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It has been a concern about the possibility of resource scarcity over the decade among every stakeholders from experts to business players (World Economic Forum 2014). Due to limited resources and substantially increasing world population, companies especially in the manufacturing sector has been confronting a significant issue to increase productivity in order to meet growing demand while exploiting fewer resources (Geyer et al. 2003; Foresight 2013; Heck et al. 2014). Efficiently managing resources within the company is one of the most important solutions to reduce the demand for resources and also can generate cost saving for the company (Heck et al. 2014; OECD 2017). However, in a big multi-division company, there is a constraint where duplicate efforts exist.
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Technological core competencies play a major role in competitive advantage of many multi-business companies (Mitchell 1986; Christensen 1998; Betz 2011). However, corporation growth leads to dispersal of their technological capabilities all over the group; thus, it is necessary to manage cooperation at the corporate level to avoid parallel efforts and improving synergies (Ayal 1986; Argyres 1995; Christensen 1998).
Competitive advantage of a multi-business diversified company usually is latent in some relationships between different business units (BUs). Prahalad and Hamel (1990) advocate that diversified corporations should not be seen just as a portfolio of discrete businesses but as a collection of competitively important competencies that could be used in different products and markets. Technology may be considered as one of the most important of these competences (Vannoni, 2003). Thus, diversification is not related just to the business portfolio of large corporations but also to their usual multitechnology characteristic (Torrisi and Granstrand, 2004). Although multi-business groups need a comprehensive and overall plan for management of their technological capabilities, there is little research focused on corporate-level technology strategy (Edler et al., 2002 ; Arasti et al., 2010).
A roadmap is a document that describes a future environment, objectives to be achieved within that environment, and plans for how those objectives will be achieved over time (Albright & Kappel 2003; Cosner et al. 2007; Albright 2003)
Roadmaps may have widely varying objectives [4], but should answer a common set of “why-what-how-when” questions to provide an action plan for reaching the objective – all within a common, four part architecture. Within this architecture, structural details are presented for several types of roadmaps, showing how the common format can accommodate a wide range of objectives.
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Knowledge Gaps:
How to select and customize the right TRM process and architecture to meet an organization’s objective? (Vatananan & Gerdsri 2012)
Research Opportunities:
A multi-business corporation will have related product lines, serving similar markets or using similar technologies in multiple markets. With completed roadmaps, teams may collaborate in cross-roadmap reviews to identify common technology needs where collaboration can yield benefit to both groups, gaps or needs in one development plan that can be met by actions in another, or strengths in one plan that can benefit another. Crossroadmap reviews may be undertaken where the business has multiple horizontal businesses using similar technology to serve multiple markets. In these cases, the primary objective is identification of common needs or strengths that can be applied in multiple businesses. Where the corporation has several businesses arrayed vertically to serve a single market, (for example, where a product line of components is used in a second product line), a crossroadmap review can identify areas for collaboration to create unique competitive advantage for the corporation. Roadmaps also enable databases for use across the corporation. Individual roadmaps contain important data for their product line. When documented in a common format and stored in a database, roadmaps enable corporate planning across the product lines. For example, a database of technologies enables new product lines to incorporate technologies already developed and Figure 6.—A risk roadmap identifies the key risks to successful execution of the roadmap. March—April 2003 39 available. A database of competitive product information and performance targets enables product lines to compare performance and identify potential threats from substitution.
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(Knoll 2008; Martin & Eisenhardt 2001)
(3) Comparison of efficiency and growth synergies (Knoll 2008; Martin & Eisenhardt 2001) While efficiency synergies and growth synergies are both classes of operative synergies, they appear to be largely different phenomena. Figure 3-2 compares their characteristics.
The primary effect of efficiency synergies is reduced costs due to cost subadditivities across businesses, while the primary effect of growth synergies is profitable growth due to valuable revenue superadditivities across businesses. The primary value driver of efficiency synergies is increased operational efficiency from centralizing or transferring similar operative resources across businesses (e.g., shared IT system, transferred best-practice in production). In contrast, the primary value drivers of growth synergies are increased customer utility and innovation from combining resources across businesses to address external market opportunities (e.g., new integrated solution based on components from different businesses). Furthermore, efficiency synergies are rather static as they share common resources over long periods of time (e.g. ongoing sharing of an IT system), whereas growth synergies are rather dynamic as they combine resources to exploit temporary market opportunities (e.g., integration of components into a solution to exploit market opportunities).
