The authors use Dow as a case study to examine the key attributes that made the company a pioneer in managing its knowledge capital and helped it maintain a leadership position in this area.
Realizing that patents are the most tangible of intangible assets and can be a source of great value for the company, Dow has actively managed its patent portfolio since its early days. Dow treats its intellectual capital the way it treats other business assets, such as manufacturing facilities and laboratory research property, and believes this approach to capturing full value from its intangible assets and protecting intellectual property stimulates innovation.
"The chemical industry is a knowledge industry," said Rick Gross, corporate vice president of Research and Development for Dow. "Dow is quickly moving from being perceived as a great manufacturing company -- with a focus on capacity and hard assets -- to being known for great manufacturing AND great science and technology, with a strength in innovation. The knowledge industry perspective provides a better direction to our innovation, with focus on identifying customer and marketplace needs, adopting new business models, and reaching for fast commercialization," Gross concluded.
Since its founding more than 100 years ago, Dow has created, patented and generated significant revenues from products that have become industry standards, like Styrofoam* plastic foam for insulation, METHOCEL* food gums, Drytech* superabsorbent polymers and FILMTEC* reverse osmosis membranes for water purification.
Senior management at Dow is committed to further creating and managing intellectual capital across the company because of the measurable dollar impact that intellectual capital can have.
Source: The Dow Chemical Company
