How to Avoid Innovation Competence Loss in R&D Outsourcing. (February 2017)

• Record Type: Journal Article
• Authors: Becker, Markus C.; Zirpoli, Francesco
• Is Part Of: California management review. Volume 59:Number 2(2017)
• Page Start: 24
• Page End: 44
• Publication Date: 2017-02
• Subjects: automobile industry -- innovation management -- new product management -- learning -- organizational design -- outsourcing -- case study -- technology management; Industrial management -- Periodicals; Industrial management; Management; Bedrijfseconomie; Periodicals; 658.005
• DOI: 10.1177/0008125617697941
• Languages: English
• ISSNs: 0008-1256

Abstract

Companies developing complex products face a crucial dilemma: the benefits of research and development (R&D) outsourcing such as lower costs, access to specialist knowledge, or shorter development lead times often have negative consequences for competence development due to the loss of opportunities for learning by doing. Having experienced the problems of outsourcing R&D, Fiat developed a novel organizational solution that offers new insights as to how firms can organize R&D to protect against innovation competence loss in R&D outsourcing.