INSEAD: Why is it important for businesses to protect their intellectual property?

Ian Fletcher: Every business has an investment in its ideas and its reputation. By protecting their intellectual property they can:

• Identify and differentiate themselves
• Ensure that their business enjoys the full benefits of their creations and efforts
• Build and protect their reputation

Having a positive and well-thought through approach which identifies, protects and manages intellectual property will lead to financial reward.

Our objective is to help people and companies turn their ideas and inventions into profitable businesses and gain financial reward. However, we have seen from awareness survey results that over 90% of small to medium-sized businesses in the UK do not have any policies in place to identify or protect their intellectual property. These results clearly identify the challenge that leaders of such businesses throughout the economy face today.

INSEAD: Which is the most complicated area - patents, designs, trade marks or copyright - when issuing IP rights and why?

IF: Unquestionably copyright, simply for the reason that copyright is not 'issued'. Copyright exists when someone creates something. For example, as soon as you wrote the introduction about me, depending on your employment contract, INSEAD owns the copyright. Every time you write, read, listen or watch something you are interacting with the copyright framework.

It is also politically controversial as many people believe that they shouldn't have to pay for material, such as text, music or films that they can record, copy or download from the internet. Whereas rights holders believe that more should be done to help them enforce their rights. Today there is a very large difference between legal rights and what people actually do. And technology continues to offer more ways in which copyright material can be easily created and consumed.

INSEAD: What are the costs involved for a business to obtain IP rights for their intellectual property?

IF: For patents and trade marks the costs are mainly legal fees. However, today many businesses apply for trade marks directly without using legal representation. We receive about 40% of trade mark applications directly from businesses representing themselves, which we encourage by making special efforts to help them.

As previously mentioned, copyright is a world where no particular action is necessary to have the right, but steps should be taken to protect it, which would normally involve costs from legal action and/or commercial advice to implement the right contractual framework. Our research clearly shows that the benefits of using such a framework easily outweigh costs in almost all circumstances.

INSEAD: How do businesses minimise abuse of their intellectual property on the internet?

IF: The simple answer is to be aware of what's going on. Eternal vigilance is the price of success in making good commercial use of the internet. In the case of any misuse of material, action should be taken immediately. One of the dangers of managing material on the internet is letting things drift.

INSEAD: If a person or company has not obtained IP rights for their intellectual property can anyone use their material?

IF: The legal position varies. But it is fair to assume that any material is at risk of being used by others if a business or person has not thought through how they are going to protect it in their jurisdiction.

INSEAD: Have you encountered many counterfeit or piracy cases?

IF: Yes, we actually have an enforcement team in our office which includes a police officer. This team coordinates police work and works with the Serious Organised Crime Agency and with local authorities. One case that highlights their work involved a famous singer whose name I cannot mention for confidentiality reasons. Just before the singer was about to release a new recording, a physical copy was stolen. Due to the enforcement team's diligent work, we found out where the recording was being kept whilst the thief was intending to sell it on the internet. The police officer in our enforcement team drove half-way across the country to recover the recording before it was sold and arrested the thief. We believe that the singer in question was saved from a substantial financial loss.

INSEAD: Are there standard IP regulations/procedures that exist on a global level?

IF: There are international arrangements for patents and trade marks. The Patent Corporation Treaty, which is administered by the World Intellectual Property Organisation (WIPO) provides a procedure for businesses or individuals to apply for protection in multiple jurisdictions. There is a similar procedure for trade marks, but it is less well developed.

The creation of an efficient global system for patent and trade mark protection, and improving the copyright system is a major challenge as ideas move very quickly in a globalised world. IP rights are territorial and can be extremely long to administer. One of the roles of the WIPO is to establish a forum for the development of new global intellectual property rules to comprehensively address the challenges of globalisation. This forum has been slow to take off due to internal management restructuring, but we are hoping to see progress very soon as a new top management structure has been put in place.

INSEAD: Can you tell us about the UK Intellectual Property Office's role as an executive agency of the Department of Innovation, Universities and Skills (DIUS)?

IF: In policy and operations we report to ministers in the DIUS and we contribute to their broader objectives in promoting innovation in the UK economy. As previously mentioned a relatively low number of companies have a good awareness of IP issues and take good steps to protect their IP. It is a similar case for educational institutions. As an executive agency of the DIUS, we use some of our resources to fund large and expanding programmes at universities and schools which helps in relaying the message that ideas have value and that steps can be taken to identify and protect intellectual property in a systematic way which can lead to financial profit.

INSEAD: Why did you decide to take the Advanced Management Programme (AMP) at INSEAD?

IF: In 2005 I was part of the UK civil service high potential scheme. At this time I wanted to improve my general management skills. The scheme suggested that I take the AMP at INSEAD, which I did and found it terrific! I wouldn't be here today if I had not taken the programme.

INSEAD: How has taking the AMP helped you professionally?

IF: It is important to challenge our mental maps, the established ideas and beliefs of how the world operates and to receive new fresh input, otherwise we become stale. The AMP gave me fresh insights and new ways of thinking and taking decisions. In professional terms it was transformational for me.

Part of the AMP looks at the person, looking at health and lifestyle which was extremely valuable. Before I took the AMP I only use to run to escape personal danger! Now I run regularly and it has had a significant benefit on my health.

At the end of the programme we had an excellent exercise where we analysed particular individual business problems. I was wise enough to follow the advice given to me upon my return, and it worked! I significantly improved my professional reputation as a direct result.

INSEAD: Do you have any ideas/recommendations that could enhance the AMP at INSEAD?

IF: The programme could include intellectual property. It is important for leaders of companies to understand the framework and consider the entire area of brand management, creativity, ideas, innovations and how they are connected.

INSEAD: What is your most favourite memory from your four weeks on campus?

IF: I have many wonderful memories from INSEAD. Running through the forest on a beautiful autumn day, the partners' weekend which cemented the relationship with the lady that I am about to marry, and the beautiful use of the English language by professors from around the world teaching their particular subjects. INSEAD is a very special place.