TECHNOLOGY, INNOVATION, and POLICY 3. Series of the Fraunhofer Institute for Systems and Innovation Research (lsi)

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1 TECHNOLOGY, INNOVATION, and POLICY 3 Series of the Fraunhofer Institute for Systems and Innovation Research (lsi)

2 Guido Reger Ulrich Schmoch (Eds.) Organisation of Science and Technology at the Watershed The Academic and Industrial Perspective With 82 Figures and 16 Tables Springer-Verlag Berlin Heidelberg GmbH

3 Guido Reger and Dr. Ulrich Schmoch Fraunhofer Institute for Systems and Innovation Research Breslauer Str Karlsruhe, Germany ISBN Die Deutsche Bibliothek - CIP-Einheitsaufnahme Organisation of science and technology at the watershed: th academic and industrial perspective; with 16 tables I Guido Reger; Ulrich Schmoch (ed.). - Heidelberg: Physica-Verl., 1996 (Technology, innovation, and policy; 3) ISBN ISBN (ebook) DOI / NE: Reger, Guido [Hrsg.]; GT This work is subject to copyright. All rights are reserved, whether the whole orpart of the material is concerned, specifically the rights of translation, reprinting, reuse ofiliustrations, recitation, broadcasting, reproduction on microfilm or in other way, and storage in data banks. Duplication of this publication or parts thereofis only permitted under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Springer-Verlag Berlin Heidelberg GmbH. Violations are liable for prosecution under the German Copyright Law. Springer-Verlag Berlin Heidelberg 1996 Originally published by Physiea-Verlag Heidelberg in 1996 The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. SPIN: / Printed on acid-free paper

4 Foreword A modern system of production and dissemination of research, technology and development (RTD) results is characterized by a high push/pull interaction and close linkages within the research system, as well as between the research system and industry/public demand. This is contrary to the traditional understanding of technology transfer. Partly the European Union also used this traditional concept in promoting technology transfer and innovation. For example, the mandate of the former European VALUE Programme was the exploitation and dissemination of existing results of RTD of the framework programme. The specific ways of producing RTD results have a decisive influence on the dissemination and exploitability for the ultimate clients of this dissemination process, industry and society. Modern systems of knowledge production will be transdisciplinary, application-oriented and network-dominated in contrast to discipline-based, internally driven and individually dominated traditional systems. Within the new dynamic systems, public bodies like national governments or the European Commission increasingly have to play the role of a mediator between disciplines, institutions and nations. One major aim is the creation of stronger linkages between basic and applied research, for which new ways in the management of R&D systems are required. This dynamic interaction between science and technology is the main focus of this book. Therefore it emphasizes a highly relevant policy issue. From the perspective of flrms and their technology management, as well as from the viewpoint of research systems, the studies in this book show in an exemplary manner how the evolution of concepts of innovation, empirical evidence of modern research systems and firms' technology management lead to new insights. They are the basis for highly relevant policy conclusions and the development of a new integrated policy approach promoting dissemination and exploitation. Frieder Meyer-Krahrner Director of Fraunhofer Institute for Systems and Innovation Research, Karlsruhe, Germany

5 Table of Contents Foreword... V Introduction: the rationale behind this book... X! PART I The Role of the Scientific Community in the Generation of Technology... 1 (U. Schmoch, S. Hinze, G. ]iickel, N. Kirsch, F. Meyer-Krahmer, G. Miinl) Executive summary of part I Introduction to part Relation of science to research and development - definition of concepts R&D systems in selected countries Germany Great Britain Greece General conclusions Abbreviations of chapter Knowledge transfer from non-industrial research institutions to industry The contribution of basic science to technology Impact of science according to industrial sectors, company types, and technical areas Types and mechanisms of knowledge transfer Conditions for success of efficient knowledge transfer Instruments for promoting knowledge transfer The role of science within models and theories of the innovation process Innovation theories of Schumpeter Linear models Feedback and parallel models of the innovation process Embedding of innovation models into broader conceptions Interaction model of innovation

6 VIII 6. The role of scientific institutions within national systems of innovation Theories on national systems of innovation National patterns of specialisation and their impact on the science system Technological forecast and change in national systems of innovation Inferences of the theory of national systems of innovation Conclusions and recommendations Open research questions RTD dissemination policies PART II Challenges to and Management of R&D Activities (G. Reger, K Cuh/s, D. von Wichert-Nick) Executive summary of part II Introduction: main issues of part II Challenges to the management of R&D Economic challenges Technological developments Internationalisation of markets and R&D Human resources Environmental pro.tection and sustainable development Summary: main challenges for R&D management Basic models of R&D management Defining research and development, science and technology Tasks of R&D management and strategic purpose of R&D Some generalized models of R&D management The fifth generation innovation process The third generation R&D Three paradigms scenario for the organisation of R&D Conclusions

