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Overview of the Field

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Title: Overview of the Field


1
lt2014 Spring Seminar on Technological Innovationgt

Session 2. Overview of the Field
2014. 3. 11
??? ???, ???, ???
2
Contents
1. Introduction 2. Summary Discussion
(1) Nelson, R Winter, S.(1977), In search of
useful theory of innovation, Research
Policy(5), 36-76 (2) Pavitt, K.(1984),
Sectoral Patterns of technical change Toward a
taxonomy and a theory, Research Policy,
13(6), 343-373 (3) Kuhn, T. S.(1970), The
Structure of scientific revolutions(2d ed.).
Chicago University of Chicago Press,
Chapter 2 and 7 (4) Van de Ven, A.
H.(1986), Central Problems in the management of
innovation, Management Science, 32(5),
590-607 3. Implication Concluding Discussion
3
ltsession 2 overview of the fieldgt
Introduction
4
1. Introduction
? Peter Drucker "Innovation is the fuel of
corporate longevity. It endows resources with
a new capacity to create wealth."
? Joseph A. Schumpeter - Creative
destruction ... The fundamental impulse that
sets and keeps the capitalist engine in motion
comes from the new consumers goods, the new
methods of production or transportation, the new
markets, the new forms of industrial organization
that capitalist enterprise creates. ...
incessantly revolutionizes the economic structure
from within, incessantly destroying the old one,
incessantly creating a new one. This process of
Creative Destruction is the essential fact about
capitalism. It is what capitalism consists in
and what every capitalist concern has got to live
in.
5
1. Introduction
Key concepts
  • Theory of Innovation
  • Uncertainty of Innovation
  • Technological regime
  • Technical change / Taxonomy
  • Technology push vs. Demand pull
  • Product vs. Process Innovation
  • Diversification
  • Normal science / Paradigm shift / Science
    Revolution
  • Technology trajectory
  • 4 Factors 4 central problems in the management
    of innovation

6
ltsession 2 overview of the fieldgt
Nelson, R Winter, S.(1977) In search of useful
theory of innovation, Research Policy(5), 36-76
??? ???
7
2-1. Summary Introduction
Purpose of the PAPER
  • The theory integrates existing knowledge, and
  • enables predictions to go beyond the
    particulars of what has been observed.
  • The theory must be wide enough to encompass and
    link the
  • relevant variables and their effects, and
    strong enough to give guidance
  • as to what would happen if some of these
    variables changed.

Two premises of the current dialogue innovation
  • The technological advance has been a powerful
    instrument of
  • human progress in the past.
  • We have the knowledge to guide that instrument
    toward high priority
  • objectives in the future.

8
2-1. Summary THE STATE OF CURRENT UNDERSTANDING
The economists' model of differential
productivity growth
  • Kendricks study
  • - concerned with explaining cross sectoral
    differences in growth of total factor
  • productivity, rather than output per worker.
  • Mansfields study (dealt only with manufacturing)
  • - was focused in the relationship between growth
    of total factor productivity
  • and R D spending
  • Leonards study (dealt only with manufacturing)
  • - separation of RD spending financed by the
    industry itself,
  • and RD spending done in an industry but
    financed by government.
  • Brown and Conrads study (dealt only with
    manufacturing)
  • - include in their regressions a measure of RD
    done by other industries
  • and embodied in the intermediate goods
    purchased by the industry
  • Terleckyjs study
  • - considers nonmanufacturing industries as well
    as manufacturing industries.
  • - distinguishes between research and development
    embodied in
  • capital equipment, and in intermediate inputs

9
2-1. Summary THE STATE OF CURRENT UNDERSTANDING
Building blocks for a broader theoretical
structure
  • Two of these facts indicate that it is not
    promising to use the theoretical
  • structure behind the productivity growth
    studies as a starting point.
  • ? innovation involves uncertainty in an
    essential way.
  • ? the institutional structure for innovation
    often is quite complex
  • within an economic sector, and varies
    significantly between economic sectors.

