Ende, J.C.M. van den

Making business sense of cross-industry innovation (Article)

2013-01-01T00:00:00Z

Schumpeter, the renowned economist, defined innovation as ‘new combinations’ of existing elements. Today’s business environment provides valuable opportunities for such innovation, in which existing technologies, products and services from various industries are creatively adapted and then launched successfully into new, unconnected business areas. But there are rules to be followed.

The Paradox of Standard Flexibility: The Effects of Co-evolution between Standard and Interorganizational Network (Article)

2012-05-01T00:00:00Z

The literature has dedicated significant attention to the effects of standard-supporting, interorganizational networks on the content of standards and standard survival. However, minimal attention has been paid to the effects of the standard’s characteristics and dynamics on these networks. This paper contributes to closing this gap. We introduce the paradoxical concept of ‘standard flexibility’ and study the interaction between the characteristics of a standard-supporting network and the development of the standard itself, including the effect of the interaction on standard success. More specifically, we show how a standard’s flexibility can serve to attract new network members, facilitating growth and diversity of the network, which in turn has implications for further adaptations of the standard. We study this co-evolutionary process in three standards battles: Blu-ray versus HD-DVD, USB versus Firewire, and WiFi versus HomeRF. Our findings suggest that those participating in standardization can persuade non-participating stakeholders to join by allowing for changes in the standard. In turn, the existing members can expect that the new members will request further changes. The cases suggest that early timing of the co-evolutionary process enhances the chances of standard success. We also explore the emergence of path dependencies in the process and the forces that restrict the co-evolutionary process over time. For managers, our findings indicate that changes in standards should not be considered undesirable, but as opportunities that may strengthen the interorganizational network and contribute to a standard’s success.

Organizing interindustry architectural innovations: Evidence from mobile communication applications (Article)

2012-05-01T00:00:00Z

Technologies from different industries are increasingly being combined to create new products and services. A fundamental challenge for the successful development of these interindustry innovations is to combine the previously unconnected technologies in an entirely new product architecture. The development of the required architectural knowledge is especially challenging in an interindustry setting. For instance, specialists from the different industries are likely to have different routines and no prior ties. Given these considerations, this paper explores the conditions for the successful organization of the development process of interindustry architectural innovations. This study adopts a multiple case study design. Based on document analysis and semistructured interviews, three development projects were studied and compared. These projects involved the development of mobile communication applications for services that were already being provided by traditional means in other industry, that is, television, banking, and payment. To increase the likelihood of finding relevant theoretical insights, the three projects were selected based on their different organizational setups, that is, a contractual alliance of two large firms, an informal alliance of two large firms and one small firm, and an independent start-up together with its suppliers. The results show that development projects for interindustry architectural innovations are likely to benefit from an organizational form (1) that includes specialists from the relevant industries; (2) that facilitates intense coordination integration between these specialists; and (3) that facilitates timely decision making and conflict resolution. Interestingly, these organizational dimensions influence project performance jointly rather than individually. Hence, these results lay the ground for the development of a configurational theory. This is a clear contribution to the new product development literature because configurational theories in this field of research are underdeveloped. Configurational theories offer valuable insights for managers who have to make multiple decisions simultaneously rather than in isolation. In particular, this study shows how multiple organizational dimensions can be aligned to produce a synergistic effect, while taking into account the specific characteristics and challenges of interindustry architectural innovations. In particular, this study proposes intense collaborations between specialists from the different industries in which one of these specialists takes the lead. Of course, specialists should be responsible for their areas of expertise, but architectural decisions should be made by consensus and-whenever needed to speed up the process-by fiat. At the same time, the findings suggest that going it alone by start-ups as well as fifty-fifty collaborations between incumbents do not work well for this type of innovation.

Factors for winning interface format battles: A review and synthesis of the literature (Article)

2011-04-18T00:00:00Z

The literature on selection of interface formats is fragmented and does not provide an overall framework in which all relevant factors are included. Current frameworks are incomplete and focus on a subset of the total set of factors. In this paper we develop a more complete overview of factors based on the available literature. First, we perform an extensive literature study of 127 publications, resulting in 29 factors for format dominance. Second, we group the factors into five categories: characteristics of the format supporter, characteristics of the format, format support strategy, other stakeholders, and market characteristics. Third, we perform a meta-analysis and we specify the direction of each factor on format dominance. This results in a framework that facilitates assessing the chances that an interface format achieves dominance. We demonstrate that this framework is more complete than previous frameworks. The framework can be used by both researchers and practitioners to understand historical and current format battles as well as acceptance of formats without direct competitors.

