The Role of Korean / Korean-American

1

• The Role of Korean / Korean-American
• Scientists and Engineers
• and their Contribution to Global Society
• Dr. Jung Uck Seo, LFIEEE, FIEE, ChEng
• Former Minister of Science Technology
• Republic of Korea

2
History is the Teacher of Future Leaders

• Let us take a journey through the most
• spectacular 100 years in the history of
• science and engineering, and learn how our
• knowledge and skills have grown from the
• 1900 to today so that we may prepare for the
• future.

3
Matters of Life and Death Medicine and Health

• 1900 Patients battle illness, while doctors cans
  do little more than counseling, comforting, and
  keeping them clean.
• Today Doctors treat and often cure patients with
  a vast array of medicines and medical
  technologies, but some diseases are still
  incurable.

4
Mysteries of the Universe Physics and Astronomy

• 1900 The Milky Way galaxy (including some
  unexplained nebular clouds) is the known
  universe. Newton's laws explain the physical
  world. Matter is composed of atoms.
• Today The Milky Way is just one galaxy among
  countless millions we have observed in the
  universe. There is no set of laws that explains
  all phenomena in the physical world, although
  there are many theories. Atoms are composed of
  many subatomic particles, all of which derive
  from energy.

5
In Search of Ourselves Human Behavior

• 1900 There is no cure for the mentally ill, who
  are confined to asylums. "Mind" and "body" are
  thought of as two separate things.
• Today Mental illness can be treated with a range
  of therapies and medications. We know a great
  deal about the chemistry and the parts of the
  brain that control our behavior and thoughts.

6
Bigger, Better, Faster Technology

• 1900 The only way to view the Olympic games in
  Paris is in person. News about the games travels
  to America via telegraph and is printed in
  newspapers.
• Today Millions worldwide will watch the 2008
  Beijing Olympics on television, transmitted
  instantaneously via satellite. The news will
  spread as well by radio, newspaper, and the World
  Wide Web.

7
Origins Earth and Life Sciences

• 1900 There is no good explanation for
  catastrophic events such as earthquakes. The
  Earth is thought to be a mere 50 million years
  old and the theory of the evolution of species is
  hotly debated.
• Today The plates that make up the Earth's crust
  move over time causing earthquakes and volcanoes.
  The earth is known to be 4,500 million years old.
  The genetic code of DNA, which drives evolution,
  is better understood every day.

8
The US Higher Education, Science, Engineering and
Medicine

• 1862 Morrill Act (The Land-Grant Colleges)
• 1863 The National Academy of Sciences (NAS)
• 1887 The Laboratory of Hygiene, 1930 Ransdell
  Act (NIH)
• 1895 Alfred Nobel Prize
• 1916 The National Research Council (NRC)
• 1945 Vannevar Bush (1890 1974)
• Science, The Endless Frontier
• 1950 The National Science Foundation (NSF)
• 1964 The National Academy of Engineering (NAE)
• 1970 The Institute of Medicine (IOM)

9
The Morrill Act The Land-Grant Colleges

• In 1862, Congressman Justin Morrill of Vermont
  passed an act to give every state remaining in
  the Union a grant of 30,000 acres of public land
  for each member of its congressional delegation.
• Since every state had at least two senators and
  one representative, even the smallest state
  received 90,000 acres.
• The states were to sell this land and use the
  proceeds to establish colleges in engineering,
  agriculture, and military science. Over seventy
  "land grant" colleges were established under the
  original Morrill Act a second act in 1890
  extended the land grant provisions to the sixteen
  southern states.

10
The US National Academies
The National Academy of Sciences (NAS) was signed
into being by President Abraham Lincoln on March
3, 1863. As mandated in its Act of Incorporation,
the Academy has served to investigate, examine,
experiment, and report upon any subject of
science or art whenever called upon to do so by
any department of the government. The National
Research Council (NRC) was organized in time of
war. Whereas the NAS was founded in 1863 in the
midst of the American Civil War, the NRC was
founded in 1916 against the backdrop of the World
War I, which had consumed Europe since August
1914 and threatened to involve the US as
well. The National Academy of Engineering (NAE)
was founded in 1964 to provide engineering
leadership in service to the nation by the same
congressional act of incorporation that
established the NAS. Under this charter, it is
directed to be called upon whenever any
department or agency of the government needs
investigation, examination, experimentation, and
report on any subject of science or art. The
Institute of Medicine (IOM) was chartered in 1970
as a component of the NAS. It is a nonprofit
organization created for science-based advice on
matters of biomedical science, medicine, and
health.
11
Vannevar Bush an engineer and science
administrator

• In 1941 the National Defense Research Committee
  (NDRC) was subsumed into the Office of Scientific
  Research and Development (OSRD) with Bush as
  director.
• Bush controlled the Manhattan Project until 1943
  (when administration was assumed by the Army) and
  which also coordinated scientific research during
  World War II. In all, OSRD directed 30,000 men
  and oversaw development of some 200 weapons and
  instrumentalities of war sonar, radar, the
  proximity fuse, amphibious vehicles, and the
  Norden bomb sight, all critical in winning the
  war.
• At one time, 2/3 of all the nations physicists
  were working under Bushs direction. OSRD
  contributed to many advances in the physical
  sciences and medicine, including the mass
  production of penicillin and sulfa drugs.
• At OSRD Bush directed overall policy while
  delegating supervision of divisions to qualified
  colleagues and letting them do their job without
  interference. Bush obtained adequate funds from
  the President and Congress and coordinated
  research among government, academia, and
  industry.

