Structuring inter-organizational R&D projects: Towards a better understanding of the project architecture as an interplay between activity coordination and knowledge integration

The architects of inter-organizational R&D projects organize collaboration by structuring the activities and the knowledge base of the project. How do these two dimensions interplay and what are the implications on the project execution? The paper aims at developing new perspectives on inter-organizational multi-actor R&D projects using an exploratory inductive multi-case study of projects funded by the European Union's Research and Innovation Programmes. The projects have been studied simultaneously in terms of activity coordination and knowledge integration as well as the implications of their interplay on collaboration, project resilience and project management. The paper provides empirical evidence about six patterns of project architecture. The workflow-integrated architecture disintegrates the knowledge base, provides a lower collaboration potential and may require high management efforts, while a workflow-decomposed architecture makes project management easy but provides little added value from the inter-organizational setting. Nearly decomposable architectures offer the highest collaboration potential under contingent conditions.     

Effective analysis and planning of R&D stages: A simulation approach

Clearly, with the excessive number of R&D project failures and the large amounts spent on these projects, effective planning and control tools are needed. The evolution of powerful simulation tools has accelerated the pace of R&D. A simulation based decision support system is developed to help management better understand the analysis and planning of R&D stages. The system is used to assist management in dealing with the effects of uncertainty. In particular, when management is lacking the experience for new projects, the system is used to analyze the effect on the whole project resulting from delays in individual activities. The system is applied to R&D activities in a major petroleum company. Results of the simulation included statistical data on individual stages of the R&D project duration and cost as well as overall project time and cost. These results were employed to provide decision makers with an evaluation of current configurations, prepare overall time and cost estimates as inputs to other decisions and to plan and schedule manpower, equipment and capital. Sensitivity analysis was employed to determine key stages in the R&D process where changes in their estimates of duration and probabilities might reduce network time and cost. A team of research personnel ascertained that the validity of the model is satisfactory.     

Towards a location sensitive R&D policy. Local buzz,spatial concentration and specialisation as a challenge for urban planning – Empirical findings from the life sciences and ICT clusters in Vienna

Against the background of the increasing relevance of international co-operation and knowledge networks, the relevance of local buzz for R&D activities is being called into doubt. This has implications for urban R&D policies, as local milieus, face-to-face contacts and proximity are key factors of an urban economy. Based on the case of Vienna, it is the intention of this paper to explore the extent of spatial proximity and the role of urban R&D policy. When examining the spatial structure of 1363 R&D units, two relevant clusters (life sciences and ICT) can be identified by a quantitative GIS analysis. Furthermore, a qualitative survey gives insights into the relevance of R&D policies and their spatial implications. The findings clearly show that urban stakeholders have to consider the location sensitivity of R&D actors as well as the need for specialisation in academic niches.     

R&;D accessibility and regional export diversity

This paper examines the influences of accessibility to R&D on the export diversity in Swedish regions. A theoretical model with fixed R&D cost predicts that spatial knowledge spillovers generate external economies of scale in R&D activities. These external effects are presumed to increase regions’ innovative capacity. Moreover, the model implies that the effects of R&D on regional export performance are reflected by the size of the export base rather than by the export volumes. The empirical analysis focuses on three different indicators of export diversity: the number of exported goods, the number of exporting firms and the number of export destinations. The hypothesis that regional accessibility to R&D facilities in the private business sector, on the one hand, and university research departments on the other hand, increases the export diversity in regions is tested in a spatial cross-regressive model. Since knowledge cannot be regarded as a spatially trapped resource the empirical analysis includes two measures of R&D accessibility: intra-regional and inter-regional. The empirical results indicate that the three indicators of regional export diversity are positively affected by the intra-regional accessibility to company R&D in commodity groups that have a relatively high R&D-intensity in production. Inter-regional accessibility to company R&D has significant positive impacts on the number of export goods and the number of export destinations also in less R&D-intensive industries. In the case of university R&D, the empirical results are weaker, in particular in the case of intra-regional accessibility. Yet, the inter-regional accessibility to university R&D has a significant positive impact on the number of export goods and the number of export destinations in the majority of commodity groups.     

