Showing posts with label IPscore. Show all posts
Showing posts with label IPscore. Show all posts

Thursday, 14 January 2010

Patents - Do Guys Think You’re Worthless?

Hidden away in Vienna, the European Patent Office (EPO) has a Directorate of Databases and Promotion that offers IPScore, a “free-of charge tool to support the patent strategy of companies, mainly SMEs, and to steer the volume of applications by eliminating potentially “worthless” applications.” Intrigued, the Licensing Executives Society Britain & Ireland recently arranged for the EPO’s Johannes Schaaf to give an afternoon workshop on the tool.

IPscore®

Perhaps not surprisingly given its name, the tool is a scoring system of the kind familiar to many of us from women’s’ magazines (try e.g. cosmo_quiz_do_guys_find_you_intriguing). For each of forty questions about the target patent, the user is asked to choose one of five responses, each response having a different score. The questions fall into five groups covering “legal status”, “technology”, “market conditions”, “finance” and “strategy”.

On completion of the questionnaire, the user is provided with a radar plot illustrating the eight or so responses for each group of questions. As is usual with such plots, these can be used to highlight strengths and weaknesses of the patent. The tool also prepares a “quick and dirty” monetary valuation of the patent.

Using the tool on a portfolio of patents also generates a 4x4 grid illustrating the relative risk and opportunity of each portfolio member. This allows “worthless” high risk/low opportunity patents to be culled. Readers may recognize similarities here with the new product portfolio management work of Cooper and Edgett.

Herr Schaaf took pains to stress that IPScore was primarily a qualitative tool that provides a guide for locating potential gains / cost savings. Given that the tool demands answers from legal, technology, marketing, finance and strategy departments, he also suggested that it was a means for promoting dialogue about patents within the company.

Unfortunately, the limited time available did not allow discussion of the theory and data underlying the tool, which was apparently developed by the Copenhagen Business School in collaboration with the Danish Patent Office. In particular, it was not clear whether all forty questions were given equal weighting or whether some, e.g. “what is the market growth in the business area where the patented technology is utilized” were weighted more heavily than others, e.g. “what is the status of the patent”. As often noted by Neil Wilkof on this blog (see e.g. here), IP is sometimes more crucial, sometimes less crucial to the success of a particular company and its activities.

The EPO are also targeting the tool at SMEs. Again, there was no time to explore the EPO’s reasoning for this: Does the EPO believe that large companies do not require help with patent strategy? Do large companies not have potentially worthless applications? Or does the EPO believe that large companies have better ways of managing their IP, in which case should not such techniques be made available to the IP managers of small technology companies, where IP may in fact be more important than in large companies?

This post was guest-blogged by Ian P. Hartwell

Saturday, 7 March 2009

IPscore, a new patent valuation toy

Here's an interesting toy for those who want to do their own patent valuations, drawn to my attention by David Nelms of Potter Clarkson. Last week the European Patent Office announced IPscore, its new free-to-use patent portfolio management tool, which can be downloaded from the EPO website here (together with 30-minute video and training manual). 

Right: a good score on IPscore -- will it be music to the patent owner's ears?

You're supposed to register for it here, though, enabling the EPO do do its data capture exercise. According to the EPO:
"You can use IPscore to:

examine your company's patent portfolio
analyse the value of individual patents
align your company's patent strategy with your overall business strategy
make the best use of patents as a business tool
identify opportunities and risks.
The tool uses 40 factors to assess each patent and visualises the input in spider and portfolio diagrams. The results of the evaluation are stored in a database.

IPscore was originally developed by the Danish Patent and Trademark Office, but was later bought by the EPO.

Training
Accompanying the release of IPscore, we have also posted a short introductory video called "Patent portfolio management with IPscore".

Other training opportunities include an online "virtual classroom" session and a two-day training course at the EPO, which provides a thorough introduction to patent valuation and how to use IPscore. The course includes hands-on exercises to help you get to know how to use the many features".
E-learning site here. There's also a users' forum here
If you have any interesting experiences arising from the use of IPscore, please let IP Finance know.