Business Question

‫المملكة العربية السعودية‬‫وزارة التعليم‬
‫الجامعة السعودية اإللكترونية‬
Kingdom of Saudi Arabia
Ministry of Education
Saudi Electronic University
College of Administrative and Financial Sciences
Assignment 2
Management of Technology (MGT 325)
Due Date: 30/03/2023 @ 23:59
Course Name: Management of Technology
Student’s Name:
Course Code: MGT325
Student’s ID Number:
Semester: 2nd
CRN:
Academic Year:2023-24
For Instructor’s Use only
Instructor’s Name: Dr. XXXXXXXXXXXXXX
Students’ Grade: 00 /10
Level of Marks: High/Middle/Low
Instructions – PLEASE READ THEM CAREFULLY
• The Assignment must be submitted on Blackboard (WORD format only) via allocated
folder.
• Assignments submitted through email will not be accepted.
• Students are advised to make their work clear and well presented, marks may be
reduced for poor presentation. This includes filling your information on the cover page.
• Students must mention question number clearly in their answer.
• Late submission will NOT be accepted.
• Avoid plagiarism, the work should be in your own words, copying from students or
other resources without proper referencing will result in ZERO marks. No exceptions.
• All answered must be typed using Times New Roman (size 12, double-spaced) font.
No pictures containing text will be accepted and will be considered plagiarism).
• Submissions without this cover page will NOT be accepted.
Course Learning Outcomes-Covered
➢ Explain of the concepts, models for formulating strategies, defining the organizational
strategic directions and crafting a deployment strategy.
Reference Source:
Textbook:Schilling M.A (2020),Strategic Management of Technology Innovation (6th Edition). McGraw Hill Education. Electronic Version: ISBN-13: 978-1260087956 ISBN-10:
1260087956, Printed Version: ISBN-13: 978-1260087956 ISBN-10: 1260087956
Assignment 2
Weight: 10 Marks
Students are requested to read chapter 8 “Collaboration strategies” from their book
Strategic Management of Technological Innovation.
Based on the conceptual knowledge and understanding of the various collaboration
strategies employed by technology organizations to foster innovation, improve efficiency,
and maintain competitive advantage. Students are expected to analyse real-world
examples, apply theoretical concepts, and critically evaluate the effectiveness of different
collaboration approaches and write an essay by using the mentioned pointers.
Introduction to Collaboration in Technology Organizations (2 marks, 100-150 words):
➢ Briefly explain the importance of collaboration in technology organizations. Highlight
how collaboration contributes to innovation and competitive advantage.
Types of Collaborative Arrangements (3 marks, 150-200 words):
➢ Describe at least three collaboration arrangements (discussed in your chapter 8) used
by technology organizations, such as strategic alliances, joint ventures, licensing,
outsourcing and collective research organisations. Provide an example of a technology
organization for each strategy and explain how it is implemented.
Challenges and Solutions (3 marks, 150-200 words):
➢ Discuss the challenges technology organizations might face when implementing
collaboration strategies. Suggest practical solutions to overcome these challenges,
referencing specific collaboration tools or methodologies that facilitate effective
collaboration.
Case Study Analysis (2 marks, 150-250 words):
➢ Select a technology organization known for its collaborative culture (e.g., Google,
Apple, Microsoft). Analyse how this organization’s collaboration strategy has
contributed to its success. Include key elements such as leadership, technology, and
organizational culture in your analysis.
Note :➢ Only reading the textbook will not be enough to score grades or answer the
questions appropriately.
➢ Do adhere to the word limit strictly, mere one or two sentence answers will not be
entertained, they need to be supported with further explanation and facts.
➢ It is mandatory to support each pointer with at least two scholarly, peer-reviewed
journals.
Directions:
✓ All students are encouraged to use their own words.
✓ Use Saudi Electronic University academic writing standards and APA style
guidelines.
✓ Use proper referencing (APA style) to reference, other styles will not be accepted.
✓ Support your submission with course material concepts, principles, and theories from
the textbook and at least two scholarly, peer-reviewed journal articles unless the
assignment calls for more.
✓ It is strongly encouraged that you submit all assignments into the safe assignment
Originality Check prior to submitting it to your instructor for grading and review the
grading rubric to understand how you will be graded for this assignment.
STRATEGIC MANAGEMENT OF
Technological
Innovation
Sixth Edition
Melissa A. Schilling
©2020 McGraw-Hill Education. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw-Hill Education.
Chapter 8
Collaboration Strategies
8-2
©2020 McGraw-Hill Education
Ending HIV? Sangamo Biosciences and
Gene Editing
1
Sangamo Biosciences had developed zinc-finger nucleases (ZFNs), a technology
that could edit the genes of a living individual.
The technology had enormous potential, but it required a significant amount
of R&D work to ensure that it was both precise enough, and would penetrate
enough of an individual’s cells to make a difference.
One of Sangamo’s ZFN programs was to develop a way to give people a
mutation that would cure HIV. This was obviously a HUGE opportunity. Drug
development, however, is extremely expensive and risky, and Sangamo did not
yet have revenues to fund its programs.
Sangamo thus had to decide whether to partner with another organization on
the HIV program, and if so, how and with whom.
8-3
©2020 McGraw-Hill Education
Ending HIV? Sangamo Biosciences and
Gene Editing
2
Discussion Questions:
1. What were the pros and cons of Sangamo pursuing its gene
editing programs alone versus working with a partner?
2. Does the HIV program offer any special opportunities or
challenges?
3. What do you think Sangamo should do regarding the HIV
program? Should it license the technology to a large
pharmaceutical? Should it form a joint venture with another
biotech or pharma company? If so, who?
8-4
©2020 McGraw-Hill Education
Overview
Firms must often choose between performing
innovation activities alone or in collaboration.
