Many companies would like to lead R&D programs abroad. However, not all of them jump into the adventure without having a global R&D model which has become a standard requirement to remain competitive in the market.
Establishing a clear strategy can be complex:
– How to find and retain the best talents?
– How to protect intellectual property?
– How to maintain a high quality level and a customer focus?
– How to integrate cultural differences in the management and evaluate the risk?
PwC in partnership with Bloomberg and Capital IQ surveyed leading innovators, and have highlighted through the “Global Innovation 1000” study, the imperatives that companies should focus on to drive R&D programs abroad successfully.
Lead R&D Programs abroad successfully!
« 1/ Company leaders must clearly articulate, as part of the overall business strategy, the role that innovation plays in the company’s mission. How central is innovation to the company’s competitive advantage?
2/ The centrality of innovation in the company’s competitive advantage should inform the organization’s global footprint. In the absence of a holistic view, R&D sites can proliferate as a result of one-off decisions and acquisitions and lead to a loss of focus.
3/ Companies need to define the geographic markets and the customers within those markets that are central to the company’s growth strategy, and then determine where R&D resources need to reside so the company can best understand and serve those markets.
4/ To ensure operational excellence, leaders must create clear missions, roles, and lines of authority to align the dispersed R&D sites with the company’s innovation strategy.
5/ Companies have to create a global talent management strategy. Increasingly, the people with the skills that companies need are going to be found outside the Western countries where management may have looked most frequently in the past. Companies need common standards for talent development and retention that can be applied at each of their global centers. They should also rotate their top engineering talent, to give future R&D leaders a more global perspective and understanding of the company’s innovation capabilities.
6/ Company leaders must foster a corporate culture that supports the company’s innovation strategy and encourages collaboration among centers worldwide. Specifically, aligning the intangibles of culture — such as risk, creativity, and openness — is critical to success when R&D activities are dispersed globally. »
Access to the article here
Source : Revue – Strategy+Business -« Global Innovation 1000 – Innovations’s New World Order » – PWC – by Barry Jaruzelski, Kevin Schwartz and Volker Staack – Winter 2015.