12
Vannevar Bush an engineer and science
administrator

• He kept the confidence of the military on the
  ability of civilians to observe security
  regulations, and exempting the draft of young
  scientists into the armed forces.
• Bushen visioned an equivalent peacetime
  government RD agency that would replace OSRD,
  considering basic research as the key to national
  survival, both from a military point of view and
  in the commercial arena requiring government
  support.
• In July 1945, Bush wrote a report to the
  President Science, The Endless Frontier, saying
  Basic Research is the pacemaker of technological
  progress and New products and new processes do
  not appear full-grown. They are founded on new
  principles and new conceptions, which in turn are
  painstakingly developed by research in the purest
  realms of science.
• Bush recommended the creation of the National
  Science Foundation (NSF) in 1950 to cement
  academia, industry and the military which had
  been forged during the war.

13
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14

• Korea owes the great discoveries and inventions
  of the
• scientists and engineers worldwide. A pledge in
  the minds
• of Korean scientists and engineers would be
• No doubt, these knowledge and skills of the 20th
  century
• altered profoundly not only the quality of our
  life but also
• our attitudes toward fellow beings. However, very
  few, if
• any, of these pioneering discoveries and
  inventions were
• led by Koreans.
• A challenge for Korean scientists and engineers
  would be
• that for the 21st century, in order for Korea to
  excel in its
• knowledge prowess, they must think out of the
  box to
• ensure that Korean people could and would
  contribute to
• the science and technology of this century.
• This means that by the end of the 21st century,
  they could
• proudly point to some of the achievements - which
  are yet
• to be created led by Korean.

15
Nobel Prize

• It is my expressed wish that in awarding the
  prizes
• no consideration whatever shall be given to the
• nationality of the candidates, so that the most
• worthy shall receive the prize, whether he be
• Scandinavian or not.
  Alfred Nobel

16
Alfred Nobel

• Alfred Nobel was a Swedish chemist,
  industrialist, and the inventor of the dynamite.
  He wrote several wills during his lifetime and
  the last was written a year before his death and
  signed at the Swedish-Norwegian Club in Paris on
  November 27, 1895.
• He was uneasy with the military usage of
  dynamite. This was deepened by a premature
  obituary of himself, published in error by a
  French newspaper on the occasion of the death of
  his brother Ludvig, condemning him as a "merchant
  of death."
• Nobel bequeathed 94 percent of his total assets,
  million SEK (3.4 m, US4.4 m), for the
  establishment of five prizes.

17
Six Nobel Prizes

• The interest shall be divided into five equal
  parts One
• part to the person, the most important discovery
  or
• invention in the field of physics one part to
  the person,
• the most important chemical discovery or
  improvement
• one part to the person, the most important
  discovery in
• the field of physiology or medicine one part to
  the
• person in the field of literature, the most
  outstanding
• work of an idealistic tendency and one part to
  the person,
• the most or the best work for fraternity among
  nations,
• for the abolition or reduction of standing armies
  and for
• the holding and promotion of peace congresses.
• The economics prize was instituted in 1968 at the
  
• tercentenary of the Bank of Sweden. The first
  prize was
• awarded in 1969.

18
A prognosis for Korea in 1948

• Korea can never attain a high standard of
  living.
• There are virtually no creative Human Resource
• with the technical knowledge nor skills required
  to
• take advantage of Korea's resources and effect an
  
• improvement over its primitive rice-economy
• status.
• When the US forces withdraw and stop sending in
• supplies, it will be reduced to a bull-cart
• economy, and many a million non-farmers will
• face starvation.

19
Challenge on top of misfortune

• The situation looked even more bleak in the
  summer of 1950 when the Korean War broke out.
• Cities and villages became battlefronts and the
  whole country was destroyed by gunfire and
  bombing from both sides.
• The nation still remained divided by the 38th
  Parallel.
• Challenge educate its people (HRD) and
  transform its bull-cart economy into a
  knowledge-based ICT economy for the future.

20
Korea in 50 Korea today
 

• The knowledge and skills, building on the
  pervasive
• influence of modern science technology, brought
  a
• fundamental reshaping of the Korean economy. What
  is
• underway today is a transformation of Education
  or
• Innovation in HRD.

21

• Korea today isnt built alone
• Higher education and training US
• National security ROK-US alliance, UN
• Socio-economic development US, WB, Trade
• Scientific knowledge and technical skills World

22
Remember the Korean War veterans Without their
sacrifice, Korea today would not exist.
23
ROK-US Science Technology Collaboration
Seoul, Korea 1965
24
LBJ Speech ROK National Assembly, Seoul, Nov 2,
1966

• Mr. Speaker, Members of the Assembly 16 years
  ago an
• event occurred in Korea that changed the shape of
  Asia
• and the world ----
• On a June morning in 1950, we woke up to learn
  that a
• communist army had smashed into the Republic of
  Korea
• without warning or provocation. Many Americans at
  that
• time could not locate Korea on the map. We were
• concerned mainly with the Communist threat to
  Europe
• and the rebuilding of that continent. Asia seemed
  remote
• and beyond the pale of our interest ----
• For here is one of the truly dramatic stories of
  our time
• A nation transformed within a generation. I hope
  that
• a great historian will soon record the story of
  how an
• ancient nation has emerged from the shadows of
  its
• colonial past and from the tragedy of war to
  become one
• of the youngest and the most vigorous
  constitutional
• democracies in the world.

