DRIVING EXCELLENCE IN INNOVATION - Ireland's leading non-profit, business-led, innovation network - IRDG
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2020
DRIVING
EXCELLENCE
IN INNOVATION
Ireland’s leading non-profit,
business-led, innovation network.
www.irdg.ie 1 @IRDGgroup
INNOVATION EXCELLENCE
INTO THE NEW DECADE
I
nnovation, from product through IRDG prides itself on being an open,
process to business innovation, has inclusive, collaborative community,
been a cornerstone of the country’s sharing insights, stories and experience.
strengthening economic performance It facilitates networking with companies
in recent years. This is evident in outside your normal area of expertise and
multinational and indigenous firms, start- industry sector. IRDG acts as the glue to
ups and the higher education sector, and enable shared learning and collaboration
is testament to strong investment by with a commercial focus.
both the business community and the
State over the past decade. Our community of members is diverse
across sectors, industries, location,
Ireland faces new and continued seniority and vastly different levels of
challenges in 2020. Sustainability is an innovation experience. Companies
increasingly important theme, alongside can leverage IRDG in different ways
global trade tensions, disruptive depending upon business needs at any
technology, future skills, taxation, point in time:
Brexit and competitiveness. Despite
these pressures there is an underlying 1• Work with us individually on topics
confidence that we are well placed of interest and relevance
to exploit the many opportunities for 2• Attend events to be kept up to For those who are considering
growth at home and abroad. date on the latest thinking or policy membership please contact the IRDG
matters team and we will be delighted to explain
Since its foundation in 1992, IRDG 3• Build your network to share insights the benefits and details.
has been an effective advocate for and experience which will grow your
industry research and innovation and capability As a business involved in Research,
has consistently played a key role in 4• Let us connect you across sectors to Development and Innovation, IRDG is a
representing the voice of industry to grow your business. unique community, full of potential and
government departments, bodies and openness to help you. Be part of it!
State agencies. This aspect of IRDG’s My message to our IRDG members
mission is as important as ever in 2020 is to embrace the opportunities for
and we will continue to advocate for engagement that our community offers –
greater investment, both public and ask questions, attend events, share your
private, in our Research, Development experience. Grow your own capacity and
& Innovation talent, expertise and network through IRDG. Denis Hayes
infrastructure. Managing Director, IRDG
Listening to and leveraging the
Over the 28 years of its existence IRDG experience of others can help you avoid
has become recognised as Ireland’s similar mistakes and reach optimum
IRDG IS...
leading business-led community of results without duplication of effort.
practice for collaboration and innovation.
UNIQUE INDEPENDENT WELL-RESPECTED COLLABORATIVE
The only non-profit industry Led by our Industry Board, Solid reputation for our All HEI’s are full members
group of its kind totally funded entirely through approach and industry facilitating direct engagement
focused on RD&I members subscriptions representation at State level with industry
CROSS-SECTORAL PROMOTING STATE ACTIVE UNDER BUILDING INNOVATION
MEMBERSHIP SUPPORTS 5 PILLARS CAPABILITY
300+ companies equally split Advising members and Representation, Funding & Pioneering Design Thinking and
between indigenous and FDI providing fora for agencies to Support, Innovation Networking, Lean Product Development
firms across all sectors engage with industry Collaboration & Learning
2
SERVICE TO MEMBERS
IRDG’S 5 PILLARS
REPRESENTATION FUNDING & INNOVATION COLLABORATION LEARNING
SUPPORT NETWORKING
Ultimately, everything we do is about Research, Development & Innovation…
DENIS HAYES MARY BYRNE
Managing Director Membership Development
denis.hayes@irdg.ie & Communications Manager
086 254 4473 mary.byrne@irdg.ie
087 650 1215
BERNADETTE MCGAHON LORRAINE O’FARRELL
Research & Innovation Accounts & Executive Assistant
Services Manager
lorraine.ofarrell@irdg.ie
bernadette.mcgahon@irdg.ie
01 237 4671
083 821 3177
DARRAGH GAFFNEY
Research & Innovation
Services Manager
darragh.gaffney@irdg.ie
087 347 3222
THE BOARD OF IRDG
IRDG IS AN INDEPENDENT, NON-PROFIT GROUP, GOVERNED BY
A BOARD OF DIRECTORS REPRESENTING A CROSS-SECTION OF
MEMBER COMPANIES.
IRDG CHAIRPERSON: DONAL TIERNEY, CEO, Bimeda Holdings
MUIRIS FLYNN, Technical Director, Glen Dimplex
ALDAGH MCDONOGH, CEO, Morgan McKinley
RICHARD STACK, Director, Tricel
SEAMUS LEDWITH, Senior Principal R&D Engineer, Medtronic Vascular
FRANK KENNEDY, Cadbury Ireland
SIOBHAN CAMPLISSON, Technical Director, Allergan
JOHN MCKEON, Co-Founder & CEO, Allergy Standards
THEA MURPHY, Managing Director, Silver Pail
LOUISE GRUBB, Co-Founder & CEO, TriviumVet
JOHN NEILAN, Director of New Ventures, Cook Ireland
3
THE VOICE OF INDUSTRY
INNOVATION
R
epresentation is IRDG’s primary pillar and, having developed a strong reputation over 28 years, IRDG is recognised as the
leading voice of industry when it comes to Research, Development and Innovation (RD&I). The organisation engages with
government departments, agencies and state bodies to drive forward the national innovation policy and operational agendas.
IRDG’s Representation occurs in a number of different ways:
1 2 3
By reaching out in a proactive way Through facilitated fora, IRDG brings As a recognised leading voice of
to Government, IRDG shares the together government departments industry, IRDG regularly contributes
collective positions of members on a and agencies with industry members to invitations by the Government on
variety of topics which are critical to to engage, connect and speak with the development of specific policies
the business Research & Innovation each other to progress key initiatives or guidelines in relation to Research,
community. and insights. Development & Innovation.
ENTERPRISE IDA DEPT. OF
DBEI KTI REVENUE
IRELAND IRELAND FINANCE
R&D TAX CREDITS
KNOWLEDGE
DEVELOPMENT BOX
R&D INCENTIVES
BREXIT
INNOVATION STRATEGY
TECHNOLOGY FORESIGHT
RESEARCH PRIORITISATION
COLLABORATION
KEY TOPICS WHICH ARE LIVE AND ACTIVE ON THE IRDG AGENDA INCLUDE:
• The 2019 Department of Finance review of the R&D Tax Credit Scheme and future
related policy decisions arising in 2020.
