Industrial research today remains largely purpose-driven fueled by specific driving forces including but not limited to market needs, competitive advantages or stock returns. University research, to a large extent, is a result of human mind's quest of exploration, intellectual satisfaction and need for higher education. Thus university and industrial research generally have different objectives. In recent past there have been several attempts to bridge University and industrial research. The passage of the Bayh-Dole act promoting university-based technology transfer has adversely affected the status of university research. An increasing need for intellectual property led industry to attempt basic research. In order to effectively manage research projects, both industry and academia should recognize their driving forces, basic strengths and ultimate objectives thereby increasing efficiency of research projects.