Overview

Offer specialized research services to companies on a contract basis (e.g., data collection/analysis, experimental design, specific project execution). 

Core Concept

This model leverages university expertise, specialized equipment, facilities, and personnel (faculty, staff, potentially graduate students/postdocs) to perform specific research tasks, analyses, experimental design, or data collection for external clients on a contractual, fee-for-service basis. Revenue generated covers direct project costs, personnel time, equipment usage, and university overhead (F&A), with remaining funds potentially supporting the participating labs, departments, or research initiatives.

Implementation Strategy & Key Steps

• Phase 1: Planning & Setup:
  • Identify Core Competencies: Survey departments/centers to identify specialized expertise, equipment, or capabilities with potential market demand (e.g., specific types of analysis, modeling, testing, prototyping).
    
    
  • Develop Service Offerings & Pricing: Define specific, marketable services. Establish clear pricing models (e.g., hourly rates for personnel/equipment, fixed project fees) that cover direct costs, labor, depreciation, and applicable university F&A rates.
    
    
  • Establish Management Structure: Designate a lead office or process for managing RaaS inquiries, proposals, contracting, and project oversight (e.g., Office of Corporate Relations, Office of Research/Sponsored Programs, specialized core facilities, or departmental administration).
    
    
  • Create Contract Templates: Develop standardized service agreements addressing scope of work, deliverables, timelines, payment terms, confidentiality, publication rights (often restricted in RaaS), and intellectual property ownership (typically client owns deliverables arising directly from the paid service, while university retains background IP). Involve Legal Counsel heavily.
    
    
  • Policy Clarification: Ensure clear guidelines exist differentiating RaaS from sponsored research and individual faculty consulting. Define procedures for effort allocation and resource use.
    
    
• Phase 2: Launch & Operations:
  • Targeted Marketing: Promote specific RaaS offerings to relevant industry sectors, government agencies, or non-profits through websites, brochures, industry events, and direct outreach.
    
    
  • Intake & Scoping Process: Develop a clear process for receiving client inquiries, evaluating feasibility, defining project scope/deliverables, providing quotes, and routing for approvals.
    
    
  • Pilot Projects: Initiate with a manageable number of contracts to test processes and workflows.
    
    
  • Training: Educate participating faculty and staff on RaaS procedures, contract terms (especially IP and confidentiality), effort reporting, and client management expectations.
    
    
• Phase 3: Scaling & Sustainability:
  • Expand Offerings: Based on demand and capacity, potentially broaden the range of services offered.
    
    
  • Client Relationship Management: Focus on building relationships with repeat clients.
    
    
  • Process Optimization: Streamline contract negotiation, project initiation, management, and billing based on experience.
    
    
  • Capacity Management: Implement systems to track availability of personnel and equipment to avoid over-commitment and conflicts with academic research.

Key Stakeholders & Roles

• Internal:
  • Faculty/Principal Investigators: Provide technical expertise, supervise project execution, ensure scientific rigor.
    
    
  • Research Staff/Postdocs/Graduate Students: Perform contracted research tasks under supervision (ensure compensation and effort are handled appropriately).
    
    
  • Department Chairs/Center Directors: Approve faculty/staff participation, manage resource allocation within the unit, oversee capacity.
    
    
  • Managing Office (e.g., Corp Relations, OSP, Core Facility Mgmt): Business development, client intake, proposal/quote preparation, contract coordination/negotiation, project oversight, administrative support.
    
    
  • Legal Counsel: Review and approve contract terms, advise on IP and liability issues.
    
    
  • Finance Office: Establish billing rates, process invoices, manage revenue collection and distribution according to university policy.
    
    
  • Office of Research Compliance: Ensure adherence to relevant regulations (if applicable, e.g., export controls, data security).
    
    
  • TTO: Consulted if novel IP arises unexpectedly or if university background IP is needed for the service.
    
    
• External:
  • Industry Clients: Companies requiring specialized research support without investing in in-house capabilities.
    
    
  • Government Agencies: May contract for specific analyses or technical services outside traditional grant mechanisms.
    
    
  • Non-Profit Organizations: May need specialized research or evaluation services.
    
    
  • Other Universities/Research Institutes: Potential clients for highly specialized services.

Resource Requirements

• Personnel: Primarily leverages existing faculty, staff, and potentially student time (must be carefully managed and potentially compensated appropriately). Requires dedicated administrative time for business development, contract management, and financial administration, potentially scaling to dedicated project managers if volume grows.
  
