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Purpose

This article introduces a three‐part approach to improving the results of discovery programs.

Design/methodology/approach

The authors studied successful R&D programs to determine the right elements of a process for discovery‐based innovation that improved the commercial focus of invention without disturbing the subtle creative dynamics of a successful research organization.

Findings

The search led the authors to the following three‐part approach: run discovery as a separate business, not as part of a business; focus on the economics of the process, not of the project; focus on decision‐making effectiveness, not functional efficiency.

Research limitations/implications

The financial impact of authors’ approach needs to be studied and validated.

Practical implications

The authors’ approach provides managers with clear guidelines for structuring their research discovery programs.

Originality/value

The authors’ approach contradicts much conventional thinking.

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