The strategic use of patents and standards for new product development knowledge transfer

Abstract

In this article, we develop a theoretical understanding of patenting and standardization strategies and analyze their practical implementation for in‐ and outbound knowledge transfer in new product development processes. Our case study consists of two original equipment manufacturers (OEMs) and one supplier active in the global automotive industry. We consult extensive external and company documents as well as interviews with 13 company experts. Although our theoretical considerations suggest that standardization, patenting and their interrelation can be of considerable importance for knowledge transfer in new product development and innovation processes, this is hardly implemented in practice. The resources devoted to patenting by far outweigh those for the standardization process. Neither of the OEMs have their standardization strategy linked to their new product development processes; only patenting strategies are considered in the new product development processes. The surveyed supplier, however, uses standardization strategically. We further consider how a standardization strategy should relate to the patenting strategy in terms of generating the most beneficial outcome for knowledge transfer. We recommend an integrated standardization strategy that is analogously to the patenting strategy and tied to the new product development process.

The role of standardization at the interface of product and process development in biotechnology

“…Therefore, standardization can also reduce complexity and leverage investments along the innovation process (Krishnan and Gupta 2001). Our findings are in line with Großmann et al (2016) who argue that standards serve for transferring codified idiosyncratic knowledge within and outside the company. Furthermore, standardization facilitates technology transfer by providing privileged access to interdisciplinary knowhow (Großmann et al 2016).…”

“…Our findings are in line with Großmann et al (2016) who argue that standards serve for transferring codified idiosyncratic knowledge within and outside the company. Furthermore, standardization facilitates technology transfer by providing privileged access to interdisciplinary knowhow (Großmann et al 2016). Through this seamless coordination product and process development benefit by avoiding costly (additional) integration mechanisms.…”

“…As a result, we assume that standards are capable of providing a seamless transition from product development to process development. Großmann et al (2016) show that standards can serve as knowledge and technology transfer mechanisms in new product development. Standards and routines embody codified knowledge repositories (Cowan 2000) providing structured information for optimal product-process integration.…”

“…Standardization has been described as knowledge and technology transfer activity that supports new product development (Großmann et al 2016). Using and integrating prior knowledge into so called 'platform technologies' in turn facilitates standardization.…”

“…Particularly, in the light of several concurrent NPD projects, the objective is to generate a transferable process understanding which can be used in multiple problem settings. Hence, during the development of products, platform technologies serve as repositories of knowledge where either new knowledge is added to the knowledge base or the existing knowledge base can be easily accessed (Großmann et al 2016). Integrative data and knowledge management is a precondition in order to convert experience into higher product quality and shorter time-to-market.…”