Rudjer Boskovic InstituteRudjer Boskovic InstituteCENTER FOR MARINE AND ENVIRONMENTAL RESEARCH

LABORATORY FOR ECOLOGICAL MODELING (LEM) (LEM)

10.7.10.7.

Business Plan 2003-2007Business Plan 2003-2007

Vesna Svetlicic, Vera Zutic 2002

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SMART PARTICLE ANALYZER (SPA)

Business Plan modified 06.01.2003.LABORATORY FOR ECOLOGICAL MODELING (LEM) CENTER FOR MARINE AND ENVIRONMENTAL RESEARCH (CMER)RUĐER BOŠKOVIĆ INSTITUTE (RBI)

Authors: Drs. Vesna Svetličić and Vera Žutić

SMART PARTICLE ANALYZER (SPA): A REVOLUTIONARY ELECTRO-CHEMICAL SENSOR FOR ENVIRONMENTAL, INDUSTRIAL AND CLINICAL APPLICATIONS

SUMMARY

The Northern Adriatic has been hit by frequent and devastating mucilage formations that cover tens of square kilometers of sea surface and cause tens of millions US$ of damage to the tourist and fishing industries. The phenomenon is caused by soft particle aggregation and can be expected to spread to other coastal seas of the Mediterranean due to increasing nutrient loads and global warming.

However, existing methods for measuring the soft particles at the root of the problem and predicting and managing the mucilage formations have proven inadequate. They are difficult to perform, time-consuming and expensive, making any kind of meaningful monitoring impossible. The Smart Particle Analyzer Business Plan outlines an approach to commercializing a revolutionary new instrument that addresses these challenges and promises even wider applications. SPA will enable continuous monitoring of soft particles and will provide an early warning system for mucilage formation.

The original electrochemical sensor together with the signal analyzer make the portable measuring system (SPA) that can be used on-site or in situ and can be operated by non-specialists. The instrument price is foreseen to be significantly lower than conventional particle analyzers present on the market.

The CMER group at RBI has made a series of fundamental discoveries that form the basis of the SPA. Based on 25 years of original research and 40 publications in prestigious international scientific journals we introduce the new electrochemical sensor for soft particles. These basic principles have been proven with a working laboratory prototype. Four leading oceanographic laboratories (Italy and US), three clinical laboratories, an institute for immunology (Croatia), and one global health research initiative already expressed interest for Smart Particle Analyzer.

Based on present funding of the project, we currently estimate a need for an additional $150,000 over the two years for SPA commercialization.

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Business Plan LABORATORY FOR ECOLOGICAL MODELING (LEM) CENTER FOR MARINE AND ENVIRONMENTAL RESEARCH (CMER)RUĐER BOŠKOVIĆ INSTITUTE (RBI)

Authors: Drs. Vesna Svetličić and Vera Žutić

SMART PARTICLE ANALYZER (SPA): A REVOLUTIONARY ELECTRO-CHEMICAL SENSOR FOR ENVIRONMENTAL, INDUSTRIAL AND CLINICAL APPLICATIONS

1. INTRODUCTION AND BACKGROUND

In compliance with the Rudjer Boskovic Institute Mission Statement that was accepted by World Bank representatives and Croatian Ministry of Science and Technology in October 2002:

“To perform fundamental and applied research into important problems in physical, chemical, medical and environmental sciences and apply this knowledge to the benefit of Croatian society and world community”,

we are submitting the project proposal for development of a new generation of sensors for soft particles. This proposal is viewed as SPA commercialization project encompassing the tasks from basic research to the commercial prototype.

1.1. Objective

-development of novel class of sensors and electrochemical instrumentation for detection of soft micro- and nano-particles in aquatic environments by implementing our discovery of single events in surface electrochemistry.

Our target is to produce the portable measuring system consisting of the electrochemical sensor for soft particles (ESP-sensor) and signal analyzer (Smart-Particle-Analyzer) that can be used on-site and/or in situ and operated by non-specialists.

1.2. Motivation

After the dramatic episode of giant gel formation (mucilage) in Northern Adriatic Sea during the summer of 1997 that devastated tourist season, the national Croatian monitoring system has been initiated (Projekt Jadran). A special attention was devoted to monitoring the microscopic precursors of the phenomenon – the reactive organic microparticles (i.e. soft particles) that can be measured in situ, by the electrochemical sensor developed in our group.

