Commercializing Nascent Technology: The Case of Laser Diodes at Sony

To develop really new products, a company often needs to get a handle on really new technologies. Although some breakthrough products simply combine existing technologies in novel ways, other innovations require the successful commercialization of nascent technologies. In other words, such innovations depend on entirely new structures and methods that have been demonstrated in a research environment but have not yet been refined to the point where they are ready for production. The path from nascent technology to full-scale production presents numerous managerial challenges that must be overcome if a company is to develop really new products that involve really new technologies. Samuel Wood and Gary Brown discuss these challenges, and they describe methods for managing the successful commercialization of nascent technologies. They illustrate these methods by examining Sony's commercialization of laser diodes—semiconductor devices that play an important role in the operation of CD players and other optical disk readers. They divide the process of commercializing nascent technology into three stages: appropriation, implementation, and manufacture. The first stage—appropriation—involves monitoring, assessing, and capturing new technologies. Sony handles this stage with a small, loosely structured research organization, separate from the development organization. In this stage, management must ensure that the objectives pursued by the research organization support the development organization's long-term goals. To foster coordination between research and development, Sony employs such network-building techniques as internal research symposia and technology expositions, orientation periods for researchers, transferring managers between research and development, and transferring researchers to development and other functions. The implementation stage involves transferring knowledge to development, as well as refining the technology to the point where it is reproducible, testable, and documented. Sony facilitates technology commercialization by transferring project team members from research to development and making those people responsible for implementation. To reach the final stage, manufacture, the firm must find the means for developing and refining mass production tools and procedures. Meeting this challenge requires close interaction and integration between process and production engineers.     

Bounded socio-technical experiments as agents of systemic change: The case of a zero-energy residential building

Large-scale shifts in dominant technologies are the necessary components of a transition toward sustainability. Such shifts are difficult because, in addition to technological innovation, they require changes in the existing institutions, professional norms, belief systems and, in some cases, also lifestyles. In the languages of cognitive and policy sciences, higher order learning on a scale ranging from individuals to professional and business communities, to the society at large, is needed. Higher order learning is especially crucial in the types of innovations that depend mainly on synthesis of existing technologies and know-how to achieve radical reductions in energy and material consumption, as is the case with high performance buildings. One way to facilitate this type of learning is through experimentation with new technologies and services.Drawing on our earlier concept of a Bounded Socio-Technical Experiment, in this paper we propose a four-level conceptual framework for mapping and monitoring the learning processes taking place in a BSTE, and apply it to an empirical case study of a zero-fossil-fuel residential building in Boston. Three major conclusions are that: learning took place both on the individual and team level, that individual learning primarily (but not exclusively) involved changes in problem definitions; and that team learning consisted of participant turnover until congruence in worldviews and interpretive frames was achieved. This case study also shows that we must think of innovating in building design as both a process and a product, and that both must be considered in the future efforts to replicate this building.This study highlights that technological innovation about technology as much as about people, their perceptions, and their interactions with each other and with the material world. Sustainability will not be reached by technology alone, but by deep learning by individuals, groups, professional societies and other institutions.     

Addressing shortcomings in the Household Responsibility System: Empirical analysis of the Two-Farmland System in Shandong Province

Despite apparent overwhelming benefits, implementation of the Household Responsibility System (HRS) in China contained a number of flaws. The Two-Farmland System (TFS), which originated in Pingdu City in Shandong Province, sought to address the twin problems of land fragmentation and economies of size. A stochastic frontier production function analysis that isolates the impacts of land allocation reforms suggests that the TFS increased efficiency by around 7%. This article highlights the need for empirical analysis to assess objectively the merits or otherwise of particular reforms.     

An International Investigation of Problem‐Solving Performance in the Semiconductor Industry*

Using a unique survey of engineers in major semiconductor companies located in Japan, South Korea, and the United States, this article analyzes how a firm's human resource (HR) system (i.e., practices that structure work, develop skills, and reward performance) and knowledge system (i.e., information access, sharing and control) are related to the problem‐solving performance of engineers. Because of the short product market life cycles in the semiconductor industry, expeditious problem solving is an important performance goal. Therefore, this article examines the performance of engineers in terms of the time it takes them to solve problems in the context of their firms' HR and knowledge systems. It was anticipated during this study that externally oriented organizational systems, which support individual career performance and mobility (an externally oriented HR system) and the use of private knowledge sources (an externally oriented knowledge system), would be associated with superior performance in terms of problem‐solving speed. The findings support this hypothesis and demonstrate the importance of externally oriented HR systems and at the same time suggest the surprising insignificance of the orientation of the knowledge systems. These findings are applicable to engineers in the sample from the United States, whereas the findings for the Korean and Japanese engineers are inconclusive. International variation is found where the U.S. engineers work under the most externally oriented and the Japanese engineers under the least externally oriented systems, and the Korean engineers fall in between. The findings of this article suggest that when constructing a work environment for new product development, managers should take into account how the underlying components of their organizational systems contribute to an internal or external focus, and how this orientation may influence performance.     

Does market misvaluation help explain share market long‐run underperformance following a seasoned equity issue?

We examine the relation between pre‐seasoned equity offering (SEO) announcement date misvaluation and long‐run post‐SEO performance for a large sample of Australian SEOs made between 1993 and 2001. Our study is motivated by inconsistent findings across countries with respect to the SEO long‐run underperformance anomaly first documented in the USA, inconclusive findings with respect to the hypothesis that managers exploit market misvaluation when timing equity issues, and a recent Australian Stock Exchange proposal to loosen SEO regulation. We find SEO firms underperform common share market benchmarks for up to 5 years after the announcement. Using a residual income valuation method, we show that this underperformance is related to pre‐announcement date misvaluation. An unexpected result is that underperformance and misvaluation are more severe for private placements than rights issues. Institutional factors unique to the Australian setting, particularly the large number of smaller loss‐making firms among private placement issuers, appear to explain the poorer performance of placement firms. Our results are robust to various measurement methods and assumptions, and demonstrate the importance of researching SEO performance in alternative institutional settings.     

The Emergence of Post-Suburban Landscapes on the North Coast of New South Wales: A Case Study of Contested Space

Since 1980, population trends in Australia have indicated new patterns of urbanization involving substantial growth not only in the dominant conurbations, but also in suburban areas and in an extensive coastal zone (Paris, 1994). Comparisons can be made with the emergence of post-suburban forms and processes in other parts of the world (Kling et. al., 1991). The principal aim of this paper is to present an analysis of some of the major local development conflicts and planning and environmental protection issues that are being faced by developers, planners and local communities as the urban restructuring of Australia takes place. The paper draws on evidence of urbanization on the upper North Coast of New South Wales and provides a detailed examination of two shires in the region — Ballina and Byron — where a study was carried out by the authors in 1994 and 1995. Previous research on the population and development trends in Australia is reviewed to provide a context within which the patterns in New South Wales and its North Coast may be placed, and a discussion is presented of the implications of new development with reference to Ballina Shire and Byron Shire. The usefulness of the postfordist model as an explanatory framework for examining these post-suburban landscapes and contested space issues on the North Coast of NSW is also explored.