• Brexit and the imperative for increased RD&I activity and support.
• Digital Strategy, Industry 4.0, Future Skills & Jobs, Technology Foresight and other
such strategic Department of Business, Enterprise and Innovation (DBEI) initiatives
which aim to understand future trends and ensure national readiness for Ireland.
• Design Strategy via participation in the National Design Forum.
• The continued development and rollout of the Disruptive Technologies Innovation
Fund (DTIF).
• Revenue R&D Tax Credit Discussion Group.
• Development of successor to Innovation 2020, the National Strategy for Research
& Innovation.
• Horizon Europe - the successor programme to H2020.
• The Knowledge Development Box Review 2020.
• Knowledge Transfer and Intellectual Property issues in industry.
• Programmes and supports for industry RD&I available via the key agencies: IDA
Ireland, Enterprise Ireland, Údarás na Gaeltachta and Science Foundation Ireland.
• ISO Innovation Management standard through NSAI.
• National Strategy on Artificial Intelligence.
Overall, IRDG is a conduit for channelling lots of ideas and conversation to / from our
members and the key national policy makers and implementors. IRDG is recognised
as a key, constructive, stakeholder and our continued membership growth adds to our
strength of voice.
With diverse and bright-minded opinions from our unique cross-sectoral membership,
we can ensure a creative collaboration and exchange of ideas in order to navigate the
future purposefully and skilfully. Members inputs are always welcome on any topics.
4
IRDG PILLAR: REPRESENTATION
DISRUPTIVE TECHNOLOGY INNOVATION FUND (DTIF) EXPERT GROUP ON
FUTURE SKILLS NEEDS
T
he Disruptive Technologies Discussions and recommendations
A
Innovation Fund is a €500 million centred around effective communications, s Ireland approaches full
fund established under Project intellectual property, partner companies, employment making sure
Ireland 2040. With applicants from sectors increasing the attractiveness for SMEs and Irish workers have the skills
including Manufacturing, ICT, Health feedback on applications. that enterprise needs matters more
and Food in the first round (2018), the than ever. Increasingly Ireland is
Department of Business, Enterprise and The second set of successful projects competing globally on the basis of
Innovation (DBEI) was keen to gauge the were announced in late 2019. Several talent and on a growing reputation
industry sentiment. IRDG industry members were amongst for innovation. Hence a focus on
the 16 teams that will share €65 million in skills has become a central tenet of
DBEI invited an IRDG delegation to a funding. We wish every success to Aerogen, the Government’s future strategy.
consultative workshop to understand Fotonation, Gentian Services, Mastercard
the experiences of first-round applicants and Teleflex. The IRDG executive and member
and identify what changes could be companies have been involved
implemented ahead of round 2. Over (IRDG members successful in the 2018 call through interviews and workshops
20 IRDG members from large and small included Intel, Curran Scientific, Design with the Expert Group on
companies took part. Partners, Henkel, Janssen, Stryker and Future Skills Needs (EGFSN), an
Carbery.) independent, non-statutory body set
up by Government.
One area of focus for the EGFSN is a
study on Design Skills in Ireland. Due
for publication in 2020, the outcome
of their research will determine if
there is a gap between the supply
R&D TAX CREDITS and demand of design skills in
enterprise and recommend actions
to bridge any gaps.
A
t the IRDG R&D Tax Credits Policy Department of Finance. One delegation
& Operations Seminar in February consisted of SME’s and the second
2019, the Department of Finance consisted of larger member companies,
announced the review of the R&D Tax in order to facilitate a more targeted
Credit Scheme which was completed discussion around their respective
during the year. perspectives.
R&D Tax Credits are worth an estimated In addition, IRDG made a written
€700m per annum to Irish businesses, submission containing the summary views
and are a significant incentive for many of all members who contributed.
companies doing RD&I. Such a review
is undertaken every 3 years, to ensure The detail of the review will be available ENTERPRISE IRELAND’S
ongoing value to the exchequer and tax throughout 2020, and we expect ongoing NEW STRATEGY FOR
payer from the credit. discussions and adjustments to the RESEARCH & INNOVATION
scheme as the outputs from the review are
During the consultation period, two considered and implemented.
A
delegations from IRDG met with the n opportunity for IRDG
members to contribute to
Enterprise Ireland’s new
strategy for research and innovation
was very welcome in 2019. A joint
consultative workshop involving over
20 member companies took place
between senior Enterprise Ireland
representatives and business leaders
REVENUE COMMISSIONERS DISCUSSION GROUP from across a variety of sectors.
Open discussions were had around
the existing policies and programmes
I
RDG continues to work closely with the Revenue initiative and involving a number Enterprise Ireland has for business,
Revenue Commissioners in developing of key member companies, has submitted to determine where there are
sector-specific guidance around the worked examples to Revenue, and will opportunities for improvement and
R&D Tax Credit. This has started with the see through to conclusion with Revenue. versatility to support overall business
Food & Beverage sector. The IRDG Food Other sectors will be invited to participate and economic success.
Working Group, set up in response to this as the initiative is rolled out.
5
INNOVATION SUPPORTS - IF IN DOUBT, SHOUT
WE HAVE THE EXPERTISE TO ADVISE & GUIDE YOU
EI/IDA/Údarás na Gaeltachta
• Disruptive Technologies Innovation
Fund
• Enterprise Ireland GradStart • RD&I Grant
• InterTradeIreland Fusion • Technical Feasibility/Exploring
Programme Innovation Grant
• Irish Research Council • Intellectual Property Strategy Grant
Employment Based Programme EU
• Irish Research Council • Eurostars
Enterprise Partnership Scheme • EIC Accelerator Pilot (formerly SME
• Science Foundation Ireland Instrument)
Industry Fellowship • Fast Track Innovation
• EU H2020 Marie Skłodowska- R
GR D&
Curie Actions AN I
S
C ES LLS TS
I
AC I SK
&
RD
N
RD&I INN SINESS
TIO
PERFORMER OVA • EI Business
COL UPPOR
Innovation Grant
© IRDG 2020
BU
• EI Capital
LAB
S
• Disruptive Technologies Investment Initiative
Innovation Fund • IDA Business Asset
ORA S
• Innovation Vouchers Grant
TIO
T
• Innovation Partnerships TAX • EI Small Business
• Science Foundation Ireland INCENTIVES Innovation Research
N
Spokes Programme
• Science Foundation Ireland
Strategic Partnerships
• EU H2020 Collaboration
Projects
• EU Eurostars
• EU Fast Track Innovation • R&D Tax Credits
• Knowledge Development Box
• Capital Allowance for Intangible Assets
NEED HELP?
