Microsoft spends a significant proportion of its revenue on research and development. It has more than 850 researchers operating in labs around the world.
Investing in R&D can be very valuable. It can create sustainable competitive advantages, especially if backed by IP protection like patents, and it can differentiate your products from your competitors’. It’s also a defensive measure that protects incumbents from the risk of being outflanked by innovative start-ups and rivals.
In fact, in a tough economic climate, it may be even more valuable. A McKinsey study of the 1990-91 recession found that companies that the companies which invested in R&D, acquisitions and advertising during the tough times emerged ahead of their competitors who cut back.
So, even if you can afford Microsoft’s R&D budget, how can you emulate their commitment to breakthrough research? Here are some suggestions:
To find out more about how Microsoft technology is supporting innovation in the Enterprise visit www.microsoft.com/en-gb/business/enterprise
By Matthew Stibbe, Microsoft Enterprise