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4 Measuring Innovation
Pages 41-58

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From page 41...
... The discussion in chapter then reviews improvements to innovation surveys, this chapter must therefore be viewed in the context of an in particular the Business Research and Development and indicators program that is analytically strong. Innovation Survey (BRDIS)
From page 42...
... Advisory Committee on Measuring Innovation in 21st Century Economy, Department of Commerce 2008 An innovation is the implementation of a new or significantly improved product (good or service) , or process, a new marketing method, or a new organizational method in business practices, workplace organization or external relations.
From page 43...
... Also, the propensity to patent is highly industry dependent. The underlying analytical framework used in this study Similarly, input measures such as R&D spending cannot posits that new and improved products and processes, new adequately substitute for measures of innovation output, organizational methods, and new marketing concepts and especially if policy makers are concerned about government strategies are key measures of the output of a country's funds being used efficiently.
From page 44...
... Their results suggest RECOMMENDATION 4-1: The National Center for that a 1  percentage point increase in aggregate innovation Science and Engineering Statistics should develop spending was associated with an increase of 0.85 percent additional indicators for measuring innovation age points in the probability of being a successful innovator outcomes that would complement existing data on and an increase of 0.7 percentage points in the share of new patents, inputs to innovation activities, and broader products in turnover.7 measures of economic performance. An analysis of innovative companies could shed light on such key policy questions as the appropriate amount and direction of federal R&D funding, limits on or encouragePOLICY RELEVANCE OF INNOVATION MEASURES ment of immigration of skilled workers, support for STEM Information should not be collected in a vacuum.
From page 45...
... Innovation surveys ask to turn research into marketed innovations? firms about types of innovation in which they are engaged, -  U.S.
From page 46...
... 46 CAPTURING CHANGE IN SCIENCE, TECHNOLOGY, AND INNOVATION BOX 4-3 Innovation Questions on the 2011 Business Research and Development and Innovation Survey (BRDIS)
From page 47...
... MEASURING INNOVATION 47 SOURCE: Available: http://www.nsf.gov/statistics/ [January 2014]
From page 48...
... Public and Private Innovation Surveys there is still debate regarding their respective space on that continuum. As NCSES develops surveys, new datasets, and BRDIS is not the only source of innovation-related data new indicators of innovation activities, it will be important in the United States.
From page 49...
... . of the survey depends not only on the number of responses, but also on the amount of time and level of personal atten tion paid to them by respondents, which surely vary across Limitations of Innovation Surveys companies.
From page 50...
... . A second limitation of innovation surveys is that the Sixth, although economists have long viewed innovation nature of the economy is rapidly changing, largely as a result as unfailingly positive, extending the so-called "productionof innovation itself.
From page 51...
... Most innovative firms introduce both product and process To identify such successful and important innovations as innovations, as well as organizational or marketing innova AdSense/AdWords, NCSES may need to broaden the scope tions (discussed below) , and the impacts of the innovations of the innovation questions on BRDIS to include organizaare likely to depend on many other business decisions (see tional and marketing innovations as identified by the Oslo OECD, 2010; Stone et al., 2008)
From page 52...
... Marketing: A marketing innovation is the implementation of a First, a tightening of approval regulations for scientific, new marketing concept or strategy that differs significantly from political, or legal reasons can result in fewer innovations your enterprise's existing marketing methods and which has not coming to market, even if the pace of technological advance been used before. It requires significant changes in product design stays the same.14 or packaging, product placement, product promotion or pricing, Second, the nature of payment systems can have a simi and excludes seasonal, regular and other routine changes in lar dampening effect on marketable innovation, especially marketing methods.
From page 53...
... • in-house or contracted out activities for the market The concept of unmarketed innovations is implicit in an introduction of your new or significantly improved existing question on the CIS: goods or services, including market research and launch advertising; During the three years 2010 to 2012, did your enterprise have • in-house or contracted out activities to design or alter any innovation activities that did not result in a product or the shape or appearance of goods or services; and process innovation because the activities were • other in-house or contracted out activities to imple ment new or significantly improved products and • abandoned or suspended before completion processes such as feasibility studies, testing, tooling • still ongoing at the end of 2012 up, industrial engineering, etc." (Eurostat, 2012, p.
From page 54...
... nies mean when they report an innovation or report no innovation on BRDIS -- such research would help inform current policy debates; •  roaden the innovations tracked by BRDIS to b encompass organizational and marketing inno- access to the raw data, it is relatively easy for NCSES to vations, as well as new data algorithms; construct high-interest crosstab tables and publish them •  onsider adding a section to BRDIS on unmar c quickly. Such a process is important to the agency's mission keted innovations, giving respondents the oppor- of providing statistics that are relevant to policy makers tunity to cite the main reason these innovations and the public.
From page 55...
... should Technology and Innovation Foundation; John Haltiwanger, University begin a project to match its Business Research and of Maryland; Hugo Hollanders, United Nations University's Maastricht Development and Innovation Survey data to data Economic and Social Research Institute on Innovation and Technology from ongoing surveys at the U.S. Census Bureau (UNU-MERIT)
From page 56...
... and the benchmark survey data can produce better statistics." As noted earlier, however, executing a survey is an expensive The advantages of business practice data include and time-consuming process, requiring writing and testing questions, identifying the universe of potential respondents, • Timeliness -- Collecting and analyzing survey data collecting the data, cleaning and validating the data, analyz- is a lengthy process. Because most business practice ing the data, and then finally publishing the results.
From page 57...
... mation included RECOMMENDATION 4-5: The National Center • model name, trade name, or trademark; for Science and Engineering Statistics should make • name and description of the innovation; greater use of business practice data to track research 21Nonsurvey methods for extracting data for the development of STI and development spending and innovation-related indicators are discussed in greater detail in Chapter 7.
From page 58...
... The panel considers these on activities that use existing data while further developing techniques in greater detail in Chapter 7. capabilities for linking its data with those of other agencies and using frontier tools to produce STI indicators in a more timely fashion.


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