R&D collaboration between multinational companies and Chinese universities

According to the China’s Ministry of Commerce there are currently more than 1200 R&D centers established by multinational companies in China (People’s Daily Online, 16.3.2010). China has been acknowledged as a growing talent pool where future innovations may as well be created. However, due to the cultural differences in cross-cultural collaboration and differences between public and private sectors conducting R&D collaboration can be a huge challenge.

I was conducting a research on development of R&D collaboration between multinational companies and Chinese universities during 2006-2007. Altogether 29 company experts, university researchers and professors were interviewed from the fields of ICT and forestry. I was able to recognize the following characteristics (figure below):

• Research interest is a definate precondition for successful R&D collaboration. One of the company experts mentioned referring to a true interest: “It could be roughly said that out of 100 contacts 10 will lead to further discussions and only one to a real project.”
• Personal relationships (Chinese ”guanxi”) and prior knowledge on potential partner have a positive influence on willingness to collaborate and share knowledge.
• The conditions including positive feelings, common interest and language, as well as proper place and facilities for collaboration are required.
• Sufficient communication and period of time allow interactions and relationships to emerge.
• During the time being common understanding, commitment, trust and mutual respect can grow that will lead to ”guanxi”, shared knowledge and experience and even friendship.

Evolvement of Sino-Western R&D collaboration

As a managerial point of view the companies are strongly suggested to approach the Chinese universities with a true interest. Digging out only some information may jeopardize potential future collaboration. In the beginning also must be determined whether the research problem can be solved. This can be supported by:

1. Providing enough qualified, suitable and available research personnel
2. Ensuring proper facilities e.g. testing laboratories and technology
3. Providing sufficient funding in order to cover salaries, laboratory fees, materials, etc.
4. Agreeing clearly the responsibilities of each partner in collaboration and the time-scale

For more information on the findings you may contact with me directly or read the publications listed in my Linkedin profile.

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