ISO 56005: How to Define an Intellectual Property Strategy Aligned with the Business Model?

Juan Carlos Suárez D. 

Director of IP Management & Technology Transfer, Universidad El Bosque | Lecturer and International Consultant in IP Management & Technology Transfer.

María Camila Duque 

IP Management Coordinator, K-Intangibles IP Strategy & Tech Transfer | Lecturer and Consultant in IP Management.

1. From Reactive Management to an IP Strategy.

Most SMEs manage their intellectual property reactively: they act when a problem arises or when an external party - a partner, investor, or lawyer - points out a risk. There is no plan, no clear criteria, and no visible connection between intangible assets and business objectives.

In an internationalization process -especially towards Latin America- this approach is insufficient and, more often than not, costly. The most common mistakes are not technical: they are strategic. What is not a priority gets protected, what matters gets overlooked, and companies arrive late to markets where someone has already registered what they left unprotected.

ISO 56005 proposes the opposite approach: building an intellectual property strategy aligned with the business model, where every decision regarding protection, use, and exploitation of intangible assets responds to concrete business objectives.

“An effective IP strategy is not built from the legal department: it is built from the business strategy.”

2. Analysis of the External Environment: Identifying Opportunities and Risks.

The starting point for any IP strategy is understanding the environment in which the company operates. For European SMEs interested in Latin America, this analysis is particularly relevant due to the diversity of markets, regulatory frameworks, and innovation maturity levels across the region.

     2.1 Market and Technological Trends.

Which technologies are growing in the target markets? Are there underexploited niches? Where could the company position itself advantageously? In sectors such as agritech, digital health or renewable energy, several Latin American countries offer innovation opportunities with lower patent density than in Europe, which can represent a valuable entry window for an SME with its own technology.

     2.2 Competition and IP Intelligence.

Understanding the competitive landscape in IP is as important as understanding the market. Who are the main players? What are they protecting and in which countries? Public patent databases - Espacenet, LATIPAT or national systems- allow this analysis to be carried out accessibly and at low cost.

     2.3 Regulation and Legal Environment.

IP systems in Latin America vary considerably across countries: processing times, registration costs, realistic enforcement possibilities and conflict resolution mechanisms. Understanding these differences before making protection decisions can prevent misdirected investments.

     2.4 Territorial Prioritization.

One of the most important -and most frequently mismanaged- decisions is where to protect. The general recommendation is to prioritize markets where the company expects to generate revenue, establish partnerships or face direct competition. There is no globally reasonable strategy for an SME with limited resources.

3. Evaluation of the Internal Context: Capabilities and Positioning.

An effective IP strategy must also be grounded in a clear understanding of the company's internal situation. Many SMEs discover, when carrying out this exercise, that their most valuable assets are not the ones they thought.

 Key Aspects to Evaluate

• Business model: How does the company generate value? Where do its most critical intangible assets reside?
• Innovation capabilities: Level of technological development, R&D processes and knowledge generation.
• Existing IP portfolio: What assets exist? Are they protected? In which countries?
• Available resources: Budget and access to specialized advisory services.
• Organizational culture: Level of IP awareness, documentation practices and confidentiality procedures.

Illustrative case: a digital SME may discover that its main asset is not a patent, but the proprietary software and the database it has developed over years. This calls for a strategy based on copyright, trade secrets and usage agreements, not patent registration.

4. Identification and Mapping of Intangible Assets.

Before protecting you need to know what you have. Many SMEs begin internationalization processes without having carried out a systematic inventory of their IP assets. The result is predictable: assets of great importance to the company may be left unprotected.

     4.1 Types of Assets to Consider:

• Technological: inventions, algorithms, processes and methodologies.
• Commercial: trademarks, trade names, designs and reputation.
• Strategic: data, business models, and customer relationships.
• Operational: know-how, internal procedures, and team knowledge.

     4.2 Asset Mapping.

A practical tool. It is recommended to build an asset map that includes, for each asset: its type, protection status (protected/pending/unprotected), estimated strategic value, associated risks, and relationship to active products or services.

This exercise frequently reveals unprotected critical assets, unexploited opportunities, and gaps that must be addressed before entering new markets.

