Research Policy Group Meeting : 4th - Sth
September 1986
Present: A.L. Heard, R. Binns, P.M. Denton, P.J.
Dunn
E. Kaush, E.E. Kohnhorst, E. Rittershaus,
C.P. Siqueira R.E. Thornton
Co-ordination of R&D
The opportunity was taken to review changes agreed
last year in
the organisation and strategies for Group R&D and
to assess the
extent to which they had been successfully
implemented. We now
have agreed common objectives, a database of Group
projects,
successful introduction of collaborative projects
and a such
higher degree of integration of the individual R&D
Centres. We
still have to resolve the Issue of sponsorship of
some projects at
Southampton and in formal reporting, particularly
by USA.
Concern had been expressed, at the time that
decentralisation of
Group R&D was introduced, over the willingness of
CAC's to support
longer term fundamental research to improve
products, if faced
with adverse trading circumstances. This fear is
beginning to be
realised as we are seeing calls for short term
economies in the
larger R&D centres despite the fact that there has
been
practically no growth in the CAC R&D Centres
following the
reduction at Southampton.
The lack of co-ordination of Group activities on
additives
guidance is causing problems, for instance, in the
dialogue
between different companies and our principal
suppliers. A need
for discussion between experts from UK, USA, and
West Germany was
agreed and this can probably be achieved when SRG
meets in UK.
T.G. Mitchell is to convene this meeting which
will involve Mrs.
Thee (BATCF) and Dr. J.G. Esterle (B&W).
Co-ordination on patents
activities is working well, and the important
topic of Smoking
Health co-ordination is now such improved
following the
establishment of the SRG.
Reporting
There is a need for adequate reporting of progress
and of
completed projects. It was agreed that project
areas will be
reported half yearly by each laboratory and this
will be entered
00 the computer database. If further details of
vork-in-progress
are required these can be provided an request.
Additionally
status reviews on business objectives will be
produced annually,
these being of particular value to senior
management.
ALH will use the project reviews to determine
whether any of the
work in progress has reached a stage when a
definitive report
should be produced. Such an example is the ammonia
research which
has been shared extensively at the Group Product
Development
Conference and other forums and B&W agrees to
report their detail
work.
Technology Transfer to BATCo companies
Delegates agreed that they would provide to the
Research
Co-ordinator information on product developments
as opposed to
brand developments, Indeed most bad already
supplied such for
building the Group R&D Programme. There was
considerable
resistance to wider dissemination of this
sensitive information. C=)
Concern was expressed that this would make
security of ideas
difficult to guarantee. There also lay the danger
of a small CX:)
company launching a new product ahead of the
company generating
the original idea. ALH was asked to try to
determine specific
BATCo company interests and then to establish &
direct link to the CO
appropriate CAC company. ON
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Whilat this was emphasised for Product Development
concepts, it
was felt to be generally true for all technology
flow between the
CAC R&D Centres and BATCo companies. All centres
agreed to send
to ALE examples where CACs are currently assisting
BATCo
companies, using their research expertise.
Programme Format
Although each laboratory may present its work
programme in a
different way for local purposes, it was agreed
that a version of
each laboratory's programmes could be produced
from a central data
base using a standard format. UK, Souza Cruz and
Ville will
operate exclusively on this format. It is clear
that this
documentation has two purposes: detailed
information for research
scientists and broad information for management.
Some means of
condensing project listings might be helpful for
the latter
purpose and will be explored.
Group Information System
Considerable progress has been made in
establishing the database
during the past year and system is proving useful.
-Further
development involving a meeting of information
specialists will
take place either late 1986 or early 1987, it
being advantageous
to hold the meeting before attempting to put
together next year's
programme.
Allocation of R&D effort
Nov that we have Group information on projects and
related effort,
it is possible to consider priorities. Currently,
almost half of
all Group-related activities is concerned with
subjective smoke
quality and much less effort is devoted to the
other research
objectives. This probably correctly reflects the
current needs of
the Group. Although, for instance, effort on cost
reduction
currently is only 8%, 3 years ago this was a major
priority for US
and Germany. They are now benefitting from that
work.
Whilst the need for short term market successes
was understood, in
general, concern was expressed that we have
insufficient 'seed
corn' research in the product area and this must
be discussed both
locally and centrally with senior managers.
The social acceptability/smoker behaviour issue
was highlighted by
BATCF as being highly important for the future.
These topics were
considered to be an extension of the overall
smoking and health
issue rather than a separate topic and our R&D
effort needs to be
increased. Whilst, for instance, sidestream
reductions represent
one approach and this is being actively pursued in
BATUKE, there
exists a wider range of technical issues to be
taken into account
including beneficial aspects of smoking. BATCF are
developing
some of the thinking in this area. Focussing on
social concern,
the SRG is the forum for identifying key areas for
research and
development and for recommending an appropriate
research programme
and this will form the subject of a meeting of the
SRG in the near
future. Its findings will be considered by the
Research Policy
Group for development of a suitable programme,
Including the C::)
setting of clear objectives using existing
in-house resources and 110
if necessary external expertise. CO
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3
Product Liability
The topic was briefly reviewed with consideration
of the planned
introduction of product liability legislation in
Europe and the
position in the USA. Current opinion indicates a
clear duty to be
aware of relevant scientific literature on smoke
and health
issues, and. if necessary, to carry out
appropriate research on
the product and/or its effects on the smoker.