10
2-1. Summary THE GENERATION OF INNOVATION
The profit maximization hypothesis and its
limitations
  • The key concept is that of an innovation
    possibility set associated with
  • a given level of expenditure, or with
    different elements associated with costs
  • of different amounts. Firms are assumed to
    choose the profit maximizing
  • element.
  • In many cases, the organizations doing RD are
    not motivated by
  • profits at all, but are governmental, or
    private not-for-profit institutions.

RD strategies and probabilistic outcomes
  • An RD project can be viewed as interacting
    heuristic search processes.
  • Since project selection implies project
    heuristics, an RD strategy can be
  • viewed as defining a probability distribution
    of number and kinds of
  • innovations, given certain variables that
    influence project selection and
  • project outcome.
  • RD strategies can be dichotomized into these
    two. The first strategy
  • has been named demand-pull the second
    capabilities-push.

11
2-1. Summary THE GENERATION OF INNOVATION
RD strategies and probabilistic outcomes
  • If strategies can be so dichotomized, demand-pull
    is by far the more common of the two.
  • Further, when applied, demand-pull is more
    likely to result in a commercially
  • successful project than a strategy of
    capabilities-push.
  • However, capabilities-push selected projects,
    when they do pay off, pay off
  • handsomely.

Natural trajectories
  • Marginal changes in external conditions influence
    at most the ranking in
  • terms of profitability of the set of
    profitable projects associated with
  • pushing technology in a particular direction.
  • Relating to technicians beliefs about what is
    feasible or
  • at least worth attempting
  • ?? ?? ??? ????? ??? ?? ???? ??? ????? ?

12
2-1. Summary THE SELECTION ENVIRONMENT
Elements of the selection model
  • The selection environment influences the path of
    productivity growth
  • generated by any given innovation, and also
    it feeds back the influence
  • strongly of the kinds of R D that firms and
    industry will find profitable
  • to undertake.
  • Two roughly distinct kinds of mechanisms for the
    spread of a
  • profitable innovation.
  • ? greater use of an innovation by the firm
    that first introduces it
  • ? imitation
  • general model of the selection environment can be
    built from specification of
  • these three elements the definition of
    worth or profit that is operative for
  • the firms in the sector, the, manner in which
    consumer and regulatory
  • preferences and rules influence what is
    profitable, and the investment and
  • imitation processes that are involved.

13
2-1. Summary THE SELECTION ENVIRONMENT
The market as a selection environment
  • Successful innovation leads to both higher profit
    for the innovator and
  • to profitable investment opportunities.
  • Imitation by a competitor of a process innovation
    is likely to occur relatively
  • rapidly, and to be encouraged by a marketing
    supplier, rather than being
  • retarded by a patent.
  • Both expansion of the innovator, and imitation by
    competitors are essential
  • to the viability of Schumpeterian process.

Nonmarket selection environment
  • the motivations of the firms in a nonmarket
    sector cannot simply be
  • presumed to be monetary profit.

14
2-1. Summary THOUGHTS ON THE EFFECTS OF
INSTITUTIONAL STRUCTURE
Two critical requirements for a theory
  • Be treated as inherently stochastic
  • be capable of encompassing considerable
    institutional complexity and variety.

Two major theoretical proposals
  • modeling innovation generation as the conditional
    probabilistic outcome of
  • various R D strategies, and modeling the
    fate of an innovation in terms of
  • the workings of a selection environment

