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GLOSSARY

Broadband

Defined by the ABS as an 'always on' internet connection with an access speed equal to or greater than 256kbps.

Collaboration

Active joint participation with other organisations which involves some sharing of technical or commercial risk. Straight fee-for-service arrangements are deemed not to be collaborative and are therefore excluded.

Financial reference period

Financial year ended 30 June 2011. Business with a different financial year were asked to report for a 12 month period which ended between 1 October 2010 and 30 September 2011.

Innovation

An innovation is the introduction of a new or significantly improved good or service; operational process; organisational/managerial process; or marketing method.

Innovative activity

Innovative activity includes any work that was intended to, or did, result in the introduction of an innovation.

Intellectual property

Refers to the ownership of ideas and control over the tangible or virtual representation of those ideas.

Internet

A world-wide public computer network. Organisations and individuals can connect their computers to this network and exchange information across a country and/or across the world. The internet provides access to a number of communication services including the World Wide Web and carries email, news, entertainment and data files.

Measures of business innovation

Two measures of business innovation are included in this release:

• Innovating businesses - businesses which introduced any type of innovation during the reference period.
• Innovation-active businesses - businesses which had undertaken any innovative activity during the reference period including: introduction of any type of innovation; and/or the development or introduction either still in progress or abandoned.

• Introduced - the business successfully introduced an innovation during the reference period (although the innovation does not need to have been commercially successful).
• Still in development - the business was in the process of developing or introducing an innovation during the reference period but work on the innovation was still in progress at the end of the period.
• Abandoned - the business abandoned the development and/or introduction of an innovation during the reference period (i.e. work on the innovation ceased without full introduction occurring).

• Goods or services - Any good or service or combination of these which is new to a business (or significantly improved). Its characteristics or intended uses differ significantly from those previously produced/offered.
• Operational processes - New or significantly improved methods of producing or delivering goods or services of a business (including significant change in techniques, equipment and/or software).
• Organisational/managerial processes - New or significantly improved strategies, structures or routines of a business which aim to improve performance.
• Marketing methods - New or significantly improved design, packaging, placement, pricing, promotion or sales method aimed to increase the appeal of goods or services of a business or to enter new markets.