Changes in the strategic management of technology: results of a global benchmarking study

This contribution analyses main changes in the strategic management of technology of the world's most technology-intensive companies from western Europe, North America and Japan. The results presented here are based on a literature review and a survey which show the following main results: first, R&D and technology have become key cornerstones of corporate and business strategy. Second, there is a growing tendency to acquire technology from external sources throughout the sample. Third, internationalization of R&D plays a very important role in the strategies of the large companies investigated and the data shows that it will certainly gain further momentum. However, internationalization of R&D is confined to the Triad regions and is not 'global'. Based on our analysis, cornerstones of a future generation of R&D/technology management are developed.     

The national innovation system and foreign R&D: the case of Taiwan

R&D internationalization has increasingly involved countries outside the developed world. In addition, there has been a growing trend for countries in East Asia to seek to attract the R&D facilities of multinationals (MNCs). For such countries, they are faced with a fundamental question as to what kinds of impact MNCs' offshore R&D facilities will have on their own countries, especially in terms of technological innovation and industrial development. Set against the above backdrop, this paper sets out to examine a relatively new aspect of R&D internationalization related to global innovation networks and to open up the blackbox of the spillover effect regarding foreign R&D by examining the interplay of foreign R&D and Taiwan's national innovation system. The empirical part of the paper draws mainly upon intensive case studies of four high-profile foreign R&D facilities in the IT industry. The way foreign R&D interplays with Taiwan's NIS is examined in terms of the market & technology linkages.     

Uncertainty and stress in an R&D project environment

Abstract
R&D project managers work in an environment in which the uncertainty and complexity of engineering development problems are an important source of episodic job stress. A study of the US. Navy's top major project R&D managers (N = 118) was conducted to test the use of various coping skills and social support as preventive stress management techniques for this population. It was found that perceived environmental uncertainty (PEU) had a direct, positive effect on psychological distress of these project managers while social support had a therapeutic effect on their experience of burnout. While problem focussed coping had a small, positive effect on burnout, neither coping skills nor social support were found to have a primary prevention effect upon perceived environmental uncertainty (PEU).
Engineering managers engaged in high technology R&D are confronted by a wide range of uncertainties, risks and changing demands that give rise to the stress response with its attendant physiological and psychological changes (Asterita, 1985). Adams (1980) has argued that an episodic versus chronic dichotomy of stressors is valuable because it distinguishes between intermittent stressors of finite duration (episodic) and ongoing stressors of indeterminant duration (chronic). This article reports the results of a study of uncertainty as an episodic work stressor for the U.S. Navy's high technology R&D project managers. The results suggest that R&D project managers should develop social support systems and structures to maintain well-being and avert distress and strain.     

Knowledge management capabilities in R&D: a UK‐‐Japan company comparison

This paper uses a 'knowledge‐based' approach to compare the management of R&D in two leading chemicals companies, one British (ICI plc) and one Japanese. It describes key differences in the ways they integrate the 'near‐market' knowledge of business units and the scientific knowledge and technical expertise of R&D personnel in central R&D facilities. It shows that the same management practices that underpin superior 'integrative capabilities' in the Japanese firm, including central funding of R&D, job‐rotation and career structures and multidisciplinary project teams, also result in significant R&D weaknesses. The comparison demonstrates that different organisational mechanisms are needed to support (1) the development and (2) the leveraging of specialist knowledge within different innovation contexts . Firms must be able to strike a balance between integrative and specialist capabilities to get the most from their R&D. Moreover, the above characteristics which underpin these capabilities are often 'embedded' in the broader organisation making them difficult to emulate when they represent 'best‐practice' but also making them difficult to change in response to new threats and opportunities.     

The practice of R&D management: An empirical study of Korean firms

This paper presents an empirical study on the practice of R&D management in a Newly Industrializing Country, Korea. Based on a review of literature, a survey framework has been generated. The data were collected from 73 laboratories of Korean private companies through a structured questionnaire, via mail and additional telephone interviews in some cases. The major findings concerning R&D planning, R&D project management and evaluation, and R&D personnel management are described. In Korea, substantial efforts have been made in order to enhance the efficiency of R&D management, though the practice of R&D management is by now in the unstructured/flexible phase. Beyond this study, more detailed research on the R&D management of Newly Industrializing Countries is needed.     

