Asking Questions on Knowledge Exchange and Exploitation in the Business R&D and Innovation Survey
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1 Asking Questions on Knowledge Exchange and Exploitation in the Business R&D and Innovation Survey John Jankowski Program Director Research & Development Statistics OECD-KNOWINNO Workshop on Measuring the use and impact of Knowledge Exchange Mechanisms November 14, 2011 National Science Foundation National Center for Science and Engineering Statistics
2 Business R&D and Innovation Survey (BRDIS) Annual collection from manufacturers and service businesses of data on R&D spending, strategy, personnel, and outcomes - Data collection and tabulation by the US Census Bureau - Pilot survey launched January 2009 (collected 2008 data); annual collections for 2009 data (completed) and 2010 (in processing) Includes all for-profit R&D-performing businesses - 5 or more employees Surveys at company (firm, enterprise) level - Not at establishment level, but with business segment reporting Sample: 2008=39, =43,000 - Overall response rate = ~74%; Top R&D performers > 90% Two survey forms: BRDI-1 (long form sent to ~2,500 firms with >$7 million in 2009) and BRDI-1A (short form); includes web-based reporting option All items mandatory and all responses confidential
3 BRDIS Survey Content Survey structured into separate sections by topic area: Company characteristics, sales and classification of business activities Financial measures of domestic and worldwide R&D activities (R&D expense in accounting terms) Financial measures of domestic and worldwide R&D funded by others (not classified as R&D in accounting definitions; but is R&D performance) Management and strategy, and technical aspects of R&D Domestic and worldwide employment and R&D employment data Intellectual property (IP), technology transfer, and innovation* * In 2009 survey, innovation questions moved to front of survey Question ordering, wording and topic changes by survey year, but many core concepts were repeated in all 3 survey cycles.
4 KNM Metrics on R&D Expenditure Flows = R&D Trade Balance Domestic, Foreign, and Worldwide R&D costs Paid to others for payments to business partners for collaborative R&D for purchased R&D services Domestic R&D paid to others, by type of organization (2010) to companies located in the United States; to companies located outside of the U.S. to universities located in the United States; to universities located outside of the U.S. to others located in the United States; to others located outside of the U.S. Domestic R&D paid for by a company s foreign operations Foreign R&D paid for by a company s domestic operations (2011) Domestic, Foreign, and Worldwide R&D performance paid by others by the foreign parent by companies located in of the United States; by companies located outside of the U.S. by others located in the United States; by others located outside of the U.S.
5 R&D Expenditure Flows: 2008 (billions $) Domestic company R&D performance 291 By funding source Own domestic company 226 Federal Government 36 Other domestic sources 13 Foreign sources* 16 Affiliated + unaffiliated exports Foreign operations 7 Affiliated Foreign parents Affiliated added in Other foreign sources Unaffiliated Domestic company R&D paid to others 39 Domestic organizations 30 Foreign organizations 9 Unaffiliated imports Foreign R&D performance 66 By funding source Own company sources 57 From domestic company Affiliated imports added in 2011 Other sources 9 Source: NSF/NCSES, Business R&D and Innovation Survey, 2008.
6 KNM Metrics on R&D Management and Strategy Worldwide R&D agreements (eliminated for 2011) Counts by sector (universities, companies, government) by type of organization (customer, vendor/supplier, competitor) by location of partner (domestic vs. foreign) Interaction with academia (eliminated in 2011) use of academic consultants hosted student interns hosted postdoctoral fellows had company staff serve as a visiting researcher to universities made monetary gifts to support R&D Company characteristics (eliminated in 2010) less than 5 years since first started operations receipt of venture capital formed to commercialize academic research
7 National Science Foundation Division of Science Resources Statistics KNM Metrics on Intellectual Property Patent data counts of USPTO applications and patents issued foreign filings Inventions originated from internal R&D activities Inventions considered for patenting Patent licensing to others counts of new agreements amount of licensing revenue Importance of types of intellectual property protection utility patents design patents trademarks trade secrets copyrights mask works (copyright protection for semiconductor products) 7
8 National Science Foundation Division of Science Resources Statistics KNM Metrics on Technology Transfer Participation in specific technology transfer activities Company acquisitions to gain access to IP Transferred IP through technical assistance or know-how agreements Acquired IP through technical assistance or know-how agreements Participated in cross-licensing agreements Allowed for free use of patents or other IP owned by your company Made use of open source patents or other freely available IP not owned by your company 8
9 Selected 2008 Findings on Patenting and Technology Transfer More than 1,500 companies reported R&D agreements Valued at $24 billion Patenting: ~136,700 USPTO applications; ~65,900 issued 37% of companies with any R&D activity; 2% of the companies without any R&D activity Foreign patenting: 64% applying for US patent, have or will apply for similar foreign patent About 2,600 companies reported participation in technical assistance, know-how or cross-licensing agreements About 2,000 companies reported the use of open-source technologies Source: NSF/NCSES, Business R&D and Innovation Survey, 2008.
10 Relationship between Patenting and R&D Source: NSF/NCSES, Business R&D and Innovation Survey, 2008.
11 Share of Businesses Reporting Various Forms of IPR as important Trademarks Trade secrets Copyrights Design patents Utility patents Mask works Manufacturing sector Very important Somewhat important 11
12 2008 BRDIS Innovation Questions BRDIS to be a platform for questions on innovation (adapted initially from the European Union s Community Innovation Survey) During , Did you introduce new or significantly improved products - goods - services Introduction of new or significantly improved processes - methods of manufacturing or producing goods or services - logistics, delivery or distribution methods - support activities 12
13 2008 BRDIS Innovation Results: Successful* Product/Process Innovation All industries Manufacturers Services Product innovation 9% 22% 8% Goods 5% 18% 3% Services 7% 10% 7% Process innovation 9% 22% 8% Production methods 4% 18% 2% Logistics/delivery 3% 7% 3% Support activities 7% 13% 6% *Introduction of a new or significantly improved product or process during
14 2008 BRDIS Innovation Results and CIS-Equivalent Industries Industry sector Company counts (thousands) Product innovation Process innovation All surveyed industries 1, % 8.8% All industries (CIS adjusted) % 15.8% Manufacturers % 22.3% Services* % 9.4% *Includes only Information (software, telecommunications), finance, insurance, real estate. No adjustment is made for size of firms. 14
15 Source: NSF/NCSES, Business R&D and Innovation Survey, Innovation Rates
16 2009 and 2010 BRDIS Innovation Questions Innovation questions moved to front of the questionnaire; best answered by those with knowledge of company s sales and revenues Additional innovation questions - If you introduced new or significantly improved products - were they new to one of your markets? (that is, you introduced them into your market before your competitors) - were they only new to your firm? (that is, they were already available from your competitors in your market) - Percentage of total sales - that were new to one of your markets - that were only new to your firm - that were unchanged or only marginally modified 16
17 2011 BRDIS Questions and Beyond Eliminated a number of non-r&d expenditure questions Including eliminating several KNM type questions: intention is to cycle questions More extensive review of data quality (editing and imputation) for non-core questions Encourage external analysis of BRDIS questions, especially cross-cuts and modeling of relationships In co-ordination with a major OECD review, review current questions and develop additional innovation questions (and possibly new BRDIS module) 17
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