The First Standards by LES are Approved by ANSI
Intellectual Capital in the Boardroom is the first standard by LES to be approved by ANSI. The purpose of this standard is to improve board oversight of Intellectual Capital (IC) management because a company’s IC management drives the ability to convert that IC into enterprise value or mitigate related risk.
The second standard approved by ANSI, Management System for the Protection of Intellectual Property in the Supply Chain, provides practical requirements in establishing and implementing an Intellectual Property (IP) Protection Management System (IPPMS) aimed at achieving improvements in the protection of all types of IP within an organization and throughout all levels of its global supply chain.
LES is an ANSI-accredited standards developer for IP-related business process standards intended to enhance the quality, efficiency, and ethics in commercial transactions involving intellectual property. The purpose of all LES standards in the field of intellectual property is to develop management frameworks and business process standards that accomplish one or more of the following objectives:
- Make good IP management and transaction practice more understandable and accessible throughout the enterprise, from the boardroom down to individual contributors
- Improve the practice of IP management and, by doing so, enhance shareholder value and mitigate litigation risk through the establishment of safe harbors
- Enhance the efficiency of and reduce the cost and time required to do IP transactions and management
- Establish expectations for how an enterprise manages and protects IP in its relationships with third parties
- Protect and preserve IP value for innovative individuals and enterprises
- Encourage investment in innovation and enhance the economic well-being of society
The LES IC in the Boardroom Standards Committee is led by subject-matter experts who are board directors and executives from organizations that are large and small, private and public. The document contains a set of management system requirements around IC that is applicable to all organizations at any level in all business sectors, regardless of type, size, geographic location, industry sector, products, or services provided.
What it is:
- A business process standard for board directors to distill, discuss, and oversee material intellectual capital value-enhancement and risk-mitigation in today’s “new economy.”
- A first of its kind standard for intellectual capital management, particularly at the board level:
- Developed by the Licensing Executives Society (LES) of licensing and technology transfer professionals; and
- Approved by the American National Standards Institute (ANSI), which is an open, consensus-based, voluntary standards development organization.
This standard provides:
- a concise common-language for professionals of different backgrounds to communicate and understand each other;
- tools to understand what additional, related intellectual capital can enhance existing value and mitigate risk at a level material to board oversight; and
- a 5-step process to teach and evidence adequate board director oversight of intellectual capital material to the company and its shareholders.
Why it matters:
- Intellectual capital drives material value and risk for companies irrespective of technology, geography, revenue, size or maturity.
- Intellectual capital includes technology assets and their intellectual property rights, commercial rights, intangible assets, human capital and relationship capital that are often the most important to value and risk in today’s economy.
- Standards make intellectual capital management more efficient and predictable and establish a baseline to evidence board directors are adequately and appropriately discharging their oversight responsibilities.
- This Standard reduces friction and uncertainty and increases the common understanding of what could and should be done to align the board and c-suite for delivery on strategic initiatives.
The IC in the Boardroom Standards is Now Available for Purchase
ANSI/LES ICBR Version 1.0-2022 Intellectual Capital in the Boardroom can be purchased in single license or in a bundle of 10 licenses or 25 licenses.
In the News:
The purpose of this LES Standard is to provide practical requirements in establishing and implementing an Intellectual Property (IP) Protection Management System (IPPMS) aimed at achieving improvements in the protection of all types of IP within an organization and throughout all levels of its global supply chain. This LES Standard is applicable for any organization.
We envision that this standard can be used by:
- an organization as guidance for developing and implementing their own IPPMS
- an organization to establish expectations for the IPPMS of the third parties they work with and to assess the maturity of the IPPMS
- organizations to voluntarily contract with a qualified independent organization to assess the maturity of the IPPMS
Scope of this Standard:
- The IP Protection in the Supply Chain is intended to drive the development and adoption of global standards for organizations to follow for the purpose of achieving significant improvements in protection of all types of intellectual property (IP) at all levels within the supply chain.
- This standard supplements legal and contractual IP protection methods through performance standards and business processes that define the management systems required to protect all types of intellectual property (IP) in the global supply chain.
- This standard will enable consistency in expectations and behaviors by providing a reliable guide for the management and protection of IP in the supply chain.
- This standard is intended to be applicable to all organizations at any level in the supply chain in a wide variety of business sectors, regardless of type, size, geographic location, industry sector, products, or services provided.
Topical Areas Addressed in this Standard:
The standard defines IP Management System requirements for the protection of IP in the following areas:
- Management Commitment
- Documentation and Records
- Classification and Marking
- Facility Security
- Visitor Security
- Transportation Security
- Information Security
- Access Controls
- Incident Response
- Monitoring for Conformance
- Maturity Level Assessment
- Continual Improvement of the IP Protection Management System
- Personnel Related
- Training and Awareness
- Disclosure, Release, and Protection of IP Involved in Third Party Business Relationships
ANSI/LES ICBR Version 1.0-2022 Management System for the Protection of Intellectual Property in the Supply Chain can be purchased in single license or in a bundle of 10 licenses or 25 licenses.
- Developing a standard for parties’ interactions in licensing intellectual property, thereby enhancing efficiency and trust and reducing the need for additional litigation and legislation and regulation in this field
IP Valuation (in public review stage)
- Providing a multi-tiered, scenario-based standard for selecting and applying IP valuation approaches for a wide variety of situations
- Creating an industry-wide, business process standard for businesses and professionals engaged in licensing standard essential patents on fair, reasonable and non-discriminatory (FRAND) terms, thereby reducing transaction costs and management expenses
- Read the Committee Q&A with Co-Chairs Matteo Sabattini & Brian Scarpelli
Intellectual Capital Management for Startups
- Developing a standard that is intended to enhance the value of early-stage enterprises (at funding and at exit), reduce IP risk, and reduce costs for entities that adopt and practice the standard in connection with securing and protecting their intellectual assets
- Creating transaction-centered business process requirements for agents, buyers, and sellers of IP assets
The Licensing Executive Society Standards Development Organization (LES SDO) is soliciting volunteers to join our Standards setting Committees as well as the Consensus Body Partnership (CSP). All SDO members can participate in the development of all standards and have the right to vote on all standards. CSP members only have the right to vote on the standards.
Please visit the Licensing Executive Society USA & Canada Standards Development to learn more about our committees and to Join.
The cost for joining the SDO is $500 and the CSP is $250. An Enterprise Membership includes a CSP membership. Be a part of creating a first American National Standard Institute Standard on IP!
If you have any questions, please contact Hillary Brintle at [email protected]. Join us today!
LES Membership with ANSI
LES is a member of the American National Standards Institute (ANSI). By bringing together standards professionals, business leaders, subject-matter experts, and cross-sector stakeholders from nearly every area of industry and society, ANSI Membership fosters the collaboration, networking, information-exchange, and strategic support that enables greater understanding of, engagement with, and access to standardization’s valuable opportunities.
The American National Standards Institute (ANSI) is a private, non-profit organization that administers and coordinates the U.S. voluntary standards and conformity assessment system. Together, standards and technical regulations impact up to 93% of global trade. Globally relevant standards and the conformance measures that assure their effective use help to increase efficiency, open markets, boost consumer confidence, and reduce costs.