“It’s not what you do or think, important is how you do or think: it’s the process that matters!”
What should be the top defining character of a company?
- A good team
- An exciting product
- A lot of funds and ;
- A well-defined R&D process
We are living in an age where consumer behavior or requirements change drastically every few years. And as we progress, the few years will get even fewer. So how does an organization ensure its survival and further a success in such an entropic environment? One simple answer: Keep Innovating.
The lack of a parameter
The character of “Keep Innovating” is the reason behind the success of likes of Alphabet Inc., Facebook, or Tesla. Each one of them though started with one technological area but subsequently penetrated to a much diverse domain. So, how are they able to do so? It’s definitely not the product, neither just the team as that is always subject to changes over time nor is it the huge funds they are sitting on. It’s the R&D process and culture which has become the DNA of such organizations.
In India, when we talk about start-ups, their future, their funding, it mostly the market, the future projections but hardly does anyone talks about R&D or innovation. Even while making a pitch the innovative attitude of a company never takes the center stage.
It’s not that we don’t realize the importance of an innovative culture, the real problem is that it’s difficult to find a parameter to optimize and inculcate an innovative culture and further to gauze the same.
DSIR In-House R&D
It may come as a surprise to us that the much criticized Govt., for being not so visionary, has an incentivized program running since more than three decades to optimize and streamline R&D in manufacturing and IT-product companies and subsequently incubate an innovative culture.
Govt. of India has been providing recognition for an ‘In-House R&D’ to product companies registered in India. DSIR (Dept. of Scientific and Industrial Research) has been granting the much coveted ‘In-House R&D’ to product companies since many years. Such recognition is granted only to those companies which follow a well-researched guideline that is updated regularly. The idea behind the recognition is to initiate a culture of research in Indian companies by structuring a robust R&D process.
Despite the incentive of the 150% weighted income tax deduction (u/s 35(2AB) of the income tax act), only 1800 companies has been recognized so far which includes most of the giants like Tata, Piramal Healthcare, Infosys etc. besides medium to small sized companies.
Since this recognition doesn’t have any bar on turnover, size or sector, all kinds of product companies (includes manufacturing and software industry) can apply to get the reputed DSIR ‘In-House R&D’ recognition. Such a feat while can be a great boast in-front of VCs and customers; it will also ensure your survival and success in this dynamic era.
So keep innovating. For it’s not about what you think but how you think!!