Transcript Slide 1

Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
“Managing Innovation: Integrating Technological,
Market and Organizational Change”
Chapter 5: “Paths: Exploiting Technological
Trajectories”
Joe Tidd
John Bessant
Keith Pavit
Second Edition(2001), John Wiley & Sons Ltd.
Students: Carlos Neves
Rui Carvalho
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Technological Trajectory
Firms Path
Now
Future
Firms Competence
-Incremental Learning
-Path dependant
-Knowledge accumulated thr. experience
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Innovating Firms – Characteristics
-Size: Big or Small
-Type of product: price sensitive vs performance sensitive
-Objectives: product or process
-Sources: Suppliers, customers, in-house & basic research
-Locus: labs, design offices, production engineering
Sectoral Differences!
Technological Trajectories (Sectors and Firms)
DANGER: All firms and sectors are different = no generalization!
Generalize based on one firm = misleading conclusions!
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Pavvits’ Taxonomy
Five Major Technological Trajectories (Sectors)
-Supplier Dominated
-Scale Intensive Firms
-Science Based
-Information Intensive
-Specialized Suppliers
What differs in each trajectory…
… sources of technology
… innovation strategy
… typical core products
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Master Escalain Engineering PolicySuportadas
and ManagementInformação
of Technology, 8th Edition
Domínio
Fornecedores
Science,
Technology
and
Innovation
Policy
do fornecedor
-intensivas
na ciência
-intensivas
especializados
Produtos
chave típicos
• Agricultura
• Serviços
• Produção
Tradicional
• Matérias primas
• Electrónica
• Finanças
EXPLOITING
TECHNOLOGICAL
TRAJECTORIES
• Bens de consumo
• Química
• Retalho
duradouros
• Edição
• Automóvel
• Viagens
• Engenharia Civil
• Equipamento
• Instrumentação
• Software
Principais
fontes de
tecnologia
• Fornecedores
• Aprendizagem de
produção
• Engenharia de
produção
• Aprendizagem de
produção
• Fornecedores
• Gabinetes de
Design
• I&D
• Investigação
fundamental
• Departamento
de software e
sistemas
• Fornecedores
• Concepção
• Utilizadores
avançados
Principais tarefas da estratégia de inovação
1. Posição
1. Baseada em
vantagens não
tecnológicas
1. Eficácia do custo
e segurança dos
produtos e
processos
complexos
1. Desenvolv.
técnico de
produtos
relacionados
1. Novos produtos e
serviços
1. Monitorização e
resposta às
necessidades dos
clientes
2. Trajectória
2 .Utilização das Tl
nas finanças e na
distribuição
2. Integração
incremental do novo
conhecimento (ex,
protótipos virtuais,
novos materiais)
2. Exploração da
ciência básica (ex.
biologia molecular)
2. Concepção e
operação de
sistemas
complexos de
processamento de
informação
2.Compatibilizacao
das mudanças
tecnológicas às
necessidades dos
clientes
3. Processos
3. Flexibilidade de
resposta aos
clientes
3. Divulgação das
melhores praticas
de concepção,
produção e
distribuição
3. Obtenção de
acções
complementares.
Redefinição de
fronteiras das
divisões
3. Adequar as
oportunidades
baseadas nas Tl
com necessidades
dos clientes
3. Fortes elos de
ligação com os
clientes avançados
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Revolutionary Technologies - Biotechnology
•Biology
•Biochemistry
•Genetics
•Microbiology
•Biochemical engineering and separation processing
•Discovery of the structure of the DNA
•R&D programmes of companies in the pharmaceutical and
agro-food sectors
•Food processing, drinks and detergents
•Textiles, leather, paper and pulp, oil refining, metals and mining,
printing, environmental services, and speciality chemicals.
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Revolutionary Technologies – Advanced Materials
•Materials for information and communication, for
aerospace, for ground transportation and energy
utilization; advanced metals, polymers and
ceramics.