Our applied research was reviewed by an independent expert engaged by the World Bank, Dr. Gerhard Malainer who gave his final report (August 20, 2002) recommending the reinforcing (investment of R&D funds) of selected activities:

“…In particular, investigation of "pathophysiology of phytoplankton growth and colloidal soft particle formation (seaweed bloom)": Since this phenomena has a major impact on Croatian tourism and plenty of expertise is available of RBI/CMER, it is worthwhile to elucidate mechanisms involved, develop early

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warning indicators and procedures to influence its formation. Expertise developed can also be exploited abroad (problem may disseminate as a consequence of global warming).”

This is why we propose SPA commercialization project to the WB for partial funding.

1.3. Key features of SPA

Smart-Particle-Analyzer consisting of ESP-sensor and random signals analyzer is a revolutionary instrument for soft particles analysis. There is no equivalent instrument on the market up to now that would enable direct in situ characterization of soft particles with a broad range of measurable parameters:

concentration size fluidity surface charge adhesion properties and the rate of spreading

Targeted soft particles in the size range of 1 to 100 micrometers: vesicles droplets microgels living cells (e.g. marine algae , blood cells)

Media: seawater estuarine and freshwaters industrial effluents process plants and effluent body fluids

Modern techniques in the field of particle analysis require various pretreatments (various filtration, centrifugation and staining techniques), which inevitably introduce artifacts such as aggregation. For example two outstanding techniques, TEM and AFM, for imaging soft particles require ultrafiltration, diafiltration, freeze-drying and rehydration before imaging. Besides, such instrumentation is highly expensive, even for operation and maintenance, and is not suited for any kind of routine analysis or monitoring. The instrument price of SPA is foreseen to be significantly lower than conventional particle analyzers present on the market.

1.4. Project Background

In recent years there has been a dramatic change in our knowledge of particulate matter in the ocean due to discovery of new classes of highly abundant organic particles, which had remained undetected by previous techniques. They range in size from nanometers to hundreds of micrometers and their concentrations in seawater vary from 105 to 1014 particles per liter. These particles play a major role in ocean ecology and chemistry.

The episodic events of massive particle aggregation to form macroscopic gel phase, (summers 1988,1989, 1991,1997 and late springs 2000, 2001, 2002) that cover tens of square kilometers of Northern Adriatic sea surface and form large aggregates within the water column

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(photographs shown below), significantly affects basic biological, chemical and physical properties of the ecosystem. These episodes had devastating impact on the economies of the coastal zone of Croatia and neighboring countries that are based on tourism and fisheries. The phenomenon has so far been specific for Northern Adriatic but due to global warming and increasing nutrient load it could be anticipated to spread over other coastal seas of Mediterranean.

Macroscopic gel covering sea surface, summer 1989. Fishing boat in the background 20 m long (Stachowitch, 1990).

Scuba diver and AFM image of giant gel in Northern Adriatic Sea, 1997 episode.

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After the dramatic episode in summer 1997 that devastated the tourist season, the national Croatian monitoring system has been initiated (Projekt Jadran, 1998-) with a special attention devoted to monitoring the microscopic precursors of the phenomenon – the reactive organic microparticles that can be measured in situ, by an electrochemical sensor.

A major characteristic of a seawater sample containing colloidal particles is its intrinsic instability due to continuing aggregation and microbial activity. Consequently, sampling and sample processing should be shortened and simplified as much as possible. The electrochemical particle analysis, being direct, rapid and simple, meets these requirements. Electrochemical sensor for soft particle analysis enables direct and simple recording of electrical signals (milliseconds duration) of reactive particles in raw seawater samples over desired time interval.

Why Electroanalysis? Even though aquatic microparticles and colloids have been studied for many years, neither their exact chemical composition nor their morphological characteristics are known precisely because of instrumental and procedural limitations. Electroanalytical techniques provide an important and convenient variety of tools for field analysis. Their efficiencies, their sensitivities, and the easy way they are operated by non-specialists and also their relative low cost, make these techniques more attractive than most of powerful and heavy physical methods for which a high level of expertise is required. Moreover, the physical dimensions and often the energy consumption of these highly sophisticated instruments exclude direct field application or remote control. The total cost is also a limiting factor.