25

• I want a historian to tell how this nation -
  through no fault of
• its own was divided, and invaded, and almost
  destroyed, --
• record that, when the fighting stopped, Korea
  faced every
• conceivable difficulty its cities in ashes,
  millions of refugees,
• transportation in ruins, factories idle,
  inflation rampant, and
• unemployment high. -- tell of the men and women
  who
• guided this nation through those terrible years
  of their
• greatness and their shortcomings of their
  foresight and their
• errors. -- describe the student uprising, the
  military revolt,
• and then the achievement of constitutional
  government in the
• fall of 1963. -- recall the sense of triumph and
• accomplishment when the votes were cast and
  counted,
• and the people had made their choice of who would
  govern.
• -- record how you have taken your stand with
  other nations
• that are helping South Vietnam to resist a new
  Communist
• tactic, one that combines external aggression
  with internal
• terror..

26
---- I want him to record the astonishing
economic and social progress that you have made
working together in unity here in Korea record
harvests in the last 3 years, and rapid
industrialization have given Korea a growth rate
of 8 a year- one of the highest in the world
commodity exports have grown from 41m in 1961 to
an estimated 250m this year foreign exchange
earnings are almost five times greater now than
in 1961 serious inflation has been controlled
the rate of population growth has been brought
down and thus you have dealt with one of Korea's
and the world's most pressing problems
thousands of acres of new land have been
reclaimed and terraced, where farm families can
settle and thrive your forests, devastated by
war, have been replenished by conservation and
new planting you have launched a new institute
of science and technology, of great promise for
your future growth you have encouraged, through
your 90 literacy rate, and through the passion
of your people for education, a new generation of
highly trained young men and women to take their
place in industry, in government, in schools, and
in your armed forces. ----
27
Korea Institute of Science Technology
28

• 1970 Agency for Defense Development
• Mission Research, Development, Test
  and Evaluation of
• weapons, equipments and related
  technologies to reinforce
• defense capability for self-reliant
  national defense.
• 1974 RD Center for Missile and Aircraft
• 1976 RD Center for Naval Weapon System
• 1977 Defense Systems Test Center
• 1981 Defense Quality Assurance Agency
• 1995 Naval Weapon System Proving Ground Test
  Range
• 1999 Institute for Defense Information System

29
Electric Power DevelopmentBase of Industrial
Development
1960 Installed Capacity 270k kW 2005
Installed Capacity 65M kW

Source KEPCO
30
Industry Development

• Once, Korea flattened cast-off oil drums to build
  
• buses, running on scrapped US military truck
• engines.
• Now, Korea trades hi-tech goods and services with
  
• global market. It roles sedans and buses of every
  
• type out, and enables every single Korean to
  enjoy
• cell-phone and Internet at anytime, anywhere,
  with
• anybody.
• Korea also becomes a major supplier of steel and
• semiconductor products, and launches the largest
• oil tankers and ships the world has ever built.

31
Labor-intensive Products ? Hi-tech Products
Korean Exports

• 1961 (USD 41M total)
• 1. Iron Ores
• 2. Tungsten
• 3. Raw Yarns
• 4. Coals
• 5. Cuttlefish
• 6. Live Fish
• 7. Graphite
• 8. Plywood
• 9. Rice
• 10.Swine Bristles

• 2006 (USD 326B total)
• 1. Semiconductor
• 2. Automobile
• 3. Wireless com Apparatus
• 4. Computer
• 5. Vessel
• 6. Petroleum Products
• 7. Synthetic Resin
• 8. Steel Flat-rolled Products
• 9. Video Apparatus
• 10.Automobile Parts

32
Remarks

• Korea is the first country in economic history
  whose world
• trade became the 12th in volume over 40 years
  starting
• from such an initially low position as Korea. It
  is a success
• based on the combination of the high literacy
  rate, strong
• government initiatives, and the positive response
  from the
• private sector. In order to succeed, the
  government had to
• develop an intensive human resource development
• program for RD in support of the related
  industries.
• The effective execution of governments
  initiatives remains
• the best way to alleviate poverty in the nation.
  Just as
• important is the way people think we can do
  it.

