• Journal of Information Science Theory and Practice
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• v.10 no.spc
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• pp.96-111
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• 2022

With the rapid development of the Fourth Industrial Revolution and digital transformation, scientific and technological innovation measures are being devised to overcome Korea's low-growth, high-cost structure. Accordingly, by examining the R&D investment evaluation system of R&D PIE (R&D Platform for Investment and Evaluation), which has been promoted by the Korean government in response to the Fourth Industrial Revolution, from the perspective of R&D transformation, this study aims to explore a new path for a sustainable national science and technology innovation system following digital transformation. In particular, from the perspective of R&D PIE, a MLP (Multi-level Perspective), which had been conducted as an abstract theoretical study, was attempted with specific cases and analysis for each of the three layers: niche, landscape, and regime. In conclusion, R&D PIE was intended to elevate the abstract R&D investment evaluation system to a platform that leads innovation in the digital space of the Fourth Industrial Revolution. In addition, it was confirmed that the R&D PIE could be replaced or enhanced as a platform for innovation in response to the Fourth Industrial Revolution, thereby providing an alternative to job creation and an escape from economic crisis.

• Journal of Technology Innovation
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• v.16 no.1
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• pp.191-213
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• 2008

This study investigates the effect of technology import and R&D investment on the value of the firm in Korea. The result shows that the technology import announcement effect of firms with a low R&D investment is higher than that of firms with a high R&D investment. The evidence suggests that technology import can substitute the existing R&D capability of the firm. In addition, the result shows that there is an optimal level of technology import and R&D investment to maximize the value of the firm. In particular, firms with a low R&D investment and a large amount of technology import experience the highest announcement effect. The study concludes that an adequate allocation of fim's capital between R&D investment and technology import is needed for firm's optimal technology strategy.

• International Journal of Quality Innovation
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• v.3 no.2
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• pp.29-37
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• 2002

This paper presents a framework for processing a structured approach of R&D investment. It presents nine steps to operate R&D investment from analysis of environment situation to review and feedback its activity. Also fundamental questions fur effective R&D management in business are discussed and after that critical eight success factors for R&D investment are discussed.

• Journal of the Korean Operations Research and Management Science Society
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• v.40 no.4
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• pp.19-33
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• 2015

Recently, interest in research and development (R&D) investment decisions have increased among Korean domestic enterprises. However, existing R&D investment studies only focused on government R&D investment policies while only a few studies investigated firm level R&D investment. Prior literatures also overlooked the feedback loop between R&D investment and firm performance. Therefore, this paper identifies a system dynamics model for R&D investment decision making in domestic electronics firms. The conceptual model is derived from R&D investment-related theories found in bodies of literature on company performance, enterprise activity, and market maturity. This study investigates the dynamic feedback between R&D activities and sales using the system dynamics model. In other words, the system dynamics model is used to explain the change in the closed feedback circulation structure in R&D investment activities including technology development, production process, and marketing that subsequently result in sales increase and re-investment into R&D from the generated revenues. There are two major results. First, a similar ratio of investment on technology development and production process derives the higher company sales. Second, regardless of market maturity, marketing investment ratio positively affects sales and R&D budget growth. This study provides a system dynamics model to find the optimal ratio for R&D investment and suggests managerial strategic implications on electronic firm R&D investment decision making under market maturity condition.

• Journal of Korea Technology Innovation Society
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• v.15 no.2
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• pp.277-298
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• 2012

Once a production focused on primary industry, Food, agriculture, forestry and fisheries industry is now trying to shed away and plans to totally transform the paradigm of agricultural R&D with a leaping goal towards being a new growth engine. Promoting the bioindustry through utilizing agricultural bioresources was selected as the primary task and also made all efforts to support by all government department and ministry. In this study, we are raised problems and planned the improvements by the empirical analysis of national R&D policy, investment strategy, the recent progress of R&D program, and the performance of R&D investment to achieve early commercialization in fields of agricultural bioresources utilizing. We also propose the R&D role sharing and cooperations of public/private sector to commercialize the agricultural bioresources from the comprehensive empirical analysis results. It will eventually strengthen the national R&D investment strategy and efficiency and then will contribute towards a successful early commercialization performance in bioindustry through utilizing agricultural bioresources.

