International Journal of Technology Management (14 papers in press)
Worldwide IP coverage of patented inventions in large pharma firms: to what extent do the internationalisation of R&D and firm strategy matter?
by Patricia Laurens, Christian Le Bas, Antione Schoen
Abstract: The paper deals with the determinants of worldwide IP coverage of patented inventions in large pharmaceutical firms. We support the core idea that the internationalisation of firm R&D is a positive key factor which explains global IP coverage. For the global pharmaceutical industry we estimate logit models on the probability that a patent will be expanded worldwide. We retain two categories of worldwide patent: the well-known triadic patent and the new triadic one (triadic+ China + Korea). The data set encompasses the 17487 priority patents applied by 69 enterprises from several countries over the period 2003-2005. One important finding is that patenting in Japan sets up an important barrier, giving Japanese firms an advantage when triadic patenting is considered. For European and US firms our estimation results confirm the idea that the level of firm R&D internationalisation is a significant explanatory factor in international IP coverage, together with control variables. We highlight an inverted U-shaped relationship between these two variables.
Keywords: global patent coverage; pharma firms; internationalisation of R&D; strategy; globalisation of technology.
Classifying different types of modularity for technical system
by Hao Li, Miying Yang, Steve Evans
Abstract: Modular design is regarded as an effective approach to reduce production cost and increase mass customization and personalization in industries. The implementation of modularization requires the support of the entire technical system, including product, service and supply chains. However, most modularity studies only focus on product modularity. There is a need for comprehensive understanding of modularity in product, service and supply chains. This paper addresses this need by defining the modularity of the technical system, including product, service and supply chains; and providing classifications for modularity across product modularity, service modularity and supply chain modularity separately. The contributions of this paper are: (a) a review on the classification of technical system modularity; (b) the analysis of internal relationship among different types of product modularity, (c) a proposal for different types of service modularity and supply chain modularity. This study can assist manufacturing companies to improve modular design and management of technical system.
Keywords: technical system; product modularity; service modularity; supply chain modularity.
The dynamics of relational quality in co-development alliances
by Francis Bidault, Alessio Castello
Abstract: Co-development alliances are a specific form of cooperative arrangements which firms engage in with the intention of creating new products, services or technologies through coordinated efforts and commitment with other organisations. These cooperative agreements have been increasing in numbers over the past few decades. In this article, we discuss the role of relational quality, a construct that has been recognised as affecting the survival and ultimate success of alliances. We argue that relational quality is especially critical in co-development alliances, and propose a model for analysing it, and its drivers, based on a set of retrospective and longitudinal case studies that we conducted. We formulate several research propositions that can be derived from the model presented.
Keywords: co-development; R&D partnerships; cooperative R&D; joint R&D; technology alliances; joint innovation; co-innovation; relational quality; confidence in partners; trust and control.
How do firms meet the challenge of technological change by redesigning innovation ecosystem? A case study of IBM
by Yuchen Gao, Xielin Liu
Abstract: An innovation ecosystem can add competitive advantages to focal firms and help them win the market with their partners. However, the ecosystem needs to evolve as the environment changes. There are few studies focusing on how the architecture of innovation ecosystem evolves and how firms accomplish this evolution through appropriate strategies of leveraging complementors. The main purpose of this study is to explore the evolutionary process of ecosystem under both radical and incremental technological changes based on a single case study and a patent analysis of IBM. From the innovation ecosystem perspective, we find that the ecosystem architecture is becoming more complicated when transforming from a single-hub to a multi-hub form via sharing patents of IBM. We also find that IBM has advanced its ecosystem as well as leveraged complementary technologies mainly by technological collaboration, mergers and acquisition (M&A), but the emphases of leverage strategies are varying along with distinct technological changes. Moreover, IBM would help the complementors co-evolve with the developing ecosystem. This study is expected to contribute to the literature of strategy and innovation ecosystem and provide firms with implicating guidance to survive and grow in a time of technology turbulence.
Keywords: innovation ecosystem; technological change; evolution; IBM; patent analysis.
Intellectual Property Strategy for the Ecosystem of the Internet of Things
by Yi-juen Chen, Ta-jung Lu
Abstract: In this paper we explored the Internet of Things (IoT) ecosystem and the intellectual property (IP) strategies of Taiwanese firms. A questionnaire survey and interviews with high-ranking managers of IoT firms offered insight in this study. Our contribution is adding the multi-supply context to the multi-invention context, introducing the ecosystem to the formulation of the IoT IP strategy, and the argument that the profitability of IoT firms is shifting from the individual firm basis to the entire ecosystem basis. We argue that IoT IP strategies must support this trend and consider aligning IP strategy with the IoT ecosystem, utilizing multi-IP protection, integrating IP strategy with industry solutions and monitoring the litigation trigger point. These resultant strategies will prove helpful to IoT firms in formulating a practical IP strategy.
Keywords: Internet of Things; IP strategy; open source; ecosystem.
