The Role of Intellectual Property in The Role of Intellectual Property in Building Brand Value Perception in Building Brand Value Perception in
the Global Marketthe Global Market
Leonard Madzingaidzo (Ph.D)Executive Director - Technical
Scientific & Industrial Research & Development CentreP. O. Box 6640
Harare Zimbabwe
Email:[email protected]@gmail.com
WIPO-ARIPO Sub-Regional Training of Trainers Program on Effective Intellectual WIPO-ARIPO Sub-Regional Training of Trainers Program on Effective Intellectual Property Asset Management by Small and Medium EnterprisesProperty Asset Management by Small and Medium Enterprises
ARIPO Headquarters Harare, ZimbabweARIPO Headquarters Harare, Zimbabwe26 – 28 November 201426 – 28 November 2014
Presentation Outline
• Introduction• Intellectual Property• What is a Brand?• Brand Value• The TRIPS Agreement• Case Study: India• Other International Examples• Example from Zimbabwe: SIRDC• Concluding Remarks
IntroductionIntangible assets comprise over 50% of the value of many firms, large and small.
Intellectual Property is a major asset which if leveraged and managed effectively can contribute in increasing brand of firms and wealth of nations
Success today depends on harnessing the power of human mind…to create wealth
To generate wealth from intellectual property requires appropriate laws, systems, enforcement mechanisms and competencies
Intellectual Property
What is Intellectual Property?
Intellectual property refers to creations of the mind: inventions, literary and artistic works, and symbols, names, images, and designs used in commerce. (from WIPO)
Therefore, Intellectual property belongs to the intangible asset category.
Intellectual PropertyIntellectual Property
– Industrial Property Rights
– Copyright and related rights
Industrial PropertyIndustrial Property
The protection of industrial property has as its object:
– Patents– Utility Models– Industrial Designs– Trademarks, Collective marks, Certification marks– Service Marks, Trade names– Geographical Indications, Indication of Source or Appellation of
Origin– Repression of Unfair Competition
CopyrightCopyrightThe protection of copyright & neighboring
rights has as its object:
– Literary works (novel)– Artistic works (sculpture)– Computer programs (Windows)– Performance of artists (Opera)– Rights of phonogram producers (EMI)
Intellectual Property = AssetIntellectual Property = AssetGives a competitive advantage
– Can block competitors, or– Delay their market entry
A tradable asset = a way to generate income
– Can be sold, licensed, inherited– A basis for technology-based deals
What is a Brand?Branding means developing unique attributes so that your products are instantly recognisable, memorable and evoke positive associationsStrong, well-known products provide companies with a real competitive advantageThe right name helps to sell products and servicesIt bestows individuality and personality, enabling customers to identify with your offeringsIt makes products and services tangible and real
9
What is a Brand?What is a Brand?
Use the power of branding to imbue your products with personality and meaning, ensuring they achieve a prominent place in the marketplace
Therefore, choosing the right company name, product name, logo, packaging, and promotional activity all to convey a personality and build a BRAND
Intellectual Property Rights can be used to protect your brand and prevent others from cashing in on its success
10
Brand ValueBrand ValueCompanies spend millions of dollars
establishing brand names and trademarksSignificantly more is spent on research
developing products, processes, designs, and formulas
This makes such intellectual and industrial properties valuable assets of the company
11
Brand ValueBrand Value Brand names such as Coca Cola, Gucci, and computer
software are invaluable For instance: the Marlboro brand was once estimated at
$33billion, Kellogg’s $9billion, Microsoft $9.8billion, and Levi $5billion
These companies have all experienced cases of infringement of their IP
Through IP companies can protect their valuable assets and keep constant vigil against piracy and counterfeiting
12
Brand ValueBrand ValueAccording to a study by R.T. Green & T. Smith (2002) published in the Journal of International Marketing. Counterfeits and pirated goods come from a wide range of industries namely apparel, automotive parts, pharmaceuticals, books, films, CDs, Computer Software, etc..At one time estimates showed that more 10 million fake Swiss timepieces carrying the famous Cartier and Rolex brands were sold every year racking illegal profits up to $500m Estimates indicate that unauthorised use of U.S. patents, trademarks, and copyrights amounted to $60b annuallyOwners of brands are at risk of losing revenue from the illegal use of their brands while countries lose millions of jobs
13
Brand ValueBrand Value Counterfeits can destroy brand value because the counterfeit
product sometimes fails to perform or does not meet quality expectations
In the case of counterfeit drugs active ingredients are often missing or in wrong quantities and in some cases harmful ingredients are used causing physical harm to consumers
Pharmaceutical manufacturers association estimated that 2% (about $6billion) of the $327billion worth of drugs sold each year were counterfeit
In some African & Latin American countries as much as 60% of the drugs are counterfeit
According to a WHO estimate - 8% of bulk drugs imported in to the U.S. were counterfeit, unapproved or substandard (K Capell & S Timmons, 2001, Business week) 14
Brand ValueBrand Value
Failure to protect IP adequately in the global marketplace can lead to the legal loss of rights in potentially profitable markets