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Revolutionary Technologies – Information Technology
•Microelectronics
Internet.
revolution,
software
technology,
Three features of the IT revolution:
1- Digitalisation and interconnection of previously
separate activities: home electronics, logistics, sales
and distribution in retailing, management information
systems;
2- Decreasing cost of product development through the
use of simulations and virtual prototypes;
3- Growing importance of software technology in
distribution activities.
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Developing Firms-specific Competencies
Hamel and Prahalad on Competencies
1-The sustainable competitive advantage of firms resides not in their product but in their core
competencies;
2-They use the metaphor of the tree;
3-Associated organizational competencies;
4-Core competencies require focus;
5-Not only as a collection of strategic business units, but as bundles of competencies that
don’t necessarily fit tidily in one business unit;
6-The development of a firm’s competencies depend on its strategy architecture; example of
core competencies of Canon (1950-precision mechanics, 1964-electronic calculator; 1965electrofax copier; 1968-paper copier technology; fine optics and microelectronics).
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
TREE METAPHOR
END PRODUCTS
BUSINESS
UNITS
CORE
PRODUCTS
CORE
COMPETENCIES
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Japanese Automobile Companies
Heavyweight Product Managers and Fat Product Designs
Overlaping problem solving among the engineering and manufacturing
functions, leading to shorter model changes cycle;
Small teams with broad task assignments, leading to high development
productivity and shorter lead times;
Using a heavyweight product manager with extensive project influence;
In 1990’s these features has been emulated by US automobile companies,
and the gap had disappeared;
Another reason for the lost of the Japanese competitive edge – “fat products
designs”, an excess in product variety, speed of model change and unnecessary
options
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Developing and Sustaining Competencies
Technological
competencies
bypasses
two
central
tasks
of
corporate
technology strategy:
1 – identifying and developing the range of disciplines or fields that must be combined
into a functioning technology;
2 – identifying and explore the new competencies that must be added if the functional
capability isn’t to become obsolete.
Core competencies
Richard Hall Model
Intangible assets
(intellectual property rights and reputation)
Intangible competencies (skills and
know-how of employees, suppliers and
distributors, and the collective attributes)
Most significant are:
company reputation and
employee know-how,
which may be a function
of organizational culture
(values and beliefs)
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Learning About Opto-Eelctronics in Japanese Companies
Kumiko Miyazaki
Tracing the development and exploitation of opto-electronics technologies in
Japanese firms;
By examining the types of papers related to semiconductors lasers over a 13
years
period, it was found that in most firms there was a decrease in experimental
type papers accompanied by a rise in papers marking “new developments” or
“practical applications”;
The competence building is a cumulative and long process resulting from trial
and error and experimentation, which may eventually lead to fruitful outcomes;
Firms search over a broad range in basic and applied research and a narrower
range in technological development;
The early phases of competence building, firms explore a broad range of technical
possibilities, since they are not sure how the technology might be useful for them.
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Master in Engineering Policy and Management of Technology, 8th Edition
Science, Technology and Innovation Policy
EXPLOITING TECHNOLOGICAL TRAJECTORIES
Categories of Innovating Small Firms
Superstars
NTBF’s
Specialized
Suppliers
SupplierDominated
Examples
Polaroid, Xerox,
Microsoft,
Compaq,
Sony,
Casio, Benneton
Start-ups
in
electronics,
biotechnology
and software
Producer
goods(machines
,
components,
software)
Traditional
products(textiles,
wood, food) and
many services
Sources of
competitive
advantage
Successful
exploitation
of
major invention or
technological
trajectories
1.Product
or
process
development in
fast-moving and
specialized area
2.Privatizing
academic
research
Combining
technologies to
meet
users
needs
Integration and
adaptation
of
innovations by
suppliers
Main tasks
of
innovation
strategy
Preparing
replacements for
original invention
1.Superstar
or
specialized
supplier?
2.Knowledge or
money
Links
to
advanced users
and
pervasive
technologies
Exploiting new
IT-based
opportunities in
design,
distribution and
coordination14