Success

Demonstration of Planned Results

Data analysed from the recipient survey, case studies, and key informant interviews demonstrated that the WDP achieved results in each of the department's strategic outcomes. This result was supported by data from the literature review and file review. An assessment of other evaluations and studies completed for WDP projects also indicated that the WDP achieved results in each strategic outcome area. Key informants from all stakeholder groups mentioned a wide range of impacts resulting from the WDP to date. Importantly, most funding partners felt that project outcomes, in general, could be attributed to the WDP given that the projects could not have gone forward without funding and other support services from the program and its staff.

The file review showed that long-term results of projects are not tracked after WDP funding ends. Program officers indicated that most files were closed and archived at the end of program funding thus impacting on data collected for long-term results. Based on the file review, all projects have at least one indicator that links to one or more of the department's strategic outcomes, but nothing is tracked after project completion.

From the file review, linkages could be established between projects classified in different PAA sub-activity areas such as in community planning and economic research. Some projects have linkages between several strategic outcomes. These linkages are currently not being reflected in program reporting since the project officer must choose only one primary strategic outcome, for both practical and financial coding reasons.

The reporting of economic indicators, such as the number of jobs created or the number of businesses created, in the database and in the file review was found to be a challenge in the reporting process for the WDP. This challenge is a result of standardizing definitions, lack of independent reporting mechanisms, measurement timeframes and attribution. While evaluation evidence indicated the achievement of results in some economic indicators; it was not possible to determine the full extent of such results from the database. The evaluators noted that the department continues to work to refine indicators, train project officers and develop better reporting methods and tools.

The success section of the report is organised according to the department's strategic outcomes of:

• Policy, advocacy and coordination;
• Community economic development; and
• Entrepreneurship and innovation.

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Strategic Outcome: Policy Advocacy and Coordination

Results from the file review indicated that economic research projects undertaken within WDP resulted in increased awareness and understanding of Western issues. Some of the results were used in policy decisions such as being referenced in the department's visioning exercise. Case study respondents spoke positively about WDP activities leading to awareness and dialogue about Western issues.

Findings from the file review and the case studies supported the views of key informants that improved coordination of federal economic activities has occurred as a result of the WDP. In the opinion of key informants, improved awareness and understanding of western issues can be attributed to the work of the WDP, including relationship, advocacy, and capacity building. In this respect, most key informants believe the WDP has played a substantial role in increased dialogue among federal departments, between the federal and provincial levels of government, and the federal government and local communities.

WDP projects undertaken in this strategic area are mostly in economic research in the areas of innovation, entrepreneurship, and community economic development that provides a sound basis for economic development in areas of importance to western Canada. Within the timeframe of the evaluation, the WDP contributed $1,339,436 to fund 26 projects in this strategic outcome. Policy, advocacy, and coordination are not usually accomplished through project work but through most of the policy related work undertaken within the department on behalf of the program.

Improved Coordination of Federal Activities in the West

Key informants mentioned that the WDP has contributed to improved coordination of federal economic activities and programs. Ways in which the department was said to have achieved this coordination were as follows:

• Bringing together partners, through leadership and active involvement in projects;
• Advocating for Western interests at the federal level, and thus, representing a "systematic presence" at the federal level; and
• Coordinating work with other federal departments and provinces to institute new projects and actively engage industry and academia, including linking university research with other partners. Examples given included WEPAs and other federal/provincial strategies/joint planning processes.

Understanding, Awareness and Dialogue about Western Issues

The file review indicated that projects undertaken in economic research within this strategic outcome area promoted the understanding, awareness and dialogue about western Canadian issues. Two projects are highlighted below including the results achieved within each project:

• Saskatchewan Chamber of Commerce Foundation project to conduct a study of Saskatchewan economic drivers: The project resulted in policy decisions, which utilized scenarios for strategic business planning, and evaluation of partnership agreements.
  
  
• The Governors of Alberta three-year research program on small businesses in western Canada: The project was referenced in the department's visioning exercise and has been referenced in various media sources. Final report of the project indicated a significant distribution of the results of the project (4,700 hard copies distributed with over 23,000 hits to the project website).