Some companies have found their assets appropriated and profitably exploited in foreign countries without license or reimbursement
There are cases where companies have legally lost the rights to trademarks and have had to buy back these rights or pay royalties. e.g. McDonald’s case in Japan
15
Examples of IP AssetsExamples of IP Assets
• Brand (goodwill/indication of origin …) Trademarks
• Technology Patents
• Product external features Design registration
• New plant varieties • Plant Breeders Rights • Plant patent
Patents As Sources of Information
17
Patents are a vital source of critical information in all technology areas
They provide valuable information that help in– Developing patent non-infringing products and
processes– Evaluating IP landscape for identifying ideas, planning
R&D strategies and pipelines– Monitoring competitor strategies– Identifying in- and out-licensing opportunities– Doing due-diligence
Monitor patent filing, issues and maintenance information constantly.
The Cycle of Innovation and CompetitionThe Cycle of Innovation and Competition
18
Branded Company Innovates, Creating Value via Technological Breakthroughs
Branded Company Rewarded with Monopoly Position
Patent Expiration = Generic Industry Opportunity to Create Value via Competition
Branded Company Loses Revenue on Older Products, Necessitating Plan to Replace $’s
Why IP Needs ProtectionWorks of the human mind - inventions-patents, trademarks, industrial designs, geographical indications, books, films,
musical works, etc.
IPR Protection acts as spur to human creativity, serves as incentive
Confidence in the IP system acts as stimulus to creativity and innovation
New or original knowledge provides basis for creating sustainable business and competitiveness
Why IP Needs ProtectionWhy IP Needs Protection
• Knowledge component - predominant element in differentiating one enterprise from others
• Protecting such knowledge is key to preventing free riding
• Enterprises need IP system to protect their manufacturing secrets
• Understanding importance of various forms of IP system is of crucial importance for success in the marketplace
Why IP Needs ProtectionWhy IP Needs Protection
Enterprises need to utilize IP assets effectively to ensure quality of their products
IP has become an important instrument of economic and trade policies
Protection of IPRs enables countries to participate actively in international trade
IPR protection linked to competitiveness in international trade
IPR protection seen as determining factor in safeguarding results of technological developments
21
Why IP Needs ProtectionWhy IP Needs Protection
IP is an important and effective policy instrument of cultural, social, economic and technological concerns
Developing internationally competitive products requires higher levels of investment in technology
Incentive and reward required to spur such investment
Key component of the infrastructure required for economic growth
Promotes social-economic development
22
Why IP Needs ProtectionWhy IP Needs Protection
Promotes development of national indigenous technological capacity
Generates export opportunities through enhancement of competitiveness
Helps attract foreign investment e.g., through joint ventures
Socio-economic benefits of IP protection stem from qualitative competitiveness of products produced and delivered through use of IP system
23
Why IP Needs ProtectionWhy IP Needs Protection Effective IP protection stimulates creativity and innovation by
providing reward for it
Competitiveness that the system generates helps create jobs
IPR protection rewards the inventors and creators
Strong national and institutional IPRs systems help in attracting FDI, technology transfer and licensing - China has emerged as a large destination of FDI due to stated policy of IP Protection
24
IP Assets a ToolIP Assets a Tool
IP is an important tool for social development, economic growth and wealth creation
“IP assets have emerged as an important factor in Corporate Strategy”
Dr. Kamil Idris
Intellectual Property - A Power Tool for Economic Growth
25
Economic Benefits of IP Asset Economic Benefits of IP Asset ManagementManagement
Macroeconomic level
– Increase GDP and competitiveness
– Enhance exports of high value
– Stimulate R&D– Reduce brain drain by
providing incentives– Help address national
human needs– Develop national brand
and cultural identity– Attract beneficial FDI and
local investment– Job creation
Microeconomic level
Create portfolios of IP as a source of comparative advantage
Enhance products and promote brand value
Enhance corporate value Avoid and defend against
litigation Provide incentives and
recognition
26
IP Creation CycleIP Creation Cycle
27
Further Investment Further Investment in R&Din R&D
Patent Patent GrantGrant
CommercializationCommercialization
ProfitProfit
(Recuperation (Recuperation of capital)of capital)
Patent Patent ApplicationApplication
IP IP (Invention) (Invention)
as a result of as a result of ResearchResearch
Economic GrowthEconomic Growth
University and University and R&D R&D
ResearchResearch
Invention Invention DisclosureDisclosure
&&
Decision of Decision of protectionprotection
MarketingMarketing
LicensingLicensing
The TRIPS Agreement
28
The Trade-Related Aspects of Intellectual Property Rights (TRIPS) Agreement was
negotiated to foster technological innovation and transfer and dissemination of technology
TRIPS
29
The World Trade Organization (WTO’s) Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS)
– negotiated in the 1986-94 Uruguay Round
– introduced intellectual property rules into the multilateral trading system for the first time.