When looking into grant funding, it’s not unusual to become grant applications. They have built up a picture of what a good
confused about the most relevant option to support the R&D application looks like and understand the content required to
you want to do. meet expectations. They also understand the technical and
commercial assessments undertaken and can help navigate the
Often the language of funders doesn’t align with that used in process, saving you time and energy.
business and anticipating the funders expectations can be
fraught with uncertainty. This is where IRDG can help. If grant funding is on your agenda for 2020, please get in touch
for a conversation on how we can help.
Assistance is available in the form of experienced sector
specific experts who are regularly assisting companies with
6
IRDG PILLAR: FUNDING & SUPPORT
R&D TAX CREDITS
BE CLAIM READY FOR 2020
T
he R&D Tax Credit scheme is designed as an incentive for SMEs and large companies to invest in Research & Development.
It offers a vital means to develop new products and processes, cut costs and improve cash flow, whilst keeping ahead of the
competition. Keeping up to date with the changes to the scheme is essential to ensure an optimised and compliant claim.
BUDGET 2020
Budget 2020 set out a series of changes, including the following. ( Note that these rules are now in effect, and will apply for the
2020 period. )
• For micro and small companies • Companies must notify subcontractors “in advance of, or
- Rate of credit increased from 25% to 30% on the date the payment is made” where they might be
- Payable credit limit increased to twice the payroll liabilities claiming the R&D tax credit on that payment.
- Relief available for pre-trading expenditure. • R&D expenditure is net of grant funding
• Cap on subcontracting to third level institutions increased - Grants funded by any Member State and/or EU must be
to 15% deducted.
- Available to all claimants • Losses or credits cannot shelter any clawbacks.
- Comes in line with outsourcing to third parties. • Only one relief can be claimed in respect of capital
• Application of penalties on R&D tax credit overclaims expenditure on buildings or structures.
aligned with other credit overclaims.
FUTURE CHANGES TO R&D TAX CREDIT SCHEME
The October 2019 review by the Organisation for Economic Co-Operation and Development (OECD) of Ireland’s SME and
Entrepreneurship Policy came as a timely reminder that greater State support for SMEs is required to keep pace with foreign-owned
counterparts. Amongst the many recommendations in the report, those relevant to the R&D tax credit scheme include:
• Smaller enterprises would gain from a reduction in the • Adapt the R&D tax credit instrument to encourage
administrative burden of the scheme, less stringent audits innovation collaborations by SMEs by increasing the share of
and clear guidelines on how to file a claim. subsidies that flow to smaller firms involved in outsourcing
• Reduce the record keeping requirements for firms accessing R&D tasks to research and technology organisations.
the credits from four years to three years. • Introduce a pre-approval procedure for R&D tax credits.
The next step for the Dept. of Business, Enterprise and Innovation is to publish its own strategy that meets the targets for all 11
actions set out in the OECD’s Review. The 2019 Dept. of Finance R&D Tax Credit review also sought inputs on improving the current
system to make it more attractive to SMEs. The output of this work will be published during 2020.
EVOLVING REVENUE GUIDELINES
The R&D Tax Credit scheme is administered by the Office of the Revenue Commissioners, which issued its latest guidelines during
2019. Although not legislation, the guidelines provide useful insights into Revenue’s present thinking on key issues relating to the
R&D Tax Credit. There are 14 changes compared to the previous guidelines published in April 2015. Some of these are minor and
constitute clarification on existing practice. Other notable revisions cover:
• Inclusion of a template file layout to support an R&D claim • Materials used in R&D activities, which may be subsequently
• Examples of qualifying R&D in the Biopharma and Generic sold
Pharma industry • Clarification on the treatment of seconded employees.
• Eligibility to claim for sub-contracted R&D activity
Any further changes to the scheme emerging from the Dept. of Finance R&D Tax Credit Review or the OCED Review will be
reflected by Revenue in updates to the guidelines. Members can be kept informed of changes by attending the many nationwide
R&D Tax Credit Clinics during the year.
7
ACHIEVING GLOBAL INNOVATION
THROUGH LOCAL R&D ECOSYSTEMS
FINTAN O’MALLEY 1 9 9 6
FIDELITY
Director, RD&I, IRELAND 1000+
Fidelity Investments Ireland EMPLOYEES
T EN
U S PAT E N TS
FIRST ACROSS FROM FIDELITY
GLOBAL DUBLIN IRELAND
S I T E &GALWAY INVE N TOR S
F
idelity Investments is a diversified financial services
company based in Boston with a global presence.
Fidelity’s mission is to inspire better futures and deliver
better outcomes for the customers and businesses we serve.
With assets under administration of $8.2 trillion as of
November 30, 2019, we focus on meeting the unique needs
of a diverse set of customers: helping more than 30 million
people invest their own life savings, 22,000 businesses
manage employee benefit programs, as well as providing
more than 13,500 financial advisory firms with investment
and technology solutions to invest their own clients’ money.
Fidelity Ireland wins the 2019
We are more than a financial services firm - we are innovators, Invest in Ireland Use of R&D Gold Award
a market leader in defining investment strategies and pioneers
in developing cutting-edge technology solutions. Our work at
Fidelity Ireland is critical to the global organization, delivering
essential technology, operations and support services.
Ireland’s Innovation 2020 strategy, supporting the new
generation of emerging technology opportunities, has been
a significant contributor to Fidelity Investments doubling
its technology footprint in Dublin and Galway in the past six
years.