Innovation management practices compared: The example of project-based firms (Article)

2010-09-01T00:00:00Z

The importance of project-based firms is increasing, as they fulfill the growing demands for complex integrated systems and knowledge-intensive services. While project-based firms are generally strong in innovating their clients' systems and processes, they seem to be less successful in innovating their own products or services. The reasons behind this are the focus of this paper. The characteristics of project-based firms are investigated, how these affect management practices for innovation projects, and the influence of these practices on project performance. Using survey data of 203 Dutch firms in the construction, engineering, information technology, and related industries, differences in characteristics between project-based and nonproject-based firms are identified. Project-based firms are distinguished from nonproject-based firms on the basis of organizational configuration, the complexity of the operational process, and the project management capabilities of the firm. Project-based firms also differ with regard to their level of collaboration and their innovation strategy, but not in the level of autonomy. A comparison of 135 innovation projects in 96 of the firms shows that project-based firms do not manage their innovation projects different from other firms. However, the effects of specific management practices on project performance are different, particularly the effects of planning, multidisciplinary teams and heavyweight project leaders. Differences in firm characteristics provide an explanation for the findings. The implication for the innovation management literature is that "best" practices for innovation management are firm dependent.

How design can improve company performance (Article)

2010-08-01T00:00:00Z

Emphasising design and including designers in product development teams contributes to new product success. Likewise, involving designers in developing websites and corporate visual identity helps to improve firm image. When taken together this can contribute to improved company performance. These are the main findings of research conducted in a survey of nearly 400 managers in Dutch firms from both manufacturing and service sectors.

Subjective Performance Assessment of Innovation Projects (Article)

2010-07-01T00:00:00Z

Performance assessment of innovation projects is a central issue in innovation management research. Using existing literature, a model is developed to assess the performance of new product and new service development projects. In this model, project performance is defined as a combination of a formatively indicated operational performance construct and a reflectively indicated product performance construct. The validity of this model is tested based on a sample of 219 innovation projects assessed by innovation managers. Using only the innovation managers' responses, it is, however, not possible to distinguish between operational and product performance. The impact of common method bias and informant bias is subsequently assessed using a subsample of 128 of these 219 innovation projects that are assessed by the innovation manager and the project leader. These latter results show that operational and product performance are two distinct constructs. In addition, the multitrait–multimethod analyses show that especially the more abstract items of performance, such as the perceptions of quality, captured knowledge, competitive advantage, gained reputation, and customer satisfaction, suffer from random error and informant bias. Project leaders appear to be better informed to assess operational performance, while innovation managers are better in assessing product performance. The paper concludes with a qualitative comparison of several alternative performance models: the project performance model as derived from the literature, a similar (misspecified) reflective performance model, two stand-alone models in which operational and product performance are assessed separately, and a mixed model that uses a combination of innovation managers' and project managers' data. Based on this comparison, it is advised to use either the stand-alone models for operational performance and product performance or the mixed model whereby the project leader assesses operational performance and the innovation manager the product performance of an innovation project.

With a Little Help from Our Colleagues: A Longitudinal Study of Social Networks for Innovation (Article)

2010-04-01T00:00:00Z

In this paper we investigate the dynamics of networks of employees in the front end of the new product development process. So far, the literature has focused on network structure and has argued that sparse (low density) networks of weak ties are optimal for idea generation. In this paper we include both network structure and network content, and we emphasize the importance of strong ties, density, range, seniority and decision-maker involvement in specific phases of the front end in an environment of uncertainty, ambiguity and tacit knowledge. To test our assumptions, we mapped the full networks of 17 ideas for new product development projects over time in a longitudinal study in two research laboratories. For specific phases of the front end, we found confirmation of our expectations. In addition, it appeared that particularly strong ties between different units advance the adoption chances of ideas. The managerial implication of this latter finding is that communication with good acquaintances or friends in other units should be promoted in the front end of idea generation.

Nurturing Good Ideas (Article)

2009-09-01T00:00:00Z

Managers know that simply generating lots of ideas doesn’t necessarily produce good ones. What companies need are systems that nurture good ideas and cull bad ones—before they ever reach the decision maker’s desk. Our research shows that tapping the input of many people early in the process can help ensure that the best ideas rise to the top.

Nurturing Good Ideas (Article)

2009-04-01T00:00:00Z

The article describes an approach to innovation management and quality idea development. The method involves discussion of an idea among colleagues to determine its feasibility before submitting it formally for review. Examples include Unilever, a biotechnology research firm KeyGene, and the catalysts program at International Business Machines Corp.

Involvement of system firms in the development of complementary products: The influence of novelty (Article)

2008-11-01T00:00:00Z

This paper focuses on the involvement of system firms in the development of complementary products to their systems. The central question is: to what extent do the novelty of the system and the novelty of the complementary product affect the appropriate degree of involvement of system firms in the development of complementary products? A system firm has several options: it may develop the complementary product completely by itself, it can leave the development completely to a specialized producer of complementary products, or it can apply different forms of collaboration with such specialized firms. This paper presents a model for the most appropriate degree of involvement of the system firm contingent upon the degrees of novelty of the system and the novelty of the complementary product. Basic to the model are two objectives of firms developing a new complementary product: the reduction of information and transaction costs in the development process, and the timely creation of installed base of the novel system and/or complementary product. We performed a pilot test of the model using data on new service development projects in mobile telecommunications. The results show that the novelty of the system and complementary product indeed affect the expected performance effects of system firm involvement. Particularly when the system is mature and the complementary product new, the system firm could better leave complementary product development to a specialized external firm. In other cases, the system firm can choose its degree of involvement from low to either medium or high, depending on novelty conditions.

