Skip to main content

Platform Emergence in Double Unknown (Technology, Markets): Common Unknown Strategy

  • Chapter
  • First Online:
Strategic Planning Decisions in the High Tech Industry

Abstract

The proposed chapter deals with platform emergence in double unknown situations when technology and markets are highly uncertain. The interest in technological platform development to enable creation of products and processes that support present and future development of multiple options is widely recognized by practitioners and academics. The existing literature considers that platforms already invented and the development is mostly based on exploiting this common platform core to build future markets and technological derivatives. However, when we are in double unknown situations, markets and technologies are highly uncertain and neither market options, nor platform cores are known. Thus, how to start an exploration? How can one ensure platform emergence in double unknown? What are the market and technology conditions that lead to different strategies of platform emergence? To answer these questions, we formally describe identified strategies and fabricate simple economical model to compare them. We illustrate the insights of the model through a case study of innovative technology development in semiconductor industry. Our results allow for better understanding market and technological conditions that allow for minimization of risks and exploration costs in double unknown and exploration costs in double unknown. Following the principle of value creation across various applications, this work extends the comprehension of generic technology design in double unknown.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 139.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

References

  1. Gawer A (2009) Platforms, markets and innovation. Edward Elgar Publishing, Inc., Cheltenham

    Google Scholar 

  2. Baldwin YC (2008) Where do transactions come from? modularity, transactions, and the boundaries of firms. Ind Corp Change 17(1):155–195

    Article  Google Scholar 

  3. Baldwin YC, Clark BK (1997) Managing in an age of modularity. Harvard Bus Rev 75(5):84–93 (Sept–Oct)

    Google Scholar 

  4. Gawer A, Cusumano MA (2008) How companies become platfrom leaders. MIT Sloan Manag Rev 49(2):28–35

    Google Scholar 

  5. Sanchez R (1996) Strategic product creation: managing new interactions of technology, markets, and organizations. Eur Manag J 14(2):121–138

    Article  Google Scholar 

  6. Meyer MH, Utterback JM (1993) The product family and the dynamics of core capability. MIT Sloan Manag Rev 40(2):29–47

    Google Scholar 

  7. Meyer MH, Lehnerd AP (1997) The power of product platforms: building value and cost leadership. Free Press, New York

    Google Scholar 

  8. Krishnan V, Gupta S (2001) Appropriateness and impact of platform-based product development. Manag Sci 47(1):52–68

    Article  Google Scholar 

  9. De Meyer A, Loch HC, Pitch TM (2002) Managing project uncertainty: From variation to chaos. MIT Sloan Manag Rev 43(2):60–67

    Google Scholar 

  10. Keenan T (2003) Identifying emerging generic technologies at the national level: the UK experience. J Forecast 22(2–3):129–160

    Article  Google Scholar 

  11. Maine E, Garsney E (2006) Commercializing generic technology: the case of advanced material ventures. Res Policy 35(3):375–393

    Article  Google Scholar 

  12. Utterback J (1994) Mastering the dynamics of innovation. Harvard Business School Press, Boston

    Google Scholar 

  13. McGrapth ME (1995) Product strategy for high-technologies companies. Irwin Professional Publishing, New York

    Google Scholar 

  14. Le Masson P, Hatchuel A, Weil B (2009) Platforms for the design of platforms: collaborating in the unknown. In: Gawer A (ed) Platforms, markets and innovation. Edwar Elgar Publishing, Cheltenham

    Google Scholar 

  15. Meyer MH, Dalal D (2002) Managing platform architectures and manufacturing processes for non assembled products. J Prod Innov Manag 19(4):277–293

    Article  Google Scholar 

  16. Baldwin YC, Clark BK (2006) Modularity in the design of complex engineering systems. In: Minai A, Braha D, Yan YB (eds) complex engineering systems: science meets technology. New england complex system institute series on complexity, Springer, New York

    Google Scholar 

  17. Sanderson S, Uzumeri M (1995) Managing product families: the case of Sony Walkman. Res Policy 24:761–782

    Article  Google Scholar 

  18. Kokshagina O, Le Masson P, Weil B, Cogez P (2012) Risk management strategies in a highly uncertain environment: understanding the role of common unknown. In: Proceedings, the 19th international product development management conference

    Google Scholar 

  19. Griffin RW (2004) Management. Houghton Mifflin Company, New Delhi

    Google Scholar 

  20. Agbadudu AB (1996) Elementary operations research, vol 1. Mudiaga Press, Benin City

    Google Scholar 

  21. Loch CL, De Meyer A, Pitch MT (2006) Managing the unknown: a new approach to managing high uncertainty in projects. Wiley, New York

    Google Scholar 

  22. Sanchez RB, Bourgault M, Pellerin R (2009) Risk management applied to projects, programs, and portfolios. Int J Managing Projects Bus 2(1):14–35

    Article  Google Scholar 

  23. Chapman C (1990) A risk engineering approach to project risk management. Int J Project Manag 8:5–16

    Article  Google Scholar 

  24. Petit Y, Hobbs B (2011) Project portfolio in dynamic environments: sources of uncertainty and sensing mechanisms. Project Manag J 41(4):46–58

    Article  Google Scholar 

  25. Chapman C, Ward S (2003) Project risk management—process, techniques and insights, 2nd edn. Wiley, New York

    Google Scholar 

  26. Gawer A (2010) The organization of technological platforms. In: Philips N, Sewell G, Griffiths D (eds) Technology and organization: essays in honour of joan woodward (research in the sociology of organizations, vol 29). Emerald Group Publishing Limited, pp 287–296

    Google Scholar 

  27. O’Connor CG, Ravichandran T, Robenson D (2008) Risk management through learning: management practices for radical innovation success. J High Technol Manag Res 19:70–82