Through support from the IDA and various Government R&D
incentives, Fidelity Ireland has grown its capabilities across
multiple domains including Enterprise Cloud Computing, Exploring ideas and potential at Fidelity’s
Cybersecurity, Asset Management, Brokerage Technology, European Innovation Lab
and more recently, our new Digital Assets organization. Our
Dublin office in Citywest is also home to Fidelity’s European
Innovation Lab.
With support from Enterprise Ireland (EI) and Science
Foundation Ireland (SFI), we partner with universities and
research centres to achieve break-through innovations for
global application. A recent co-authored paper on the work
Fidelity and Insight/NUIG conducted in the area of NLP was
awarded top 3 paper in the 2019 International Semantics
Conference in Germany and in recognition of our work with
the Irish academic R&D ecosystem, Fidelity Ireland was Fintan sharing experiences and insights at IRDG’s
awarded the Invest in Ireland “Use of R&D” Gold Award 2019. Funding & Collaboration for Business Innovation event
8
IRDG PILLAR: FUNDING & SUPPORT
MAXIMISING FUNDING OPPORTUNITIES
TO SUPPORT INNOVATION
ROADMAP DELIVERABLES
SHARON DAVIN
R&D Grants Manager,
APC Ltd.
A
PC specialises in integrating innovative process
performance across a medicine’s life cycle, from
early phase development to manufacturing support.
Serving the needs of the global biopharma sector, our primary APC win Innovation of the Year
objective is to design, develop and optimise robust, scalable in the 2019 Pharma Awards
and transferable processes to ensure an efficient, safe and
secure supply of medicines for clients’ patients. With a new
state-of-the-art research facility at Cherrywood, the APC
team of world-class bio/process engineers, process and
analytical chemists, modelling engineers and life scientists
deliver excellence across a wide range of process challenges
and APC’s own R&D and Innovation roadmap.
At APC, we identify immediate, near-term and longer-term
innovation deliverables within our roadmap, ranging from 12
months to 2+ years.
IMMEDIATE TERM:
For immediate term goals and sensitive, proprietary Brian Glennon, APC; Mary Byrne, IRDG;
technology, this activity is performed in-house by our own Sharon Davin, APC and Denis Hayes, IRDG
subject matter experts and resourced with internal funds.
NEAR - LONG TERM: In addition, as an industry partner in national technology
To realise our near-term and longer-term innovation and research centres, such as the Synthesis and Solid State
deliverables, APC strategically targets national and EU Pharmaceutical Centre (SSPC) and the Pharmaceutical
funding to support these activities. These programmes Manufacturing Technology Centre (PMTC) at the University of
help to ring-fence innovation activity within the company Limerick, APC can access talent, relevant and applied research
by bringing in excellent research staff and access to programmes and a wider international network of excellence.
new technology; effectively reducing the risk and cost
associated with longer-term RD&I goals – a critical issue The importance of the R&D Tax Credit also cannot be understated
for us as an SME. for APC. It has underpinned the development of our new RD&I
facility and the recruitment of world-class R&D scientists and
SCHEMES ACCESSED INCLUDE: engineers in Ireland from both a national and international skills
• Large R&D Grant and Innovation Partnership funding base.
with Enterprise Ireland to deliver new platform services
• Direct access to skilled researchers through the Irish Our facility infrastructure is relatively mobile, as indeed are a
Research Council PhD programmes substantial number of our key R&D employees. Leveraging the
• Science Foundation Ireland’s Industry Fellowship full scope of State and EU incentives is helping APC anchor
programme core RD&I activity in Ireland, pioneer innovative solutions and
• Horizon 2020 MSCA and other European research increasingly become the partner of choice for the world’s leading
programmes. pharma and biotech firms.
9
SETTING THE STANDARD
FOR INNOVATION SERIES
I
nnovation is the most challenging management discipline of into all the layers of an organisation. It offers best practice,
them all, and the skills and traits needed are not typically part procedures and guidance that provide a general, guiding
of the regular management repertoire i.e., developing deep framework for the successful implementation, maintenance, and
customer insights rather than relying on market reports; taking continual improvement of an innovation management system.
stepped funding decisions based on assumptions rather than
proven facts; running small experiments to verify hypotheses ISO 56002, Innovation Management System, published in July
rather than launching into costly project programs. 2019 covers all aspects of innovation management, from how
to generate initial ideas, right through to selling something
The new ISO 56000 series of guidance standards on innovation new in the marketplace. It considers seven elements including
management breaks new ground to enable organisations of all context, leadership, planning, support, operations, evaluation,
sizes navigate a systems approach to integrating innovation and improvement.
INNOVATION MANAGEMENT SYSTEM
Context of the organisation
Leadership
Operations
INTENT (innovation processes)
VALUE
Support
Planning Evaluation
Improvement
Source: innovationmanagementsystem.com
The benefits of implementing a process aligned to the ISO Innovation Management System will impact every part of your business
model, your people and processes, including
Increased ability to manage uncertainty; Sustained renewal of the portfolio of offerings;
Increased growth, revenues, profitability, and Engaged and empowered people in the organisation;
competitiveness; Increased ability to attract partners, collaborators, and
Improved common understanding and language within an funding;
organisation; Enhanced reputation and valuation of the organisation;
Reduced costs and waste, and increased productivity and Improved ability to understand other organisation’s ability
resource efficiency; to innovate;
Improved sustainability and resilience; Facilitated compliance with regulations and other relevant
Increased satisfaction of users, customers, citizens, and requirements.
other interested parties;
Ultimately, it will give your organisation first-mover advantage, safeguard your future while boosting positive returns on innovation
investments, and allow you to successfully operationalise innovation management as a core competency.
Further details on the standards are available at the National Standards Authority of Ireland.
OTHER COMPLEMENTARY DOCUMENTS IN THE ISO 56000 SERIES INCLUDE:
ISO 56000 ISO 56003 ISO 56003
Fundamentals and vocabulary Innovation partnerships Innovation Management Assessment
ISO 56004 ISO 56005 ISO 56007
Intellectual property management Strategic intelligence management Idea management
10IRDG PILLAR: INNOVATION NETWORKING
INNOVATION PRACTICE GROUPS
BE WHERE INNOVATION HAPPENS
W
e’ve had superb INNOVATION PRACTICE GROUP VISITS 2019
innovation visits in
the past to companies
including Microsoft, Medtronic,
Trinity College Dublin, SAP,
Keenan Systems, Irish Distillers,
Glen Dimplex, Wisetek, ding*,
EirGen, Bord na Móna, An Post,
Alltech, Intel Labs, Silver Hill
Foods, Dairymaster, Henkel, Kerry
Group, Helsinn, APC, ESB and
Analog Devices.