Why TRIPS?
30
– Ideas and knowledge are an increasingly important part of trade
– Many products that used to be traded as low-technology goods or commodities now contain a higher proportion of invention and design in their value
– Creators can be given the right to prevent others from using their inventions, designs or other creations
– and to use that right to negotiate payment in return for others using them
– “intellectual property rights”
What is TRIPS?an attempt to narrow the gaps in the way IP
rights are protected around the world, to bring them under common international
rulesminimum levels of protection
dispute settlement system for trade disputes over intellectual property rights
31
What is TRIPS?
32
The TRIPS agreement covers five broad issues:
– basic principles – protection to intellectual property – enforcement of intellectual property – settlement of disputes on intellectual property between
members of the WTO– special transitional arrangements during the period
when the new system is being introduced
TRIPS: Basic Principles
33
national treatment – treating one’s own nationals and foreigners equally
most-favoured-nation treatment – equal treatment for nationals of all trading partners in the
WTO
intellectual property protection should contribute to technical innovation and transfer of technology– Both producers and users should benefit, and economic and
social welfare should be enhanced
TRIPS: Protection of IP
34
The TRIPS agreement ensures that adequate standards of protection exist in all member countries for:– Copyright – Trademarks – Geographical indications – Industrial designs – Patents– Layout-designs (topographies) of integrated circuits– Undisclosed information, including trade secrets
TRIPS: Enforcement of IP
35
The agreement says governments have to ensure that intellectual property rights:– can be enforced under their laws– penalties for infringement are tough enough to deter further
violations– procedures must be fair and equitable– not unnecessarily complicated or costly– should not entail unreasonable time-limits or unwarranted
delays– ability to ask a court to review an administrative decision or to
appeal a lower court’s ruling
TRIPS: Enforcement of IP
36
The agreement also prescribes:– how enforcement should be handled, including rules for
obtaining evidence, provisional measures, injunctions, damages and other penalties
– that courts should have the right, under certain conditions, to order the disposal or destruction of pirated or counterfeit goods
– that wilful trademark counterfeiting or copyright piracy on a commercial scale should be criminal offences
– for assistance of customs authorities to prevent imports of counterfeit and pirated goods
TRIPS: Transitional Arrangements
37
To ensure that their laws and practices conform with the TRIPS agreement:
– developed countries were given one year, until 1996– developing countries and (under certain conditions)
transition economies were given five years, until 2000– least-developed countries have 11 years, until 2006,
which has now been extended to 2016 for pharmaceutical patents.
TRIPS: Transitional Arrangements
38
– 10 years (until 2005) to developing countries to provide for product patent protection
– however, for pharmaceutical and agricultural chemical products, during the transition period:
the country must accept the filing of patent applications from the beginning of the transitional period, though the patent need not be granted until the end of this period (‘mailbox’)
exclusive marketing right for the product for five years, or until a product patent is granted, whichever is shorter, during the transition period
Copyright
39
ensures that computer programs will be protected as literary works
outlines how databases should be protected expands international copyright rules to cover
rental rights– Authors of computer programs and producers of sound recordings must have
the right to prohibit the commercial rental of their works to the public– performers must also have the right to prevent unauthorized recording,
reproduction and broadcast of live performances (bootlegging) for no less than 50 years.
