Ιnnovation Survey 2000-2002

Methodological Note on the Ιnnovation Survey 2000-2002
The innovation survey was carried out during the first quarter of 2004 with reference period 2000 – 2002. The aim of the survey, which was carried out for the first time in Cyprus, was the collection of data, not only on the type of innovation activities but also on the impact and benefits of such activities on enterprises.
The survey covered only enterprises with 10 or more employees. The population of the survey numbered 1.330 enterprises, active in one of the
following branches of economic activity (in brackets, the NACE Rev. 1.1
Industry - Mining and quarrying (section C) - Manufacturing (section D) - Electricity, gas and water supply (section E)
Services - Wholesale trade and commission trade, except of motor vehicles and
motorcycles (division 51) - Transport, storage and communication (section I) - Financial intermediation (section J) - Computer and related activities (division 72) - Research and development (division 73) - Architectural and engineering activities (group 74.2) - Technical testing and analysis (group 74.3)

The survey was fully harmonised with the methodological guidelines set out by the Statistical Office of the European Communities (Eurostat), on the basis of the core questionnaire adopted by all EU Member States within the context of the third Community Innovation Survey (CIS III). To enable international comparisons, the definitions and concepts of the Oslo Manual, developed by the Organisation for Economic Co-operation and Development (OECD) was used.

The survey was carried out by personal interview at the enterprises’ premises. Since the majority of the questions posed related to strategic planning and management issues, efforts were made to ensure that the interviews were carried out either with the general manager or with other senior staff of the enterprise who would be familiar with its performance, objectives and prospects.

What is innovation

Innovation is a new or significantly improved product (good or service) introduced to the market or the introduction within an enterprise of a new or significantly improved process. Innovations are based on the results of new technological developments, new combinations of existing technology or the utilisation of other knowledge acquired by the enterprise.
Innovations may be developed by the innovating enterprise or by another enterprise; however, purely selling innovations wholly produced and
developed by other enterprises are not included as an innovation activity.
Innovations should be new to the enterprise concerned; for product innovations they do not necessarily have to be new to the market and for process innovations the enterprise does not necessarily have to be the first to have introduced the process.
A product innovation is a product (good or service) which is either new or significantly improved with respect to its fundamental characteristics,
technical specifications, incorporated software or other immaterial components, intended uses, or user friendliness. Changes of a solely aesthetic nature are not included.
A process innovation includes new and significantly improved production technology, methods of supplying services and of delivering products. The outcome (of the process) should be significant with respect to the level of output, quality of products or costs of production and distribution.
Purely organisational or managerial changes are not included.
The degree of innovation activity in an enterprise is summarised as
1. Total enterprises 1.1 Innovation active enterprises 1.1.1 Product and/or process innovator 1.1.1.1 Product innovator only 1.1.1.2 Process innovator only
1.1.1.3 Product and process innovator 1.1.2. Ongoing and/or abandoned innovation activities 1.2 Non-innovative enterprises


Last Update: 26/07/2006