Focused on learning, generating
knowledge and building capability,
IRDG’s Innovation Practice
Groups cover key innovation
themes: ideation, implementation,
collaboration, networking,
leadership and value creation.
Everyone loves to learn from the
Source: Moodi Mahmoudi at Design Thinking Ireland
experience of their peers, and
these members generously share
where they have gained and lost so that others don’t have to reinvent
the wheel.
Being exposed to life in different sectors and companies is an enlightening
experience, which members really value. In addition, the more intimate
group setting facilitates really valuable engagement, discussion and
networking.
Networking is not about just connecting people. It’s about connecting
people with people, people with ideas, and people with opportunities.
And going by the statistic above, with so many companies seeking to
improve how they ‘do’ their innovation, it’s no surprise our Innovation
Practice Group visits are so popular.
SOME 2020 VISITS PLANNED:
If your business would like to host an Innovation Practice Group at some
time in the future please do come talk to us.
“It makes me wonder how they do it but IRDG keeps opening up these
NOEL CARR wonderful opportunities for us to visit leading companies such as Microsoft,
Managing Director Kerry Group, Dairymaster and Analog Devices. Getting direct access to their
Centres of Excellence for R&D and hearing about the latest developments from
their Innovation leaders is both inspirational and educational. Through these
visits I have also made very important business connections with people from
all sectors. Every single one we have attended has been invaluable to us”.
11MEMBERS
QUESTION TIME
One of the huge advantages of the diverse membership base of IRDG is
the range of knowledge, experiences and connections that people have.
Tapping into all that collective insight and putting it to good use comes
regularly when we share challenges members need help with.
In recent times we issued over 30 questions, resulting in over 350
suggestions and ideas. The MQT page on our website hosts an up-to- Company Name
date list of questions. Members are welcome to request a copy of the
report generated for any question, and very much encouraged to put
forward their own challenges at any time.
1 OUR CHALLENGE: First-time collaborator – Finding a research partner
Archway is an SME that designs and manufactures road repair equipment in Co. Leitrim.
We’ve developed specialised equipment with several patented features for spray
injection patching. This process involves a precisely controlled mixture of aggregate and
bitumen emulsion that’s simultaneously pre-mixed and sprayed into road potholes. It’s
more efficient and sustainable than traditional forms of patching.
Spray injection patching is a relatively new area, however understanding the chemistry
DONAL MCNAMEE is challenging. We needed to evaluate the properties of the materials to identify the
Managing Director, optimum and edge conditions, so we had the right mix at the right time. A literature
Archway Products search yielded nothing so we knew we needed to find an academic partner and conduct
our own research.
As we had no knowledge of relevant researchers in Ireland, we turned to IRDG who
circulated our challenge to the academic institutions. We were delighted with the
response which identified several key researchers with the expertise we were looking
for.
Brexit is demanding our attention presently, but we will soon begin the process of
choosing our partner. This will be a new experience for Archway and we look forward
to collaborating to deliver the outcome of a gold-standard operating procedure for the
spray injection patching process. This will keep us at the forefront of the market, and
meeting the needs of key customers such as the Department of Transport UK.
2 OUR CHALLENGE: Facilitating innovation and operational excellence at the same time
The business was facing key questions. How do you balance innovation, delivery of
a product and ultimately speed to market? How do you facilitate innovation and
operational excellence at the same time?
One of the key elements of Aviareto’s strategy is customer responsiveness: ensuring
we meet our Service Level Agreement. Our goal was to be more innovative, but we had
concerns around negatively impacting on our core element of operational excellence.
CLARE KELLY
Operations Manager, We had reviewed research and papers from the likes of MIT, Harvard Business Review,
Aviareto academic publications and so on. All were helpful, but we lacked the real-world stories
from the coalface; direct experience of others who had been in this situation before.
We shared our question with the IRDG members and were thrilled with both the quality
and quantity of insights received. We discovered some real golden nuggets whilst also
being comforted that we weren’t the only company with these challenges! We’re now
on a journey of evaluation, and have been trialling many of the ideas over recent months
to see how they fit with us.
As we learn what suits us best, we look forward to reaching out to engage with the
relevant respondents to share experiences and delve deeper. We’re immensely grateful
to all who replied, and would encourage others to engage with the MQT facility to both
contribute to and leverage the power of the network.
12IRDG PILLAR: INNOVATION NETWORKING
3 OUR CHALLENGE: Digital transformation of Irish Pressings’ production management processes
Irish Pressings’ Quality and Production Management processes are one of our core
strengths in providing the highest level of quality assurance to our customers. Critical
to these processes is our product-specific “black folders” which contain all relevant job
information including H&S checks, tool-setup, operator instructions, QC inspections, etc.
However, manual creation and maintenance of these folders has become an ever-
increasing demand on resources and with the company on a significant growth trajectory
BEN MCGONAGLE – including recent approval as a Tier 1 supplier to Jaguar Land Rover - the imperative to
Risk Analysis & Business modernise our processes was upon us.
Planning, Irish Pressings
Our research into possible solutions for modernising continually led to “off-the-shelf”
packages which we knew would not fit our unique production processes and so more in
a last-ditch effort of hope than expectation we decided to try the MQT route.
Sceptical about whether we would receive any responses we were genuinely amazed
- and incredibly grateful - for the insights that were shared with us. Having shortlisted
solutions of interest we are now embarking on a project with Adrian de Cléir and Mark
O’Sullivan at Cartolytics (recommended by IRDG member iQuTech) whom we would
never have found without the MQT facility.
“Black folders” will now be history. Real-time tablets, finger-print IDs, data analysis and
visualisation are now on the cards for us. Workplans are currently being finalised and –
thanks to the MQT - we are ready to embark on an absolutely transformative project for
Irish Pressings in 2020.
Thank You to all who Contribute!
