Then major European companies saw a business advantage in increasing their investment in research and development. Now, say the experts, market requirements prompt industry to focus on short-term results, despite the heavy investment in science and technology by competitor nations and businesses, especially in the Far East and the United States. Such a change in emphasis requires flexibility of response. The Panel suggests that Europe is responding to the challenges of today with policy instruments tailored to the needs of a decade ago. These focus strongly upon providing firms with the capabilities to make use of scientific and technological knowledge.
Technology diffusion is a key element here.
US markets are more efficient at transferring technology from universities and institutes to firms. The Davignon Panel recommends that the Commission's Programme directors and managers have clear responsibility for ensuring the diffusion of the technology developed within their Programmes into the marketplace for commercial exploitation. Whilst the most successful outcome is one in which project participants commercialise their own findings, other avenues of exploitation need to be vigorously pursued with non-participants when this does not occur. The support and development of SMEs is also considered crucial. The Panel believes that SME participation in the Framework Programme would be more effective if SMEs received more help with the financial and legal issues related to exploiting research, particularly in the area of intellectual property issues.