The nature of 'failure' in a technological initiative: The case of the europrocessor

Technology Analysis and Strategic Management

Volumn 10, Issue 1, 1998, Pages 23-40

  Molina, Alfonso ^a  

^a Department of Business Studies   (United Kingdom)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 11544372213     PISSN: 09537325     EISSN: None     Source Type: Journal    
DOI: 10.1080/09537329808524302     Document Type: Article

References (47)

1. 'Can the Europeans Create a New Microprocessor Standard?', Electronics, December 1988, pp. 29-30. The following companies were involved in the initiative: the chip and systems divisions of Siemens and Philips; Alcatel, Plessey and SGS-Thomson Microelectronics and systems manufacturers ICL, Groupe Bull, Nixdorf and Olivetti.
2. The concern for a European microprocessor capability, however, did not die altogether. Three years later, in July 1991, the European Commission launched the first call for proposals for a major collaborative programme, known as the Open Microprocessor Systems Initiative (OMI). See A. Molina, 'Sociotechnical Constituencies as Processes of Alignment: The Rise of a Large-scale European Information Technology Initiative', Technology in Society, 17, 1995, pp. 385-412.
3. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
4. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
5. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
6. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
7. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
8. A great deal of the literature on technology diffusion has concentrated on the success or failure of products across inter-organizational and, often, market-mediated interactions, transactions and transfers. The focus has mostly been on the overall competitive performance of firms, numerous success and failure factors have been identified by the many studies and various lists and tables can be found abstracting and grouping relevant features, requirements, patterns of development (trajectories), as well as limits and opportunities for managing technological innovation. See, for instance, R. Calantone & R. Cooper, 'New Product Scenarios: Prospects for Success', Journal of Marketing, 45, 1981, pp. 48-60; S. Globe, G. Levy & M. Shwartz, 'Key Factors and Events in the Innovation Process', Research Management, 16, 1973, p. 815; G. Lilien & E. Yoon, 'Determinants of New Industrial Product Performance: A Strategic Reexamination of the Empirical Literature', IEEE Transactions on Engineering Management, 36, 1989, pp. 3-10; M. Maidique & B. Zirger, 'A Study of Success and Failure in Product Innovation: The Case of the US Electronics Industry', IEEE Transactions on Engineering Management, EM-31, 1984, pp. 192-203; R. Rothwell, C. Freeman, A. Horsley, V. Jervis, A. Robertson & J. Townsend, 'SAPPHO Updated - Project SAPPHO Phase II', Research Policy, 3, 1974, pp. 258-291. See also special issue on 'Failed Innovations' in Social Studies of Science, 22, 1992.
9. See A. Molina, 'Transputers and Transputer-based Parallel Computers: Sociotechnical Constituencies and the Build up of British-European Capabilities in Information Technology', Research Policy, 19, 1990, pp. 309-333. A. Molina, 'In Search of Insights into the Generation of Techno-economic Trends: Micro- and Macro-constituencies in the Microprocessor Industry', Research Policy, 22, 1993, pp. 479-506. See also Ref. 2.
10. See A. Molina, 'Transputers and Transputer-based Parallel Computers: Sociotechnical Constituencies and the Build up of British-European Capabilities in Information Technology', Research Policy, 19, 1990, pp. 309-333. A. Molina, 'In Search of Insights into the Generation of Techno-economic Trends: Micro- and Macro-constituencies in the Microprocessor Industry', Research Policy, 22, 1993, pp. 479-506. See also Ref. 2.
11. See 'The Battle Royal in Chips', Business Week, 27 November 1989, pp. 74-78.
12. See 'More Power for Number-crunchers', Financial Times, Computer in Business Survey, 26 May 1988.
13. Molina, 1990, op. cit., Ref. 4, p. 310.
14. Launched in 1985, the transputer was the first microprocessor in the market with in-built generality of purpose and massively parallel processing capability. See C. Whitby-Strevens, 'Transputers - Past, Present and Future', IEEE Micro, December 1990, pp. 16-19 & 76-82.
15. The ARM was designed to provide support for conventional general-purpose sequential processing, particularly for low-cost workstations. See S. Furber & A. Wilson, 'The Acorn RISC Machine - An Architectural View', Electronics and Power, June 1987, pp. 402-405.