A SELECTION OF MEMBERS’ CHALLENGES
SHARED IN RECENT TIMES
Packaging design to Implementing product Flexing communications Vendor Management
maintain temperature transfers into existing with a live chat solution Inventory - pricing & cost-
during shipping? business? on website? to-serve models?
Packaging materials Experience of bringing Sourcing an engineering Unique Device
- lessons from green company through Agile / fabrication company for Identification system for
industry leaders? transformation? manufacture? medical devices?
Restructuring a SCADA for waste water Collaborative Robotics Unlimited annual leave
performance appraisal treatment plant? use in Operations? policy?
system?
Single-board computers Marketing strategies for Robust Process Development
to deliver image business model changing Engineering early in Product
processing services? to cloud service provider? Development cycle?
13THE BIG QUESTION
THE BUSINESS VALUE OF DESIGN
T
he elusive question for many leaders comes down to the
potential contribution of design to business performance. We all know examples of bad product and service
Where is the evidence that investment in the talent, design. The USB plug (always lucky on the third try).
skills and culture change needed to facilitate a design thinking The experience of rushing to make your connecting
approach is more than just a nice-to-have? Apart from intuition, flight at many airports. The exhaust port on the Death
anecdotal evidence and some high-profile cases, this question Star in Star Wars. We also all know iconic designs,
has been a difficult one to answer quantitatively for the majority such as the Swiss Army Knife, the humble Google
of companies. home page, or the Disneyland visitor experience. All
of these are constant reminders of the way strong
To test the correlation between good design and good business, design can be at the heart of both disruptive and
McKinsey & Company undertook a global study of over 300 sustained commercial success in physical, service, and
publicly listed companies over a five-year period in multiple digital settings.
countries and industries. They interviewed senior business
and design leaders, collecting more than two million pieces of The Business Value of Design, McKinsey & Company
financial data and recording more than 100,000 design actions.
+56%
To interpret it, they devised the McKinsey Design Index (MDI), +32%
a single score which rates companies by how strong they are at Top-quartile
design and how that links up with the financial performance of McKinsey Design then their
each company. Index performers industry peers
generated over five years.
Revenue Total Return to
Shareholders
R
akhi Rajani, Foresight, Futures and These were impressive scores and really did
Innovation - Associate Partner, Design demonstrate that design can make a significant
+ Innovation at McKinsey & Company contribution to business.
shared the results of this study with us at Design
Thinking Ireland. What they found was that the Understanding exactly how the companies in the
companies in the top quartile of the MDI score top quartile unlocked that business value came
outperformed all other companies, generating down to studying the four clusters of design
32% more revenue, and 56% more in terms of actions that showed the most correlation with
total return to shareholders as opposed to their improved financial performance. These were the
industry peers over the 5-year period. key elements:
1 DESIGN IS MORE THAN A FEELING. IT’S ABOUT ANALYTICAL LEADERSHIP.
Design is a top-management issue, and design performance is assessed with the same rigor used to track revenues and costs
across all other functions.
2 DESIGN IS MORE THAN A DEPARTMENT. IT’S ABOUT CROSS-FUNCTIONAL TALENT.
Designers are part of all functions in the business, and are not just housed away in a siloed department. Design skills and
talents are proactively integrated with all knowledge sets across the business to bring a user-centric culture to all areas.
Hence it is seen as a responsibility, and natural behaviour, of all employees.
3 DESIGN IS MORE THAN A PRODUCT. IT’S ABOUT A SEAMLESS USER EXPERIENCE.
Leading companies capitalise on all user insights to embrace the full user experience, breaking down internal barriers among
physical, digital, and service design. They recognise that you cannot have a seamless front end if you have a siloed back end.
4 DESIGN IS MORE THAN A PHASE. IT’S ABOUT CONTINUOUS ITERATION.
The opportunity to de-risk development by continually listening, testing and iterating with end users is a vital part of the
innovation process. Ultimately, design in these companies plays a role from strategy to product launch to post launch.
14IRDG PILLAR: LEARNING
THE DESIGN & IMPLEMENTATION
OF SUCCESSFUL SERVICES
With the rise of digitalisation, the service industry has become more and more important.
Currently, services make up roughly 70 percent of many Western European countries’
GDP’s.
Service Design is a discipline that focuses on the design and implementation of successful
services. In essence, it is applied Design Thinking in the specific context of service
innovation. It has user-centricity as a core value. Qualitative user research, working with
MANUEL GRO MANN personas and user journeys as well as prototyping and iterations are common practices
in the discipline. Whereas Design Thinking is often used in the context of creating new
Service Designer & product ideas itself, Service Design goes beyond that.
Co-Founder, Fuxblau (Berlin)
Service Design looks at the entire ecosystem and includes the road to implementation,
the stakeholder management and the business model design. Out of the various tools
used in the discipline, the service blueprint is one of the core tools.
A service blueprint helps to analyse and visualise complex business processes. It describes
the ideal user journey from a user’s perspective, breaks down the channels with which
users interact and also plans the backstage processes (usually invisible to customers) that
need to be in place in order to deliver the service successfully.
Service Design is applied in fields like mobility, health, hospitality and financial services.
It helps to break down the complexity of a service system and to implement innovations
sooner rather than later. Hence, people and organisations that are building or redesigning
a (digital) service can benefit from the holistic approach of Service Design.
DISCOVER, DEVELOP AND DELIVER
BREAKTHROUGHS
IRDG has been championing design thinking as an approach to support business innovation for
many years, and has a number of established activities in this area. We host:
DESIGN THINKING DESIGN THINKING IN- DESIGN THINKING SHARED
4-DAY PROGRAMME DEPTH WORKSHOPS INTEREST GROUPS
A fantastic introduction to Delivered in conjunction with Specifically for industry people
design thinking covering expert partners, these cover who are implementing design
the mindset, processes and topics such as Service Design, thinking in their companies,
benefits. It’s a learning by Implementing Everyday Design SIGs facilitate members to share
doing experience for teams of Thinking, Leading Human experiences, challenges and
2-4 people from a company. Centred Innovation in your successes and learn from each
Business and more. other. Hosts include:
DESIGN THINKING IRELAND 2020
24TH & 25TH JUNE – CROKE PARK, DUBLIN
Ireland’s 7th National Design Thinking Conference
followed by Immersive Workshops
WWW.DESIGNTHINKINGIRELAND.IE
15RIGHT PROJECTS,
INNOVATION EFFICIENCY
& SPEED TO MARKET
LEAN PRODUCT DEVELOPMENT
The rate of change and pace of innovation in today’s markets dictate that companies
must continuously deliver value to customers or risk falling behind the competition.
