Class project

1. STRATEGIC MANAGEMENT OF
TECHNOLOGICAL INNOVATION
Lecture Series

2. CHAPTER 01
INTRODUCTION

3. 3
Technological innovation
is important because
.
.
.

4. 4
It is an important driver of
competitive success
Product innovations
Process innovations
new features
efficient manufacturing

5. 5
Wide range of
goods and
services
FOR SOCIETY
+
Effective use
of labor and
capital
+
Improved
medical
technologies
+
Efficient food
production
+
Better
transportation
-
Negative
externalities
(e.g. pollution)
+

6. 6
Strategic Management of
Innovation

7. 7
INNOVATION FUNNEL
Most innovative ideas do not become
successful new products
3000 raw ideas
300 submitted ideas
125 small projects
4 major developments
2 launches
1 successful project

8. 8
How long does new product
development take?
Study by Abbie Griffin

9. 9
DEVELOPMENT CYCLES (MONTHS)
Incremental
improvements
8.6
22 Next generation
improvements
New-to-the-firm
36 product lines
53 New-to-the-world
products

10. Half of the companies had reduced their
cycle time by an average of
!
!
!
!
!
over last five years
10
33%

11. 11
INDUSTRY DYNAMICS OF
TECHNOLOGICAL INNOVATION
Sources of
innovation
Types and patterns
of innovation
Standards battles and
design dominance
Timing of
entry

12. 12
FORMULATING TECHNOLOGICAL
INNOVATION STRATEGY
Choosing innovation
projects
Defining the organisation’s
strategic direction
Collaboration
strategies
Protecting
innovation

13. 13
IMPLEMENTING TECHNOLOGICAL
INNOVATION STRATEGY
Organising for
innovation
Managing the
NPD process
Managing the
NPD teams
Deployment
strategy

14. DISCUSSION QUESTION 01
Why is innovation so important
for firms to compete in many
industries?
14

15. DISCUSSION QUESTION 02
What are some of the
advantages of technological
innovation? Disadvantages?
15

16. DISCUSSION QUESTION 03
Why do you think so many
innovation projects fail to
generate an economic return?
16

17. QUESTIONS AND COMMENTS
ARE WELCOME