Book of Abstracts - The R&D Management Conference 2014

Page 1

THE R&D Management ConFERENCE 2014

Management of Applied R&D

Connecting high value solutions with future markets 3 – 6 June 2014 | Stuttgart

f k o s o Bo a ct s tr Ab



THE R&D Management ConFERENCE 2014

Management of Applied R&D

Connecting high value solutions with future markets 3 – 6 June 2014 | Stuttgart

f k o s o Bo a ct s tr Ab


contents

R&D Management in Emerging Economies

7

Mehmet Kürümlüoglu, Fraunhofer IAO, Germany Prof. Christian Berggren, Linköping University, Sweden

Innovative R&D Organisation

15

Prof. Gordon Müller-Seitz, University of Duisburg-Essen, Germany

Sustainability and R&D Management

25

Prof. Mario Schmidt, Pforzheim University, Germany

Managing New Service Development

29

Walter Ganz, Fraunhofer IAO, Germany Thomas Meiren, Fraunhofer IAO, Germany

The Human Side of R&D

33

Liza Wohlfart, Fraunhofer IAO, Germany Jürgen Wilke, Fraunhofer IAO, Germany

Future R&D Workspaces

39

Stefan Rief, Fraunhofer IAO, Germany Jörg Castor, Fraunhofer IAO, Germany

Collaborative Trend Management

43

Prof. Michael Durst, FOM University of Applied Science, Germany

Advanced Virtual Engineering

49

Dr. Manfred Dangelmaier, Fraunhofer IAO, Germany Joachim Lentes, Fraunhofer IAO, Germany

Managing Business Model Development Prof. Ellen Enkel, Zeppelin University, Germany

4

55


Open Strategy in R&D

63

Prof. Sabine Brunswicker, Purdue University, United States of America

R&D Management across Cultures

73

Dr. Anton Kriz, University of Newcastle, Australia Stephan Schüle, Fraunhofer IAO, Germany

Patents and IP

79

Truong Le, Fraunhofer IAO, Germany

R&D Organisation and Efficiency

87

Manuel Kern, Fraunhofer IAO, Germany Michael Schubert, Fraunhofer IAO, Germany

Strategic R&D and Technology Management

93

Prof. Frank Wagner, Fraunhofer IAO, Germany

Author‘s Index

102

Notice: Abstracts are partly shortened (indicated by ‘…’). Additional information and full papers can be found in the conference proceedings. The book of abstracts represents the state of May 15th. Changes between the book of abstracts and the conference programme or the proceedings may occur.

For details see: www.rnd2014.iao.fraunhofer.de

For further information contact: Dr. Sven Schimpf, Fraunhofer IAO, Germany sven.schimpf@iao.fraunhofer.de

5



R&D Management in Emerging Economies

Session chairs Mehmet Kürümlüoglu, Fraunhofer IAO, Germany Prof. Christian Berggren, Linköping University, Sweden Industrial partner İffet İyigün Meydanlı, Arçelik S.A., Turkey

In recent years the economic growth in emerging economies was tremendous - which goes hand in hand with a considerable increase in R&D investments. E.g. Turkish industry has nowadays become more than an extended workbench, but an internationally significant production and development site. The Special Session “R&D Management in Emerging Economies“ targets to combine articles that analyse special challenges and research findings in the thematic area of managing R&D (organization, collaboration, human resources, intellectual property, pre-competitive research etc.). Beyond the inclusion of R&D Management in Emerging Economies, a special focus is set on R&D Management in Turkey.


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

Have University Scientists Shifted their Interest in Basic

Bridging Geographically Distant R&D and

Science under the Context of Academic Enterprise?

Manufacturing

Wan-Ling Huang, Tamkang University, Taiwan

Paraskeva Wlazlak, Jönköping University, Sweden Glenn Johansson, Jönköping University, Sweden

In the recent decade, governments around the world have actively promoted exploitation of scientific research

Although important research has been carried out,

and technology transfer from universities to industry

knowledge on bridges between the R&D and manufacturing

(Baldini, 2006; Mowery & Sampat, 2001). Under this trend,

occupational communities in a cross - national context is la-

academic scientists are not only responsible for teaching

cking. Much of the research has emphasized on the different

and research, but are also encouraged to engage in research

bridges - tools, object, practices, brokers designed by the

commercialization that further connect scientific inventions

company to bridge the occupational communities. To lesser

with economic development (Etzkowitz & Leytesdorff, 1997).

extent scholars have observed the emergence of individuals

However, some authors concern about the fact that the

who can assist in bridging occupational communities divided

policy encouraging research commercialization may shift

by the boundaries of language and national culture. Drawing

academic scientists’ interest from basic research to applied

on qualitative interviews with persons belonging to a

research, and may have negative effects on long-term scien-

Swedish large manufacturing company, this paper describes

tific advancement (Fabrizio and Di Minin, 2008; Geuna and

and examines the emergent role of an engineer from an R&D

Nesta, 2006). Accordingly, this study investigates the extent

center in China as a mediator of the two occupational com-

to which academic scientists’ selection of research projects is

munities. Based on community of practice theory, this study

primarily driven by satisfying societal need under the context

regards R&D in Sweden and the manufacturing site in China

of academic enterprise and identifies factors motivating

as members of two interdependent occupational communi-

scientists to choose an application-oriented research project

ties that struggle to communicate due to barriers created by

that may have higher commercialization potential but lower

geographical distance – i.e. language and cultural distance.

scientific merits. Data employed in this study come from a

The findings suggest that the mediator from the R&D center

2013 national survey of university scientists and engineers

in China may serve as an appropriate organizational solution

in Taiwan, including respondents who filed a Taiwan patent

in situation where geographical distance exist. The mediator

application between 2007 and 2011 and those who have ne-

role provides not only technical support, but also helps to

ver filed a Taiwan patent. To construct the applicant sample,

crate shared meanings and facilitates the communication

we first identified all patent applications filed by a research

between R&D in Sweden and the manufacturing site in Chi-

university in Taiwan between 2007 and 2011 through Taiwan

na. This study contributes to the R&D management theory

Intellectual Property Office (IPO) public online database and

by addressing an effective way to facilitate cross-cultural

then included 1,985 inventors who currently hold full-time

communication between engineers that are geographically

professorship at a university into the sample. To develop

distant during new product development.

the non-applicant sample, we randomly selected 993 of the applicants and then paired each one with a randomly ... 8


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

Application of Technology Roadmapping and Acquisition

Frugal Innovation and Analogies: Some Propositions on

in Aerospace Industry

Product Development in Emerging Economies

Gozde Kara, Turkish Aerospace Industries Ankara, Turkey

Rajnish Tiwari, Hamburg University of Technology, Germany

Erhan Solakoglu, Turkish Aerospace Industries Ankara, Turkey

Katharina Kalogerakis, Hamburg University of Technology, Germany

E. Serdar Gokpinar, Turkish Aerospace Industries Ankara, Turkey

Cornelius Herstatt, Hamburg University of Technology, Germany

In aerospace sector, product life cycle and technology

Frugal products and services aim at satisfying the unsaturated

development periods are longer than those in most of the

demand of a large and growing middle class in many “emer-

other sectors. Technology intensity of products is also high.

ging economies�. Although research has been conducted in

Therefore to make a connection between these technologies

regard to the strategic importance of frugal innovations, so

and to manage this period, technology roadmaps are used.

far, the actual development process of such innovations has

In this study, some information about technology roadmaps

not been looked into in detail. Some examples show that

and the relevant technology management activities such as

inventive analogies are used to develop frugal innovations.

technology acquisition planning in TAI (Turkish Aerospace

For instance, the development of a frugal artificial heart was

Industries Inc.) have been presented as an example.

based on the heart structure of cockroaches, which led to a reduction of costs by 20 times. The aim of this paper is to examine the use of inventive analogies in creating frugal solutions and their impact on project results. Based on three explorative case studies from India, the authors generate preliminary evidence that analogies can make a significant impact on the successful development of innovations in environments that are characterized by severe resource constraints and high price-sensitivity. Furthermore, the inherent aim of frugal innovations to create radically new solutions with very restricted resources seems to stimulate the application of inventive analogies. The results point to some valuable learnings in regard to an effective employment of analogies. Besides, useful insights for companies that want to exploit market opportunities in the emerging economies are generated.

9


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

Technology Radar Process Implementation as a Part

Challenges for R&D Managers on the Path to

of Technology Planning, Implementation as a Part of

Commercialisation: a Comparative Study Between

Technology Planning

Turkish and German Automotive Sectors

Melda Polat, Arçelik S.A., Turkey

Berkun Çulha, Dr. Çulha & Partner Consulting, Germany

İffet İyigün Meydanlı, Arçelik S.A., Turkey Michael Schubert, Fraunhofer IAO, Germany

Emerging economies like Turkey have different conditions

Erdem Gelec, Fraunhofer IAO, Germany

than leading OECD countries when it comes to R&D. There

Mehmet Kürümlüoğlu, Fraunhofer IAO, Germany

is a lack of traditionally strong industries with sustained global commercial success for decades, a scarcity of highly

In a rapid changing technology environment, companies

experienced R&D staff and high turnover rate among R&D

have to monitor and identify alternative relevant techno-

engineers. However, for almost two decades, MNEs, joint

logies which could either create an opportunity for future

ventures and ambitious national players have been building

businesses or could be a barrier for growth of business.

up R&D capacities in emerging markets. We conducted inter-

The right technology planning will ensure the very early

views and surveys with Turkish and German R&D managers

identification and evaluation of technologies - which could

in order to analyze the impacts of these different conditions

be applied within products or production in future - leading

on project management, R&D culture, HR, strategy and com-

to sustainable growth of companies in terms of responding

mercialization barriers. The hypothesis that R&D activities are

to threats and gaining advantage in competition. Technology

not in line with commercialization processes in many Turkish

management processes are described in literature as a com-

companies is confirmed by many answers in the survey.

position of five basic sub-processes: identification, selection,

The way managers perceive commercialization barriers in

acquisition, exploitation and protection. Although many

the survey produced some unforeseen results that can only

management tools have been developed for technology

be explained with further knowledge from interviews and

acquisition and protection there are few alternative tools

market experience. Especially management culture seems

for the identification sub-process. The management of that

to overlay and distort assumed differences between the

early phase is very difficult since decision makers are in a

countries.

fuzzy environment with a lack of information. The approach of technology radar has been identified as an appropriate solution ensuring a structured and target-oriented identification and prioritization of technologies ensuring a profound decision making and knowledge management. The paper is about implementing the technology radar at a large R&D intensive company from white goods sector, namely Arcelik A.S. Therefore the method of technology radar needed to be adapted to company specific pre-conditions, like existing technology management processes, organizational ... 10


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

Innovation Perspectives: a Longitudinal Large Scale

International R&D Collaboration in High Tech – the

Survey in Brazilian Industrial Sectors

Challenges of Jet Fighter Development Partnerships in Emerging Economies

Alejandro G. Frank, Universidade Federal do Rio Grande do Sul, Brazil Marcelo N. Cortimiglia, Universidade Federal do Rio Grande do Sul,

Christian Berggren, Linköping University, Sweden

Brazil

Solmaz Filiz Karabag, Linköping University, Sweden

José Luis D. Ribeiro, Universidade Federal do Rio Grande do Sul, Brazil

In core OECD countries, the defense industry is a preferred Brazil is the leading country in South America, comprising

sector for government-supported development of advanced

almost half the continent’s area and population. Moreover,

R&D and engineering capabilities, which are then diffused

last decades have witnessed an important economic

to civilian applications, e.g. airplanes and power turbines.

growth of this country. This growth has generated good

This profile of government involvement and high tech makes

opportunities for innovation in manufactured products and

defense system development attractive also for emerging

services. However, there are many challenges for companies

economies, where policy makers strive to upgrade indepen-

to become innovative, since this is a country traditionally

dent R&D capabilities. Within the defense sector, fighter jets

based on agricultural activities and low technology industries.

are a particular demanding area in terms of system comple-

In order to shed light on the state of the national innovation

xity, long life-cycle and extreme operational conditions. Also,

landscape, Brazilian government has put forward initiatives

fighter programs require large investments for long period

like the Innovation Survey (PINTEC), conducted by the

of time: typically 10-20 years. Products are tightly integrated

Brazilian Institute of Statistics (IBGE), which collects data

with all subsystems developed for a particular use. In contrast

about innovation achievements and challenges in more

to consumer durables such as white goods, new entrants

than 30,000 Brazilian companies every three years. Based

cannot start with reverse engineering and assembly to gra-

on reports of the last four PINTEC surveys, we carried out

dually move up the technology frontier, but have to compete

a longitudinal analysis of selected innovation variables in

with world leaders directly. Moreover, the global aerospace

Brazilian industrial sectors, covering a period of ten years of

industry is an oligopolistic sector with cut-throat competition

innovation evolution. The aim of this analysis is to show how

and very high switching costs for customers. This paper

innovation characteristics of Brazilian industrial sectors have

seeks the answers of the following questions: Which are

evolved in the last decade as well as to point out a number

the main factors leading up to the formation of new types

of challenges in this emergent market. Some of the variables

of international partnerships in jet fighter development? A

analyzed were: expenditure on innovative activities (inno-

second question is: Which are the specific challenges related

vation input), results obtained from innovation (innovation

to such partnerships involving firms both from established

impact) and firm characteristics related to innovation outco-

and emerging economies? In order to answer these research

mes. The results presented in this paper help to understand

questions Turkish jet fighter program is used as a case study.

a number of innovation characteristics in Brazilian emergent economy.

11


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

Governance Analysis on Green Technology Development in Korean NIS (National Innovation System) – Traditional R&D vs. Emergent Means in National R&D Program

Simon Byung Jin Lee, National Research Foundation of Korea, Korea

South Korea’s success in 5 years must be inducing Green Climate Fund, which was arrived at a decision in UNFCCC (United Nations Framework Convention on Climate Change). The channel such as UNFCCC is what is so called international level of discussing green technology development, but there has to be national level of R&D system if a nation is to take part in international level of green technology development. “Global Frontier R&D Program” and “Climate Change Adaptation R&D Program” from South Korea start from national level green technology development, but lead to international level in the end. 21st Century Frontier R&D Program, the predecessor of both national R&D programs introduced above, has limit to its “catch-up” way of technology development path. Both programs are “leading-edge” R&D programs, pursuing long term goal in 10 year virtuous cycle of R&D. Both programs hold “top down” approach and “network of excellence” in relation with other R&D programs. Both invest 10 to 30 billion won since their first launch in 2009 and 2010. The other key features of Global Frontier R&D Program and Climate Change Adaptation R&D Program are, (1) Networking of actors in the R&D program (2) Supporting innovators to do research and help to transfer technologies (3) Maintaining 4G (Global, Ground-breaking, Group, Green) philosophy : (1) Attaining Global Top brand, (2) Ground-breaking fundamental technology development in 10 years of virtuous cycle, (3) Group approach in interdisciplinary research with R&D centres, (4) Green technology for green growth.

12


R & D M a n a g e m e n t i n Em e r g i n g E c o n o m i e s

13



Innovative R&D Organisation

Session chair Prof. Gordon M체ller-Seitz, University of Duisburg-Essen, Germany Industrial partner Dr. Daniel Heubach, Alfred K채rcher GmbH & Co. KG, Germany

There is a rising interest in how to organize R&D and innovations, especially considering new possibilities to involve internal and external stakeholders or networks. In this connection managerial practice shows that increasingly new forms of more informal and latent organizing for innovations and R&D are sought for. The present session tries to explore this phenomenon by a kick-off presentation from Alfred K채rcher GmbH & Co. KG and invites papers that are provocative and deemed to stimulate discussion.


I n n o v a t i v e R & D Or g a n i s a t i o n

Complex Technological Knowledge and Value Creation

Standing in Misunderstanding: Analyzing Boundary Ob-

in Science-to-Industry Technology Transfer Projects: the

jects’ Effectiveness in Innovation Communities

Moderating Effect of Absorptive Capacity Marc Marheineke, HHL Leipzig Graduate School of Management, Andreas Winkelbach, Christian-Albrechts-University Kiel, Germany

Germany

Achim Walter, Christian-Albrechts-University Kiel, Germany

Hagen Habicht, HHL Leipzig Graduate School of Management, Germany

This study seeks to enhance the understanding of the

Kathrin M. Möslein, Friedrich-Alexander-University Erlangen-

interplay between complex knowledge, absorptive capacity

Nürnberg, Germany

in terms of both absorptive capabilities and prior knowledge, and value creation. Drawing on a database of 127 science-

In this paper we investigate objects that span boundaries to

to-industry R&D projects in technology-based markets, our

foster mutual understanding in virtual innovation communi-

study results show the inherent relevance of complexity

ties. In particular, we study virtual whiteboards (which com-

and absorptive capabilities for value creation. Contrary to

prise a mix of boundary objects) in the early phases of the

expectations, prior knowledge has no significant effect on

innovation process. Information systems provide new bound-

value creation per se. Instead, the impact of complex tech-

ary objects for community members which support their

nological knowledge on value creation is enhanced at high

non-canonical, collaborative work required for igniting new

levels of both prior knowledge and absorptive capabilities.

ideas (Brown & Duguid, 1991a; Wenger, 1998). Our study

The findings suggest that following a well-worn path leads

follows the two-sided perspective of socio-technical systems

to competence traps, whereas knowledge-related learning

theory (Bostrom & Heinen, 1977). From a social perspective,

capabilities enable a firm to deal with dynamic environments.

extant literature provides coverage of the roles of boundary objects for collaborative innovation (Carlile, 2002; Tushman, 1977). From a technical perspective, research investigates efficient communication through media, predicting that most efficient communication is achieved when the object’s synchronicity fits the communication requirements (Dennis, Fuller, & Valacich, 2008). First, we assume that boundary objects which convey information most effectively perform high in the idea generation phase. Second, we assume boundary objects that converge on meaning most effectively to perform high in the development and evaluation of ideas. Our empirical analysis takes the form of multiple case study analysis (Yin, 2009) of (virtual) innovation communities. Data has been collected from users of a virtual whiteboard who participated in collaborative innovation. The data comprises of information on the use of boundary objects in ...

16


I n n o v a t i v e R & D Or g a n i s a t i o n

Towards a Spin-Along Strategy: Mastering Organisation

A New Model for Supporting Creativity in Research

Adaptation Through an merging Concept of Corporate

Organisations

Entrepreneurship Theory Gareth Loudon, Cardiff Metropolitan University, United Kingdom Sebastian Fischer, Technische Universität Berlin, Germany

This paper enhances an emerging concept of corporate

Gina Deininger, Centre for Creativity Ltd, United Kingdom

entrepreneurship theory: the spin along approach. The spin-

It is generally recognised that creativity is crucial in research

along approach reflects a unique means to combine internal

organisations to enable breakthrough ideas and the discovery

and external corporate venturing. By taking the spin-along

of new solutions that are novel, valuable and substantive.

approach into account, I propose a spin-along strategy to be

However, knowing how to cultivate a culture of creativity in-

an alternative strategic attempt for organizations, which aim

side a research organisation is often not so clear. We present

to adapt to changing environmental conditions. I acknow-

a new model, called the LCD Model, for supporting creativity

ledge the viewpoint of adaptionistic population ecologists,

in research organisations that builds on previous models,

who claim that although incumbency may lead to structural

but emphasises the importance of the ‘State of Being’ of the

inertia, larger companies can learn from past experiences and

researcher to enhance creativity and how that can be sup-

take action to change their organization. I will show how a

ported. The model aims to support sustained creativity and is

spin-along strategy can enable firms to manoeuvre through

derived from a number of empirical studies conducted over

the adaptive cycle. After defining the spin-along strategy, the

recent years as well as from personal experiences working in

paper addresses the issue of distance between a spin-along

research organisations over the last twenty years. The model

venture and its parental organization with the help of the so

is explained in detail together with why each of the elements

called “Spin-Along Shell Model”. Finally, I derive implications

of the model is important based on our research findings and

for academia and R&D Management practitioners and open

the findings of others. We also highlight the importance of

up the discussion for future research directions, which have

the dynamic movement between the different elements to

the potential to sharpen the spin along strategy further.

cultivate creativity, with the researcher’s ‘state of being’ at the centre of the process. In conclusion, we discuss how the model can be implemented inside a research organisation to support and enhance the creativity of individual researchers and the research organisation as a whole.

