Siemens Case Study

Alongside the entrepreneur spirit, Innovation is the process of taking new ideas and implementing them into the market. Key word being “new”, an innovation can be sometimes viewed as the application to better solutions that meet new demand-requirements, inarticulated needs or existing market needs. Innovative ideas range from: goods, services, products, processes, services, technologies or ideas that create value for which customers will pay for. For an idea to be an innovation, it must be replicable at an economical cost and must satisfy a specific need. This means is that one must be ready and willing put their new idea to the test. On the other hand, there is recognition that “innovation is also critical to cultural, environmental, social, and artistic progress as well” (Bullinger, 2006). With this stated, high-tech innovation is ultimately the reason why we can be thankful for the many new conveniences of the 21st century. Although we might see the forefront of innovation being very prominent in today’s world, innovation is truly nothing new. From the start of modern man times, innovative ideas have paved the way for civilization to advance and develop into what we are today and at the same time, we have barely begin to chip away at the tip of the iceberg of our true human potential. Some scholars believe that innovation is a

In 2013, Intel spent more than 10.6 billion in Research and Development (R&D), and became the third biggest spender in R&D. Intel invests in R&D to get on with Moore’s Law, an observation by company co-founder Gordon Moore in 1965 that computing power doubles every two years. As the company works to cram more transistors onto its circuits, development eats most of the company’s R&D spending. “It’s getting more expensive to do the development piece of it

In addition, it is essential to generate detailed divisions for merchandise progress and industrial can have an effect on the company’s administrative structure known as product evolution. Centralized management retains all major decisions with one detailed decision-making group, whereas decentralized management lets company managers to have more ‘say’ in the executive process. Next, corporations that participate in the mass production of products may not exert as

(2012). Chapter 7: International Strategy. In G. G. Dess, G. T. Lumpkin, A. B. Eisner, & G. McNamara, Strategic Management (pp. 257, 259-260). New York: McGraw-Hill/Irwin.

firms It has been suggested that the disappointing performance of U.S. firms during the 1980s in technology-intensive, global markets was from failure to improve upon products and processes. It has been cited that "the U.S. makes the breakthroughs, while other countries, especially Japan, provide the follow-through." Revolutionary innovation has been contrasted with less dramatic advancements. Incremental improvement can turn products over and get more, newer models out. This may all sound dull, but the achievements can be exhilarating. American firms may have failed to follow up on their breakthroughs with such continuous improvements. Where there were successes, they were built upon a combination of breakthroughs and incremental improvements. It is the subject of yet another discourse as to what constitutes an innovation: a breakthrough or an incremental improvement, or both, and/or everything in between. 4. To take advantage of opportunity It is no surprise that surprises, often disappointing surprises, are the seeds of innovation. Take the oil companies. It is no surprise that some oil companies are becoming oil-andgas companies. Why? Because gas is found more often and in greater abundance than oil

Technological change is a fundamental driver of economic development and performance, not only at the level of firms and industries but also economies. Innovation is the organizational process through which new

“10 Rules for Managing Global Innovation” is written by the authors to pin point ten rules that the authors see crucial for a multinational company to manage its globally

This illustrates that Albany has the needed support of industries in competitive areas, which is a great start for it to become a nanotechnology cluster. As for the Dresden team’s role, it should pass on their experiences along with the refined methods of process operations to the new fab. Like AMD Dresden’s beginning, Albany should send its managers and engineers to Dresden for training in order to copy its successful formula. However, processes can be copied exactly but culture can’t. AMD Dresden’s success is not only the processes of its operations, but it includes the people and the culture of Germany. Many industries in Germany are well known for the attention to detail, innovation, and precision engineering. This is not something that can be easily copied. Therefore, AMD’s strategy for Dresden and Albany is to divide them into different areas. The key to success understands the real strength of Dresden, and that is their ability of innovation. Dresden should become the innovation and research focus center while Albany takes control of manufacturing and development.

What were the major causes of the problems with the NetManager project? (I’m not looking for a list of points made in the case; I’m looking for you to step back to a higher level and analyze why these problems occurred.)

3M Corporation has small laboratory or research and development section with some technicians and doing experiments on sandpaper and developed some core technology at that time for 3M like masking tapes. After such core technologies development 3M achieved global reputation and become “hothouse” of innovation. However the process grows slowly and allows 3M to recognize user needs because 3M researchers contact different employees in factories.

The article Innovation: Location Matters discusses how the challenges for competiveness in advanced nations and regions has changed. It elaborates on how organizations must create and commercialize a stream of new products and processes that shift the technology frontier. Companies must be able to innovate to sustain competitive advantage by acquiring and deploying the best current technology. Location matters for innovation, and companies must broaden their approaches to the management of innovation accordingly: by developing and commercializing innovation in the most attractive location, taking active steps to access locational strengths, and proactively enhancing the environment for innovation and commercialization in locations where they operate (Porter & Stern, 2001).

These R&D labs usually concentrated on bringing out new technologies for self-commercialisation. This process can be viewed in the form of a funnel, where a large number of varied ideas and concepts can be trimmed down to few of those concepts and ideas that best meet the requirements of the company. (OECD, 2008) In recent times, companies have become more open with their innovation process, leading to revolution described as “Open Innovation” by Chesbrough (2003). This ‘open innovation’ model is a more dynamic model when compared the traditional model as there is much more interaction between knowledge assets outside the company as well as inside. Henry Chesbrough (2003) in his book “Open Innovation: New Imperative for creating and profiting from technology” defines open innovation as a concept in which companies must use ideas from inside as well as outside sources and find internal and external ways to reach the market in order to advance their technological capabilities. Open innovation combines these 3

The main goal of this paper is to analyze the overall performance of Siemens corporation. Firstly, it will provide the overview of Siemens as a company, providing information on its main sectors of business. Then, in order to gain better understanding on innovation management and structure of Siemens the process innovation model, which

Innovation offers the companies a competitive advantage. Presently and within the future, more than any time in history, the key to competitive advantage is innovation. However innovation will facilitate businesses meet all of their strategic challenges, not simply competition; to illustrate, in confronting accelerating rates of change, globalization, apace advancing technology, a additional numerous workforce, associated a modification from an industrial to a knowledge-based economy. Meeting all of those challenges helps the firm attain competitiveness, and meeting these challenges suitably depends on innovation. Innovation allows a firm to workout its challenges in distinctive ways in which build competitive advantage either through relative differentiation, a relative low-priced position, or few acceptable level of each. Innovation cannot assure success, however success cannot be achieved within the end of the day without it.

Research and Development (R&D) is known by most as the steps taking by the company or organization to discover and create new products. “The performance of, incentives for, and the contributions of R&D are topics that are widely studied in management, economics, and other social science disciplines. Total spending on R&D