15
2-1. Discussion
???? ???? ??? ?? ???? ??? ??? ??? ???? ???
Steve seemed to say that Apples innovation
strategy based on capabilities-push rather than
demand-pull. Do you agree with him?
16
2-1. Discussion
Nelson Winter said that imitation by a
competitor of a process innovation is likely to
occur relatively rapidly, and to be encouraged by
a marketing supplier, rather than being retarded
by a patent. What do you think the difference
between imitation and innovative imitation?
17
ltsession 2 overview of the fieldgt
Pavitt, K.(1984), Sectoral Patterns of technical
change Toward a taxonomy and a theory,
Research Policy, 13(6), 343-373
??? ???
18
2-2. Summary
Overview
  • Purpose
  • to explain similarities and differences amongst
    sectors in the sources, nature and impact of
    innovations
  • Economic development and social changes
    essential factors production, adoption and
    spread of technical innovations
  • Technical innovation is a distinguishing feature
    of the products and industries where high wage
    countries compete successfully on world markets
  • Data base
  • Volume-2,000 significant innovations and of
    innovating firms in Britain
  • Period 19451979 (collected by Townsend et al.)
  • Sample of innovations 3, 4 digit product groups
  • Experts in different sectors
  • Approach and structure
  • A series of statistical tests
  • Econometric analysis

19
2-2. Summary
Analysis of the data
  • Information in the data bank
  • Source of the main knowledge inputs into the
    innovation were identified by asking the sectoral
    experts
  • Information on the sectors of production of
    innovations come from the sectoral experts
    (process innovation, product innovation)
  • Information on the size and principal sector of
    activity of innovation firms
  • Information on the principal activity of
    innovation firms (diversification)
  • Innovation in the data base
  • The sector of production of the innovation
  • The sector of use of the innovation
  • The sector of the innovating firms principal
    activity.
  • ? In the sectoral patterns of technological
    diversification
  • to compare sectors in terms of
  • The sectoral source of technology used in a
    sector
  • The institutional source and nature of the
    technology produced in a sector
  • The characteristics of innovating firms

20
2-2. Summary
Sectoral technological trajectories
  • Three characteristics Sources of technology,
    Users needs, Mean of appropriating benefits

21
2-2. Summary
A taxonomy and a theory of sectoral patterns of
technical change
Relatively small proportion of innovative
activity devoted to product innovations (Percentag
e of Product innovation)
High degree of dependence on external sources
for process technology
Relatively small average size of innovating firm
Technological diversification mainly vertically
into production technology with very little
movement into other product markets
Relatively big contribution to innovations in the
sector by firms with their principal activities
22
2-2. Summary
Pavitt taxonomy
  • Four category of firms
  1. Supplier dominated firms are typically small and
    found in manufacturing and non-manufacturing
    sectors. Most technology comes from suppliers of
    equipment and material.
  2. Scale intensive firms are found in bulk materials
    and assembly. Their internal sources of
    technology are production engineering and RD
    departments. External sources of technology
    include mainly interactive learning with
    specialised suppliers, but also inputs from
    science-based firms are of some importance.
  3. Specialised suppliers are small firms, which are
    producers of production equipment and control
    instrumentation. Their main internal sources are
    primarily design and development. External
    sources are users (science based and
    scale-intensive firms).
  4. Science based firms are found in the chemical and
    electronic sectors. Their main internal sources
    of technology are internal RD and production
    engineering. Important external sources of
    technology include universities, but also
    specialised suppliers.

23
2-2. Summary
Technological Linkage
  • The main technological linkages amongst different
    categories of firm

Supplier Dominated Firms
Scale-intensive Firms
Science-based Firms
Specialised Equipment Suppliers
24
2-2. Summary
Analytical implication
  • Science and technology push vs. demand pull

- The close relationship between investment in
user sectors and innovative activities in
upstream capital goods(Schmooker, Scherer) -
Investment activities in supplier dominated and
production intensive firms are likely to
stimulated innovative activities in both the
productions engineering departments of user
firms, and the upstream firms supplying capital
goods. - Not expect Science-based firms a
similarly neat and lagged correspondence between
the volume of investment in user sectors and
of innovative activities. - Scherer found that
in materials sectors, in contrasts to capital
goods, the statistical relationship between
the volume of innovative activities and of
investment in user sectors is much weaker
25
2-2. Summary
Analytical implication
  • Product vs. process innovation