Trends and determinants of managing virtual R&D teams

The past years have seen a decentralization of R&D to local markets and centres-of-excellence. Supported by modern information and communication technologies, 'virtual project teams' were formed to facilitate transnational innovation processes. With their boundaries expanding and shrinking flexibly with changing project necessities, virtual teams are believed to be an important element in future R&D organization. Based on 204 interviews with R&D directors and project managers in 37 technology-intensive multinational companies we identify four distinct forms of virtual team organizations used to execute R&D projects across multiple locations. Ordered by increasing degree of central project coordination, these four team concepts are based on: (1) decentralized self-organization, (2) a system integrator as a coordinator, (3) a core team as a system architect, and (4) a centralized venture team. Our contingency approach for organizing a transnational R&D project is based on four principal determinants: (1) the type of innovation (radical/incremental), (2) the systemic nature of the project (systemic/autonomous), (3) the mode of knowledge involved (tacit/explicit), and (4) the degree of resource bundling (complementary/redundant). According to our analysis, the success of virtual teams depends on the appropriate consideration of these determinants.     

Changes in the field of R&D management over the past 20 years

Abstract
The purpose of this bibliographic study is to identify trends of interest in the field of the management of technology in the last 20 years. The data used are based mainly on a classification of the topics covered by papers printed in this journal since its first publication in 1970.
On the whole, interest in most of the topics has remained steady, notably in economics of R&D, communication, innovation and creativity. The only notable decrease in interest has been in project evaluation and selection. Relative to their importance, the authors remark that in some areas in which interest has remained steady, such as creativity and innovation, not enough is being done. Areas in which interest has increased include organizational issues, the interface between R&D and production and the impact of information technology. Interest in technology strategy increased over the early part of the review period but has recently declined.
The authors conclude by listing topics which strongly deserve attention by workers in the field. They cite integration of R&D into corporate strategy, organizing for technological flexibility, technology assessment and transfer, speeding up the R&D process, measuring the impact of new information technology, intrapreneurship and defining the role of basic R&D in technology development.     

R&D in China: an empirical study of Taiwanese IT companies

This study extends the research on R&D (research and development) internationalization to a new environmental context (two Asian newly-industrialized economies, mainland China and Taiwan). Based on a survey of 56 major Taiwanese information technology (IT) companies, the status of R&D internationalization with Taiwan as the home and mainland China as the host is investigated. Human-capital-augmentation is found to be the key motive for Taiwanese IT companies to extend R&D activities to the mainland. Accessing capable yet cost effective local engineers with an additional benefit of geographical and linguistic proximity is the major context of this motive. The location decision is based on three considerations – access to engineers, proximity to manufacturing site, and competition avoidance. Finally, three operational patterns of conducting the international design and development (D&D) activities are categorized, which are 'home-base-integration', 'host-base-integration', and 'product life cycle'.     

Strategies for Linking Vertical Cooperative R&D to Commercialization in Korea

Since 1982, the government of Korea has actively promoted vertical cooperative R&D programs between government-sponsored research institutes (GRIs) and private firms. A number affirms participated in the programs because cooperative R&D could lower the risk and could contribute to rapid commercialization of many technologies. In this article, Chulwon Lee, Zong-Tae Bae, and Jinjoo Lee examine the effectiveness of participant firms' strategies for commercial utilization of cooperative R&D results, from the viewpoint of technology sourcing at the project level. The data have been obtained from 162 cases of vertical cooperative R&D projects from a diverse group of industries in Korea. Three different commercialization strategies are empirically derived through cluster analysis of the relative usage rates of cooperative R&D and of other supplementary technology acquisition methods. They find that the effectiveness of these strategy clusters varies significantly according to the types of innovation, that is, project-business relatedness. If the project belongs to an existing business area, in-house development augmented cooperative R&D strategy is the most effective. On the other hand, licensing-in supplemented cooperative R&D strategy is the most successful, if the project belongs to a new business area. Findings suggest that firms participating in cooperative R&D projects should try to utilize other supplementary technology acquisition methods in order to achieve commercial utilization of cooperative R&D results.     