– Producers of sound recordings must have the right to prevent the unauthorized reproduction of recordings for a period of 50 years
Trademarks
40
The agreement: defines what types of signs must be eligible for protection as
trademarks
what minimum rights conferred on their owners must be
says that service marks must be protected in the same way as trademarks used for goods
marks that have become well-known in a particular country enjoy additional protection
Patents
41
patent protection must be available for inventions– for at least 20 years– for both products and processes– in almost all fields of technology
patents can be refused if an invention – is contrary to public order or morality– involves diagnostic, therapeutic and surgical methods, plants
and animals (other than microorganisms), and biological processes for the production of plants or animals (other than microbiological processes)
– is not fully disclosed or the best mode for carrying out the invention is not indicated
Patents
42
Plant varieties must be protectable by patents or by a “sui generis” system (such as the breeder’s rights provided in the UPOV
In order to prevent abuse of exclusive rights or to meet national emergencies, “compulsory licenses” may be granted
– allowing a competitor to produce the product or use the process under license
– under certain conditions aimed at safeguarding the legitimate interests of the patent-holder
Patents
43
If a patent is issued for a production process, then the rights must extend to the product directly obtained from the process.
Under certain conditions alleged infringers may be ordered by a court to prove that they have not used the patented process.
patents can be refused if an invention – is contrary to public order or morality– involves diagnostic, therapeutic and surgical methods, plants
and animals (other than microorganisms), and biological processes for the production of plants or animals (other than microbiological processes)
Patents
44
The Doha Ministerial Conference in November 2001:
– agreed that the TRIPS Agreement does not and should not prevent members from taking measures to protect public health
– underscored countries’ ability to use the flexibilities that are built into the TRIPS Agreement.
– agreed to extend exemptions on pharmaceutical patent protection for least-developed countries until 2016
– agreed in 2003, to provide extra flexibility, so that countries unable to produce pharmaceuticals domestically can import patented drugs made under compulsory licensing
Layout Designs of Integrated Circuits
45
The basis for protecting integrated circuit designs (“topographies”) is the Washington Treaty on Intellectual Property in Respect of Integrated Circuits, which was adopted in 1989 but has not yet entered into force
The TRIPS agreement adds a number of provisions: for example, protection must be available for at least 10 years
Industrial Designs
46
Protection of independently created industrial designs that are new or original
Requirements for securing protection for textile designs are simple and not expensive
Industrial designs must be protected for at least 10 years. Owners of protected designs must be able to prevent the
manufacture, sale or importation of articles bearing or embodying a design which is a copy of the protected design
Geographical Indications
47
A place name is sometimes used to identify a product. This “geographical indication” does not only say where the product was made. More importantly, it identifies the product’s special characteristics, which are the result of the product’s origins
Well-known examples include “Champagne”, “Scotch”, “Tequila”, and “Darjeeling”
Using the place name when the product was made elsewhere or when it does not have the usual characteristics can mislead consumers, and it can lead to unfair competition. The TRIPS Agreement says countries have to prevent this misuse of place names
Undisclosed Information
48
Trade secrets and other types of “undisclosed information” which
have commercial value must be protected – against breach of confidence – and other acts contrary to honest commercial
practices – provided reasonable steps were taken to keep the
information secret
Test data submitted to governments in order to obtain marketing approval for new pharmaceutical or agricultural chemicals must also be protected against unfair commercial use
Curbing Anti-Competitive Licensing
49
terms of a licensing contract could restrict competition or impede technology transfer
governments have the right to take action to prevent anti-competitive licensing that abuses intellectual property rights
governments must be prepared to consult each other on controlling anti-competitive licensing
Technology transfer
50
Developing countries in particular, see technology transfer as part of the bargain in which they have agreed to protect intellectual property rights.
The TRIPS Agreement includes a number of provisions on this. – For example, it requires developed countries’
governments to provide incentives for their companies to transfer technology to least-developed countries.