The Strategy of Collaborative Monopoly with use of the scheme of Standardization for Storage Product
by Haruo Awano, Koji Tanabe
Abstract: It is important to standardize a new product in order to expand a market. However, it is not easy to profit from a standardized product because its specification is open to competitors. This paper examines the way in which IBM, HP and Quantum (former Seagate) were able to succeed in profiting from the business of LTO (Linear Tape Open) and in jointly monopolizing the market in spite of the fact that LTO was standardized. A key factor for their success is a strategy of collaborative monopoly with use of the scheme of standardization. This strategy consists of two strategic activities. First activity is to carry out the open type razor and blade business model by utilizing the scheme of standardization in order to profit from the consumables such as storage media. Second activity is to realize antecedent development of both technology and business for the next generation of the media.
Keywords: standardization; monopoly; collaboration; razor and blade; business model; strategy; consumables; IBM; HP; Quantum; LTO; antecedent development; DVD.
Identifying R&D Partners using SAO Analysis: A Case Study of Dye-sensitized Solar Cells (DSSCs)
by Xuefeng Wang, Yun Fu, Ying Huang, Yuqin Liu, Donghua Zhu
Abstract: This paper proposes a systematic process to identify potential research and development (R&D) partners from a technological perspective based on subject-action-object (SAO) semantic analysis. Improvements to traditional methods are made by combining the SAO structure map and the collaboration network analysis. The SAO structure map reveals the technological development trends, organizations research contributions, and their research experiences in the field, which are the factors that indicate an organizations R&D capabilities. Furthermore, we explore the organizations collaboration statuses through collaborative network analysis and their collaborative publications, which make it easier to identify the organizations sense of cooperation. Potential R&D partners are identified by examining the organizations R&D capabilities and sense of cooperation. An exploratory study is conducted on dye-sensitized solar cells (DSSCs). The proposed method provides useful information for organizations (firms, institutions, universities, etc.) to identify potential R&D partners or make cooperation related policies.
Keywords: Partner identification; subject-action-object (SAO); mapping science; semantic analysis; collaborative network analysis; dye-sensitized solar cells (DSSCs).
Distribution structure and evolution of global innovators based on patent coupling analysis: A study of the flat panel display industry
by Yong Hong, Miao Cui, Hong-hong Zhang
Abstract: In open innovation environment, to effectively seek and acquire external knowledge sources, and promote organisational innovation, it is necessary to understand distribution structure and evolution characteristics of global innovators. This paper by using the perspective of knowledge characteristics of innovators and their knowledge relationships, adopting a patent coupling analysis approach, proposes an analysis content framework and corresponding procedures. We take the flat panel display sector for example, and investigate the overall distribution structure, individual technology characteristics and their evolution for the Top 60 innovators in three stages. The research findings revealed the overall distribution groups (sub-fields) and evolution of the primary global innovators and the individual technology characteristics and technology innovation strategy evolution. This study provides firms valuable references to analysing external knowledge sources, manage R&D cooperation and determine technological innovation strategies.
Keywords: external knowledge sources; patent coupling analysis; distribution structure; technology characteristics; global innovators.
A comparative study of the effects of internal and external technology spillovers on the quality of innovative outputs in China: The perspective of multistage innovation
by Xionghe Qin, Debin Du
Abstract: This study compares the extent to which external technology spillovers, represented by foreign direct investment (FDI), and internal technology spillovers, represented by universityinstituteindustry cooperation (UIC), influence the quality of innovative outputs. It does so by employing the perspective of multistage innovation in China. We construct a conceptual framework that divides the innovation process into three stages: knowledge innovation, technology innovation, and product innovation. Through a combination of the three-stage innovation value chain approach and econometric modeling of the knowledge production function, a panel regression is used to analyze the effects of FDI and UIC on the quality of innovative outputs during each stage, using data for 20062015 on 30 provinces in China. By comparing UIC with FDI, we find that UIC has a higher coefficient and stronger significance level than FDI in the knowledge innovation and product innovation stages, while instituteuniversity linkages exhibit a negative association with the quality of innovative outputs in the technology innovation stage. However, from a regional perspective, it is found that only instituteuniversity linkages in the knowledge innovation stage show a positive association with journal paper quality in coastal regions, whereas industryuniversity cooperation matters more in the product innovation stage in inland regions.
Keywords: foreign direct investment; university-institute-industry cooperation; innovative output quality; external technology spillover; internal technology spillover.
Exploring the Effectiveness of Pursuing Competing Technologies in Parallel Projects during Predevelopment
by Ties Van Bommel, Edwin J. Nijssen, Ronald J. Mahieu
Abstract: Prior research has studied the effectiveness of parallel projects in the research and development stages. However, it has ignored predevelopment, which R&D intensive firms generally distinguish as a separate stage lodged between research and development. Predevelopment focuses on activities and decisions to select, from a subset of related technologies, the best option for a product application. Parallel projects are often a means of speeding up this process by actively pursuing learning spillovers. This paper develops assumptions about learning potential and then uses a real option model to test the trade-off between the higher costs and benefits of this parallel project approach. We compare outcomes for predevelopment using the same approach under research and development conditions, respectively. The results reveal that, when moving from research to development, the effectiveness of pursuing competing technologies in parallel projects first increases and then decreases, with a maximum positive result in predevelopment. The results also show that learning spillovers can compensate for the higher investment costs. Data from an empirical case support our findings.
