Chicago, January 28, 2009 - Inventor incentive programs stimulates an increase in innovation activity, companies that provide financial rewards for patents result in significant improve ROI on their research and development investments, according to ipPerformance s survey of Intellectual Property Leaders. ipPerformance Group, Intellectual Property Management Advisory conducts research on intellectual property operations best practices.
The second Survey on Inventor Reward and Recognition Programs was conducted among intellectual property (IP) leaders representing 23 major industries. Survey participants were questioned on a range of topics, including incentive program structures including financial awards and non-financial recognition, special awards, program management, promotional and awareness activities, and international management harmonization activities.
221 companies participated including Caterpillar, Nestle, Boston Scientific, Halliburton, Ford, Deere, Freescale Semiconductor, Praxair, Eastman Kodak, Sharp and Clorox.
A full report of the survey findings is available from ipPerformance Group at www.ipperform.com.
“We know from our current and previous research that companies that have a well designed program benefit with increased inventor participation and cooperation as well as better innovation performance. Inventors respond to recognition and rewards, regardless of geography”, said Rob Williamson, President, ipPerformance Group.
The majority of companies surveyed have inventor incentive programs include both monetary rewards and peer/public recognition. Participants indicated that most popular results attributed to their program are increasing volume of invention ideas, better cooperation and responsiveness, broadening participation, and identifying high value innovation.
. Monetary awards amounts varied greatly, ranging from $25 to $5,000 per inventor for each patenting milestone. On average, reward amounts for patent grants were highest. The average payments per milestone reported were: Invention Submissions $568, patent application filing $973, and patent grants $1,024.
. Companies that actively promote their Inventor Reward and Recognition programs had an increase in innovation activity by 58 percent, measured in invention disclosures submitted per engineer.
. 66 percent of companies indicated that they attributed maintaining inventor interest to the inventor incentive program, 61 percent stated their program’s purpose as increasing invention disclosures.
. Annual financial awards reported are up to $15,000; companies that reward inventors based on commercial success can be in excess of $100,000.
Other intellectual property management subjects surveyed include intellectual property management strategy and performance measures; litigation and enforcement; training and education, patent analytics, intellectual property department operations and licensing.