President's Activities Report SUBMITTED BY
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CA/88/17 Orig.: en Munich, 22.09.2017 SUBJECT: President's activities report SUBMITTED BY: President of the European Patent Office ADDRESSEES: Administrative Council (for information) CA/88/17 e 2017-2232 - I - TABLE OF CONTENTS Subject Page I. INTRODUCTION 1 II. PERFORMANCE 1 A. DG 1 WORKLOAD AND PRODUCTION 1 a) Filings and applications 1 b) Efficiency 2 c) Publications 4 d) Time to publication of the patent 4 III. MEASURES TAKEN IN DG1 TO IMPROVE PERFORMANCE QUALITY AND SERVICE 6 A. DG1/DG2 REORGANISATION 6 B. EXAMINER RECRUITMENT IN 2017 7 C. "ESPRIT DE SERVICE" 8 a) "Esprit de service" | "ViCo for oral proceedings" 8 b) "Esprit de service" | Customer relationship management (CRM) 9 c) "Esprit de service" | Praktika Extern 2017 9 d) "Esprit de service" | 1LCS 10 D. DG1 QUALITY ACTION PLAN 11 a) Proactive workload management 11 b) CASE – Conformity Assurance for Search & Examination 11 c) Classification 12 d) Added subject-matter 12 e) Novelty, inventive step and clarity 12 f) Non-unity 12 g) Opposition 12 h) Individual quality objectives 13 i) Asian documentation 13 E. INFORMATION AND COMMUNICATION TECHNOLOGY (ICT) AND IMPACT OF INDUSTRY 4.0 ON DG1 14 F. CONTINUOUS KNOWLEDGE TRANSFER 15 a) Peer-to-peer lectures 15 b) Tip of the day 16 c) EPeOple 16 CA/88/17 e 2017-2232 - II - G. PROCEDURES 16 a) Early Certainty from Search (ECfS) 16 b) Extension of Early Certainty to examination and opposition 17 c) Informing the applicant of the imminent start of examination 19 d) PCT Direct 19 e) Guidelines for Examination 20 f) Amended Rules 32 and 33 EPC as of 1 October 2017 (expert solution) 21 H. CLASSIFICATION 21 a) Training activities for the Cooperative Patent Classification (CPC) 21 b) Quality measures in the CPC 22 c) Data exchange 22 d) Interaction with CPC users 22 e) CPC and the IP5 offices 22 f) Offices' participation in the CPC 23 g) Other benefits related to classification 24 IV. IT AND AUTOMATION PROJECTS 25 A. ITR – DELIVERIES FOR EXAMINERS 25 a) Delivering future IT systems 25 b) Improvements to current tools 26 c) Adapting tools in support of EPO strategies 26 B. IT DELIVERIES FOR BUSINESS SUPPORT 27 V. BUILDINGS AND PROCUREMENT 28 A. NEW MAIN THE HAGUE 28 B. OTHER BUILDING PROJECTS 29 a) Security 29 b) Ongoing building projects and facility management 29 VI. QUALITY 30 A. QUALITY MANAGEMENT STRATEGY AND INDICATORS 30 a) SACEPO – Standing Advisory Committee before the EPO 31 B. USER CONSULTATIONS AND SURVEYS 31 C. COMPLAINTS 32 VII. HUMAN RESOURCES 33 A. RECRUITMENT AND CAREER 33 a) Examiner recruitment 33 b) DG1/DG2 reorganisation 33 CA/88/17 e 2017-2232 - III - B. HEALTH AND WELL-BEING 34 C. SOCIAL DIALOGUE 34 a) Staff Committee elections: 34 b) Strike 35 D. INTERNAL COMMUNICATION AND CHANGE MANAGEMENT 35 E. REVISION OF THE SERVICE REGULATIONS – STANDARDS OF CONDUCT AND REFORM OF THE INTERNAL JUSTICE SYSTEM AT THE EUROPEAN PATENT OFFICE 36 VIII. EPN 36 A. CO-OPERATION WITH MEMBER STATES 36 B. EUROPEAN PATENT ACADEMY 38 a) Institutional Strengthening 38 b) Judicial training 39 c) Professional representatives 39 d) Innovation support 39 e) Academia 40 f) Didactics 41 C. CO-OPERATION WITH THE EUIPO 41 D. REPRESENTATION BEFORE THE EPO 41 E. EUROPEAN PATENT REGISTER 41 F. PATENT INFORMATION 42 IX. the EPO AS A GLOBAL PLAYER 44 A. INTERNATIONAL ORGANISATIONS 44 B. BILATERAL RELATIONS 44 a) Validation system 44 b) Technical co-operation 45 C. IP5 CO-OPERATION 46 a) Patent Prosecution Highway (PPH) 47 b) Patent Harmonisation Expert Panel (PHEP) 47 D. TRILATERAL CO-OPERATION 48 E. COOPERATIVE PATENT CLASSIFICATION 48 F. CO-OPERATION WITH WIPO 48 G. STRENGTHENING THE PCT 48 H. SUBSTANTIVE PATENT LAW HARMONISATION 50 CA/88/17 e 2017-2232 - IV - X. UNITARY PATENT/UNIFIED PATENT COURT 51 A. UNITARY PATENT 51 B. UNIFIED PATENT COURT (UPC) 51 C. UNITARY PATENT PROTECTION DIVISION 52 XI. The EPO AND SOCIETY 53 A. ANNUAL REPORT 2016 53 B. EUROPEAN INVENTOR AWARD 53 C. CLIMATE CHANGE, GREEN TECHNOLOGIES AND BIOTECHNOLOGIES 56 a) Clarified practice in the area of plant and animal patents 56 b) EPO-CPVO co-operation 56 XII. CONCLUDING REMARKS 57 XIII. RECOMMENDATION FOR PUBLICATION 57 CA/88/17 e 2017-2232 I. INTRODUCTION In order to ensure transparency and enhance reporting of Office activities to the Council, a comprehensive overview of the year just passed is presented to each March meeting of the Council. This present interim report thus describes the principal developments so far in 2017; the full account will be presented in March 2018. II. PERFORMANCE A. DG 1 