Research and Development or known as the R&D is the general term for certain activities for the government or corporate innovation. But these activities vary from one company to another company. Primarily, it has two models. First, is the R&D department with industrial scientist assigned the applied research in technological and scientific field facilitating future development of products. The other one is being staffed with excellent engineers wherein they need to develop new and innovative products directly. Whichever of the two, it still varies from one corporate to another. Most of the time, this is built not for the sake of immediate profit since it carries unpredictable return of investment and greater risk.
New development and design were made and one of the most critical factor on the survival of the company. In an industrial technology wherein change is really fast, companies must always change or modify their designs every now and then. This is important because of the simultaneous technology evolution and development that goes along with the preference of the clients. The absence of the R &D programs will make the companies depend on the acquisitions, strategic alliances as well as networks so they can make everything of the innovations.
If marketing drives a certain system, then this is another advantage. This will prioritize the customers and will only generate products they only need to market. A specific market research is being carried out in which it builds what people need around. But if technology is the responsible for, R&D directly develop products based on the market research.
Generally, R&D activities are being conducted with the help of high tech centers and units that belong in a company or at time are outsourced from a contract research organization, state agencies or universities. In commerce, on the other hand, research and development simply pertains on the longer term and future-oriented activities in technology or science, which are utilizing the same technique in the scientific research. However, this is directed on the desired result and with broad forecast particularly on the commercial field.
In the business, R&D is the core part of the modern world of business. Most of the big decisions in the companies come from the research and development. Furthermore, it has a great significance in marketing since companies are always keeping an eye on their rival companies as well as on their customers. This goes with the same track of modern trends and be able to evaluate the needs, desires and demands of their valuable customers.
But then, research and development seem so difficult to handle because of the defined features of the research. There are instances that the researchers don’t know exactly their goal—which is not good.
As a final thought, it was already proven that the harmonious relationship between the firm productivity and research and development on the entire sector would yield into greater and desirable results. That is why we can expect more new products and invention in the future.