Performance measurement in R&D projects: Relevance of indicators based on US and German experts

Abstract

To turn technologies into successful products, it is necessary to understand the development process from ideas to the market and to know how to measure performance. Performance measurement is critical for technology developers and investors in monitoring whether performance meets expectations to make decisions about actions for improving R&D characteristics. This article emphasizes indicators for R&D project performance measurement, especially relevant for measuring project performance in company, start-up and spin-off companies, where the project is perceived as an independent business unit. A clear set of indicators for measuring and controlling the performance of R&D projects for policy representatives would allow them to identify problematic areas in the implementation of R&D projects and to make well-aimed decisions for the promotion and financing of technology development. What indicators should be used to measure the performance of R&D projects? Attempts to find the answer to the question in science were unsuccessful. This article aims to select indicators for measuring the performance of R&D projects and identify and compare their relevance among US and German experts. Research is carried out in different countries, and their results create opportunities for mutual learning and more intensive international cooperation in technological development. In order to achieve a goal, essential decision-making points in R&D projects were identified, and a general set of R&D performance evaluation indicators were prepared based on a literature analysis. Later, two groups of experts from the US and Germany selected from the general list indicators suitable only for evaluating R&D projects and evaluated their relevance. The obtained evaluation results of the US and German experts were processed using the MCDM method and compared.