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    131 research outputs found

    Changing Project Delivery Strategy: An Implementation Framework

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    For organizations such as departments of transportation, other public agencies, or private companies, adopting a new approach to procure services for delivery of construction projects requires significant organizational changes; modifications to both their work processes and existing organizational structures may be needed. These adjustments, encompassing many different aspects of the organization’s interests, must occur for the change initiative to be successfully put into practice. Research at the Center for Construction Industry Studies is investigating the adoption of integrated project delivery methods within the transportation project sector to better understand the dynamics of this change. This paper will present findings from a study of Public Owner organizations that have implemented the design-build method for delivering highway projects. Using as a case study the new $1.3 billion SH 130 tolled expressway project in Central Texas, we have analyzed project documentation, held a workshop and conducted 39 interviews with individuals affiliated with owner, legal, engineering consultants, and contractors. Findings suggest that project representatives institutionalize practices and routines connected to the new approach by adapting to new challenges, rather than “overwriting” previously existing practices. Consequently, the institutionalization of innovative approaches to project delivery happens concurrently with a deinstitutionalization of the previous approaches. This concurrency produces different effects on the project environment, depending on the mediating action of some emerging practices and the perspective of the involved parties. Building upon these findings, we have developed a conceptual framework for helping Owner organizations implement a change in their project delivery strategy. In the context of this paper, an Owner’s project delivery strategy is defined as the set of project delivery methods that are adopted for delivering capital projects. We further refined this framework by making a comparative study of four transportation projects in the United States. In addition, 35 experts in the implementation of the design-build method for transportation projects participated in a Delphi study in order to validate the developed framework. Findings from these studies, including application to the construction industry and to other industries will be presented in this paper

    Old Technology Meets New Technology: Complementarities, Similarities, and Alliance Formation

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    Alliance formation is commonplace in many high-technology industries experiencing radical technological change, where established firms use alliances with new entrants to adapt to technological change, while new entrants benefit from the ability of established players to commercialize the new technology. Despite the prevalence of these alliances, we know little about how these firms choose to ally with specific firms given the range of possible partners they may choose from. This study explores factors that lead to alliance formation between pharmaceutical and biotechnology companies. We focus on the alliance tie as the unit of analysis and argue that dyadic complementarities and similarities directly influence alliance formation. We then introduce a contingency model in which the positive effect of complementarities and similarities on alliance formation is moderated by the age of the new technology firm. We draw theoretical attention to the intersection between levels of analysis, in particular, the intersection between dyadic and firm-level constructs. We find that a pharmaceutical and a biotechnology firm are more likely to enter an alliance based on complementarities when the biotechnology firm is younger. Another noteworthy contribution is the finding that proxies for broad capabilities appear to be at least as, if not more, effective in predicting alliance formation compared to fine-grained science and technology-related indicators, like patent cross citations or patent common citations. We conclude by suggesting that future studies on alliance formation need to take into account interactions across levels; for example, how dyadic capabilities interact with firm-level factors

    Building Dynamic Capabilities: Innovation Driven By Individual, Firm, and Network Level Effects

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    Following the dynamic capabilities perspective, we suggest that antecedents to innovation can be found at the individual, firm, and network level. Thus, we challenge two assumptions common in prior research: (1) that significant variance exists at the focal level of analysis, while other levels of analysis are assumed to be homogeneous, and (2) that the focal level of analysis is independent from other levels of analysis. Accordingly, we advance a set of hypotheses to simultaneously assess the direct effects of antecedents at the individual, firm, and network level on innovation output. We then investigate whether a firm’s antecedents to innovation lie across different levels. To accomplish this, we propose two competing interaction hypotheses. We juxtapose the hypothesis that the individual, firm, and network level antecedents to innovation are substitutes versus the proposition that these innovation mechanisms are complements. We test our multi-level theoretical model using an unusually comprehensive and detailed panel dataset that documents the innovation attempts of global pharmaceutical companies within biotechnology over a 22-year time period (1980-2001). We combine these data with direct field observations conducted prior to, during, and after the completion of the study. We find evidence that the antecedents to innovation lie across different levels of analysis and can have compensating or reinforcing effects on firm-level innovative output

    Power in Firm Networks: What it Means for Regional Innovation Systems

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    The role of power within regional firm networks is noted in empirical studies but insufficiently theorized. We suggest that network functioning is conflictual and that more powerful network members, particularly transnational corporations (TNCs), leverage regional resources to advance their sustainable competitive advantage. The agendas and power exercised by TNCs within regionalized firm networks have significant implications for regional policy and the uneven allocation of resources and capacities within and among regions. Our findings indicate that transnational firm access to resources critical to innovation, including university research and skilled labor, negatively affects the potential for innovation by small and medium-size firms

    Linking Induced Technological Change, Competitiveness and Environmental Regulation: Evidence from Patenting in the U.S. Auto Industry

