Philippine Innovation System

It is ironic that there are world-class researches in the universities while in the provinces, they still use technology handed down generations ago. While there are groups engage in Laser and Robotics research, coconut farmers are still using traditional methods in copra (dried coconut meat) production when there are newer method that produces higher quantity and quality of coconut oil. The reason for this is not because scientist doesn't want to help the coconut farmers nor that the coconut farmers doesn't want to upgrade their technology. The problem is the Philippine Innovation System.

There is a large group of technology developers (the scientists and engineers) and there is also a large group of technology users(farmers, industry, etc). But there is no existing system for them to meet, coordinate and collaborate. There is no Innovation System, or rather the existing Innovation System is not working effectively.


The National Innovation System is complex if viewed from the point of view that it involves the collaboration of the academic sector, the private/industrial sector and the government. There systems and procedures that has to be setup in the academe (how they develop technology and license it), government (how they will facilitate the technology transfer) and the industrial sector (how they will use the technology). In the US, there is a Law that facilitates this transfer, the Bayl-Dole Act. For more than a decade now, advocates of technology management has been advocating the creation of a similar law for the Philippines. But it will involve orienting our law makers on the importance of technology management and we cannot see that happening in the next five years. To implement a National Innovation System, there really has to be a nation-wide change.

But just there is an Alternative Catch-Up Strategy, there is also an Alternative National Innovation System Strategy. Instead of the Top-Down Approach (start at the National Level) we could adopt a Bottom-Up Approach (start with Individual Entrepreneurs). If the academe and the government has yet to setup systems how to transfer technology, individual entrepreneurs could actually approach academic institutions and government agencies for the purpose of developing a new product, for improving the competitiveness and profitability of his company.

If an inventor/entrepreneur wants to improve the quality and quantity of coconut oil by developing an alternative to the current copra production system, he must:
1. Understand the situation of the coconut industry and the coconut farmers. Why they are still using the copra system, it's strength and weaknesses, and develop the specification or requirements of the new system. There is a cost involve in the transition and it's benefits should far outweigh the cost involve.
2. Develop or research another way to extract the meat from the coconut from chemistry concepts
3. Develop a prototype using concepts in chemical and mechanical engineering
4. Test his prototype.
5. If successful, he could the proceed in developing a production system for his equipment
6. Setup a marketing system to re-educate coconut farmers and a distribution system to make the equipment available to farmers nationwide

Many inventors failed because they thought that their role is on just step 2 to step 4. The other steps are 'non-technical' in nature and they expect someone else to do that for them. But no one does, thus the failure of the innovation system. Or sometimes the initiator is a marketing expert that knows and understand step 1 and setup 6. However, without step 2 to step 5, he doesn't have a product, thus again, the failure of the innovation system. There must be a merger of technical and non-technical knowhow for a technology-based enterprise to form. This might seem overwhelming for a lone entrepreneur but the next two sections on Rapid Product Development and Rapid Enterprise Development discusses how he can be able to do this.