The need to develop highly sensitive instrumentation and methodologies for analytical purpose in the domains of environmental, biological, biomedical, waste waters, effluents, agrochemical and food specialties control, clearly appears throughout the increasing number of publications dedicated to these subjects. This is also connected with the evolution or the definition of new standards of toxicity for many pollutants and also with the use of specific method recommended by the authorities in each domain.

1.5. Recent Performance of LEM: Basic and Applied Research Relevant to the Innovation Process

Since formation of the laboratory in 1988 we have consistently entered the new research areas in aquatic sciences, biophysics (molecular scale resolution and supramolecular organization of organic matter at interfaces) and ecological modeling. Our recent achievements in the develoment of new concepts in electrochemical adhesion sensors laid a ground for the following international projects:

COCOP “Developpement d’un nouveau type de capteur electrochimique pour la recherche et le contrôle de nanoparticules reactives dans le milieu aquatique” with CNRS-ENS, Paris, France,

SCOPE “Identification of bacterial structures important for bacterial adhesion using the electrochemical adhesion sensor” with EAWAG/ETH Switzerland,

NSF bilateral project "Biophysical Aspects of Mucilage Formation in the Northen Adriatic Sea" with Scripps Institution of Oceanograpphy, UCSD, USA.

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Over 40 scientific papers published in most prominent journals (e.g. Nature, Applied and Environmental Microbiology, Langmuir, Electrophoresis), 3 Ph.D. and 7 M.Sc. theses treat the basic and applied research related to the ESP-sensor. The laboratory version of the adhesion sensor is used in the long-term monitoring of reactive microparticles within the principal national monitoring project of the Adraiatic Sea ("Projekt Jadran” Systematic study of the AdriaticSea as a basis for sustainable development of the Republic of Croatia. Subproject: Unusual phenomena threating human health, tourism and fisheries). Our research of unicelular marine alge adhesion has been identified as a prominent achievement in analytical chemistry (Anal. Chem. 2000, 72, 729 A) and a promising development in measurement of surface charge distribution in living cells (Electrophoresis, 2002, 23, 1989). The electrochemical particle analysis is included in the handbook “The Handbook of Environmental Chemistry”, Springer, 2000, and textbook “Colloidal Dispersions”, I. Morrison, S. Ross, J. Wiley, 2002. We are associated with a proposed Network of Excellence in the European Commission's Framework 6 program CRISE (Trace Compound Reactivity: Impact on Sustainable Ecosystems and Ecotoxicology).

1.6. Present funding

Presently the principal funding of LEM comes from Ministry of Science and Technology (MOST) and the state budget through long-term research projects: ”Interfacial processes and eutrophication” and “Ecological models of aquatic ecosystems”.

Long-term monitoring project “Projekt Jadran”.

Technological R&D Project HITRA-TEST ”Development of the new type of electrochemical sensor for measurement of reactive microparticles” in collaboration with the Laboratory for Stochastic Signals and Process Research, Division of Electronics, DE of RBI.

The international collaboration projects provide funding for equipment, expendables and majority of the foreign travel and research abroad.

2. CURRENT SITUATION

2.1. SWOT AnalysisStrengths of our Project are:

- highest professional level of participants- CMER has long tradition and excellence in electrochemistry - international collaboration with leading institutions in EU and US and contacts with

consultants and experts - interest of all participants to develop ESP-sensor and measuring system as soon as

possible- initial financial support for the first year (HITRA-TEST project)- interest for the existing laboratory version of ESP-sensor for research applications

within Croatia and abroad- low personal expenses and overheads at RBI

Opportunities are:- unlimited possibilities to expand application of ESP-sensor and measuring system

beyond environmental applications - fields of biotechnology and life sciences- establishing the high-tech company at RBI (spin-off company)

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- implementation of novel electrochemical techniques and sensors for fundamental research and monitoring the changes in the coastal seas.