5. Defining Strategic IP Objectives.

With both the internal and external analyses in hand, the company can establish clear IP objectives. These must be concrete, measurable and directly aligned with business objectives. Some examples of well-formulated objectives:

• Protect the company's two core technologies in the three main Latin American markets within the next 18 months.
• Reduce exposure to infringement risks before commencing operations in countries such as Brazil and Colombia.
• Generate additional revenue through a licensing agreement with a regional partner in the agro-industrial sector.
• Strengthen brand recognition in priority consumer markets through active registration and monitoring.

ISO 56005 emphasizes that these objectives must be adaptable: the environment changes, markets evolve, and the IP strategy must be able to adjust without losing coherence with the overall business strategy.

6. Resource Prioritization and Decision-Making.

An SME cannot protect everything, in every market, at every moment. The question is not how much IP the company has, but which IP matters and where. The key decisions in this process are: Important decisions include:

A useful tool to support these decisions is the prioritization matrix, which combines the strategic value of each asset, the estimated cost of protection, and the level of risk if left unprotected.

7. Integration with the Business Model

The central question that should guide the entire IP strategy is simple yet powerful: How does IP protect and enhance the company's value proposition?

The answer varies depending on the type of company and its business model:

• Deep tech companies: Competitive advantage is based on technological exclusivity, with emphasis on patents.
• Digital companies: Value lies in software, data, and processes — a combination of copyright, trade secrets, and contracts.
• Consumer companies whose positioning depends on brand recognition: focus on trademarks and designs.
• Platform models: Assets distributed between IP and data. A mixed strategy that protects both dimensions is required.

8. Practical Recommendations for European SMEs in Latin America

• Prioritize countries based on real market potential, not geography. The size of a country does not always reflect its potential for a specific business.
• Adapt the strategy to each market: what works in Europe may not be the most efficient approach in countries with different IP systems.
• Combine protection mechanisms: a single tool is rarely sufficient. The most robust strategy typically combines several types of IP.
• Formalize everything before collaborating: confidentiality and ownership agreements must be in place before — not after — joint projects begin.

• Review periodically: an IP strategy that is not updated loses relevance. Schedule reviews at least annually.

   

9. Conclusion

Defining an IP strategy aligned with the business model is not an academic exercise: it is a business decision that directly impacts the competitiveness, profitability, and internationalization capacity of an SME.

Following the ISO 56005 framework, this process enables a shift from fragmented, reactive management to a strategic and integrated vision. And in the EU–LATAM context, where opportunities are significant but so are the risks, that difference can be decisive. 

“The most effective IP strategy is not the most expensive one: it is the one best aligned with what the company truly needs in order to grow.”

About the Authors

Juan Carlos Suárez Delgadillo. Director of IP Management & Technology Transfer at Universidad El Bosque and Strategy Director at K-Intangibles. Lawyer from Universidad Externado de Colombia, with a Master's degree in Intellectual Property from the University of Ankara (Turkey) and WIPO. Specialized training in IP Management and Technology Transfer in Israel, France, the United States and Singapore. International Consultant and Trainer in IP Management and Technology Transfer for WIPO. 

🔗linkedin.com/in/ipstrategistjuancarlossuarez

María Camila Duque Díaz. IP Management Coordinator at K-Intangibles IP Strategy & Technology Transfer. Lawyer from Universidad de Caldas, with a Master's degree in Intellectual Property and Innovation from Universidad de San Andrés (Argentina) and WIPO, and a Specialization in Intellectual Property and New Technologies from Universidad Externado de Colombia. Advanced Training in IP Commercialization in Singapore. Consultant in IP Management with specialized experience in the university sector across Latin America.

🔗 linkedin.com/in/maria-camila-duque-diaz 

In other episodes...

Article 1: “Strategic Intellectual Property Management in SMEs: An ISO 56005-Based Approach”

Article 3: “IP Audit: inventory, valuation, and risk management”

Article 4: “IP Due Diligence: preparing for investment, partnerships, and international operations”

Article 5: “From Protection to Exploitation: Operating IP with a Strategic Approach”