17


I n n o v a t i v e R & D Or g a n i s a t i o n

Implementation of Green Innovations – the Impact of

Adopting an Open Innovation Paradigm: Managerial

Stakeholders

Perceptions and the Innovation Value Chain

Alexander Fliaster, University of Bamberg, Germany

Anushree Priyadarshini, DCU Business School, Ireland

Michael Kolloch, University of Bamberg, Germany

Yuhui Gao, DCU Business School, Ireland Colm O’Gorman, DCU Business School, Ireland

Innovation is generally conceptualized as generation and implementation of new and useful ideas (e.g. Amabile

This study explores the adoption of open innovation (OI)

et al., 1996). While past research has provided manifold

practices in medium-sized and large firms in a sector

insights on its first stage, i.e. knowledge creation (Nonaka

characterised by low levels of external collaborations. Many

and Takeuchi, 1995) and creativity (Hennessy and Amabile,

firms struggle to adopt OI practices (O‘Connell, 2011));

2010), less is known about the implementation of innovation

the processes that lead to the adoption of OI practices are

(e.g. Govindarajan and Trimble, 2010). Concerning the latter,

unclear (Mortara and Minshall, 2011); and the degree of

previous studies addressed particularly intra-organizational

open innovation, as measured by the number of external

barriers to innovation (e.g. Oreg, 2006). On the contrary, the

collaborations, in Irish firms is low (Vahter et al., 2012).

role the external stakeholders play for the implementation

This inductive study is based on case studies of a significant

of innovations has been under-investigated. To address this

innovation in four medium-sized (€85m to €300m) and four

gap we first highlight the relevance of the stakeholder theory

large (716m - €5,800m) firms from the food sector in Ireland.

(e.g. Laplume et al. 2010; Parmar et al. 2010) for innovation

In each of the firms, multiple senior managers (CEOs, inno-

studies. Second, we argue that the role the stakeholders play

vation managers and marketing managers) were interviewed

in the implementation process is affected by the industry as

about the origin of the innovative idea; the management

well as the type of innovation as important contingencies

of the innovation; and the role of external partners and

factors. In doing so, we show that in the power supply

customers in the innovation process. Within and cross case

industry in general, and with respect to green innovations

analysis finds that the adoption of OI innovation practices

that change the whole eco-system in particular (Yergin,

are most common at the early stage of the innovation value

2011; Weizsäcker et al., 2010) stakeholder management

chain (IVC); that managerial perceptions of competitive

is a critical success factor for innovations. Third, to explore

threats appear to limit the extent to which firms adopt OI

in-depth the distinctive interests, actions and responses of

practices at the conversion stage of the IVC; that at the dif-

various stakeholders throughout the implementation process

fusion stage OI practices are largely limited to collaborations

of green innovations, we conducted a case study of the

with customers; and managers regard external interactions

implementation of an offshore wind farm by a medium-size

for market orientation as being open in their innovation

projecting company in Germany. We found that the activities

processes. In terms of the process of adoption, the smaller

of internal and external stakeholders have several positive

firms in this study are characterised by ad-hoc adoption of

and negative effects on the innovation process. In addition,

OI practices, while in the larger firms there is some evidence

we show that these activities can also cause an essential

of more ‘conscious adoption’ of OI practices (Mortara and

transformation of the innovation content. In sum, ...

Minshall, 2011). Contributions include an argument ...

18


I n n o v a t i v e R & D Or g a n i s a t i o n

Open vs. Closed Innovation – Or should organizations

Methods and Tools for Managing Diversity in Smart SME

implement both?

Networks in Collaborative R&D Projects

Katja Hutter, University of Innsbruck, Austria

Heiko Matheis, DITF-Denkendorf, Germany Armin Lau, University of Stuttgart, Germany

In the era of open innovation, researchers highlight the

Manuel Hirsch, University of Stuttgart, Germany

innovative potential of internal and external sources for

Meike Tilebein, University of Stuttgart, Germany

innovation. Despite the gaining momentum of open innovation, only a few organizations have managed to develop

In today’s dynamic and globalised markets the development

consistent innovation management 2.0 strategies that enable

and provision of new products and services require a wide

them to use an integrated process applying the traditional,

range of competences and deep knowledge on novel mate-

closed models of innovation combined with the latest work

rials, methods, and processes. Many small and medium-sized

on collaborative, open innovation. While scholars have

enterprises (SMEs) are having trouble to cope with these

recently begun to look at the numerous virtues of distinct

requirements on their own. Therefore they need to build up

forms of open innovation, there is little understanding of

the capability to collaborate. In accordance with the open

the challenges organizations face in trying to simultaneously

innovation and open manufacturing paradigm SME need

work on both often inconsistent innovation modes. We

to be able to open their organisation to involve external

examine the two fundamentally different innovation logics

partners in internal processes or integrate into partners’

based on innovation literature, with extended examples

processes. This collaboration results in the need to handle

from three multinational organizations and data from 30

the rising diversity in the fields of process organisation,

qualitative interviews with employees and managers on the

information and communication technologies as well as on

front line of open innovation. We then refer to four different

personnel level between the involved SMEs. That includes

phases of the introduction and implementation of various

different competences, cognitive styles, and working places

open innovation pilot projects and shed light on occurring

distributed in both time and space.

challenges and roadblocks. We discuss implications to fully grasp the application of both models in theory as well as in

This paper presents concepts, methods and tools that not

practice.

only improve SMEs’ capability to collaborate but also to manage the resulting collaborative innovation projects on strategic level as well as on operational level. This implies involving the right partners – according to competence, potential contribution, or cognitive style – depending on the current project status and supporting the adaptation/transformation of the network on its way from development to provision of products and services. In order to know the current status of development, a tool, the SmartNet Navigator, estimates the status of these distributed projects. An example ... 19


I n n o v a t i v e R & D Or g a n i s a t i o n

Supporting or Killing the Technological Platform

Technology Driven Industry Models – Towards Organised

Design? Towards New Contingent Criteria for Strategies

Chaos in Engineering

Selection Manuel Kern, Fraunhofer IAO, Germany Olga Kokshagina, Center for Management Science, France Pascal Le Masson, Center for Management Science, France

New and sustainable concepts for business operations such

Benoit Weil, Center for Management Science, France

as the shared values concept result in increased complexity

Hassen Ahmed, Center for Management Science, France

in value network structures and engineering tasks. The generation of suitable engineering patterns is a collaborative

The circumstances in which firms operate have moved

task that combines the perspectives of several organizations

towards novel and unknown environments, thereby funda-

and disciplines. An approach that allows chaotic structures

mentally modifying the logic of decision making, rendering

and organises arrangements to deal with those complexities

planning approaches inadequate. The literature highlights

enables a self-organizing network to set-up the industry’s

that in these situations companies have to adapt more

model. This paper will provide an overview on the systemic

flexible approaches, to incorporate learning and privilege

process of generating a modelling and analysis instrument

interactions among projects and corresponding environment.

for industry models. The model building is based on a system

Moreover, sector dynamic influences the choice of strategies

analysis and integrates approaches from business modelling,

under high uncertainty. There are sectors “pushed” by

R&D and innovation management. The resulting scheme con-

technologies or “pulled” by markets. In the situations of

tains three viewpoints: value chain opportunities, operational

double technology and markets unknowns an interesting

opportunities and financial opportunities, whereas all three

solution is highlighted: the design of technological platform

are connected in one network wide value proposition. This

that is able to address many emerging markets. Yet it is not

paper focusses on the operational viewpoint and represents

self-evident when these strategies are advantageous for the

a case in which a sustainable technological value proposition

firms that are subject of the environmental dynamics and

which is perceived by a network of companies triggers a joint

pursuing double unknown. A simulation study is carried out

innovation planning process.

to clarify the contingent criteria in which the exploration of multiple technologies and markets could lead to platform design. The conducted simulation experiment reveals two main contingent variables: the existence of market signals and the “segregative” or “aggregative” nature of technological systems. The study endeavors to provide an improved theoretical understanding of double unknown management and the corresponding strategies.

20


I n n o v a t i v e R & D Or g a n i s a t i o n

Guiding Innovators to Full Performance: How Key

Challenges in the Organisational Implementation of

Innovators in Hightech Companies Can Be Supported

Technology Management in Companies

Systematically in Complex Innovation Processes Patrick Olivan, Festo AG & Co, Germany David Kremer, Fraunhofer IAO, Germany

Michael Schmitz, Fraunhofer IAO, Germany

Walter Ganz, Fraunhofer IAO, Germany

Joachim Warschat, Fraunhofer IAO, Germany

Jens Leyh, Fraunhofer IAO, Germany

Technology management (TM) in bigger companies requires Innovators in high-tech companies face a two-fold challenge:

a far more formalised organisational implementation as in

At the one hand, they are to develop innovative products,

smaller companies, because the relevant tasks are realised by

leaving the established scope of functionalities and offering as

employees of different departments and therefore have to

new and original customer benefits as possible. This requires

be linked organisationally in an effective and efficient way.

innovators to leave well-established ways of evolutionary

However a suitable organisational implementation in theory

developing single product functionalities, but to deal with

and practice represents a big challenge as various parameter

uncertainty and risks of greater innovation leaps. In other

and perspectives need to be considered to select appropriate

words, innovators have to think in terms of an innovation

linking within companies. Therefore this article takes the

logic. At the other hand, innovators deal with the current

organisational point of view on TM to illustrate that different

exploitation logic of their company, being involved in organi-

essential organisational fields need to be integrated, like the

sation structures, processes, behaviours and values which aim

aspects of knowledge, strategy, individuals, processes and

at establishing safety, reliability and efficiency of company

culture.

performance. Innovators need to find their way through the conflicts between innovation and exploitation logic. However,

Most publications are illustrating only a section of the overall

without guidance and without suitable methods and strate-

variety of available instruments to realise organisational links.

gies, the conflict of logics can lower innovators’ innovation

More holistic approaches, on the other hand, are rather

performance considerably. The BMBF-funded project “Fast

described on a quite abstract level that a lack of a practical

Adaptation of Technology in High-Tech Companies Through

solution can be determined. For this reason this article

Work Organisation and Personnel Development – START“

overviews common existing approaches of organisational

focused on creating support for company experts engaged in

implementation of TM like temporary forms of organisation,

innovation processes with challenges as described above. By

processes and roles and arranges them into clusters in order

defining fields of action in the areas of “Job design options“,

to formalise a summary of methodical deficits. In conclusion,

“Management of goal conflicts“ and “Innovation driver

an appropriate method for an organisational implementation

roles“, suitable support measures have been identified and

for TM in companies which consists of a set of integrated

systematised. The contribution will describe these support

and adjusted approaches is yet missing.

measures and present their systematic provision to dynamic, informal and decentralised innovation processes, which go beyond the scope of traditional management methods. 21


I n n o v a t i v e R & D Or g a n i s a t i o n

Does Spatial Ambidexterity Pay Off? A Firm-level

Leveraging External Innovation Impulses: Conceptual

Investigation of Technological Performance

Model for a Systematic and Efficient Exploitation from a Company Perspective

Annelies Geerts, Katholieke Universiteit Leuven, Belgium Bart Van Looy, University of Twente, The Netherlands

Peter Rueck, Friedrich-Alexander-University Erlangen-Nürnberg,

Bart Leten, Katholieke Universiteit Leuven, Belgium

Germany

René Belderbos, Katholieke Universiteit Leuven, Belgium

The opening of the innovation process is a major topic in Firms, when innovating, need to devote attention to both

innovation management research. Solution information is no

exploration and exploitation. However, whether to separate

longer solely generated within a company, but increasingly

or collocate exploratory and exploitative activities is still

by using external knowledge beyond the own corporate

subject of much debate. While a number of scholars plea for

boundaries. This new paradigm to interact with external

separation, others suggest that collocation might be more

partners is known as open innovation. Especially the inte-

advantageous. Acknowledging the inherent benefits and

gration of external knowledge from suppliers is becoming

drawbacks of both organizational design choices, introduces

increasingly important for firms due to the high maturity

the question to what extent (dis-)advantages actually prevail.

level of the offered solution.

Large-scale empirical research is scarce. In this paper, we examine whether and to what extent ‘spatial ambidexterity’ is

The analysis of current and past innovation projects of a

beneficial for the technological performance of firms. Spatial

multinational technology company within the scope of a case

ambidexterity reflects the degree to which exploration and

study reveals that in many cases no structured approach to

exploitation are pursued in the same or in different regions.

systematically exploit external innovation impulses beyond the principle of trial and error exists. In fact mostly a rather

Our study draws on a panel dataset of 169 large R&D

intuitive and individually different approach was observed

intensive firms situated within five industries and examines

concerning the processing of the respective external innovati-

global technology development activities at the regional

on impulse, which can be for instance a provided technology,

level. Our findings reveal that collocating – implying spatial

key component or product. To solve this dilemma this study

proximity of exploration and exploitation – positively affects

provides a conceptual model based on the results of the

the technological inventiveness of firms without jeopardizing

empirical analysis referring to abstraction and analogy buil-

the quality of the inventions. The results show that especially

ding principles. The underlying systematic approach to adapt

technological activities of a more explorative nature benefit

external solutions for internal exploitation offers practical

from collocating exploration and exploitation (within the

implications from a company perspective in order to increase

same region). The presence of economies of scale and the

the overall innovation success of the company. In addition

likely enactment of spillovers seem to outweigh the increase

the model illustrates reasonably the essential process steps

in coordination costs and/or the lack of focus (the latter

and iterations to be fulfilled.

associated with collocated activities of a different nature). Our findings challenge the beliefs advanced by ... 22


I n n o v a t i v e R & D Or g a n i s a t i o n

Innovation Strategies of Pharmaceutical Firms – an Exploratory Case Analysis

Wolfgang Burr, University of Stuttgart, Germany

Expiration of patents and price regulations are important framework conditions pharmaceutical companies have to cope with. This article investigates the influence of different types of innovation strategy patterns (3 main elements of an exploration strategy: own R&D efforts of the firm aiming at radical or incremental innovation and/or acquisition of knowledge by licensing agreements or by merging with other firms and/or diversification in new markets) on the success of pharmaceutical firms. Therefore innovation strategy is seen as an answer to the expiration of patents and price regulations. The central research question is: Are pharmaceutical companies with a mixed strategy more successful than pharmaceutical companies, which develop their innovation strategy more towards one out of three directions? An explorative research approach is chosen for the empirical investigation. On the basis of the theoretical framework and the firm cases, 4 research propositions were formulated. The impact of M&A/licensing strategy, R&D expenditures, and strategic diversification on firm success is surveyed in this study by a data and document analysis of 3 leading pharmaceutical companies (Novartis, Pfizer and Roche). Data from 2005 to 2011 were examined to verify the research propositions. The findings support the proposition that pharmaceutical companies which rely on innovations which they researched and developed themselves are more successful than pharmaceutical companies which rely on the purchase of innovations through M+A or licensing.

23



Sustainability and R&D Management

Session chair Prof. Mario Schmidt, Pforzheim University, Germany Industrial partner Dr. Claus Lang-Koetz, Eisenmann AG, Germay

Sustainability has evolved into a guiding principle for business in the last few years. The core message is to integrate economic, environmental and social aspects, also referred to as the triple-bottom-line. Sustainability in R&D Management requires to assume a life cycle perspective, can trigger new ideas for R&D and innovation and supports creating environmentally sound products and solutions. The special session “Sustainability and R&D Management� targets the broader question of how sustainability aspects can be integrated into R&D management. Challenges can be found at all management levels from business strategy over processes, methods and tools. Novel approaches from research integrating different disciplines and a practitioner’s perspective are welcome.


S u s ta i n a b i l i t y a n d R & D M a n a g e m e n t

A Study on Product Lifecycle Management (PLM) to

Linking Environmental Management Strategies,

Create a Sustainable Society

Environmental Innovation and Performance: Evidence from the Chemical Sector

Shigeki Nitta, Hiroshima University, Japan Yu Chao, Chung Hua University, China

Birte Golembiewski, University of Muenster, Germany Nathalie Sick, University of Muenster, Germany

The industries of a sustainable society have to not only comply with market needs and customer requirements, but also

As the level of environmental awareness is rising, companies

utilize natural resources efficiently and execute countermea-

are forced to respond to external pressures and future

sures for environmental issues. As a methodology to realize

competitiveness seems to be increasingly dependent on en-

the sustainable society, there is the life cycle management

vironmentally related innovations aiming to reduce harmful

that deals with the whole life cycle from mining of natural

environmental impacts. Hence, integrating corporate envi-

resources, production of the materials, development and

ronmental strategies and practices as well as measures for

manufacturing of a product, use and disposal of the product,

environmental performance becomes crucial. Although many

and recycling of the resources.

studies are dealing with drivers, the reasons determining the heterogeneity of corporates’ approaches to environmental

The purpose of this study is to propose the methodology of

innovation remain unexplained. Additionally, inconsistencies

the life cycle management of an automotive part (bumper) to

in terms of operationalizing different environmental concepts

minimize the global warming gas emission due to the part,

exist.

and to validate the methodology through actual example. As the study approach, first, mechanical recycling process

Our article aims to contribute to the discussion on causalities

of the plastic bumper was surveyed including its energy

in the field of environmental management by suggesting

consumption. The recycling processes were energy recovery

definitions and a model linking the different aspects accom-

processes from the bumpers incineration and mechanical

panying environmental innovations. The study of companies

recycling processes of the bumper. The second, the global

active in the chemical and pharmaceutical sector concentra-

warming gas emissions of each recycling processes were

tes on the question if firms engage into more environmental

assessed with Life Cycle Assessment (LCA). Finally, the com-

management and operating practices including innovative

bination of bumper recycling processes that could minimize

activities in dependency of their prior environmental per-

global warming gas emissions was considered. As the energy

formance in comparison to their competitors. A logistic

recovery process, three processes were taken up from the

regression analysis on a publicly available dataset reveals that

treatment of the bumpers of the disposed cars based on the

past performance indicators are influencing the subsequent

Japanese automotive recycling legislation. Most of the End of

environmental practice level. R&D management is required to

Live Vehicle (ELV)’s bumpers are incinerated to recover energy

overcome this still reactive behaviour towards environmental

as Automobile Shredder Residues (ASR). As for mechanical

innovations.

recycle process, the ELV bumper recycling to a new car bumper conducted locally in Hiroshima Japan was taken up. ... 26


S u s ta i n a b i l i t y a n d R & D M a n a g e m e n t

University Assistance for SMEs in CSR Policy Creation

Pavol Molnar, Paneuropean University, Slovakia Martin Dolinsky, Paneuropean University, Slovakia

The research in the matter concerned has started in 2011 and goes on already for three years. The main goal of this research is to assist Small and medium-sized enterprises in a preparation for the new entrepreneurial reality where the classical way of doing business is changed. It means, that economic criterion is not dominant anymore, but reduces its importance since there are other two emerging fields of company’s performance measurements – environmental safety and social responsibility. Three sets of indicators are usually called triple bottom line of sustainability. Indicators with an ambition to measure sustainability are labeled as sustainability measurement metrics (enterprise sustainability metrics). Small and medium-sized enterprises (SMEs) are in opinion of authors a decisive field of a success or failure of sustainable development. The aim of our initiative was highlighted by cooperating with SMEs – biggest polluters and biggest employers in European Union. To be aimed at SMEs seems to authors as a crucial concentration onto a field where “things will be decided”. The main driver for a Corporate Social Responsibility policy creation as a part of company’s business philosophy is, according to our experience, not in many cases altruism, but a desire to succeed at the market that values Corporate Social Responsibility (CSR). These new types of markets valuating triple bottom line of sustainability are being often created by large companies. Large companies are setting up additional environmental and social requirements for their suppliers (Small and medium-sized enterprises) as a part of their CSR policy. Presented paper introduces an assistance programme, we have developed within university boundaries, ... 27



Managing New Service Development

Session chairs Walter Ganz, Fraunhofer IAO, Germany Thomas Meiren, Fraunhofer IAO, Germany Industrial partner Harald Loos, Siemens AG, Germany

When comparing the research on services to those research activities that focus on material goods, an obvious gap can be observed: While there exists a broad range of methodologies and tools for the development of goods, the development of services has hardly become a topic of scientific literature. However, many companies have recently begun – not least as a result of the growing pressures of competition – to rethink their strategy for service provision. They want their services to be „regular products“. i.e. reproducible, exportable, even tangible and therefore developable. Services more and more undergo a systematic design process like any other product. The special session “Managing New Service Development” deals with strategies, models, methods and tools to develop new services. In addition, the linkage of product and service development processes are of particular interest.