While different, cost and revenue synergies are not mutually exclusive. They frequently occur together. For instance, a shared sales force (efficiency synergies) may support the sale of solutions that resulted from combining resources across businesses (growth synergies).
Linkage between Corporate-level Technology Strategy vs Roadmap
The linkage and alignment of technology and overall strategies at BU level is relatively rich in strategy and technology management literatures and scholars have introduced different frameworks, models, and decision tools for this purpose considering positioning or resource-based approaches (Vernet and Arasti, 1999; Chiesa, 2001; Christensen, 2002 ; Pieterse and Pretorius, 2005). Such a linkage at the corporate level is a prerequisite for achieving growth goals (Bellotti, 1994; Hax and Majluf, 1996; Ryan, 1996 ; Berry and Taggart, 1998Zahra et al., 1999; Christensen, 2002; Hipkin, 2004; Lenz, 2004 ; Larsson, 2005). However, few researches have investigated the relationship between diversification of businesses and technologies (Patel and Pavitt, 1997 ; Granstrand et al., 1997).
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Corporate-level technology strategy content: basic elements | A | B | C | D | E | F | G | H | I | J | K | L | M | N |
Corporate strategic technology portfolio analysis (22, should be in 3) | A | A | A | A | A | A | A | A | A | A | A | A | A | A |
Mode and Level of technology acquisition (make/buy 22, rout to m&a on TRM) | A | A | A | A | A | A | A | A | A | |||||
Priority, rate, and level of investment (22, financial) | A | A | A | A | A | A | A | |||||||
Synergy making and horizontal technology strategy (linking, TRM) | A | A | A | A | ||||||||||
Organizing of technology management (ISEAP) | A | A | A | A | A | A | ||||||||
Timing (mostly TRM) | A | A | A | A | A | A | A | A | ||||||
Level of acquisition (System map) | A | A | A | A | A | A | ||||||||
Integration and technological collaborations (collaborative model) | A | A | ||||||||||||
Intellectual properties protection strategy () | A | |||||||||||||
Priority of common technologies (Linking, TRM) | A | A | ||||||||||||
Human resource needs | A |
Corporate-level technology strategy content: basic elements | A | B | C | D | E | F | G | H | I | J | K | L |
Corporate strategic technology portfolio analysis | A | A | A | A | A | A | A | A | A | A | A | A |
Mode of technology acquisition | A | A | A | A | A | A | ||||||
Priority, rate, and level of investment | A | A | A | A | A | A | ||||||
Synergy making and horizontal technology strategy | A | A | A | A | ||||||||
Organizing of technology management | A | A | A | A | A | |||||||
Timing | A | A | A | A | A | A | A | |||||
Level of acquisition | A | A | A | A | A | A | ||||||
Integration and technological collaborations | A | A | ||||||||||
Intellectual properties protection strategy | A | |||||||||||
Priority of common technologies (shared services and supporting technologies) | A | A | ||||||||||
Human resource needs | A |
(Adapted from (Arasti et al. 2016; Arasti et al. 2010; Dasgupta 2013; Cooper & Edgett 2010))
4 Types of Integration:
This situation has been
recognised by (Foden & Berends 2010), who state that management tools are often “presented and used in isolation or without sufficient integration with other tools”. Furthermore, (Phaal et al. 2006)stress that “most management tools cannot be applied in isolation, as they cannot alone address all of the issues in complex management situations. Tools need to be able to link to other tools”.
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Chandler (1962) and Williamson (1975) discuss the following roles of corporate headquarters in an M-form firm: (1) monitoring divisions’ performances and auditing their activities, (2) allocating resources across divisions on the basis of perceived merit, and (3) strategic planning, notably for acquisitions, divestitures, and ‘long-term investments’.
Not only are important emerging manufacturing research domains intrinsically multidisciplinary, but new science and engineering breakthroughs also have the potential to change the dynamics of competitiveness across and within industries (OECD, 2016).
Solutions to industrial challenges driving productivity and industrial competitiveness will increasingly come from combinations of technologies and involve multiple research domains (OECD, 2016; O’Sullivan, 2011). For example, making next-generation aircraft lighter, quieter and more fuel efficient will require integrated R&D efforts across areas such as high fidelity aerodynamic models, additive machining, advanced composite materials, advanced high-rate airframe production systems, advanced systems integration,advanced batteries and fuel cells, among others (AGP, 2013; NASA, 2016).
