Research & Development

WACKER’s research and development pursues three goals.

  • Firstly, we search for solutions that meet our customers’ needs and contribute to their market success.
  • Secondly, we optimize our processes in order to be the technology leader and to be sustainably profitable.
  • Thirdly, we concentrate on creating innovative products and applications for new markets and on serving future trends, such as higher energy requirements, urbanization, digitization and growing prosperity.

R&D Expenses

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€ million

 

2014

 

2013

 

2012

 

2011

 

2010

 

2009

 

2008

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Research and development expenses

 

183.1

 

173.8

 

173.7

 

172.9

 

165.1

 

164.0

 

163.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

In 2014, R&D expenses amounted to € 183.1 million (2013: € 173.8 million). At 3.8 percent (2013: 3.9 percent), the R&D rate – research and development spending as a percentage of Group sales – was down slightly from the previous year’s figure due to the positive sales trend.

New-Product Rate (NPR) 1

New-Product Rate (NPR) (bar chart)New-Product Rate (NPR) (bar chart)

1 Percentage of sales accounted for by products launched in the last five years

We received about € 1.2 million from licensing agreements in 2014 (2013: € 7.3 million). The year-on-year reduction reflects the acquisition of a majority stake in Siltronic Samsung Wafer Pte. Ltd. in Singapore and the expiration of licensed patents. WACKER’s innovative strength is reflected in the number of patents held and patent applications submitted. In 2014, we filed 111 patent applications (2013: 123). Our portfolio contains about 5,200 active patents worldwide, as well as 2,100 patent applications currently pending.

Licensing Income

Licensing Income (bar chart)Licensing Income (bar chart)

In 2014, WACKER invested € 7.8 million in R&D facilities (2013: € 5.9 million). This is a substantial increase over the prior-year figure and clearly affirms WACKER’s commitment to innovation. Among our investments in 2014 were new pilot plants where promising laboratory results are scaled up in an intermediate stage prior to full production. Examples include a plant in which we investigate the generation of trichlorosilane, and a new polymerization process. Further investment spending funded laboratory equipment to investigate full cells of lithium-ion batteries, for example. We have additionally invested in analytical equipment that will provide us with quick and precise results for use in the evaluation of experiments.

Investment in R&D Facilities

Investment in R&D Facilities (bar chart)Investment in R&D Facilities (bar chart)

Breakdown of R&D Expenditures

Breakdown of R&D Expenditures (pie chart)Breakdown of R&D Expenditures (pie chart)

Most of the € 183.1 million (2013: € 173.8 million) in R&D costs was spent on the development of new products and production processes. WACKER scientists are currently working on some 270 projects based on more than 40 technology platforms. Over 20 percent of these topics are key strategic projects, which account for 41 percent of all project costs (totaling € 71.5 million) incurred in 2014. WACKER operates in highly promising fields, ranging from energy, electronics, construction and automotive engineering to household and personal-care products, food and biotechnology. We launched the New Solutions initiative in 2013. Its goal is to develop technically and commercially superior solutions for new applications. Expertise from various areas in the company is consolidated groupwide and applied to projects as needed. In 2014, we worked on ten projects in this program. The market and technology evaluations conducted under the initiative revealed potential additional sales worth hundreds of millions. Initial solutions developed through the New Solutions initiative have already been placed with customers for application testing.

In 2014, we spent some € 768,000 (2013: € 170,000) on R&D expertise from third parties. The rise in these expenditures, which are distributed among three partners, is due to the acquisition of a know-how package.

Some of the research projects we completed in 2014 were subsidized by government grants. Here are two examples:

  • In the Fusion Proteins project, the German Federal Ministry of Education and Research (BMBF) and the Bavarian Ministry of Economic Affairs, Infrastructure, Transport and Technology (STMWi) funded research on optimizing the industrial-scale production of proteins. This is being done through the secretion of fusion proteins in specific E. coli K-12 bacterial strains.
  • In the Olefinic Fatty Acids project, the German Federal Ministry of Food, Agriculture and Consumer Protection (BMELV) funded work on new methods for cleaving, transforming and functionalizing olefinic fatty acids. We developed a method by which olefinic specialty chemicals can be manufactured.

During 2014, our business divisions and Central R&D submitted applications for eight more projects (in the areas of lightweight construction, energy storage, biologics and electronics) to government sponsors, with approvals pending. Our externally-funded research projects are coordinated by our Public Funding office, which evaluates candidate programs, submits our project proposals and manages contacts with funders.

Research and Development at Two Levels

WACKER conducts R&D at two levels: centrally at our Corporate Research & Development department and locally at our business divisions. Corporate R&D coordinates activities on a company-wide basis and involves other departments, such as Corporate Engineering (during process development). We also use a management process to keep our R&D projects transparent throughout the Group. In 2014, we further optimized the Project System Innovation (PSI) program we use to manage our projects, focusing on making the compiled data more relevant in terms of actual benefits for projects and the portfolio.

Strategic Collaboration with Customers and Research Institutes

Research Work at WACKER

Alexander Wacker Innovation Award

Siltronic Inventor Award

Selected Corporate R&D Research Topics

Selected Divisional Research Projects

Transferring Knowledge Locally