Case study respondents felt, overall, that the department has contributed to improved coordination of federal economic activities and programs in Western Canada, including with the Canadian Foundation for Innovation, the Industrial Research Assistance Program, and in high-level meetings that create important linkages and dialogue. On the questions of access, dialogue, and awareness, most respondents spoke positively. Nearly all respondents felt that the WDP has led to improved awareness, dialogue, and/or understanding of Western Canadian economic issues, challenges, and priorities in provincial, federal, and international contexts. The following examples were given:

• Organization now has an international profile;
• Inter-provincial trade has increased;
• The project has resulted in the attraction of organizations and people to the region; and
• Communication between different government departments and levels of government has improved.

Results from case studies support the views expressed by the respondents. Two case studies are highlighted below:

• MB Audio Recording Industry Association/MB Motion Picture Industry Association Case Study: WDP funding led to the coordination of the music and film industry in Manitoba. This resulted in the ability to "brand" the industry and promote the idea of "proud to be Manitoban". Fund recipients mentioned that there has been increased and improved provincial, national and international awareness of the film and music industry in Manitoba in addition to increased participation in international markets.
  
  
• Canadian Light Source (CLS) Case Study: WD funding allowed CLS to be heavily promoted across the academic community, as well as in the national and international business community. WD funding afforded CLS the occasion to undertake significant promotional activities locally, provincially, national, and internationally, and has allowed CLS to bring its activities to the "layperson", and establish its relevance both to the taxpayer, and to businesses who may not have seen a need for CLS resources had it not been promoted to them.

These results from the file review and case studies supported the views of key informants. 84% (62 of 74) of key informants who were asked about this topic strongly agreed that the WDP has improved awareness, dialogue, and/or understanding of Western Canadian economic issues, challenges, opportunities, and priorities. These improvements were attributed to the WDP's influence having:

• Improved relationships between federal and provincial governments, in-part because of the program's access to policymakers.
  
  
• Increased understanding of Western economic issues as a result of the WDP bringing people together, through roundtables, industry-wide dialogues, and interdepartmental and multi-jurisdictional collaboration.
  
  
• Brought Western economic issues to the fore nationally, as a result of advocacy, regional representation, strong economic research, and conference support.
  
  
• Increased capacity within communities to better define their own competitive advantages, including increased engagement with Aboriginal communities.
  
  
• Increase in international recognition of the Western economy.

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Strategic Outcome: Community Economic Development

Community Economic Development (CED) accounted for the majority of activities undertaken by the WDP during the time of the evaluation. WDP funded programs contribute to community planning, economic development and adjustment to mitigate economic crisis. Survey recipients agree their projects have engaged in activities that impact community economic development, and administrative data shows that many funded projects target this area. The results of the evaluation indicate that WDP funded projects contribute to community planning, economic development and adjustment to mitigate economic crisis.

Within the timeframe of the evaluation, community related activities represented 41% of the expenditures for all activities undertaken by the WDP accounting for 43.5% of all projects undertaken by the WDP (Table 4-1). CED projects and expenditures accounted for the majority of activities undertaken by the WDP at the time of the evaluation.

Table 4-1
Community-Related Activities

Activity	Expenditures	Number of Projects
Community Planning	$8,823,666	171
Community Development	$88,182,436	954
Community Economic Adjustment	$984,620	16
Community Economic Development	$62,059,209	376
Total for Community Planning, Development and Economic Adjustment Activities	$160,049,931	1,517
Total for All Activities	$390,256,480	3,484

Reference: Administrative Data

As Table 4-2 shows, survey recipients generally agreed that the work in which they had participated had increased viability and diversification of the local economies (69.9%) and contributed to enhanced community planning (68.3%). Examples of activities undertaken by projects that have community economic related outcomes include strengthened networks and partnerships with schools, building new and/or refurbished facilities, installing new service hook-ups, and enhancing tourism activities.

Table 4-2
Community Impact of WDP Funding

Community Economic Development Impact	Strongly Disagree/ Disagree	Neutral	Agree/ Strongly Agree	Don’t Know/No Response	Total
Increased viability and diversification of local economies	4.4%	12.6%	69.9%	13.1%	100.0%
Contributed to enhanced community planning	6.2%	11.9%	68.3%	13.5%	99.9%
Helped mitigate economic crisis	17.7%	23.8%	33.1%	25.4%	100.0%

n= 1,042, Totals may not add to 100% due to rounding. Reference: Recipient Survey

Additionally, the file review and the administrative data demonstrated examples of projects within this strategic outcomes area. Some of the examples are:

• Enhanced community services (43 projects). Examples included development of a convention/accommodation facility, a virtual library, refurbishment of an existing centre, development of community tourism infrastructure, and business and community plans.
  