  
• Financial: Relatively low direct start-up costs if leveraging existing infrastructure. Key costs include marketing materials, business development time, potential legal fees for complex contracts, and the personnel time allocated to projects. Pricing strategy must ensure full cost recovery (direct + F&A).
  
  
• Infrastructure/Technology: Relies heavily on existing specialized laboratories, equipment, software, and facilities. Requires robust systems for project tracking, time reporting, contract management, and billing.
  
  
• Policy/Administrative: Critical need for clear, accessible policies distinguishing RaaS from sponsored research/consulting, defining IP ownership, setting F&A rates for services, managing conflicts of commitment, governing resource use, and ensuring confidentiality. Streamlined administrative procedures are key to efficient operation.

Potential Challenges & Mitigation

• Conflict of Commitment/Effort Allocation: RaaS work competing with faculty/staff's primary research, teaching, and service obligations.
  • Mitigation: Establish clear university policies on permissible effort levels for RaaS; require departmental approval for significant projects; ensure accurate effort reporting; potentially hire dedicated RaaS staff if volume is high.
    
    
• Intellectual Property (IP) Ambiguity: Disputes over ownership of discoveries made during RaaS projects.
  • Mitigation: Use explicit contract language clearly defining IP ownership before work begins (typically client owns deliverables, university retains background IP). Involve TTO early if novel university IP is anticipated or discovered. Train faculty on the IP terms specific to RaaS.
    
    
• Pricing Below Full Cost: Pressure to offer low prices, potentially failing to cover equipment depreciation or university overhead (F&A).
  • Mitigation: Develop rigorous cost models; educate clients on the value proposition; ensure consistent application of approved F&A rates for services; establish clear guidelines on acceptable pricing floors.
    
    
• Confidentiality vs. Publication: Client needs for confidentiality conflicting with academic norms of open publication.
  • Mitigation: Utilize strong Non-Disclosure Agreements (NDAs); train personnel on handling confidential information; clearly negotiate publication rights (or restrictions) in the contract upfront; be willing to decline projects with unacceptable publication limitations.
    
    
• Resource Conflicts: Competition for high-demand equipment or facilities between RaaS projects and academic research.
  • Mitigation: Implement transparent scheduling systems; establish clear prioritization guidelines (often academic research takes precedence); potentially charge premium rates for priority access; consider acquiring additional equipment if RaaS demand is consistently high and profitable.
    
    
• Liability Concerns: Potential for client dissatisfaction or claims related to service outcomes.
  • Mitigation: Clearly define scope of work and deliverables in contracts; include appropriate disclaimers and limitations of liability; ensure high-quality execution and documentation; maintain adequate insurance coverage.

Success Metrics & Evaluation

• Financial: Total RaaS contract value ($), total revenue received, net revenue/contribution margin (after direct costs and F&A), revenue distributed back to units/labs.
  
  
• Operational: Number of contracts signed, number of clients served, project completion rate (on time, on budget), utilization rates for key equipment/personnel involved in RaaS.
  
  
• Stakeholder: Client satisfaction ratings, repeat business rate, faculty/staff participation levels and satisfaction.
  
  
• Evaluation: Annual review managed by the lead office(s), involving financial analysis, client feedback, and assessment of impact on academic mission. Compare performance against internal targets and potentially external benchmarks (if available).
  
  

University Policy Considerations

• Faculty Consulting Policy: Must be clearly distinguished from RaaS activities conducted using university resources.
  
  
• Use of University Resources Policy: Must permit and provide a framework (including fees) for using labs, equipment, etc., for external service contracts.
  
  
• Intellectual Property Policy: Needs specific clauses addressing IP generated under fee-for-service agreements (often differing from sponsored research). Must define ownership of deliverables vs. background IP vs. novel inventions.
  
  
• Effort Reporting & Compensation Policy: Guidelines for tracking and compensating time spent on RaaS, distinct from sponsored projects or academic duties.
  
  
• F&A (Indirect Cost) Policy: Establish appropriate F&A rates for RaaS, which may differ from federally negotiated research rates, and ensure consistent application.
  
  
• Confidentiality & Non-Disclosure Policy: Standard procedures and templates for handling client confidential information.
  
  
• Data Management & Security Policy: Procedures for handling and securing client data appropriately.
  
  
• Contract Signature Authority: Clear delegation of who can approve and sign RaaS agreements on behalf of the university.