"The Proliferation of Research and Development"

How much do Companies spend on R&D?

Manufacturers in the future will increasingly invest more in their own laboratories.“By developing infrastructure and training skilled workers, foreign investors can contribute to a country’s broader R&D ecosystem.”

Manufacturers are investing in and prioritising research and development (R&D) as never before, even in an uncertain economic environment, as they seek to gain a competitive advantage. In a 2015 KPMG survey of global manufacturers, half said their strategic focus was innovation-led, with almost three-quarters planning to devote more than 4% of revenues to R&D over the next two years—up from almost 60% who did so over the past two years. Broadly speaking, virtually all manufacturers have R&D divisions or centres devoted to the development of technologies meant to give them a competitive edge. As the US National Institute of Standards and Technology notes, companies can focus their efforts in several directions: they might overhaul manufacturing processes to produce substantial productivity or quality gains; improve production equipment for gains in speed, accuracy or environmental efficiency; create technologies that empower the development of new products or processes (such as prototyping or supply chain integration); or pursue advances that improve workforce conditions. Full Article via The Economist Intelligence Unit

INFOGRAPHIC: Asia’s billion-dollar R&D club is growing: Percentage of share of companies globally that spent US$1bn or more on R&D (view full picture).

“The rise of 3D printers in particular promises to significantly reduce the cost and time associated with prototyping, traditionally one of the most fraught and expensive stages of the product R&D process.”


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