Northwestern Polytechnical University Achieves Nearly RMB 2 Billion in Tech Transfer Revenue Over Two Years by Overcoming Key Commercialization Barriers

Recently,Northwestern Polytechnical UniversityThe submitted report card on the commercialization of scientific and technological achievements shines.

In just two years, the revenue generated from the commercialization of scientific and technological achievements at Northwestern Polytechnical University reachedNearly RMB 2 billion, Northwestern Polytechnical University’s asset management company alone contributed over RMB 400 million in tax revenue to the local government. It is reported that in 2022, 121 intellectual property rights from Northwestern Polytechnical University were valued at RMB 203 million through assessment, and 20 new enterprises for technology transfer were established, with both the valuation amount and the number of newly added enterprises doubling.

Moreover, in 2022, Northwestern Polytechnical University increased its equity stakes in three companies—Lingkong Technology, Yinuo Technology, and Boen Biotechnology, each with a market valuation exceeding RMB 100 million—by capitalizing on intellectual property rights. The university also supported seven spin-off companies resulting from technology transfer in securing RMB 363 million in financing. Among these technology-transfer enterprises, Huaqin Technology was listed on the STAR Market; Xinyao Shares and Chaojing Technology completed their joint-stock reforms; four companies were selected as national-level “Little Giant” firms specializing in niche, innovative, and sophisticated sectors; and 13 companies were included in Shaanxi Province’s reserve list of enterprises preparing for initial public offerings.

Why Has Northwestern Polytechnical University Achieved Such Remarkable Success? Beyond its robust scientific research capabilities, the key lies in the establishment of its “NPU Translation Model” and its precise resolution of the three major challenges in translating scientific research into practical applications.

In simple terms, the model for transforming scientific and technological achievements at Northwestern Polytechnical University can be distilled into 16 Chinese characters: “innovate mechanisms, integrate pathways, technology-led, collaborative innovation,” with policy as the guide to foster coordinated cooperation among all stakeholders in the transformation process.

As early as 2009, Northwestern Polytechnical University explicitly established a benefit-sharing mechanism for individuals and teams contributing to the commercialization of scientific and technological achievements, setting the equity stake awarded to the creators based on the valued price of the university’s achievements atNot less than 50%This policy has, to some extent, encouraged many researchers to translate their findings into practical applications and thus devote themselves to the cause of technology transfer.

“To a large extent, it is precisely because of this policy that leading enterprises in niche sectors, such as BLT and Xinyao, have emerged,” said Fu Xinwei, General Manager of Northwestern Polytechnical University’s Asset Management Co., Ltd. and Director of the National University Science Park, in an interview.-----------------------------

Meanwhile, with the introduction of relevant national policies over the past two years, Northwestern Polytechnical University has been continuously adjusting and improving its mechanisms.

In 2021, Northwestern Polytechnical University revised"Administrative Measures of Northwestern Polytechnical University for Promoting the Transformation of Scientific and Technological Achievements", it not only standardized and clarified the process management for assessing the value of university scientific and technological achievements in transformation, as well as the designated administrative responsibility and procedures for such assessments, but also established title promotion, performance appraisal, position appointment, project closure, talent evaluation, and compensation and reward systems that align with the characteristics of technology transfer work, making the effectiveness of scientific and technological achievement transformation a key performance indicator.

The following year, in order to establish the institutional framework for the “Three Reforms,” Northwestern Polytechnical University successively introduced“Administrative Measures for the Separate Management of Job-Related Scientific and Technological Achievements,” “Measures for the Evaluation of Professional and Technical Titles,” and “Implementation Measures for Using Surplus Funds from Horizontal Research Projects to Invest in the Transformation of Scientific and Technological Achievements”and other documents, a relatively systematic policy framework for the commercialization of scientific and technological achievements has been fundamentally established, covering three major areas: state-owned assets, professional title evaluation, and financial support.------------

In the process of achieving the transformation of scientific and technological achievements, Northwestern Polytechnical University focuses on connecting three key chains:

First,The Technology Chain from Basic Research to Applied Research, System Integration Innovation, and Finally Industrialization. In this process, basic research has served as the primary source of innovation. In addition to its reputation as one of the "Seven Sons of National Defence," Northwestern Polytechnical University is China’s only key university concurrently engaged in aviation, aerospace, and marine engineering. It developed China’s first unmanned aerial vehicle, first underwater intelligent vehicle, and first airborne computer.------------

