The University Of Massachusetts Medical School (UMMS) is an important part of the Worcester economy. A 2015 study by the Donahue Institute, a U Mass-affiliated provider of research, training and consulting on economic and public policy, estimates that UMMS contributed $1.6 billion to the county's economy. <\/p>\n
The Donahue Institute study found that \"UMMS generated $1.6 billion in economic activity including contributions of the local operating expenditures of the university, including $49 million in one-time major construction, the spending of UMMS faculty and staff, and the spending of its students in fiscal year 2015 Spending by UMMS and its faculty, staff and students support an additional 4,943 jobs in Massachusetts.\" <\/p>\n
Medical research is a major contributor to UMMS' economic impact. According to a June 19 email from James B. Leary, UMMS vice chancellor for community and government relations, \"In terms of economic impact our medical research enterprise is a major driver. UMMS now ranks 29th among medical schools nationally in National Institutes of Health funding (out of nearly 150 schools) and is third in New England behind only Yale and Harvard. UMMS currently has approximately $260 million in sponsored research including $206 million from federal grants, of which $153 million is from the NIH. To put the impact of that in context, a 2015 national study on NIH funding indicated that in Massachusetts, every dollar of NIH funding yielded a nearly $2.30 in multiplier impact (\"NIH's Role in Sustaining the U.S. Economy, 2015 Update\", published by United for Medical Research). So, while I can't state the impact by project with specificity, we know the multiplier impact of research is very significant and certainly helps drive the local economy.\" <\/p>\n
UMMS has also patented its research in a significant way, although I would imagine it is difficult to quantify the economic impact of those patents. According to Mr. Leary, \"UMMS has been very successful in patenting research breakthroughs, thereby providing a foundation upon which new companies can be founded or new therapies can be developed by existing companies. Today, UMMS has 184 licenses with 109 companies. Among these, is Biomere\/BRM, a Worcester-based contract researcher, and Cambridge-based Voyager Therapeutics, [a publicly traded developer of therapies for neurological diseases which generated $14 million in 2016 revenue while posting a $40 million net loss and had a June 19 market capitalization stock price times shares outstanding of $273 million].\" <\/p>\n
I believe there is significant promise in the steps UMMS is taking to boost its future economic impact. As Mr. Leary explained, \"In terms of medical research, we are committed to continue investing in research and seeking grant funding for promising areas of inquiry from federal and other sources. In addition, in recent years we established an office of innovation and business development, the sole focus of which is to increase the types and number of industry partnerships and collaborations, as well as help launch new companies.\" <\/p>\n
UMMS is happy to be located in Worcester. \"We have always operated in Worcester and see many positives from this location. Central Mass has a vibrant higher education and health care sectors, both of which are a draw for our scientists, who come here from across the country and across the globe. We have a highly skilled workforce in the city and the region, which is critical for our success. And Worcester is a great place for collaboration with other colleges and universities, with businesses and with government leaders,\" Mr. Leary contends. <\/p>\n
However, it sees a challenge in attracting talent to the heart of Massachusetts. \"The only real challenge is that of perception sometimes people from outside the area don't know or appreciate how Worcester's economy has transformed over the past three decades. But once they visit and see it for themselves, they appreciate that this is a real center of innovation and collaboration,\" he said. <\/p>\n
UMMS believes that Worcester's labor statistics, researcher credentials, licensing revenue, and National Institutes of Health funding help make the case for Worcester. As Mr. Leary argued, \"47 percent of employment in the city of Worcester is in the education and health services sector a figure that does not even include jobs in the private life sciences.\" <\/p>\n
He also highlighted the talents of UMMS' researchers. \"The outstanding credentials of many of the researchers who have chosen to work here. These individuals are from all over the world, and they could work virtually anywhere. The fact they have chosen UMass and Worcester sends a strong message to others who may not be familiar with us. (Members of our faculty include awardees of the 2015 Breakthrough Prize, 2008 Lasker Award, 2006 Nobel Prize for Medicine, seven Howard Hughes Medical Investigators, six National Academy members, three Keck Award winners and three Presidential Early Career awardees.)\" he pointed out. <\/p>\n
Finally, Mr. Leary provided evidence of UMMS' licensing revenue and NIH funding. \"Most years, the University of Massachusetts system ranks very highly nationally in annual licensing revenues (top 15), indicating success in turning laboratory discoveries into commercial therapies or technologies. UMMS accounts for the vast majority of this licensing in the university system typically over 95 percent. And UMMS ranks highly in NIH research, all of which is competitively awarded based upon peer review merit scores.\" <\/p>\n
Peter Cohan of Marlboro heads a management consulting and venture capital firm and teaches business strategy and entrepreneurship at Babson College. His email address is peter@petercohan.com<\/a>. <\/p>\n <\/p>\n Read this article:<\/p>\n Wall & Main: UMass Medical School's $1.6 billion economic contribution - Worcester Telegram<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" The University Of Massachusetts Medical School (UMMS) is an important part of the Worcester economy. A 2015 study by the Donahue Institute, a U Mass-affiliated provider of research, training and consulting on economic and public policy, estimates that UMMS contributed $1.6 billion to the county's economy. The Donahue Institute study found that \"UMMS generated $1.6 billion in economic activity including contributions of the local operating expenditures of the university, including $49 million in one-time major construction, the spending of UMMS faculty and staff, and the spending of its students in fiscal year 2015 Spending by UMMS and its faculty, staff and students support an additional 4,943 jobs in Massachusetts.\" Medical research is a major contributor to UMMS' economic impact. Continue reading