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    This article examines firms’ innovation activities in response to U.S. technology-forcing auto emissions standards enacted between 1970 and 1998. Patent applications in automobile emission control technologies were used as a measure of firms’ innovative responses to regulatory pressures. In addition, we extensively studied secondary literature and industry specific records and conducted targeted interviews with experts involved in the development. Findings of this study provide new evidence that supports the Porter hypothesis: the performance based technology-forcing auto emissions regulations induced technological innovation and led domestic U.S. firms to become relatively more innovative when compared to their foreign rivals. Overall, this study suggests that proper technology-forcing regulations have the potential to induce technological innovation, in particular radical innovation. Findings also imply that domestic firms may establish competitive advantage over rival firms by reacting proactively in the early phase of the regulatory era

    Innovation in the Pulp and Paper Manufacturing Industry: Insights from the 2005 Georgia Manufacturing Survey

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    The need to enhance innovation capacities has received growing attention in recent years. This paper aims to profile innovation methods within the pulp and paper industry based on a survey of Georgia manufacturing establishments and in-person interviews. Pulp and paper survey respondents are compared with those in other industries in terms of their introduction of new or significantly improved products, processes, and organizational approaches; differences in form size and type of pulp and paper operation are noted. Three unobserved dimensions of innovation – intellectual-property based, supply-chain based, and business-process based – are identified through exploratory factor analysis and differences by sector are highlighted. Pulp and paper firms are generally found to lead other sectors in supply chain and process innovation, but lag in intellectual-property based innovation. Qualitative in-person interviews suggested that innovation through the supply chain may reduce firm distinctiveness and offered approaches such as migration to different product types and relocating R&D to university campuses as examples of efforts to shift from traditional innovation practices

    The Next Wave of Globalization: Relocating Service Provision to India

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    The offshoring of services is rapidly growing in magnitude and scope. To understand this evolution, observation-based research is vital. In the last decade, services offshoring has rapidly expanded from software to any information technology-enabled business process. This paper draws upon two rounds of interviews with executives and managers in India and the case studies of Sloan Foundation-funded conference to explain the dynamics of offshoring to India, the largest recipient of offshored services, from the perspective of the firm, the industry, and the recipient nation. We show that the growth in offshoring was intimately linked to the prior development of India’s software sector and an enabling regulatory and other institutional environment. Multinationals played a key role, although domestic firms were early adopters. The role of multinationals has deepened substantially moving from the large firm to include smaller firms, outsourcing specialists, and startups offering innovative new services. As this has happened, the value-addition and sophistication of the work done has increased. The most sophisticated work being done in India increasingly resembles the most sophisticated work being done anywhere else. Services exports required well-educated labor from the beginning, which is fundamentally different from the origins of manufactured goods exports from developing nations. However, a value-chain exists and it is possible that some lower-end services will relocate from India as the country moves up the value-chain. Finally, the speed at which services exports can grow in scale and scope is noteworthy and is occurring more quickly than was the case with manufacturing exports. This raises important issues for structural adjustment in developed countries. The conclusion also considers the implications of the offshoring of services for developing nations and possible policy initiatives for developing nations interested in entering the ITES sector

    Full-Utilization Learning Lean

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    This paper reviews trends in component-manufacturing employment, wages, and productivity in union and nonunion shops and shows why a sharp increase in productivity growth, especially in union shops, is necessary if a large number of high-wage jobs are to be preserved. It also explains international and local unions' varied strategies that attempt to preserve jobs and/or raise productivity. Drawing on case study research on production processes in component manufacturing, the paper then argues for a model of industrial production, "full-utilization learning lean," that has the potential to raise productivity and preserve a large number of high-wage manufacturing jobs. This model combines lean production, continuous learning and substantive participation by production workers, and high levels of capacity utilization. The paper suggests public policies and union strategies that can spread this model

    Agglomeration and Market Entry in the U.S. Steel Industry: Empirical Evidence Based on the Advent of Slab Casting by U.S. Steel Minimills

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    Ten new steel plants were constructed in the United States from 1989-2001, each taking advantage of new technologies that gave scrap-based minimills access to the market for flat products based on the casting of steel slabs. Earlier, this market was the exclusive domain of ore-based integrated mills. This research brings new evidence to bear on the nature and importance of agglomeration economies, by analyzing industry clusters related to the advent of new slab casting technologies. The analysis is based on direct observation and plant visits to all of the new mills created by the new technologies. We find that industry clusters can play an important role in the process of market entry, and that specific factors related to product and firm characteristics help to determine the nature of agglomeration economies and their effects on firms and regions

    Dynamic Nature of Production Models

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    Toyota and Volvo have traditionally been viewed as anchoring two extremes of production models that companies in the automotive and other manufacturing sectors draw upon. The ‘Toyota (Lean) Production System’ drove superior organizational learning, innovation, and control with positive implications for customer-oriented outcomes. Volvo's ‘Reflective Production’ model aimed to leverage and develop workers’ unique abilities, leading to adaptability, motivation, satisfaction, and innovation at the individual and group levels, with positive benefits for employees. Through a longitudinal case study, we show that environmental pressures, in the form of increased international product market competition and labor market constraints, drove convergence across the two production systems as enacted at Volvo and Toyota, in organizational structure, work design, and to a lesser extent, technology. The result is an integration of the adaptability, motivation, and development of workers at the individual and group levels, with enhanced organizational capacity for responsiveness, variability reduction, and innovation at the organizational level. Understanding how production models evolve provides insight into their operation, their limitations, and the challenges that are associated with their study, imitation, implementation, and use

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