Solving multiple-criteria R&D project selection problems with a data-driven evidential reasoning rule

In this paper, a likelihood based evidence acquisition approach is proposed to acquire evidence from experts' assessments as recorded in historical datasets. Then a data-driven evidential reasoning rule based model is introduced to R&D project selection process by combining multiple pieces of evidence with different weights and reliabilities. As a result, the total belief degrees and the overall performance can be generated for ranking and selecting projects. Finally, a case study on the R&D project selection for the National Natural Science Foundation of China is conducted to show the effectiveness of the proposed model.The data-driven evidential reasoning rule based model for project evaluation and selection (1) utilizes experimental data to represent experts' assessments by using belief distributions over the set of final funding outcomes, and through this historical statistics it helps experts and applicants to understand the funding probability to a given assessment grade, (2) implies the mapping relationships between the evaluation grades and the final funding outcomes by using historical data, and (3) provides a way to make fair decisions by taking experts' reliabilities into account. In the data-driven evidential reasoning rule based model, experts play different roles in accordance with their reliabilities which are determined by their previous review track records, and the selection process is made interpretable and fairer. The newly proposed model reduces the time-consuming panel review work for both managers and experts, and significantly improves the efficiency and quality of project selection process. Although the model is demonstrated for project selection in the NSFC, it can be generalized to other funding agencies or industries.     

Critical chain and evidence reasoning applied to multi-project resource schedule in automobile R&D process

To solve the multi-project resource schedule problem in automobile Research and Development (R&D) process, this paper proposes a multi-project schedule method on the basis of task priority, evidence reasoning (ER) and critical chain (CC) approach. The method is composed of a decision model, an organization model and two axioms. The author applied this method to a simple case of the R&D process of a Chinese automobile enterprise and compared the results of the proposed method with the critical chain project management (CCPM) based on project priority. As a result, the new method based on task priority, CCPM and ER is proven to be good at solving resource conflict problem in a real multi-project environment and performs better than the CCPM based on project priority.     

A regional construction R&D evaluation system for China

Expenditure on R&D in China’s construction industry has been relatively low in comparison with many developed countries for a number of years—a situation considered to be a major barrier to the industry’s competitiveness in general and unsatisfactory as regards industry development of the 31 regions involved. A major problem with this is the lack of a sufficiently sophisticated method of objectively evaluating R&D activity in what are quite complex circumstances considering the size and regional differences that exist in this part of the world. A regional construction R&D evaluation system (RCRES) is presented, aimed at rectifying the situation. This is based on 12 indicators drawn from the Chinese Government’s R&D Inventory of Resources in consultation with a small group of experts in the field, and further factor analysed into three groups. From this, the required evaluation is obtained by a simple formula. Examination of the results provides a ranking list of the R&D performance of each of the 31 regions, indicating a general disproportion between coastal and inland regions and highlighting regions receiving special emphasis or currently lacking in development. The understanding on this is vital for the future of China’s construction industry.     

Configurations of project management practices to enhance the performance of open innovation R&D projects

This study contributes to the current discussion related to the execution challenges of open innovation projects in R&D with the lens of project management, especially considering the type of external partner as a contingent factor. It fosters the discussion of the configuration of practices in a contingent project management approach in comparison to the traditional best practice approach. For that, we conducted a qualitative fuzzy-set comparative analysis of 50 open innovation projects in R&D. By looking at configurations, we found combinations of practices related to high performance, when treated as a non-independent variable. In this configuration view, practices negatively associated with high performance in previous studies, are part of a combination of practices to achieve high performance in R&D projects. This study contributes to fostering the configurational perspective to project management associated with the idea that one size does not fit all.     

Identifying,framing and managing uncertainties in project portfolios

Uncertainties in the organization, external environment and from single projects may hamper project portfolio performance unless managed properly. This paper introduces a framework on uncertainties and their management in project portfolios and pursues increased understanding on how managers can take uncertainty into account better. We explore uncertainties, how managers frame them as opportunities or threats, and the actual practice of managing them across ten R&D project portfolios. The framework on project portfolio uncertainties and their management is further refined based on the empirical results. As key contributions, we show evidence on the balanced existence of three types of uncertainties, the threat bias in their framing, and the dominance of rational, opportunity driven mechanisms of control in uncertainty management. We discuss the context-dependent practice of project portfolio management and the need to complement rational mechanisms with structural and cultural, for project portfolio management to become a dynamic capability.     

Knowledge integration in IPPD project: role of shared project mission,mutual trust,and mutual influence

Project integration is an important management issue related to product development performance outcomes. Design, development, production, and commercialization of new products and services require a project team's ability to acquire and integrate different knowledge bases of internal capabilities, customers, and suppliers. A literature gap exists regarding critical drivers of knowledge integration and shared knowledge in product development projects that needs to be identified and scientifically validated. Based on goal setting, social exchange, and information processing theories, the current study identifies antecedents of knowledge integration in terms of a shared project mission, mutual trust, and mutual influence, and investigates key relationships among these antecedents to determine the effect of knowledge integration on integrated product and process development (IPPD) project outcomes. Proposed hypothetical relationships among these constructs were tested on primary data collected from 191 respondents (OEM project managers and team members, suppliers, and customers) from IPPD projects from the U.S. automotive industry. With regards to the antecedents of knowledge integration in IPPD projects, our results indicate a statistically significant positive association between shared project mission, mutual trust, mutual influence and knowledge integration. Further, our results indicate a positive relationship between knowledge integration and performance outcomes measured in terms of IPPD project success and IPPD product success. Our results also indicate a partial mediating effect of mutual trust and mutual influence between the relationships of shared project mission and knowledge integration. Discussion of our empirical results, limitations, and recommendation for future studies in the area of knowledge integration in the area of IPPD projects are also provided.     

