A project which places Bradford management graduates as specialist advisors to local firms has helped businesses achieve profit growth.

Firms taking part in the Knowledge Transfer Partnerships (KTP) scheme secure an average one-off profit of £41,000 and recurring annual profits of £130,000, according to latest research.

And today the project was hailed as proof of the benefits of link-ups between universities and business.

Three graduates from the University of Bradford School of Management are currently taking part in the scheme at firms in Otley, Denholme and Holmfirth.

Unlike typical student placements, the graduates - known as associates - act as specialist advisors in areas of expertise such as marketing, market research, finance and accounting, quality management or strategic planning.

Each participant receives Government funding of around £48,000 for the placement, which lasts from 12 months to three years, and firms contribute about £16,000.

Today David Williamson, the Management School's business associate, said firms were coming to see the advantages of the scheme, which he said had been particularly successful for small and medium-sized firms which occasionally lack expertise.

He said: "This is a real example of how knowledge can be effectively transferred from higher education to business."

Andrew Feather, finance director at Denholme-based Pennine Fibres, where a Bradford associate is currently placed, said the effects had been demonstrable.

"We needed specialist help to go from low to higher-margin sales and already we are beginning to see the results."

And graduate Rob Holland, an associate working at Briton Engineering in Holmfirth, said a marketing strategy he developed had achieved a real impact on the company's market share.

Arthur Francis, Dean of the School of Management, said the scheme proved the benefits of relationships between universities and industry.

Firms requiring more information about the scheme should telephone David Williamson on (01274) 235682.