  
• Increase capacity in community organizations (650 projects). Examples included website development, conferences, and building of resource centres in communities.
  
  
• Individuals received training (939 individuals). Examples of training individuals received through the WD funded projects included training on cultural issues, technical skill training, on-the-job training, and educational programs.
  
  
• Developing community partnerships (53 projects). Examples of partnerships included strengthened networks and working with school divisions and individual schools and also with various communities to develop trade potential.

Key informants generally agreed that community economic development has been well addressed in the WDP model. Ways in which the model was said to have addressed community economic development was through the Saskatchewan Northern Development Agreement, the Urban Development Agreements, and through work in rural areas and with Aboriginal communities.

Despite work in rural and Aboriginal communities, key informants noted that these communities present challenges to the community economic development aspect of the WDP model, as it can be difficult to locate an organization with the capacity to handle WDP funding. It was also suggested that some communities simply cannot be made sustainable through these sorts of programs, and that infrastructure is often more important for some smaller communities.

Key informants expressed the need for a clear definition of what community economic development means, given that some communities are not going to be sustainable and other programs, such as Community Futures program, might be more adept at addressing this need.

Evidence from key informants, the file reviews, and in the case studies indicates results having been achieved in projects undertaken in community planning, community development and community adjustment. Some of the results are demonstrated below.

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Community Planning

Five out of 10 respondents in the case studies mentioned that their projects contributed to enhanced community planning. Eleven out of 110 files (10.0%) reviewed were targeted towards community planning as presented in the DDR's. Most of the community planning projects involved studies to develop community and business plans. Most of the community and business plans developed have been implemented. Some examples are:

• The Calgary Economic Development project to create a profile and directory of regional businesses: This project was still in-progress at the time of the evaluation and is likely to lead to expected results. Results to date indicate that thousands of business records in the Calgary region have been updated. This has enhanced the identification of businesses and greater information available on the Calgary economy and community supporting business retention, investment, and attraction activities.
  
  
• The Oliver and District Community Economic Development Society Feasibility study for Oliver's Wine Village Concept: The study produced a report that placed the town in a position to negotiate for a $75 million mixed use wine village. Plans for implementation of the study are far advanced and, according to the website, the Oliver Wine Village will be an experiential riverfront development committed to sustainable tourism and green building practices.
  
  
• The Community Futures Development Corporation of 16/37 project to establish the New Aiyansh Community Development Plan: The project resulted in two land use commercial designations in the community with suggestions to include the development of retail shops, rental shops, and offices. The plan also identified tourism commercial areas for the community.
  
  
• The British Columbia Co-Operative Association project to host community forums on developing a social cooperative: As a result of the project, the concept of social co-operatives resonated in many communities. Victoria and Lower Island have an established functioning social co-operative network. There are also emerging health co-operatives in the Kootenays. Many employment opportunities have been created from the co-operatives established.
  
  
• The Similkameen Valley Planning Society and Town of Princeton business plan to study the viability of purchasing the Princeton airport from the federal government: The plan was developed and approved and resulted in the Town of Princeton purchasing the airport from the federal government.

Community Development

Within the community economic development strategic outcome area, community development formed the bulk of the projects undertaken. Eight out of the nine respondents in the case studies mentioned that their projects contributed to community development through increased viability and diversification of the local economy. Thirty-eight out of 110 (34.5%) files reviewed were identified as community development projects. Examples of community development projects from the file review include:

• The Turning Point Society initiative to develop the First Nations shellfish aquaculture industry along BC's north and central coasts: Results from this initiative include the following:
  
  
  • Investment Attraction: A Memorandum of Understanding was developed with 2 Chinese companies who expressed interest in the project.
    
    
  • Preparation of Individual Business Plans for Communities: A business-planning consultant was identified to develop community business plans.
    
    
  • Capacity Building: Malaspina Centre for Shellfish Research received $2.2 million to advance First Nations shellfish capacity building. Through this, training programs have been organised in the communities including the hiring of a community advisor and a project director.
    
