Download as pptx, pdf, or txt
Download as pptx, pdf, or txt
You are on page 1of 11

Managing Innovation through

Research and Development


activities
Why R&D
Few examples of organizations
who spend heavily on R& D
• Intel
• Microsoft
• NASA
• P&G
• Apple
• Google
• Sun
• Audi/BMW/etc

R & D strategies
• Centralized
• Decentralized
• Outsource


Reasons for different
strategies
• Firm’s technology trajectory
• Degree of maturity of technology
• Risk appetite
• Core/non core


Corporate vs regional R &D
• Corporate focus: • Regional Focus:
aligned to  Operational
organization /Short term
vision/mission challenges
• Driven by • Driven by
technology competition
growth/radical
innovations •

Types of R&D activities
• Corporate R &D
• Group /Division R&D
• B U level R&D

Corporate R&D
• Time Horizon : ~ 10 yrs
• Monitoring major scientific
developments
• Knowledge building
• Long term /Strategic in nature
• Ex:
– Fizer
– Tata motors/ Bajaj auto

Group /divisional R &D
• Time horizon : ~ 5 years
• Exploit divisional
brand/product/services offerings
• Ex: Pepsi,Unilever, P &G

Business Unit level R &D
• Time horizon : ~2 yrs
• Cost/time/quality/flexible
• Highly focused
• Short concept-to-devlop time
• Ex: Britannia, ITC,Dabur

You might also like