The invisible drag on UK R&D: how corporate incentives within the FTSE 350 inhibit innovation

Cover image
Document type
Paper
Author(s)
Bolger, Thomas; Clarke, Thomas; Haley, Christopher
Publisher
NESTA
Date of publication
1 August 2019
Subject(s)
Management & leadership: including strategy, public sector management, operations and production
Collection
Business and management
Material type
Reports

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Innovation is a key driver of prosperity and growth. Firms and their shareholders typically say that they care about long-term value creation. One would therefore expect that the incentives given to company management would, on balance, encourage innovation.

This paper looks at the FTSE 350 firms, examining their incentive packages and the performance measures they use. It also investigates whether they have nominated a committee to take board-level responsibility for innovation.

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