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Product and Service Innovation

Contents

About This Report

HSE Performance

Social Performance

Economic Performance

Looking Ahead

ProductandServiceInnovation

In order for Smith & Nephew to continue growing we must generate a steady flow of cost-effective and competitive new products and services. During 2007 we invested £142 million in R&D, over 4% of our total sales and continue to earn a reputation for innovative new product development which continues to be in evidence with a stream of new products launched during 2007.

Innovation is carefully focused on development projects that must result in products that provide social and economic benefits, compared with existing alternatives, in terms of patient comfort and speed of recovery, and cost-effectiveness for the healthcare provider. The future direction of Smith & Nephew research and development can be seen on the next page which covers our enabling technologies. For current examples, see the Innovation section on our website.

The following examples show a few examples from each business: