How can you measure your competitors' innovation and R&D efforts?

2 R&D spending

Another way to measure your competitors' innovation and R&D efforts is to look at their R&D spending. R&D spending is the amount of money that a company allocates to conduct research and development activities, such as creating new products, services, processes, or methods. R&D spending can indicate the level of commitment and investment that a company makes to innovate and improve its competitive position. You can find information about your competitors' R&D spending from their annual reports, financial statements, press releases, or industry reports.

3 Innovation output

A third way to measure your competitors' innovation and R&D efforts is to assess their innovation output. Innovation output is the result or outcome of the innovation and R&D processes, such as new or improved products, services, processes, or methods. Innovation output can reflect the quality, efficiency, and effectiveness of the innovation and R&D activities, as well as the market acceptance and customer satisfaction. You can measure your competitors' innovation output by using indicators such as number of new products or services launched, market share, revenue growth, customer retention, or awards and recognition.

4 Innovation culture

A fourth way to measure your competitors' innovation and R&D efforts is to evaluate their innovation culture. Innovation culture is the set of values, beliefs, norms, and practices that support and encourage innovation and R&D within an organization. Innovation culture can influence the motivation, creativity, collaboration, and risk-taking of the employees and managers involved in the innovation and R&D processes. You can assess your competitors' innovation culture by observing their organizational structure, leadership style, communication channels, employee engagement, learning opportunities, or incentive schemes.

5 Innovation network

A fifth way to measure your competitors' innovation and R&D efforts is to examine their innovation network. Innovation network is the network of internal and external partners that a company collaborates with to innovate and conduct R&D. Innovation network can enhance the access to resources, knowledge, skills, and ideas that can foster innovation and R&D. You can analyze your competitors' innovation network by identifying their suppliers, customers, distributors, research institutes, universities, industry associations, or other stakeholders that they work with to innovate and develop new solutions.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?