1. Strengths of Australian S&I System strong science performance in biomedical, health and biological sciences; fast take-up of new technologies by businesses; a high level of organisational innovation in large firms; improving performance in commercialising new ideas; a sound base of broad skills to support science and innovation; and strengthened linkages between public sector research and firms.

2. Weaknesses of Australian S&I System declining citation impact, signifying falling quality of publications; a trade deficit in high technology goods; a trade deficit x4 in intellectual property; significant barriers to commercialisation; declining investment in research infrastructure; human capital in the enabling sciences and engineering at risk; and expenditure on R&D well below OECD average.

3. Challenges to Australian S&I System increasing the national, and in particular business, investment in research and innovation; transforming our industry structure and export profile; shifting from a ‘grant-based’ to an investment approach; linking the social sciences more effectively with the natural sciences; and using S&T to address major national challenges eg climate change, water management, salinity.