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The research methodology for researching manufacturing strategy comprises three stages (Platts 1993):
Stage 1: Developing the framework
During this phrase, it is of utmost importance to ensure that the framework is properly built based on existing theory.
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Stage 2: Evaluating the framework
Management Representations and Approaches: exploring issues surrounding frameworks
The following ‘representations’ are concerned with the conceptualisation of management issues.
Representations Definitions
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The following ‘approaches’ are concerned with practical (applied) problem solving in the management context.
Approaches Definitions
Process: A process is an approach to achieving a managerial objective, through the transformation of inputs into outputs.
Procedure: A procedure is a series of steps for operationalising a process.
Technique: A technique is a structured way of completing part of a procedure.
Tool: A tool facilitates the practical application of a technique.
Enablers for integrating roadmaps
People
Process
Environment
Data
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Mainly based on the Roadmapping Roadmapping framework which is developed by Dr. Rob Phaal for , and the integrated technical planning process by Cosner, the framework below was developed with the 5 factors taken into consideration.
The framework was divided into 3 steps: Know-why (purpose), Know-what (delivery), and Know-how (resource). The critical first step is to know why the integrated technical planning is needed. The goals for integration should be established (Cosner et al. 2007; Phaal 2017). It is crucial to have an agreement on theses goals in order to prevent unplanned growth in scope, which sometimes leads to the failure of the process (Cosner et al. 2007).
Knowing what is the second step. This mainly includes the types of integration, the roadmap format, and principles. The type of integration could help determine the scope of integration.
The last step is to know how. There are 2 essential elements needed to be considered: Data and People. For data, it is about the existing roadmaps, and all useful information. The content and format for each roadmap should be determined (Cosner et al. 2007). The another element is the people. This is about the stakeholders and factors.
The detailed information for each step will be noted in the following section.
Vision and Goals (Phaal et al. 2010; Cosner et al. 2007; (De Laat and McKibbin 2003)):
Objective (Phaal 2017):
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https://www.managers.org.uk/~/media/Files/Campus%20CMI/Checklists%20PDP/Setting%20SMART%20objectives.ashx
Needs (Phaal 2017)
Benefits (Phaal 2017)
Deliverables (Phaal 2017)
Events/ Trigger
Link to Policy & Strategy & Future Actions (Phaal et al. 2010; de Laat & McKibbin 2003; Kostoff et al. 2004)
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Level of confidence to participate in the process
Knowledge about the process integration/roadmapping
1) Rate ease of use for the template you used (i.e. intuitive to use; self-explanatory) on a scale of 1 (low – challenging to use) to 5 (high – easy to use):
2) Rate the degree of completeness achieved in given time (i.e. coverage of the topic in terms of depth & breath) on a scale of 1 (low level of completeness) to 5 (high level):
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3) Rate consistency of output (i.e. clarity & coherence of content) on a scale of 1 (low level of consistency) to 5 (high level):
4) Rate quality of output (where’ quality’ = ‘strategically helpful’ in terms of understanding and decision making) on a scale of 1 (low level of quality) to 5 (high level):
5) Please note any comments you have on the experience of using the template you were provided with, highlighting perceived benefits and drawbacks:
Platts, K.W. (1993), ‘A process approach to researching manufacturing strategy’, International Journal of Operations & Production Management, 13 (8), pp. 4-17.
Tool development & testing (questionnaires for participants and facilitators):
Feasibility: can the process be followed?
Usability: how easily can the process be followed?
Utility: is the process helpful?
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’Saturation’ – stability / convergence:
Maslen, R and Lewis, M.A. (1994),
‘Procedural action research’,
Working papers in manufacturing,
No. 1, 1994.
(Phaal et al. 2010; de Laat & McKibbin 2003)
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Adapted from (Carvalho et al. 2013)
(Amer & Daim 2010; Gerdsri et al. 2009)
Based on their purpose, roadmaps could be classified into 8 categories (Farrukh et al. 2003) as below.
Table 2.1 Classification of roadmaps based on purpose (Phaal, Farrukh, & Probert, 2001b)
(Cosner et al. 2007; Phaal et al. 2012)
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