TRIPS: Objectives
51
Protection and enforcement of IP rights should contribute to the promotion of– technological innovation – transfer and dissemination of technology
to the mutual advantage of – producers and – users of technological knowledge
in a manner conducive to – social and – economic welfare, and
balance of rights and obligations
INDIA as an Example
52
The evolution of the Patent System in India, especially after the 1970s
is an example how a country can use meet the challenges and create
opportunities
Due to this, India has emerged as a global player in the pharmaceutical
industry, especially as a supplier of world-class generic medicines
across the globe
Now, Indian companies are moving up the value chain by investing
heavily in basic research.
Reference: Paper by Dr Dharam Vir, Ranbaxy Laboratories Limited
(2008): On Management of Intellectual Property & Technology Transfer.
History of Patent Protection in India: Pre-1970
53
1856 The Act VI of 1856 on protection of inventions based on the British Patent Law of 1852. Certain exclusive privileges granted to inventors of new manufacturers for a period of 14 years.
Provided for process as well as product patents in all areas
1859 The Act modified as Act XV; patent monopolies called exclusive privileges (making, selling and using inventions in India and authorizing others to do so for 14 years from date of filing specification).
1872 The Patents & Designs Protection Act.
1883 The Protection of Inventions Act.
1888 Consolidated as the Inventions & Designs Act.
1911 The Indian Patents & Designs Act.
History of Patent Protection in India: Post-1970
54
1972 The Patents Act (Act 39 of 1970) came into force on 20th April 1972.
No products patents in pharmaceuticals, food and agrochemicalsPatent term: shorter of 7 years from the date of filing or 5 years from the date of grant
1994 India signs the GATT and TRIPS Agreements - obliged to grant product patents in all areas
1998 India becomes member of the PCT with effect from 7th December 1998
1999 On 26th March 1999, Patents (Amendment) Act, (1999) came into force with effect from 1st January 1995.
Mail-box applications
2002 The Patents (Amendment) Act 2002 came into force from 20th May 2003
Patent term 20 years from the date of filing
2005 The Patents (Amendment) Act 2005 came into force from 1st January 2005
Product patents in all areas
Case Study: RanbaxyCase Study: Ranbaxy
55
• Amongst the top 10 global generic companies • Presence in 23 of the Top 25 pharma markets of the world• Ground Operations in 49 Countries• Products Available in over 125 Countries•Global Sales for the year 2005 at US$ 1178 Mn• International revenues contribute 75% to sales
Strategic Growth DirectionStrategic Growth Direction
56
US $ 1 Bn
US $ 5 Bn
US $ 2 Bn2004
2007
• Amongst the Top 5 generic Companies
• Significant income from proprietary products
2012
• Growth through
- Organic
- Inorganic
Global PresenceGlobal Presence• Largest market• Robust product pipeline• Strong distribution network
• 2nd growth engine• Developing Pan - European presence• Key markets of UK, France & Germany• Presence in 21 of 25 EU countries• Acquisition of Terapia, an independent generics company in Romania in 2006, the largest acquisition of Ranbaxy so far
• Emerging markets• Strong home base in India • Estd. Infrastructure Brazil, Russia, China •and South Africa
EUROPE
BRICS
Ranbaxy’s MissionRanbaxy’s Mission
58
To Become a Research Based International Pharmaceutical Company
– Focus on Research
– Go Global
– Stay a Pharmaceutical company
Each key word in the Mission Statement has IP connotation
Indian Pharmaceutical IndustryIndian Pharmaceutical Industry
Indian pharma sector meets almost 95% of country’s pharmaceutical requirements
Globally it ranks 4th in terms of volume and 13th in terms of value in 2005 ($ 6.5 bn)
It was expected to be 9.5 bn by 2010
Secured 22% global generic market
59
Opportunities Created by IPOpportunities Created by IP– Significant boost to local R&D expertise– Opportunities for collaborative work, thus bringing in
cutting-edge technologies– Local companies can move up the value chain instead of
always working at bottom with very little return on investment
– Local companies can own IP, without too much capital investment (attract venture capitals, etc), which can then be leveraged.
– Companies in the third world such as Ranbaxy, are moving up the value chain by investing heavily in basic research.60
Ranbaxy’s Patent Filings
61
127
185
170146
4986
32240
20
40
60
80
100
120
140
160
180
200
1999 2000 2001 2002 2003 2004 2005 2006
Impact of the Patent Act of 1970
62
Pharmaceutical Sector– India was able to develop a robust and self-reliant pharmaceutical industry
not much technology import– Well developed chemical infrastructure
Year Market share of Indian Cos.1970 10-20%1983 50%1993 61%
2003 ~70% Limitations:
– Restricted Indian companies to the domestic markets or to countries that did not have a strong patent system
– The relatively small (USD 5 billion) and very fragmented Indian market (top player has <6% market share) meant companies had to look outside India for growth
IP Awareness
63
Ranbaxy recognized very early that IP awareness is an imperative, not only in global context, but also nationally.