Managing New Service Development

Organizational Design for Service Innovation

Characterizing the Acquisition of Complex Systems – the

Development

Case of the Mission Critical Communications Industry

Carsten Schultz, Christian-Albrechts-University Kiel, Germany

Ahmed Mashhour, University of Cambridge, United Kingdom

Frank Tietze, Christian-Albrechts-University Kiel, Germany

David Probert, University of Cambridge, United Kingdom

Robert Lorenz, mm1 Consulting & Management PartG, Germany

Rob Phaal, University of Cambridge, United Kingdom

Kah-Hin Chai, National University of Singapore, Singapore

Current literature on business solutions predominantly Firms increasingly servitize, thus selling functionality instead

focuses on the different aspects of managing and delivering

of or in addition to products. Despite various qualitative

products and service bundles from the seller’s perspective.

studies little quantitative evidence exists on how firms should

This paper aims to explore the issues relevant to the acquisiti-

organize for effective service innovation. This paper presents

on of technologies and solutions from the buyer’s perspective

results from a quantitative study on servitization in the Ger-

in complex business environments. The study focuses on

man manufacturing sector. We focus on performance effects

the mission critical communications industry (MCCI) as the

of three distinct organizational design element: autonomy

main research area, where mission critical communications

of the service business, service innovation orientation in the

systems are considered to be complex systems operating in

innovation strategy and formalization of a service specific

complex business environments. In this context, the effective

innovation process. We analyze how these organization

combination of product and service elements leading to an

design elements are contingent on service innovativeness.

integrated solution (IS) for the customers is very important

Our results are based on hierarchical regression analyses of

in achieving system stability during critical and emergency

data complied through a multi-item scaled questionnaire

situations.

completed by two informants from 72 firms. The findings show that organizing for new service development in a

This paper presents a novel depiction of the different strate-

separate business unit and formalizing a specific service

gic configuration options for acquiring new technologies and

innovation process positively impact service business

solutions on two axes. The first extends from full in-house to

success in general. When testing for moderating effects we

completely outsourced systems operations, and the second

find that the results are contingent on technological and

extends from complete system ownership to outsourcing of

organizational innovativeness of the new services that firms

system infrastructure. Empirical research carried out through

develop. However, when service units occasionally work on

case studies suggests that these strategic configuration

radical innovation projects such organizational design seems

options evolve with the introduction of new technologies.

to be sub-optimal. We discuss how firms can counteract

This paper links the strategic configuration options with

sub-optimality by specific remedies.

technological transitions (in the MCCI) through an historical roadmap. This historical mapping provides in-depth analysis of how the dynamic business environment affects the acquisition of new technologies and solutions in complex systems environments. ...

30


Managing New Service Development

Systematic Service Development: Exploring the Role

Making Sense of Ethnographic User Studies on Personal

of the Setting

Health Information Management – an Application of Fuzzy Cognitive Mapping

Albrecht Fritzsche, Friedrich-Alexander University Erlangen-

Shabnam Jahromi Razghian, Portland State University, United States

Nuremberg, Germany

of America

Julia Jonas, Friedrich-Alexander University Erlangen-Nuremberg,

Antonie J. Jetter, Portland State University, United States of America

Germany Angela Roth, Friedrich-Alexander University Erlangen-Nuremberg,

Ethnographic user studies can uncover fundamental attitudes

Germany

that are precursors of future customer needs and product

Kathrin M. Möslein, Friedrich-Alexander University Erlangen-

opportunities. However, product developers often struggle

Nuremberg, Germany

to interpret rich ethnographic insights and employ them in a tactical, rather than strategic manner. To solve this problem

Services as a co-creative process between providers and users

and support strategic product planning, this paper integrates

rely to a large extent on the tacit knowledge of the partici-

ethnographic studies with Fuzzy Cognitive Map (FCM)

pant. It therefore seems doubtful whether service develop-

scenarios and demonstrates the approach with a case study

ment can proceed in a similar way as the development of

in personal health information management (PHIM).

material products, which is largely based on material structures, formal information and determinate technical opera-

FCM modelling has originated in artificial intelligence as a

tions. The settings in which co-creation takes place provide

means to make cognitive maps computable for the purpose

structures for service development in a different way. This

of simulation. The approach is increasingly used in product

paper looks into the question how these structures affect the

development and technology planning to help product

tacit knowledge involved and to what extent this influence

developers create a shared team vision. Ethnographic

can be used to support a systematic service development

research is suitable for gaining insights into complex products

process. Based on field research among business experts for

that need to serve diverse customers with different (and

co-creation in services, we identify four dimensions of impact

changing) needs, cognitive capacities, preferences, goals and

on tacit knowledge in service development and evaluate the

use environments. One such group of products are PHIM

implications for the establishment of a systematic process.

systems, which provide IT solutions to patients to collect,

The findings are used to draft a framework for the strategic

manage, and give access to health information in order to

analysis of co-creation settings in terms of their treatment

improve quality of care. They are the focus of this study,

of tacit knowledge and its implications for the structure of

which employs ethnographic interviews with a total of four

the service development process, which allows us to analyse

users with relatively similar demographics (young, healthy,

specific instantiations of this dynamic in the case of the new

tech-savvy) to discover their strategies for managing health

service manufactory in Nuremberg.

information and to gain insights into their attitudes, goals, and PHIM needs. The interviews were converted into FCM models that show – on the individual and on the aggregated level – how attitudes and goals impact the desirability of ... 31



The Human Side of R&D

Session chairs Liza Wohlfart, Fraunhofer IAO, Germany Jürgen Wilke, Fraunhofer IAO, Germany Industrial partner Andrea Tietz, Carl Zeiss AG, Germany

Managing R&D professionals has always been a challenging task and current R&D trends such as open and cross-industry innovation, interdisciplinary R&D and the fourth industrial revolution have considerably impacted the skills required from R&D staff. Furthermore, societal changes have impacted the incentives young professionals look for. The Special Session “Managing the Human Side of R&D“ aims at providing insights into Human Resource Management in R&D, such as R&D training, expert career paths, soft skills of R&D project management and aging R&D work forces.


The Human Side of R&D

Technology Management Needs a Leadership Pipeline

The Human (and Corporate) Side of Openness

John W. Medcof, McMaster University, Canada

G. Steve McMillan, Penn State Abington, United States of America Debra L. Casey, Temple University, United States of America

Connecting high value solutions with future markets requires the integration of R&D, marketing and other organizational

Previous research appearing in R&D Management explored

functions which reach out to and understand market and

the impact of corporate policies of openness versus

technological trends and how to leverage them for compe-

secrecy with their scientific publications and their effect

titive commercialization. To achieve this, technology leaders

on technological and financial outcomes (McMillan, et al.,

must integrate into the general leadership of the firm and

1995; McMillan & Deeds, 1998; McMillan, et al., 2000). The

exercise influence beyond the boundaries of the technology

results were that there were substantial benefits to corporate

function, becoming business leaders who understand

policies favoring openness. With the intense focus of late on

markets and business as well as technology. This requires

open innovation (Chesbrough, 2003); this issue has taken on

training technical people for leadership within and beyond

even more importance. In addition, other topical research has

the technology function. The “Leadership Pipeline� model

highlighted a human component to this issue by uncovering

of Charan and his colleagues provides an approach to this

a clear penchant for openness by R&D scientists (Roach &

challenge describing six management levels from the bottom

Sauermann, 2010). The purpose of this paper is to conduct

to the top of the firm along with leadership skills appropriate

interviews of R&D professionals to uncover the mechanisms

at each: managing others, managing managers, managing

used to foster openness and how they are employed in a

a function, managing a business, managing a group and

practical way.

managing an enterprise. This model goes beyond the scope of most leadership training for R&D specialists which concentrates on leading technical people and projects at the lowest levels of the pipeline. R&D leadership training currently says little about leadership which bridges outside the technical function and leadership at the most influential levels of the organization. The leadership pipeline model advocates the early identification of leaders with career aspirations for management and describes how to nurture them at each stage of their career along the pipeline. This paper reviews the research on the roles and training of technical leaders, positions the findings along the leadership pipeline and considers some of the unique features of management in a technical setting. There is a dearth of research on the tasks of technology management above the lowest levels and even less on the transitions from level to level that technology ... 34


The Human Side of R&D

Inside Designer‘s Head: How Design Solutions are

Performance Management Systems in Major R&D

Evolved in Real World Situations

Organizations in India: Rationale, Acceptance and Effectiveness

Yi-Chang Lee, Lancaster University, United Kingdom

Nirmalya Bagchi, Administrative Staff College of India, India

Rachel Cooper, Lancaster University, United Kingdom Leon Cruickshank, Lancaster University, United Kingdom

Performance management systems have been used for long in R&D organizations in India to bring in greater efficiency

Concept generation is the most creative and complicated

and to motivate scientists to perform better. Often incen-

stage in design process. This paper investigates how con-

tives, rewards, recognitions and career progression decisions

cepts for new products are developed, screened and selected

are taken on the basis of such systems. R&D organizations

in a real world context. It is based on an empirical in depth

in India have also adopted such systems for the same goals.

study of product development in six SMEs in the UK, using

However, the results of the implementation of such systems

a modified action research methodology, using ‘designer as

have been mixed. While a section of scientists are happy

researcher’. The study monitors in detail all design decision

with such systems, many feel the need to bring in changes

making through the NPD process, however this paper focu-

to reflect the issues of performance in a better manner. The

ses on the concept development stage. Two main activities

paper is an attempt to analyse the different performance

were identified in this stage: developing and screening

management systems in operation in various major R&D

concept. It is generally considered that the essences of these

organizations in India on their suitability and effectiveness.

two activities are sequential and comprise of divergent and convergent thinking (Liu et al., 2003). However this study

A sample of scientists from major R&D organizations have

illustrates an iterative loop process which consists of the

been surveyed to understand the areas of concern of the

two styles of thinking resulting in a design decision making

users of the system (typically the top management of R&D

process in this stage that suggests it is more complicated

organizations) and scientists who are evaluated on the basis

than other stages of the NPD process. The study also

of such systems. The results presented show that there is

indicates that different models of design decision-making

considerable scope for improvement in such systems to

are adopted that are ‘situationally’ dynamic. In this study

enhance their acceptability and efficiency to bring in greater

the designer/researcher classified concept designs into four

performance in such R&D organizations.

groups: Bad, General, Good and Great concept. Following this classification the empirical data revealed six scenarios of outcome, depending on the combinations of four types of concept. Four models of design decision-making have been identified for coping with different scenarios. Implications of these findings for understanding the dynamic process of design decision-making in real world situation are discussed.

35


The Human Side of R&D

Maintaining R&D Excellence Despite Demographic Chan-

The Role of Internal Communication in New Product

ges: the Power of Expert Career Paths

Development: Promoting Product Innovation in Times of Change

Liza Wohlfart, Fraunhofer IAO, Germany Julia Duwe, EBS University, Germany

High-tech and knowledge-intensive companies depend on

Florian Täube, EBS University, Germany

the creative potential of their R&D teams. Faced with the

Volker Nestle, EBS University, Germany

demographic change, many of these companies fear the impacts it may bring along, such as the need to handle an

Turbulent markets, rapid technological changes and business

altered age structure, attract new work force in the war for

ecosystems that are increasingly shaped by networks – this

talents and retain experts with specific competencies. While

paper focuses on industrial firms that are confronted with

the challenges are obvious, the most urgent needs for action

different kinds of external changes and are themselves, as a

and suitable instruments for tackling them often are not.

consequence, undergoing a process of transformation. The study examines firms that have decided on a new product

Dominno, a research project funded by the German

or technological strategy and on the restructuring of the

government and the European Union, aims at understanding

involved organizational units. By connecting the strands of

how companies can identify and successfully cope with the

literature of strategic management and of internal com-

demographic side of innovation. First findings come from in-

munication for innovation and change, the paper proposes

depth interviews and large-scale surveys with two companies

that decentralized internal communication of managers can

from different industry sectors (care and automotive), which

influence the ability of new product development to innovate

have now started to define and develop suitable tools for

in times of strategic change by moving the people that are

their most critical challenges at hand. The paper will present

involved in the process into the center of attention.

highlights from the empirical research and a short snapshot of the ongoing work. In addition, expert career paths in R&D are presented as a powerful instrument to keep and leverage a company’s strategic expertise in times of demographic changes.

36


The Human Side of R&D

37



Future R&D Workspaces

Session chairs Stefan Rief, Fraunhofer IAO, Germany Jรถrg Castor, Fraunhofer IAO, Germany Industrial partner Peter Guse, Robert Bosch GmbH, Germany

Studies are proving already a serious impact of the workplace model on communication patterns as well as individual levels of motivation, performance and well-being. Besides individual aspects, there is an ever growing interest on the influences of the working environment on more group- and innovation-related success factors such as knowledge sharing, reciprocal inspiration and (multi-disciplinary) collaboration. Furthermore, in R&D the need to efficiently integrate practical, lab- or workshop-assigned tasks and theoretical work is becoming more important with shifting processes resulting in more computer-based activities in R&D. The ongoing changes in R&D require new steps towards a more adaptive organization as well as an inspirational and flexible design of the working environment. In this session research papers on workplace studies or surveys are as welcome as reports on new concepts, prototypical mock-ups and best-practice implementations of working environments for R&D. These can cover the individual workplace level, innovative working environments for teams or R&D campuses. Sector-wise there are no restrictions as long as for example a technical focus is given (e. g. ICT, automotive, material- or life-sciences).


F u t u r e R & D W o r k s pa c e s

New In-House Organizational Spaces that Support

Enabling Creative Knowledge Work – Soft Factors,

Creativity and Innovation: the Co-Working Space

Ambience, and Diffuse Communication

Anita Fuzi, Cardiff Metropolitan University, United Kingdom

Jörg Rainer Noennig, Technical University Dresden, Germany

Nick Clifton, Cardiff Metropolitan University, United Kingdom

Sebastian Wiesenhütter, Technical University Dresden, Germany

Gareth Loudon, Cardiff Metropolitan University, United Kingdom

In the context of creative knowledge work, ambient “soft” Office work has traditionally been associated with adminis-

factors play an important role. They impact needs and

trative and intellectual production. The demand for more

performance of individual knowledge workers (e.g. mood,

timely information and a quest for ever greater productivity

health, attention) as well as of workgroups and collectives

has led to the changes in the workspace through the

(e.g. social climate, collective intelligence, coordination). In

centuries. Our workplaces have become more functional and

addition to well-established “hard” factors (i.e. relatively

productive, but also subsequently places of interaction and

precisely measurable ones), ambient conditions still remain a

socialization, where the human dimension have emerged

vague impact on the work performance of knowledge wor-

gradually. At a time when the mantra `innovate or die` and

kers. The very challenge for research is to define and assess

`find the next big thing` rings uncomfortably in company

the effects of these factors, whereas the task for engineers,

CEO`s ears, designers need to change the office layouts

planners, and architects is to appropriately design and apply

to help promote interactions and encourage serendipity

them in workplace settings. By focusing on ambient factors,

amongst creative employees. This in turn needs different

new avenues for the conception of work environments

forms of organizational corporate culture that supports

can be established that respond to contemporary demands

collaborative work. Companies on the creative edge need to

of knowledge-intensive, creative work. In extension of

establish rich and diverse in-house office environments that

hardware-oriented, mostly function-driven workplace

provide a level of comfort and a wide range of facilities whe-

concepts, the interplay of hard and soft factors is key for the

re creative work can be done in a collaborative way through

explanation how creative and cooperative work-situation

exercising considerable judgement and intelligence.

emerge and impact human behaviour.

This paper proposes that these offices should be more than just shared open-plan offices - they need to be spaces used by a diverse group of people (co-workers) for collaboration, community building and idea sharing. Originally, the term ‘co-working space’ refers to a new shared working environment for freelancers and other location-independent professionals who are tired of the isolation of their home offices and the distraction of their local coffee shops. However the paper proposes that the model used for co-working spaces can also be applied to company environments in order ... 40


F u t u r e R & D W o r k s pa c e s

41



Collaborative Trend Management

Session chair Prof. Michael Durst, FOM University of Applied Science, Germany Industrial partner Christian Beuther, Continental AG, Germany

Structured trend research and management, as a discipline within R&D Management, allows companies to recognize, understand and interpret trends in various areas and derive options for Research and Development. Missing a trend or reacting to it late can have significant competitive disadvantages for a company in today’s hypercompetitive markets. Challenges in the thematic area of collaborative trend management include e.g. the structuring and categorization of trends, the integration into R&D processes, internationalization and collaboration, search field and data source selection and IT support. We are seeking papers addressing one or more of the above mentioned questions, either conceptual or from a practitioners point of view.Case studies are very welcome as well.