Keywords: competing technologies; interproject learning; parallel development; predevelopment; real options.
The Opportunity-driven Innovation Catching-up from China In Engineering and Technical Services Industry: Does Technology Gap Generate Opportunity Gap in Innovation?
by Jia Ma, Yusen Xu
Abstract: Narrowing the technology gap is often considered as a basic measure for latecomer firms to accomplish innovation catching-up. To capture more innovation opportunities, most latecomer firms endeavor to close the technology gap between the leading firms through hard investment in R&D. However, in this study, we find different logic in this issue. In the multi-case study, 14 latecomer firms from China in the engineering and technical services industry, which successfully accomplished the innovation catching-up, have been investigated. The key influencing factors of innovation catching-up have been identified and the relationships among these influencing factors have been detected. An Opportunity-Action Model of innovation catching-up are build up based on the multi-case analysis, revealing that the innovation catching-up of latecomer firms from China in the engineering and technical services industry is opportunity-driven. Three main forces, including the environmental stimulus, talent resource and local market-pull, shape the innovation opportunity. Linking to the international and technology localization are two essential strategic activities for latecomer firms responding to the innovation opportunities. The research finding shows that the innovation catching-up of these latecomer firms are driven by opportunity, which is mainly shaped by the external forces but not decided by the internal technological (capability) factor. The empirical evidence and finding therefore implies that the larger technology gap between the latecomer and the leading firms does not signify that the latecomer firms have fewer innovation opportunities in such context. In the innovation diffusion, at least as shown in this study of the engineering and technical industry in China, the technology gap does not directly generate the opportunity gap in innovation. On the other hand, the opportunity gap between the latecomer firms and leading firms especially embedded in emerging markets or low-end markets, actually make changes of the technology gap through the latecomer firms technological catching-up.
Keywords: Innovation Catching-up; Innovation Opportunity; China; Technology Gap.
Knowledge Transfer Efficiency Measurement with Application for Open Innovation Networks
by Jiafu Su, Yu Yang, Xuefeng Zhang
Abstract: Knowledge transfer efficiency is an important indicator to evaluate the performance of open innovation (OI). However, there are few researches on the measurement of knowledge transfer efficiency in the context of OI networks. To make up this gap, this study explores the measurement of knowledge transfer efficiency based on the weighted OI network. Firstly, this paper builds the weighted OI network model with node and edge weights. On the basis of the weighted OI network model, the weighted path length and clustering coefficient are introduced and analyzed. Moreover, the efficiency of knowledge transfer is further proposed as the main measure of knowledge transfer efficiency by comprehensively embodying the above factors, and then an extended application of the proposed main measure is developed to identify and locate the important members with great impact on knowledge transfer. Finally, a real case of several OI networks is provided to illustrate the applicability of the weighted OI network model and the knowledge transfer efficiency measurement method.
Keywords: open innovation network; knowledge transfer; weighted complex network; efficiency of knowledge transfer; member importance.
Structural Characteristics of Extended Alliance Portfolio Configuration and Firm Innovation
by Hosung Kim
Abstract: So far, the scope of alliance portfolio configuration (APC) studies has included only one degree, namely direct alliances or partners of a focal firm. Based on the sociological concept of Three Degrees of Influence Rule, this study extends the scope of the APC of a focal firm to three degrees, and two structural variables (clustering coefficient and the average distance from a focal firm) are extracted from the extended APCs of 31 Korean bio-pharmaceutical firms. Then, the effects of these variables on firm innovation performance are analyzed using the two-step generalized method of moments (GMM) estimates. The results show that the more clustered the extended APCs are, and the closer their average distance from a focal firm, the more favorable the innovation performance of the firms. Additionally, the average distance was found to moderate the clustering effect in the extended APC. Attempting to interpret the APC with such an expanded concept is expected to accelerate further research in the future.
Keywords: extended alliance portfolio configuration (APC); clustering coefficient; average distance; two-step generalized method of moments (GMM).
Management of Industry 4.0 Reviewing intrinsic and extrinsic adoption drivers and barriers
by Jun-Jun Obiso, Celbert Himang, Lanndon Ocampo, Miriam Bongo, Shirley Ann Caballes, Dharyll Prince Abellana, Custer Deocaris, Roberto Padua
Abstract: The adoption of Industry 4.0 (I4.0) being a global technology advancement have challenged the adoption decision of stakeholders due to inadequate management strategies provided in the current literature. As a result, there exists a disparity of perception among organizations of whether or not the adoption of I4.0 should be pursued. As a part of this management strategy, this paper attempts to review drivers and barriers and characterize each as being intrinsic or extrinsic. Furthermore, these drivers and barriers are categorized according to technological, economic and regulatory, and social factors. As such, the nature of management strategy can be well-established to aid stakeholders in developing appropriate I4.0 programs and initiatives.
Keywords: Industry 4.0; drivers; barriers; intrinsic; extrinsic; literature review.