ogy, again accounting for all stages. Within this 

 system planning, finance, management, incentives, and 

 other elements are to be closely integrated. This sys- 

 tem does represent a radical departure from tradition- 

 al practice and has been successful, though it has 

 been slow to diffuse. The pattern and impact of its 

 broadening application in Soviet industry should be 

 followed carefully. 



EVALUATION OF R&D RESULTS AND PERFORMERS 



The basic notion of comprehensive planning of R&D 

 and economic activities implies the ability to prede- 

 termine results in some detail. Thus, in the plan- 

 ning process, a set of evaluative criteria, the tar- 

 gets themselves, are generated and in fact are used 

 in assessment at designated plan deadlines. Because 

 the resulting performance rewards, such as the size 

 of bonus funds, sometimes are planned, it may even 

 be said that evaluation itself to some extent is pre- 

 determined. 



Of course, the accuracy of this characterization 

 increases as the precision and detail of planning in- 

 crease, which occurs as R&D approaches the production 

 assimilation stage. Thus, for design, development, 

 and production establishments formal evaluative cri- 

 teria are utilized which, whenever possible, incorpo- 

 rate quantitative measures. Indicators employed in 

 plan formulation (volume of work, number of projects 

 completed) and project selection (economic return, 

 technical measures, social criteria) are also used in 

 evaluating the establishment. Though calculations of 

 actual or realized economic return are, in principle, 

 to be made following the application of R&D results 

 in production or use, they are in practice rarely 

 computed or recorded. Decisions regarding evaluation 

 and incentives are taken predominantly on the basis 

 of planned or projected estimates of return, not on 

 real results and savings. 



234 