    
• The Pacific Corridor Enterprise Council (PACE) project to install an Advanced Traveller Information (ATI) system along the Vancouver and the Lower Mainland's two main border crossings at Douglas (Peace Arch) Blaine and Pacific Highway: The ATI system was constructed and deployed along the border crossings. This system provides leading edge technology with dynamic message signs and software connections to Internet websites so as to communicate southbound delays, conditions, and travel times at each crossing for trip planning and route diversion. PACE and the transportation industry acknowledge that without WD investment, the project would not have been possible. It is anticipated that this prototype technology will be a model for other jurisdictions to follow and/or be guided by.
  
  
• The Aboriginal Human Resource Development Council of Saskatchewan project to enhance job placements for northern Saskatchewan residents: Final report of the project indicates over 300 job placements during the life of the project. Initiatives such as this contributed to reports that Canada's employment gap between Aboriginal and non-Aboriginal people grew smaller by 3.3% between 2001 (19.1 %) and 2006 (15.8 %).
  
  
• The Immigrant Access Fund Society of Alberta's initiative to support operations and delivery of the immigrant access fund: This initiative resulted in the integration of immigrants into Alberta's workforce. Based on the initiative's progress reports, 106 loans have been approved so far with 13 applicants receiving their accreditation/upgrade training and employment in their field.

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Community Economic Adjustment

Many example of activities aimed at community adjustment and mitigating economic crisis were given by key-informants, including working with the Aboriginal community, revitalization of Vancouver Downtown Eastside, and other inner city and historic neighbourhoods, and development of better "core" neighbourhoods and improved housing stock. Facing "Mad Cow," pine beetle, fisheries, floods, and forestry adjustment were all mentioned as key examples of the department's involvement in community adjustment to mitigate economic crisis.

In support of these opinions, some projects from the file review can be seen as providing results for community adjustment. An example of such a project was:

• The Community Futures Development Corporation of Central Okanagan Post Fire Tourism Marketing Initiative: This project was undertaken to restore tourist confidence in the Okanagan due to negative media coverage of the fire that damaged wineries in central Okanagan in August 2003. The project re-established tourist confidence in Kelowna and the Okanagan. The project was also able to reverse media damage as visitor volume increased from 2002 to 2003. Upon completion of the project, tourists' data compiled by Tourism Kelowna indicated that visiting patterns have been normalised.

Within the WDP, several sub-component initiatives have also been undertaken to mitigate economic crisis. Two such initiatives were:

• The Fraser River Port Authority Channel Maintenance Program designed to provide the opportunity to regularly dredge the lower Fraser River ports and remove accumulated silt in the channel. This dredging helps to sustain and maintain safe water depths for deep-sea vessels as well as to mitigate the risk of flood in the region.
  
  
• The Mountain Pine Beetle and the Community Economic Diversification Initiative, a two-year contribution program targeted to forest-dependent communities with the goal of contributing to long-term stability and diversifying those economies. Community leaders and stakeholders work together to create jobs and support growth and sustainability in communities that have been affected by the pine beetle infestation.

Strategic Outcome: Entrepreneurship and Innovation

A competitive and expanded business sector in Canada.

Entrepreneurship accounted for a little over a quarter of expenditures and projects in the period of 2003 to 2007. Funded projects cite the achievement of successful partnerships and strategic linkages, which all stakeholders believe support entrepreneurship. Both job and business creation is occurring in WDP funded projects, although potentially at a higher rate than the existing administrative data supports.

According to the database, entrepreneurship-related activities represent 24.5% of the expenditures for all activities undertaken by the WDP (Table 4-3). Entrepreneurship-related activities account for 26% of all projects completed.

Table 4-3
Entrepreneurship-Related Activities

Activity	Expenditures	Number of Projects
Business Development and Entrepreneurship	$1,588,098	117
Entrepreneurship	$13,924,037	373
Improve Business Productivity	$34,596,792	164
Market/Trade Development	$39,088,902	152
Industry Collaboration	$2,489,612	74
Foreign Direct Investment	$506,139	9
Access to Capital	$3,593,804	14
Total for Entrepreneurship Activities	$95,787,384	903
Total for All Activities	$390,256,480	3,484

n = 3,454. Reference: Administrative Data

66.5% of funding recipients agreed that their project had increased successful partnerships and strategic linkages (Table 6-4). Significantly, fewer funding recipients indicated that their projects had resulted in increased foreign investment (15.0%) or participation in international markets (27.7%).

