International evidence on R&D services outsourcing practices by technological firms

2014 ◽  
Vol 22 (4) ◽  
pp. 372-393 ◽  
Author(s):  
Andrea Martínez-Noya ◽  
Esteban García-Canal

Purpose – This paper aims to, through the disintegration of the innovation process in this paper, attempt to shed light on what are some of the distinctive features of this phenomenon, such as: Who is outsourcing R&D? What types of R&D services are being outsourced across the R&D value chain and to whom? Where are firms outsourcing these services? and Why do firms decide to outsource them? Outsourcing practices of some stages of the R&D process to specialized providers have been gaining momentum during the past years even by firms operating in high-tech sectors. Design/methodology/approach – The data used in this paper stem from an original international survey on R&D services outsourcing. This survey includes a sample of 182 US and European Union firms competing in technology-intensive industries. Findings – This study provides evidence of the existence of a global outsourcing market that covers practically all the R&D stages and is widely used by technological firms. However, it highlights the importance of multinationality to be able to use R&D outsourcing as a tool for value creation. Originality/value – Despite the relevance of this phenomenon, previous studies tend to analyze the R&D function as a whole. However, through the disintegration of the innovation process, this paper provides original international data which helps to analyze the real magnitude and scope of this R&D offshore outsourcing process at the transactional level.

2019 ◽  
Vol 18 (1) ◽  
pp. 8-12
Author(s):  
Susan Kuczmarski ◽  
Thomas Kuczmarski

Purpose The purpose of our research is to explore how rewards serve to fuel a collaborative culture, energize and motivate team members and nurture innovation. Design/methodology/approach In total, 30 in-depth, qualitative interviews were conducted with executives – high-tech, low-tech and no-tech. Findings The following findings emerged from the field research: rewards can be both financial, such as bonuses and incentives, and non-financial, such as extra vacations or other gifts. Huge internal personal benefits accrue from setting up a reward structure, including increased pride, peer recognition, higher self-confidence, greater job satisfaction and enhanced self-accomplishment. When we recognize others, it can impact an individual's self-worth on a profound level. It is described as feedback that sinks into the core. Originality/value Three milestones have been outlined throughout the innovation process where opportunities for recognition can exist: upon recognizing insights for identifying a problem, after understanding and overcoming difficulties encountered during creative solution generation and when recognizing and activating the benefits accrued from pinpointing solutions to the problem.


2015 ◽  
Vol 117 (8) ◽  
pp. 2182-2199 ◽  
Author(s):  
Verena Bitzer ◽  
Jos Bijman

Purpose – Building on recent advances in innovation research on developing country agriculture, this paper explores the concept of co-innovation, i.e. innovations that combine technological, organisational and institutional changes and that encompass different actors in and around the value chain. The purpose of this paper is to contribute to a further conceptualisation of co-innovation and show its usefulness for analysing innovation initiatives in agrifood chains. Design/methodology/approach – The paper combines two streams of literature (innovation systems and value chains) and is based on a review of the experiences with innovation in three different value chains in three African countries: potato in Ethiopia, pineapple in Benin and citrus in South Africa. Findings – Co-innovation is the combination of collaborative, complementary and coordinated innovation. “Collaborative” refers to the multi-actor character of the innovation process, where each actor brings in specific knowledge and resources. “Complementary” indicates the smart combination of technological, organisational and institutional innovation. “Coordinated” draws attention to the importance of chain-wide adjustments and changes to make innovation in one stage of the chain a success. Practical implications – The identified dimensions of co-innovation (the triple “co-”) provide a practical guide for the design of effective interventions aimed at promoting innovation in African agrifood chains. Originality/value – The paper is the first to provide a comprehensive conceptualisation of co-innovation. On the basis of both theoretical arguments and evidence from three illustrative case studies it is argued that successful innovation in agrifood chains requires the innovation process to be collaborative, coordinated and complementary.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zehra Sayed ◽  
Henrik Agndal