Organising Innovation (Inaugural Lecture)

2008-09-18T00:00:00Z

Innovation offers many opportunities for corporations. That is beyond dispute. The only question is how to make the most of them. In this lecture, I show what the process of innovation entails; I give examples of successful and failed innovations and I discuss the current issues and trends in this field. The challenges facing companies are how to handle uncertainty; how to collaborate with external parties and how to reduce the cost and time involved. My research focuses on the management of the innovation process and the organisation of system innovation. Research findings show how companies can improve the quality of ideas; how they can make more effective use of ideas from external parties; and whether it is best to develop complementary products themselves or contract this work out to others. I also discuss the specific innovation-related issues of the Netherlands and how these can be handled best.

Standard adoption in converging technologies: The interplay between network and system (In Proceedings)

2007-12-01T00:00:00Z

Most literature on standards selection focuses on compatibility standards for single products or large but single systems that are developing, such as the internet or a telecommunications network. In this paper we focus on systems that connect multiple already existing subsystems and new subsystems to form a new complex system. We show that in complex systems characteristics of the networks of actors that are supporting the different competing standards play an important role in the becoming dominant of the standards.

The AmRo study: Pregnancy outcome in HIV-1-infected women under effective highly active antiretroviral therapy and a policy of vaginal delivery (Article)

2007-02-01T00:00:00Z

Objective: To explore pregnancy outcome in HIV-1-positive and HIV-negative women, and mother-to-child transmission (MTCT) according to mode of delivery under effective highly active antiretroviral therapy (HAART). Design: Cohort of 143 pregnant HIV-1-infected women including a matched case-control study in a 2:1 ratio of controls to cases (n = 98). Setting: Academic Medical Center in Amsterdam and Erasmus Medical Center in Rotterdam, the Netherlands. Population: Consecutive referred HIV-1 infected pregnant women treated with HAART and matched control not infected pregnant women. Main outcome measures: MTCT, preterm delivery, low birthweight, pre-eclampsia. Results: MTCT was 0% (95% CI 0-2.1%). Seventy-eight percent of HIV-1-infected women commenced and 62% completed vaginal delivery. The calculated number of caesarean sections needed to prevent a single MTCT was 131 or more. Preterm delivery rates were 18% (95% CI 11-27) in women infected with HIV-1 and 9% (95% CI 5-13) in controls (P = 0.03). HAART used at <13 weeks of gestation was associated with a 44% preterm delivery rate compared with 21% when HAART was started at or after 13 weeks and 14% in controls. (Very) low birthweight and incidence of pre-eclampsia were not different between HIV-1 and controls. Conclusions: We have not demonstrated any MTCT after vaginal delivery in women effectively treated by HAART. The HAART-associated increase in preterm delivery rate is mainly seen after first trimester HAART use.

Governance Modes For Systemic Innovation. Service Development In Mobile Telecommunications (Research Paper)

2004-08-30T00:00:00Z

This paper focuses on governance modes for systemic innovation projects. The central question is: to what extent does the newness of a system and its components affect the most appropriate governance mode for component development projects? Component development projects can be performed by either the system developer, the component developer or by some combination of these parties in a collaborative governance mode. This paper presents a model to determine the most appropriate governance mode for component development depending on the newness of the system and the component. We include in our model considerations of both appropriation and integration of knowledge. We tested the model on thirty new service development projects for mobile telecommunications systems. The study shows support for the claim that misfit between the modeled and the actual governance modes negatively affects the performance of component innovation projects.

Modes of governance of new service development for mobile networks. A life cycle perspective (Research Paper)

2002-10-28T00:00:00Z

This paper focuses on governance modes for service development of mobile telephone networks (GSM, WAP, GPRS, UMTS). 'Services' refer to services embodying a specific content. The paper shows that the phase of the life cycle of the network and the service affects the choice of governance mode of new service development projects. Governance modes include internal development by the telecom operator, several forms of collaboration between telecom operator and service firm, and only providing a network by the telecom operator to the service firm, which then develops and provides its services (external). In this paper a model is developed for the governance mode of service development in different phases of the life cycles of the mobile network and service, based on the degrees of uncertainty and urgency involved in the network and service development processes. Four cases are presented of service development projects for mobile telecom networks. These cases indicate that the number of redesigns and the level of communication costs in collaboration projects indeed depend on the degree of urgency and uncertainty involved in these projects, which are in turn affected by the life cycle of the network and service.

Technology Push, Demand Pull And The Shaping Of Technological Paradigms - Patterns In The Development Of Computing Technology (Research Paper)

2002-10-22T00:00:00Z

An assumption generally subscribed in evolutionary economics is that new technological paradigms arise from advances is science and developments in technological knowledge. Demand only influences the selection among competing paradigms, and the course the paradigm after its inception. In this paper we argue that this view needs to be adapted. We demonstrate that in the history of computing technology in the 20th century a distinction can be made between periods in which either demand or knowledge development was the dominant enabler of innovation. In the demand enabled periods new technological (sub-) paradigms in computing technology have emerged as well.