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Metrics to Value R& D

Metrics to Value R& D

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Excerpt from Metrics to Value R& D: An Annotated Bibliography

As part of an effort to help our members understand better how to measure the value of R&D, the International Center for Research on the Management of Technology (ICRMOT) has sponsored a project to assess the state of the art in R&D metrics. This project has included (1) a series of qualitative interviews with Chief Technical Officers, Chief Executive Officers, and researchers at ten research-intensive international firms,(2) a review of the published literature, (3) the development of formal mathematical theory, and (4) empirical applications and tests of that theory (forthcoming).

This working paper provides an annotated bibliography for 147 articles published in the R&D, marketing, and economics literature. My goal is to provide the reader with a sampling of the various viewpoints on R&D metrics and on related material. I have attempted to describe the authors' conclusions and to indicate where additional data might be obtained. When feasible I have quoted directly from the article. In this way the reader can experience directly the flavor of the article and draw independent conclusions. (All such quotations are indicated by double quotes "...") Like all annotated bibliographies, these short descriptions can not substitute for a more comprehensive reading of the articles. However, I hope that they will help the reader decide which articles to pursue further.

In many places I refer to the "tiers" of R&D - tier 1 is "exploring new concepts" (basic research), tier 2 is "selecting technology to match or create core technological competence," and tier 3 is "applied research that is often joint with business unit "customers." This structure is described more completely in Hauser and Zettelmeyer (1996), which is available as an ICRMOT working paper.

It is my hope that this bibliography will grow. Please suggest additional references to the ICRMOT Web site (http://web.mit.edu/icrmot/www/) or to me (jhauser@sloan.mit.edu). A list of all ICRMOT working papers, and how to obtain them, is available at our Web site. Monitor our Web site for updates on this bibliography.

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