C o l l a b o r at i v e T r e n d M a n a g e m e n t

Innovation Mapping and Research Front Identification:

Open Foresight Process for Identifying Innovation

Tools to assess R&D Trends and Opportunities

Opportunities

Ricardo Eito-Brun, Universidad Carlos III de Madrid, Spain

Regina Gattringer, Johannes Kepler University Linz, Austria Franz Strehl, Johannes Kepler University Linz, Austria

Strategic innovation management requires a continuous monitoring of the innovation and R&D landscape. Usually, inno-

In response to the current challenges for corporate foresight

vation comes as a result of combining emergent or existing

a new approach appeared in recent years – the open

technologies or methods in new scenarios, and permeability

foresight concept. In this regard the term “open� refers to

between partner organizations, business units, or different

both the content and the process of a corporate foresight

teams is the source of new ideas and opportunities. The

project. Through the joint work with other companies know-

strategic management of innovation requires the deployment

how about the future can be generated together and then

of organization processes and best-practices to promote

be used on single company level. However, the question of

communication, and to monitor the outcomes of the inno-

the design of such an open foresight process has received

vation efforts done by third parties. Innovation agents need

little attention in the literature. Therefore, the main goal of

tools for making these innovation monitoring activities. One

this paper is to increase the understanding of the design

of the most promising tools on this area are those designed

and management of open foresight processes. Based on a

for the identification of research fronts. Defined as clusters

literature review and interviews with foresight-practitioners

of co-cited core papers and groups of papers that cite one or

and experts a conceptual model of an open foresight process

more of these core papers, research fronts have been used to

has been developed. This conceptual model contributes on

map scientific and academic activity.

the one hand to open foresight literature and offers, on the other hand, a fruitful framework for the design and

The results obtained with this technique provide depth

management of a company-specific open foresight process.

knowledge about the evolution of research trends, and the

Furthermore in the coming months this open foresight

combined use of different concepts to generate new research

process will be implemented in and evaluated with a research

ideas and areas to apply basic research. This paper analyses

network for applied mechatronics.

the feasibility of using research front analysis tools to identify and monitor research and innovation trends. The case study has been completed on a sample set of patents related to the Global Navigation Satellite Systems knowledge area. The analysis has been done using different available tools for scientific mapping. Research conclusions demonstrate that the regular monitoring of research trends using research front analysis and the open tools currently available is an activity that may report significant benefits to organizations. These benefits include a better understanding of the innovation ... 44


C o l l a b o r at i v e T r e n d M a n a g e m e n t

A Model for Technology and Business Scanning: a Frame-

Organizational Aspects of Open Innovation

work Based Upon Patent Analysis Daniel Bageac, IAE Aix-Marseille Graduate School of Management, Raffaella Manzini, Universita` C. Cattaneo – LIUC, Italy

France

Fabrizia Mauri, Universita` C. Cattaneo – LIUC, Italy

Emmanuelle Reynaud, IAE Aix-Marseille Graduate School of

Diana Rovati, Universita` C. Cattaneo – LIUC, Italy

Management, France Sergio Fortun, IAE Aix-Marseille Graduate School of Management,

Business & Technology Intelligence is becoming increasingly

France

relevant in times of economic downturns, as a managerial process that stimulates and supports decision-making

This article addresses the issue of the organizational aspects

and the creation of new businesses (Lichtenthaler, 2004;

of open innovation. The motivation of such a study lies in the

Mortara et al., 2008; Veugelers et al., 2010). Literature about

lack of knowledge about the organizational side of open in-

technology intelligence has demonstrated how scanning

novation. The first objective of this study is to suggest a more

the technological environment (technology scanning) is

specific definition of inbound open innovation. The second

fundamental in stimulating companies to think “out of the

objective is to document modifications in the deep structure

box” and in finding radically new technological solutions

(organizational culture) and formal or surface structure of

and/ or radically new ways to exploit existing businesses.

a company (centralization, formalization, specialization)

Several tools and models are available and many data

resulting from the implementation of open innovation. We

sources too; but technology scanning (in the following, TS)

study these changes in 9 firms using primary data collected

is quite a complex process. The most challenging issue is

through 24 semi-structured interviews and secondary data

defining a model for aggregating data and information with

consisting of firms’ annual reports. The definition of inbound

a systematic, structured, reliable, repeatable, effective and

open innovation we suggest emphasizes three main aspects:

efficient approach. This paper presents a synthetic overview

the relationship with the general innovation strategy of the

of the most recent literature on technology intelligence with

firm, the systematic and the frequent use of collaborations

a long-term orientation, i.e. focused on scanning rather than

with various actors in the innovation process. This study

monitoring and on external sources rather than internal;

offers a proposition of a contingency model of open inno-

with great attention not only to the theoretical contributions,

vation at firm level and a deep understanding of how open

but also to the actual solutions tested by Companies. A

innovation impacts the firm.

methodological framework is proposed showing how Patent Intelligence can contribute to TS and in particular for technology assessment and competitor monitor/benchmarking purposes. The literature review allows to draw a first tentative framework for TS by using patents. The proposed framework is then applied and tested in practice, with a case study approach, involving a multinational Company operating in the machinery industry, with high R&D ... 45


C o l l a b o r at i v e T r e n d M a n a g e m e n t

Modularity for Comprehensive Roadmapping of Technologies, Applications and Societal Evolution: Methodology, Insights and Implications

Andreas Sauer, Fraunhofer ISI, Germany Axel Thielmann, Fraunhofer ISI, Germany Ralf Isenmann, Munich University of Applied Sciences, Germany

This paper describes how modularity is implemented in a roadmapping framework so that from a set of stand-alone roadmaps each could be used as an interconnected module, vertically and horizontally perfectly fitting together in one comprehensive roadmap. The concept of modular roadmapping is illustrated by using the example of a BMBF-funded roadmapping project accompanying the innovation alliance “Lithium-ion batteries LIB 2015�, carried out by Fraunhofer ISI. This roadmapping framework addresses a broad technology landscape covering three domains: (i) Energy storage with lithium-ion battery technologies in general, addressing all kinds of applications, as well as (ii) energy storage for electric mobility and (iii) stationary energy storage specifically. Each domain is represented and specified through a specific technology roadmap covering technological developments, a product roadmap assessing corresponding market trends and product requirements, and a comprehensive roadmap linking technology push and market pull. Modularity for comprehensive roadmapping helps to link expertise on technologies, applications and societal evolution in regards to overarching (inter-)national challenges (e.g. the German energy transition). Every roadmap forms an independent module for itself, showing different paths of future development and critical dependencies in each of the three domains mentioned. Yet only through the integration of all perspectives regarding technologies, applications and societal evolution, the aim of analysing and documenting changes of innovation systems as a whole can be accomplished. From an academic ... 46


C o l l a b o r at i v e T r e n d M a n a g e m e n t

47



Advanced Virtual Engineering

Session chairs Dr. Manfred Dangelmaier, Fraunhofer IAO, Germany Joachim Lentes, Fraunhofer IAO, Germany Industrial partner Dr. Wolfram-Michael Remlinger, Audi AG, Germany

Shorter times to market and increasingly complex products drive the need for further frontloading in the product creation process. One promising approach to achieve this is to enhance product models in a holistic manner by adding functional aspects. These extended models support the verification of the product by simulation methods and thereby facilitate early optimization and maturity. The special sessions aims at contributions related to the trend towards the application of innovative technologies to realize the so-called digital product, i. e. functional virtual prototypes in R&D to advance the competitiveness of industrial enterprises.


A d va n c e d V i r t u a l E n g i n e e r i n g

A Big Data and Darwinian Approach of Scientific

Integrating Innovation Processes in Software VSE

Creativity

(Very Small Companies): A combined Process Framework

Luc Emile Brunet, R&D Mediation, France

Ricardo Eito-Brun, Universidad Carlos III de Madrid, Spain

Kévin LE MEUR, Cogit Composites, France

Studies on Innovation management are often focused on At present time, we can find more than fifty frameworks for

large companies and organizations. On the other side, small

creativity management. Some call themselves theories; some

companies or VSE (Very Small Entities), constitute a signifi-

of them prefer to be known as methods. Creativity remains

cant part of the entrepreneurial landscape, and contribute –

today a major pre-requisite for innovation, but remains

in a great extent – to the economic outputs of society and to

mostly unknown, as well as the entrepreneurship process

the creation of employment. This is also valid for the system

itself. Some recent studies even statistically experimented

and software engineering business areas. Larger systems

a link between creativity and some mental disorders

being built and deployed across Europe are usually built with

(Kyaga,2012). Using the entrepreneurship process and the

the participation of small enterprises or research centers

Saras Sarasvathy’s effectuation approach as a reference

whose contributions have a key role in the resulting systems.

about human behaviour under uncertainty, we’ll analyse

Although these companies are sensitive to the importance

the connection with another Indian approach of practical

of systematic innovation, most of the innovation models are

creativity called ‘Jugaad’. Most of the methods available,

targeted to large or medium enterprises and do not consider

mainly the ones closely linked to psychology, are not skill

the specific characteristics of the system and software engi-

oriented. However, the idea generation process is useless if

neering industries. In this particular business area, innovation

disconnected with the ability to perform relevant and cost

must consider two separate dimensions: a) the opportunities

efficient proof-of-concepts, including experimental design

to innovate that system and software development com-

approaches, experimental accuracy and precision assessment,

panies may offer to their customers and prospects, and b)

hidden parameters detection… In this paper, we will propose

the application of techniques to innovate in the software

a state of the art regarding what we know about creativity

development processes, to achieve better performance and

conditions and what is the typology of the creativity frame-

leverage process capabilities and company productivity. Both

works (psychology, linguistic, management) since 1960. The

dimensions require a systematic integration of the innovation

meaning of innovation evolved in western countries from a

management processes with the managerial and engineering

concept basically linked to invention and practical creativity,

processes of the organizations.

as Jugaad proposes, to a concept linked to participative innovation, design thinking, user experience approach. The

This paper proposes an extension of the process model de-

first one highlights individual action, the second one implies

scribed in the ISO/IEC 29110 standard to enable innovation

a collaborative process including an extreme variety of

management processes and activities addressed to VSE. The

stakeholders. These two approaches have both advantages

innovation activities and tools incorporated into the resulting

and drawbacks. We will study how it is possible to aggregate

model are based on existing innovation models and have

previous experiences using big data technologies, ...

been selected through interviews and surveys completed ...

50


A d va n c e d V i r t u a l E n g i n e e r i n g

Using Artificial Classification Technique to Select

IT Systems for Connecting the Resource Base in

Technology Acquisition Method

Innovation Networks: Findings from three Case Studies

Gozde Kara, Turkish Aerospace Industries, Turkey

Sven-Volker Rehm, Otto Beisheim School of Management, Germany

Ali Berkol, Turkish Aerospace Industries, Turkey

A significant portion of the R&D activities of small and meIn aerospace sector, product life cycle and technology

dium enterprises (SMEs) today is taking place in cooperative

development periods are longer than those in most of the

New Product Development (NPD) projects. Through such pro-

other sectors. Therefore technology management activities

jects, partners establish innovation networks for combining

are quite important for high technology firms and technology

complementary competencies and resources. IT systems are

acquisition is one of the most important parts of these

central to these networks as they act as facilitators for the

activities. Within this context, selection of better technology

network’s innovation infrastructure. Managing for an effecti-

acquisition methods for justifying cost and schedule needs

ve integration of complementary contributions can leverage

is an optimization challenge. In this study, some input para-

synergies and provide the basis for sustained competitive

meters (dual usage, TRL etc.) are identified in order to reach

advantage. How such synergies are to be generated is still an

output parameters as technology acquisition method (in

open question.

house R&D, buy etc.) using artificial classification techniques (neural network, fuzzy logic etc.).

In qualitative case studies of three innovation networks we have investigated how IT systems undergird activities that bring about complementarities. We have identified five ‘complementarity themes’ related to IT systems that contribute to shaping complementarities and to fostering synergy creation. The themes can provide stimulus for practicing managers with regard to shaping and managing innovation infrastructures in networks.

51


A d va n c e d V i r t u a l E n g i n e e r i n g

The “Documentation Parado“ – on Knowledge Reuse

Accessibility Engineering – Simulation and User

through Document Repositories in R&D Organisations

Experience Tools for Designing Products for All

Ludvig Lindlöf, Chalmers University of Technology, Sweden

Manfred Dangelmaier, Fraunhofer IAO, Germany Dimitrios Tzovaras, Center for Research and Tehnology Hellas, Greece

Document repositories are a central tool for large R&D

Roland Blach, Fraunhofer IAO, Germany

organisations. The purpose of those repositories is to be able

Thanos Tsakiris, Center for Research and Tehnology Hellas, Greece

to reuse information. Yet, it is common from an engineering perspective to consider them as “black holes”, i.e. countless

Inclusive design is a declared political intention in Europe.

documents go into them, but the leverage of the stored

Enterprises are expected to take their social responsibility

information is non-obvious. This paper intends to take a

by providing accessible products. But designing products

more critical stance towards the input of information into

for all also means economic opportunities by improving

the repositories, especially regarding whether there is a

usability and user experience of the product and by enlarging

clear recipient of the documents, which is not necessarily

the target market. To design inclusive products a new

the case. The conditions for reuse of information are highly

type of engineering competence and function is needed:

dependent on for whom the information is documented,

accessibility engineering. VERITAS, an Integrated Project in

and the recipient is pointed out as crucial in the reuse

the European 7th Framework Programme with 32 partners

process. Thus, the purpose of this paper is to investigate

from industry, research and user organisations developed an

the document creator’s awareness of the intended recipient

open simulation platform and an immersive (Virtual Reality)

when creating documentation. 35 in-depth interviews with

platform for such purpose and proved their usefulness for

engineers and managers at four large R&D organisations

various products and disabilities. VERITAS user models allow

were conducted to investigate the potential for reuse of

for simulation of motor, vision, speech, hearing, and various

information. A main finding is that even though it is of great

cognitive impairments.

importance for successful information transfer to have a good perception of who the recipient is, a common reason

Both model-based simulation and first person impairment ex-

for creating and storing documentation in repositories is that

perience tools were used to redesign products from the areas

the recipient is unknown. In this paper, this is referred to as

automotive, construction, domotics, workplaces, personal

the “documentation paradox”. As identified in other studies,

healthcare, and infotainment. The results of these redesign

if the recipient had been known, a personalization approach

processes were verified in usability tests with disabled users

had been preferred in most cases. The findings contribute

and compared to the baseline state. The tools were also

empirically to theory on the use of document repositories,

tested in pilot studies with designers. It was shown that the

and provide R&D managers and Knowledge Management

application of VERITAS tools is well accepted by designers

officers with a potential to improve the reuse of information.

and is effective in improving accessibility of products in the considered application domains. A test in a productive reallife setting in the construction domain revealed ...

52


A d va n c e d V i r t u a l E n g i n e e r i n g

53



Managing Business Model Development

Session chair Prof. Ellen Enkel, Zeppelin University, Germany Industrial partner Otto Gies, Airbus Group, Germany

Business model innovation is essential for companies to create and form new markets and to achieve a competitive advantage over rivals. Moreover, companies that determinedly foster sepcific initiiatives and approaches toward business model innovation are often able to better reflect on changing parameters in the organisational ecosystem. We particularly call for empirical work providing insights into the phenomenon around business model innovation. In this regard, we would like to emphasize that the most convincing papers are considered for publication in the special issue of the R&D Management Journal which will be published in 2015. Topics of interest in business model development encompass, but are not restricted to: - Organisational capabilities, processes or levels of business model innovation - Business model innovativeness (e.g. incremental vs. new to the world) - Patterns of business model innovation - Collaborative perspective of business model innovation - Success factors of digital business models - Influence of technical trends (e.g. big date, 3D printing) - Service-based business models


Managing Business Model Development

Achieving Business Model Innovation in Large

How to Foster service-based Business Modelling in

Corporations: Process Insights from the Chemical

product-centric Firms?

Industry Karoline Bader, Dr. Manfred Bischoff Institute of Innovation Stephan Winterhalter, University of St. Gallen, Switzerland

Management of Airbus Group, Germany

Tobias Weiblen, Institute for Business Innovation, Canada

Ellen Enkel, Dr. Manfred Bischoff Institute of Innovation

Christoph H. Wecht, University of St. Gallen, Switzerland

Management of Airbus Group, Germany

Oliver Gassmann, University of St. Gallen, Switzerland

Changing market situations, new trends and customer needs Despite the fact that business model innovation (BMI) has

as well as rising competition require that product-centric

attracted intense scholarly attention, there is a paucity of

firms enhance their service orientation and come up with

insights concerning the organizational implementation of

novel service-based business models. However, since

BMI efforts in large corporations. This paper investigates how

product-centric firms are often unlikely to possess necessary

business model innovation is managed in the complex envi-

capabilities and resources for service-based business model-

ronment of the chemical industry and derives consequences

ling, they habitually need to extend, adapt, reconfigure or

for the establishment of a systematic BMI process in large

even replace their existing capability set and resource base.

corporations. Based on a multiple case study design, we

To gain knowledge about required capabilities and resources

identify three different types of BMI processes and show that

for service-based business modelling in product-centric firms,

(1) the degree of technology involvement and (2) the stage

we conducted a multiple case study analysis with nine speci-

of technology development act as key moderators for the

fically selected firms. The results reveal that product-centric

choice of process. With our results, we contribute novel in-

firms need to develop specific sensing, seizing and recon-

sights to the ongoing academic discussions on BMI processes

figuring capabilities. Only then, service gap identification,

in corporate environments and on the relationship between

service-based business model design and development, and

technology and business model innovation. Practitioners will

the orchestration of a firm’s service-oriented mental model

profit from rich implications gained from our study.

can be realized.

56


Managing Business Model Development

Innovation in Sports: Towards New Paradigms for R&D

How to Thrive in a Cross-Industry Landscape: a Network and Dynamic Capability Perspective on Service-Oriented Business Model

Andrea Paraboschi, Institute of Management, Italy Andrea Piccaluga, Institute of Management, Italy Alberto Di Minin, Institute of Management, Italy

Sebastian Heil, Zeppelin University, Germany Ellen Enkel, Zeppelin University, Germany

This paper aims to shed light on the evolution of R&D paradigms that the sports industry is facing, focusing the

Many firms out of ‘traditional’ industries find themselves

attention on the changes that incumbent firms need to face

moving toward business models based on integrated service

in order to survive in a very crowded and fast evolving mar-

offerings and need innovative ways to interact and leverage

ket. We start our paper presenting a short excursus about

complementary competences and resources with other firms.

the evolution of this industry in the last century, identifying

Network architectures are thereby increasingly arranged

the main driving forces beyond innovation in the sports

around platforms, with value offered to customers through

domain; then we present a taxonomy to classify innovations

collaborative innovation with complementary actors. We

in this sector and we populate each quadrant with examples.

explore how focal firms can form network architectures for

Moreover we discuss about who is innovating in the industry,

service-oriented business model innovation and how they

identifying an evolutionary pattern where new actors are

can systematically identify new business opportunities to

becoming the main players in the scene. In support of our

build up and sustain larger network architectures. Our case

findings we present the Prince case study. Finally we conclu-

study analyses include 12 focal firms from various industries.

de with some hints about what incumbent companies can

We increase the understanding of the development of

do in order to keep competing in this sector. Our research

service-oriented business models by elaborating on firms’

has its roots on the R&D management, Open Innovation and

underlying platform elements, presenting a heuristic classi-

Product Innovation literature streams, offering insights about

fication of focal network roles, and identifying the relevant

what is happening in a specific industry and addressing new

technological and market triggers. Furthermore, we show

questions for further works on the topic.

sensing capabilities necessary to develop larger network architectures and provide a promising mean to managers regarding service-oriented business model innovation.

57


Managing Business Model Development

Failed Business Model Innovation – a Theoretical and

Business Models for Frugal Innovation: the Tole of

Practical Illumination on a Feared Phenomenon

Resource-Constraints

Bastian Halecker, University of Potsdam, Germany

Stephan Winterhalter, University of St. Gallen, Switzerland

René Bickmann, University of Potsdam, Germany

Marco B. Zeschky, University of St. Gallen, Switzerland

Katharina Hölzle, University of Potsdam, Germany

Oliver Gassmann, University of St. Gallen, Switzerland Tobias Weiblen, University of St. Gallen, Switzerland

Business model innovation (BMI) in incumbent firms is an important yet challenging task. Although there is increasing

Frugal Innovation is an extreme case of innovation: radically

interest in developing and implementing BMI, not much is

new applications are innovated for an environment of ext-

known about failed BMI, i.e. cases in which ideas or even the

reme resource and cost constraints. While the phenomenon

development of new business models have fallen through.

of frugal innovation has been described from a product

Considering learning from failure to be most suitable for

perspective, very little is known about how firms organize

research on BMI, we address this gap by adding conceptual

frugal innovation on a business model level. This study is

and empirical evidence to previous work on drivers influ-

based on a multiple case study approach investigating five

encing the success of BMI. Using an explorative multiple

business models for frugal innovation in the context of the

case study approach, we examine why BMIs have failed in

medical equipment market in emerging economies. We find

established firms. First, we identify 99 drivers from BMI litera-

that there exists an overarching frugal business logic, based

ture concerning success or failure of BMI, herewith deriving

on which firms can establish different business models.

conceptual assumptions for BMI failure. Second, we identify seven cases of unsuccessful BMIs. Finally, we conduct an explorative case study using data from three cross-industry cases of unsuccessful BMIs, including ten in-depth interviews and a vast amount of secondary data. We empirically confirm most of our conceptual assumptions. Moreover, we identify further aspects not considered before. Overall, our findings show that drivers of success and failure of BMI in incumbent firms can be divided into two dimensions: factual and social failure.

