1981 Volume 2

As a contribution to the discussion of the research and development process in publicly funded institutes working in the pulp and paper field, the effort in the CSIRO division of Chemical Technology, Melbourne, is described under the following headings: function: the Division as part of CSIRO: staff: research programmes: research administration: funding: career structure and remuneration: interaction with industry and other outside bodies: and achievements. Brief reference is made to pulp and paper laboratories in neighbouring countries, which are usually part of a Forest Research Institute.

In connection with the theme of this Symposium, it appears that the relationship between fundamental research and papermaking can be traced through the Proceedings of previous Symposia, as shown for example by the impacts of the hydrogen, bonding theory on paper strength, the theory of electrokinetic interactions on paper formation, the theory of glass transitions on high yield pulping, the understanding of fibre morphology on resource extension and the theory of hydrodynamics on wet end improvements.

Fundamental research is a long term activity and the results will generally not have an influence on industrial development for a long time. It is however essential for the progress of the industry, but cannot be justly evaluated by any short-term economic formula.

Fundamental research in the Swedish pulp and paper industry is today mainly carried out at the Swedish Forest Products Research Laboratory (STFI). STFI is a collective research institute and is financed jointly by the pulp and paper industry, through the Pulp and Paper Association and by the state, through the National Swedish Board for Technical Development (STU). The budget for STFI amounts to 60m SKr of which approximately 70% is financed by the basic agreement between the state and the industry, whereby the state carries a share of 42% and the industry 58%. The remaining 30% of the budget is financed by different funds and from contract research.

The pulp and paper industry together with the state also supports research at a number of other institutes, such as the Swedish Water and Air Pollution Research Institute (IVL), the Institute for Surface Chemistry, the Swedish Packaging Research Institute, and the Graphic Arts Research Laboratory (GFL). The necessary coordination of the different activities is in the hands of a research committee organised by the Pulp and Paper Association which has to formulate the R & D policy of the industry and to propose to the board of the Association how the available funds should be distributed among the different institutions and research projects. The industry is represented on the board of STFI, in the advisory research council of the Institute, and in a number of special committees for different research areas.

The primary missions, Research, Education and Information, of the Institute are discussed. The overall organisation, operation and funding of the Institute are described. The process for developing research priorities and programmes and assessing progress is discussed with emphasis on the benefits of industry-institute interactions. An assessment of the strengths and weaknesses of our present mode of operation is presented.

Organisation of research in the paper industry in socialist countries is dealt with, giving data on participation of state owned institutes, universities and mills, on sources of financing, on co-ordination by governmental institutions, and on the percentage of fundamental research.

Co-operation within the framework of bilateral agreements or of the Council of Mutual Economic Co-operation is discussed, and some examples of such common projects are given. Some achievements in fundamental and applied research are listed. Research centres in eastern and western countries are compared.

For over a hundred years, the Japanese pulp and paper industry, which dates back to 1873, has had to struggle with three major problems.

For the first 40 years, it had to compete with traditional hand-sheet making. The introduction of mass-production technology from abroad allowed the machine-made paper industry to surpass hand-sheet production.

The particular role played by a contract research laboratory such as Battelle will be examined. This role is affected by the different approaches which a contract research laboratory has necessarily to adopt. Specific single-company sponsored research, as opposed to government or multi-company programmes, is seldom fundamental. However, the advantages of using a nonspecialised laboratory to address specialised problems are several, and examples will be given of the results which can be obtained in this context.

Technical Research as a formalised departmental activity at Beloit was begun in approximately 1957, with instructions from Mr. Lloyd Hornbostel, Vice-President of Engineering, to set up a Research Department.

Innovation, revolutionary change, is a major element of economic growth and brings about changes in productivity, employment and competitiveness, nationally and internationally. The prime requirement for innovation is existing or latent market need. R & D is not a sufficient component in itself to bring about innovation. Fundamental research work is probably most cost-effective if directed towards solving the problems of evolutionary change.

Revolutionary innovation challenges the established order, changes patterns of work, makes capital plant redundant and sometimes eliminates the whole market for certain products. Generally it involves risks and time-scales far beyond those normally handled in a company. Increasingly it requires large amounts of revenue and capital.

To overcome these obstacles to innovation requires a strong sense of purpose in an organisation and strong direction of research activity. Given our own industry’s pitiful profit record Government support may be necessary. However, stronger funding of a smaller number of projects should be the aim.

The necessities and possibilities of companies to do research work essentially depend on the supply of raw material, on the market facts, on product grades and production structure, and on the financial means available.

The implementation of research and development activities of Feldmuhle Aktiengesellschaft with its 8 paper and board mills in Germany, with a capacity of 1.2 million tons, is discussed.

The paper refers to various aspects of the research organisation, including personnel and the scope of the different functions and their co-ordination within the enterprise. It emphasises the long-term planning of research and development projects, and describes how the costs involved are allocated to the various divisions of the company. Finally, some examples of successful research work are given.

About five years ago, signs began appearing that economic growth in the United States was losing its vitality. In an economy as complex as that of the US it is not always easy to distinguish symptoms from causes. Industrial innovation has long been recognised as the engine of the American economy, and it was clear that this loss of power could not be explained simply in terms of OPEC and the rapid rise in the cost of energy. Many measures of the “State of Innovations” have shown signs of a downturn. President Carter initiated a cabinet-level study of the extent to which government regulation might be to blame, and numerous other groups have analysed the extent to which other factors have contributed to the decline.