Change IP scenarios in various countries was anticipated and necessary action was taken well in time.
Products and processes were designed to be free of any IP issue with respect to others’ IP
Also, organizational IP assets were to be protected under new patent laws
– As a tool for excluding competition
– Add value to products and processes: out-licensing opportunities
IP Awareness
64
IP knowledge must not reside in select pools; it must pervade the organization
All key functions must be keyed in so that their the activities are “IP enabled”
– Scientists– Manufacturing – Analytical teams– Regulatory & Quality Assurance– Marketing– Business Development– In- and Out-licensing– Sourcing teams
Patent Portfolio Management
65
All resources – money, time, and manpower are heavily involved– Maintaining a patent portfolio in several countries is an expensive
proposition An objective patent portfolio management policy needs to be in place in order to
employ these resources rationally Regularly review portfolio and identify – separate wheat from chaff Take hard decisions
– Patents need to have commercial value or at least potential– Look at the portfolio of patents and applications objectively and
dispassionately – Technical team’s input is all important while filing, but the business team
has a large say in national phase filings, maintenance, etc.– Kill what needs to be killed, at any stage
Put in place a publication strategy
Globally Competitive Companies
66
Becoming a global player, with a presence in the advanced markets, is an imperative for any Indian company in whatever area
– The size of the domestic market necessitates this
– In most areas, North America + EU + Japan account for more than 80% of the global market
Being IP compliant is a necessity to operate in these markets IP-savviness is the next step from being just IP-compliant Many of these are increasingly becoming cost conscious Many globally successful Indian companies have shown it is possible
to be IP-compliant and cost-effective at the same time.
Promotes Research and Innovation
67
A strong patent system ensures that there is an equitable return on investment on research & development
– Having a lax patent system is not one of the options being considered by governments for making medicines more affordable
– More and more innovative products and processes are coming out of smaller but nimble companies whose only asset is their IP
A lax patent system will ultimately ensure that any innovativeness is nipped in the bud; not good, not only for industry but for the public at large
– A case of killing the golden goose– Developing a new drugs cost USD 600-800 million from lab to market
A stronger patent regime abroad has actually helped Indian companies develop & hone their reverse-engineering skills
A stronger system at home will only promote greater innovations in India Several Indian companies have recognized this and have invested
considerably in R&D
Moving Up the Value Chain
68
Indian companies have moved up the pharmaceutical value chain in the last decade
– From manufacturing APIs using off-patent processes to discovering NCEs of their own
– At each stage, IP generated has been protected by patenting them
– This has provided Indian companies with opportunities for
Out-licensing products and technologies
Getting royalty payments Virtual exclusivities Garner a greater market share in
advanced markets through supply agreements
Other International Examples Other International Examples
Iran:Iran: Advances in AgricultureAdvances in Agriculture Biotechnology Biotechnology MachineryMachinery PetrochemicalsPetrochemicals Brazil: Brazil:
Sugar refinerySugar refinery EthanolEthanol MachineryMachinery PharmaceuticalsPharmaceuticals AviationAviation
Other International ExamplesOther International Examples
IndiaIndia ICTICT PharmaceuticalsPharmaceuticals
South Korea:South Korea: ICTICT AutomobilesAutomobiles AgricultureAgriculture MachineryMachinery
Other International ExamplesOther International Examples
China:China:All the aboveAll the above
Malaysia:Malaysia:Transition from Transition from
peasant to peasant to industrialized nationindustrialized nation
Agriculture Agriculture Automobile (Proton)Automobile (Proton)
Example from Zimbabwe
Scientific and Industrial Research and Development Centre(SIRDC)
72
Brief Background and Mandate
73
Established in 1993 through the provisions of the Research Act of 1986, amended in 1988
SIRDC falls under the Office of the President and Cabinet (OPC) The Centre is headed by a Chief Executive Officer (Director General) The Centre’s mandate is to:
• Carry out strategic research and development (R&D) for the benefit of manufacturing, service, agricultural, mining sectors
• Collaborate with local and international institutions to strengthen local R&D capacity and its application to industrial processes
• Adapt imported technology to suit local needs• Provide consultant services to local and regional enterprises• Serve as a repository and disseminator of information on technology
Linking Research to Business(Commercialization)
74
1. SIRDC Vision: To be the leading Centre for the development of Zimbabwe and the region through reduction to practice of technologically developed products and processes.