58


Managing Business Model Development

Collaborative Business Model Innovation: Genesis and

Spotlighting Innovative Business Model Development

Prototyping in an Aerospace Setting Isabella Grahsl, A.T. Kearney International AG, Switzerland Vassilis Agouridas, Grenoble Ecole de Management, France

Angelika C. Bullinger, Technische Universitaet Chemnitz, Germany

Dimitris Assimakopoulos, Grenoble Ecole de Management, France

For decades, utilities have been commodity providers. Their Global companies are increasingly seeking to strategically

offering to the customer base was traditionally limited to the

develop and accelerate business model innovation with SMEs

delivery of electricity or gas. However, during the last years,

as their key intangible differentiator in view of generating

political changes, an increase in competition and higher

and sustaining their competitive and collaborative advan-

requirements from customers have increasingly forced the

tages. Our research reviews critically the relevant literature

utilities to change their offering portfolio and to develop

and provides insights into the early phases of the emerging

innovative business models accordingly. In our case study

phenomenon of purpose-built, network-centric collaborative

of four leading energy suppliers in Austria and Germany

business model innovation in the context of an aerospace

we could observe coupled development activities for new

business ecosystem set-up. An action research and multi-

products/services development (NPD) as well as for innovative

pronged case study methodology was used to collect both

business model development (BMD) at some degree. We first

participant observation and interview data from a leading ae-

derive two apparent types of developing new products/ ser-

rospace company and about 20 SMEs involved in the set-up

vices and then, from an in-depth analysis, we show that the

of an emerging business model driven innovation ecosystem.

realization of the apparently different types allows to derive

To gain insights into the underlying network structures and

and to present a unified NPD model of innovative product-

dynamics we also deployed a social network analysis (SNA).

service development. At next, we present insights on com-

Our initial findings demonstrate the strong potential of SNA

monalities and major differences in the observed business

to shed light both into theoretical aspects of collaborative

model development processes of the utilities. Furthermore,

business modelling in terms of understanding invisible

we show that NPD and BMD activities, especially for hybrid

patterns of emerging relationships and actor roles, as well

offers addressing emerging growth fields related to the tradi-

as into business practice aspects in terms of developing

tional electricity segment, might be combined into one single

and managing dynamic capabilities through exogenous and

process. Such a meta-process (NPD/BMD) could enable utility

distributed, network-centric interactions.

companies to leverage their innovativeness and systematically compare the relative attractiveness of innovative projects at choice even better.

59


Managing Business Model Development

Start- Ups Survival: Do Business Models Matter?

Why intended business model innovation fails to deliver: Insights from a longitudinal study in the German smart energy market

Elena Casprini, Scuola Superiore Sant’Anna, Italy Cristina Marullo, Scuola Superiore Sant’Anna, Italy Alberto Di Mini, Scuola Superiore Sant’Anna, Italy

Sebastian Knab, Hamburg University of Technology, Germany René Rohrbeck, Aarhus University, Denmark

Despite the existence of strong differences in non-survival phenomena, the survival of new firms is widely recognized

This paper aims to explore whether intended business model

as a beneficial phenomenon for economic growth. Beyond

innovation (BMI) activities enhance exploration capabilities

sector specific variables, environmental conditions and struc-

of incumbent firms. We report findings from a longitudinal

tural factors, there is still uncertainty about the determinants

study that spans from 2010 to 2014. We find that even

of survival rates. Taking into consideration contributions from

though incumbent firms generated 21 generic business

the resource based view and organization ecology, we build

models in 2010, only one has been successfully implemented

a logistic regression model in order to verify the existence

by incumbents by February 2014. The majority has been

of a positive impact on firms survival for four blocks of vari-

pioneered by new entrants. These findings suggest that

ables. The first block refers to external funding, namely the

intended BMI activities can only partly contribute to over-

previous venture capitalist’s funding and the ‘notoriety effect’

coming the challenges associated with exploration. While

from global competitions. A second and a third block refer

evidence suggests that they are effective in overcoming some

to the alliances and planned internationalization strategies.

cognitive challenges, a second set of cognitive challenges

Finally, a fourth block refers to a business model component,

and all action-level challenges remain.

i.e. the value proposition, and looks at the impact of the servitization [Vandermerwe, S. and Rada, J. (1988) Servitization of businesses: adding value by adding services, European Management Journal, 6, 4, 314-324] of the value offering. Data from a unique database on business plans of the Intel Global Challenge’s finalists from 2005 to 2012 are analyzed. The results of the logistic regression show a positive impact of the planned internationalization strategy, the existing alliances and the hybrid value proposition in the early years of new high tech ventures on their survival.

60


Managing Business Model Development

A Case Study Exploring Open Business Model of Global Unichip Corp.

Wan-Chen Chen, National Cheng Kung University, China Po-Young Chu, National Chiao Tung University, China

In an increasingly competitive market, companies can strengthen their competitive advantage by restructuring value chain. Open innovation has changed the allocation of innovative resources and redefined the organizational boundaries to make the multiple cross-organization cooperation possible. Therefore, it has become an important business model that encourages corporation innovation progressively. From the perspective of open business model, this research explores the relationship among enterprise itself, suppliers and customers in the value chain. First, this paper uses the Global Unichip Corp (GUC), a SoC design foundry as a case to examine the evolution and SoC problems in the whole IC industry. Second, it investigates how an open business model integrates all value chains of the IC industry into one ecosystem. This research is the first known study to explore the emerging service gaps, value creation, and value capture processes created by a SoC design foundry. The results show that the emergence of the SoC design foundry prompted the fourth revolution in the integrated circuit (IC) industry and the IC industry has been trending toward virtual integration. Further, it demonstrates how design foundries create ecological benefits by teaming up with suppliers and customers in the IC industry.

61



Open Strategy in R&D

Session chair Prof. Sabine Brunswicker, Purdue University, United States of America Industrial partner Prof. Johann FĂźller & Giordano Koch, Hyve AG, Germany

The term “open strategy� suggests that openness does not only relate to managing openness in an individual R&D project or in the idea-to-launch process. Open strategizing implies a more open approach towards managing the strategy and policy processes in R&D. There are two key dimensions that characterize open strategy making, namely (1) greater internal and external transparency as well as (2) greater inclusiveness of various actors in strategy-making, internal and external. Information systems and digital technologies afford novel means to engage a large number of participants in open strategy processes. With this special session we call for papers that tackle open strategy in R&D and the strategic use of information systems in open strategy in R&D from different perspectives and theoretical lenses (e.g. network theory, micro-political approaches, theory of affordances). We are interested in advancing existing theory and strongly encourage empirical contributions that span both the private as well as the public sector.


O p e n S t r at e g y i n R & D

Proclivity for Open Innovation: Different Paths to

Users’ Influence in Technology Transfer Processes.

Innovation Success

The case of ENEA

Kaja Rangus, Vibacom, Slovenia

Fabrizio Cesaroni, Universidad Carlos III de Madrid, Spain

Mateja Drnovšek, University of Ljubljana, Slovenia

Lola C. Duque, Universidad Carlos III de Madrid, Spain

Alberto Di Minin, Scuola Superiore Sant’Anna, Italy

Andrea Piccaluga, Scuola Superiore Sant’Anna, Italy

Although some empirical studies on open innovation have

During the last years, innovative organizations have under-

recently emerged, the multidimensional phenomenon has

taken a gradual shift from a closed to an open model of

been rarely explored in its whole, since existing research

innovation, which has resulted in a modification of manageri-

mostly has focused on only one of its dimensions. This

al procedures and business models. While prior research on

narrow view hinders the understanding of the complexity of

Open Innovation has mainly explored the outside-in process

open innovation phenomenon and its activities. With several

(the technology development stage), little attention has been

statistical analyses on a large sample of companies from

paid to the inside-out process (the technology exploitation

three countries, we aim to provide theoretical and empirical

stage). Leveraging on the mind-set of Service-Dominant

grounds for addressing fundamental questions in open in-

Logic for marketing, we explore the influence that potential

novation literature, such as: How do different dimensions of

technology users play in shaping the preferred strategy for

open innovation influence innovation performance? Do dif-

technology exploitation and the form of technology transfer.

ferent modes of open innovation exist? Are companies that

First, we propose a conceptual framework where users’

are highly intense on all open innovation dimensions superior

characteristics – their learning and technological capabilities

innovators? With this wider focus on the multidimensionality

– drive technology providers in the choice of the best strate-

of open innovation, we intend to help managers to decide

gic option of technology commercialization and total value

“which open innovation dimensions should be stimulated

creation. We primarily adopt the viewpoint of organizations

the most” and to understand “how to effectively implement

whose core business is to develop technological innovations

open innovation process within their organisations”.

on the behalf of potential users, but that are not involved in downstream manufacturing activities – such as specialized knowledge-intensive business service providers (KIBS). Then, we apply our conceptual framework to the case of an Italian public research centre (ENEA) and describe what factors affected the choice of the preferred technology transfer mechanisms of three technological solutions characterized by different levels of development and complexity. Finally, we discuss our findings and derive relevant managerial implications.

64


O p e n S t r at e g y i n R & D

Open Innovation Management through Strategic

Open Entrepreneurial Strategy – Patterns of Co-Creative

Implementation

Technology Entrepreneurship in the Automotive Industry

Stuart MacKinven, University of Strathclyde, United Kingdom

Benedict C. Doepfer, mm1 Consulting & Management, Germany

Jillian MacBryde, University of Strathclyde, United Kingdom Beverly Wagner, University of Strathclyde, United Kingdom

Despite a global economy entrepreneurial success in many cases relates to local factors. In fact, the competence of the

There is wide agreement about the activities that encompass

entrepreneur to exploit its direct surroundings and utilise

open innovation. However, little attention has been given

networks for building new partnerships is pivotal for the

towards the extent to which firms have strategically adopted

future development of the venture. However, as specifically

open innovation within their organisation. The purpose of

in technology-intensive industries strategic risks is a serious

this paper is to explore the role of corporate strategy on

matter, the question raises for a strategic pattern of open

this emergent paradigm. This paper therefore analyses two

value creation of entrepreneurial firms.

distinct cases of open innovation in practice from the oil and gas industry. Empirical data suggests that it is possible

This research assesses open entrepreneurial strategy via

to provide countless examples of observed open innovation

a conceptual approach as well as an empirical study in

activity. However, these are not necessarily a direct cause

the automotive industry. Systematically 33 technology

of strategic intent towards implementing open innovation.

entrepreneurs were selected for in-depth interviews which

Findings also show that if open innovation is to become a

are analysed by qualitative research software (Win Relan).

professionally managed activity, research needs to be aligned

The results indicate that entrepreneurs value networking as

towards strategy of the firm. Open innovation is a change

means to transform ideas into innovations but primarily take

process that requires attention and commitment levels

a monolithical approach to value creation. In consequence

much like Lean and Six Sigma initiatives. This paper provides

they apply an on-demand-based perspective of networking

empirical evidence to show that open innovation should be

to minimize transaction costs and focus on established

concerned with the strategic transformation of an organisa-

trusted partnerships. Therefore, locally accessible industry

tion through a shift in organisational culture that requires a

networks and innovation promotors are decisive factors for

managed process.

technology entrepreneurs to effectively engage in open value creation processes.

65


O p e n S t r at e g y i n R & D

‚‘Closed Open Innovation’ or ‘Openly Closed Innovation’ –

Contextual Factors Impacting on the Adoption of Open

Which Way is for World-First Innovations?

Innovation: the Case of Three Irish born Global Firms

Jason Li-Ying, Technical University of Denmark, Denmark

Gillian Barrett, School of Management and Marketing, Ireland Lawrence Dooley, School of Management and Marketing, Ireland

‘Open innovation’ strategy suggests the purposive use of knowledge inflows and outflows to accelerate internal inno-

Interest in open innovation has risen dramatically in recent

vation, and expand the markets for external use of innovation.

years. However, much of that interest has centred on

The literature on ‘open innovation’ tends to agree that there

large-scale enterprises. The focus of this paper is to explore

are two dimensions of R&D projects can be used to evaluate

open innovation from an SME perspective and in particular

their openness: (1) how much it relies on external knowledge

the under-researched perspective of a born global firm. We

resources; and (2) if it is internally or externally developed.

seek firstly, to explore the viability of open innovation as a

To date, the literature on ‘open innovation’ has neither deli-

start-up strategy for born global firms. Secondly, we examine

berated theoretically on nor tested empirically the effects of

the impact of certain contextual factors on the adoption of

these two dimensions simultaneously in relation to innovation

particular forms and modes of open innovation.

outcome measures. Therefore, the aim of this paper is to fill in this research gap in both theory and empirics. My typology is theoretically based on the Schumpeterian innovation types (Mark I and Mark II) on the one hand and the rich literature on firms’ external knowledge searching on the other hand. The Closed Open Innovation refers to those innovations that are internally developed but draw heavily on external scientific/ technical knowledge. The Openly Closed Innovation refers to those innovations that are externally developed but meanwhile draw mainly on internal scientific/technical knowledge. The dataset used in this study is the Canadian Technological Innovation Dataset, which was obtained from a population survey for 1635 major industrial innovations in Canada during the period from 1945 to 1980. Based on a binary logistic regression model, the results show that totally closed innovation modes were positively associated with the likelihood of an innovation being world-first; meanwhile, the findings reveal an overall trend that innovation modes for world-first innovation had become less and less closed and a mix of open modes had become equally effective as the closed ones. 66


O p e n S t r at e g y i n R & D

Open Strategy in R&D Management

Longitudinal Effects of Open R&D Strategy on Firm Performance: Comparative Study of the UK and Korea

Katja Hutter, University of Innsbruck School of Management, Austria Bright Adu Nketia, University of Innsbruck School of Management,

Joon Mo Ahn, University of Cambridge, United Kingdom

Austria

Tim Minshall, University of Cambridge, United Kingdom

Raphael Strebel, University of Innsbruck School of Management,

Letizia Mortara, University of Cambridge, United Kingdom

Austria Kurt Matzler, University of Innsbruck School of Management, Austria

This paper attempts to investigate the longitudinal relation-

Johann F端ller, University of Innsbruck School of Management,

ships between open R&D strategies and firm performance

Austria

in different national contexts. Based on two panel data sets, the UK Community Innovation Survey (CIS) 2004-2008 and

The topic of strategy development and the type of actors

the Korean Innovation Survey (KIS) 2005-2010, the paper

involved in strategizing has gained considerable attention in

identifies longitudinal trends in open R&D and finds evidence

academic research. Within strategy research, organizational

of their significant relationship with firm performance. The

actors, such as top management and middle managers, have

findings of this paper will provide valuable insights for mana-

been perceived and researched to be well suited for the

gers in multi-national corporations (MNCs) and policy makers

formulation and implementation of strategy. A recent trend

establishing firm strategies or national level R&D policy.

of openness in strategy formation reveals that Web 2.0 technologies offer new opportunities for involving a large crowd in strategy formation processes, harnessing the collective intelligence of an organization and allow for more open and participatory modes of strategizing. In our exploration of the open strategy phenomenon, we contribute some insights into the strategy development process within strategy literature through a qualitative study involving 7 different organizations and 15 managers with first-hand experience in conducting open strategy projects. Our analysis of gathered data revealed 7 major categories significant in our understanding of the open strategy notion. Ultimately, in light of top and middle manager prevalent involvement in strategy formulation over the past years, our findings provides an insight into the notion of involvement in strategy process research demonstrating that new actors (wider organizational members) contingent on various factors are capable of making a contribution to strategy ... 67


O p e n S t r at e g y i n R & D

How is the Lead User Approach Implemented in

Born open? A look at Open Innovation from the

Practice?

perspective of HTSFs

Jens Lehnen, Hamburg University of Technology, Germany

Cristina Marullo, Scuola Superiore Sant’Anna, Italy

Daniel Ehls, Hamburg University of Technology, Germany

Alberto Di Minin, Scuola Superiore Sant’Anna, Italy

Cornelius Herstatt, Hamburg University of Technology, Germany

Andrea Piccaluga, Scuola Superiore Sant’Anna, Italy

Research on lead user innovations has been conducted for

HTSFs are widely recognized as one of the most important

nearly thirty years and is part of the open strategy actions to

sources of new knowledge for technological innovations in

identify client needs and integrating a larger number of par-

the last decades. The literature about the open innovation

ticipants in R&D activities. By integrating lead users into the

paradigm shows an increasing interest in understanding

new product development, external stakeholder‘s knowledge

the nature of knowledge interactions between HTSFs and

and creativity is utilized in order to improve the innovation

their environment. The open innovation paradigm has so

process. Thereby the inherent failure risk of market launches

far been studied mainly as a strategic approach by large

can be reduced. Pioneering lead user innovations like moun-

corporations and multinationals; however, the current

tain biking, kite surfing or snowboarding are iconic, fre-

debate is also concerned with the key relevant factors that

quently mentioned examples, also cases of companies who

influence technology acquisition and exploitation approaches

successfully integrate lead users like 3M, Johnson & Johnson

in HTSFs (Lichtenthaler, 2011; Oakey, 2013; Wynarczyk and

or HILTI are common. However, the systematic integration of

Piperopoulos, 2013). Drawing on these dimensions we use

lead users in practice is still unclear in many facets. Further, it

data from a survey conducted on 383 high-technology SMEs

is not clear if the transfer of knowledge from scientific theory

at regional level in Italy in order to classify homogeneous

to management practice is consistent or not. It therefore is

groups of firms on the basis of the degree of openness in

a matter of particular interest for both - scientific theory and

their innovative behaviour. We measure the degree of open-

practical management - to analyze the actual dissemination

ness with practices related to both technology acquisition

of this approach and observe the current understanding and

(external knowledge sourcing and in-licensing practices) and

experience of lead user innovations in business life.

application activities (external product development and outlicensing practices). Our findings support the view of HTSFs

We target this goal by analyzing the implementation of the

being naturally ‘open’ in their innovative behaviour due to

lead user approach in practice. Exemplarily we analyze the

their nature of research driven companies and to their lack

German market and conduct a literature analysis of 255

of some resources (Gassman and Enkel, 2004; Oakey 2013).

publications in German-speaking business press. Such a lite-

Accordingly, open innovation practices pursued by HTSFs

rature review of articles in management press regarding this

appear to be mainly driven by market-related networking,

topic has - to our knowledge - not been conducted before

since they focus on partners and clients for product ideas

and therefore reveals important novel insights. We provide

and development (Lichtenthaler, 2008; Van de Vrande et al.

practices of the knowledge transfer and identify potential

2009). We furthermore find a significant association between

voids concerning the understanding of lead user ...

the degree of openness and some of the characteristics ...

68


O p e n S t r at e g y i n R & D

Identifying Business Models of Applications Developed

An Ecological Approach to Understanding How Diversity

Using Civic Open Data

affects Collaborative Innovation during Open Strategy Development

Melissa Lee, ESADE Business School, Spain Esteve Almirall, ESADE Business School, Spain

Albert Armisen, ESADE Business School, Spain

Sabine Brunswicker, Purdue University, United States of America

Ann Majchrzak, University of Southern California, United States Esteve Almirall, ESADE Business School, Spain

As open strategies have gained traction in private business, scholars have researched and identified the corresponding

Open Participation is a still-evolving method for creating

open business models that those companies use to create

greater inclusion of various actors in a strategy making

and capture value (Chesbrough, 2006; Zott et al., 2011). A

process. One approach to implementing open participation

similar trend towards openness in the public sector has also

is using Open Innovation Challenge crowdsourcing platforms

begun, with particular focus on open data and application

and practices to solicit novel strategic ideas from crowds of

development as the catalysts for collaboration between

diverse stakeholders. However, industry analysts are iden-

citizens and the government. However, these open civic

tifying significant concerns about the effectiveness of this

initiatives have failed to garner the amount of impact or

approach since the ideas generated are often not as innova-

to maintain the level of sustainability that was anticipated

tive as desired. One potential source for these concerns may

(Majchrzak et al., forthcoming). Some of these failures can

rest with how the diversity in the crowd is collaboratively

be attributed to the lack of successful business models

engaged to help evolve innovative ideas. More specifically,

based on the use of civic open data. We investigate the

since the extant literature is mixed about the relationship

business models of applications utilizing civic open data by

between diversity during collaboration and innovativeness,

the considering the development of the industry architecture

we addressed the question of whether different forms of

surrounding public open data and its influence on the deve-

diversity encountered in different ways and times would

lopers’ business models (Jacobides et al., 2006). Developers

affect the innovative ideas generated. By integrating the

and organizers in seven cities in Europe and the United

management and conservation biology literature on the rela-

States were interviewed regarding their participation in civic

tionship between diversity and innovativeness, we developed

application development. As few applications developed on

a concept called “evolutionary diversity in open innovation”

the backbone of civic open data realized profitable value

which is composed of thread-level and system-level diversity.

creation, the paper concludes with insights into alternate

From the management literature on diversity, we developed

sources of value creation that maintain developers’ involve-

the concept of “thread-level diversity”, i.e., diversity within

ment in the sector.

the current collaboration of interacting participants within a thread affects whether an individual in that thread is able to generate an innovative idea. From the conservation biology literature, we developed the concept of a “system of collaboration” in which diversity both facilitates and sets limits on current collaborations to foster ... 69


O p e n S t r at e g y i n R & D

Effective Strategy Making in Local and Regional

Open Strategy as a Dispersed Process: a Study in the

Development

Field of Electric Mobility

Scott Hutcheson, Purdue University, United States of America

Erwin Hettich, University of St. Gallen, Switzerland

This paper presents findings from a study that examined

This study examines the open strategy process reporting on

strategy making in the context of local and regional deve-

multiple-case studies within the emerging domain of electric

lopment. There are approximately 13,000 local and regional

mobility. Building on extensive field research on R&D initia-

economic development organizations in the U.S. alone;

tives, we derive an empirically grounded process framework

and it is likely that at some point in the recent past or near

that suggests open strategies to develop along three distinct

future, a great many of them have developed, or will deve-

phases: initiation, negotiation, and execution. We argue

lop, a strategy for growing their economy. Little research,

that open strategy-making oscillates between meta- and

however, has been conducted to examine what makes one

firm-level and unfolds within constructed strategic arenas

local or regional development strategy process any better

via repeated and iterative negotiation between autonomous

or worse than another. The purpose of this research was to

actors. Our findings suggest that third parties (e.g., public

fill that gap in the literature, identifying factors that lead to

agencies or private institutions) play a pronounced role in

effective strategy making in local and regional development

inter-firm interaction and compensate for the absence of tra-

and to provide civic leaders and development practitioners

ditional hierarchical structures and authorities in collaborative

with evidence-based information to help them design and

arrangements. Our study also points towards the salient roles

implement effective strategy-making initiatives.

of individuals in building open strategies by linking actors that are spread across ecologies, as well as giving “voice and

This mixed-method study included both a qualitative grounded-theory component as well as a quantitative quasiexperimental phase. The theoretical foundation for the study came from the scholarly literature on social innovation from sociology, collaborative governance from public administration, and strategy formation from management. Data were gathered from over 100 strategy initiatives from around the U.S. as well as from a panel of economic development strategy experts. The findings point to characteristics consistent with open strategy rather than the closed models often associated with traditional strategic planning. This paper will discuss eight specific characteristics of effective strategy making and shed new light on the application of open-strategy in local and regional ... 70

face� to interorganizational endeavours.