- The relative importance of product innovation
in a sector to be positively associated with
its RD and patent intensity - Negatively
associated with proxy measures of the scale and
complexity of its process technology (its
capital/labour ratio, average size of production
plant, or sales concentration ratios). -
Appendix Table11 E1, E2, E3
26
2-2. Summary
Analytical implication
  • The locus of process innovation

- Supplier-dominated firms will be small in size
and innovations to come by definition from
suppliers - In sectors with production intensive
firms and plan to be large in size, and a
high proportion of process technology to be
generated in-house - Appendix Table11 E4
27
2-2. Summary
Analytical implication
  • Diversification

- The relative importance of upstream(i.e.
vertical) technological diversifications into
sectors supplying equipment is likely to be
negatively associated with RD intensity -
Positively associated with the scale and
complexity of production technology - understand
the links at the level of the firm between firm
strategy and RD strategy - Appendix Table11 E5
28
2-2. Summary
Future perspectives
  • Needs to be tested on the basis of complete
    sectoral coverage of
  • the characteristics of innovations in
    Britain.
  • Needs to be modified and extended
  • Have a variety of uses for policy makers and
    analysts
  • Turn out to have more powerful uses
  • Contain one obvious and important warning for
    both practitioners of
  • policies for technical change, and academic
    social scientists concerned
  • with is conceptualisation.

29
2-2. Discussion
Adoption in recent technology trend
  • Archbugi, D.(2001), Pavitts Taxonomy sixteen
    years on A Review Article

FIGURE Phases of Capitalist Development and
Pavitts Categories of Firms
  • Is it possible to adopt in recent technology
    trend?

30
2-2. Discussion
Applying the Pavitt taxonomy
  • Laursen, K. Meliciani V. (1999),
  • The Importance of Technology
  • based Inter-sectoral Linkages for
  • Market Share Dynamics
  • Category of Firm
  • Supplier dominated(SDOM)
  • Scale intensive(SCAI)
  • Specialised suppliers(SPEC)
  • Science based(SCIB)

31
2-2. Discussion
Applying the Pavitt taxonomy
  • IPC(International Patent Classification)
    KSIC(Korean Standard Industrial Classification)

Supplier dominated(SDOM) Specialised suppliers(SPEC)
???? ??? ???? ???
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?? ? ???? ??? ???? ???
??, ?? ? ???? ??? ?? ???
???, ?? ? ????? ??? ?? ? ???? ???
??? ???? ??? ??, ??, ?? ? ????
???? ??? ????? ? ??????
??
Scale intensive(SCAI) Science based(SCIB)
???? ??? ?????? ???
?? ??? ??? ? ?? ?? ???
?? ? ???? ??? ??, ???, ??? ? ???? ???
???? ? ?????? ??? ??? ?? ? ??? ???
1? ?? ??? ??, ??? ??? ???
?????? ??? ?? ?? ???? ???
??? ??? ???? ???
?? ???? ??? ????, ??? ???
?? ? ?? ?? ??? ???? ???
???? ???
?? ? ???? ???
??? ?? ???
  • Category of Firm
  • Supplier dominated(SDOM)
  • Scale intensive(SCAI)
  • Specialised suppliers(SPEC)
  • Science based(SCIB)

source ????? ???????? ??? ??? ?? ??(??)
32
2-2. Discussion
Applying the Pavitt taxonomy
  • GICS(Global Industry Classification Standard)

