CEO

 

Quality, not quantity 

Renewal is the lifeblood of a successful business. The forest industry is a mature industry where progress does not occur in leaps and bounds; rather innovations move forward in small steps. Improvements must be made persistently every day, and ingredients for renewal need to be found in the entire value chain.

Innovation activity needs to be increased, but more important than quantity is quality. In recent years, the focus of research at UPM has been how to create new added value for forest biomass usage. Applications include, among others, biofuels, biochemicals, biocomposites and fibril cellulose. 

 

UPM invests approximately EUR 45 million per year in R&D. In terms of the company’s turnover, this accounts for only half a percent, a fairly standard rate within the forest industry. Innovations are not created through percentages, however, but through insights. In this respect, 45 million is a remarkable figure, as the number of people working in new research areas has more than doubled in recent years.

 

There are only a limited number of specialists and excellent research teams available within a specific field of expertise. This being the case, UPM develops innovations through networking too. The personnel of even a large company do not possess all the expertise necessary, especially when stepping outside the area of conventional know-how. Nevertheless, we want to obtain the best partners and the best global expertise for each research programme. This is accomplished through networking with small and medium-sized enterprises, research institutes and universities. 

 

Stringently supervised innovation activities enrich all the parties involved. In order to obtain support, a research programme must contribute to competitiveness and renewal. Unless the research topic is genuinely valid, projects seldom yield good results. This motivates companies and research institutes participating in a project. When all the parties are enthusiastic, the research project gives rise to better processes and new business. That is quality.

 

 

Jussi Pesonen

President & CEO