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Rethinking Innovation Spending: What the Data On Intangible Investment Reveals

The Conference Board, Inc., 21 pages, January 5, 2018
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Businesses around the world face a need to better quantify the financial impact of their innovation investments. But our research reveals that companies miss up to four-fifths of their spending on innovation, making any accurate calculation of return difficult. This report outlines a holistic approach for more accurate assessment of innovation spending.

Document Highlights

The knowledge economy has changed how businesses invest. Spending on “intangibles” such as digitization and customer experience receive a bigger share of the investment pie than tangible “brick and mortar” investments. When businesses calculate their innovation investments as R&D only, they may be missing up to four-fifths of their innovation spend. This report outlines where to look for “missing” spending and how to make a more holistic assessment of overall innovation spending.

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