Pespectives for Engineering and Technology in Portugal

1
Pespectives for Engineering and Technology in
PortugalLisbon, 22 November 1999 Giorgio
Sirilli
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
2
Definition of research and development (Frascati
Manual)

• RD is defined as creative work undertaken on a
  systematic basis in order to increase the stock
  of knowledge including knowledge of man, culture
  and society, and the use of this stock of
  knowledge to devise new applications.

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
3
Technological innovation(Oslo Manual)

• Technological innovations comprise new products
  and processes and significant technological
  changes of products, services and processes.
• An innovation has been implemented if it has been
  introduced on the market (product and service
  innovation) or used within a production process
  (process innovation).

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
4
Technological innovation(Oslo Manual)

• Innovations involve a series of scientific,
  technological, organisational, financial and
  commercial activities.
• The product or process should be new (or
  rignificantly improved) to the firm (it does not
  necessarily have to be new to the relevant market)

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
5
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
6
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
7
Development of indicators
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
8
(No Transcript)
9
Innovation expenditure of Italian service firms
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
10
Some remarks

• The very title of the exercise Engineering and
  Technology what about SCIENCE?
• The bloody economists
• Manufacturing and services
• How many RD performing firms?
• Large role on the public sector in RD
• the distribution of talents
• bootlegging

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
11
Some remarks

• Accountability a new concept
• Foresight
• The Dutch experience
• Government failures and market failures
• some lessons from Italy
• The final report
• how to incorporate the international debate
• hot to sell it

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
12
Main indicators from innovation surveys

• Number of innovating firms
• by sector
• by firm size
• Cost of innovation
• Percentage of sales due to new products

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
13
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
14
Cost of innovation (percentage) - Italy (1990-92)
Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
15
Service firms which have carried out innovation
activities in Italy 1993-1995 (percentage)

• 13.8
• 18.5
• 12.7
• 52.2
• 28.9
• 12.2
• 53.8

• RD
• Design
• Know-how
• Software
• Training
• Marketing
• Investment

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
16
Innovation activities of service firms
(percentages)
Firms which have carried out the activity
Innovation expenditure

• RD 13.8
• Design 18.5
• Know-how 12.7
• Software 52.2
• Training 28.9
• Marketing 12.2
• Investment 53.8
• Total -

• 23.7
• 8.1
• 3.5
• 14.1
• 2.6
• 1.9
• 46.0
• 100.0

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
17
Innovation expenditure (percentages)
Service firms (1993-95)
Manufacturing firms (1990-92)

• RD 23.7
• Design 8.1
• Know-how 3.5
• Software 14.1
• Training 2.6
• Tooling-up, patents -
• Marketing 1.9
• Investment 46.0
• Total 100.0

• 35.8
• 7.4
• -
• -
• -
• 8.1
• 1.5
• 47.2
• 100.0

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
18
Lessons from the CIS survey (1994-1996)
Percentage of innovating firms
Manufacturing firms
Service firms

• Germany 83
• Austria 81
• Ireland 79
• Finland 69
• Spain 53
• Italy 50 Poland 34
• Turkey 33

• 82
• 64
• 62
• 46
• -
• 31
• -
• -

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
19
Concluding remarks

• Innovation can be measured
• We have learnt a lot from innovation surveys and
  other indicators
• Still many challenges ahead of us

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
20
Lessons learned

• Technological innovation is quite a diffused
  phenomenon
• There are wide differences across sectors and
  size of firm
• Firms rely on a wide range of innovation sources
  investment, RD and software are the major
  components of firms' innovation expenditure

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
21
Lessons learned

• Major obstacles for introducing technological
  innovation are of an economic nature - i.e. cost
  and risk too high
• Technological information is drawn mainly from
  outside suppliers of equipment, materials and
  components as well as from in-house technical
  departments
• Internal sources of information are much more
  important than public research institutions

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
22
Some challenges

• Software
• Services
• Organisation
• Information and communication technologies
• Biotechnologies
• Employment
• Environmental sustainability

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy
23
Some challenges

• Further development of theories in the
  knowledge-based economy
• Innovation surveys allow to take into account
  complexity
• Linkage with other industrial data
• Risk of too much information
• The advantage of international comparability
  (Big science)

Institute for Studies on Scientific Research and
Documentation National Research Council of Italy