R&D, Design and Innovation : Examining the links in the Creative Industries. Insights for Managers and Policymakers from the DCMS’s 2020 survey

This paper examines the responses from Creative Industries Organisations (CIOs), 89% of which were firms, to the DCMS’s 2020 survey on new product and service development activities. The findings show that, perhaps contrary to expectations, many CIOs engage in research and development (R&D), including that which is oriented towards resolving scientific and technological uncertainty. Furthermore, CIOs that engage in R&D, and especially applied research, are more likely to introduce product innovations. Alongside R&D, CIOs also typically engage in several other innovation related activities, such as design, training and the acquisition of advanced machinery and equipment. Furthermore, those that combine these ‘other innovation activities’ with R&D are more likely to introduce innovations. Combinations of R&D and other inputs are especially strongly associated with the introduction of more novel, ‘new to the market’ innovations, and with the introduction of more impactful innovations. These analyses suggest: (1) that ‘conventional’, or ‘textbook’ approaches to managing innovation can be successfully applied within the creative industries; (2) that CIOs seeking to innovate should not only undertake R&D, but also other activities including design, training and market launch activities. Furthermore, rather than support R&D alone, policies should support ‘packages’ of innovation related activities, given the extent of research engagement among CIOs, the content of this research needs to be better understood