Category of Firm Supplier dominated(SDOM),
Scale intensive(SCAI), Specialised
suppliers(SPEC), Science based(SCIB)
???? ??? Pavitt Taxonomy ???? ??? Pavitt Taxonomy
??? ??? SDOM ???? ??????? ? ?? SCIB/SPEC
?? ?? SCIB ???? ?? ? ???? SCIB
??? ??? ?? ??
??? ??????? ?? ???? ??
??? ?? SCAI ?? ??
????? ??? ? ?? SCAI ?? ???
????? ????? ? ?? SCAI/SDOM ???? ????? ? IT??? SPEC
????? ??? ??? ???? ???? ? IT?? SCIB
????? ??? SCIB ???? ??? ? ????? SCIB
????? ?? ????? ????? SCIB
????? ??? ?? ???? ????
????? ??? ?? SCAI ???? ????
????? ?? ? ???? ???? ????
source ?????????(www.krx.co.kr)
33
2-2. Discussion
Source of Innovation(Technology push vs. Demand
pull)
  • Giada Di Stefano, G. D et al.(2012), Technology
    push and demand pull perspectives
  • in innovation studies Current findings and
    future research directions,
  • Research Policy, 41, 1283-1295
  • - a detailed review of academic articles
    dealing with the sources of innovation
  • Factor 1(Technology and Competences for
    Innovation)
  • Factor 2(New Product Development and Market
    Learning)
  • Factor 3(Demand and User Innovation)
  • Factor 4(systems of innovation the system
    perspective centered on customers).
  • Factor 5(Technology Diffusion and Adoption)
  • What is your perspectives
  • in your interesting
  • fields/sectors?

34
ltsession 2 overview of the fieldgt
Kuhn, T. S.(1970), The Structure of scientific
revolutions(2d ed.). Chicago University of
Chicago Press, Chapter 2 and 7
??? ???
35
2-3. Summary Chapter2. The route of normal
science
Normal science
  • ???? ??? ?? ??? ??? ??? ??? ??? ? ?? ??
  • ?? ?? ?? ??? ??? ?? ?? ?? ??? ? ?? ??? ???
  • ?? ??? ???? ??? ???? ?
  • - ?? ???, ?????, ?????, ??, ???, ??, ??? ?
  • ?? ?? ??? ??? ?? ??? ?? ?? ??? ?? ????? ???
  • ???? ???? ???? ?? ???? ????? ????? ??

36
2-3. Summary Chapter2. The route of normal
science
Paradigm
  • ?? ??? ??-??-??-??-??-??? ?? ??? ???? ?
  • ?? ??? ???
  • ????? ??? ??? ???? ?? ??? ?? ??? ??? ?? ??? ??
    ??? ???? ??? ??
  • ? ?? ??? ?? Achievement
  • ?? ??? ?? ??? ?? ? ?? ???? ?
  • ?? ??? ???? ??? ??? ??? ????? ?? ?? ?

37
2-3. Summary Chapter2. The route of normal
science
Paradigm
  • ??
  • - ?? ??? ???? ?? ???? ?? ??? ??
  • - ??? paradigm???? ??? ??? ?? ??
  • - ?????? paradigm? ??????? ??? ???????? ??
  • ??????? ???? ??? ??? ????? ???? ?? ??
  • ?
  • - ???????? ???
  • - ???????? ??
  • - ????

38
2-3. Summary Chapter7.Crisis and Emergence of
Scientific Theories
Paradigm ??
  • ????? ??? Paradigm? ?? ?? ???? ?? ???
  • Paradigm? ?? ??? ?? ????? ???? ???? ???
  • ????? ????
  • ??? ??? Normal science? ????? ?? ?? ????? ?????
    ???? ??? ????? ???? ??? ??
  • - ??? ?? ???? ??? ?? ??
  • - ?? paradigm? ?? ??? ?? ??? ??
  • ??? ?? ??
  • - ?? ??? ?? ??
  • - ??? ??? ???? ??, ???? ????? ??? normal
    science ?
  • ???? ?? ??? ???? ?? ???? ?? ?? ??? ???? ?
  • - ??? ??? ??? ?? ?? ????? ??? ?? ?? ??, ?? ??
  • ???? ??? paradigm? ???? ? ??? ?? ???? ??