Opportunities and pitfalls of using building performance simulation in explorative R&D contexts

One of the promising use cases of building performance simulation (BPS) is its role as a virtual laboratory in research and development (R&D) projects that aim to bring innovative building components from initial idea towards market introduction. By facilitating what-if explorations and whole-building insights, BPS can create complementary value, alongside actual experiments. However, explorative R&D projects tend to be rather erratic and are more ill-defined than typical BPS tasks. This raises several issues concerning application, interpretation and communication of BPS-based performance predictions in explorative contexts. The aim of this paper is to highlight opportunities and potential pitfalls of the use of BPS in this application domain. First, the characteristic properties of exploration-driven R&D projects are contrasted with more conventional BPS projects using a systematic requirements engineering approach. Then, the process and outcomes of three R&D projects of innovative façade systems are discussed. Finally, the lessons learned from these studies are presented.     

The philosophy,structure and objectives of research and development in Japan

This paper presents an overview of the philosophy, structure and key objectives of R&D activity in the Japanese construction industry. It argues that this unique model of a close partnership between industry, government and society is based on shared values, and delivers significant benefits not only for firms but for society at large. Additionally, the Japanese system acts as an efficient market entry barrier that protects the Japanese domestic market from foreign competition while concurrently providing the basis of Japan's competitive advantage in international markets. To illustrate how significantly different the Japanese model is from those of other advanced economies, an empirical comparison of the belief structures concerning responsibility for R&D of key players in the construction industries in Japan and Australia is presented. The results illustrate the point that, unlike Australia, Japanese contractors play a much more extensive role in society than do their Australian counterparts. This role incongruence may be the true barrier to penetration of the Japanese construction market.     

Theoretical comparison of alternative delivery systems for projects in unpredictable environments

A project delivery process simulation is presented based upon empirical studies in the design‐build environment of semiconductor fabrication facilities (‘fabs’). The model captures key tasks and decisions in design, procurement and construction, as well as design criteria changes along the delivery of a R&D fab utility system. Simulation shows that to involve the specialty contractor from the project start on average expedites project delivery since it prevents delays caused by bidding and by contractors' unfamiliarity with the design product definition. Yet, in unpredictable project environments – environments in which design criteria are likely to change irrespectively of the project progress status – simulation reveals that the averages of construction rework and waste increase if design is prematurely frozen. Assuming that work methods do not change and design criteria remain uncertain, results indicate that a system that combines early contractor involvement with judicious postponement of the design start reduces the average duration of the fab utility delivery in relation to the expected duration if competitive bidding was used, with limited increase in the averages of construction rework and waste. Additional efficiency is gained when specialty contractors relax conservative assumptions on anticipated site conditions. An economic model uses simulation results to assess the tradeoffs between alternative project delivery systems for the case of R&D fabs.     

Insights into collaboration at the project level: complexity, social interaction and procurement mechanisms

Drawing upon relevant concepts in organizational social theory (becoming ontology and processual view of complexity), and adopting an interpretative approach to studying organizational phenomena, this paper aims to make a contribution to the understanding of social processes in multi-organizational settings defined as 'construction projects'. The study takes a critical view on the claimed advantages of non-conventional, innovative project procurement strategies as integration-enhancing mechanisms at the project level. Taking a swimming pool construction project governed by an innovative procurement procedure known as 'two-stage tender' as a case in point, the paper evaluates the extent to which better project team integration has been achieved in this context. Two major concerns emerged from the case study analysis: (1) two-stage tendering is an incomplete solution to tensions, adversarial culture and a lack of genuine cooperation over time; and (2) there is a need for facilitating mechanisms of a different nature to support and sustain collective situated learning and shared understanding of longer-term benefits of collaborative work. Based on the theoretical considerations and the interpretation of the empirical accounts, the paper proposes and refines a conceptual framework for understanding the complexity of construction projects as social settings. In the light of this framework, alternative concepts and skills for enhanced collaborative interaction among participating parties in this kind of social setting are suggested.     