Purpose This paper analyzes how information systems (IS) can serve as tools of neo-colonial control in offshore outsourcing of research and development work. It draws on critical work examining business and knowledge process outsourcing. Design/methodology/approach The paper reports an empirical study of how laboratory information management systems (LIMS) shape offshore outsourcing practices involving Western client firms and Indian contract research organizations (CROs) in the pharmaceutical industry. The study adopted a multi-actor perspective, involving interviews with representatives of Western clients, Indian CROs, system validation auditors, and software vendors. The analysis was iterative and interpretative, guided by postcolonial sensitivity to themes of power and control. Findings The study found that LIMS act as tools of neo-colonial control at three levels. As Western clients specify particular brands of LIMS, they create a hierarchy among local CROs and impact the development of the local LIMS industry. At inter-organizational level, LIMS shape relationships by allowing remote, real-time and retrospective surveillance of CROs’ work. At individual level, the ability of LIMS to support micro-modularizing of research leads to routinization of scientific discovery, negatively impacting scientists’ work satisfaction. Originality/value By examining multiple actors’ perceptions of IS, this paper looks beyond the rhetoric of system efficiency characteristic of most international business research. As it explores dynamics of power and control surrounding IS, it also questions the proposition that outsourcing of high-end work will move emerging economies upstream in the value chain.


2014 ◽  
Vol 9 (2) ◽  
pp. 190-205 ◽  
Author(s):  
Mayumi Tabata

Purpose – This study aims to refocus the analysis of global political economies using concepts from studies on Varieties of Capitalism (VoC) to track Taiwan’s rise in the Thin Film Transistor Liquid Crystal Display (TFT-LCD) industry. Taiwanese electronics firms began to outpace their competitors from Japan in TFT-LCD industry’s competition from about the year 2000. Design/methodology/approach – Drawing on depth interviews and analysis of secondary source material, newspaper and magazine. Findings – A time factor that helps determine advantage and/or disadvantage of high-tech industry in Japan and Taiwan. Stable organizational structure and less talent mobility in the Japanese TFT-LCD firms may well have been an advantage initially in the transformation process from US firms’ experimental technologies to tacit mass production technologies, but proved to be a disadvantage in the subsequent competition with more mobile talent in Taiwanese firms eager to standardize mass production techniques. Japanese firms’ rigid organizational structure could not keep pace to the market-oriented technology strategy in the global TFT-LCD industry, lost competitive advantage in a rapid pace. Social implications – VoC literature should be focused to highlight two insights. The first is the premise of institutional forms specific to national models of capitalism. Patterns of technology transfer appear critical in the innovation process, and differ markedly between Taiwan and Japan. Second, the VoC literature suggests comparative institutional advantage. Originality/value – Through the comparative analyses between Taiwanese capitalism model and Japanese counterparts, we can understand the reason and process of the rise of Taiwan in global TFT-LCD market.


2009 ◽  
Vol 22 (3) ◽  
pp. 192-200 ◽  
Author(s):  
Ilan Oshri ◽  
Julia Kotlarsky ◽  
Joseph W. Rottman ◽  
Leslie L. Willcocks

PurposeThe purpose of this paper is to review recent trends and issues in global IT sourcing and to introduce papers in the special issue: “Social, managerial and knowledge aspects in global IT sourcing”.Design/methodology/approachThe paper examines trends by regions including Brazil, Russia, India and China and also trends in Captive Centres and their strategies.FindingsThere will be a continuing rise in outsourcing revenues for global outsourcing, with BPO overtaking ITO within five years. Multi‐sourcing will continue to be the dominant trend. India will continue to dominate but its role will change. China heralds promise but will still struggle to achieve scale in Western European and North American markets. Emerging country competition will intensify. Software as a service will be a “slow burner” but will gain momentum in the second half of the next decade. Near‐shoring will be a strong trend. Outsourcing, by offering a potential alternative, will help discipline in‐house capabilities and service. Knowledge process outsourcing will increase as the BRIC and emerging countries move up the value chain. Captive activity – both buying and selling – will increase (see below). Outsourcing successes and disappointments will continue as both clients and suppliers struggle to deal with a highly dynamic set of possibilitiesOriginality/valueThe paper is of value to both academics and practitioners working in the field of IT sourcing. The study of captive centres is in its early stages and the paper introduces further work in this area.


