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As our world becomes increasingly more technology driven and global competition continues to intensify, the technology resource components available to a firm will be required to become more sophisticated in order to achieve and maintain a competitive advantage. Higher levels of sophistication are achieved through technological innovation that is effectively managed. But, to effectively manage technological innovation, we must first come to a clearer understanding of the resource components of technology. This paper describes the way various people perceive the meaning of technology, discusses the confusion that exists, and suggests a construct for classifying the components of technology to mitigate the confusion. Finally, a framework for benchmarking and technology assessment is presented to suggest a way for a firm to better manage its technology component sophistication level for global competition.

This study proposes targeted modernization of the Department of Defense (DoD's) Joint Forces Ammunition Logistics information system by implementing the optimized innovative information technology open architecture design and integrating Radio Frequency Identification Device data technologies and real-time optimization and control mechanisms as the critical technology components of the solution. The innovative information technology, which pursues the focused logistics, will be deployed in 36 months at the estimated cost of $568 million in constant dollars. We estimate that the Systems, Applications, Products (SAP)-based enterprise integration solution that the Army currently pursues will cost another $1.5 billion through the year 2014; however, it is unlikely to deliver the intended technical capabilities.

The paper provides an overview of research published in the innovation and operations management (IOM) literature on 15 methods for cost management in new product development, and it provides a comparison to an earlier review of the management accounting (MA) literature (Wouters & Morales, 2014).

This structured literature search covers papers published in 23 journals in IOM in the period 1990–2014.

The search yielded a sample of 208 unique papers with 275 results (one paper could refer to multiple cost management methods). The top 3 methods are modular design, component commonality, and product platforms, with 115 results (42%) together. In the MA literature, these three methods accounted for 29%, but target costing was the most researched cost management method by far (26%). Simulation is the most frequently used research method in the IOM literature, whereas this was averagely used in the MA literature; qualitative studies were the most frequently used research method in the MA literature, whereas this was averagely used in the IOM literature. We found a lot of papers presenting practical approaches or decision models as a further development of a particular cost management method, which is a clear difference from the MA literature.

This review focused on the same cost management methods, and future research could also consider other cost management methods which are likely to be more important in the IOM literature compared to the MA literature. Future research could also investigate innovative cost management practices in more detail through longitudinal case studies.

This review of research on methods for cost management published outside the MA literature provides an overview for MA researchers. It highlights key differences between both literatures in their research of the same cost management methods.

Systemic industries comprise groups of firms making component products that are valued as complements by consumers (PC, automobiles, aircraft, networking). In this study, we investigate the distribution of research effort across the technological system by individual firms as a basis for building competitive advantage. Our empirical setting is a sample of component makers in the personal computer system. We show that even in a sample dominated by focused component manufacturers, diversified research effort in the broader technological system improves R&D productivity in the component technology. Broad scope R&D in the rest of the system also increases the marginal benefits of research efforts in the component technology, though at a diminishing rate. We explore the determinants of this complementarity between the scope of system level research and the focus on component level research, and derive implications for competitive advantage.

Understanding when entrants might have an advantage over an industry’s incumbent firms in developing and adopting new technologies is a question which several scholars have explained in terms of technological capabilities or organizational dynamics. This paper proposes that the value network—the context within which a firm competes and solves customers’ problems—is an important factor affecting whether incumbent or entrant firms will most successfully innovate. In a study of technology development in the disk drive industry, the authors found that incumbents led the industry in developing and adopting new technologies of every sort identified by earlier scholars—at component and architectural levels; competency-enhancing and competency-destroying; incremental and radical—as long as the technology addressed customers’ needs within the value network in which the incumbents competed. Entrants led in developing and adopting technologies which addressed user needs in different, emerging value networks. It is in these innovations, which disrupted established trajectories of technological progress in established markets, that attackers proved to have an advantage. The rate of improvement in product performance which technologists provide may exceed the rate of improvement demanded in established markets. This mismatch between trajectories enables firms entering emerging value networks subsequently to attack the industry’s established markets as well.

In this paper we appraise the ways in which use of closed-system proprietary product architectures versus open-system modular product architectures is likely to influence the dynamics and trajectory of new product market formation. We compare the evolutions of new markets in China for gas-powered two-wheeled vehicles (G2WVs) based (initially) on closed-system proprietary architectures and for electric-powered two-wheeled vehicles (E2WVs) based on open-system modular architectures. We draw on this comparison to suggest ways in which the use of the two different kinds of architectures as the basis for new kinds of products may result in very different patterns and speeds of new market formation. We then suggest some key implications of the different dynamics of market formation associated with open-system modular architectures for both the competence-based strategic management (CBSM) of firms and for technology and economic development policies of governments.