33
Koreas Ranking in Various Index
Name of Index Koreas Ranking Koreas Ranking Koreas Ranking Koreas Ranking
Name of Index 2001 2002 2003 2004
International Telecom. Union Digital Access Index - - 4 (178) -
Economist Intelligence Unit e-Learning Readiness Rankings - - 5 (60) -
United Nations e-Government Readiness - 15 (190) 13 (191) 5 (191)
UN Online Participation Index - - 12 (191) 6 (191)
Int. Data Corp./World Times Information Society Index 19 (55) 18 (55) 16 (53) 8 (53)
EIU e-Readiness Index 21 (60) 21 (60) 16 (60) 14 (64)
World Economic Forum Network Readiness Index 20 (75) 14 (82) 20 (102) 24 (104)
Brown University Global E-Government 45 (196) 2 (198) 87 (198) 32 (198)
34
World Bank and Korea
35
WB Country analysis Korea
36
WB Country analysis Korea

• Education Projects(Projects 1-5) Support to
  Secondary and Vocational Schools
• Heavy Machinery Project
• Electronics Technology Project
• Small and Medium Machinery Industry Project
• Technology Development Project Series(Project
  1-3) Financial Intermediation Project
• Industrial Finance Project
• Education Sector Loan Project-Programs for ST
  Education
• Small and Medium Industry Bank Project Series
• Technology Advancement Project Series(Project
  1-3)
• University ST Research Project
• Health Technology Project
• Vocational Education Project
• Vocational Schools Development Project
• Science Education and Libraries Computerization
• Environmental Research and Education Project
• Environmental Technology Development

37
World Bank
38
World Bank
39
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40
How has Korea been changed during the last 40
years?
41
The variation of RD expenditures in the last 40
years
42
The relative position among 12 OECD countries in
terms of the RD expenditure to GDP and number of
researchers per 1000 employments
43
WB Country analysis Korea (0.01.0)

• Brain retention 0.6
• Researchers in RD per million population 0.4
• Total (public and private) expenditure on RD as
  of GDP 0.6
• Royalty and license fees payment per capita 0.4
• Receipt of royalties and license fees per capita
  0.1
• International outsourcing of RD (domestic
  ownership of foreign-made inventions as of all
  inventions owned by residents) 0.15
• Share of high- and medium-tech industries in MVA
  0.75
• Share of high- and medium-tech industries in
  exports 0.8
• Imports of machinery and transport equipment as
  of total imports 0.5
• Inward FDI as of gross capital formation 0.1
• Internet users per 1,000 people 0.7
• Average years of schooling of adults 0.9

44
My 50 Years in Science and Engineering

• Higher Education 10 years at home and abroad
• Service 40 years in government, industry and
  academia
• Defense communication electronics 13 years
• Public switching system network (TDX) 7 years
• Mobile phone system network (CDMA) 6 years
• e-Trade Hub development 2002

• Build defense RDTE base and QA capability
• Facilitate defense industries for national
  security
• Promote ROK-US collaboration of Science
  Technology
• Modernize telecom industries for economic
  development
• Develop single widow-platform for e-Trade Hub

45
My Experience in Industrial Development

• The analysis, design, RDTE, production,
  implementation and OM phases of the defense
  electronics and telecom systems
• Learn the processes of business process
  improvement (BPI) and business systems
  improvement (BSI), and their similarities to and
  differences from the system development cycle
• Acquaint with a variety of techniques and develop
  best practices for RDTE, ET and OM in telecom
  systems
• Realize the importance of these techniques as
  tools and
• Experience both life-cycle management of a large
  scale national RD program management through TDX
  and CDMA programs.

46
Example CDMA System Development
CycleAnalysis-Design-Production/Implementation/Op
eration
Analysis
Design
Production
On-Going Evaluation
System Testing
Implementation
Operation
Operational Evaluation
47
Example Mobile Telecom Technology Evolution

• Three different paths evolved separately in
  Europe, North America and Japan till 2.5G
• WCDMA and CDMA2000 1X EV-DO are families of 3G
  standards and technologies
• Discussing on candidate technologies for 4G in
  Super3G, WWRF, 4G Forum

1G
2G
2.5G
3G
3.5G
4G
BeforeCellular
Korea . North America
CDMA (IS-95A,1996)
CDMA2000 1x(Korea, US, Japan)
1xEV-DO
EV-DO Rel.A
AMPS(1983)
IMTS(1969)
IS-95B

• Voice
• 64 kbps Data
• IS-95A
• compatible

• Voice
• 14.4 kbps circuit

• Voice
• 30Km (radius)

• Higher Cap Voice/ Data
• 2.4 Mbps Data
• IS-95A/B Compatible

• Voice Capa(x1.5)
• 153 kbps Data
• IS-95A/B Compatible

• Voice
• 14.4 kbps circuit

Europe
TDMA (IS-136,1993)
EDGE (Europe,US)
W-CDMA (Europe, Korea)
TACS(1985)
HSDPA
GSM
GSM GPRS
NMT

• High Capacity Voice
• 384 kbps Data

• 1.8/7.2Mbps, Data

• Voice
• 9.6 kbps

• 30-40 kbps, Data
• GSM Compatible

Japan
W-CDMA (Japan)
TACS(1979)
PDC
PDC

• Voice
• 28.8 kbps
• PDC Compatible

• Voice
• 9.6 kbps

EDGE Enhanced Data for GSM Evolution GPRS
General Packet Radio Service PDC Personal
Digital Cellular Telecommunication System
WWRF Wireless World Research Forum RAN Radio
Access Network
IMTS Improved Mobile Telephone Service
AMPS Advanced Mobile Phone Service TACS
Total Access Communication System NMT Nordic
Mobile Telephone
48
Example Evolution towards 4G Network

