Spring 2014 issue of Horizons

LIFE SCIENCES

∙ Infringement: A common threat to maximizing IP value is infringement by competitors. Infringement can be overt or subtle and can often go unnoticed without properly monitoring the actions of competing organizations. ∙ Mismanagement: Negligence can lead to a loss of an organization’s right to utilize and prevent others from utilizing IP. Conversely, organizations often hold rights to IP that is no longer used. How are you identifying IP that needs to be maintained, as well as ensuring you are capturing any value to IP that is no longer used? ∙ Reputational: The ease and speed of communication and information flow has never been higher, and will continue to improve. This can create significant brand or reputational risk for organizations. Mitigating IP Risks The following control activities are examples of how organizations can effectively design, implement, and monitor IP internal controls. Control Environment ∙ Establish formal policies related to the retention and access of critical IP documentation. ∙ Develop an IP leadership structure responsible for the overall management of the IP process within the company. ∙ Delegate authority to individuals charged with providing media content on behalf of the organization and ensure that all communication with the public is initiated by individuals with the authority to do so. Infringement Monitoring ∙ Enlist the services of specialized IP legal counsel or consultants. ∙ Distribute examples of newly submitted competitor trademarks and patents registrations to those involved with the development of IP for their review for potential infringement.

assets within an organization that can be categorized as trade secrets.

Once identified, policies and procedures can be established to protect them. Various state and federal laws include provisions on reasonable efforts companies should make to protect trade secrets so they can be recognized as legally protected. Communications Related: Media, Brand, Reputation Reputation, brand, and image are intangible assets that can be just as important to companies as patents or trade secrets. In today’s connected economy, these assets are increasingly at risk. Companies are using social media to reach new and existing customers. Content issued through such media is often created quickly and without significant oversight by management. While this gives organizations the ability to quickly reach customers through alternative communication channels, it also exposes them to an increased risk of negatively impacting their brand and reputation. Organizations should be able to identify each communication medium they use, no matter how insignificant, and ensure that those who are tasked with representing the organization in public forums are authorized to do so. Identifying IP Risks In order to establish internal controls and organizational practices to protect your IP, you must identify the risks you face. The following are examples of threats organizations face: ∙ Misappropriation: Misuse or outright theft of IP is a real threat. Though security of IP from threats outside the organization is often given considerable thought, protection from misuse by internal personnel, either intentional or inadvertent, often gets significantly less attention from management.

page 50 | horizons Spring 2014