As we move towards the knowledge (K) era, the challenge in R&D is to focus on the development of original K-based products that can compete in the global market. The development of commercially viable, patented K-based products within a university environment require an innovation system and innovation policies in place and a change in the paradigm towards the approach to research. A crucial agent towards the success of the innovation system is development and training of the human capital that would be the future drivers of the K-industry. Awareness of intellectual property rights, the need for original research, entrepreneurship as well as the development and strengthening of self-confidence and leadership are among the factors needed towards the training of K-workers facing the new economy.