Management Development Institute - Gurgaon

Operations Management
Case 02:
Intel: Strategy Innovation
Management
OM
ID Name
Group
Case Presentation 1 20PGPIB002 Aayush Gupta

2 20PGPIB007 Aluri Venkat Akhil

3 20PGPIB014 Deep Shailesh Doshi

4 20PGPIB016 Dubey Ratnesh Balgovind

5 20PGPIB033 Rishika

6 20PGPIB042 Shubham Vashisth

Presentation Date:
Post Graduate Programme in International Business
PGPIB: 2020-22 Batch
Term: II (Oct -Dec 2020)
Background Strength & Strategy and Innovatio Manufacturin Development and Key TakeAways
Weakness Planning n g Marketing

AGENDA

01 Intel Background
02 Strength and Weakness

03 Strategy and Planning

04 Innovation

Development And
05 Manufacturing
06 Marketing

07 Key Takeaways
 Background Strength & Strategy and Innovatio Manufacturin Development and Key TakeAways
Weakness Planning n g Marketing

Intel Background
1968 1970 1971 1993 2001

Intel (Integrated Microprocessors are Arrival of Pentium Invents a new transistor

Intel invented DRAM
Electronics) Founded by invented by Intel Processor introducing TeraHz to the
chips
Robert Noyce and Gordon world
Moore
Mission and
Company Vision Motivation
concentrate on effective We engineer solutions for our
developments for the customers’ greatest challenges
manufacture of high with reliable, cloud to edge
quality products computing, inspired by Moore’s
Law.
 Background Strength & Strategy and Innovatio Manufacturin Development and Key TakeAways
Weakness Planning n g Marketing

STRENGTHES &
WEAKNESSES

Strengths Weaknesses
“Software Legacy” of CPU Technology , not
Intel really the performance
leader
Haven't been able to capture
Fanatical, unrelenting all the length and breadth of
attention to it the microprocessor market
manufacturing efficiency
Huge reserves of Cash Can't apply radically new
design since backward
compatibility is to be looked
at
 Background Strength & Strategy and Innovatio Manufacturin Development and Key TakeAways
Weakness Planning n g Marketing

CORE COMPETENCIES

● Intel has a rhythm to development ● High quality products with

of new products or improvement product, user and market led
of the existing ones. features.

● Huge investments in R&D and ● Only company that integrated

manufacturing. various teams to optimize the
output.
● Leverages the manufacturing
capability to bring product with ● Using innovation to create
speed and in volumes. competitive advantage.
 Background Strength & Strategy and Innovatio Manufacturin Development and Key Take-
Weakness Planning n g Marketing Aways

Strategy and Planning

Order Winners &
Primary Task Core Competencies Qualifiers
To engineer solutions • Tick-Tock strategy • Cost
for our customers’ • Technology • High quality
greatest challenges leadership products
with reliable, cloud to • Manufacturing
edge computing, • Software legacy
inspired by Moore’s
Law. Positioning Deploying Strategy

• Competing on Cost Being the technology

• Competing on Speed leader using the tick-tock
• Competing on Quality strategy, with the help of
• Competing on relentless innovation
Innovation
 Background Strength & Strategy and Innovatio Manufacturin Development and Key Take-
Weakness Planning n g Marketing Aways

Innovation
● Intel start working for delighters while it is performing as a satisfier for the market……..By the time
it’s competitors imitate and move it to dissatisfactions- Intel be ready with innovation
 Background Strength & Strategy and Innovatio Manufacturin Development and Key Take-
Weakness Planning n g Marketing Aways

PROJECT NEEDS ● Evidence shows that Intel's innovations, including the ones
leading to development of the TeraHertz chip(10x fast, no extra
power or heat), result from a four-step process
● Defining the problem
● “Right" people
● Eliminating barriers-R&D and
manufacturing,
● Balancing autonomy with guidance for
each project's researchers

Limited -Moore’s Law; elite scientists – Clean

room, Immediate testing; Micromanagement
Feedback

● Concentrate on effective developments for

the manufacture of high quality products

● University Research - $ 100 million in

200+ projects
● Corporate Venturing- Intel CAPITAL –
500+ investments- 'ecosystems
investments’
 Project Schedule Project Timeline Status Report Upcoming Report

Product Development
• Input from customers, software companies and Intel team
Blueprint • Outlines the functionality of the microchip

• A computer simulated chip of the design is created

Simulation • The chip is then tested using CAD (Computer Aided Design)

• After testing, the approved design goes into manufacturing

Manufacturing
 Background Strength & Strategy and Innovatio Manufacturin Development and Key Take-
Weakness Planning n g Marketing Aways

Manufacturing

01 02
Location was
Developed and launched determined by skilled
products faster than labour and market
competitors availability

03 04
Automated Process
Major focus on product
using sophisticated
quality and facility
robots
cleanliness
 Background Strength & Strategy and Innovatio Manufacturin Development and Key Take-
Weakness Planning n g Marketing Aways

DEVELOPMENT AND
MARKETING
Product-oriented developemnt
Intel’s mixed approach
Focuses on developing the production
It is essential for businesses to have a mix of both push and
process and the product itself using new
pull strategy in their product development and marketing
technology or innovation
phases. Intel combined the product innovation (push strategy)
Market-oriented development and market focused approach (pull strategy) to create ‘user
Iidentifies and analyses customer needs, centric’ products with latest technology that meets the needs
and then develops products which meet of customers
them

Push Strategy

Pull Strategy
 Background Strength & Strategy and Innovatio Manufacturin Development and Key TakeAways
Weakness Planning n g Marketing

Key Takeaway

WHERE WE ARE
Intel has been always keep its
R&D and Manufacturing
processes as the most
important part and have been
the Global leader in the market
for more half a century now.
WHERE WE WANT TO
BE
Being ahead of its rivals , Intel
continuously works towards
developing better technologies and
overcoming technological
limitations to uphold the Moore’s
Law.
Stay Tuned – Report abhi Baaki h mere
dost

THANKS!
“Shuru majboori mei kiye
the, ab maza aa raha hai”
~ Guddu
Bhaiya (Mirzapur)