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Second,From Laboratory to Engineering Service Platform, and Then to the Industrialization Company’s Platform Chain. At this stage, research institutes of Northwestern Polytechnical University across various regions have established engineering centers and pilot-scale bases to assist innovation teams in completing concept validation, small-scale trials, pilot-scale trials, and industrialization tests for their projects.------

Third,From the administrative departments for scientific and technological achievements, to the service providers facilitating their commercialization, and further to the equity-holding platforms supporting such commercialization, this constitutes the end-to-end service chain.Currently, Northwestern Polytechnical University operates two makerspaces: the “NPU Aoxiang Makerspace,” located in the Innovation Building near the campus, and the “Feitian Technology Business Incubator,” situated in the Xi’an High-Tech Industries Development Zone. These two entities offer complementary functions, providing innovation teams with free funding, workstations, and services through a competitive project approval process. Once teams have matured within the makerspace, those meeting certain criteria may establish companies and enter the Feitian Incubator, which delivers more specialized and commercialized services. At this stage, the university selectively invests in promising ventures to further enhance its incubation support.

As is well known, scientists are the source of innovation. Northwestern Polytechnical University has chosen to buildChief Scientist Systemto lead cutting-edge technologies. Among them are Academician Zhang Litong from Xinyao, Professor Huang Weidong from Bright Laser Technologies, and others.

Of course, scientists are not the sole factor in the translation of scientific and technological achievements; as an equally important element, Northwestern Polytechnical University has also proposed that there should beProfessional Operations Teamto manage the enterprise, ensuring that “professionals handle professional matters.”

To ensure the normal development of core technologies, Northwestern Polytechnical University has established a “one-vote veto” system for chief scientists. When establishing enterprises for the commercialization of scientific and technological achievements, investors form professional operational teams responsible for business management, while a chief scientist is appointed to oversee the enterprise’s technical development planning. The chief scientist is typically the head of the university’s research team, with their authority stipulated in the company’s articles of association. Serving as a director on the board, the chief scientist holds veto power over decisions regarding the enterprise’s technological development direction. If the enterprise’s development deviates from its original intent, the chief scientist may exercise this veto power to prevent the company from straying off course.

Leveraging its disciplinary strengths, Northwestern Polytechnical University has primarily focused on technology transfer in five key areas: aeronautics, astronautics, marine engineering, materials, and manufacturing. From 2017 to 2021, the university commercialized a total of 447 patents, with contract value reaching RMB 752 million.

Meanwhile, Northwestern Polytechnical University boasts outstanding research capabilities in the military industry. Through declassification of technologies, innovative solutions that enable “military-to-civilian” transfer undoubtedly deliver a disruptive advantage over existing technologies.

Currently, the commercialization of scientific and technological achievements in universities faces multiple constraints, among which the most prominent is ““Dare not transfer,” “Do not want to transfer,” “Lack funds to transfer”To address these three major challenges, in March 2022, Northwestern Polytechnical University implemented the “Three Reforms,” namely, separate management of job-related scientific and technological achievements, evaluation and professional title assessment for technology transfer personnel, and the use of surplus funds from horizontally funded research projects to invest in the commercialization of scientific and technological achievements. In doing so, it established a new system for the transformation of scientific and technological achievements:

The successful translation of scientific and technological achievements into practical applications is by no means an easy task. On one hand, there are significant barriers between the research sector and the industrial sector, which often result in scientific outcomes that are ill-suited for the market, unable to be commercialized, or only capable of being commercialized at a reduced value. On the other hand, even if a small number of achievements complete pilot-scale testing, they may face the risk of being labeled as causing the loss of state-owned assets, since job-related scientific and technological achievements are considered state-owned property. If the pricing is too low or the translation fails, it could potentially cross the "red line" associated with the loss of state-owned assets. These factors have led many researchers to harbor concerns about "not daring to translate."

To alleviate this concern, Northwestern Polytechnical University has recently introduced the “Administrative Measures for the Separate Management of Job-Related Achievements.” In terms of management responsibility, the requirements during the process of transforming scientific and technological achievements into practical applications have been abolished."Non-menstrual“Approval of matters. Meanwhile, regarding disposal methods, it is stipulated that state-owned assets formed through the conversion of job-related scientific and technological achievements via equity contribution based on valuation and other means shall be excluded from the assessment scope for the preservation and appreciation of state-owned assets, thereby facilitating achievement management and transformation.”"Risk Disclaimer"。

The “hands-off” approach to state-owned assets has also helped Northwestern Polytechnical University address the bureaucratic tendencies in the commercialization of academic scientific and technological achievements. Luo Jian, a young professor at Northwestern Polytechnical University, revealed in an interview that it took him only one month to complete all procedures, including approval, valuation, and the injection of patent-based capital.

