Managing Global Innovation

1
Managing Global Innovation

• Attila Kurucz
• University of West-Hungary
• Department of Business Sciences

2
Emerging Patterns

• Market as a challenge for RD
• Push versus Pull orientation
• Financing of Corporate Research
• Focusing on Market Needs
• Technology push ? Market pull
• Instruments and organizations of
  customer-orientation

3
Importance of Markets I.

• It is the single most important factor for
  increasing RD effectiveness.
• On the other hand, aligning RD activities
  completely with existing customer demand may have
  negative effects n the role RD has to fulfill on
  a corporate level.

4
Importance of Markets II.

• Market-oriented RD management implies two things
  at the same time to face the needs of the
  existing market and to secure long-term
  innovativeness including non-existing markets.
• Fundamental conflictThe meeting of the
  short-term customer demands and securing
  long-term innovativeness.

5
Main groups of problem drivers

• Informal Links Networks
• Project Processes
• Hierarchical Functional
• Regional Legal

6
Informal Links Networks

• Unable to make use of external networks
• Incompatible communication networks
• Language difference between RD and customer

7
Project Processes

• Obsolete RD tools
• Discover customer needs
• Funding
• Mismatch between organization and dynamic markets

8
Hierarchical Functional

• Short-term needs vs. long-term innovation
• Technology-Push thinking
• Bureaucratic structures
• Compartmentalization

9
Regional Legal

• Distance between customer and RD
• Neglect of new markets

10
The Instruments of Market-orientation

• Lead user concept
• Concept testing
• Conjoint analysis
• Quality function Deployment (QFD)
• Technology strategy product/market strategy
  integration
• Two-channel funding