Fostering knowledge management deployment in R&D workspaces: a five-stage approach

In recent years, R&D institutes have encountered various intensified challenges. New instruments are needed to manage knowledge-related activities more effectively and efficiently. This paper presents and discusses the lessons learned from a case study in fostering knowledge management (KM) initiatives and systems in a research-oriented institute serving the metal industry, specifically the Metal Industries Research and Development Centre (MIRDC) in Taiwan. We perform a comparative review of the experience of embarking on KM among Taiwanese R&D institutes, a very rarely performed job. Following this, we investigate, by conducting the primary and secondary researches, how MIRDC has adopted a five-stage approach to develop a deliberate framework of KM deployment in order to manipulate the KM operations in the context of a Chinese R&D institute. The MIRDC case demonstrates a sophisticated KM process that provides an activity-based perspective of the plan, control, coordination and evaluation framework in an R&D workspace. This paper argues that well-defined deployment frameworks embody qualities of goal pursuing that are important to KM activities and compel managers to examine more closely how to realize the KM initiatives. This paper also reveals that a rigid hierarchical R&D structure inhibits the dynamics of the knowledge cycle due to technology segmentation. A parallel R&D structure supported by mission offices and a 'pioneer and innovation program' that is cross-departmental and industry-focused can positively motivate horizontal 'coopertition' networking so as to better exploit and leverage knowledge assets. The practices applied in these elemental KM activities are useful to other R&D organizations by suggesting how each of the KM activities can be configured and implemented.     

Cross-Pacific internationalization of R&D by U.S. and Japanese firms

Efforts by MNCs to develop coordinated international R&D networks have taken place from different historical bases of internationalization and in the context of differing trends in the role of R&D within the corporation, as the cross-Pacific R&D investment in leading U.S. and Japanese firms in the electronics industry shows. Japanese firms, although they espouse a strategy of 'localization', are establishing wholly-owned R&D centres in the U.S. with highly specialized technology mandates that to be used by the company must be networked with their parent organizations. U.S. firms rely on joint ventures or wholly-owned labs with a wider array of technologies that face strong pulls to a local orientation. The patterns are somewhat out of line with the models of internationalization each side is espousing.     

Technology analysis and R&D management

Technology analysis is a new field of knowledge aimed at creating a fuller understanding of the technological setting within which business operates. It provides a macro-discipline and is specifically aimed at improving the effectiveness of management of technology. As such it is of direct relevance to R&D management.
The essential tools of technology analysis constitute a set of analytical frameworks covering aspects such as: (i) a common approach to describing individual technological artefacts, (ii) a taxonomy of technologies, (iii) a classification of technological trends, (iv) a chart of technological limits, and (v) a socio-technical preference profile.
These frameworks help the R&D manager to dissect and debate typical R&D management problems such as: (i) selecting R&D projects, (ii) setting broad R&D objectives in the case of a given project and (iii) setting specific R&D goals to meet the said objectives. The frameworks also help the R&D manager to portray and present research achievements within a simple and intuitively appealing framework.     

Mapping the invisible colleges of R&D Management

R&D Management has consistently been considered one of the top technology and innovation management journals since its inaugural issue in 1970. The purpose of this paper is to use bibliometric techniques to examine R&D Management in four time periods, 1986–1990, 1991–1995, 1996–2000, and 2001–2005 in order to reveal changes in its intellectual base. Bibliometric research has illuminated the knowledge domains of several technology and innovation management journals including R&D Management Linton and Thongpapanl, but there has not previously been a comprehensive detailed analysis focused only on R&D Management . Using co-citation analysis, this paper identifies the invisible colleges (research networks) associated with publications in R&D Management . The results indicate that Cohen and Levinthal's absorptive capacity model dominates the final two periods. The conclusions suggest how the absorptive capacity model might be more effectively utilized in future R&D Management research.     

Clustering and the R&D management of high-technology small firms: in theory and practice

Much of the policy assistance for high-technology small firms (HTSFs) over recent years has been directed at encouraging their research and development (R&D) collaboration through local networking and technology transfer. Following a consideration of why HTSFs are formed, and how they perform R&D in order to cope with the competitive environment, this paper explores the value of external collaborative R&D to internal R&D management, inside geographically concentrated incubators, science parks or clusters. It is concluded that, although R&D collaboration with external partners occurs in limited instances, much HTSF R&D is highly confidential, competitive and wholly internalised. This tendency, as far as it relates to R&D management, is significant in that it minimises the likelihood that local management collaboration between co-located firms will improve the performance of R&D projects.     

