Evaluation criteria of R&D qualification in Hungary

?Frequently asked questions
Is there any research-development going on at all in line with the Hungarian practice?
Yes, there is research-development going on at your business in line with the hungarian practice!

Under Hungarian legislation, research-development activities include those that have the all following general characteristics at the same time:
Novel: Its result being new, not known in this form and/or with this characteristics (not part of technology as exist at the time).
Creative: It is created on the basis of a unique, non-apparent idea and concept.
Uncertain: The result is not obvious, an expert cannot simply arrive to the particulat conclusion, due to the uncertainties around implementation.
Systematic: In each case, creation of the result requires systematic and documented experimenting.
Transferable and/or reproducible: The description of the R&D process has to be concrete enough, so that other competent experts could potentially realize the same research.

Research-development in Hungarian practice has three basic types

Basic research

An activity performed to acquire new scientific and technical knowledge, without an intention to apply the results for some practical objective.
Essence: To get new knowledge, without using it in any practical application
Example: In a project from a company engaged in the production of natural cosmetics, natural sites and spots in Hungary with plants with high natural level of active ingredients under no environmental protection are searched, discovered and described.

Applied research (industrial research)

To obtain new knowledge and expertise for the development of new products and services, or for the continued development of products and services already existing.
Essence: To obtain new knowledge, for the development of practical applications.
Example: A company engaged in the production of natural cosmetics examines chemical processes to find the most suitable one for the most effective extraction of high active ingredient content of plants collected from natural sites and spots.

Experimental development:

Acquisition, summarization, formation and use of existing scientific, technological, commercial and other relevant knowledge and expertise to elaborate new products, processes or services, or to improve existing products, processes or services
Essence: To utilise current knowledge for the development of new products. 
Example: A company engaged in the production of natural cosmetics creates a new product formula to expend its product portfolio and product offering, by using active ingredients and components from plants collected from natural sites and spots that were not used in the industry for this purpose.

Most common form of research&development and innovation in Hungarian corporate practice

Product development: Development of new products to expand the product range.

Technological development: Development and launch of new procedures in any area of corporate operations.

Service development: Development of new services to expand service offering.

Software development: Joint implementation of new algorithms and their use.

Introduction of equivalent solutions: Introduction of new materials, components and parts.

Research-development services: Provision of research-development services based on customer orders, by developing prototypes and creation of industrial research items.

Technological transfer: Introduction and application of research-development findings and items purchased from external parties.

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