Collaboration can enable firms to achieve more, at a
faster rate, and at less cost and risk.
However, collaboration also entails sharing control and
rewards, and may risk partner malfeasance.
The advantages of going solo are compared with those
of collaborating, and then different forms of
collaboration are compared.
8-5
©2020 McGraw-Hill Education
Reasons for Going Solo
Whether a firm chooses to engage in solo development
or collaboration will be influence by:
• Availability of capabilities (does firm have needed
capabilities in house? Does a potential partner?)
• Protecting proprietary technologies (how important is it to
keep exclusive control of the technology?)
• Controlling technology development and use (how
important is it for firm to direct development process and
applications?)
• Building and renewing capabilities (is the project key to
renewing or developing the firm’s capabilities?)
8-6
©2020 McGraw-Hill Education
Types of Collaborative Arrangements
1
There are numerous types of collaborative arrangements, each
with its own advantages or costs.
•
Strategic Alliances: formal or informal agreements between two or more
organizations (or other entities) to cooperate in some way.
• Doz and Hamel note that a
firm’s alliance strategy
might emphasize
combining complementary
capabilities or transferring
capabilities. It might also
emphasize individual
alliances or a network of
alliances.
Access the text alternative for these images
©2020 McGraw-Hill Education
8-7
Types of Collaborative Arrangements
2
Joint Ventures: A particular type of strategic alliance that entails
significant equity investment and often establishes a new
separate legal entity.
Licensing: a contractual arrangement that gives an organization
(or individual) the rights to use another’s intellectual property,
typically in exchange for royalties.
Outsourcing: When an organization (or individual) procures
services or products from another rather than producing them
in-house.
Collective Research Organizations: Organizations formed to
facilitate collaboration among a group of firms.
8-8
©2020 McGraw-Hill Education
Choosing a Mode of Collaboration
1
Firms should match the trade-offs of a collaboration mode to their needs.
NA
Speed
Cost
Control Potential for
Leveraging
Existing
Competencies
Potential for
Developing
New
Competencies
Potential for
Accessing
Other Firms’
Competencies
Solo Internal Low
Development
High
High
Yes
Yes
No
Strategic
Alliances
Varies
Varies
Low
Yes
Yes
Sometimes
Joint
Ventures
Low
Shared
Shared
Yes
Yes
Yes
Licensing In
High
Medium Low
Sometimes
Sometimes
Sometimes
8-9
©2020 McGraw-Hill Education
Choosing a Mode of Collaboration
NA
Speed
Licensing Out High
2
Cost
Control
Potential for Potential for Potential for
Leveraging
Developing
Accessing
Existing
New
Other Firms’
Competencies Competencies Competencies
Low
Medium
Yes
No
Sometimes
Outsourcing
Medium/ Medium Medium
High
Sometimes
No
Yes
Collective
Research
NA
Organizations Low
NA
NA
NA
NA
NA
Varies
Varies
Yes
Yes
Yes
8-10
©2020 McGraw-Hill Education
Choosing and Monitoring Partners
1
Partner Selection.
• Resource fit: How well does the potential partner fit the resource needs of
the project? Are resources complementary or supplementary?
• Strategic fit: Does the potential partner have compatible objectives and
styles?
• Impact on Opportunities and Threats: How would collaboration impact
bargaining power of customers and suppliers, degree of rivalry, threat of
entry or substitutes?
• Impact on Internal Strengths and Weaknesses: Would collaboration
enhance firm’s strengths? Overcome its weaknesses? Create a competitive
advantage?
• Impact on Strategic Direction: Would the collaboration help the firm
achieve its strategic intent?
8-11
©2020 McGraw-Hill Education
Choosing and Monitoring Partners
2
Partner Monitoring and Governance.
• Successful collaborations require clear yet flexible monitoring
and governance mechanisms.
• May utilize legally binding contractual arrangements.
• Helps ensure partners are aware of rights and obligations.
• Provides legal remedies for violations.
• Contracts often include:
1. What each partner is obligated to contribute.
2. How much control each partner has in arrangement.
3. When and how proceeds of collaboration will be distributed.
4. Review and reporting requirements.
5. Provisions for terminating relationship.
8-12
©2020 McGraw-Hill Education
Choosing and Monitoring Partners
3
• May also use shared equity ownership (that is, each
partner contributes capital and owns a share of equity in
the alliance).
• Helps to align incentives and provide sense of ownership.
• May rely on relational governance (self-enforcing
governance based on the goodwill, trust, and reputation
of partners).
• Built over time.
• Can facilitate more extensive cooperation, sharing, and learning
by partners.
8-13
©2020 McGraw-Hill Education
Research Brief
Strategic Positions in Collaborative Networks
A firm’s position within a
collaborative network influences its
access to information and other
resources, and its influence over
desired outcomes. Some of the key
aspects of a firm’s position include
centrality and opportunities for
brokerage. For example, in this
graph, though PPD Inc. has only
three alliances, it serves as an
important bridge between the two
lobes of the network, which should
give it important opportunities for
brokerage.
Access the text alternative for these images
©2020 McGraw-Hill Education
8-14
Discussion Questions
1.
What are some of the advantages and disadvantages of collaborating on
a development project?
2.
How does the mode of collaborating (for example, strategic alliance, joint
venture, licensing, outsourcing, collective research organization)
influence the success of a collaboration?
3.
Identify an example of collaboration between two or more organizations.
What were the advantages and disadvantages of collaboration versus
solo development? What collaboration mode did the partners choose?
What were the advantages and disadvantages of the collaboration
mode?
4.
If a firm decides it is in its best interest to collaborate on a development
project, how would you recommend the firm go about choosing a
partner, a collaboration mode, and governance structure for the
relationship?
8-15
©2020 McGraw-Hill Education