IEEE-USA Innovation InstituteVolunteers and Regions

• The U.S Economy vitality and technical innovations

• The science and technology building blocks are eroding.

• Other nations are gathering strength.

Rising Above the Gathering Storm

• Historically:– US companies early entrants with first generation

products.

– Asian companies late entrants

– US companies absent In the second generation products.

ESRC Survey on Innovation

• 72% of executives named innovation in their top three priorities.

• Half disappointed with the ROI

• Many didn't know how to measure returns from Innovation.

Boston Consulting Group & BW

Current U.S. Innovation Deterrents

• Outsourcing of R&D– Transfer the background know-how

• Workforce reductions– Employees become risk averse– Disrupts teamwork

Current U.S. Innovation Deterrents

• Across the board cost cutting– Drives incremental changes– Favors low risk solutions

• Short term focus– Averse to disruptive technologies– Focus on sales not marketing

Anecdotal experience

• Attempted to create Skunk Works– Product aligned with company strategy– Work on own time– Use of facilities and material– Profit sharing on new product sales

• No takers

An Anecdotal Experience

• 200 large companies surveyed are moving white-collar jobs to Asia

• Companies not deterred by security or IP concerns

CIBER Survey

• From Manufactured in China to Designed in China

• Vimicro is the leading supplier of PC camera chips.

John Deng, CEO of Vimicro

China and Innovation

• China goal is to be an Innovation-Oriented Society by 2020.

• Plans R&D costs from 1.23% of GDP in 2004 to 2.5% in 2020

India and Innovation

• Think Innovation, Think India the slogan at R&D expo in New Delhi

• 6,000 PhDs, 200,000 engineers, and 300,000 science graduates annually

• R&D investment growing at a compounded annual growth rate of more than 40%

If we do nothing we are at risk of losing:– World leadership position– Jobs at all levels– Competitiveness– Our standard of living

The Risks

Leadership Innovation in:– Research by Government and Industry– Corporate (culture enabling Innovation)– Universities (focus on innovation and

entrepreneurship)– Environment (capital, resources, regulations)– Innovators (willing to take personal risks)

The Remedy

The Key Players

• Individual Innovators (limited number)– Entrepreneurs– Already motivated to innovate– Need favorable environment (Capital, Resources,

Regulations)• Innovator in large companies (large number)

– Intrapreneurs– Need reasons to innovate– Need a favorable corporate culture

– Innovation Institute

– Career Activities

– Members Activity

– Professional Activities

– Technology Policy Activities

IEEE-USA Volunteer Resources

Innovation Institute

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Careers Activities Members Activities Professional Activities Technology Policy Activities

Regions & the Innovation Institute

• Regions will play vital roles:– Forum Sponsorship– Faculty– Corporate Contacts– University Contacts– Follow-up after the Forums

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You have the keys to the future!