Assessing small business research programs
Reprinted from GAO Report GAO-05-861T
The Government Accountability Office (GAO) recently released its latest examination of the federal Small Business Innovation Research (SBIR) program, and the results are promising. Since the program was started in FY 1983, the SBIR program has invested more than $15 billion in roughly 76,000 research projects undertaken by small businesses. GAO finds that the SBIR program has generally met its stated goals. It has funded high-quality research, stimulated competition, and promoted commercialization of research.
But the picture isn't all positive. GAO also notes that it has been difficult to develop comprehensive metrics for SBIR performance. In particular, much debate still arises over what is meant by "commercialization." The SBIR statute does not define commercialization, so each agency uses a slightly different approach. Moreover, GAO evaluators also warn against a total reliance on commercialization as a measure of program success. If funds are only provided to products and ideas with immediate commercial market value, much high risk and high value-added research could be underfunded.
The June 2005 Government Accountability
Office report (GAO-05-861T), Federal Research: Observations on the Small
Business Innovation Research Program, is available at http://www.gao.gov/new.items/d05861t.pdf