Supplier-driven innovation 2 Management

Question 1

What is the Van Echtelt model about?

Answer 1

The model is about managing supplier collaboration and setting up a structure for the supplier involvement

Question 2

What do we want the strategic and project level to be?

Answer 2

To be conherent (sammenhængende)

Question 3

What are the initial framework (traditional model) with four management areas?

Answer 3

Long-term
Development management (guidelines for the involvement)
Supplier interface management (Building a Network)
Short-term
Project management (planning and implement the involvement)
Product Management (defining product specification)
IMPORTANT: This model distinguish between the four managerial areas.

Question 4

What are the five basic underlying processes that represent effective managerial involvement of the supplier?

Answer 4

1. Prioritizing
2. Mobilizing
3. Coordination
4. Timing
5. Information

Question 5

What is wrong with the initial framework with four management area?

Answer 5

The four different management areas do not sufficiently reflect empirical reality.

The analysis shows that the combination of short-term project processes and long-term strategic processes is the best predictor of combined results of supplier involvement. So instead of distinguish we emerge the two management arenas.

The strategic management arena contains processes that together provide long-term, strategic direction and operational support for project teams adopting supplier involvement.
The operational management arena contains processes that are aimed at planning, managing, and evaluating the actual collaborations in a specific development project.

Question 6

How can managers succesfully involve suppliers in a product development? What must they do? (if you think about managing it over time)

Answer 6

Managers must have the ability to capture both short- and long-term benefits. If companies spend most of their time on operational management in development projects, they will fail to use the leverage effect of planning and preparing such involvement through strategic management activities. Also, they will not be sufficiently able to capture possible long-term technology and learning benefits that may spin off from individual Projects.

Question 7

How can long-term collaboration benefits be captured?

Answer 7

By building long-term relationships with key suppliers, with which it builds learning routines and ensures that the capability sets of both parties are aligned. To obtain such benefits, companies need a set of
strategic decision-making processes.

Question 8

How many steps do the strategic management arena have?

Answer 8

1. Make or outsource
2. Issue formulating different policy and guidelines for the suppliers
3. Monitoring (overview of suppliers)
4. Pre-selecting
5. Exploiting existing skills and capacity
6. Motivating supplier to develop
7. Evaluating performance
   These seven processes are considered in a cycle, which reflects the planning, execution, and evaluative stages in developing policies and the desired supplier base.

Question 9

How many steps do the operational management arena have?

Answer 9

9 circular steps.
Nine redefined managerial processes are
proposed, as opposed to the twelve activities grouped
in the former project and product management areas.
Moreover, a particular order is introduced in these
processes to reflect the general planning, execution, and evaluation stages in NPD projects.

Question 10

To integrate suppliers into NPD successfully there are surden success factors that differentiate the least and the most succesfull integration efforts? (Ragatz)

Answer 10

Relationship structuring differentiators and asset allocation differentiators.

Question 11

What are some of the barriers companies must overcome for succesfull collaboration with suppliers?

Answer 11

3 barriers mention in paper:

1. resistence of sharing information from buyers
2. the acceptance of the ideas coming from supplier
3. resistence of sharing infromation from suppliers expecial with powerful buyers

Question 12

Mention the success factors within relationship structuring (supplier integration succes)

Answer 12

Shared education and training
Top management commitment
Confidence in supplier’s capabilities
formalized risk/reward sharing

Question 13

Mention the three asset allocation differentiators

Answer 13

Intellectual assets, human ressources, Phsycal assets

Question 14

Are all success factors equally in all situations?

Answer 14

NO! It depends on the product complexity, risk and the supplier size. E.g. You can buy a standard component to a complex product development and some factors are then less important.

Question 15

What is technology roadmapping?

Answer 15

Roadmapping is a powerful strategic planning technique. Technology roadmaps provide the opportunity to map broader technological trends but also enable an efficient discussion about the timing and direction of specific technological investments

Question 16

What does the four managerial processes allow companies?

Answer 16

It allow companies to identify, coordinate, improve, and
transform internal and external
resources and capabilities.