2. SIRDC Mission: To provide Zimbabwe and the region with technological solutions for sustainable development.
3. Aligning the Strategic Plan to the new business approach: Stage Gate® Process
753
STAGE-GATE® PROCESSDRIVING NEW PRODUCTS TO THE MARKET
Stage1
Preliminary investigation
Gate2
2nd Screen
Stage2
Build Business case
Gate3
Decision on Business Case
Stage3
Development
Gate4
Post-development
Review
Stage4
Testing & Validation
Gate5
Pre-commercialization Business Analysis
Stage5
Full production & market launch
Post implementation review
Gate1
Initial Screen
Ideation
76
Key Characteristics of SIRDAMAIZE 113:
It is a three-way hybrid with short anthesis silking interval (-1)
White dent grain, early maturity (+_ 136 days) and drought tolerance
Tolerance to major foliar diseases such as maize streak virus, grey leaf spot and maize rust
Also performs well under well-watered conditions
High yielding and suitable for drought prone regions in Africa and beyond
BRANDS DEVELOPED BY SIRDC
77
SIRTECH Investments
78
Four Business Units (SBUs) Four Business Units (SBUs) operated under SIRTECH:operated under SIRTECH:
1.1. SIRTILE: making low cost roofing SIRTILE: making low cost roofing tilestiles
2.2. SLATE: supplying schools with SLATE: supplying schools with science and laboratory and science and laboratory and teaching equipmentteaching equipment
3.3. SIRMET Founders and Engineers: SIRMET Founders and Engineers: using a 1.5 tonne induction furnace using a 1.5 tonne induction furnace to cast and machine spares and to cast and machine spares and components for the mining, components for the mining, agriculture, manufacturing, agriculture, manufacturing, construction, transports sectorsconstruction, transports sectors
4.4. SIRDAMECTIN: dual purpose animal SIRDAMECTIN: dual purpose animal antibiotic that kills both internal antibiotic that kills both internal and external parasitesand external parasites
79
Roofin
g tile
s
80
81
SIRMET Founders & Engineers
82
83
SLATE – Supplying schools since 2003
84
SIRDAMECTIN - Antibiotic for Livestock
86
Gamma Juices:Gamma Juices:The SIRDC Stage® Gate team formulated more than 25 juices of international standards and quality but based on extracts from local fruits.Business plans in place.Ready for Commercialization.
87
SIRDC Brands
Concluding Remarks
88
Creativity & Scientific R&D activities yield patents and other IPRs which are valuable economic assets
Measures of R&D activity include size of budgets, ownership of IP instruments (e.g. patents, trademarks, designs) or peer reviewed publications
Countries with strong IP management infrastructure have globally competitive industries and economies (e.g. USA, Germany, Japan)
Concluding Remarks
89
Based on 2006 Figures (US$Billion)Four largest spenders in R&D Were: USA: 343 EU: 231 Japan:130 China: 115
Concluding RemarksIn terms of % GDP Top R&D Spenders were: Japan – USA – EU
With approximately 3.2%, 2.6% and 1.8% respectively
Developing country funding for R&D remains very poor hence the weak Intellectual Property Systems and Portfolios and, ultimately their inability to compete at industry, country and global level
90
Concluding Remarks The national brands of the most developed countries are to a
greater extent derived from the powerful global brands of their corporations e.g. Coca Cola, PEPSI, NIKE, MICROSOFT, SAMSUNG, HYUNDAI, HONDA, TOYOTA, BAYER AG, SIEMENS, MERCEDES BENZ, etc..
Key stakeholders in government, industry and research in developing countries should therefore work to build the requisite IP infrastructure to attract FDI, spur economic development, and develop brands that can compete at home and abroad
SME’s must seize the opportunity and invest in IP so that economic benefits from their IP Assets accrue to the organization and the country through improved profitability, or through licensing and technology transfer activities in the global arena
91
I Thank YouI Thank You
Top Related