Weakness of the Project: - technical and technological infrastructure at RBI - access to finance- legal support (IP issues)

Threats are:- uncertainty related to the Contract Research Organization needed for the progress

from technical to the commercial prototype of SPA - possible competition in the application of our fundamental research results.

2.2. PEST Analysis Political factors

The international collaboration is highly dependent on Croatian foreign policy and the policies of various international institutions

Economic factorsStrong dependence of RBI funding on national economy Pending restructuring of national budget for science and education

Social factorsStrong motivation of participants to work on the project, but at the same time uncertain job positions for the research staff

Technological factorsNeed for updating the equipment in accordance with new techniques and trends. The example is atomic force microscope (AFM): there is no such instrument in Croatia while in the developed countries it is common to have several AFMs in a same laboratory.

3. MARKET PLAN

The market for particle analyzer is estimated at $300 million within the larger $17 billion analytical instrumentation market (Royal Society of Chemistry). Given the market trends and the flexibility of the SPA we believe we can capture a significant part of this market.

3.1. Market segments

Diverse organizations around the world have already expressed interest for SPA. Among them are four leading oceanographic laboratories (Italy and US), three clinical laboratories and an institute for immunology (Croatia), and one global health research initiative. We see the following segments as key markets for the commercial version of SPA:

Environmental monitoring agencies: based on our long term experience in monitoring programs and feasibility studies we understand problems and needs imposed by work intensive monitoring projects, weather field or laboratory studies. A major characteristic of an environmental sample containing soft micro-particles is its intrinsic instability due to continuing aggregation and microbial activity. Consequently, sampling and sample processing should be shortened and simplified as

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much as possible. The electrochemical particle analysis, being direct, rapid and simple, meets these requirements.

Process industries: The main interference in automatic particle counting, cited in the literature and by oil analysis experts, is the counting of soft particles (air/gas bubbles and water emulsion droplets). SPA selectively counts soft particles only, even in the presence of solid particles. Ideal for controlling sludge, emulsions, dispersions. Control of industrial process emissions.

Clinical laboratories: SPA can be invaluable tool in clinical studies for monitoring blood cells in health and disease states before, during and after the therapy.

Pharmaceutical industry: new trends in drug or vaccine delivery are searching for efficient (fast, in situ, on line) quality control and characterization of vesicles or other flexible structures where active products are imbedded.

Cosmetics and personal care industry: has an extreamly diverse range of products where the particle size, rigidity and charge are key indicators of their final performance and shelf life. SPA can offer efficient way of testing various stages in production as well as the final product testing and control.

Research institutions: particle adhesion studies of both theoretical and practical interest, microbial adhesion studies for biodegradation (e.g. fuel oil and bacteria).

3.2. Product versions

One of the key benefits of the SPA is its flexibility to support various applications. Preliminary requirements for the SPA by market segment are outlined below.

PRODUCT VERSIONS

SEGMENT PRODUCT REQUIREMENTS

Environmental monitoring remote control, long data series recordingProcess industries split system , sensor and monitoring deviceClinical laboratories disposable measuring vesselPharmaceutical industry flow-through cellCosmetics and personal care industry ESP sensor for sub-micron particlesResearch institutions sophisticated signal analyzer and software

3.3. Competitors

Manufacturing of particle analyzers is a fragmented industry with tens of producers. Major competitors for SPA will be:

Malven Instruments, one of the world leading manufactures of particle characterization systems, has been present on the market for 30 years. Their extremely broad range of applications does not cover the environmental sector. Closest to SPA performance is CDA-

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500 Particle Analyzer, serves for sizing and counting cells and particles in the size range of 1μm -60μm with the price tag of £15,000.

Beckman Coulter Inc. is a world leading company for instrument systems and complementary products for laboratory processes with annual sales totaled $2.0 billion in 2001. Within the family of Coulter Counter particle sizers, Multisizer 3 is the most versatile one. According to producer’s information it provides size and volume distributions in a number, volume, surface area and mass, for biological, industrial application, quality control or research; indoor only, weight 45 kg, dimensions 45x60x60 cm.

Particle & Surface Sciences Pty. Ltd. produces instruments for particle characterization with 10 years presence on the market. Its product Elzone Particle Sizing/Counter is well suited for sizing and counting a variety of particulate materials, both organic and inorganic. The system has been applied for environmental contaminants (18 kg, 33x29x41 cm).

