Research and development (R&D) could be defined as the creation of new innovations in existing products, services, or procedures… or the discovery of new innovations that lead to the creation of new products.
- R&D represents the activities companies undertake to innovate and introduce new products and services or to improve their existing offerings.
- R&D allows a company to stay ahead of its competition.
- Companies in different sectors and industries conduct R&D; pharmaceuticals, semiconductors, and technology companies generally spend the most. (But very often R&D can be found in products like a spaghetti sauce brand’s many variations on the original product – “Pesto Garden” “Four Cheese,” and “Tomato Basil Garlic”, for example).
Research and Development is a crucial part of every business. It is an ongoing process of improvement that keeps the business up to date and a step in front of their competitors.
Some companies relegate their R&D activities to a specific department, while others treat it as an ongoing process that permeates the whole organization. Also, some companies train their employees to think with an R&D perspective, so they can research and develop new strategies to be more effective.
And finally, we could say that there are two types of R&D: Basic and applied research. The first one is aimed at a fuller, more complete understanding of the fundamental aspects of a concept or phenomenon, while the second entails the activities used to gain knowledge with a specific goal in mind.
That’s all for today: a brief introduction of R&D. But… what exactly is innovation? We’ll be taking a look at that very soon.