Table 4-4
Strategic Alliances and International Relationships

Strategic Alliances and International Relationships	Strongly Disagree/ Disagree	Neutral	Agree/ Strongly Agree	Don’t Know	No Response
Increased participation in international markets	22.5%	17.0%	27.7%	2.7%	30.1%
Increased foreign investment in Western Canada	25.7%	18.9%	15.0%	5.3%	35.1%
Increased successful partnerships and strategic linkages	5.1%	12.8%	66.5%	2.6%	13.1%

n=1,042. Reference: Recipient Survey

With respect to increased participation of Western Canadian economies in international markets and the development of successful strategic alliances, key informants reported seeing positive changes. They however, pointed out that the WDP is too small to have made significant changes on its own, and acknowledged that at least some of this increase could be attributed to other economic diversification programs.

To key informants, partnership development was noted to be a core aspect of economic diversification. By promoting partnerships, the program was said to improve knowledge transfer, create new investment opportunities, and increase collaboration between sectors and levels of government. Successful partnerships were mentioned to have been brokered between provincial governments and the private sector, with Chambers of Commerce, and with various members of the business community. The Urban Development Agreements (UDA) and cost-shared agreements were highlighted as examples of successful partnerships.

With respect to entrepreneurship, projects were also linked with job and business creation and expansion. These economic indicators are not being consistently captured within program reporting processes at present; hence it was a challenge to present these data in the evaluation. Administrative data, the file review, and case studies showed that among WDP projects funded from 2002 to 2007, the following entrepreneurship results were evident:

• Jobs created or maintained.  From the file review, about 611 job placements occurred in two projects undertaken by the Aboriginal Human Resource Development Council in Saskatchewan. Another 973 jobs were also created or maintained in 10 other projects that provided such information. Three case studies reported about 1,466 jobs created as a result of WD funding for their projects.
• Businesses created, maintained, or expanded.  The administrative data showed 87 businesses created or maintained. Case study examples included the formation of spin-off companies and business incubation facilities.

Key informants mentioned that the WDP has contributed to entrepreneurship in the west, although it is acknowledged that there are some difficulties with the current model. The WDP's success in entrepreneurship is commonly attributed to the work it does in building partnerships and providing information, particularly in rural communities.

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Entrepreneurship

From the case studies and the file review, most significant results in entrepreneurship activities were in the area of improving business productivity and industry collaboration. An analysis of projects in the file review showed linkages in the results obtained in improving business productivity and industry collaboration to market/trade development, foreign direct investment and access to capital.

Improve Business Productivity

Based on the file review, projects in this activity area mostly provided business training to entrepreneurs to improve their productivity. About 14 projects in this activity area were reviewed as part of the file review. Even though the file review indicated that most of the projects were completed, long-term results could not be determined in the evaluation due to the lack of follow-up of participants in training programs. Early results in project reports from more recently funded projects do indicate progress being made towards the achievement of long-term outcomes. Examples of some early results from some of the projects are:

• The Retail Merchants of BC initiative to develop a customized B.C. retail training program: Comments on the program website indicate that the training program has been transforming BC's retail industry since its inception in 2006. There is the expansion of the training program into new provinces and the addition of new topics.
  
  
• The Alliance of Manufacturers & Exporters Canada initiative to provide operating funds for a Saskatchewan Manufacturers Centre: This is a follow-up from two other training projects. The centre provides training to manufacturing companies. Participants reported positive results with over 30 companies trained in this program. Some of the gains reported by some of the companies as a result of participating in this training include: process time reduced by 82%; production time reduced by 40%; travel time reduced by 75%; gross margin increased by 105%; and staff involvement in production process and allowed to make necessary changes.

Industry Collaboration

All lines of evidence in the evaluation supported increases in the number of successful partnerships and strategic alliances. A wide range of partners was represented in funding relationships. There was a strong level of agreement among stakeholders that involvement with the WDP had promoted collaboration (between the federal government and both communities and the private sector), strengthened relationships between partners, and allowed partners to carry out activities they would not have otherwise. Respondents also see partnerships as continuing at the end of WDP funding. It was commonly felt that partnerships did promote collaboration, which resulted in such activities as leveraging and productive discussions.