Diverse Technologies is a product development company, has been designing optical and instrumentation systems since 1983, based in Cambridge, revenue around £400,000 per year. Diverse does not manufacture in house, but controls small and medium volume manufacture for its own products and commercial partners. The company offers a low-cost instrument, PCS200 – Particle Counting System for continuous monitoring of potable water quality with the price down to £1,000. Portable instrument weights 1.2 – 2.0 kg.

We foresee the potential of SPA in the fact that this will be the only particle analyzer specific for soft particles and featuring single particle properties. Captured signal series is translated into particle concentration, size distribution, fluidity and surface tension.

3.4. Market trends

More and more companies are looking at ways of moving analytical measurement from the laboratory to the field. Customers are increasingly looking at new ways of monitoring the environment or checking manufacturing processes using portable instruments. Low cost instrument investment with low cost operation in the particle analysis sector is highly desired.

4. HUMAN RESOURCES PLAN

SPA project team at RBI will initially engage scientists and technicians of different profiles from two divisions, CMER and DE, on part-time basis:

Dr. Vera Žutić, senior scientist and Head of the Laboratory for ecological modeling, electrochemistry and marine sciences, 30 years in research and monitoring of aquatic systems in Croatia, Switzerland and US, author over 70 scientific publications, 1 patent, coordinator and project leader of numerous Croatian and international R&D projects and initiatives.

Dr. Vesna Sveličić, senior scientist with expertise in biophysics and sensor research, 20 years in research and development in Croatia and US, author of over 40 scientific publications, project leader of applied and fundamental research projects.

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Dr. Božidar Vojnović, senior scientist and Head of Division of Electronics, Head of Laboratory for Stochastic Signals and Process Research. Expertise in R&D in measurements and analysis of stochastic signals; design of fast analog and digital circuits.

M.Sc. in chemical engineering: sensor testing and calibration

M.Sc. in applied mathematics: complex statistical analysis

Ph.D. in electronics: stochastic signal analysis

Ph.D. in mechanical engineering: specialist for data processing

Technician: electronic circuit layout and assembling

Senior technical associate (B.Sc.) to be employed on full-time basis

For commercial prototype development and design the SPA project will engage collaborators outside RBI on contract basis.

Experts for signal processing and instrumentation systems (contract engagements per hours):

Dr. Hrvoje Babić, Professor emeritus of electrical engineering, Faculty of Electrical Engineering and Computing, University of Zagreb. Long standing expertise in the field of analog and digital signal processing and digital instrumentation systems (Croatia, Sweden, US). Author of 70 papers and 50 professional and development projects. He also holds a Swedish patent.

Dr. Jean Chevalet, Directeur de Recherche, CNRS, electrochemist, constructor and innovator, Universite Pierre et Marie Curie, UMR 7612, Paris, France. Collaboration with CMER/RBI since 1971.Long-standing experience in commercialization of methods and instruments in EU countries and Canada. Author of over 50 scientific publications, 18 professional and development projects, 4 patents.

Specialists for analog and digital signal processing and system design (Ph.D. in electronics) - contract engagements per task.

Market specialist in product design (contract engagements per hour):

Dragan Tkalac, graduate of psychology, 25 years of experience in marketing and public opinion research. Specialized in public opinion research, product development and new product introduction research. Presently running his own Institute for public opinion and marketing research. Teaching graduate courses: Export marketing, and Consumer behavior, at MBA and Zagreb University. Author of tailor made projects for domestic and foreign clients.

Strategic planner specialist (MBA, contract engagements per hour).

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5. FINANCIAL PLAN

We propose to realize the SPA commercialization in two stages:

1. SPA Project, duration 2 years, is an R&D project for SPA commercialization from the phase laboratory prototype to commercial prototype.

2. The follow-up stage of the SPA Project will encompass development from the commercial prototype into the new product and its realization will need further funding from WB.

