What is Research & Development (R&D)?

At InspiRD we get to visit R&D organizations across many industries. It is interesting to see that there is some confusion around what is R&D. Some firms define R&D as only scientific research. Others include New Product Development in R&D, but not sustaining product development. Yet others exclude incremental product development from R&D. Other names for R&D include Research and Engineering or Science and Technology. Even Wikipedia acknowledges that there is some variability about what is considered R&D:

The activities that … Continue Reading

Gartner selects InspiRD as a Cool Vendor in R&D

Gartner, the global leader in Information Technology research, has selected InspiRD as one of four “Cool Vendors in R&D for Manufacturing 2015″.  Here is a link to Gartner Research Director Michael Shanler’s blog post:  

 

Gartner Cool Vendor 2015

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  Here is what Gartner Research Director Michael Shanler said in the recommendation section of his research report:

“Consider these Cool Vendors when evaluating technologies to drive R&D innovation … Continue Reading

How to measure R&D Effectiveness?

Metrics that measure effectiveness of ongoing R&D have been difficult to obtain. Four types of R&D metrics have traditionally been used:
  • R&D Investments / Expenses
    • Total R&D Headcount
    • Total R&D Expense
    • R&D Expense as % of Revenue
    • R&D Expense increase/decrease from prior year
    • R&D Expense compared with peers/industry average
  • Project execution status
    • Performance relative to plans (costs and schedule)
    • Concept to Market Time
    • Number of Projects in the Pipeline
  • Historic results-based Metrics
    • Fraction of Revenues from New Products
    • Number of Patents generated
    • Number of Papers Published
    • Customer satisfaction with new products
  • ROI-based metrics