Survey recipients mentioned the creation of successful partnerships and/or strategic alliances as a key positive outcome. Evidence from the case studies and file reviews and from respondents suggested a number of different types of partners, including: provincial governments (sometimes more than one ministry); private business (from large corporations to small businesses); universities; regional economic development organizations; foundations; research institutes; and other organizations. Based on the file reviews and partner interviews, these partnerships also resulted in leveraging both in-kind and cash funds for projects.

Degree that Agreements Promoted Collaboration/Partnerships/Common Priorities

In terms of collaboration, survey recipients were asked about whether or not partnerships for the projects had promoted collaboration between the federal government and the private sector, and the federal government and the community. 69.6% of respondents agreed that partnerships had promoted collaboration between the federal government and the community (Table 4-5). 75.8% of the respondents agreed that WDP funding allowed partners to focus on common priorities.

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Table 4-5
Partnership Collaboration, Strengthening, and Common Priorities

Statement	Strongly Disagree/ Disagree	Neutral	Agree/ Strongly Agree	Don’t Know	Total
The partnerships developed for this project promoted collaboration between the federal government and the community.	7.8%	15.6%	69.6%	7.0%	100%
The partnerships developed for this project promoted collaboration between the federal government and the private sector.	19.4%	21.3%	49.2%	10.1%	100%
WDP funding for this project allowed the partners to more strategically focus on common priorities	2.9%	14.2%	75.8%	7.1%	100%

n=756, excluding NR. Reference: Recipient Survey

Key informants spoke positively about the ability of cost-shared agreements to promote collaboration, strengthen partnerships, and more strategically focus on common priorities. Comments centred on collaborative work and joint funding agreements between the provincial governments (WEPA's) and other agreements, such as the UDA's and the Saskatchewan Northern Development Agreement. These agreements promoted discussion, innovation, competitiveness, strategic investment, and common outcomes. Partnerships were mention to often translate into expanded working relationships, and entirely new projects or local linkages.

Market/Trade Development, Foreign Direct Investment, and Access to Capital

Results in these activity areas were more impacted by results achieved in other activity areas. Not many WDP projects in the database were aimed directly at foreign direct investment and access to capital (these two activity areas are also covered by other departmental programs such as Community Futures). A few projects related to market/trade development were included in the file review due to the impact of this activity area on other PAA activities. An example from the file review and the case studies did indicate results achieved in these activity areas:

• The TR Labs/NEWT case study in Alberta to upgrade the NEWT wireless test facility resulted in the establishment of international collaboration with Hong Kong, Singapore and Finland in 2006. Case study respondents believe this collaboration will lead to the participation in international markets. The NEWT test facility is used for the development and support of wireless innovation, which includes education and mentorship programs, strategic business and marketing support, and technical resources.
  
  
• The Saskatchewan Trade & Export Partnership initiative to support export financing for SMEs: The project resulted in the establishment of nextrade finance which provides affordable export financing for SME exporters. An economic impact report estimated nextrade support to be over $9 million since inception in 2004 to December 2006. With an initial capital pool of $1.2 million, nextrade's impact on the Saskatchewan economy was estimated to be an additional $18.2 million in economic activity since inception.

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Innovation

Innovation was a strong undertaking in both expenditures and projects completed. Evidence from the evaluation indicates technology has been a key area of recent activity with such activities as training, science and technology programs; involvement in building research centres; and technology commercialization and adoption work. Other examples included: internship programs with venture capitalists, promotion of knowledge-based clusters, and the life sciences cluster.

Within the timeframe for the evaluation, innovation-related activities represented 34.1% of the expenditures for all activities undertaken by the WDP (Table 4-6). Innovation-related activities accounted for 30.0% of all projects completed.

Table 4-6
Innovation-Related Activities

Activity	Expenditures	Number of Projects
Technology Adoption and Commercialization	$29,005,999	193
Technology Linkages	$9,734,674	69
Technology Research and Development	$46,220,193	157
Community Innovation	$1,717,969	24
Technology Skills Development	$2,588,389	18
Knowledge Infrastructure	$9,697,784	25
Innovation	$34,114,721	552
Total for Innovation Activities	$133,079,729	1,038
Total for All Activities	$390,256,480	3,484

n = 3,454. Reference: Administrative Data

When asked about specific positive outcomes that projects have contributed to or increased, nearly all respondents in the case studies (8 of 9 respondents) cited technology linkages, research and development, community innovation, and technology skills development.