O p e n S t r at e g y i n R & D

Are Patients a Valuable Source of Innovation for R&D

Open Public Health Policy Making:

of Medical Devices? The Case of Medical Smartphone

Collective Intelligence in Health Care Priorities

Applications

Setting

Moritz Goeldner, Hamburg University of Technology, Germany

Juan Andrei Villarroel, Catolica-Lisbon School of Business and

Alexander Kaufmann, Hamburg University of Technology, Germany

Economics

Vivienne Paton, Hamburg University of Technology, Germany Cornelius Herstatt, Hamburg University of Technology, Germany

This research responds to recent calls in the Public Health

User Innovation is a proper means for R&D organisations

transparent approaches to Health Care Priorities Setting

to identify new product or service concepts that have been

(HCPS), particularly in the wake of the era of open data,

developed by innovative users. Several studies in different

crowdsourcing and social media. Traditional “closed”

industries have shown that users can contribute significantly

approaches to HCPS have been shown to be costly and

to success of new products. However, little is known how

biased resulting in suboptimal use of limited public

Policy literature for more formalized, workable and

different users are interacting along the value chain of a

resources for addressing disease through policy, while

product. In some cases so called intermediate users and end

lacking public legitimacy and often failing to meet the actual

users were identified. They use the same products differently

needs of the final intended beneficiaries. Consistent with

and possess different kinds of knowledge. In our study, we

participatory action research in public health, the collective

want to analyse the contributions of intermediate and end

intelligence (CI) approach presented in this paper uses

user within the innovation process.

crowdsourcing as the vehicle to unveil public needs directly

In the healthcare sector, prior research has shown that

preferences and collectively contribute to elucidate the needs

healthcare professionals are a valuable source of innovation.

of their community.

However, both companies and scholars have so far paid only

Our empirical results show that this approach: (1) proves

from citizens, who are motivated to reveal their individual

little attention to the end user of medical devices: Patients. In

simple enough for layman citizens to understand and to use

this paper, we want to focus on the innovative behaviour of

to provide useful insight, (2) yields statistically robust health

patients and relatives, their motivation and their contribution

care priorities settings from a population, and (3) offer

to improving the quality of their own and ultimately of other

complementary insights to those derived from government

patients’ therapy. We analysed innovations of producers,

and institutional sources, whose data typically lag a few

healthcare professionals (intermediate user) and patients/

years and are often disconnected from the actual needs of

relatives (end user) in the German, UK- and US-based market

the final beneficiaries. In conclusion, the open approach

for medical smartphone applications (Apple App Store) and

explored in this research offers novel strategic input for

subsequently conducted eleven semi-structured interviews.

public health policy making that closely reflects the final

Our findings indicate that patients and relatives develop

beneficiaries’ actual local needs, and collectively unveils a

applications that are rated better, are downloaded more

consistent pattern of health care priorities for a given

frequently and are significantly cheaper than ...

population, in a participatory, cost-effective and timely manner. Open participatory approaches to health... 71



R&D Management across cultures

Session chairs Dr. Anton Kriz, University of Newcastle, Australia Stephan Sch端le, Fraunhofer IAO, Germany Industrial partner Marcus Madelung, Telstra Global, Germany

The increased level of globalisation leads to R&D projects that often cross regional and cultural borders. R&D Managers have to successfully deal with the opportunities and challenges involved in order to achieve a good balance in between global policy and standardisation and local givens and product requirements. The session puts a specific emphasis on Asia-Pacific. It includes both the fast growing giants China and India as well as Australia and New Zealand with their strong European links, thus offering an excellent example for interesting and, at the same time, challenging cross-cultural collaboration opportunities. Papers presented in the session may e.g. focus on the particularities of R&D Management in a specific AsiaPacific region, concepts for improving R&D management in that region or cross-cultural R&D projects within this region and beyond (e.g. with European partners).


R & D M a n a g e m e n t a c r o s s c u lt u r e s

Managing and Assessing Investments in Publically

Understanding of Large Far Eastern Organizational

Funded Research: Observations and Lessons from

Cultures in Approaches to New Product Development

Australia’s Largest Publically Funded Research Agency

Process: Designing Versus Controlling

Mark Bazzacco, CSIRO, Australia

Hyunwook Hwangbo, Lancaster University, United Kingdom

Anne-Maree Dowd, CSIRO, Australia

Emmanuel Tsekleves, Lancaster University, United Kingdom

Following the global financial crisis of 2008 and ongoing

This paper explores how approaches to new product design

economic challenges governments continue to come under

can differ nationally when examining large organizational

increasing pressure to demonstrate the value derived

cultures between the East and the West, especially looking at

from investments in programs. Research and Technology

different approaches in the context of ‘openness’. Currently,

Organisations (RTOs), such as Australia’s Commonwealth

approaches to new product development in digital landscape

Scientific and Industrial Research Organisation (CSIRO) are no

have shifted to evolutionary perspectives, which embrace

exception and are required to demonstrate how investment

an ‘open’ context in the design process – ‘designing’, rather

decisions are made and research assessed to evidence

than single hierarchical and closed strategy for efficiency-

the societal benefits from their research. Accordingly,

‘controlling’. However, successful large Far Eastern orga-

governments and RTOs are progressively developing more

nizations in consumer electronics and telecommunication

sophisticated approaches and frameworks for conducting

products have achieved maximized sales profits by focusing

such assessments. This activity continues to identify a variety

on effective new product strategies. This paper proposes

of challenges associated with defining, capturing, assessing

a conceptual framework to understand ‘designing’- driven

and reporting the benefits from public investment in research

organizational cultures, based on gaining an understanding

in a meaningful way.

of the Eastern Asian organizational cultures in their New Product Development (NPD) process. This is developed

The aim of this paper is to provide insights into the key

through a number of case studies on organizational cultures

challenges and emerging themes from CSIRO’s experience in

in NPD process in Eastern Asian consumer electronics and

managing research impact. The context and mandate under

telecommunication companies. This paper highlights that

which CSIRO was conceived and continues to operate has

NPD process in Far Eastern Asia’s organizational cultures have

supported the instilment of impact management as part of

been underlined in single hierarchical organizational cultures

its culture and operations. Each of CSIRO’s National Research

resulting in engineered product design under ‘controlling’,

Flagships have research goals that have been developed and

rather than ‘designing’.

iterated with input from experts from industry, government and research institutions that form its advisory committees and review panels. This input informs and refines goals and pathways to maximise the likelihood and intensity of the uptake and adoption of CSIRO’s research. More recently, CSIRO has supported these goals with statements of ... 74


R & D M a n a g e m e n t a c r o s s c u lt u r e s

Planning and Implementation of New National R&D

Innovation Management: Why Deep Knowledge of

Organizations

Regional Cultures and Institutions Matter

Jill A. Engel-Cox, King Abdullah City for Atomic and Renewable

Anton Kriz, University of Newcastle, Australia

Energy, Saudi Arabia

Richard Collins, University of Newcastle, Australia

Maher A. Alodan, King Abdullah City for Atomic and Renewable Energy, Saudi Arabia

How does a company transfer knowledge around innovation and R&D processes when operating in diverse international

Development of a new national research organization

markets? Knowledge transfer has been a consistent problem

requires a strategic and carefully phased approach that

for MNCs in their endeavours to deal with foreign cultures

builds the research organization appropriately over time in

in host designations. It will pose similar problems for

alignment with its mission and in the context of its national

those keen on open innovation and for those interested in

innovation ecosystem. The design and implementation of a

developing innovation management practices across cultures.

new research organization ideally follows a structured itera-

Surprisingly little emphasis in the innovation management

tive planning process, involving an overall research strategy,

domain has been placed on better understanding knowledge

research agenda, facility design requirements, operational

transfer within cross-border exchanges. Such context specific

and organizational design, partner engagement framework,

approaches challenge the oversimplification of national

and financial plan. The long-term planning should be

differences.

balanced with near-term implementation, such as staff recruitment and development, key partner selection, and

Fang (2006) describes these differences as more like an

strategic research projects. Simultaneous implementation and

“Ocean” rather than an “Onion”. This conforms to John

planning helps achieve momentum and build support, while

Berry’s (1989) challenge for an emic-to-emic or a richer

at the same time efficiently planning the organization, its

bottom-up and within-culture view. It is quite timely that re-

actions, and its resource use over the long-term. This process

gional innovation system literature is beginning to investigate

is being used for development of the Research Development

cities as a unit-of-analysis. Given the importance of regional

and Innovation (RDI) sector within the King Abdullah City

and city differences implicit in countries like China and Ger-

for Atomic and Renewable Energy (K.A.CARE). K.A.CARE

many it is surprising that there is a dearth of such research.

is a new government organization in Saudi Arabia, created

This paper focuses on beginning to bridge this gap. China is

by Royal Order in 2010. K.A.CARE’s mandate is sustainable

used as a major case study within the context of comparisons

development of an energy mix of renewable and atomic

with Germany and Australia. The authors propose that an

energy for the Kingdom of Saudi Arabia and to contribute to

emic understanding of China, Germany and Australia will

economic development and job creation, while maintaining

advance our capacity to effectively transfer knowledge and

the highest levels of safety, security and transparency. Early

innovation between such diverse and complex domains.

in its formation, K.A.CARE included a mission-driven applied research component in its organization to enable energy technology deployment and localization through ... 75


R & D M a n a g e m e n t a c r o s s c u lt u r e s

Measuring Sustainability and Innovation in Australian

Innovation and Internationalisation Capability

SMEs

Development among Public Spinout Firms: Insights from Australia

Stephan Schüle, Fraunhofer IAO, Germany Liza Wohlfart, Fraunhofer IAO, Germany

Alexandra Kriz, University of Sydney, Australia

Mark Ledson, Department for Manufacturing, Innovation, Trade, Resources and Energy, Australia

The Commonwealth Scientific and Industrial Research Organisation (CSIRO) is Australia’s national science agency.

Sustainable business development is a constant challenge

A primary means by which CSIRO commercialises its research

for SMEs. Tasks such as the identification of upcoming

and development (R&D) is through the establishment of

trends, the capturing of customer requirements and the

spinout firms. This paper seeks to understand how resources

development of new solutions are a real challenge that is

and capabilities linked to both innovation (R&D and new

hard to handle besides the daily business and that has to be

product development) and internationalisation are developed

mastered by all hierarchical levels of the company. Especially

among CSIRO’s de alio or “off-spring” spinout firms. Notably

in micro and small companies, innovation does not depend

de alio firms emerge from ‘living parents’ while de novo firms

on the creativity of the R&D department alone, but is an

do not emerge from a parent organisation and are akin to

obligation of all employees.

more traditional stand-alone start-ups (Walsh and Bartunek, 2011). Typically the literature assumes that firms are de novo.

Together with local partners in South Australia, the authors

This paper diverges from existing research by exploring the

of this paper have developed a measuring tool that helps

nature of resource and capability development in de alios

SMEs to assess their innovation and sustainability capabilities

and considers this phenomenon in the context of CSIRO and

and to identify improvement options. A specific asset of the

its spinout ‘children’. Lessons from the case of CSIRO and

tool, besides the sector-independent health check, is that

its de alio spinouts in the Australian context may potentially

it supports SMEs in getting funds from banks. A problem

provide valuable lessons about nurturing innovation and

CEOs have to struggle with in their daily business is to get

internationalisation for similar public or semi-public research

financing at a short notice for investing in the future of

institutions across cultures (Fraunhofer for example). This re-

the company. Banks are often not able to understand the

search may also elucidate the extent to which the Australian

significance of a specific investment and its impact on the

institutional environment is both facilitating and inhibiting

company success. The newly developed tool helps banks to

in terms of its impact on public research organisations and

get a deeper, future-oriented insight in the viability of SMEs.

associated spinouts.

The holistic assessment that captures quantitative and qualitative measures is based on previous research in Europe and assessment frameworks developed for the European market. The project team has adapted these approaches to the needs of Australian SMEs … 76


R & D M a n a g e m e n t a c r o s s c u lt u r e s

77



Patents and IP

Session chair Truong Le, Fraunhofer IAO, Germany


Pat e n t s a n d I P

Intellectual Property Strategies of Multinational

Platform leaders to provide Patent Shelter

Companies Patenting in China Seyed Kamran Bagheri, Scuola Superiore Sant‘Anna, Italy Pierre Wolfram, Friedrich-Alexander-University Erlangen-Nürnberg,

Alberto Di Minin, Scuola Superiore Sant‘Anna, Italy

Germany

Andrea Paraboschi, Scuola Superiore Sant‘Anna, Italy

Gerd Schuster, Friedrich-Alexander-University Erlangen-Nürnberg,

Andrea Piccaluga, Scuola Superiore Sant‘Anna, Italy

Germany Alexander Brem, University of Southern Denmark, Denmark

On August 12, 2011, Google filed a request with the U.S. Patent and Trademark Office (USPTO) for re-examination of

While global intellectual property trends show a stable

two patents asserted by a patent firm, Lodsys, against several

rate of worldwide patent applications during the last five

Android coders. It was most probably the first public move of

years, patent applications in emerging economies strongly

the Internet giant to defend Android application developers

increased within the same period. Unless the increasing

from a patent lawsuit. This is just one of a growing number

number of applications in emerging economies, the indige-

of similar initiatives undertaken by other so-called „platform

nous legal systems in those countries are mostly not able to

leaders“ to protect independent complementors active on

effectively protect intellectual property rights of multinational

their platforms against patent assertion threats.

companies. Still, we observe the phenomenon of a strongly increasing rate of technology patenting in countries with

In this paper, we first look at the rapid evolution of industry

weak appropriability regimes. This article studies patenting

platforms and how their business model is increasingly threa-

strategy archetypes of the world’s largest patent applicants

tened by the recent surge of patent litigation. We review the

using the case of China as an empirical context. Using

impact of these litigation threats on small and independent

Questel’s professional patent search application Orbit, we

complementors operating on industry platforms and describe

build a unique data set of the world’s top patent applicants

a set of alternatives that are available to them to at least

combining data from the World Intellectual Property

alleviate the risk of patent litigation. Then, we look at the

Organization and the State Intellectual Property Office of

same phenomenon from the platform leaders‘ perspective

China comprising data of about 620.000 patents. Referring

and examine the emerging evidences on platform leaders‘

to the study of Keupp et al. (2012), we extend previous qua-

initiative to provide Patent Shelter to their partners. We

litative studies on patenting strategy archetypes by adding

argue that this reaction could serve two important functions:

quantitative evidence from a data set of the world’s largest

(1) it helps to maintain and reinforce a platform ecosystem,

intellectual property owners. Model based clustering reveals

and (2) it acts as a differentiating factor for platforms relative

the existence of five patent strategy archetypes of companies

to their rivals. Next, we show that platform leaders‘ defensive

patenting in economies with weak appropriability regimes.

response could happen at two different levels: (1) providing umbrella protection and (2) defensive intervention in specific patent litigation cases. Finally, we propose a conceptual framework that helps understand platform leaders‘ possible case-specific reactions under six different scenarios. ...

80


Pat e n t s a n d I P

An Integrated Patent Indicator System for Patent

The Internationalization of R&D Operations by Large

Portfolios: Evidence from the Telecommunication

Companies: a Driver of Innovation Performance?

Manufacturing Industry Bernard Buisson, Université libre de Bruxelles, Belgium Lei Guo, Xi’an Jiaotong University, ChinaMarina Zhang, University of New South Wales, AustraliaMark Dodgson,

The internationalization of R&D by large companies has

University of Queensland, Australia Hong Cai, Xi’an Jiaotong

been the subject of many academic articles. Foreign R&D

University, China

operations started as market customization facilities, evolved as listening posts and later became sources of innovations

Against the background of the increasing prevalence of

for multinational corporations (MNCs). There are pros and

‘patent portfolio races’ in industries such as telecommunica-

cons for R&D internationalization and the academic literature

tions, this paper proposes a set of patent portfolio indicators

offers various, and sometimes opposite conclusions. The

measuring the attributes of patents of scale and diversity. It

relationship between the level of R&D internationalization

uses that indicator system in a time series to analyze the pa-

and the innovation performance remains to be questioned: is

tenting activity and technology strategy of the top 20 firms

R&D internationalization really a driver of the innovation per-

in the telecommunication manufacturing industry, based

formance? This article considers the various arguments which

on a large dataset from USPTO. The data are aggregated

have been developed around this issue, and examines the

into five five-year periods. In combination with composite

possible relationship using three sets of data: the innovation

and relative measures, we identify the firms’ competitive

premium, as a measure of innovation performance for the

positions in patenting activity for each time period. The scale

100 most innovative companies as identified by Prof. Dyer,

indicators are first clustered in five two-dimensional matrices

Gregersen and Christensen, patent data from the European

for different time periods to display the relative positions and

Patent Office Patstat database, which enables to precisely

their changes over time. We then measure the firms by their

estimate the level of R&D internationalization, both in terms

patent portfolio diversity at two levels: overall diversity and

of the proportion of patents invented abroad, and in terms

core technology diversity. This study provides a useful tool

of the number of countries where patents are invented, the

for strategic technology management and sheds light on

Forbes Global 2000, which lists the 2000 largest companies

patent portfolio valuation.

worldwide. The combination of these databases made it possible to come up with a sample of 362 companies. For each company, the following indicators were computed: the number of priority patents registered, the number of priority patents for which an inventor location was available, the number of priority patents invented in a country other than the home country of the parent company, the number of countries were priority patents were invented. After applying a logistic regression, it turns out that: inventing a higher proportion of patents abroad cannot be statistically ... 81


Pat e n t s a n d I P

Frenemies through Complements

R&D Cooperation and Firm Performance – an Empirical Investigation Based on the Patent Co-Ownership

Anna Hoi Yan Fong, National University of Singapore, Singapore Yuhong Lan, National University of Singapore, Singapore

David Elvers, University of Muenster, Germany

Shang-Jyh Liu, National University of Singapore, Singapore

Chie Hoon Song, University of Muenster, Germany

The patent arm race and the continuing publicity of excessive

The importance of R&D cooperation has been recognized as

damages in patent litigations have raised concerns that

a consequence of growing complexity, dynamism of the envi-

patents have become a barrier to innovation. There are also

ronment, increasing risks and escalating costs of innovation.

great concerns about patent thickets that will obstruct inven-

Collaboration with firms and academic institutions enables

tions from serving the public needs by increasing the costs

organizations to exploit external resources and competencies

of producing a product. This paper proposes that companies

not available internally and adding additional value to the

can use complementing patents as bargaining chips to com-

in-house ideas.

pete in the market. These patents can play a strategic part especially for entrants who want to enter a market crowded

Despite the large number of publications related to R&D co-

by incumbents. We investigated the strategic use of com-

operation, empirical studies on the impact of firm’s strategic

plementing patents through systematic analyses of patent

partnering on firm performances are rather scarce. Thus, we

portfolios in the touch screen technology. We then grouped

contribute to the literature by discussing the strategic beha-

them according to categories of ‘technology, functions, pro-

vior of firms derived from the patent co-ownership network

duct features and uses’ based on detailed qualitative analysis

to establish a link between the variety of close relationships

of each of the patent documents in the patent portfolio

and the number of sold products. By considering the patent

search. We then compared the analysis with the Cooperative

co-ownership to map out the cooperative relations, the

Patent Classifications (CPC) and established the usefulness of

following assumptions are made: Patent co-ownership

basing the CPC Codes analysis for larger patent portfolios. In

shows a high degree of commitment for the collaborative

a second phase of patent analysis, we extended the patent

work from parties involved and mutual trust, thus the

portfolio size and divided them into technologies found

proportion of shared knowledge, is particularly high. In this

along the value chain of touch screen products. We arranged

sense, a co-patent represents an output of a highly intensive

the patent portfolios in chain to visualize the relationships

business relationship. First, the starting point is the analysis

between core and complementing patents. In particular, we

of co-patenting structure in the field automotive industry

looked at the role that these complementing patents played

using patents related to lithium-ion batteries. We investigate

in increasing the pie of profits in the ecosystem of manufac-

the characteristics of each resulting cluster derived from the

turing a product and securing control of the industry through

collaboration network and then explore the heterogeneities

bridging the gaps in the value chain. ...

of R&D collaboration strategies differentiating between three types of strategic partnering: doing-it-alone, concentration on single partners and open partnering. Second, analysis is undertaken to establish an empirical linkage between ...