We do not have all the elements to calculate the market price for the new product. Never the less, we have proofs that the SPA will be competitive on domestic and international markets due to its significantly lower price and high performance in comparison to the conventional instruments present on the market. Our goals towards the market are:

10% profit based on the total investment sales on domestic and foreign markets complete production realized within Croatia

Financial Sources and Estimated Funding Needed for SPA Project, first 2 years

Source Funding in US $ Structure %

RBI 123,900 40.6WB Credit 150,000 49.1

HITRA-MOST 31,500 10.3

Total 305,400 100.0

Recapitulation Budget of World Bank Requested Funding for 2 Years

Heading Estimated value in US $ Structure %

Salaries, RBI Staff 39,500 26.3

Contract Partners 40,500 27

Manufacturing Costs 30,000 20

Materials and Spear Parts 20,000 13.3

Travel Costs 20,000 13.3

Total 150,000 100

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FINANCIAL PLAN – SPA Project

Overall COSTS for the SPA Project (first 2 years)Estimatet values are in US $ ($1≈7,3 kunas)

Initial costs

Iquarte

r

IIquarte

r

IIIquarte

r

IVquarte

r

Vquarte

r

VIquarte

r

VIIquarte

r

VIIIquarte

r

Total

Salaries( IRB Staff)

37,000 21,500 15,500 12,500 19,500 19,400 16,500 16,000 157,900

Contract Partners

- 3,000 2,000 7,500 7,500 7,500 7,500 2,500 3,000 40,500

Manufacturing Costs

- - - - - 7,000 7,000 8,000 8,000 30,000

Materials and Spare Parts

4,000 10,300 3,000 3,000 3,000 2,000 2,000 - - 27,300

Equipment Maintenance and Facilities

- 8,000 3,000 2,000 2,000 4,000 4,000 1,000 1,000 25,000

Travel Costs 2,000 6,700 2,000 3,000 - 6,000 - 5,000 - 24,700Total 6,000 65,000 31,500 31,000 25,000 46,000 39,900 33,000 28,000 305,40

0 158,500 (technical prototype) 103,000 (pre-commercial

prototype)43,900(comm.

prototype)

Estimated values in US$ of World Bank support needed for the SPA project (first 2 years)

Initial costs

Iquarte

r

IIquarte

r

IIIquarte

r

IVquarte

r

Vquarte

r

VIquarte

r

VIIquarte

r

VIIIquarte

r

Total

Salaries( IRB Staff)

- 7,500 7,500 7,500 7,500 2,500 2,500 2,500 2,000 39,500

Contract Partners

- 3,000 2,000 7,500 7,500 7,500 7,500 2,500 3,000 40,500

Manufacturing Costs

- - - - - 7,000 7,000 8,000 8,000 30,000

Materials and Spare Parts

4,000 3,000 3,000 3,000 3,000 2,000 2,000 - - 20,000

Equipment Maintenance and Facilities

- - - - - - - - - -

Travel Costs 2,000 2,000 2,000 3,000 - 6,000 - 5,000 - 20,000Total 6,000 15,500 14,500 21,000 18,000 25,000 19,000 18,000 13,000 150,00

0 75,000 (technical prototype) 50,000 (pre-commercial

prototype)25,000(comm.

prototype)

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FINANCIAL PLAN – SPA Project

Estimated values in US$ of RBI support for the SPA project (first 2 years)

Initial costs

Iquarte

r

IIquarte

r

IIIquarte

r

IVquarte

r

Vquarte

r

VIquarte

r

VIIquarte

r

VIIIquarte

r

Total

Salaries (IRB Staff)

- 15,000 14,000 8,000 5,000 17,000 16,900 14,000 14,000 103,900

Contract Partners

- - - - - - - - - -

Manufacturing Costs

- - - - - - - - - -

Materials and Spare Parts

- - - - - - - - - -

Equipment Maintenance and Facilities

- 3,000 3,000 2,000 2,000 4,000 4,000 1,000 1,000 20,000

Travel Costs - - - - - - - - - -Total - 18,000 17,000 10,000 7,000 21,000 20,900 15,000 15,000 123,90

052,000 (technical prototype) 53,000 (pre-commercial

prototype)18,900(comm.

prototype)

Current support ( in US$) from HITRA-MOST projekt for year 2003. (*in the overall costs for the SPA project, included as investment for I quater)