39
2-3. Summary Chapter7.Crisis and Emergence of
Scientific Theories
Paradigm ??? ?
  • ??????
  • 1) ???? ?? ?? ??? ??
  • 2) ?? ??? ?? ??? ??,
  • 3) ???? ??? ??
  • ?????? ?? ??? ??? ???? ??
  • 1) ????? ??? ?? ??? ?? ??18?? ????? ??? ??
  • ????? ?? ???? ????? ?? ?? ??? ???
  • 2) 1756?? ??? ??? ??? ??? ??(?????)? ??? ??
  • ???? ????? ?? ????? ?, ? ?? ?? ??? ??
  • ? ?????? ??? ?? ??? ?????
  • ??? ??? ????? ?? ????? ?????? 19?? ??
  • ??? ?? ?
  • - ??? ?? ??? ?? ??? ??? ????? ?? ??? ???
  • ?? ???? ?? ??? ? ???. 19?? ? ?? ? ?? ????
  • ??? ?? ??? ??? ?? ? ? ??? ????? ??

40
2-3. Discussion
????(normal science)? ????(paradigm)? ??? ?? ???
????
  • ????? ??? ?? ??? ??? ??? ??? ??? ? ?? ???
  • ??? ????? ??? ?? ??? ?? ?????? ??? ?????
  • ??? ?? ? ?? ?????? ??? ?? ??? ???? ?????
  • ??? ??? ????? ?? ?? ?? ??? ???? ???.
  • ? ? ?? ??? ?? ??? ??????? ???.

????? ?? ? ? ?? ????? ????? ??? ????? ????? ???
???? ????? ??????? ???? ?????
41
2-3. Discussion
????? ??? ???? ??? ??? ????? ???? ?? ?? ?????
??? ????? ??? ????? ????? ?? ???? ?? ??? ??????
? ? ????
??? ??? ??? ?? ?? ????? ??? ??? ? ??? ??? ????.
?? ??? ?? ??? ? ? ?? ????? ???? ?? ??? ??? ?? ??
??? ???? ?? ??? ????? ?? ? ??? ??. ??? ??? ??????
Paradigm shift? Technological Innovation ??? ????
???? ??? ??? ? ????
42
ltsession 2 overview of the fieldgt
Van de Ven, a. H.(1986), Central Problems in the
management of innovation, Management
Science, 32(5), 590-607
??? ???
43
2-4. Summary Introduction
1980s
  • In the wake of a decline in American productivity
    and obsolescence of its
  • infrastructure
  • The need for understanding and managing
    innovation
  • Stimulating innovation in popular books,
    Ouchi(1981),Pascale and Athos(1981)
  • 30 chief executive officers public and private
    firms
  • 1. How can a large organization develop an
    maintain a culture of
  • innovation and entrepreneurship
  • 2.What are the critical factors in successfully
    launching new organizations?
  • 3.How can a manager achieve balance?

44
2-4. Summary Introduction
Innovation is to understand the factors that
facilitate and inhibit, the factors include
ideas, people, transactions and context over time.
45
2-4. Summary Factors(1)
New ideas-Human problem of managing attention
  • Innovation Ideas
  • - is a new idea, which may be a recombination of
    old ideas, a scheme that
  • challenges the present order, a formula, or a
    unique approach which is perceived
  • as new by the individuals involved(Zaltman,
    Duncan, and Holbwk1973)
  • - technical innovations(new technologies,
    products, services)
  • - administrative innovations(new procedures,
    policies, organizational forms)
  • innovations or mistakes
  • - (1) How and why certain innovative ideas gain
    good currency?
  • - (2) How and why people pay attention to only
    certain new ideas and ignore?