• Transactions of the Korean hydrogen and new energy society
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• v.21 no.2
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• pp.143-148
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• 2010

Research and Development (R&D) investment of hydrogen and fuel cell, funded by government from 2007 to 2008 in Korea, has been analyzed. R&D investment of hydrogen and fuel cell in 2008 would see 9% and 29% of total budget in the field of renewable energy, respectively. It was found that R&D investment is mainly dependent on mission of Ministry in Korea. Basic and apply research would be mainly invested by Ministry of Education, Science and Technology (MEST), while development research would be conducted by Ministry of Knowledge Economy (MKE). In R&D investment by performer, hydrogen technology would be conducted by government-funded institute and university. It was also shown that funds for hydrogen production have been much supported than hydrogen storage. Meanwhile, fuel cell would be mainly conducted by major companies. It was also shown that funds for proton exchange membrane fuel cell (PEMFC) have been much invested than other technology in fuel cell.

• Korean Management Science Review
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• v.26 no.1
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• pp.37-51
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• 2009

Korean IT industry has been given much weight in national R&D management. A negative side of this fact is that Korean economy is likely to become vulnerable to a condition of the export business in certain items of IT industry which has a serious influence on the national economy. A customized investment strategy through the analysis of technology competitiveness and R&D status in each technology of IT field is required in order to rectify the structural vulnerability and pursue a continuous growth. In this research, a strategic direction to set up an efficient investment strategy is presented. In this process, it draws a portfolio analysis with two axes of technology level and technology life cycle. It also derives a priority order of the national investment considering the degree of technological impact, marketability, and adequacy of public support from AHP (Analytic Hierarchy Process) method by a survey of IT experts. A portfolio analysis in the prior stage helps the respondents in AHP become more familiar with the alternatives' characteristics so that their decision making process more corresponds with national R&D strategies.

• Proceedings of the Korean System Dynamics Society
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• 2004.02a
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• pp.19-52
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• 2004

This study aims to grasp invisible yet dynamic systemic structure that influences the general procedure of national R＆D investment system in Korea using "system dynamic methods and to suggest policy lever. Various conflicting situations, 'R＆D investment paradoxes' in myopia investment and principal-agent problems etc, arise when the government decides R＆D investment area and makes indispensable choice. Difficulty in the decision can be amplified due to misalignments among decision on adequate amount of R＆D investment ("strategic loop"), R＆D system ("structural loop") and acceptance and realization by R＆D laboratories and theirs researcher ("efficacy loop"). Results of modeling and simulation of korea national R＆D investment system with consideration of three causal loops show the switching pattern dynamically, in which form of technologies shifts from one to another stage like paradigm shift, when the R＆D investment reaches a certain stork. R＆D investment increases are directly not liked to R＆D productivities because of delays and side effects during transition periods between different stages of technology development. Thus, It is necessary to develope strategies in order to enhance efficiency of technological development process by perceiving the switching pattern.

• New & Renewable Energy
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• v.18 no.2
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• pp.26-39
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• 2022

Considering the recent substantial increase in national research and development (R&D) budgets in the energy sector there has been increased Interest in the effectiveness of government R&D investments. We conducted a case study to calculate the allowable scale and effectiveness of R&D investment by calculating the direct performance improvement effect resulting from R&D investment as an economic value. Using conditions that existed prior to R&D investments as a reference, five cases in which performance improved due to R&D investments were compared and analyzed. The government's financial investment is increasing rapidly in line with the establishment of the national hydrogen roadmap. R&D is needed to enhance the current low technology readiness level of hydrogen fuel cells compared to solar and wind energy fields. Therefore, an R&D project to improve the performance of the fuel cell system was selected as this case study's subject. Using the results in this study, the allowable level of investment in the task unit of national R&D projects could be calculated. Moreover, it is advisable to provide a standard for rational decision making for new R&D investments since it is possible to determine investment priorities among a large number of candidates.

• Proceedings of the Technology Innovation Conference
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• 2001.06a
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• pp.117-130
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• 2001

R&D is the core competence of an enterprise. Furthermore, R&D requires huge capital investment and has very risky characteristics. Therefore, to be successful in R&D process, several approaches of engineering economics are used prior to decision-making. Until now, typical approaches of engineering economics such as NPV(net present value) or DCF(Discounted cash flow) have been used. But, they cannot properly capture managerial flexibility to adapt and revise later decisions in response to unexpected market development. In a constantly changing and always uncertain marketplace, managerial operation flexibility and strategic adaptability have become vital in order to successfully capitalize on favorable future investment opportunities and limit losses from adverse market development. For the alternatives of conventional static decision-making approaches, new concept of using real options is introduced. Real option theory is based on financial option's characteristics and checks every revision interval whether situation have changed favorable to decision maker or not. In advantageous situation, the decision maker has only to go on. In contrast, with unfavorable situation, he abandons the investment immediately. In this aspect, real option model is more suitable in very uncertain and dynamic business environment in that it can provide the opportunity to cope with flexibility. This paper suggests efficient and effective R&D investment strategy by using real options model. In addition, this paper compares financial options and real options.