| Author (Person) | Davies, Eric |
|---|---|
| Publisher | ProQuest Information and Learning |
| Series Title | In Focus |
| Series Details | 14.3.03 |
| Publication Date | 14/03/2003 |
| Content Type | News, Overview, Topic Guide | In Focus |
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An insight into European companies' innovative performance is given in the latest Innobarometer poll. Conducted during September 2002 by Gallup Europe, the telephone poll was carried out among 3,000 company managers in the 15 EU Member States. It shows that the single European market is the most important driving force for innovation, with the opportunities it offers seen as giving EU businesses a decisive advantage in the innovation stakes. Access to markets open to innovative products is increasingly important for companies, with 50% of respondents reporting that access to innovative customers and/or markets is the most important unsatisfied need relating to innovation. Nearly half the managers interviewed highlighted the qualifications and professionalism of staff as a key factor in their ability to innovate - a point emphasised by the European Commissioner responsible for Enterprise, Erkki Liikanen, who said: 'Europe's most valuable economic resource is its people, and the skills that they have. Their ability to innovate across the whole range of entrepreneurial activity is vital to sustain and improve Europe's overall competitiveness and growth.' Investment in new products and services continued to grow in the year since the first Innobarometer survey was carried out in 2001, averaging over 25%. Manufacturers tend to invest more (32%) in innovation than other companies, but exporters and 'younger' businesses put a premium on innovation. Companies now derive some 22% of their turnover from products or services introduced within the last two years (up 2% since the 1991 poll). Although trading conditions are not easy in the current economic climate (some 30% of managers interviewed said that access to innovative and open customers and markets is extremely difficult), markets are expected to open up more over the coming years - with innovative companies able to take advantage of the greater possibilities offered as the European Union expands to encompass 25 Member States. Despite managers' claims that human resources are a key factor in companies' ability to innovate, the survey indicated that management practices need to be reviewed in order to provide more encouragement and motivation for staff to acquire new skills and to adapt to working in an environment where innovation is of paramount importance. The need to train technical staff was particularly highlighted, with managers revealing that many Member States pay only lip-service to training, with not enough time being devoted to it. The 2002 survey also shows a substantial change in the priorities of European managers concerning ways to access advanced technologies. While in 2001, the purchase of machinery and equipment was the most important way to obtain these technologies; cooperation with suppliers or customers is now ranked the most effective way of gaining access. Cooperation agreements and sharing knowledge between enterprises is also cited as an important tool for innovation. Links: Eric Davies The 2002 Innobarometer Poll detailing European companies' innovative performance was published by the European Commission on 13 March 2003. |
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| Subject Categories | Business and Industry, Internal Markets |