2014 ◽  
Vol 12 (1) ◽  
pp. 128-154
Author(s):  
Andreia Filipa Soares Passos Cardoso ◽  
Marko Torkkeli

Purpose – Low- and medium-technology sectors' (LMTs) role in modern economies has been overshadowed by the argument relating knowledge creation to R&D and thus to high-tech industries. Nevertheless, whereas a broader definition of innovation has enabled LMTs to emerge as innovative environments, a blind reliance on non-R&D-based indicators may be harmful too by neglecting LMTs' contribution to the development of cutting-edge, R&D-based knowledge. This paper aims to provide answers to the following questions: do LMTs innovate? Do they induce high-tech innovations across other sectors? Do networks have an impact on LMTs' innovation commitment? Can LMTs' innovation commitment be related to a better performance? Design/methodology/approach – The research method used in this work was based on a case study approach using in-depth face-to-face interviews with representatives from two footwear companies and one technology supplier. Findings – Collaboration with relevant stakeholders along the footwear value chain proved fundamental to the creation of innovation opportunities for all parties involved. Both footwear companies have embraced innovation strategies, allowing them to take over new functions along the value chain and build successful international paths. These strategies involved active participation in cutting-edge, high-tech knowledge prompting innovation at higher-tech companies too. Research limitations/implications – The paper fails to establish a clear causative relationship between companies' performance and their R&DI commitment. In addition, due to the number of companies involved in the study, the findings cannot be simply extrapolated to the whole Portuguese footwear sector. Originality/value – The paper highlights the commitment to innovation in a traditional sector and explores an underresearched topic – that of LMTs' involvement in R&D activities.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Christian Walsh ◽  
Paul Knott ◽  
Jamie Collins

Purpose Innovation is an essential process for growth and well-being of organisations and society in general but is difficult to manage successfully. Through a better understanding of the innovation mindsets as established strategists use them in practice, this paper aims to improve firms’ success rates of innovation. Design/methodology/approach To examine how innovation processes play out in dynamic environments, the authors undertook a longitudinal two-year multi-case study in the high-tech sector. Findings Strategists in this study showed distinct phases in their successful innovation journey with three dominant mindsets of curiosity, creativity and clarity. The curiosity phase includes actions focused on discovering and understanding the implications and significance of an opportunity. The creativity phase includes actions focused on creating and testing a wide range of options. The clarity phase consists of actions focused on resourcing and implementing change. Practical implications In adopting this framework for use in the field, the authors recommend strategists take time for discovering and getting to core understanding in the curiosity phase. They should then take action by creating and actively testing a broad range of solution ideas in the creativity phase. Finally, organisations need to take care with clear direction and communication when resourcing and implementing in the clarity phase. Originality/value This novel framework which emerged from the longitudinal field research describes the mindsets of innovation and how these are used at different phases in the innovation process.


2019 ◽  
Vol 11 (4) ◽  
pp. 600-617
Author(s):  
Harriman Samuel Saragih ◽  
Togar Simatupang ◽  
Yos Sunitiyoso

Purpose Previous work has asserted that the co-innovation process in the music business is composed of four stages, i.e. co-discovery, co-creation, co-delivery and co-capture. This study aims to re-examine and validate this proposed conceptualisation by gathering and interviewing additional respondents, specifically academics and professional event organisers, who were not formerly involved. By gaining more insight from different stakeholders, this study expects to gain more reliable results regarding the proposed concept derived from the previous study. Design/methodology/approach This study uses the case study method by carrying out qualitative interview data collection from 11 respondents. Narrative analysis is used in examining the findings. Pattern matching is used as the basis of the analysis using the proposed conceptualisation from co-discovery to co-capture of co-innovation as the rival analysis to the empirical findings discovered in this study. This paper also discusses how the validity and reliability of the qualitative analysis carried out are ensured. Findings This study supports the notion that the co-innovation process in the music industry follows the four stages of co-discovery, co-creation, co-delivery and co-capture. The respondents, from different professional backgrounds, interviewed in this study indicated and validated that the proposed framework aligns with their actual practices, expectations and realities, along with their specific roles in the music industry’s ecosystems. Practical implications The results of this study can be used as a reference in developing guidelines or policies for co-innovation practices in the music business, which previous studies have not explored, e.g. focusing only on preconditions for positive collaboration, open license and music for co-creation or discussions that are merely conceptual. Originality/value This study validates the co-innovation process in the music business proposed by the previous works, which integrates the value chain thinking concept within the analysis.


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