• Not a single, many a choices in standards
  and technologies
• Pick a most appropriate technology among
  similar ones at the risk of multiple investment
  on similar service/market
• WiBro is a Korean challenge but it requires
  standardization work and business model
  development yet
• Increased competitiveness and the complexity of
  market environment due to technology-based license

• WWAN(1xEV-DO, WCDMA)
• Large Coverage
• High Cost

4G
Outdoor
Vehicle

• WPAN (Bluetooth)
• Connectivity
• Low Cost

Walk
Mobility

• WiBro 802.16e
• Mobile Internet
• Moderate Cost

Stationary
Wireless LAN
WCDMA, cdma2000 1x, 1xEV-DO

• WLAN
• Hotspot
• High Speed
• Low Cost

Walk
Indoor
Bluetooth? Anything better? Binary CDMA is the
choice

Stationary
Wired LAN
0.1
1
10
100
Mbps
User Bit rates
49
Example e-Trade Platform Development
Owner / Trading Co.
KFTC SWIFTNet The Bank of Korea Banks Foreign
Exchange Network
Single Window
e-Market Place e-Biz Site Trade Info Site
Portal
Gateway
Marketing
Foreign Exchange
G4C e-Service
Logistics Customs
Settlement
Shipper / Airliner Forwarder CY,Bonded
Warehouse KLNET KILC National BPR/ISP
Credit Eval Co. Korea Export Insurance
Corporation
Data Warehouse
Union/Association KCCI Quarantine
Station Insurance Company Private Institution
Korea Customs Service Customs Broker
ForeignChamber of Commerce
Overseas Branch
Foreign Customs
Global
Foreign Supplier
Bilateral Connection
Foreign Buyer
50
???? 100? ??? ? ???? 71 IT ??
51
Still, Korea has a long way to go

• Nobel Prize Laureate
• RD Investment
• Corruption Perception Index

52
Nobel Prize Laureate
Country Total Economics Peace Literature Physiology / Medicine Chemistry Physics
USA 269 34 18 11 83 51 72
UK 100 7 12 9 26 26 20
Germany / FDR 76 1 4 7 15 27 22
France 49 1 9 13 8 7 11
Sweden 30 2 5 7 8 4 4
Switzerland 22 0 3 2 7 6 4
Russia / USSR 17 1 2 3 2 1 8
Netherlands 15 1 1 0 2 3 8
Italy 14 0 1 6 3 1 3
Denmark 13 0 1 3 5 1 3
Japan 12 0 1 2 1 4 4
Canada 10 1 1 0 2 4 2
53
Nobel Prize Laureate
Country Total Economics Peace Literature Physiology / Medicine Chemistry Physics
Belgium 9 0 3 1 4 1 0
Austria 8 0 2 0 2 1 3
Norway 8 2 2 3 0 1 0
Australia 6 0 0 1 4 1 0
South Africa 6 0 4 1 1 0 0
Spain 6 0 0 5 1 0 0
Argentina 5 0 2 0 2 1 0
Ireland 5 0 1 3 0 0 1
Israel 5 1 3 1 0 0 0
Poland 5 0 1 4 0 0 0
India 4 1 1 1 0 0 1
54
Nobel Prize Laureate
Country Total Economics Peace Literature Physiology / Medicine Chemistry Physics
Egypt 3 0 1 1 0 1 0
Hungary 3 0 0 1 1 1 0
Chile 2 0 0 2 0 0 0
China 2 0 0 0 0 0 2
Czechoslovakia 2 0 0 1 0 1 0
East Timor 2 0 2 0 0 0 0
Finland 2 0 0 1 0 1 0
Greece 2 0 0 2 0 0 0
Guatemala 2 0 1 1 0 0 0
Mexico 2 0 1 1 0 0 0
Portugal 2 0 0 1 1 0 0
55
Nobel Prize Laureate
Country Total Economics Peace Literature Physiology / Medicine Chemistry Physics
Burma 1 0 1 0 0 0 0
Colombia 1 0 0 1 0 0 0
Costa Rica 1 0 1 0 0 0 0
Ghana 1 0 1 0 0 0 0
Iceland 1 0 0 1 0 0 0
Nigeria 1 0 0 1 0 0 0
Pakistan 1 0 0 0 0 0 1
Palestine 1 0 1 0 0 0 0
Saint Lucia 1 0 0 1 0 0 0
South Korea 1 0 1 0 0 0 0
Tibet 1 0 1 0 0 0 0
Vietnam 1 0 1 0 0 0 0
Yugoslavia 1 0 0 1 0 0 0
56

