Olympus 2011 Annual Report Download - page 26

INTELLECTUAL PROPERTY REPORT
The Number of Domestically Published Patents in Core
Competence Areas
(Number of pubished patents)
05 06 07 08
Optical
Technology
Electronic and
Imaging
Technology
Precision
Technology
1,000
500
09 10
Biomechanical
and Biological
Fundamental
Technology
11 Fiscal year
R&D Expenditure to Net Sales, R&D Efficiency
(%)
R&D Expenditure to Net Sales (Right)
03 04 05 06 07 08
R&D Efficiency (Left)
10
15
5
300
200
100
09
Note: R&D efficiency is calculated based on a five-year cumulative basis.
10 11 Fiscal year
For example, fiscal 2011 R&D efficiency was calculated after dividing the
cumulative operating income of fiscal 2007 through 2011 by the cumulative R&D
expenditure of fiscal 2002 through 2006. This illustrates the effect of investment
in R&D activities on operating income. R&D expenditure to net sales is calculated
by dividing five-year cumulative R&D expenditure (fiscal 2007-2011) by five-year
cumulative net sales (fiscal 2007-2011). All figures are provided on a consolidated
basis.
24 OLYMPUS 2011
Core Technology and Business Models
Olympus’s core competence is in Opto-Digital Technology, a
fusion of the latest digital and optical technologies accumulated
by the Company over many years. In order to further strengthen
this core competence, the Company has positioned the following
technologies as fundamental and common to the Olympus Group
as a whole: optical technology—the science of capturing and
controlling light; electronic imaging technology—the manipulation
of digital images captured from light; precision technologies—the
technologies to create products accurately and control them
precisely; and biomechanical & biological fundamental technol-
ogy—technology that enables the live cell observation and
cell separation culturing that is indispensable for establishing
regenerative medicine. By effectively channeling R&D resources
to sharpen its competitive edge, the Company continues to create
new levels of value for its Medical Systems, Life Science and
Industrial Systems and Imaging Systems businesses.
Olympus’s R&D expenditure in fiscal 2011 amounted to approxi-
mately ¥67.3 billion, accounting for roughly 7.9% of net sales.
During fiscal 2011, although business conditions remained
severe, the Company recorded a rise income in the Medical
Systems business. However, consolidated net sales decreased
due to foreign exchange fluctuations, lower income attributable
to the sale of the diagnostic systems business and a fall in sales
in the Imaging Systems business. Reflecting these factors and
Olympus’s proactive investment in R&D during the fiscal year
under review, R&D expenditure to net sales improved slightly.
R&D Segment and IP Overview
The following graphs show the number of published domestic
patents Olympus possesses in its areas of core competence as
well as a breakdown of domestic patents held by core competence
area.
The number of published patents remained almost on par with
the previous fiscal year’s level in the fields of optical technol-
ogy, electronic imaging technology, precision technology and
biomechanical & biological fundamental technology. The number
of patents published for optical technology decreased slightly. The
percentage of patents acquired in core competence technologies
grew 2% year on year to 76%.
Measures against Counterfeit Products
Olympus has adopted a proactive approach against counterfeit
products with the aim of protecting consumers and the Olympus
brand.
In more concrete terms, we appoint at our Chinese branches
expatriate employees responsible for IP, who are tasked with col-
lecting information on such products and taking appropriate mea-
sures, including the prosecution of those responsible as needed.
The Company also offers seminars on counterfeit products to
Chinese customs and other related government organizations,
effectively enhancing collaboration and communication with
qualified parties.
We will continuously implement stringent and effective counter-
feit product initiatives in the future.