Specifically, we suggest how the use of open-system modular product architectures as the basis for new products is likely to result in dynamics of new market formation that call for new approaches to the strategic management of innovation and product creation. We also suggest technology and economic development policies favoring use of open-system modular architectures may stimulate new market formation and related economic development by providing platforms for accelerating technology development and dissemination, facilitating the formation of an industrial base of assemblers and component suppliers, assisting new firms in building customer relationships, enabling more geographically diffused economic development within countries, and facilitating development of export markets. We also suggest directions for further research into the potential for open-system modular product architectures to enable bottom-of-the-pyramid innovation processes, frugal engineering in developing economies, and development of low-cost product variations more generally.

The purpose of this study intends to make a characterization of a shop floor management (SFM) system in the context of smart manufacturing, through smart technologies and digital shop floor (DSF) features.

To attain the paper objective, a mixed method methodology was used. In the first stage, a theoretical background was carried out, to provide a comprehensive understanding on SFM system in a smart manufacturing perspective. Next, a case study within a survey was developed. The case study was introduced to characterize a SFM system, while the survey was made to understand the level of influence of smart manufacturing technologies and of DSF features on SFM. In total, 17 experts responded to the survey.

Data analytics is the smart manufacturing technology that influences more the SFM system and its components and the cyber security technology does not influence it at all. The problem solving (PS) is the SFM component more influenced by the smart manufacturing technologies. Also, the use of real-time digital visualization tools is considered the most influential DSF feature for the SFM components and the data security protocols is the least influential one. The four SFM components more influenced by the DSF features are key performance indicator tracking, PS, work standardization and continuous improvement.

The study was applied in one multinational company from the automotive sector.

To the best of the authors’ knowledge, this work is one of the first to try to characterize the SFM system on smart manufacturing considering smart technologies and DSF features.

The automobile industry in India is one of the sunrise industries and is poised to enhance its contribution from 5 percent of GDP in 2006 to 10 percent by 2016. The auto component industry in India has grown hand in hand with the industry and is in the process of transforming itself from being a “Job order fulfiller” to being an “Integrated organization”. With the liberalization process having started in 1991, most auto component manufacturers in India have chosen the easy path of attempting to progress on operational or manufacturing capabilities. For advancing on technology capability dimension, they mostly relied on international collaborations. The purpose of this paper is to study the strategic technology management (STM) practices in select case organizations in the auto component industry in India.

The methodology employed for this study is a combination of literature survey, expert opinion, comparative case study and a flexible systems methodology, situation‐actor‐process‐learning‐action‐performance analysis. Longitudinal studies of technology development at the two case organizations have been done and the case analysis and synthesis has been developed based on valuable inputs and insights shared by key personnel in the case organizations.

The study finds that two different organizations have adopted different technology strategies. While both case organizations have strong linkage between business and technology strategy, the approach has been reasonably different for technology acquisition and development. The findings suggest that an effective STM can contribute to faster technology absorption and overall business performance. Organizations in India need to develop the in‐house capabilities along with suitable technology acquisitions, wherever required.

The two cases provide valuable insights into STM practices in two organizations and highlight the methodology adopted by the companies in their evolutions toward becoming world‐class integrated organizations. The learning can provide the way forward for capable firms in the auto component industry in India.

The competence-based management approach has shed light on how firms represent open systems that link assets, strategic logic, and capabilities in order to create new competences. Nonetheless, we find that there are too few empirical studies that illustrate how competences are distributed within an industry. The following case study is based on an in-depth analysis of innovation and standards-formation in industrial automation. Two examples, the standard-setting community PROFIBUS and the field bus-related sensor consortium IO-Link are used to analyze partnership arrangements and competence-distribution patterns.

This study is based on qualitative interviews and it uses patent data to judge competences of a standard-setting community's partner firms. Referring to the empirical case of IO-Link, we show how the integrator firms’ competence-leveraging can be significantly affected by new technology approaches that reason a novel deployment of capabilities. It seems that the deployment of resources depends not only on industry segmentation, but also on the firms’ coordinated agenda concerning innovative, new functionality of a given standard. Our patent analysis also mirrors the variety of knowledge within a standard-setting community. Furthermore, we develop a concept of layered business systems, that is, a terminology of knowledge, organizational, and technology domains. Standard-setting communities bundle complementarity assets, they make their member firms create both proprietary and open technology, and they integrate knowledge across industry boundaries.

The main purpose of this paper is to assess the technological view of apparel new product development (NPD) process through a framework for improving the efficiency of NPD process in Sri Lankan apparel industry.

The study uses literature review, a survey and in-depth interviews of industry experts for data collection. Descriptive analysis and correlation analysis are used to identify the relationship between NPD process performance and Industry 4.0 (I4) technology components.

All technology components are enablers of NPD process, yet the relative importance of technology components varies within the NPD life cycle. Technoware is identified as the most significant, while Humanware component is the least significant for the advancement of I4 technologies in the NPD process.

Despite the novelty of research investigation into NPD process using I4 technologies in apparel industry, it is limited to one geographical location and a small segment of the industry.

This paper assists apparel industry practitioners to better understand and prioritize I4 technology components in the NPD life cycle for their successful adoption and for reaping the benefits.

This research generates new knowledge on the adoption of I4 technologies using industry insights into technology components mapped/aligned with key stages of NPD life cycle.