Under the current professional title evaluation system, academic title reviews at universities still place greater emphasis on publications, research projects, and awards. In contrast, the social contributions and economic value generated by the successful translation of scientific and technological achievements are not adequately recognized in title evaluations, resulting in limited pathways for promotion. This significantly undermines researchers’ motivation to engage in the translation of their findings.

Therefore, Northwestern Polytechnical University will evaluate faculty members’ performance in the commercialization of scientific and technological achievementsEstablish a separate professional title series for the commercialization of scientific and technological achievements, linked to income, rewards, and other factors., evaluated and awarded senior and associate senior professional titles to relevant personnel, and issued the "Measures for the Evaluation of Professional Technical Positions at Northwestern Polytechnical University (2022 Edition)." According to the "Evaluation Measures," "technology transfer and application" was added as an optional category within scientific research in the original professional title system. A dedicated series of professional titles for technology transfer was established for full-time research positions, implementing separate planning, distinct criteria, and independent evaluation. Indicators were set based on two dimensions: economic benefits and social benefits; meeting either criterion qualifies applicants to apply for promotion to a senior professional title.

It is reported that in 2022, Northwestern Polytechnical University already had60+Faculty members have included their contributions to the commercialization of scientific and technological achievements in their applications for professional title promotion. Two individuals were awarded senior titles in the series dedicated to the commercialization of scientific and technological achievements, while more than 30 other faculty members were promoted to senior titles based on their contributions in this area.

“Lack of funds for transfer” has always been a major bottleneck in the commercialization of scientific and technological achievements.

On the one hand, researchers lack access to financial resources, resulting in insufficient funding support for the commercialization of scientific and technological achievements; on the other hand, a significant amount of surplus funds remains idle in researchers’ accounts for industry-sponsored projects, highlighting the absence of reasonable and effective channels for utilizing capital in the translation of scientific and technological achievements.

In order to"Revitalizing the Surplus Funds of Horizontal Projects"Northwestern Polytechnical University has issued the “Implementation Measures for the Conversion of Scientific and Technological Achievements Funded by Surplus Funds from Horizontal Research Projects,” which stipulates that 90% of the equity returns generated from investments made using surplus funds from horizontal research projects shall be awarded to researchers. This policy permits researchers to convert such surplus funds into technological achievements, thereby establishing a long-term mechanism to incentivize researchers to promote the translation of scientific and technological outcomes.It’s simply this. It’s simply this. It’s simply this. This is this. It’s simply this. It’s simply, simply.

Furthermore, Northwestern Polytechnical University has established"Horizontal Surplus Funding Pool", allowing researchers to transfer surplus funds into a funding pool. The project leader for technology transfer may submit fund utilization requests as needed, which will be subject to feasibility review by an expert panel and approved through a tiered approval process based on the investment amount.

As of now, Northwestern Polytechnical University has established more than 20 technology transfer enterprises through a combination of equity contributions in the form of technology and cash.

Overall, the “NWPU Translation Model” benefits first from systematic policy safeguards that chart a clear pathway for the translation of scientific and technological achievements, enabling them to enter the commercialization process rapidly. Integrating all links along the value chain provides meticulous support to innovation teams throughout R&D, pilot-scale testing, and industrialization. Meanwhile, by establishing a Chief Scientist system and dedicated operational teams, the university ensures that members at each stage fulfill their respective roles and maximize their contributions. Finally, market entry leverages high-level innovation to deliver a disruptive advantage, positioning these enterprises at the technological forefront as they enter the market.

Certainly. Under the holistic transformation model, Northwestern Polytechnical University has effectively leveraged various factors involved in the commercialization of scientific and technological achievements, thereby establishing a clear pathway from the laboratory to industrialization. Furthermore, by paying close attention to nuanced issues—such as venture capital investment, high risks associated with commercialization, and the exclusion of transformation outcomes from performance evaluations—the university has addressed the challenges of “reluctance to transform,” “unwillingness to transform,” and “lack of funding for transformation.” This has facilitated a shift among academic researchers from being “compelled to transform” to “proactively seeking transformation.” Therefore, universities must still address the lack of endogenous momentum in the commercialization of scientific and technological achievements to enable more innovations to move out of the “ivory tower.”