47.1% of the survey recipients expressed that the project they had participated in had resulted in increased productivity and 55.6% felt that the project had enhanced education, training or skill development (Table 4-7).

Table 4-7
Innovation Impact of WDP Funding Program

Innovation Impacts	Strongly Disagree/ Disagree	Neutral	Agree/ Strongly Agree	Total
Increased education, training, or skill development	8.8%	11.7%	55.6%	76.1%
Increased productivity	9.9%	19.1%	47.1%	76.1%
Increased research and development	17.1%	13.6%	34.4%	65.1%
Increased technology capacity in community	18.3%	15.5%	30.2%	64.0%
Increased technology linkages	20.6%	13.0%	29.8%	63.4%
Increased physical infrastructure for research and development	21.1%	16.7%	22.8%	60.6%
Developed a technology in a research institution with commercialization potential	25.0%	13.9%	18.0%	56.9%

n= 1,042, excluding Don't Know/Not Applicable. Reference: Recipient Survey

Key informants mentioned that the program has a strong focus and a long-term interest in innovation, and that results in the area of innovation have been well addressed in the WDP model. These results include partnerships with universities, and work in the fields of life sciences, fuel cells, nanotechnology, health, environment, ICT, and wireless technologies. This success is attributed to strengths of the WDP model, which allow for the flexibility to support infrastructure and support services aimed at innovation, strong work with not-for-profits and other organizations, and core funding for technology linkages. The WDP's emphasis on economic research and capacity building was also felt to have supported innovation

An economic impact assessment of the department's investments in Western Canada's life sciences cluster estimate the economic impacts from the department's investments to be $189.0 million in total output, $88.9 million in GDP, and 1,654 full time equivalent jobs from 2000 to 2006. The department invested $130.8 million for 359 projects in the life sciences within that period. Other additional benefits from the study include long-term public health benefits resulting from improved medical therapies, creation of spin-off companies, and attraction of scientists to research facilities.¹⁷

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Technology Adoption, Commercialization, Linkages and R&D

The administrative data and case studies showed that among the projects funded by the WDP, the following innovation activities had been undertaken:

• Products or processes identified for commercialization and adoption.  Forty-four products or processes from administrative data have been identified. From the University of British Columbia Centre for Drug Research and Development case study, 5 projects, including Targeting YB-1 for Cancer Therapy; Nano-scale Formulations of Taxotere Analogs; Development of a Chlamydia T Cell Vaccine; an Inhibitor of the M-Ras Pathway with Broad Anti-Cancer Activity; and Specific Inhibitors of Alternative Splicing Events Controlling HIV Replication have been approved for commercialization. Five other projects are pending, and 29 projects are under review.
  
  
• Demonstrations of viable technology (Spring Board West Innovation case study in Saskatchewan). The Regina Pipe Crawler, a new technology designed to move up and down pressurized drinking water pipes carrying sensors to assess the condition of the pipes, moved to commercialization as a result of WDP funding.

By funding research and development, the program was said to provide innovative approaches to traditional ways of doing business. For example, the WDP has funded research centres that have altered attitudes toward health care in Alberta (away from a disease-based and toward a wellness-based model). Research and development was also said to support new technologies, improve the role for post-secondary institutions in government programs, develop new products, and improve collaboration with local industry and researchers. In addition WDP funding was considered to be especially important in the development of the life sciences cluster.

Fifteen projects in the project file review had technology commercialisation, adoption, linkages and R&D as their sub-activity areas. Results from some of the projects are presented below:

• The Okanagan Research & Innovation Centre (ORIC) initiative to assist in establishing ORIC to transfer technologies: As of the end of March 2008, the centre had generated 4 clients resulting in increased revenue for ORIC. An ORIC client, Waveteq Communications Incorporated, a BC-based manufacturer and designer of specialized wireless devices, announced the completion of the certification process for Industry Canada and the Federal Communications Commission in the United States for their products.
  
  
• The Association of Professional Engineers and Geoscientists of British Columbia project to develop cost effective seismic retrofit design concepts to minimize the impact of earthquakes: The project resulted in the development of seismic retrofit design concepts for buildings using a performance-based methodology. The Ministry of Education (MoE) of BC considers this work to be an integral component of their $1.5 billion plan to make BC's schools earthquake safe. Use of this methodology by the MoE has the potential to result in construction cost reductions in the range of 20-30% of their seismic mitigation program.
  