• Top 100 companies
• by RD as a percentage of sales

57
Rank Company RD ( sales) Total RD MUSD
1 Millennium Pharmaceuticals, USA 57.1 318.70
2 Conexant Systems, USA 37.1 268.00
3 Synopsys, USA 32.3 319.99
4 Cadence Design Systems, USA 31.8 423.34
5 Biogen Idec, USA 30.9 747.67
6 MedImmune, USA 30.9 384.60
7 Cephalon, USA 29.3 354.83
8 Dassault Systemes, France 27.7 305.47
9 Agere Systems, USA 27.6 462.00
10 Schwarz Pharma, Germany 26.1 305.44
11 Electronic Arts, USA 25.7 758.00
12 Broadcom, USA 24.4 650.63
13 Cerner, USA 23.6 273.98
14 Serono, Switzerland 23.5 607.90
15 Chiron, USA (now part of Novartis, Switzerland) 21.9 420.81
16 Mitsubishi Pharma, Japan (now part of Mitsubishi Chemical) 21.6 427.72
17 Ono Pharmaceutical, Japan 21.1 259.57
18 Analog Devices, USA 20.8 497.10
19 Eli Lilly, USA 20.7 3,025.50
20 LSI Logic, USA 20.7 397.31
21 Freescale Semiconductor, USA 20.5 1,195.00
22 CA, USA 20.5 781.00
23 UCB, Belgium 20.2 602.78
24 Autodesk, USA 19.8 301.60
25 Schering-Plough, USA 19.6 1,865.00
58
Rank Company RD ( sales) Total RD MUSD
26 Advanced Micro Devices, USA 19.6 1,144.03
27 Maxim Integrated Products, USA 19.6 328.17
28 Lundbeck, Denmark 19.1 274.21
29 Xilinx, USA 18.9 326.13
30 Marvell Technology, Bermuda 18.7 312.88
31 Amgen, USA 18.6 2,314.00
32 Schering, Germany (now part of Bayer) 18.6 1,166.63
33 Adobe Systems, USA 18.6 365.33
34 Novellus Systems, USA 18.5 247.32
35 Infineon Technologies, Germany 18.4 1,466.25
36 Tellabs, USA 18.3 344.00
37 Shire, UK 18 287.15
38 BMC Software, USA 18 269.30
39 Applera, USA 17.9 330.74
40 Qualcomm, USA 17.8 1,011.00
41 Nortel Networks, Canada 17.6 1,856.00
42 Genzyme, USA 17.6 482.50
43 Merck, USA 17.5 3,848.00
44 STMicroelectronics, The Netherlands 17.5 1,554.00
45 Daiichi Pharmaceutical, Japan (now part of Daiichi Sankyo) 17.5 486.48
46 National Semiconductor, USA 17.4 333.00
47 Juniper Networks, USA 17.2 355.42
48 Ericsson, Sweden 16.9 3,220.26
49 Allergan, USA 16.9 391.00
50 Guidant, USA (now part of Boston Scientific) 16.8 598.00
59
Rank Company RD ( sales) Total RD MUSD
51 Symantec, USA 16.5 682.13
52 Intuit, USA 16.5 336.59
53 Atmel, USA 16.5 276.61
54 Kla-Tencor, USA 16.3 340.28
55 Roche, Switzerland 16.1 4,328.80
56 Sun Microsystems, USA 16.1 1,785.00
57 Finmeccanica, Italy 15.6 2,059.59
58 Novo Nordisk, Denmark 15.1 804.17
59 Novartis, Switzerland 15 4,846.00
60 Texas Instruments, USA 15 2,015.00
61 Microsoft, USA 14.9 6,584.00
62 Lucent Technologies, USA 14.9 1,409.00
63 Sanofi-Aventis, France 14.8 4,770.33
64 Nvidia, USA 14.8 352.10
65 Shionogi, Japan 14.8 249.17
66 Wyeth, USA 14.7 2,749.39
67 Sankyo, Japan (now part of Daiichi Sankyo) 14.7 733.32
68 Eisai, Japan 14.7 663.63
69 Forest Laboratories, USA 14.7 410.43
70 ATI Technologies, Canada 14.7 327.02
71 Pfizer, USA 14.5 7,442.00
72 GlaxoSmithKline, UK 14.5 5,383.89
73 Bristol-Myers Squibb, USA 14.3 2,746.00
74 Boehringer Ingelheim, Germany 14.3 1,604.27
75 ALTANA, Germany 14.2 548.47
60
Rank Company RD ( sales) Total RD MUSD
76 AstraZeneca, UK 14.1 3,379.00
77 Marconi (now Telent), UK 13.9 319.33
78 Gilead Sciences, USA 13.7 277.72
79 Alcatel, France 13.6 2,113.86
80 Applied Materials, USA 13.5 940.51
81 Cisco Systems, USA 13.4 3,322.00
82 Intel, USA 13.3 5,145.00
83 BAE Systems, UK 13.2 2,487.64
84 Yamanouchi Pharmaceutical (now Astellas Pharma), Japan 13.2 498.55
85 Oracle, USA 13 1,872.00
86 ASML, The Netherlands 13 388.10
87 SAP, Germany 12.8 1,284.16
88 St Jude Medical, USA 12.7 369.23
89 Takeda Pharmaceutical, Japan 12.6 1,198.48
90 Johnson Johnson, USA 12.5 6,312.00
91 Micron Technology, USA 12.4 603.70
92 Samsung Electro-Mechanics, South Korea 12.4 274.05
93 EMC, USA 12.1 1,171.93
94 Merck, Germany 12.1 841.06
95 Network Appliance, USA 11.8 242.99
96 Nokia, Finland 11.6 4,692.48
97 Yahoo!, USA 11.2 587.53
98 Boston Scientific, USA 10.8 680.00
99 Agilent Technologies, USA 10.6 738.00
100 Carl Zeiss, Germany 10.4 271.31
61
The 2006 Transparency International Corruption
Perception Index (CPI)