16. See 'First German Microprocessor Gains Recognition', Electronics, January 1993, p. 13.
17. See Refs 2 and 4. Also, M. Klaes, 'Sociotechnical Constituencies, Game Theory, and the Diffusion of Compact Disks. An Inter-disciplinary Investigation into the Market for Recorded Music', Research Policy, 25, 1997, pp. 1221-1234.
18. The concept of alignment is used in the literature dealing with the implementation of information technology in the organization. It commonly refers to the process of 'matching' business and information systems strategies but it has also been used, more generally, to deal with the mutual adaptation process involving 'incoming' technologies and user organizations. See D. Leonard-Barton, 'The Case for Integrative Innovation: an Expert System at Digital', Sloan Management Review, 29, 1987, pp. 7-19. For strategic alignment see, for instance, W. Baets, 'Aligning Information Systems with Business Strategy', Journal of Strategic Information Systems, 1, 1992, pp. 205-213; Y. Chan & S. Huff, 'Strategic Information Systems Alignment', Business Quarterly, Autumn 1993, pp. 51-55. J. Luftman, P. Lewis & S. Oldach, 'Transforming the Enterprise: The Alignment of Business and Information Technology Strategies', IBM Systems Journal, 32, 1993, pp. 198-221.
19. The concept of alignment is used in the literature dealing with the implementation of information technology in the organization. It commonly refers to the process of 'matching' business and information systems strategies but it has also been used, more generally, to deal with the mutual adaptation process involving 'incoming' technologies and user organizations. See D. Leonard-Barton, 'The Case for Integrative Innovation: an Expert System at Digital', Sloan Management Review, 29, 1987, pp. 7-19. For strategic alignment see, for instance, W. Baets, 'Aligning Information Systems with Business Strategy', Journal of Strategic Information Systems, 1, 1992, pp. 205-213; Y. Chan & S. Huff, 'Strategic Information Systems Alignment', Business Quarterly, Autumn 1993, pp. 51-55. J. Luftman, P. Lewis & S. Oldach, 'Transforming the Enterprise: The Alignment of Business and Information Technology Strategies', IBM Systems Journal, 32, 1993, pp. 198-221.
20. The concept of alignment is used in the literature dealing with the implementation of information technology in the organization. It commonly refers to the process of 'matching' business and information systems strategies but it has also been used, more generally, to deal with the mutual adaptation process involving 'incoming' technologies and user organizations. See D. Leonard-Barton, 'The Case for Integrative Innovation: an Expert System at Digital', Sloan Management Review, 29, 1987, pp. 7-19. For strategic alignment see, for instance, W. Baets, 'Aligning Information Systems with Business Strategy', Journal of Strategic Information Systems, 1, 1992, pp. 205-213; Y. Chan & S. Huff, 'Strategic Information Systems Alignment', Business Quarterly, Autumn 1993, pp. 51-55. J. Luftman, P. Lewis & S. Oldach, 'Transforming the Enterprise: The Alignment of Business and Information Technology Strategies', IBM Systems Journal, 32, 1993, pp. 198-221.
21. The concept of alignment is used in the literature dealing with the implementation of information technology in the organization. It commonly refers to the process of 'matching' business and information systems strategies but it has also been used, more generally, to deal with the mutual adaptation process involving 'incoming' technologies and user organizations. See D. Leonard-Barton, 'The Case for Integrative Innovation: an Expert System at Digital', Sloan Management Review, 29, 1987, pp. 7-19. For strategic alignment see, for instance, W. Baets, 'Aligning Information Systems with Business Strategy', Journal of Strategic Information Systems, 1, 1992, pp. 205-213; Y. Chan & S. Huff, 'Strategic Information Systems Alignment', Business Quarterly, Autumn 1993, pp. 51-55. J. Luftman, P. Lewis & S. Oldach, 'Transforming the Enterprise: The Alignment of Business and Information Technology Strategies', IBM Systems Journal, 32, 1993, pp. 198-221.
22. For further discussion of the concept of Sociotechnical alignment, see Molina, op. cit., Ref. 2. Also, A. Molina, 'Insights into the Nature of Technology Diffusion and Implementation: The Perspective of Sociotechnical Alignment', Technovation, 17, 1997, pp. 601-626.
23. For further discussion of the concept of Sociotechnical alignment, see Molina, op. cit., Ref. 2. Also, A. Molina, 'Insights into the Nature of Technology Diffusion and Implementation: The Perspective of Sociotechnical Alignment', Technovation, 17, 1997, pp. 601-626.