Initial costs Iyear

IIyear

Total

Salaries( IRB Staff)

- 14,500 - 14,500

Contract Partners - -Manufacturing Costs - -

Materials and Spare Parts - 7,300 - 7,300Equipment Maintenance and

Facilities- 5,000 - 5,000

Travel Costs - 4,700 - 4,700Total - 31,500 - 31,500

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6. ACTION PLAN

SPA project team at RBI will initially engage scientists and technicians of different profiles from two divisions, CMER and DE, on part-time basis. Our Laboratory LEM-CMER in collaboration with Laboratory for Stochastic Signals and Process Research, DE will support development of sensor and the measuring system till the phase proof of concept using the laboratory prototype. For development and design of commercial prototype the SPA project will engage collaborators outside RBI on contract basis. Participants of the SPA Project will act in four teams according to the foreseen tasks shown in the table below.

SPA PROJECT: ACTION AND RESPONSIBILITY MATRIX

For production of the technical prototype of the novel particle analyzer consisting of ESP-sensor plus signal analyzer, contracting the professionals and specialized firms is required. The following steps will be undertaken in full collaboration with the RBI research teams:

1) proper circuit design, appropriate casting and ergonomic presentation (hardware as well as software) in order to built a pre-commercial version of the instrument (several units). This step includes various actions from the subcontractors who are required to work in a full interactive mode with the researchers able to produce the fast feedback which is needed for staying exactly within the proposed concept and reaching a first good realization of it;

2) pre-commercial version of the instrument will be fully tested and calibrated in the laboratory, i.e. the validation of the designs ( hard and soft) have to pass different tests effected under the conditions of real measurements ( calibration suspensions, marine samples etc.) and should be also forced towards the limits of reasonable use in order to evaluate possible failures and the validity of the resulting measurements under such conditions and, consequently, the modifications to be implemented in the next step;

3) final design of pre-commercial series, taking straightforward into account the conclusion of the previous tests ;

technicalprototype

pre-commercialprototype

commercialprototype

hardware designsoftware design

prototypemanufacture

testing and calibrationfinal designevaluation

prototype manufacture

designmanufacture

1 2 3 4 1 2 3 4 3 4

40% 30% 20% 10% 50% 10% 30% 10% 60% 40%

12 months 10 months 6 months06/2003 06/2004 11/200405/2004 04/2005 05/2005

activities

team

engagement duration

startfinish

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team 1: RBI-CMER + expert for instrumentation systemsteam 2: RBI-DE + expert for signals processing team 3: Specialists in system design, market expert, strategic planner (all outside RBI)team 4: Contracted manufacturing company

4) independent evaluation of the pre-commercial prototype of the instrument by selected users. Obviously, if a problem is pointed out by several of the users, a feedback will be applied immediately and a correction reintroduced at the convenient step of this process.

basicresearch

appliedresearch

laboratoryprototype

technicalprototype

pre-commercialprototype

commercialprototype

furtheractions

activitiesdiscovery of sensor principle

application to monitoring programs sensor development

hardware designsoftware designprototypemanufacture

testing and calibrationfinal designevaluationprototype manufacture

designmanufacture

SPA productionwithin

SPA Project-Phase2

*team 1 1 1,2 1,2,3,4 1,2,3,4 3,4

duration 20 years 15 years 2 years 12 months 10 months 6 months projection 3 years

fundingRBI

UN-agenciesRBI

EC R&DProjekt Jadran

RBIHITRA

Projekt Jadran

$52k $75kRBI WB

HITRA ($32k)

$53k $50kRBI WB

$19k $25kRBI WB

WBRAZUM

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*team 1: RBI-CMER + expert for instrumentation systems*team 2: RBI-DE + expert for signals processing *team 3: Specialists in system design, market expert, strategic planner (all outside RBI)*team 4: Contracted manufacturing company

The main stages of the SPA commercialization project

Future Actions

If the SPA Project proved successful, the follow up stage from the commercial prototype to the new product will need further funding from World Bank during the next 3 years. As already stated in the financial plan, we set our goals as follows:

- complete production realized within Croatia - sales on domestic and foreign markets- 10% profit based on the total investment.