This document discusses promoting research and innovation in India through brain gain. It notes that while India has a large economy, it lags behind in research and development spending compared to other countries. It outlines government initiatives to promote innovation but notes more can be done. It recommends creating innovation clusters through public-private partnerships and incentives. Special purpose vehicles could help commercialize research by separating risks. Collaboration between government, industry, academia and financiers is needed to support new knowledge, workforce skills, production and markets.

1. Brain Gain: Promoting Research and Innovation
(Innovation at the heart of economic and social progress)
Submitted By
Saurabh Kumar
Roshan Gupta
Dhirendra Mani Shukla
Pratik Rathore
Kaki Mahedhar

2. Problems
• India is one of the leading economy but
lags behind other economies in terms
of research and development
• Indian Universities do not feature
among top 100 universities of the world
• Investment on research considered like
a sunk cost, uncertain about return
• Little connect between academia and real world needs
2.70%
1.97%
3.67%
2.30%
3.74%
0.90% 0.90% 1.00%
RESEARCH & DEVELOPEMENT
SPENDING
US
China
Japan
Germany
South Korea
India
Brazil
Russia

3. Objective
Attracting global investment
Developing global talented work force.
Providing employment
Pushing economy
Successful Research & Useful
Innovation
Channelized
Policies
Proper
Infrastructure
Right Minds

4. Government Initiatives
• National Science and Technology Entrepreneurship Development Board
(NSTEDB)
• Created National Innovation Council (NInC)
• Creation of State Innovation Council
• Creation of Sectorial Innovation Council
National Knowledge Network
India Inclusive Innovation Fund
Innovation Challenge
718
MNC’s
in India
World top
1000 R&D
spenders
300 major MNCs in
India

5. Suggested
Solutions
Incentivize
trained persons
and institutions
to impart
quality training
to students
Optimal
utilization of
technology in
the delivery of
training to
maximum
populace
Incentive by the
government for
innovative
research work
Providing
industry-
specific
training
Proper
implementation
of the policies
Funding
Corporate
Funding
Utilization of
international
funds such as
FICER
(supported by
Bill Gates)
Graduate
student
funding
Formation of
funds like
Growth and
Innovation
fund

6. Recommendations
Research &
Innovation
• Design
Technology
• Process
• Devices
Implementation
• Prototyping
• Productivity
• Efficiency
Business
• Marketing
• Finance
Wealth &
Employment
 Creation of Innovation Clusters
 Encouraging Private Sector and Global Network Initiatives
 Promoting and Diffusing Grassroots Innovations
 Research Focus but market and business driven
Innovation Chain

7. Cluster
Networks
Scientific &
Technological
High Quality
Research
Easy Access to
network
competencies
Large
Structured
Research
Networks
Strong Market
Oriented
Research
Professional
Partnership
Research
Ability to
Anticipate
Market Needs
Proposed Cluster Formation in India

8. •Top down identification and listing of products and
solutions needed by the country
•For each of them identifying one or more clusters in the
country to research, innovate, develop, manufacture,
service and sustain them
•Cluster partners and location to match with product
profile
Top
Down
Approach
Energy
Food
Urban Infrastructure
Health Care
Micro Electronics
Manufacturing machinery
Test & Measuring Equipment
Textiles
Software Packages
Process Equipment
Bioscience & Biotechnology
• Openness to business and drive for
innovation
• Modernizing its legal and fiscal framework
• Creating Unique Tax incentives for
promotion of innovation
Promoting
Innovation
Clusters

9. Performance of R&D Centres in India
Strategy
• Focus on innovation & new product
design
• Complete product or business
ownership
• Brand Visibility
People
• Talent Development & retention
• Focus on Employee Engagement
• Technical Career Path definition
Process
• Focus on Quality and time of delivery
• Focus on operational stability
• Better collaboration with global
teams
Top Priorities of R&D Center

10. • SPV can allow securitization of assets without disturbing the
managerial relationship
• SPV can help in separating the risk and freeing up the capital
• SPV can be integrated as a innovator, it can make profitable
commercial venture
Managed by
forming SPV
Special
Purpose
Vehicle
• A Company that is created solely for a particular financial
transaction.
• Members of the SPV are mostly the companies and individuals
sponsoring the entity.
• A business associations of persons or entities eligible to
participate in the association.

11. Special
Purpose
Vehicle
(SPV)
Government
• Policies
• Incentives
• Legal Framework
• Infrastructure
• Funding
Industry
• Facilities
• Workforce
• Knowledge
• Marketing
• Production
• Logistics
Academy
• New Knowledge
• Design
• Qualified HR
• Tools
Collaborator
• Financing
• Global Markets
• Technical Inputs
• Management
Expertise

12. References
http://www.innovationcouncil.gov.in/
http://msmefoundation.org/Cluster_India.aspx
http://www.iie.org/Research-and-Publications/
http://web.worldbank.org/
Thank You Manthan