24. Williamson uses the term 'governance structure' to refer to "the institutional matrix or framework within which transactions are negotiated and executed" (O. Williamson, 'Transaction-cost Economics: The Governance of Contractual Relations', Journal of Law and Economics, 22, 1979, pp. 233-261, at p. 239). Governance is used here in the similar sense of the organization's framework guiding or influencing individual and collective interactions and associated programme definitions.
25. See H. Simon, Administrative Behaviour (New York, Macmillan, 1957); R. Cyert & J. March, A Behavioural Theory of the Firm (Englewood Cliffs, NJ, Prentice Hall, 1963). March names them superordinate goals. See J. March, 'The Business Firm as a Political Coalition', Journal of Politics, 24, 1962, pp. 662-678.
26. See H. Simon, Administrative Behaviour (New York, Macmillan, 1957); R. Cyert & J. March, A Behavioural Theory of the Firm (Englewood Cliffs, NJ, Prentice Hall, 1963). March names them superordinate goals. See J. March, 'The Business Firm as a Political Coalition', Journal of Politics, 24, 1962, pp. 662-678.
27. See H. Simon, Administrative Behaviour (New York, Macmillan, 1957); R. Cyert & J. March, A Behavioural Theory of the Firm (Englewood Cliffs, NJ, Prentice Hall, 1963). March names them superordinate goals. See J. March, 'The Business Firm as a Political Coalition', Journal of Politics, 24, 1962, pp. 662-678.
28. J. Child, Organizational Structure, Environment and Performance: The Role of Strategic Choice', Sociology, 6, 1972, pp. 2-22.
29. The Group of Twelve comprised Siemens, AEG and Nixdorf from Germany; Groupe Bull, Thomson and CGE from France; ICL, GEC and Plessey from the UK; Olivetti and STET from Italy; and Philips from the Netherlands.
30. Experience on large-scale initiatives was limited to the programmes RACE (Research and Development in Advanced Communications Technologies in Europe) started in 1987.
31. Communication with senior Philips' representatives to the round table.
32. EMI, European Microprocessor Initiative: Position Paper for the Information Technology Round Table (Brussels, ESPRIT, 1988), p. 1, emphasis in original text. A senior representative from Siemens Semiconductor recalls that "we had, I would say nearly 15 years more or less, a very close cooperation with Intel [then] Intel decided not to continue the cooperation but to go it alone in the market and Siemens was then in a difficult situation: what should we do?" (interview).
33. Interview with convener of the round table's subgroup on microprocessor.
34. ESPRIT Industrial Working Group (IWG), Open Microystems Initiative, 1991 Work Programme, IWG Plan 5 December (Brussels, ESPRIT, 1990), p. 4.
35. EMI, op. cit., Ref. 20, p. 1.
36. Electronics, op. cit., Ref. 1.
37. The emergence of UNIX as 'a hardware independent operating system' was seen as another important factor in the 'window of opportunity'.
38. An application package is fully portable when it can be used in (ported to) different kinds of machines without modifications.
39. Estimates for the Western European market between 1992 and 1995 were as follows. Embedded control would sell between 1 and 10 million units at a unit price of between US S20 and S30. The same figures were estimated for the PC/low-end workstation market. The multi-users/high-end workstation market would sell between 100000 and 500000 units at a unit price of USS100. (EMI, op. cit., Ref. 20, p. 2).
40. Ibid., p. 3.
41. Ibid., p. 4. EURORISC's mission would be to develop a family of RISC microprocessors and support chips; to develop the basic software (operating system, compilers, debuggers etc.); to develop a full set of design tools; to develop the evaluation and development systems; to provide technical support to the systems integrators; to promote the EURORISC architecture and products. The expected revenues for the venture would come from: royalties on chips sold by licensed IC manufacturers; royalties or sales of software; sales of development systems and design tools; sales of technical support and education (ibid).
42. Electronus, op. cit., Ref. 1.
43. Interview with convener of the round table's subgroup on microprocessors.
44. Communication with senior Olivetti representative to the round table.
45. Interview with convener of the round table's subgroup on microprocessors.
46. Molina, op. cit., Ref. 2.
47. Interview with convener of the round table's subgroup on microprocessors.