46
2-4. Summary Factors(2)
People-Process problem in managing new ideas
into good currency
  • The management of ideas
  • - People become attached to ideas
  • over time through a social-political
  • process of pushing and riding their
  • ideas into good currency.
  • Limitations to inertia and premature abandonment
    of some ideas
  • There tends to be a short-term problem
    orientation in individuals and organizations, and
    a façade of demonstrating progress.
  • Inventory of ideas is seldom adequate for the
    situation
  • Even more basic problem is the management of
    attention

47
2-4. Summary Factors(2)
People-Process problem in managing new ideas
into good currency
  • The management of attention
  • - A more realistic view of innovation should
    begin with an appreciation of the
  • physiological limitations of human beings to
    pay attention to nonroutine issues,
  • and their corresponding inertial forces in
    organizational life.
  • Physiological limitations of human beings
  • Group and organizational limitations
  • Way to management attention
  • ? direct personal confrontations with
    problem
  • ? triggering the action thresholds of
    organizational participants
  • ? channeling the action toward constructive
    ends

48
2-4. Summary Factors(3)
Transactions-Structural problem of managing part
whole relationships
  • Proliferation of ideas, people, and transactions
    over time is a pervasive but little
  • understood characteristic of innovation
    process, and with it come complexity
  • and interdependence-and the basic structural
    problem of managing
  • part-whole relations
  • An Innovation is a collective achievement.
  • The transactions are deals or exchanges
  • which tie people together within an
  • institutional framework.
  • The organizational design for a process for
  • integrating all the essential functions,
  • organizational units, and resources.

Fig 2. Linear sequential coupling compared with
simultaneous Coupling of knowledge(Galbraith,
1982)
49
2-4. Summary Factors(3)
Transactions-Structural problem of managing part
whole relationships
  • Four inter-related design holographic
    organizations, principles have been
  • suggested by Morgan(1983)
  • Self-organizing To solve its problems within an
    overall mission and set of
  • constraints prescribed for the unit by the
    larger organization.
  • 2) Redundant functions People develop an
    understanding of the essential
  • considerations and constraints of all
    aspects of the innovation in addition to
  • chose immediately needed to perform their
    individual assignments.
  • 3) Requisite variety
  • Making environmental scanning a responsibility
    of all unit members.
  • 4) Temporal linkage
  • Integrating parts of time(past, present, and
    future events) into an overall
  • chronology of the innovation process

50
2-4. Summary Factors(4)
Institutional context-Leadership and innovation
context
Figure 3. Institutional and technical
processes(Lodahl and Mitchell, 1980)
51
2-4. Summary Conclusion
From a managerial viewpoint, to understand the
process of innovation
1) How do innovations develop over time? 2) What
kinds of problems will most likely be
encountered? 3) What responses are appropriate
for managing problems
Four basic concepts and four central problems
Three cybernetic principles
52
2-4. Discussion
How can we interpret 4 factors and 4 central
problems in this paper with the structure of
scientific revolutions?

53
2-4. Discussion
Recently, many firms conduct open innovation
through collaboration with other innovation
actors. Many researchers interest in performance
of cooperation among subjects participation. How
they do these kinds of cooperation?

54
ltsession 2 overview of the fieldgt
Implication Concluding Discussion
55
3. Implication Concluding Discussion
Innovation, Technical change, Paradigm Shift
  • Technical innovation is a distinguishing feature
    of the products and industries
  • where high wage countries compete
    successfully on world markets.
  • Innovation is defined as the development and
    implementation of new ideas
  • by people who over time engage in transactions
    with others
  • within an institutional context.
  • Normal Science Paradigm Science Revolution

Management of Innovation
  • Technology push vs. Demand pull
  • Product vs. Process Innovation / Diversification
  • Technology trajectory / Taxonomy
  • 4 Factors and 4 central problems

56
3. Implication Concluding Discussion
User-Led Innovation Model
  • Innovation process User roles in technological
    innovation
  • Source of Innovation

(e.g. open source software, club community)
Themke, s. and von Hippel, E.(2002), Customers
as Innovators A new Way to Create Value,
Harvard Business Review,
57
3. Implication Concluding Discussion
Human-centered Innovation
  • Now? How?

Technology
Human
Context
Human-centered Innovation
58
3. Implication Concluding Discussion
Interpreting in an open innovation point of view
  • Linked to Sectoral patterns of technological
    innovation
  • 4 factor and 4 central problems

Chesbrough(2003 2006)
59
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