Intangibles: The soft side of innovation

Futures

Volumn 29, Issue 1, 1997, Pages 33-45

  Den Hertog, Pim ^a   Bilderbeek, Rob ^a   Maltha, Sven ^a  

^a TNO   (Netherlands)

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[No Author keywords available]

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EID: 0043266435     PISSN: 00163287     EISSN: None     Source Type: Journal    
DOI: 10.1016/s0016-3287(96)00064-x     Document Type: Article

References (23)

1. Here, the term 'dematerialization' is not being used as a reference to the absolute decrease in materials required for certain activities, like Bernardi and Galli do (see Bernardi, Oliviero and Riccardo Calli, Dematerialization: long-term trends in the intensity of use of materials and energy, Futures, 1993, 4, 431-448). In this article, we associate dematerialization with the increased share of intangibles.
2. For a discussion of the prospects for services in the new industrial economy, see Miles, Ian, Services in the new industrial economy, Futures, 1993, 6, 653-672.
3. Quinn, J. B., Technology in services: past myths and future challenges, Technological Forecasting and Social Change, 1988, 34 (4), 340. And: Quinn, J B, T L Doorley and PC Raquette, Beyond products: services-based strategy, Harvard Business Review, March, 1990, p. 58.
4. Quinn, J. B., Technology in services: past myths and future challenges, Technological Forecasting and Social Change, 1988, 34 (4), 340. And: Quinn, J B, T L Doorley and PC Raquette, Beyond products: services-based strategy, Harvard Business Review, March, 1990, p. 58.
5. Ibid, p. 330.
6. Hertog, P. den, T. J. A. Roelandt, P. Boekholt and H. van der Gaag (1995), Assessing the Distribution Power of National Innovation Systems. Pilot Study: the Netherlands. Apeldoorn (NL): TNO Centre for Technology and Policy Studies (STB 95/051). See also Jacobs, Dany (1996), Hot air. Added value in the knowledge economy. To be published in: STI Review.
7. Hertog, P. den, T. J. A. Roelandt, P. Boekholt and H. van der Gaag (1995), Assessing the Distribution Power of National Innovation Systems. Pilot Study: the Netherlands. Apeldoorn (NL): TNO Centre for Technology and Policy Studies (STB 95/051). See also Jacobs, Dany (1996), Hot air. Added value in the knowledge economy. To be published in: STI Review.
8. The ratio of immaterial/material investment in the Netherlands increased from less than 40% to more than 50% in the period 1970-1991 (see Minne, Bert, 1995, Onderzoek, Ontwikkeling en Andere ImmateriNle Investeringen in Nederland (Research, development and other immaterial investments in the Netherlands), Onderzoeksmemorandum, nr. 116, Den Haag: Central Planning Office, p. 5, 11).
9. OECD (1992), Technology and the Economy: The Key Relationships, TEP, Paris: Organization of Economic Cooperation and Development. More recent OECD documents take more explicitly the knowledge-based economy as a starting point. See OECD, The OECD Jobs Strategy: Technology, Productivity and Job Creation. Vol. 1: Highlights and Vol. 2: Analytical Report. Paris, 1996.
10. OECD (1992), Technology and the Economy: The Key Relationships, TEP, Paris: Organization of Economic Cooperation and Development. More recent OECD documents take more explicitly the knowledge-based economy as a starting point. See OECD, The OECD Jobs Strategy: Technology, Productivity and Job Creation. Vol. 1: Highlights and Vol. 2: Analytical Report. Paris, 1996.
11. See also Vosselman, W., Statistische Onderzoekingen. Investeringen in ImmateriNle vaste Activa Door Bedrijven (Statistical investigations. Investments in immaterial fixed assets by companies). M43. Netherlands Statistics, Den Haag, 1991.
12. See Peters, Tom, Liberation Management, Fawcett Columbine, New York, 1992.
13. These branches of industry, drawn from a study performed for the European Commission (cfr. Bilderbeek et al, 1995, see note 19) have been selected with the aim to get an overview of intangibles, role in a broad range of industries having a relatively strong end user orientation in common. Considering that other industries show comparable innovation patterns, we think that the branches selected here, reflect the general significance of intangibles in innovation practices. For a more thorough test, we consider a wider scope of industries including basic industries (eg steel, chemical industry) as recommendable.
14. Benetton for example nowadays has over 5000 branches in 87 export countries.
15. d'Ercole, Michele, Innovation in a Mature Industry: Evidence From the Textile and Clothing Sector, MERIT, Maastricht, 1993.
16. In 1994 Dutch firms exported a total of 6.8 billion flowers worth Dfl. 3.6 bin (ECU 1.7 bin); nearly 60% (70% in 1990!) of all flowers produced worldwide were traded in the Netherlands. The Dutch floricultural industry employed 71,000 workers in 1992. Apart from production (25,000), this figure includes auctions (4500), the supply industry (6000), wholesalers/exporters (13,000) and retailers (22,500). Below, we will concentrate here on the flower industry in itself, although it is an indissoluble part of the agri-business industry as a whole.
17. Although the Dutch flower industry still dominates international production and trade in cut flowers, there are indications that the dominance is decreasing. Floriculture industry in general has been confronted with some major changes lately (like overproduction, increased imports from third world countries, signals about a declining image and lacking quality control).
18. Data compression, digital broadcasting, interactive TV, home decoding, on-line publishing are relevant innovations here.
19. A growing number of mergers and acquisitions, joint and unforeseen forms of collaboration and a relaxation of rules regarding cross media ownership lead to integrated communication concerns like Bertelsmann, Canal Plus, Pearson, Reed-Elsevier, Time Warner, Hachette.
20. Stewart, C. and Laird, J., The European Media Industry. Fragmentation and Convergence in Broadcasting and Publishing. London: Financial Times Management Reports, 1994, p. 30.
21. International differences in this respect are quite substantial. For instance, legislative barriers used to inhibit the formation of large banks across state boundaries in the United States, whereas the formation of large financial conglomerates is a distinguishing characteristic of the Japanese financial sector.
22. For a more detailed insight into the role of intangible elements in the innovation process, see Bilderbeek, Rob, Dany Jacobs, Sven Maltha and Pim den Hertog, Immaterial Investments as an Innovative Factor. Research for EC DG III A.3. Apeldoorn (NL): TNO STB Centre for Technology and Policy Studies, 1995, Ch 4.
23. This table regroups the intangibles mentioned in Table 4 under a limited number of main headings.