It's no secret the Federal government wants to reinvigorate Australian innovation policy.

In the last month alone, the government announced more than 630 submissions have been received towards its Review of the National Innovation System. It also launched a national program of festivals to increase innovation awareness in the wider community.

We know innovation is central to Australia's economic future, arresting the ‘brain drain' and ensuring we continue to build strong, non-resources led, alternative export industries, among other macroeconomic drivers. We also know that government policy provides a strong foundation for fostering and encouraging innovation.

But it's also up to industry and the businesses within them to make incisive judgements on how to best leverage the skills and resources they have to ensure Australia retains a reputation for innovation, particularly on the international stage.

Consider these examples. If we cast our eyes back to the contract manufacturing boom in the late '90s and early '00s, there was a call to action to Australian business to focus on the value-added areas where we are traditionally strong - engineering, design and R&D - rather than on trying to keep dwindling local production facilities open.