WORKLOAD AND PRODUCTION a) Filings and applications Up to July 2017, 97 330 European patent applications (European direct applications filed in 2017 and PCT applications entering the European regional phase in 2017) were recorded. This represents a 5.8% increase over the corresponding figure for 2016. Up to June, the number of EP patent filings including international PCT filings amounted to 148 036, 5.2% above the corresponding figure for 2016. EPO Applications Budget 160.000 159.300 161.000 152.700 150 000 125 000 100 000 75 000 Data extracted Data extracted 21-08-17 50 000 22-08-16 97 330 91 993 +5.8% 25 000 0 2014 2015 2016 2017 CA/88/17 e 1/57 2017-2232 b) Efficiency Since January and up to the end of July 2017, the Office received 134 341 search requests (+3.1%) as well as 88 978 requests for European examination (+5.6%). This represents an increase of 4.0% in the overall workload compared to the same period of 2016. Provisionally, for the first half of 2017, the share of the EPO as ISA was 33.6% (35.0% for the same period of 2016). After 7 months in 2017, the examiners' output reached 246 704 search, examination and opposition products, 4.5% above the corresponding 2016 figures. The Strategic Orientations document (CA/19/11) and subsequent roadmaps presented the Quality and Efficiency Scenario as the backbone of the strategic goals that are to be supported by the EPO roadmaps. In this framework, it is the goal of the Office to keep its overall staff complement constant while increasing its production in ways sufficient to manage the workload. The figure below outlines the success of this strategy whereby the number of full-time equivalent employees has decreased while the number of products produced by each FTE is increasing, a clear marker of the improved efficiency of the Office. Paid man years Products per FTE (FTE) 7 000 66 63.6 6 900 64 61.9 6 800 62 60 6 700 58 6 600 56.5 56 6 500 6 526 54 6 400 6 455 6 472 6 436 6 429 6 401 6 420 52 6 300 50 49.8 6 200 49.0 48 48.4 6 100 47.7 46 6 000 44 2011 2012 2013 2014 2015 2016 Aug 2016 ‐ July 2017 Paid man years, FTE SEO Products / FTE CA/88/17 e 2/57 2017-2232 The increased production from January to August 2017 is mainly the result of an increase in core capacity with 76 additional examiners, a continuing reduction of sickness levels, combined with close control of investments in non-core activities. This capacity increase has allowed about 8 100 more products to be produced compared to 2016 (+3.2%) whilst a further improvement in productivity resulted in about 3 000 more products being produced compared to 2016 (+1.1%). DG1 has indeed continued its efforts to “focus on core” aiming at concentrating a maximum of resources on search, examination and opposition work. This means that investments requiring examiner resources have been carefully considered and, where possible, the system of “paid work packages” has been used. To the end of August, DG1 was able to concentrate some 90% of its gross examiner capacity on core business, including the time needed for personal development, quality management and classification activities. Early Certainty timeliness So far in 2017, the EPO completed searches on average 4.9 months after the date of receipt of the files (5.3 for the same period in 2016). The notification of the intention to grant (IGRA) was issued on average 22.6 months from the date on which examination started (23.3 in 2016). The opposition divisions issued their decision within 23.7 months from the date on which the opposition file was received (25.4 in 2016). With +4.3% more production than last year for the same period (January-August), the Office is able to implement its strategy of stocks reduction according to the Early Certainty objectives. This production increase is now essentially originating from more examination products. Indeed, the search stock has almost reached the desired level and more and more focus is put on reducing the examination stock. The past increase in search production has led to a temporary increase in the new examination workload (+14% vs January-August 2016) which – thanks to the increased examination production – has been fully absorbed: in August 2017, the DG1's total pending workload has been reduced to 498 000 products (-2% vs end 2016) despite a high increase (+6%) in the new search and examination workload. This pending workload represents 14.1 months of work (vs 14.7 at the end of 2016). CA/88/17 e 3/57 2017-2232 c) Publications By the end of July 2017, the EPO had published 57 870 European patents, which is 11% more than the first eight months of 2016.