82


Pat e n t s a n d I P

Managing Patent Disputes with Patent Portfolios:

A Situational Approach to Conduct a Risk Assessment

Lessons from Cloud Computing

of Know-How Drainage with Regard to Organizational Complexity

Yuhong Lan, National University of Singapore, Singapore Hoi Yan Anna Fong, National University of Singapore, Singapore

Paul-Vincent Gall, Fraunhofer IAO, Germany

Shang-Jyh Liu, National Chiao Tung University, China

Yvonne Wich, Fraunhofer IAO, Germany Truong Le, Fraunhofer IAO, Germany

Although Big Data is just emerging and its adoption by industry players is still at the nascent stage, the prevalence of

With regard to megatrends e.g. resource scarcity, increasing

Big Data-related (BDR) patent lawsuits has already reached a

demand for energy, growing world population know-how

significant level in the US. The increasingly active BDR patent

is the most important competitive advantage of the 21st

litigation landscape, however, has not been adequately in-

century. However, according to a study of VDMA (Verband

vestigated in the extant literature. We attempt to contribute

Deutscher Maschinen- und Anlagenbau - German Engineering

to this area by providing an overview of the BDR patent

Federation) in 2013 the current level of know-how protection

litigation landscape as well as shedding insights about the

in German companies does not comply with the prevailing

managerial aspects of such litigation. Our findings show

threats. Due to the fact that in business relationship price,

that patent lawsuit is the major form of IP dispute faced by

performance, and delivery time are the prevailing negotiation

private BDR companies (start-ups and SMEs), and the mature

factors, know-how protection is often neglected.

ones are at a higher risk of getting involved in such litigation. Among the publicly-listed BDR firms, patent litigation is

Know-how drainage contains multiple dimensions: employee’s

even more prevalent. While public companies larger in size

fluctuation, uncontrolled information exchange with suppliers

tend to get involved in the BDR patent litigation more, the

and customers, intentional attacks from competitors, reverse

overall litigation status/performance of a firm cannot be fully

engineering etc.. The bigger the size of the organization and

explained by the firm’s size. Our analysis shows that the size

its degree of internationalization and complexity, the higher is

of a firm’s BDR patent portfolio could substantially influence

the risk of know-how drainage and the higher the challenge

its litigation performance, and the significance of amassing

to determine prevailing level of know-how drainage risk within

a large patent portfolio increases with the company size. We

a company.

further demonstrate the strategic use and advantage of large patent portfolio using qualitative case studies covering both

In order to overcome this challenge a situational approach to

operating company and non-practicing entity.

measure the actual risk level of know-how drainage will be proposed. In a first step an assessment of organizational complexity will be carried out. Based on this result the adequate scope of assessment criteria will be chosen in order to carry out the risk assessment. By using this situational model the level of know-how risk drainage will be determine properly. Subsequently, appropriate counter-measures can be ... 83


Pat e n t s a n d I P

The Management of University Patenting from University Professors’ Perspective – an Exploratory Study

Teh-Yuan Chang, Aletheia University, Taiwan Chung-Yuan Tsay, National Pingtung University of Science and Technology, Taiwan

This paper was set up to understand how university scientists conduct patent management, owing to that university patents positively contribute to the success of technology transfer for the university-industry collaborations (UICs) and university entrepreneurship, leading to the growth of national economy. The productivity of university patents is likely to be associated with the management of university patenting. By interviewing seven university scientists, it can be found that they appear to employ some of the processes of patent management, mostly patent search and patent analysis; moreover, the employments seemed to be driven by university professors’ experiences and, particularly purposes, of patenting. Nevertheless, the implementation of patent management by university scientists is highly dependent on outside patent professionals.

84


Pat e n t s a n d I P

85



R&D Organisation and Efficiency

Session chairs Manuel Kern, Fraunhofer IAO, Germany Michael Schubert, Fraunhofer IAO, Germany


R & D O r g a n i s at i o n a n d E f f i c i e n c y

Rewards and Functionality: Techno-Supply-Push and

Internal Markets for Innovation – Case Study Results of

User-Demand-Pull Innovation

Blockades at Affiliates’ Level in Developed Markets

Phillip A. Cartwright, ESG Management School, France

Pierre Wolfram, Friedrich-Alexander-Universität Erlangen-Nürnberg,

Ekaterina Besson, ESG Management School, France

Germany

Jean-Max Koskievic, ESG Management School, France

Alexander Brem, University of Southern Denmark, Denmark

This paper proposes to develop theoretical underpinnings

Internationalization of R&D is an upcoming research topic.

for R&D and innovation market processes and explain how

However, as far as group-internal resource exchanges bet-

market interactions yield, or fail to yield, efficient outcomes

ween affiliates are concerned, research is scarce. Therefore,

such as quality products. This paper contextualizes R&D

the present study shed light on the discussion in literature by

and innovation processes in a technology-supply-push (TSP)

detecting obstacles and accelerators regarding the opening

and user-demand-pull (UDP) framework. The simultaneous

of R&D to affiliated companies in the same business group.

recognition of the TSP and the UDP dimensions of R&D and

The challenges are analysed for affiliates in order to engage

innovation yields key observations concerning the impor-

themselves in group-internal markets, for instance to avoid

tance of bargaining, incentives and allocation of rewards

bottlenecks in the product development or to improve their

facilitating or impeding convergence toward desired outco-

technological knowledge. To research this phenomenon, a

mes. A game-theoretic or “even-swaps” approach is adopted

case study is accomplished by investigating a Multinational

to explain actor interaction. This research places emphasis on

company whose affiliates are self-reliant and horizontally

understanding “who gets what and how”. Managers should

diversified. Mixed methods are applied by having structured

develop and implement R&D and innovation processes

depth interviews with the responsible R&D managers as well

explicitly accepting interactive inputs with awareness of

as by sending a survey out to associated project managers.

underpinnings related to market interactions, incentives and

The study indicates that the organizational complexity,

rewards.

infrastructures within the business group and the impact of external market structures play an essential role for the usage and effectiveness of group-internal markets. Hence, the insights offer valuable clues why internal markets have advantages and disadvantages for affiliates under certain circumstances, i.e. in matters of communication, or why collaboration efforts introduced by the business group management do not yield results.

88


R & D O r g a n i s at i o n a n d E f f i c i e n c y

Gone with the wind? A Longitudinal Study of

Complex Technology Assessment System of Innovative

Explorative Innovation in a Growing Wind Turbine

Technological Solutions

Blade Technology Company Adam Mazurkiewicz, National Research Institute, Poland Matthias de Visser, University of Twente, The Netherlands

Beata Poteralska, National Research Institute, Poland

Dries Faems, University of Groningen, The Netherlands

Anna Sacio-Szymańska, National Research Institute, Poland

Klaasjan Visscher, University of Twente, The Netherlands Petra de Weerd-Nederhof, University of Twente, The Netherlands

Technological innovations are acknowledged, at a macro level, as a driver of the economic and social development of a

Many scholars have stressed the need for balancing

country and, at a micro level, as a source of the competitive

exploitation with sufficient levels of exploration. For growing

advantage of firms applying innovative solutions as well as

companies, maintaining sufficient levels of exploration

of research organisations involved in the development and

is challenging. They tend to develop core capabilities for

implementation of innovative technological solutions.

exploitation of current success. The more these become embedded, the more challenging it becomes to transition the

Against the background of different technology assessment

organization toward revival of exploration. Previous studies

methods and models, the authors of the paper present an

have emphasized the complexity of balancing exploration

original complex technology assessment system developed

and exploitation levels and have provided insights into struc-

and applied at the Institute for Sustainable Technologies –

tural and individual factors that influence them. However,

National Research Institute in Radom, Poland. The system

only few have unravelled the process of how these structural

is devoted to the assessment of incremental technologies

and individual factors affect changing exploration levels. The

with respect to their implementation maturity, commercial

purpose of this paper is to provide in-depth insights into the

potential, innovativeness level, and implementation risk level.

dynamics of a growing organization’s exploration levels and

Its main advantage comprises the possibility to assess inno-

to explain how structural and individual factors impact these

vative products at any stage of a project execution, including

over time. In order to do so, we conduct a single case study

ex-ante, ongoing, ex-post, and follow-up, and to compare

in a fast growing R&D organization in the wind turbine blade

the assessments results at different stages of a product

industry. Based on a unique collection of time-accounting

(material, system, technology, apparatus) development (from

data and descriptions of 384 R&D projects conducted

the concept stage, through the development stage, to the

between 2003-2011, we are able to measure the dynamics

final technology).

of exploration levels, visualizing in great detail how a firm goes through transitions from focus on exploration to ex-

The model is a useful tool, already applied in practice, for

ploitation and vice versa. Based on a series of interviews, we

those developing and financing new technological solutions,

demonstrate how structural and individual factors interact

supporting the technology transfer process, and applying

and impact this evolution. Together our findings provide new

new technologies, such as research institutions, technological

insights into multi-level interactions among antecedents of

parks, technology transfer offices, or innovative entrepre-

exploration, in particular between slack resources, ...

neurs. 89


R & D O r g a n i s at i o n a n d E f f i c i e n c y

Approach to Create Transparency on the Efficiency of

Global Mindset in International Virtual Research Teams:

R&D Processes by Applying Value Stream Mapping

Insights into Two Cases

Henrik Gommel, Fraunhofer, Austria

Andrea Hanebuth, Technical University Bergakademie, Germany

Arko Steinwender, Fraunhofer, Austria Peter Schieder, Fraunhofer, Austria

For various reasons, todays R&D teams increasingly cross

Wilfried Sihn, Fraunhofer, Austria

national and organizational borders and are virtual by nature. These teams are predicted to play an important role as orga-

Efficiency in research and development (R&D), or more

nizational form for international research. However, factors

precisely in innovation processes, is to be considered as

that determine the success of such international virtual

generating, evaluating and developing ideas in order to

research teams (IVRT) are still in demand. The concept of

create new products, processes or services in a short period

Global Mindset (GM) with the columns ‘intellectual capital’,

of time. Comparing innovation processes with e.g. produc-

‘psychological capital’ and ‘social capital’ is one key aspect

tion processes from the degrees of freedom point of view,

to success in global management and within this paper, first

innovation processes tend to be more creative. Therefore,

insights of GM’s impact on team outcomes will be depicted.

the controlling of these processes in terms of efficiency is not

Hence, the paper introduces GM in the context of interna-

widely used within companies due to the lack of key perfor-

tional virtual research teams (IVRTs) and links GM to softer

mance indicators. Whereas many performance indicators are

performance outcomes: Leader-Member-Exchange (LMX),

available and are used to control the efficiency of production

trust and commitment. The findings include data from two

processes. Value stream mapping as a fast and easy approach

perspectives: leader and member. Based on two cases from

to create transparency on the efficiency of production pro-

material science, the relevance of GM and psychological

cesses by analysing the key characteristics of the production

capital for trust can be supported. Findings concerning the

process (value adding and waste) is commonly used within

LMX and commitment to the IVRT indicate further gaps in

companies.

research. Data further suggests that some of the outcome measures have their locus outside the GM concept. Yet, this

This paper depicts analogies and differences of innovation

study provides first indication that GM seems to be a promi-

and production processes in order to discuss the transfera-

sing concept for managers of international research teams.

bility of value stream mapping to create transparency along innovation processes’ efficiency. Therefore, the stage-gateprocess as reference innovation process will be analysed in order to derive main measurable key performance indicators of stages and gates. The present work focuses on the conceptual introduction of R&D-Value Stream Mapping in the academic discourse and as a basis for testing this methodology in practice and will conclude in a critical assessment.

90


R & D O r g a n i s at i o n a n d E f f i c i e n c y

Decisions made in Setting Up Rapid Product

International Comparative Analysis on R&D Services

Development Projects in SMEs

Firms in Top R&D Spending Countries

Kai Hänninen, University of Oulu, Finland

Xiuqin Li, University of Manchester, United Kingdom

Tuomo Kinnunen, University of Oulu, Finland

Ian Miles, University of Manchester, United Kingdom

Matti Muhos, University of Oulu, Finland

Dimitri Gagliardi, University of Manchester, United Kingdom

Harri Haapasalo, University of Oulu, Finland

R&D services firms play an increasingly important role in There is a clear gap in the research on incremental product

innovation system, which is often paid less attention com-

development, especially on such product development by

pared to other services providers. This paper aims to build

SMEs. We have conducted a multiple-case study that is

a contribution to literature on R&D services; furthermore it

inductive in nature to analyse how case companies perform

analyzes the dynamic performance of R&D services sector

opportunity analysis and decision making when business

over the period 2005-2012 in five OECD countries with high

reasons mandate reacting quickly. To frame the field of

R&D expenditure, i.e. US, UK, Germany, France and Japan,

rapid product development in SMEs, we use a three-level

hoping to identify the main affecting factors and generate

categorisation based on Krishnan and Ulrich (2001): product

some policy recommendations.

strategy and planning, product development organisation, and project management. Our analysis reveals the decisions that SMEs make in setting up rapid product development projects. The analysis is based on empirical data consisting of 26 interviews conducted in 15 SMEs over the 2011-2013 period. The results and analysis provide a foundation for efficient R&D management in SMEs. More specifically, our findings help practitioners in establishing an intentional managerial practice for urgent opportunity analysis and fast decision-making regarding incremental rapid product development. This study supplements our understanding of product development in SMEs, especially in situations that require a rapid response to new product requirements, by outlining the decisions required for an intentional rapid productisation process. The maturity of an SME in terms of setting up rapid product development may be measured via its capability to select the “right” projects and say no to “wrong” ones. Our findings ... 91



Strategic R&D and Technology Management

Session chair Prof. Frank Wagner, Fraunhofer IAO, Germany


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

Strategic R&D and Technology Management Application

Measuring Performance of Research and Technology

development in the process industries

Organisations: Drivers and Challenges, Today and in the Future

Thomas Lager, Grenoble Ecole de Management, France Per Storm, Royal Institute of Technology, Sweden

Flavia Leung, National Research Council Canada, Canada Mark Bazzacco, CSIRO, Australia

The process industries span several industrial sectors, such as

Christine Jodoin, National Research Council Canada, Canada

minerals and metals, pulp and paper, food and beverages, chemicals and petrochemicals, utilities and generic phar-

Research and Technology Organisations (RTOs) around the

maceuticals; thus, they constitute a considerable part of the

world are increasingly facing pressures to demonstrate more

manufacturing industries. In the family of process industries,

efficiency, impacts and return on public investment. At

a substantial part of company research and development

the same time, they need to continually adapt to meet the

(R&D) lies in the area of helping customers use their supplied

growing sophistication of client needs and evolving market

products more effectively; this area is generally designated

sectors, while addressing national challenges to serve in the

application development in the process industries. Based on

‘public good’ with transparency and fiscal responsibility.

the findings from a survey of major process companies in

National and global innovation systems are also evolving,

Sweden, the results from three previously publications on dif-

including the roles of public and private sector players,

ferent aspects of application development have been merged

creating further imperative for RTOs to ensure that they have

into a coherent framework. The importance of application

the right performance measures relative to their mandate,

development to all companies was judged to be very high,

strategy and business model. Given the important position

and as a mean value, 30% of all company R&D resources

that RTOs play in innovation systems and their accountability

were allocated to application development. Most of the

to governments and the public, performance measurement

companies in this study carried out application development

and reporting are paramount as mechanisms to validate both

not only with their customers but also with their customers’

the efficiency and impact derived from public investments in

customers and customers’ equipment suppliers. At the extre-

research. NRC and CSIRO established a working group of na-

mes, one firm expected 80% of application development to

tional RTOs, representing six countries across four continents,

give customers improved products, while the other extreme

to benchmark their performance for mutual learning towards

expected only improved customer process technology.

enhancing their effectiveness and efficiency.

Improving company market shares in the process industries thus depends both on competitive products and on the

While country performance related to science, technology

collaborative development of the customer’s use of those

and innovation are available through recognised organisa-

products.

tions such as the OECD, less is publicly available related to individual RTO performance measurement and benchmarking in any consistent and ongoing manner. Challenges identified from past efforts include variations around: how indicators are defined and captured; individual RTO performance ...

94


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

Future Trends and Key Challenges in R&D Management

Comparative Study on FFE Activities between Japanese

– Results of an Empirical Study within Industrial R&D in

and Korean NPD Project Success

Germany Ruslan Mammetseyidov,Tohoku University, Japan Erdem Gelec, Fraunhofer IAO, Germany

Akio Nagahira,Tohoku University, Japan

Frank Wagner, Fraunhofer IAO, Germany

This study shows that the impact of fuzzy front end (FFE) This paper reports on the first results from an empirical study

phase during innovation process on new product deve-

among R&D experts in German industry. As R&D is an invest-

lopment (NPD) project success in two East Asian countries

ment in the future the outlook to future trends is certainly

– Korea and Japan was explored via employing comparative

contributing to industrial orientation and prioritisation. To

study. A conceptual model was developed based on previous

be prepared for trends and challenges for the R&D in the

research. The framework of NPD process includes project

next 2-3 years Fraunhofer IAO conducted a survey “R&D Fit

success phase which is described based on two criteria –

for Future” among 162 companies mainly from advanced

effectiveness and efficiency, the project execution phase

manufacturing, automotive and medical device industry.

which consists of one factor – deviation from specifications,

The objective of the research was to find relevant strategies

the FFE phase which consists of three factors – the reduction

and future trends in R&D management. Additionally the

of market uncertainty, the reduction of technical uncertainty

key challenges in R&D for the next years from an industrial

and intensity of planning and we are considering effects of

point of view were analysed. The survey was structured by

degree of newness as contextual factors. The model was

the chapters of strategy, organisation, processes, methods &

tested using data from 293 Korean manufacturing firms and

tools and R&D personnel.

from 540 Japanese manufacturing firms using Structural Equation Modeling (SEM) technique.

