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E. Raymond Corey - Technology fountainheads: the management challenge of R&D consortia

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E. Raymond Corey examines six of the oldest, largest, and most visible R&D consortia in America. Three serve the semiconductor and computer industries, where interfirm and international rivalries are intense; three draw their membership from regulated industries only recently subject to competition. Coreys comparative study sheds light on the dynamics of consortium management, exploring such issues as mission, organizational structure, strategic planning, technology transfer, and leadership. In addition to analyzing consortia as a distinct organizational form, Corey considers the social, economic, and legal impact of consortia as sources of global competitiveness.

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title Technology Fountainheads The Management Challenge of RD Consortia - photo 1

title:Technology Fountainheads : The Management Challenge of R&D Consortia
author:Corey, E. Raymond.
publisher:Harvard Business School Press
isbn10 | asin:0875847234
print isbn13:9780875847238
ebook isbn13:9780585164830
language:English
subjectResearch, Industrial--United States--Management, Research institutes--United States--Management, Consortia--United States--Management.
publication date:1997
lcc:T176.C597 1997eb
ddc:658.5/7/0973
subject:Research, Industrial--United States--Management, Research institutes--United States--Management, Consortia--United States--Management.
Page iii
Technology Fountainheads
The Management Challenge of R&D Consortia
E. Raymond Corey
Page iv Copyright 1997 by the President and Fellows of Harvard College - photo 2
Page iv
Copyright 1997 by the President and Fellows of Harvard College
All rights reserved
Printed in the United States of America
01 00 99 98 97 5 4 3 2 1
Library of Congress Cataloging-in-Publication Data
Corey, E. Raymond.
Technology fountainheads : the management challenge of R&D
consortia / E. Raymond Corey.
p. cm.
Includes index.
ISBN 0-87584-723-4 (alk. paper)
1. Research, IndustrialUnited StatesManagement.
2. Research institutesUnited StatesManagement.
3. ConsortiaUnited StatesManagement. I. Title.
T176.C597 1997
658.5'7'0973dc20 96-11016
CIP
The paper used in this publication meets the requirements of the American National Standard for Permanence of Paper for Printed Library Materials Z39.49-1984.
Page v
Dedication
This book is dedicated to the Honorable Joseph C. Swidler, chairman of
the Federal Power Commission from 1961 to 1965, whose vision inspired
the founding of the United States' first R&D consortium, the Electric
Power Research Institute; and to Dr. Chauncey Starr, EPRI's first chief
executive officer, who laid the foundations for a technology institute of
enduring value to the electric power industry and to the nation.
Page vii
Contents
Preface
ix
1
SEMATECH's Success
1
2
Consortium Formation:
Vision. Mission, and Leadership
29
3
The Politics of R&D Planning
57
4
Consortium Strategy
73
5
Technology Transfer as Marketing
93
6
R&D Consortia in the United States, Japan, and Europe
109
7
In Theory
129

Page viii
8
Conclusions
147
Appendix
R&D Consortia: A Member's Perspective
161
Notes
165
Index
177
About the Author
187

Page ix
Preface
Recently, having devoted my career to teaching and writing about for-profit businesses, I became interested in learning about the management challenges of nonprofit organizations. I chose to focus on R&D consortia. Such institutions have played an important role in European economic development, and have contributed significantly to Japan's rise in the world market for semiconductors, starting in 1976. R&D consortia began to emerge in the United States in 1973, with the founding of the Electric Power Research Institute. These collaborative ventures took as their mission the advance of technology in entire industries.
In a nation such as this, with an economy built on free market principles and competition, such a development seemed a departure from the tenets that have contributed to our high standard of living and our leadership role in world markets. A closer look, however, has persuaded me that the rise of R&D consortia in the United States signifies not the muting of interfirm rivalry, but progress toward a more sophisticated concept of global competition. It seems abundantly evident, too, that R&D collaboration among firms, with the government's participation, has accelerated market growth in the United States and added to our strength, if not supremacy, in global business competition.
R&D consortia interested me in another respectthat is, the particular challenges of managing such institutions. What I have learned is that the problems and requirements of effective consortium management differ significantly in degree from those of private enterprise, for three reasons. First, each consortium has a plethora of internal and external stakeholders to satisfy. Second, most are deeply involved with government agencies, ranging from state and federal regulatory agencies and administrative departments to the United States Congress. Third, unlike private enter-
Page x
prise, the owners of consortia are the clients. Taken together, these factors put constituency management at the very heart of the challenges confronting R&D consortia leadership.
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