Efficiently and effectively developing those value-added products, services and
solutions requires a solid process for innovation. One that can cope with the degree of
unknowns, uncertainties and undefined requirements of the main users, consumers,
customers and stakeholders.
IRDG has been promoting Lean Product Development (LPD) for a number of years as
the engine for consistent innovation. Our LPD approach is unique. Designed for an
Irish audience by our expert team, in collaboration with Ron Mascitelli (global LPD
thought-leader), it integrates practical tools and techniques into a set of events that
can be applied safely into any existing Stage Gate or Agile process, in any sector.
People - Culture & Behaviour - Strategy for Mindset Change
Front End Market
Requirements
PICKING THE
Pat Lawlor, CIRCA (facilitator); Bernie McGahon, IRDG; Sean McNulty, Dolmen PROJECT
(facilitator); Denis Hayes, IRDG; Shane Hughes, Lean Unlimited (facilitator) and
Tony Duddy, Memjet (industry LPD practitioner & expert)
Addressing topics such as front-end discovery, culture & behaviours, project Accelerating Product
management, resource management, risk management and knowledge sharing, this Development
approach will introduce game changers into your existing process:
INTEGRATION
PLANNING THE
• #1 Big Change: a front-end discovery framework to support the identification PROJECT
and selection of winning ideas for your business and customers.
• #2 Big Change: techniques to maximise your valuable R&D resources to
successfully design, develop and deliver significantly greater customer value and Lean PD &
financial returns. Organisation
• #3 Big Change: guidance on key aspects such as governance and product EXECUTING
development events to accelerate your new product development pipeline, THE PROJECT
delivering up to 30% faster time to market.
• #4 Big Change: a team with a changing mindset, approach to issues and
problems, habits and behaviours that over time will reinvigorate the culture
within your business.
Companies can participate
The LPD approach can easily be scaled to your company’s size and is being in a programme with us, or
implemented in companies of all sizes and sectors. Approved for funding support engage us to do in-house
by Enterprise Ireland, Údarás na Gaeltachta and IDA Ireland, this practical & proven work in this area. Get in
programme is already adding real value for companies. If you are looking to build a touch if you would like to
structured new development process, to critique and improve an existing process or hear more.
to train development teams on best practices, this programme is for you.
16IRDG PILLAR: LEARNING
SILVER PAIL: ACHIEVING A FIT FOR PURPOSE LEAN NPD PROCESS
FAMILY OWNED AND MANAGED ICE CREAM MANUFACTURER SUPPLYING GLOBAL
MARKETS
With shorter life cycles, increasing demands for greater product variety, opportunities and
issues around raw materials and compliance, our New Product Development (NPD) team
is continually challenged to improve the development and introduction of new products.
Contending with issues around voice of the customer, project control, process integration
THEA MURPHY etc we participated in the IRDG 4-day Lean Product Development (LPD) programme to bring
greater structure and discipline to our NPD process.
Managing Director,
Silver Pail In getting to the ideal NPD process, we drew on the LPD approach and tools to support
our own planning and execution processes. The business brief has now been adopted.
This gathers all cross functional information required to understand opportunities and
ensures ownership and accountability is clearly understood. These are reviewed at monthly
management meetings with only approved projects moving to the execution phase. We’ve
also implemented an agile approach to managing projects. An Excel standard checklist is used
for smaller projects and project boards for larger ones. This hybrid model is a tailored, lean
approach adopted as a best fit for the business.
The business has seen the benefits of these changes. Better commercial decisions are being
made earlier in the product development process, allowing resources to be targeted at more
strategic or higher yielding projects. Our employees too have embraced the changes with
enhanced communication and cooperation across all functions.
The LPD programme has provided a foundation for Silver Pail to transform itself into a high-
performance company, ensuring we stay ahead of our competitors and continue to add value
to our customers’ expectations. We would strongly recommend IRDG members to explore
the benefits of LPD.
MINTEQ: PROGRESSING A LEAN ORGANISATION
GLOBAL REFRACTORY LEADER PROVIDING MATERIALS, SYSTEMS AND
TECHNOLOGIES TO THE STEEL INDUSTRY
An early introduction to Lean Product Development (LPD) following a workshop at an AME
Conference saw the Minteq team implement some of the LPD tools in the R&D laboratory
in Cork. Visual workflow management and stand up meetings were easy, early wins, but in
isolation, did not bring the desired enhanced efficiency to the innovation process.
ANDREW MCCORMACK
We participated in the IRDG LPD programme to gain fresh insight into the overall process
Technical Director EMEAI, and how it could be effectively implemented. The programme offered us a disciplined,
MINTEQ structured approach to better understand how to identify customers’ unspoken needs and
(A Minerals Technologies Company)
desired outcomes. A key objective was to partner with customers to manage complexity
within projects and to accelerate the new product development pipeline.
The front-end, customer discovery piece was a real game-changer for us. In the past, reacting
to specific requests from the sales team or customer feedback was the main driver for
development & innovation. However, by embedding a more in-depth approach to capturing
the Voice of the Customer into our process, it has facilitated a greater understanding of our
customers’ pain points, unmet and unspoken needs. This has enabled us to more closely map
out our customers’ journey with our product development and evolution, identifying multiple
solutions which benefit the customer and Minteq. Adopting this structured approach has also
ensured higher quality and better developed concepts are entering the new product pipeline.
Through the programme and the support of the IDA, we were able to secure 3 additional in-
house days with the programme mentor. This has helped to embed the learnings, encourage
cross functional collaboration in innovation and supported our progress as a lean site and
organisation.
