chapter sevenb managing technology and innovation.pptx

7/23/2019 Chapter sevenb Managing Technology and Innovation.pptx

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Managing Technologyand Innovation


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Technology Sourcing

Technology sourcing typically a make or

buy decision.

It is important in a frms R&D strategy

In-house R&D has traditionally been an

important source o technical knowledgeor companies.

irms can also tap the R&D capabilities ocompetitors!suppliers!and other

organi"ations through contractualagreements such as licencing!R&Dagreements! #oint $entures andac%uisitions.


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hen should a frm buy or license

technology rom others instead ode$eloping it internally'

( company should buy technologiesthat are commonly a$ailable butmake )and protect* those that arerare!$aluable!and hard to imitateand that ha$e no close substitutes.

+utsourcing technology may beappropriate when,

. The technology is o low signifcance

to competiti$e ad$antage.)non-


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. The supplier has proprietarytechnology

/. The suppliers technology is betterand or cheaper and reasonably easyto integrate into the current system.

0. The companys strategy is based onsystemdesign!marketing!distribution!and

ser$ice-not on de$elopment andmanuacturing.

1. The technology de$elopment

process re%uires new special


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Product Portfolio

This matri2 was de$eloped by 4oerbased on the product lie cycle.

It is also called 1- cellproduct5market e$olution matri2.

It depicts the types o de$elopingproducts that cannot be easilyshown on other portolio matri2es.

6roducts are plotted in terms o theircompetiti$e positions and theirstages o product5market e$olution.


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(s on the 78 9usiness :creen! thecircles represent the si"es o theindustries in$ol$ed! and the piewedges represent the market shareso the frms business product lines.

6resent and uture matri2es can bede$eloped to identiy strategicissues.

or e2ample! we could ask why6roduct 9 does not ha$e a greatershare o the market! gi$en its strong

competiti$e position.


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( limitation o this matri2 is that theproduct lie cycle does not always

hold or e$ery product.

;any products do not ine$itably allinto decline but )Tide and


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Competitive PositionStrong Average Weak

Development

Groth

Shakeout

Maturity

Saturation

Decline

StageofProduct!Market

"volu

tion

A

# C

D "

$

G


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"valuation and Control

or inno$ations to succeed!

appropriate e$aluation and controltechni%ues must be used to ensurethat the end product is what wasoriginally planned.

(ppropriate measures are alsoneeded to e$aluate the e=ecti$enesso the R&D process.

7lobal inormation technology enablese2ecuti$es to continually assessperormance as a product mo$es rom

the idea to the fnished product stage


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"valuation and control techni%ues

The ollowing techni%ues are applied to

e$aluate and control. :tage gate process

. 4ouse o %uality

Stage gate process.The stage gate process is a method o

managing new product de$elopment toincrease the likelihood o launching new

product %uickly and successully..The process is a series o steps to mo$e

product through the si2 stages o newproduct de$elopment.


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( new concept cannot mo$e beyondany stage until it has been

e$aluated thoroughly.The stage gate process reduces

de$elopment times! allows

identifcation o %uestionablepro#ects! and increases the ratio ointernally generated products that

result in commercially successulproducts.

It is especially useul or a ma#or

platorm pro#ect such as line o new


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Si& stages of ne product development

'(Idea generation

.>ew products concepts are identifed andrefned

)(Concept evaluation

.:creening techni%ues are used todetermine the concepts $alidity andmarket opportunity

.6reliminary market research is conducted!

and a strategy is de$eloped..( business plan is de$eloped to present to

management.


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*(Preliminary design

.( new $enture team is ormed to prepare desiredproduct specifcations

+(Prototype ,uild and test

.( unctioning model o the product is build andsub#ected to numerous tests.

-($inal design and pilot production

.inal products and process designs are de$eloped to

produce small numbers o the product or use in testmarketing.

.:uggestions rom the users are ed back to the

design team or possible addition in the fnal product..(/e ,usiness development

.The entire company is energi"ed to launch theproduct


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0ouse of %uality

The house o %uality is method o

managing new product de$elopment It was de$eloped at ;itsubishis ?obe

shipyards.

It is a tool to help pro#ect teams makeimportant design decisions by gettingthem to think about what users want andhow to get it to them most e=ecti$ely.

It enhances communication andcoordination among engineering!marketing! and manuacturing and ensuresbetter product5customer ft.


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The house o %uality is a matri2 that mapscustomer re%uirements against product

attributes.0ouse of %uality process

. Identiy product re%uirements and to weighttheir relati$e importance rom the customers

perspecti$e.. Identiy the engineering attributes in

measurable terms.

/. 8stablish the relationships between engineering

attributes with customer re%uirements.0. ill out the roo o the house by interaction with

design parameters

1.


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Importance

The house o %uality pro$ides acommon ramework within which thepro#ect team can interact.

It makes the relationships between

customer re%uirements and productattributes.

It emphasi"es design trade o=s!

competiti$e shortcomings o currentproducts! and help identiy the stepsneeded to impro$e the design.

It tries to orecast the product


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"valuation and control measures


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:ome ;>


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.


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1. 9asic and applied research areperormed either at a central acilityor at a small number o labs eachocused on a particular discipline oscience and technology.

.De$elopment work is usuallyperormed at business unit sites.

3. ormal cross unctional teams are

created or basic!applied!andde$elopmental pro#ects.

B. ormal mechanisms e2ist or regular

interaction among scientists! and


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C. (nalytical tools are used or selectingpro#ects as well as or ongoing pro#ect

e$aluation

. The transer o technology to businessunits is the most important measure o

R&D perormanceE.8=ecti$e measures o career de$elopmentare in place at all le$els o R&D

.Recruiting o new people is rom di$erse

uni$ersities and rom other companieswhen specifc e2perience or skills arere%uired that would take a long time tode$elop internally


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.:ome basic research is perormedinternally! but there are also many

uni$ersity and third partyrelationships

/.ormal mechanisms are used or

monitoring e2ternal technologicalde$elopments.


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The "nd

chapter sevenb managing technology and innovation.pptx

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