic Development Canada | Développement économique Canada pour le Pacifique

Investment in innovation is not enough alone. For countries to prosper from great ideas, innovation needs to diffuse and be adopted. The "Innovation Opportunity" report, commissioned by the U.K. Government, has revealed a significant barrier to national innovation. The authors argue that three missing ingredients are stopping the flow of innovation, and have created three calls to action for public sector leaders to enable "Innovation Diffusion and Adoption" (IDA). These findings offer broader lessons for public sector leaders more generally. The first call to action is to connect innovations to local demand, essentially taking a "supply chain" approach. The second is to put inclusion at the heart of every innovation, including creating and supporting diverse teams and providing support for innovators. The third is to iterate for success, involving end users earlier in the process, dropping expectations of perfection and reframing what successful IDA looks like. Do you think these findings apply to the public sector innovation opportunity within Canada? Share your thoughts in the comments below. #publicsector #innovation #lessonslearned