7 IX 4. Tools for R&D activities Corporate culture and significance for R&D (Interface I) Definition: culture as system of symbols Corporate culture: core of the enterprise and R&D Motivation of researchers as main challenge Corporate culture is no instrument Organisation of R&D and global R&D integration (Interface I) Organisational forms of R&D Factors influencing professionalisation of R&D Implications for R&D management R&D management and the concept of core competence (Interface I) Definitions and dimensions of core competence Leveraging, development and renewal of competence Implications for R&D management Conclusions: R&D projects beyond existing core areas Technological forecasting in enterprises (Interface I) Task of enhancing the information base Techniques used in business forecasting Main challenge: accelerated environmental dynamics Technology assessment: problems and the use of forecasting methods Various problems in application Implications for R&D management Cooperation and networking (Interface II) Different forms of collaboration Reasons for and purposes of cooperation Problems of collaboration Management of scientific, technical and functional interfaces (Interface III) Defining the management of interfaces Challenges from the growing overlapping of technologies Managing interdisciplinarity Simultaneous engineering Implications for R&D management General conclusions and recommendations Open research questions Issues for technology policy of the European Union

8 x PART ill The Organisation of Interdisciplinarity - Research Structures in the Areas of Medical Lasers and Neural Networks (U. Schmoch, S. Breiner, S. Cuhls, S. Hinze, G. Munt) Executive summary of part ill Introduction to part ITI Interdisciplinarity: a literature review Emergence of disciplines in science and need for (re)integration Definition of different types of interdisciplinary research Interdisciplinary research for technological development Interdisciplinarity in science and technology Medical lasers Reasons of choice Technological description History and principles Properties of laser light and different types of lasers Lasers in medical applications Bibliometric analysis Interview results Main activities of interview partners Future research trends Structures of interdisciplinary research Problems of interdisciplinarity Areas of public promotion Neural networks Reasons of choice Technological description History and principles Principal models Application of neural networks Bibliometric analysis Intervie\v results Main activities of interview partners Future research trends Structures of interdisciplinary research Problems of interdisciplinarity Areas of public promotion General conclusions and recommendations Appendix References

9 Introduction: the rationale behind this book The economic development of the 20th century is characterised by an increasing significance of science-based technology. At the beginning of the 21st century the impact of science and technology will become even more important, and the limits between pure basic research, oriented basic research and applied research will become blurred. Against this background, a more detailed understanding of the interaction between science and technology is necessary, in order to develop appropriate tools for future R&D management and technology policy. In 1992, the General Directorate XIII of the European Commission launched a new research programme called VALUE II which aims at an improved dissemination and exploitation of European research activities. Within this programme, the sub-section Interface II concerns the examination of the interface between European activities and the scientific community. According to the recommendations of the Think-Tank group of VALUE II, Interface II should analyse new ways of diffusing already existing results of research supported by the Commission as well as a better integration of scientific institutions in the conception of new European research programmes. Therefore, the aims of VALUE II, Interface II, largely meet the above formulated need of a better understanding of the interaction between science and technology. The present book consists of three research projects which the Fraunhofer Institute for Systems and Innovation Research (lsi) in Karlsruhe carried out within the framework of VALUE II, Interface JIl. Each of the three parts of the book represents a revised version of a separate final report to the European Commission and can be read independently of the other parts of the book. In consequence, each part has its own introduction and executive summary; furthermore, specific conclusions for the work of the European Commission are drawn. Due to the common context of these projects, the three parts have certain overlaps; but at the same time, a variety of interesting cross references appear. The first part dt:3cribes the structure of the science/technology interface on different levels of aggregation and with different approaches. A major concern of this part is to analyse the role of science for the generation of new technologies and to examine 1 Schmoch et ai. (19930), Reger et ai. (1994), Schmoch et ai. (1994).

10 XII the respective organisational and institutional problems. Within these considerations, special emphasis is placed on the view-point of academic institutions. By contrast, the second part analyses the challenges of R&D management from the perspective of industrial enterprises, where-by scientific research and the collaboration with academic institution appear to be only one of many other requirements. Despite the different approaches, both parts show many linkages, for example concerning the internationalisation of R&D, the growing need for interdisciplinarity or the role of R&D networks. At the same time, many statements are relativised by the comparison of both parts; for example, the specific context of models of the innovation process becomes obvious: the models presented in the first part aim primarily at the description of the interaction between academic and industrial institutions whereas the models of the second part chiefly describe the organisation of R&D within companies. Parts I and II are chiefly based on a literature survey; in addition, part II contains a variety of illustrative examples based on company interviews. Part ITI documents the results of two field studies in the science-intensive areas of medical lasers and neural networks. The field analysis includes interviews with companies, non-industrial research centres and universities, thus part ITI can be seen as an illustration of the theoretical conclusions of part I and part IT. As an example, the communication and division of labour between different types of research institutions in the area of neural networks gives an idea of the implementation of the interaction model of part I in the real world. The literature surveys on different topics given in each part of the book are far from being complete. The major aim of the book is to bring together the variety of different approaches for describing the challenges of modem R&D management from an academic and industrial perspective. Therefore, only some representative works of literature were chosen for the introduction of each sub-topic. The authors want to demonstrate that the R&D management in science-based fields of technology cannot be tackled by a one-dimensional approach, but has a variety of facets. Therefore, only a realistic multi-dimensional approach can lead to an adequate picture and to appropriate recommendations for research and technology policy. Karlsruhe, December 1995 Guido Reger Ulrich Schmoch

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