Gaining Benefits of Joint Research Initiatives. Heidi Fagerholm 13 th November 2012
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1 Gaining Benefits of Joint Research Initiatives Heidi Fagerholm 13 th November 2012
2 Contents 1) Kemira R&D 2) Basic Research & Innovation 3) Economic & Regulatory Environment 4) Assessing Benefits of Innovation 5) Examples of Joint Research Projects 6) Lessons learned Heidi Fagerholm / R&D and Technology 2
3 A global two billion euro chemicals company Sustainable extraction of natural resources Oil & Mining: EUR 8 billion market Role of water continuously rising Efficient and advanced processing of biomasses Water and energy efficiency Clean water cities, industries, water systems Paper: EUR 10 billion market Increased recycling, new products, emerging markets Municipal & Industrial: EUR 10 billion market Rising environmental regulation/awareness Heidi Fagerholm / R&D and Technology 3
4 Research & Development is a critical enabler for organic growth and support for differentiation 330 experts working in the R&D Membrane technology Control and monitoring Polymer chemistries R&D spending 1.8% of group revenues Strong patent portfolio: 330 patent families 1350 patents Heidi Fagerholm / R&D and Technology Chemicals for bioprocesses Advanced water treatment incl. sludge dewatering R&D focus Scale, microbial and corrosion control Oil & gas and minerals processing 4 Fiber and wet-end
5 Basic Research & Innovation Universities as primary engine for discovery research Water Treatment Patents 9/2011 9/2012 Water treatment patent landscape totally dominated by Chinese universities 1. University of Beijing (113 patents) 2. Nanjing University (86) 3. University of Shanghai (82) 4. Tongji University (76) Companies less strong in patenting 8. China Petroleum (48 patents) 47. Siemens (11) Other means of protection among leading water companies N China Rest of the World Heidi Fagerholm / R&D and Technology 5
6 Economic & Regulatory Environment Relatively High Capex and Opex VALUE of Water and Nonrevenue Water(NRW) Water Resource Availability & Water-Energy Nexus Governance and Accountability Tightened regulations & quality standards Institutional Capacity and Resources Top 10 Global Water Market Challenges Population Growth and Urbanisation New growth regions Public Health Water Quality, Access to Sanitation and Safe Disposal Sustainability of Water Utilities and Cities Risk in Water Intensive Industry and Global Trade Climate Change and Extreme Weather Events Source: Frost & Sullivan Heidi Fagerholm / R&D and Technology 6
7 Assessing Benefits of Innovation Tangible Inputs - Knowledge embodied in technologies - Production facilities Intangible Inputs - Intellectual property - Organizational Structures - Core competencies - Scientific research & literature Innovation Activities - R&D - Design - Piloting & prototyping - Pre-production activities - Market research - Training Final Outputs & Outcomes - New & improved products and services - New & improved production and delivery methods - New revenue Innovative Capital - Intellectual property - Competencies - New examinations - Human capital - Networking Private actors, Public actors (eg. Universities, Academia, Research Institutes, Funding Agencies Company R&D Customer-, partner- & personnel benefits, Societal impacts Heidi Fagerholm / R&D and Technology 7
8 SWEET-Center of Water Efficiency Excellence Background: Change in corporate strategy 2008 towards a leading water chemistry company R&D Goal: To create competitive advantage in global water chemistry markets Method: To gather existing water knowledge and expertise together in order to create critical mass Outcome: Four years development programme New Technologies: More than 100 invention disclosures and 40 patent filings in 2011 Partnering: Private-public partnership with several players involved. VTT as key partner. Heidi Fagerholm / R&D and Technology 8
9 Tanfor T: Environmentally friendly tanning agent Challenges in leather tanning Pressure to replace chromium in the tanning industry due to health concerns and increasing raw material prices Tanfor T is a revolutionary tanning agent A tanning system that is free of chromium, organic solvents, aldehydes or aldehyde precursors Produces white leather that will not yellow with age Good dyeability, very bright colors dyestuff savings From environmentally friendly components and produced sustainably Not allergenic: Tanfor T contains only safe ingredients University partner: CETI eli Consorci Escola Tècnica d'igualada Heidi Fagerholm / R&D and Technology 9
10 Desalination Desalination is a process where excess salts and minerals are removed from saline water to produce water for drinking and industrial uses 15,000 plants in world Current Kemira focus is on To reduce operating costs To reduce energy consumption, and To increase membrane life-time. Market potential US$ 1.2 Billion market for chemicals and estimated growth rate 10% annually Partners e.g. Nanyang Technological University VTT Heidi Fagerholm / R&D and Technology 10
11 Lessons learned Broad competencies, knowledge & resources enable multidisciplinary How to react effectively on changing customer needs Availability of the best experts remains as a challenge More active role from academia in making conclusions is needed Application knowledge and real development stays inside the company How to speed-up development and lab work in general? Company partners Global firms Large firms SMEs Research partners Univ. in Finland and abroad VTT Kemira R&D, sales, sourcing, production SWEET Public sector TEKES Companies need research partners even in the future Heidi Fagerholm / R&D and Technology 11
12 THANK YOU!
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