    Article  Google Scholar 

  28. Loch CL, Solt ME, Bailey EM (2008) Diagnosing unforeseeable uncertainty in a new venture. J Prod Innov Manag 25:28–46

    Article  Google Scholar 

  29. Pich TM, Loch HC, De Meyer A (2002) On uncertainty, ambiguity and complexity in project management. Manag Sci 48(8):1008–1023

    Article  MATH  Google Scholar 

  30. Van de Ven HA, Polley D (1992) Learning while innovating. Organ Sci 3(1):92–116

    Article  Google Scholar 

  31. Lynn SG, Akgun EA (1998) Innovation strategies under uncertainty: a contingency approach for new product development. Eng Manag J 10(3):11–17

    Google Scholar 

  32. Lenfle S (2011) The strategy of parallel approaches in projects with unforeseeable uncertainty: the Manhattan case in retrospect. Int J Project Manag 29:359–373

    Article  Google Scholar 

  33. McGrath GR (2001) Explorative learning, innovating capacity and management oversight. Acad Manag J 44(1):118–131

    Article  MathSciNet  Google Scholar 

  34. Maidique M, Zirger B (1984) A study of success and failure in product innovation: the case of the U.S. electronics industry. IEEE Trans Eng Manag 31:192–203

    Google Scholar 

  35. Abernathy WJ, Clark KB (1985) Innovation: mapping the winds of creative destruction. Res Policy 14(1):3–22

    Article  Google Scholar 

  36. Oriani R, Sobrero M (2001) Market valuation of firms’ technological knowledge: a real options perspective. In: Extended abstract 21st annual international conference of strategic management society 2001

    Google Scholar 

  37. Ulrich K (1995) The role of product architecture in the manufacturing firm. Res Policy 24:419–440

    Article  Google Scholar 

  38. Muffato M, Roveda M (2002) Product architecture and platforms: a conceptual framework. Int J Technol Manag 24(1):1–16

    Article  Google Scholar 

  39. Joseph I (2010) Project decisions under uncertainty: applications to publicly financed project. Eur J Econ Finan Adm Sci 27:94–110

    Google Scholar 

  40. Lancaster Kelvin J (1966) A new approach to consumer theory. J Polit Econ 74(2):132–157

    Article  MathSciNet  Google Scholar 

  41. Benaroch M (2002) Managing information technology investment risk: a real options perspective. J Manag Inf Syst 19(2):43–84

    Google Scholar 

  42. Cohen MW, Levinthal DA (1989) Innovation and learning: the two faces of R&D. Econ J 99(397):569–596

    Article  Google Scholar 

  43. Le Masson P, Hatchuel A, Weil B (2010) Modeling novelty-driven industrial dynamics with design functions: understanding the role of learning from the unknown. In: proceedings, the Schumpeter society conference on innovation, organization, sustainability and crises, Aalborg, 21–24 June 2010

    Google Scholar 

  44. Le Masson P, Cogez P, Felk Y, Weil B (2012) Revisiting absorptive capacity with a design perspective. Int J Knowl Manag Stud (Forthcoming)

    Google Scholar 

  45. Moore GE (1965) Cramming more components onto integrated circuits. Electron Mag 4

    Google Scholar 

  46. International-Roadmap-Committee (2007) ITRS—executive summary final draft. International technology roadmap for semiconductors

    Google Scholar 

  47. Pettigrew AM (1990) Longitudinal field research on change: theory and practice. Organ Sci 3(1):267–292

    Article  Google Scholar 

  48. Chantre A, Chevalier P, Lacave T, Avenier G, Buczko M, Campidelli Y, Depoyan L, Berthier L, Gacquière C (2010) Pushing conventional SiGe HBT technology towards “Dotfive” terahertz. EuMA

    Google Scholar 

  49. Chevalier P (2007) High-Speed SiGe BiCMOS technologies: 120 nm status and end-of-roadmap challenges. In: Proceedings, silicon monolithic integrated circuits in RF systems, pp 18–23

    Google Scholar 

  50. Geynet B (2008) Développement et étude de transistors bipolaires a hétérojonctions Si/SiGe:C pour les technologies BiCMOS millimétriques. Thèse présentée a l’IEMN de Lille, France

    Google Scholar 

  51. Schaefer S (1999) Product design partitions with complementary components. J Econ Behav Organ 38:311–330

    Article  Google Scholar 

  52. Ernst D (2005) Limits to modularity: reflections on recent development on chip design. Ind Innov 12(3):303–335

    Article  MathSciNet  Google Scholar 

  53. Ferguson CH, Morris CR (1993) Computer wars: how the west can win in a post-IBM world. Times Books, New York

    Google Scholar 

  54. Jacobides MG, Knudsen T, Augier M (2006) Benefiting from innovation: value creation, value appropriation and the role of industry architectures. Res Policy 35:1200–1221

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Olga Kokshagina .

Editor information

Editors and Affiliations

Rights and permissions

Reprints and permissions

Copyright information

© 2013 Springer-Verlag London

About this chapter

Cite this chapter

Kokshagina, O., Le Masson, P., Weil, B., Cogez, P. (2013). Platform Emergence in Double Unknown (Technology, Markets): Common Unknown Strategy. In: Cetindamar, D., Daim, T., Beyhan, B., Basoglu, N. (eds) Strategic Planning Decisions in the High Tech Industry. Springer, London. https://doi.org/10.1007/978-1-4471-4887-6_6

Download citation

  • DOI: https://doi.org/10.1007/978-1-4471-4887-6_6

  • Published:

  • Publisher Name: Springer, London

  • Print ISBN: 978-1-4471-4886-9

  • Online ISBN: 978-1-4471-4887-6

  • eBook Packages: EngineeringEngineering (R0)

Publish with us

Policies and ethics