Title: Transition of R&D and product development procedures after mergers and acquisitions: a case study of Intermagnetics General and Philips Healthcare
Authors: Ulrike Rehn; Pier A. Abetti
Addresses: Lally School of Management and Technology, Rensselaer Polytechnic Institute, 110 8th Street, Troy, New York 12180-3590, USA ' Lally School of Management and Technology, Rensselaer Polytechnic Institute, 110 8th Street, Troy, New York 12180-3590, USA
Abstract: This paper presents an in-depth case study of the transition of R&D and product development procedures after the acquisition of a small entrepreneurial US high-tech company, Intermagnetics General Corporation (IGC), by a leading multinational, Philips of the Netherlands. We summarise the findings of interviews conducted in 2011 of IGC and Philips researchers and managers concerning the 5-year post-merger integration process, the alignment of rewards and incentives, the effect of market life cycle and product development strategies, the redefinition of relationships and expectations, the internal and external driving forces and the successful results. We conclude with the lessons learned, the limitations of the study and possible directions of future research.
Keywords: superconductivity; R&D procedures; research and development; product development procedures; mergers and acquisitions; M&As; post-merger integration; Philips Healthcare; Intermagnetics General Corporation; IGC; case studies; small firms; high-tech firms; high technology; multinationals; multinational corporations; MNCs; rewards; incentives; market life cycle; driving forces; drivers.
International Journal of Technology Management, 2013 Vol.61 No.2, pp.109 - 131
Available online: 15 Feb 2013 *Full-text access for editors Access for subscribers Purchase this article Comment on this article