The paper presents the communalities and differences of trends and challenges between the advanced manufacturing,

The empirical analysis supports previous works that effective

automotive and medical device industry in the field of R&D-

initial planning and good analysis of market prior to the

management. Based on this survey and on the results of a

development has impact on NPD project success. While this

previous empirical study, also performed by Fraunhofer IAO

paper reveals similarities in strategies of NPD processes in

in 2010, the most significant changes of priorities and new

Japanese and Korean manufacturing firms, the paper reveals

developments are pointed out and analysed. It concludes

differences showing that the Japanese manufacturing firms

with some recommendations for more general trends in

are concentrated more on pre-development activities and

German industry.

tend to keep initial plans during development process while, the Korean manufacturing firms are more flexible in project execution phase allowing dramatic changes to the initial plans.

95


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

Proposing a Framework for Technology Planning at

Analysing Cognitive Differences between Product

Industry Level

Developers and Customers: An exploration with Fuzzy Cognitive Maps

Nima G. Mokhtarzadeh, University of Tehran, Iran Mohammad R. Arasti, Sharif University of Technology, Iran

Byung Sung Yoon, Portland State University, United States of America Antonie J. Jetter, Portland State University, United States of America

Whereas technology planning primarily concerns with selection of proper technologies and setting priorities to develop

Robotic vacuum cleaners for home use were once perceived

firm technological capabilities, crucial role of technology in

to be a winning product because they match technology

supporting national prosperity and security highlights the

capabilities developed in industrial robotics with customer

need for technology planning at industry level (TPIL). The

needs. Yet, market adoption lags behind earlier projections

lack of an appropriate methodology for TPIL has forced

and customer satisfaction is relatively low. This paper

practitioners and scholars to adapt firm- or national- level

proposes that this relative lack of success is caused by a

methodologies to industry level by some amendments.

fundamental mismatch between customer expectations and

But, TPIL requires a specific methodology which considers

product developers‘ understanding of customer needs.

requirements and characteristics of industry level. To investigate differences in perception, this paper employs In this paper, we develop an industry- level methodology

Fuzzy Cognitive Map (FCM) modelling. The method is

for technology planning through in-depth case study. A

increasingly used in product planning to make planning

qualitative approach based on the grounded theory has been

assumptions explicit, to allow developers to simulate and

applied. Starting with minimalist prior constructs deep into a

understand the indirect and far reaching effects of design

substantive issue (TPIL process in this case), we interactively

decisions, and to compare the structure and dynamic beha-

tested and formed theoretical constructs. For this purpose, a

viour of cognitive maps from different stakeholder groups.

series of semi-structured interviews were organized and ac-

In the context of this research two different FCMs were

complished with top and middle managers of Iran Oil & Gas

developed and compared: The developer cognitive map was

industry. Moreover, some interviews with university faculty

created through literature reviews and an interactive group

members having experience in TPIL were conducted. Based

session of two experienced robotics engineers. The customer

on eighteen interviews, 529 initial codes, 150 final codes, 50

cognitive map was developed through analysis of product

categories and 17 themes were explored. Finally, a general

reviews, interviews with two customers and an interactive

framework which consists of three main levels (reference,

group session with five customers. The structure and the

portfolio and option level) has been proposed.

dynamic behaviour of each cognitive map were investigated through FCM simulation. The comparison of results show strong differences in the perspectives of both groups: The developers‘ causal cognitive map contains fewer concepts but more complex relationship between them. Moreover, their perceived drivers of product attractiveness differ ...

96


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

A Study on Estimating Technology Contribution Degree

Leveraging Technological Competences: How Existing

for Technology Valuation

Technologies Can Serve As Trajectories Into New Markets

Gyunghyun Choi, Hanyang University, Korea

Nina Möllers, University of Mannheim, Germany

Hyunok Park, National IT Industry Promotion Agency, Korea Daemyeong Cho, Hanyang University, Korea

Firms in many industries are confronted with the pressure to innovate and to expand on a global scale while simultane-

Technological asset, one of the significant and fundamental

ously having to increase efficiency and cut costs. Technolo-

drivers of firm’s economic value creation, is generally gained

gical competence leveraging (TCL) is an opportunity to react

by R&D activities. R&D management can be defined as where

to such pressures. It enables companies to find new fields of

the tasks of innovation management (i.e., creating and

application for existing technologies and to achieve various

commercializing inventions) meet the tasks of technology

benefits, such as higher innovativeness or competitive advan-

management. For the practical technology management

tage, while involving less risk and cost than a completely new

(R&D management), it is essential to manage the technolo-

technological development. Exploratory interviews with 21

gical assets, like patents, from R&D. The first step to actual

multinational companies in Germany show that high-ranked

technological asset management, it is required to reasonably

managers generally acknowledge the essential importance of

measure the technology asset value. A lot of researchers

TCL. At the same time, however, most firms do not exploit

have tried to estimate the fair market value of technological

their full technological potential. This article introduces a

asset and some approaches for technology valuation have

number of factors in order to explain this discrepancy. In

been introduced. The well known approaches are cost

particular, companies can benefit from their idle potential by

approach, market approach and income approach. Among

overcoming five major barriers to TCL and by developing and

those approaches, income approach is most widely refers

implementing a concise TCL strategy, which can potentially

to executive working-level valuation because it reflects the

foster their innovativeness and ensure their long-term

potential value from the prospective profit by the application

survival. Top management support is an essential prerequisite

of the technology. In the income approach, the value of

for this process. The findings address a considerable gap in

technology is expressed in the form of monetary unit by

the literature on TCL and strategic technology management,

applying technology-contribution degree to the net present

and they allow firms to learn from those companies that

value from business profit gained by the technology commer-

successfully leverage their technological competences and

cialization. However, it is not easy to decide the contribution

those that face substantial barriers to TCL.

degree of the technology without appraiser’s subjective judgment due to being nonexistent of definitive model to compute it. Here, we propose technology contribution degree model based on some substantive factors and chemical molecule kinetic theory and analyze the characteristics of some industrial technology’s contribution degree.

97


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

Financial Slack: Effects on Creativity and Buffering of Re-

Future trends in R&D on battery technologies for electric

search Activities in YICs during Economic Recession

mobility – Evidence from evolutionary patterns

Peter Teirlinck, KU Leuven, Belgium

Nathalie Sick, University of Muenster, Germany

André Spithoven, Belgian Science Policy Office, Belgium

Jonas Frischkorn, University of Bremen, Germany Martin G. Moehrle, University of Bremen, Germany

This paper focuses on the influence of the introduction of a

Uwe Kehrel, University of Muenster, Germany

fiscal scheme for advance payment partial exemption in favour of highly qualified researchers in business enterprises in

Batteries are regarded as key technology enabling electric

Belgium. The measure has been introduced in January 2006

mobility. However, their low specific energy constitutes a ma-

and the rate of exemption amounts to 75% from January

jor obstacle for achieving the required longer driving range.

2009 onwards. The amount deliberated by the exemption

In recent years, the search for next generation batteries has

can be freely used by the company. As such it qualifies the

been intensified globally, whereby the plethora of materials

condition for financial slack resources not committed to a

and cell designs is located at different stages of the R&D

necessary additional expenditure. This unabsorbed financial

process. Hence, providing possible pathways for future R&D

slack can allow R&D management to steepen creativity or to

of various battery technologies represents an urgent task for

buffer existing research to face an economic slowdown. The

technology management in the field of electric mobility. Two

focus being on YIC‘s we both investigate the influence of

currently promising technologies are lithium-sulphur (Li-S)

the tax credit on the research activities and pay attention to

and lithium-air (Li-air) batteries. Li-S batteries are supposed

broader motives to steepen R&D efforts.

to reach market maturity in the medium term while Li-air batteries seem to be a long term option, so that both technologies are currently in different stages of R&D. This study aims at anticipating trends in R&D on battery technologies for electric mobility by means of patent analysis focusing on the cases of Li-S and Li-air batteries. On the basis of selected US patents, we use semantic similarity measurement to set up evolutionary patterns which give an overview of the R&D landscape and possible future trends concerning the selected battery technologies. On this basis, implications for R&D managers regarding the distribution of R&D budgets on different technologies in a firm’s portfolio can be derived.

98


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

The Intellectual Structure of Innovation Management

Open Innovation Modes and Financial Performances in

Control: A Bibliometric Review on its Emergence and

the Bio-Pharmaceutical Industry

Evolution as an Academic Field Francesca Michelino, University of Salerno, Italy Alexander Tkotz, EBS University, Germany

Emilia Lamberti, University of Rome, Italy

Christoph Munck, EBS University, Germany

Antonello Cammarano, University of Salerno, Italy

Andreas Wald, EBS European Business School, France

Bianca Maria Chiariello, University of Salerno, Italy Carlo Compagnone, University of Salerno, Italy

Innovation management control (IMC) is essential to recog-

Mauro Caputo, University of Salerno, Italy

nize and evaluate risks and challenges early in the innovation process as well as to support innovation management

The aim of the paper is to analyse the relationships between

with valuable information to optimally manage innovation

the openness degree of companies and their 1) context

processes. IMC as a rather young research field has no

features, 2) R&D organization and 3) financial performances.

specific journals yet. Thus, literature is spread over numerous

Some hypotheses are formulated and tested on a sample of

journals from different disciplines and knowledge in IMC is

126 world top R&D spending bio-pharmaceutical companies

fragmented.

for the period 2008-2012, for a total of 630 statistical units.

This paper presents an unbiased and exhaustive overview

Our results suggest that open innovation is more pervasive

of IMC as a research field. Following a systematic review

among small and young companies, for most of which open

approach first a database of IMC papers covering 493 papers

innovation is the very core business. Inbound and outbound

distributed over 122 peer-reviewed English-speaking scientific

practices have a similar diffusion in terms of number of

journals is set up. With this database frequently cited authors

companies adopting them, but the cumulative values of

and papers that had a high influence on the development

inbound flows are higher, whereas outbound flows are

of IMC as a research field are identified. Furthermore, the

more relevant when compared to the total business of the

relationships between the papers are studied by analyzing

companies. Inbound practices are substitutive to internal

citations and co-citations in order to reveal the hidden

R&D activities, while outbound ones are complementary to

structures in the research field and to provide a definition of

internal development. The performances of companies have

the subfields belonging to IMC.

an inverted-U shape trend versus inbound practices and a fundamentally decreasing trend versus outbound ones. The paper contributes to the research on open innovation by both providing an objective measurement system for open innovation based on the pecuniary flows deriving from open transactions and suggesting the relations between the open innovation adoption and the benefits deriving from it.

99


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

Open Innovation: Industrial Application and Demands – a Qualitative Study

Matthias R. Guertler, Technical University of Munich, Germany Maik Holle, Technical University of Munich, Germany Udo Lindemann, Technical University of Munich, Germany

Open Innovation (OI) opens a company’s innovation process to its environment in order to enable a purposeful collaboration. Over the last 10 years OI has become an important part within the innovation management in industry and academia. Therefore, we conducted an explorative interview study in 2012 to analyse how and with which results and success OI is applied in industry. The goal was to evaluate benefits and risks mentioned in literature as well as to analyse the utilization of OI-methods, and to identify (so far) unconsidered challenges and potential solution strategies for barriers against OI. Based on this, industry demands in terms of research gaps were derived. Participants of the study in 2012 were 13 German large-scale enterprises (including one SME) from different branches, and with different product/services portfolios and types of customers. In addition to companies with OI experience, we also interviewed companies without OI experience to allow the identification of possible concerns against OI. Though the overall feedback was positive, also some critical feedback, challenges and needs regarding the application of OI were stated. The results of the study are consistent with previous studies but reveal additional challenges and demands which have not been in the focus so far. To evaluate the pre-published results of the study, we conducted a workshop with eight Bavarian medium-scale enterprises from different industries and with different types of products/services and types of customers. These companies had no or only small experience with OI. The goal of the workshop was to identify expectations towards OI as well as concerns against OI, in order to evaluate the ... 100


S t r at e g i c R & D a n d T e c h n o l o g y M a n a g e m e n t

101


author‘s index

A

Chang, Teh-Yuan 84

Agouridas, Vassilis 59

Chao, Yu 26

Ahmed, Hassen 20

Chen, Wan-Chen 61

Ahn, Joon Mo 67

Chiariello, Bianca Maria 99

Almirall, Esteve 69

Cho, Daemyeong 96

Alodan, Maher A. 75

Choi, Gyunghyun 96

Arasti, Mohammad R. 96

Chu, Po-Young 61

Armisen, Albert 69

Clifton, Nick 40

Assimakopoulos, Dimitris 59

Collins, Richard 75

B

Compagnone, Carlo 99 Cooper, Rachel 35

Bader, Karoline 56

Cortimiglia, Marcelo N. 11

Bagchi, Nirmalya 35

Cruickshank, Leon 35

Bageac, Daniel 45

Çulha, Berkun 10

Bagheri, Seyed Kamran 80 Barrett, Gillian 66

D

Bazzacco, Mark 74, 94

Dangelmaier, Manfred 52

Belderbos, René 22

Doepfer, Benedict C. 65

Berggren, Christian 11

Dolinsky, Martin 27

Berkol, Ali 51

Dooley, Lawrence 66

Besson, Ekaterina 88

Dowd, Anne-Maree 74

Bickmann, René 58

Drnovšek, Mateja 64

Blach, Roland 52

Duque, Lola C. 64

Brem, Alexander 80, 88

Duwe, Julia 36

Brunet, Luc Emile 50 Brunswicker, Sabine 69

E

Buisson, Bernard 81

Ehls, Daniel 68

Bullinger, Angelika C. 59

Eito-Brun, Ricardo 44, 50

Burr, Wolfgang 23

Elvers, David 82

C Cammarano, Antonello 99 Caputo, Mauro 99 Cartwright, Phillip A. 88 Casey, Debra L. 34 Casprini, Elena 60 Cesaroni, Fabrizio 64 Chai, Kah-Hin 30 102

Engel-Cox, Jill A. 75 Enkel, Ellen 56, 57


author‘s index

F

Hirsch, Manuel 19

Faems, Dries 89

Holle, Maik 99

Fischer, Sebastian 17

Hölzle, Katharina 58

Fliaster, Alexander 18

Huang, Wan-Ling 8

Fong, Anna Hoi Yan 82

Hutcheson, Scott 70

Fong, Hoi Yan Anna 83

Hutter, Katja 19, 67

Fortun, Sergio 45

Hwangbo, Hyunwook 74

Frank, Alejandro G. 11 Frischkorn, Jonas 98

I

Fritzsche, Albrecht 31

Innovation 76

Füller, Johann 67

Isenmann, Ralf 46

Fuzi, Anita 40

G

J Jetter, Antonie J. 31

Gall, Paul-Vincent 83

Jodoin, Christine 94

Ganz, Walter 21

Johansson, Glenn 8

Gao, Yuhui 18

Jonas, Julia 31

Gassmann, Oliver 56, 58 Gattringer, Regina 44

K

Geerts, Annelies 22

Kai Hänninen 91

Gelec, Erdem 10, 95

Kalogerakis, Katharina 9

Goeldner, Moritz 71

Karabag, Solmaz Filiz 11

Gokpinar, E. Serdar 9

Kara, Gozde 9, 51

Golembiewski, Birte 26

Kaufmann, Alexander 71

Gommel, Henrik 90

Kehrel, Uwe 98

Grahsl, Isabella 59

Kern, Manuel 20

Guertler, Matthias R. 99

Kinnunen, Tuomo 91

Guo, Lei 81

Knab, Sebastian 60

H

Kokshagina, Olga 20 Kolloch, Michael 18

Haapasalo, Harri 91

Koskievic, Jean-Max 88

Habicht, Hagen 16

Kremer, David 21

Halecker, Bastian 58

Kriz, Alexandra 76

Hanebuth, Andrea 90

Kriz, Anton 75

Hänninen, Kai 91

Kürümlüoğlu, Mehmet 10

Heil, Sebastian 57 Herstatt, Cornelius 9, 68, 71 Hettich, Erwin 70 103


author‘s index

L

Medcof, John W. 34

Lager, Thomas 94

MEUR, Kévin LE 50

Lamberti, Emilia 99

Meydanlı, İffet İyigün 10

Lan, Yuhong 82, 83

Michelino, Francesca 99

Lau, Armin 19

Mini, Alberto Di 60

Ledson, Mark 76

Minin, Alberto Di 57, 64, 68, 80

Lee, Melissa 69

Minshall, Tim 67

Lee, Simon Byung Jin 12

Moehrle, Martin G. 98

Lee, Yi-Chang 35

Mokhtarzadeh, Nima G. 96

Lehnen, Jens 68

Möllers, Nina 97

Leten, Bart 22

Molnar, Pavol 27

Le, Truong 83

Mortara, Letizia 67

Leung, Flavia 94

Möslein, Kathrin M. 16, 31

Leyh, Jens 21

Muhos, Matti 91

Lindemann, Udo 99

Munck, Christoph 98

Lindlöf, Ludvig 52 Liu, Shang-Jyh 82, 83

N

Li, Xiuqin 91

Nagahira, Akio 95

Li-Ying, Jason 66

Nestle, Volker 36

Looy, Bart Van 22

Nitta, Shigeki 26

Lorenz, Robert 30

Nketia, Bright Adu 67

Loudon, Gareth 17, 40

Noennig, Jörg Rainer 40

M

O

MacBryde, Jillian 65

O’Gorman, Colm 18

MacKinven, Stuart 65

Olivan, Patrick 21

Majchrzak, Ann 69 Mammetseyidov, Ruslan 95

P

Manzini, Raffaella 45

Paraboschi, Andrea 57, 80

Marheineke, Marc 16

Park, Hyunok 96

Marullo, Cristina 60, 68

Paton, Vivienne 71

Mashhour, Ahmed 30

Phaal, Rob 30

Masson, Pascal Le 20

Piccaluga, Andrea 57, 64, 68, 80

Matheis, Heiko 19

Polat, Melda 10

Matzler, Kurt 67

Poteralska, Beata 89

Mauri, Fabrizia 45

Priyadarshini, Anushree 18

Mazurkiewicz, Adam 89

Probert, David 30

McMillan, G. Steve 34 104


author‘s index

R

Tsakiris, Thanos 52

Rangus, Kaja 64

Tsay, Chung-Yuan 84

Razghian, Shabnam Jahromi 31

Tsekleves, Emmanuel 74

Rehm, Sven-Volker 51

Tzovaras, Dimitrios 52

Reynaud, Emmanuelle 45 Ribeiro, José Luis D. 11

V

Rohrbeck, René 60

Visscher, Klaasjan 89

Roth, Angela 31

Visser, Matthias de 89

Rovati, Diana 45 Rueck, Peter 22

S

W Wagner, Beverly 65 Wagner, Frank 95

Sacio-Szymańska, Anna 89

Wald, Andreas 98

Sauer, Andreas 46

Walter, Achim 16

Schieder, Peter 90

Warschat, Joachim 21

Schmitz, Michael 21

Wecht, Christoph H. 56

Schubert, Michael 10

Weerd-Nederhof, Petra de 89

Schüle, Stephan 76

Weiblen, Tobias 56, 58

Schultz, Carsten 30

Weil, Benoit 20

Schuster, Gerd 80

Wich, Yvonne 83

Sick, Nathalie 26, 98

Wiesenhütter, Sebastian 40

Sihn, Wilfried 90

Winkelbach, Andreas 16

Solakoglu, Erhan 9

Winterhalter, Stephan 56, 58

Song, Chie Hoon 82

Wlazlak, Paraskeva 8

Spithoven, André 97

Wohlfart, Liza 36, 76

Steinwender, Arko 90

Wolfram, Pierre 80, 88

Storm, Per 94 Strebel, Raphael 67

Z

Strehl, Franz 44

Zeschky, Marco B. 58

T Täube, Florian 36 Teirlinck, Peter 97 Thielmann, Axel 46 Tietze, Frank 30 Tilebein, Meike 19 Tiwari, Rajnish 9 Tkotz, Alexander 98 105


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