The SRG will recommend to the RPG whether or not
research
(internal or external) is required on specific
topics.
Scientific Research Group
The first meeting of the group took place in Nice
In April 1986
and the draft Terms of Reference and working
practices were
confirmed. The Terms of Reference are:-
1 - From a scientific view point smoking issues
are defined as the
effects of smoking, if any, on the smoker and
non-smoker
particularly claims as to the association between
smoking, and
individual smoke components, with specific
diseases and/or
normal health.
2. The SRG will identify all available research
(both internal
and external) relevant to smoking issues.
3. The SRG vill evaluate the results, quality and
implications of
such work.
4. The SRC will identify and recommend any
additional research
required, including, wherever possible, the
identification of
research centres where such work could be carried
out.
In order to monitor the literature effectively, it
has been agreed
that a Senior Scientific Adviser be recruited by
BATCo. This
recruitment is currently in hand. The adviser will
scan relevant
literature building from existing group
abstracting resources.
The SRG will become involved in sponsorship of any
external
studies necessary to supplement the substantial
amount of work
currently under way. This meeting proposed a
budget of E200,000
for the first year and all Group members agreed
that this should
be funded by thea. In the future, a higher level
of financial
support may be needed.
Membership of the group as agreed in Nice was
confirmed, i.e.:
Dr. R.E. Thornton BATCo London
Dr. S.R. Nassey Imperial Tobacco, Montreal
Dr. F. Knabjohann BATCF, Hamburg
Dr. F. Seehoffer BATCF, Hamburg
Dr. G. Smith BATUKEj Southampton
Dr. J.G. Eaterle B&W, Louisville
It was stressed that when necessary, consultants
should be used to
provide expert advice. The next meeting of the SRG
will take
place in the UK in January 1987 and will discuss
'Other Noxa'.
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Future Research Conference
This will take place in early October in the
following locations:-
1987 - USA
1988 - Germany
1989 - Canada
The format of the current meeting will be retained
with technical
presentations followed by a separate tvo-day
meeting of the RPG
during which it is expected that there will be a
greater need in
future to respond to the recommendations and the
information
coming from the research programmes of the SRG.
Whilst the RPG
meeting is held, the non-RPG members will cover
technical issues
and an appropriate agenda will be produced by the
Research Manager
of the host country.
Future Funding of R&D
ALH presented three scenarios to be considered as
a basis for
Group funding:-
I. 'Pool and Share" - total Group-relevant project
costs would be
shared out on a turnover basis.
This was not recommended since it would generate
accounting
costs and endless debate over both Z Group effort
in each
centre and 'quality' of turn-ver.
2. "Costs lie where they fall"
On the grounds that in general, although each
centre does
Group-relevant work, practically none is done for
Group
reasons or benefit (it meets the need of the
parent company).
This would favour no cross-charging.
3. -Costs lie where they fall with the exception
of those
attributable to Group Strategic work in UK and
Brazil".
This scenario recoguises that there is work at
Southampton
(L2m) and Brazil (LO.551a) that is Group Strategic
but not
specifically strategic to BATUKE/BATCo.
The proposal is that the Brazil work continue to
be paid by
Souza Cruz but the L2m Southampton shortfall
should be equally
divided between remaining CACs plus BATCo,
preferably on an
equal shares basis in order to move towards
similar total R&D
expenditure against turnover.
The RPG members were asked to comment on three
issues:
1. Did they agree that this particular team of
scientists
doing Group Strategic Fundamental research should
be
retained?
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2. Were they satisfied with all aspects of their
current
programme?
3. Would they be prepared to finance the team
accepting
that this must be for a minimum time period of 3
yearsT
There was a consensus view that we need to retain
this team and
that, in due course, other centres nay build up a
similar
resource. The projects have been subjected to a
critical analysis
and refocussing during the past year by CAC
representatives, and
this will be a continuing exercise. A review team
of CAC
representation will monitor/steer this work each
June.
Delegates would be prepared to recommend funding
provided this did
not result in curtailment of their current plans
and resources.
(Funding on an equal shares basis was accepted by
most delegates,
but Australia found it unacceptable.)
Early Warning System
Last year BATCF proposed to host a Competitive
Intelligence
Meeting and subsequently canvassed Group views. In
view of mixed
reactions and uncertainties over relationships to
non-R&D
functions for example, the meeting was deferred
subject to
reconsideration by this conference.
It was concluded that we should benefit from a
more systematic
evaluation of external factors such as competitor
activity,
economic trends, international regulatory trends,
etc. in so far
as they impact Ln R&D policy and a meeting was
agreed with
specialist members from each country in Spring
1987 to consider
introducing 'Early Warning Systems' of which
competitor
intelligence would be simply one input.
Technical Specialist Meetings
It was agreed that the following meetings will be
held in the next
year:
Analytical Research - Louisville
Flavour Workshop - Canada
Product Development - Germany
(to include Filters and
Sidestream)
Early warning systems - Germany
(if possible, arrange back-to-back
with information Group meeting)
Southampton Research Review - UK
(to include Smoke Control)
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