Dutch companies resume investing heavily in research and development
Research institute Erasmus Centre for Business Innovation at Rotterdam School of Management, Erasmus University (RSM) annually conducts the Erasmus Competition and Innovation Monitor. The survey is led by Prof. Henk W. Volberda, Professor of Strategic Management and Business Policy at RSM. The survey findings were announced during the award ceremony for the Dutch Innovation Awards at the Kurhaus in Scheveningen on Tuesday, 31 October 2017.
The most significant finding in the 2017 Erasmus Competition and Innovation Monitor is that Dutch companies resume investing heavily in research and development (R&D). After years of decline (since 2009), this past year showed a substantial increase in investments in research and development (R&D), and in information and communication technologies (ICT). R&D investments increased from 2.1 per cent to 4.3 per cent of the turnover, and the ICT turnover rose from 2 per cent to 4.8 per cent.
“Social innovation is crucial to stimulate innovation”
The research also indicates that the human side of innovation remains largely untapped. In order to respond to the fourth Industrial Revolution, companies in the Netherlands mainly focus on technological innovation. However, new revenue models and new products and services also require new forms of organisation, innovative leadership, new employee skills and smarter ways of working together. “Social innovation is not only a means to promote productivity and thereby reduce costs; it is also crucial to promote innovation capacity “, says Volberda.
Innovative businesses are not only focused on profits – they also want to contribute to providing solutions for major social issues. To improve the focus on contributing to society, both transformational leadership and self-organisation are needed.
It also appears that organisations where employees have many opportunities and have a say about their work hours (flexible work schedule) are more productive and have higher levels of employee satisfaction. Flexibility in terms of their work location (alternative location in the workplace or working from home or another location) does not play a key role in this aspect. However, organisations with a high score in flexible work locations do score higher when it comes to radical innovation and disruptive innovation. In this case, a flexible work schedule does not play a key role.
The complete survey findings can be found in the link below.