• Finland, Iceland, and New Zealand are the world's
  least corrupt countries, and Haiti is the most
  corrupt. The index defines corruption as the
  abuse of public office for private gain and
  measures the degree to which corruption is
  perceived to exist among a country's public
  officials and politicians.
• It is a composite index, drawing on 12 polls and
  surveys from 9 independent institutions, which
  gathered the opinions of business people and
  country analysts. Only 163 of the world's 193
  countries are on the list due to an absence of
  reliable data. The scores range from squeaky
  clean 10 to highly corrupt 0. A score of 5.0 is
  the borderline that do and do not have a serious
  corruption problem.
• Countries significantly improved since the 2005
  were Algeria, Czech Republic, India, Japan,
  Latvia, Lebanon, Mauritius, Paraguay, Slovenia,
  Turkey, Turkmenistan, and Uruguay. Brazil, Cuba,
  Israel, Jordan, Laos, Seychelles, Trinidad and
  Tobago, Tunisia, and the US have a significantly
  worse rating since 2005. Because inclusion in the
  index requires at least three sources
  Afghanistan, Fiji, Liberia, Palestine, and
  Somalia, with only two sources in 2006, are not
  listed.

62
Country-rank, Country, 2006 CPI Score

• 1. Finland 9.6 
• Iceland 9.6 
• New Zealand 9.6
• 4. Denmark 9.5
• 5. Singapore 9.4
• 6. Sweden 9.2
• 7. Switzerland 9.1
• 8. Norway 8.8
• 9. Australia 8.7 
• Netherlands 8.7
• 11. Austria 8.6 
• Luxembourg 8.6 
• UK 8.6
• 14. Canada 8.5
• 15. Hong Kong 8.3
• 16. Germany 8.0
• 17. Japan 7.6
• 18. France 7.4 
• Ireland 7.4

• 20. Belgium 7.3 
• Chile 7.3 
• USA 7.3
• 23. Spain 6.8
• 24. Barbados 6.7 
• Estonia 6.7
• 26. Macao 6.6 
• Portugal 6.6
• 28. Malta 6.4
• Slovenia 6.4 
• Uruguay 6.4
• 31. United Arab Emirates 6.2
• 32. Bhutan 6.0 
• Qatar 6.0
• 34. Israel 5.9 
• Taiwan 5.9
• 36. Bahrain 5.7
• 37. Botswana5.6 
• Cyprus 5.6

63
Country-rank, Country, 2006 CPI Score

• 39. Oman 5.4
• 40. Jordan 5.3
• 41. Hungary 5.2
• 42. Mauritius 5.1 
• South Korea 5.1
• 44. Malaysia 5.0
• 45. Italy 4.9
• 46. Czech Republic4.8 
• Kuwait 4.8 
• Lithuania 4.8
• 49. Latvia 4.7 
• Slovakia 4.7
• 51. South Africa 4.6 
• Tunisia 4.6
• 53. Dominica 4.5
• 54. Greece 4.4
• 55. Costa Rica 4.1 
• Namibia 4.1
• 57. Bulgaria 4.0 

• 59. Colombia 3.9
• 60. Turkey 3.8
• 61. Jamaica 3.7 
• Poland 3.7
• 63. Lebanon 3.6 
• Seychelles 3.6 
• Thailand 3.6
• 66. Belize 3.5 
• Cuba 3.5 
• Grenada 3.5
• 69. Croatia 3.4
• 70. Brazil 3.3 
• China 3.3 
• Egypt 3.3 
• Ghana 3.3 
• India 3.3 
• Mexico 3.3 
• Peru 3.3 
• Saudi Arabia 3.3 

64
Country-rank, Country, 2006 CPI Score

• 99. Dominican Republic 2.8 
• Georgia 2.8 
• Mali 2.8 
• Mongolia 2.8 
• Mozambique 2.8 
• Ukraine 2.8
• 105. Bolivia 2.7 
• Iran 2.7 
• Libya 2.7 
• Macedonia 2.7 
• Malawi 2.7 
• Uganda 2.7
• 111. Albania 2.6 
• Guatemala 2.6 
• Kazakhstan 2.6 
• Laos 2.6 
• Nicaragua 2.6 
• Paraguay 2.6 
• Timor-Leste 2.6 

• 79. Burkina Faso 3.2 
• Lesotho 3.2 
• Moldova 3.2 
• Morocco 3.2 
• Trinidad and Tobago 3.2
• 84. Algeria 3.1 
• Madagascar 3.1 
• Mauritania 3.1 
• Panama 3.1 
• Romania 3.1 
• Sri Lanka 3.1
• 90. Gabon 3.0 
• Serbia 3.0 
• Suriname 3.0
• 93. Argentina 2.9 
• Armenia 2.9 
• Bosnia and Herzgegovina 2.9 
• Eritrea 2.9 
• Syria 2.9 

65
Country-rank, Country, 2006 CPI Score

• 121. Benin 2.5 
• Gambia 2.5 
• Guyana 2.5 
• Honduras 2.5 
• Nepal 2.5 
• Philippine 2.5 
• Russia 2.5 
• Rwanda 2.5 
• Swaziland 2.5
• 130. Azerbaijan 2.4 
• Burundi 2.4 
• Central African Republic 2.4 
• Ethiopia 2.4 
• Indonesia 2.4 
• Papua New Guinea 2.4 
• Togo 2.4 
• Zimbabwe 2.4
• 138. Cameroon 2.3 
• Ecuador 2.3 