Endogenous R&D spillover and location choice in a mixed oligopoly

We consider a three-stage game where a public firm and a private firm choose R&D, location, and price, under the assumption that R&D spillovers rely on their locations. We show that, in equilibrium, whether the public firm engages in innovation more aggressively than the private firm depends on the degree of spillovers. Moreover, firms’ equilibrium locations exhibit neither maximal nor minimal differentiation. Finally, privatization could reduce social welfare because it may generate inefficient location and insufficient R&D investment. This suggests that a mixed duopoly could be socially preferable to a private duopoly in the presence of endogenous R&D spillovers.     

What about the people? Micro-foundations of open innovation in megaprojects

Megaprojects require substantial R&D activities involving many different organisations. Megaprojects are therefore an ideal setting for Open Innovation (OI), which favours risk-sharing, enables trustful collaboration, and facilitates the development of breakthrough innovations. OI has been widely studied at the organisational level, however far less attention has been paid at the individual level, including the motivations, costs and benefits perceived by the people involved in the innovation process. This paper aims to address this gap by studying the micro-foundations of OI in megaprojects and focusing on the experiences of people involved in university-industry co-supervised Ph.D. projects. The paper provides two original contributions. Firstly, it contributes to the micro-foundations literature, by analysing the experience of university and industrial supervisors and Ph.D. students involved in megaprojects. Secondly, it expands the OI literature by describing how the interpersonal interactions and the intentional knowledge spillovers promote innovation outside the original boundaries of the Ph.D. project.     

Collaborative practices of knowledge work in IT projects

While projects in the Information Technology (IT) domain have been studied extensively, not much is known about the practices of knowledge work that is needed for IT projects to be brought together and enacted as temporary organisational structures. Building on the knowledge-as-practice perspective, we set out to explore collaborative work, which occurs through dialogic practices across knowledge domains in IT projects. Drawing upon multiple case study research in the IT industry, we run a qualitative analysis based on semi-structured interviews with the management level staff of six IT organisations. Based on the insights on IT projects in the six case organisations that varied in size and the degree of knowledge structure we develop a practice-based understanding of the collaborative practices of knowledge work. We identify three main practices of knowledge work in IT projects: a) expressing differences, b) co-creation, and c) mutual alignment, directing domain expert knowledge work at the collective level and towards shared project objectives. The practices emerged in the form of collaboration and as a function of cross-domain multi-disciplinary teams’ alignment in IT projects. We offer novel insights into the essential role of the dialogue in collaborative knowledge work practices in IT projects, and their respective parent organisations.     

Managing construction project change: a knowledge management perspective

In the information age, organization theories have addressed problem‐solving as an information‐processing activity. However, in this era, with the realization of knowledge‐based views of the organization, shared problem‐solving is increasingly recognized as a knowledge creation trigger. During shared problem‐solving, stakeholders bring different types of knowledge into the problem situation and it is captured, created and shared by the team members. In construction projects, shared problem‐solving often takes place through pragmatic problem‐solving on site, in particular, through managing project changes. However, this significant role of knowledge in managing project change is not well appreciated in the extant literature. Accordingly, to explore how knowledge is created during project changes in construction a case study approach was adopted using two change events in two collaborative settings within the UK construction industry. The case study findings revealed that different forms of knowledge are created during the project change process within construction projects. However, this knowledge remains largely tacit and does not disseminate to the wider organization due to imbalanced codification and personalization strategies existing in such settings. A knowledge management perspective is introduced to manage project change so that construction project teams can successfully resolve and learn from change events.     

Innovation,networking and complementarity: evidence on SME performances for a local economic system in North-Eastern Italy

New evidence and theoretical discussion on the complementarity relationships concerning different networking activities and R&D in a local SME oriented system is presented. R&D arises a main driver of innovation and productivity, even without the association to networking. The complementarity between diversified networking activities and R&D/innovation is generally found, in a discrete setting. Non-strict complementarity nevertheless prevails. On the innovation side, complementarity among performance drivers is more crucial for product/radical innovation, relatively to process innovation, which also witnesses substitutability signals. Networking can be a complementary factor in situations where cooperation and networking are needed to achieve economies of scale and/or to merge and integrate diverse skills, technologies and competencies. Managers and policy makers should be aware that in order to exploit asset complementarity, possibly transformed into competitive advantages, both R&D and networking are to be sustained and favoured. Networking elements are crucially linked to innovation dynamics; it is nevertheless innovation that explains and drives networking, and not the often claimed mere existence of local spillovers or of a civic associative culture in the territory. Such public good factors are likely to evolve with and be sustained by firm innovative dynamics.