Big pharmaceutical companies develop new business models to cope with the innovation crisis (patent loss, drying up of pipelines) and to improve their productivity in R&D and innovation. These pressures led big players to transform or reinvent their business models to sustain value creation from R&D and innovation. However, to our knowledge, there is still a lack of understanding regarding the “strategic alignment” of these organizational changes and on how they are perceived by organizational members. This assessment is important to identify both the levers and obstacles and, if necessary, to shape or reorient organizational change. In 2007, a new organization of Research and Development was implemented within Roche. The R&D is a matrix organization with five autonomous DBAs (.Disease Biology Areas). The new model is designed to ensure that Roche’s steadily expanding R&D operations are suitably equipped to meet increasingly complex requirements. By simplifying and accelerating the multiple decision-making processes involved, the model would be more efficient and effective in translating research activity in each therapeutic area into clinically differentiated medicines. It also enables an improved integration of the Group’s growing number of development projects. A decision was made to use Burke and Litwin’s (1992) model of organizational performance and change to assess how transformational and transactional factors are perceived by key actors (managers, team leaders and team members). Data collection and analysis (secondary and primary data) and questionnaires (62 interviews) relating to these factors show that progress has been made and that some other issues still have to be improved. Besides the vision, mission and values associated with the Roche project, that have been clearly communicated and understood, significant progress has been made in the quality of the decision-making process due to the cross functional cooperation between research and early development in the matrix organization (DBA) (time, simplification, flexibility). However, this structure is perceived as being complex. There is a positive relation between improvements in communication and the positive perception of the new structure. Even if respondents think that the implementation of the Roche project takes time and effort, they also think that substantial improvements will follow. A majority of the interviewees perceived that there are too many processes within Roche. This diagnosis also pointed out issues that need to be improved, like communication between teams and departments, idea generation and implementation. This analysis led to the conclusion that change processes induced by the Roche project are characterized by stable and dynamic dimensions. Stable dimensions are transformational and oriented towards the long term. They cover the company’s vision, mission, values, and strategies, while dynamic dimensions relate to the organizational structures, and, more importantly, to the “human factor” that is considered as the key success factor in creating value.
Abstract: This paper aims at studying the benefits of forms of innovations on the environment. Using two waves of Community Innovation Survey - CIS datasets, we are able to investigate the impact of four forms of innovations (Product, Process, Organizational and Marketing) during the 2004-2006 period on two types of environmental benefits (for the firm and for the end user) during the period 2006-2008. Our findings indicate that product innovation as no significant impact on environmental footprint whereas three other forms: process, organizational and marketing innovations have a positive and significant impact. Companies that implement specific procedures dedicated to measure and control their environmental impact are more prone to reduce their negative outcomes on the environment. Key words: Environmental Innovation; Forms of Innovation; Determinants; Empirical analysis; France. JEL codes: Q55; D22; C10
Abstract: This paper aims at understanding if the national innovation system affects the perception of obstacles to innovation by innovators, firms engaged in innovative activities that have introduced technological innovation. The research objective is reached by comparing the perception of obstacles faced by French and Italian firms and by analyzing the differences in the determinants of barriers to innovation during the period 2002-2004 using CIS4. Descriptive statistical analysis highlights that the perception of obstacles varies across countries. In particular, French innovators are more affected by barriers to innovation. A multivariate probit model allows us to study simultaneously the different barriers taking into account their potential interdependence. The main results imply that policy makers aimed at lower the barriers to innovation, beyond common policy objectives, should design country-specific public subsidies that target the specific determinants of obstacles highlighted at country level. Keywords: Obstacles to innovation, Innovators, National Innovation System, France, Italy JEL codes: O31, O32, O33, O38
Abstract: This paper explores the relationships among product, process and organization innovation, examining the complementarities-in-performance between these forms of innovation, within a supermodularity framework. Drawing upon two rich samples of French and UK manufacturing firms using CIS4 (2002-2004), we explore whether firms can find a beneficial interplay between different forms of innovation. Since unconditional tests are often inconclusive about these complementarities, we implement a new procedure involving a pairwise relation conditional on the presence/absence of a third form. Using this approach, we find complementarities between product and process innovations in French and UK firms and between organization and product innovations in French firms, but no complementarities between all three forms of innovation. Using different sub-samples, we show that the presence of complementarities depends on the national context as well as on firm size and firm capabilities, which gives support to the contingency perspective. Keywords: Innovation, Product Innovation, Process Innovation, Organizational Innovation Complementarities, Supermodularity, UK, France JEL codes: C12, D24, L25, O31
Abstract Previous research brought evidence of the influence of board composition for bringing strategic resources for innovation, as well as evidence of positive outcomes of board diversity. Only a few studies have investigated the effects of various indicators of board diversity on innovation. In this article, we will explore the relationship between several aspects of board diversity (gender and age) and four types of innovation, i.e. product, process, organizational, and marketing, from a sample of 176 French firms based on data from French Community Innovation Survey (CIS) in 2008 and annual reports. Our results show evidence of the influence of board diversity on all types of innovation except process innovation. We find significant evidence of a positive relationship between gender diversity on boards and marketing innovation, and a negative relationship between gender diversity and product innovation. Age diversity shows a positive relationship with product innovation, and a negative impact one on organizational innovation. Findings provide discussions for the impact of board diversity on innovation. Key words Board of directors – Board composition – diversity – gender – age – innovation.
