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Science and business

Innovations can realise their full potential only if they are transferred rapidly from research into products and released onto the market. Only in a joint effort, adopting cross-sector approaches and exploiting synergies, can this objective be achieved. Recognising this, the Federal Government intends to strengthen collaboration between business and science in order in particular to harness the vast potential of small and medium-sized enterprises (SMEs).

Challenges and objectives

New developments arising from research must be seized upon by business if they are to find their way onto the market. Germany needs more than simply inventions and developments - these must also be successfully converted into marketable products and processes in Germany. Our country must more rapidly benefit from innovations that have a place in the market. The Federal Government's objective is therefore to bring together the existing strengths of science and business and to mobilise new forces.

Current situation and outlook

The High-Tech Strategy deploys targeted incentives to build a bridge between business and science and to strengthen the innovative small and medium-sized enterprises (SMEs). Skills are brought together and joined in collaborations, partnerships and innovation alliances. The creation of clusters and networks, with the essential involvement of the SME sector, receives clear focus in this strategy. Increased transfer of technology and know-how from science to business is a decisive factor in the commercial success of innovations.

More resources for the innovation potential of SMEs

Germany's small and medium-sized enterprises play a decisive role as a driver of innovation. SMEs can react especially quickly and flexibly to exploit new markets. This applies equally to new areas of research, in which the speed of the innovation process determines success.

Through its High-Tech Strategy, the Federal Government is focusing on support for innovative small and medium-sized firms with the aim of better utilizing the potential of SMEs. In 2007, the Federal Ministry of Education and Research and the Federal Ministry of Economics and Technology provided SMEs with around EUR 725 million in funding for technology. For 2009, the expenditure of the two government departments on innovative SMEs is to rise to over EUR 950 million, an increase of almost 30% since 2005. On the basis of current budget figures, the trend for disproportionate increases is set to continue. Other departments are likewise increasing their resource provision to SMEs.

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  Collaboration between research and SMEs - rapid and simple support

  Through its Central Innovation Programme for SMEs (Zentrales Innovationsprogramm Mittelstand, ZIM), the Federal Ministry of Economics and Technology (BMWi) is encouraging small and medium-sized firms toward greater efforts in research, development and innovation. ZIM integrates existing collaboration and networking programmes into the R&D support programme for individual enterprises in eastern Germany (INNO-WATT). ZIM is now a nationwide funding programme for SMEs, open to all technologies and sectors, which puts the emphasis on collaboration between individual firms and between companies and business-oriented research institutions as well as on the formation of networks.
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  Priority for cutting-edge research in the SME sector

  Small and medium-sized enterprises (SMEs) are in the vanguard of technological progress in many areas. At the same time, however, the risks associated with cutting-edge research are often difficult for SMEs to carry. For this reason, the Federal Ministry of Education and Research (BMBF) has introduced the KMU-innovativ scheme to significantly ease access to research funding for these companies by, amongst other things, simplified credit risk assessment. Through KMU-innovativ, the BMBF is supporting cutting-edge research in important future areas.
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  Research bonus

  Successfully converting more ideas into products, processes and services is the objective of the research bonus. It boosts the ability of universities and research institutions to collaborate with business. The "ForschungsprämieZwei" research bonus for non-profit making research institutions offers additional incentives for collaboration with small and medium-sized enterprises (SMEs) by granting a bonus for R&D contracts concluded with SMEs equal to 25% of the contract volume, subject to a maximum of EUR 100,000.
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  Innovation alliances and strategic partnerships mobilise private capital

  Innovation alliances form a new instrument for research and innovation policy within the framework of the High-Tech Strategy. The emphasis in these strategic alliances between science and business is in all cases toward specific application areas or future markets. Innovation alliances exercise a particular economic leverage effect. The target is: One euro from the Federal Government, five euros from business.
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  Leading Edge Cluster Competition

  The excellence cluster competition is intended to take Germany to the top of the league of technologically advanced nations. The Federal Ministry of Education and Research launched the competition in the summer of 2007 under the slogan "Germany's excellence clusters - more innovation, more growth, more employment". The high-performance clusters formed by business and science that enter into strategic partnerships are set to boost Germany's innovative strengths and economic success.
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  Optimised startup conditions

  The EXIST programme (Existenzgründungen aus der Wissenschaft / University-Based Business Startups) is an ideal partner for business startups in the scientific arena with a proven track record. Almost all universities, many universities of applied sciences and non-university research institutions have submitted applications for funding for people intending to start new businesses. EXIST improves the startup environment in universities and research institutions and helps to convert new ideas and research results into innovative new startup companies.
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  SIGNO protects intellectual property

  Ideas, knowledge, research results and innovations are often of great value. The concern of SIGNO is the protection of these against illegal exploitation and to assist in their implementation and exploitation. Since April 2008 this funding programme has been supporting universities, companies and inventors with the legal protection and commercial exploitation of their innovative ideas. It promotes technology transfer through the efficient use of intellectual property.
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  The High-Tech Startup Fund - Startup capital for new entrepreneurs

  The success of technology-based startups and young innovative companies should not be allowed to falter due to lack of capital. When venture capital companies and business angels fall short, help may be enlisted from the Federal Government's High-Tech Startup Fund.
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  Unternehmen Region programme sets in motion market-oriented innovation processes in the new Länder

  Innovation is the key to developing eastern Germany. Through its Unternehmen Region innovation initiative, the BMBF supports regional cooperation alliances to develop and implement a strategy for achieving success through their own innovative, sustainable and technological approaches. The strengths and potential of each region should be used and bolstered in order to determinedly take their innovations forward to the market.
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  Mobilising skilled workers

  Innovation needs talent. Covering the growing requirement for highly skilled specialist staff, supporting young scientists and offering attractive employment conditions in public-sector research are all matters of outstanding importance. Education and training secures our skills base and consequently the future economic strength of our country.
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