Motivations and barriers of foreign R&D activities in China

The continued growth of the Chinese economy accompanied with the expansion of international investment in China has led to an increase in foreign research and development (R&D) activities in the country. Aside from the rising importance of R&D internationalization, research on foreign R&D in China has been neglected in the past due to its emerging status. In this article we examine drivers and barriers for conducting R&D in China. The focus of our research is on transnational companies typically characterized by decentralized R&D activities. Our research is mainly based on qualitative interviews with senior R&D managers. The success of foreign R&D activities in China strongly depends on the realistic estimation of its advantages and the proper identification and handling of barriers.     

Management of dispersed product development teams: the role of information technologies

In recent years, international corporations such as IBM are increasingly relying on dispersed R&D teams in order to keep pace with resource availability and the demands of global markets. The advantages of this approach arise mainly from the utilization of differences in personnel costs and gaining access to a broader knowledge base to satisfy the demands of international clients. The disadvantages of teams of this kind are obvious: geographic distances, differences in culture and work habits as well as the necessity to bridge time zones place greater demands on communication, synchronization and management.
The application of specific project management methods and the intensive use of information technology (IT) lessens the disadvantages in transnational development projects. Recently completed projects involving large-scale commercial software development at IBM demonstrate the potentials of IT in transnational development. The authors advocate the application of IT adapted to specific situations. The central fields of application of IT in dispersed R&D teams are the development of a personal network, the promotion of creativity, the exchange of technical information, and the coordination of decentralized project activities.     

Development and application of a new methodology of evaluating industrial R&D projects

This paper proposes a new methodology of evaluating industrial R&D projects to assess the effectiveness of future R&D in terms of financial credibility, to prioritize them efficiently by clear criteria to reduce the time and burden consumed by both project leaders and management staffs. A new methodology has been developed and applied to all Sumitomo Electric Industries (SEI) R&D projects, and is recognized as a useful system for evaluating many R&D projects in a short period, such as 150 projects per month.     

The growth and management of R&D outsourcing: evidence from UK pharmaceuticals

Outsourcing of research and development (R&D) activities has become a major management issue for R&D and technical managers within firms. It has also been of growing concern to academics who are trying to chart the implications of the increasingly distributed nature of research and innovative activities in advanced economies. This study is based on a survey of research-based pharmaceutical companies operating in the United Kingdom conducted in 2004–2006. The aim of this paper is to outline the main reasons for pharmaceutical firms to outsource R&D and the management practices followed by such companies in relation to outsourcing. The research results provide interesting findings in relation to, for example, the reasons behind outsourcing, the decision-making processes behind such practices and barriers to outsourcing arrangements. These issues are evaluated together with the characteristics of the firms and the specific project outsourced.     

Principal researcher and project manager: who should drive R&D projects?

In this paper, it is analyzed the hypothesis that in R&D the principal researcher (PR) is accepted as the coordinator or project manager (PM), carrying out the search for financing and to manage contracts, resources, cost, time, scope, risk and uncertainty, communication, stakeholders and so on, in addition to internal research activities. Thus, this study tries to verify this hypothesis through a major literature review in different types of projects developed by university, but also with a look to industry and industry-university cooperation. Two case studies are also analyzed, centered in its R&D project management maturity level. It is concluded that there is an important issue in projects’ success and in the time spent by PR in management, work for which they are under trained; while at the industry there is a greater approach to project management by the proximity of the innovation projects to other industrial projects. Following these initial findings and according to the case study results, it is proposed that R&D Projects in universities would be separated into two synergistic knowledge areas: R&D Management and Project Management. It is also recommended to allocate them to two distinct roles, where they could add value to R&D through their better knowledge and skills.     

Stakeholder analysis for R&D project management

R&D projects affect the interests of different stakeholders in different ways. Understanding the stakeholders and analysing their interests helps in the better management of R&D projects. In this paper we discuss a methodology to systematically analyse the stakeholders of R&D projects. This methodology includes Freeman's (1984) three levels of analysis: rational, process and transactional. Based on these three levels, the stakeholder management capability of an R&D project is determined. The final stage is based on Mitchell et al . (1997) approach to analysing the dynamics of stakeholders. This methodology is illustrated using a New Zealand case relating to a road pricing R&D project.