CHAPTER 12 Strategic Issues in Managing Technology and

CHAPTER 12 Strategic Issues in Managing Technology and Innovation STRATEGIC MANAGEMENT & BUSINESS POLICY 10 TH EDITION THOMAS L. WHEELEN J. DAVID HUNGER 1

Executive Fear over loss of Innovation 2

Technology and Innovation The Role of Management – –Innovation –Management of technology 3

Technology and Innovation Environmental Scanning – –External Scanning • New developments in technology 4

Technology and Innovation Impact of Stakeholders on Innovation – –Lead Users Process • Lay the foundation • Determine the trends • Identify lead users • Develop the breakthrough 5

Technology and Innovation Impact of Stakeholders on Innovation – –Market Research –New Product Acquisition 6

Technology and Innovation Environmental Scanning – –Internal Scanning • Resource development • Experimentation • Risk taking • New ideas • Autonomous project teams 7

Technology and Innovation Environmental Scanning – –Resource Allocation Issues • R&D intensity • Time to market issues 8

Product & Process R&D Innovation Life Cycle 9

Technology and Innovation Outsourcing Technology – –Low significant to competitive advantage –Supplier has proprietary technology –Supplier’s better –Strategy based on design not development –Requires special expertise –Requires new people and resources 10

Technology and Innovation Intellectual property – –Special knowledge used in new product or process 11

Technology and Innovation Technological Competence –Absorptive capacity –Technological competence 12

Categories of Innovation 13

Product/Market Evolution Portfolio Matrix 14

Stages of New Product Development 15

Technology & Innovation Innovative Organizations – –Positive attitude toward change –Decentralized decision making –Informal structure –Interconnectedness –Organizational slack –Large size –System openness 16

Designs for Corporate Entrepreneurship 17

Evaluation and Control Techniques – –Stage-gate process –House of quality –Index of R&D effectiveness 18

House of Quality 19