• 142. Angola 2.2 
• Congo, Republic 2.2 
• Kenya 2.2 
• Kyrgyzstan 2.2 
• Nigeria 2.2 
• Pakistan 2.2 
• Sierra Leone 2.2 
• Tajikistan 2.2 
• Turkmenistan 2.2
• 151. Belarus 2.1 
• Cambodia 2.1 
• Côte dIvoire 2.1 
• Equatorial Guinea 2.1 
• Uzbekistan 2.1
• 156. Bangladesh 2.0 
• Chad 2.0 
• Congo, Democratic Republic 2.0 
• Sudan 2.0
• 160. Guinea1.9 

66

• My Lifelong Teachers

67
William Edwards Deming

• If you can't describe what you are doing as a
• process, you don't know what you are doing.
• 14 Points for the Transformation of Management
  
• 7 Deadly Diseases of Management

• The Quality Revolution
• Though one-time projects to improve specific
  activities and functions
• will always be important, companies and
  organizations are
• increasingly striving for continuous improvement
  of their operations.
• Quality of output of products and services has
  become widely
• recognized as one of the most important means
  probably the single
• most important means for companies and
  organizations to win
• success in their respective marketplaces, and to
  retain that success.
• Companies and organizations that seek success
  must constantly
• focus on achieving high quality in their products
  and services .

68
Hyman G. Rickover

• Organization doesnt really accomplish anything.
  Plans dont accomplish anything, either. Theories
  of management dont much matter. Endeavors
  succeed or fail because of the people involved.
  Only by attracting the best people will you
  accomplish great deeds.
• When you're trying to get something done, don't
  worry too much about stepping on someone else's
  toes. Nobody gets his toes stepped on unless he
  is standing still or sitting down on the job.
• Great minds discuss ideas, average minds discuss
  events, small minds discuss people. It is
  necessary for us to learn from others mistakes.
  You will not live long enough to make them all
  yourself. Good ideas are not adopted
  automatically. They must be driven into practice
  with courageous impatience.

69
M. K. Gandhi

• Wealth without work
• Pleasure without conscience
• Knowledge without character
• Commerce without morality
• Science without humanity
• Worship without sacrifice
• Politics without principle
• Technology without safety
• Information without reliability
• Education without reality
• Development without sustainability

70

• Remarks to the
• Leaders in Science and Engineering

71
Leaders and Farmers

• Leaders are a lot like farmers. Both are
  future-oriented, working and preparing their
  soil, and strategizing plans for next years
  harvest.
• Leaders and farmers function effectively in both
  the tactical and strategic worlds and appreciate
  the value of investing knowledge now for
  anticipated future gains.
• They know that human intelligence is
  fundamentally the most important unit of
  productivity, and with proper guidance and
  mentoring, it is endlessly renewable.
• If you are leader, think and act like a
  F-A-R-M-E-R.
• Heres the responsibilities of the leader, as
  seen through the eyes of a F-A-R-M-E-R.
• 
  Source IEEE
  USA

72

• FERTILIZE your employee "plants" and their
  surrounding "soil." Good seeds planted in bad
  soil will not yield, but good seeds in good soil
  will bring forth their promise. Provide them with
  the nutrients essential to growth and
  development. Do this regularly and take pleasure
  in watching your employees grow and bloom.
• ATTACH your employee garden to the larger
  corporate farm, making its acreage an integral
  part of the larger harvest. Show its relevance to
  corporate mission and goals place economic value
  on its contributions and show your employees how
  their work benefits the whole farm. Also, dont
  forget to connect your employees to each other.
  Teach them to build synergies and symbiotic
  relationships that leverage their common
  interests, goals and resources.
• REMIND everyone often about their crop growth
  targets measure individual and team performance
  and provide timely feedback. Review progress in
  your garden regularly, and aerate the soil as
  needed, keeping in mind that honest and frank
  discussion is as important as nutrients. Keep
  communication channels open, make sure they are
  used, and urge employees to articulate their work
  across and up the corporate pathways.

73

• MANAGE your crops judiciously, always remembering
  that management and leadership are situational
  and reflect the local existing conditions and the
  level of employee maturity. You wouldnt
  fertilize or prune a large plant in the same way
  you would a small one just the same, you
  shouldnt manage and lead different employees all
  in the same way. Learn to distinguish between
  situations and individuals accurately and then
  act (or don't) accordingly.
• ENCOURAGE employees to branch out and extend
  their roots, expecting them to grow as much
  horizontally as vertically. Let their roots
  intermingle and gain perspective and let them
  get nourishment from different parts of the
  garden. Occasionally you may want to transplant
  or rotate them into other parts of the garden to
  create interesting new clusters and arrangements
  of flowers and fruits.
• REMOVE obstacles that can impede progress, growth
  and development in your garden. Nip the weeds of
  conflict and rumor quickly before they sap off
  nourishment and retard the growth of the entire
  plot. Solve small problems before they endanger
  the whole crop like a damaging insect infestation.

74
Think Globally, Act Locally
Think and Act like a F-A-R-M-E-R
Thank You!