17DISRUPTIVE TECHNOLOGIES
IMPACTING ALL AREAS
A
s individuals, many aspects of our lives have been impacted blockchain, augmented reality and virtual reality are delivering
by disruptive technology and digital transformation. As new capabilities to analyse, personalise, predict, correct in real
businesses, the proliferation of emerging and evolving time, automate, and reduce risk that can transform business.
technologies is demanding real attention to ensure companies of
all sizes and sectors sustain their competitive advantage. Given IRDG’s cross-sectoral membership, we are perfectly
placed to help companies to collaborate whether as a solution
Research tells us that 80% of current business processes provider or solution seeker. We are always available to you on
and practices will either be changed or eliminated by 2025. a one-to-one but in addition, our Disruptive Technology Series in
Technologies like data analytics, artificial intelligence, 2020 will focus on 2 key themes:
ARTIFICIAL INTELLIGENCE FORUM
with Mastercard
20th May 2020, Dublin
ARTIFICIAL INTELLIGENCE – TAKING OVER THE WORLD?
As it stands, much of what we do is impacted by artificial Yet, artificial intelligence, and it’s potential, is still understood to
intelligence on a daily basis. Whether we are using our be in the infancy stage. The rate of progress and how ‘intelligent’
smartphones, surfing the internet, buying products online, computers might actually become is one of the most hotly
browsing social media or listening to songs on our favourite contested aspects of the digital transformation era.
music streaming service, AI is impacting our choices in one way
or another. Whilst change is inevitable, there are still question marks over
the extent to which artificial intelligence will affect business
Take it to a business level and we are seeing increased automation models, working environments and people’s roles. Despite
around optimisation of performance and command-control the hype surrounding it, machines, at this stage, can still only
activities. AI is also augmenting human perception in the likes of perform narrow tasks that human intelligence has taught them,
voice and facial recognition in transport, medicine or consumer say experts. But, the potential is there. And, in addition to the
protection for example. technical challenges associated with the development of AI, there
are also philosophical and ethical questions to be considered.
5G FOR BUSINESS FORUM
with Dell Technologies
29th September 2020, Limerick
IMPROVING COMMUNICATIONS WITH 5G TECHNOLOGY
Wireless communications technology has become increasingly • Internet of Things: 5G will seamlessly connect a massive
important over time, facilitating improvements in business, number of embedded sensors in virtually everything through
education and technology, and connecting people across the the ability to scale down data rates, power and mobility to
world. provide extremely lean/low-cost solutions.
5G is the fifth-generation wireless technology that began wide • Mission-critical communications: 5G will enable new
deployment in 2019. 5G is not only important because it has the services that can transform industries with ultra-reliable/
potential to support millions of devices at ultrafast speeds, but available, low latency links - such as remote control of
also because it has the potential to transform the lives of people. critical infrastructure, vehicles, and medical procedures.
The main features include increased speed and bandwidth, low
latency, less power consumption and stronger security. The main The potential business applications are wide ranging including
benefits of 5G will be: enhanced video, real time automation, connected vehicles,
monitoring and tracking, autonomous robots, remote operations,
• Cost-effective technology to handle the ever-growing data augmented reality and smart surveillance across diverse
traffic demand from consumers. 5G will not only make industries.
smartphones better, but it will also usher in new immersive
experiences, such as VR and AR, with faster, more uniform
data rates, lower latency, and cost-per-bit.
18IRDG PILLAR: LEARNING
SUSTAINABILITY
THE NEXT FRONTIER OF INNOVATION
T
here is no doubt that climate change has of their activities and are searching for ways to
emerged as the biggest threat to humanity, do things differently. Leading companies have
with a demand on all of us to respond to realised that sustainable business is not just the
this challenge with ambition and creativity. right thing to do, but by integrating sustainable
practices throughout an enterprise, a wide range
In the past, many companies held the belief of tangible benefits can be realised including:
that sustainability, beyond compliance, only
ALI SHERIDAN increased costs, did not generate revenue, and Improving brand image and competitive
therefore, should only be addressed as a matter advantage
Director at
of corporate social responsibility. However, Reducing risk
SustainabilityWorks as awareness of climate change continues to Increasing employee attraction and
Ireland grow, impacts are increasingly felt along supply retention
chains and stakeholders’ demands continue Driving innovation
to rise. Companies are rapidly becoming more Increasing productivity and reducing costs
aware of the environmental and social impacts Attracting investors.
DRIVING INNOVATION
Over the next decade, sustainability challenges will provide New constraints will demand a different approach to design, and
enormous opportunities for companies to drive innovation will shape how key resources such as energy, carbon, water, raw
as they seek to re-invent products and services in line with materials and waste are used in products and processes.
stakeholder demands and climate limitations.
CIRCULAR RESOURCE PRODUCT LIFE SHARING PRODUCT AS
SUPPLIES RECOVERY EXTENSION PLATFORMS A SERVICE
Supply fully renewable, Eliminate material Extend the current Stimulating Products are used
recycable or leakage and maximise lifecycle of a product: collaboration among by one or many
biodegradable resource economic value of repairing, upgrading & product users customers by means of
inputs to support product reselling a lease or pay-for-use
circular supply arrangement
chains
Source: simapro.com
5 DIRECTIONS FOR CIRCULAR BUSINESS MODEL DESIGN
Already, some of the world’s biggest companies are actively Given the magnitude of the challenge, there will be opportunities
transforming their supply chains to become “circular,” where for organisations to collaborate at a scale never seen before.
they are redesigning systems that ‘close the loop’ so that waste Whether it’s established companies partnering with start-ups,
is eliminated, and materials stay in circulation as long as possible. corporate organisations working with NGOs, or even traditional
Entire industries have started to move towards new business competitors coming together to pool resources in shared supply
models to ensure they stay relevant in the new sustainable chains, collaboration will be essential to drive the level of
economy. For example, the automotive industry is moving at innovation necessary to combat climate change.
pace to not only increase the production of electric vehicles, but
to also explore leasing models as consumers’ relationship with As we move towards a low carbon economy, business as usual
ownership changes. Similarly, the textile industry has witnessed will no longer be an option. Innovation is vital for a successful
huge innovation in the design of new sustainable materials and transition to a green economy and for those companies that
are now also experimenting with rental models. move quickly enough, there are huge opportunities ahead.
IRDG ON SUSTAINABILITY
We recognise the importance of incorporating sustainable
actions in the conduct of our business. We are committed
SUSTAINABILITY – UNLOCKING THE
to continually improving our performance to reduce INNOVATION OPPORTUNITY
environmental impacts, whilst encouraging members and 29th April 2020, Cork
suppliers to do the same.
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