What is R&D?

The Big Driver of innovation

What does it mean to be innovative? The key element is research and development (R&D).

R&D is a scientific investigation that explores the development of new goods and services, new inputs into production, new methods of producing goods and services, or new ways of operating and managing organizations.

"Research" aims to generate knowledge in the hopes that it will help create or improve a product, process or service. "Development" converts research findings or other knowledge into a new or improved product, process or service.

In concrete terms, R&D brings new knowledge and processes to Canadian businesses-- the new, higher value-added products, processes and services that Canada needs in order to thrive in a knowledge-intensive market. Innovative companies can offer skilled employment opportunities for Canada's knowledge workers.

Companies embarking on R&D projects need to adopt focused business strategies, obtain secure financing and undertake risk management.

This explains what R&D is. Next: Find out why R&D is important.