  
• The Wireless Innovation Network Society of BC (WINBC) initiative to develop a wireless cluster: As a result of WD funding, the society was able to sign up 50 new members to increase its linkages. WINBC currently represents more than 250 member companies and is currently the focal point for wireless in BC.

Community Innovation, Technology Skills Development, & Knowledge Infrastructure

In the impact assessment done of departmental investments in the life sciences cluster, findings indicate that the department's investment was an important contribution to the growth of the cluster through its contribution to creating research infrastructure. The department was also recognised in the study for supporting several training initiatives. Departmental funding also supported the expansion of the cluster in western Canada into diverse industry areas such as bio-fuels, value-added forestry, viticulture management, aquaculture, and agri-foods. ¹⁸

The file review also indicated that activities undertaken in community economic development and innovation had a direct impact in these activity areas. Results also in Technology Adoption, Commercialization, Linkages and R&D could be linked to these activity areas. The file review did indicate some projects undertaken in this area. Examples of such projects with some results are:

• The British Columbia Biotechnology Alliance Society and Simon Fraser University (SFU) project to develop a Management of Technology MBA program at SFU: Based on the SFU website, the program has been implemented with 81 students in the program in 2008. WD funding afforded SFU the opportunity to offer the specialized management education stream for a niche sector (the biotech industry).
  
  
• The University of Saskatchewan project to purchase additional equipment and to complete construction on the VIDO building: Information from the VIDO website indicates that the project was completed. As a result, VIDO has gone from a staff of five temporarily housed in trailers to a new building with more than 150 employees and researchers occupying 100,000 square feet. VIDO is internationally recognized for the design of many vaccines and products increasing productivity and improving health and quality of life for livestock. The organization hosts visiting scientists and also provides a skills training environment for undergraduates, postgraduates, and post doctorates.

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Unintended Positive Program Impacts

Key informants mentioned other impacts such as increased social cohesion, coordination, and social capital resulting from cluster development. Other unintended impacts mentioned include:

• Private sector capital as a result of WDP investment in infrastructure;
• Positive working relationships with departmental staff;
• Increased business success in Asian markets;
• Increased community inclusion of those living in poverty because of economic development;
• Integrated, cost-effective approaches to development and planning; and
• Accelerated thinking in mainstream research and development circles.

As well, the recipient survey outlined a number of positive impacts of the projects that had been undertaken in Table 4-8.

Table 4-8
Impacts of the Projects

Category	Percentage
Community related-development, renewal	22.4%
Collaboration, networking, partnerships	17.0%
Awareness, media, publicity, recognition	12.0%
Increased capacity in organization, business related	7.9%
Human resources, employment, jobs, labour	5.7%
Education, schools, training, faculty	4.4%
Tourism	2.8%
Investment, revenue, financial, funding	2.8%
Aboriginal issues	2.8%
Research, bio-technology, innovation	2.8%
Project expanded, were able to do similar project again	2.8%
Other	2.8%
Trade, exports, international, global	2.5%
Other responses less than 2%	10.9%
Total	100%

n=292. Reference: Recipient Survey

Unintended Negative Program Impacts

42.9% of survey recipients reported unintended impacts related to not having enough funding or funding ending before the completion of their project (Table 4-9).

Table 4-9
Unintended Negative Impacts of the Projects

Category	Percentage
Finances-expenses, not enough funding/ funding ended	42.9%
Negative reactions from public or politicians	14.3%
Poor program design, unexpected results	11.4%
Poor partnership opportunities, relationships	8.6%
Project was not completed	8.6%
Disorganization of the project	5.7%
Negative environmental impact	5.7%
Damage to facilities probably due to bad engineering design	2.9%
Total	100%

n=35. Reference: Recipient Survey

Key informants mention the following unintended negative impacts of the program:

• Difficulties arising from obtaining matching funding;
• Application process is so burdensome that it impacts ability to spend time on other work;
• Problems with projects in Northern communities due to changes/reductions in funding which further erode trust between Northern stakeholders and government;
• Projects brought to operation mode failing because of lack of operational funding;
• Projects in which funding ends prior to the development of a sustainable economic base, resulting in poor outcomes for local organizations and economies.
• Inconsistencies between Western and Eastern regions in the application of federal programs;
• Providing too many resources to small organizations with insufficient capacity; and
• Negative media coverage of economic diversification programs.

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