1. Research & Development for global competitiveness
INDIAN COMPANIES GOING GLOBAL
Research & Development for global competitiveness
K.Vijayaraghavan.CMC.,FIMC
Director, Sathguru Management Consultants.
Visiting Faculty, Cornell University.

2. Indian technology development mission - Historical reality
Public research – Quest for self reliance.
- Military, health care, agriculture …
Socialist economic policy within a democratic political framework…..
Central control.. State production – control of private production. No focus on technology transfer.
Change of direction in 1991…

3. Economic growth. 14 years of successive growth phase
Successive upward movement in technology application
Access to global technologies accelerate “in-licensing” in several sectors.
Engineering, chemicals, life science products, mining and metals.. significant technology up gradation.
Combined efforts of public and private sector.

4. R&D -GLOBAL INTEGRATION
RESEARCH & TECH TRANSFER IN INDIA
EARLIER
Academic oriented - Non-interactive - internally focussed
TODAY
Interactive - market oriented - Globally focussed

5. The chemistry of research and innovation.
R&D spending triggers innovation
Innovation stimulates economic growth
Pace of innovation determines rate of return
Collaborative partnerships ensure high pace of innovation . . .

6. SEVERAL GLOBAL PLAYERS GAIN FROM THIS MISSION
OPEN DOOR FOR GLOBAL PLAYERS FOR RESEARCH & COMMERCIALISATION
FORD, GE, MICROSOFT, ASTRA
ZENECA, MONSANTO, GSK,
PFIZER..

7. PERCEPTION OF RESEARCH COLLABORATIVE OPPORTUNITY IN INDIA
Macro View- Bringing in scarce “knowledge” &“Capital” for creating wealth by adding to the GDP.
Micro View- Maximising shareholder value.
Consumer View- Bringing quality products and “new” technology
MNC View- Accessing the vast potential of Indian market & Indian talent.

8. INTELLECTUAL PROPERTY
Historical reverence for intellectual property - GURU-SHISHYA OBLIGATION
Transitional deviations in the past
Strong urge for global harmonization
Legal, regulatory & commercial framework - WTO – TRIPS Compliance.

9. Emerging trends in research models.
Indian S&T strength.
Continued strong focus on research for public good.
Enabling mechanisms
Research models – cross country, cross functional.
Contract and collaborative research.

10. RESEARCH AND DEVELOPMENT PARTNERSHIP IN INDIA – EVOLVING MODEL
PUBLIC RESEARCH
CENTERS
INDUSTRY MAJORS
INDUSTRY JUNIORS
Senior-Junior Symbiotic relationships
Public private partnerships

11. Options in research partnering, product Development & delivery
Public Public
Private Private
Senior – Senior
Senior - Junior
Public private
Private Public

12. Public - Private Several initiatives
Indian and global public research institutions undertake successful tech. Transfer in biological, physical and material sciences to private sector.

13. Private - Public
Donation of technologies from private sector to public institutions for public good.
Tax incentives for such donation – abundant in the west… A model for India to explore??

14. Private - Private
Senior – Senior partnerships – vaccine consortiums – seed sector consortiums – consortiums for embedded software.
Senior – Junior consortiums – sub-licensing options – outsourcing – contract research..

15. Enhanced level of risk taking in research.
Positive change to risk averse mindset.
80s and 90s- demonstrate Indus entrepreneur success in silicon valley – 6% of total value come from indus entrepreneurs. Many University spin-offs.
India joins global consortium with significant funding and long term commitment ….
(telecom, public health(AIDS), genomics, environment)..

16. Challenges for excellence in Public research?
Debate on where to invest public funds for research.
Challenge of sustained supply of human capital in the public system??
Addressing ownership issues for publicly funded research.
Public entrepreneurship – spin-off opportunities – venture capital avenues.
Bringing mindset changes - best practices.

17. The future as we perceive
India will be among the major out-licensing destinations.
Focus on cutting edge research – telecom, aerospace, information technology applications, agriculture, human health, electronics..
Global collaborative research will be the focus.
Public research will complement private research with resources and basic research capabilities.
Global investment will drive research for global good from INDIA.

18. What will this require?
This will require successful integration of good science and best management practices by responsive and accountable organizations.

19. Role of Management Consultants
MC plays a significant role in bringing best practices in
technology management.
Interventions relate to
Research priority setting & investment analysis.
Outsource – in-house decisions.
Research services and Technology marketing.
Seamless integration - post merger & takeover.
Balancing cross country cultural, legal,
regulatory and management practices.
Exit or GO decisions.

20. Conclusion
INDIA will play a significant role in promoting ethical, responsible and value based technology management services that will drive economic growth.
Management Consultants have significant potential to drive this growth.