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1 The Industrial College of the Armed Forces Creating Strategic Opportunities for Transformational Innovation in a Globalized World Dr. Mark L. Montroll.

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Presentation on theme: "1 The Industrial College of the Armed Forces Creating Strategic Opportunities for Transformational Innovation in a Globalized World Dr. Mark L. Montroll."— Presentation transcript:

1 1 The Industrial College of the Armed Forces Creating Strategic Opportunities for Transformational Innovation in a Globalized World Dr. Mark L. Montroll Professor, Industrial College of the Armed Forces National Defense University Washington, DC Presented to: NATO Science For Peace Project 982063 Research and Development Strategies: Support of Dual Industrial Transformation International Conference National Defence College Bucharest, Romania 1 November 2007

2 2 Agenda Overview Theories of Innovation and Disruptive Technology Impact of Globalization on the Development of Innovation and Commercialization Concept Integration Case Study Examples Challenges Final Observations

3 3 Overview Modern Theories of Innovation Development, Economic Globalization and Technology Commercialization Combine to Provide Powerful Insights for Renewed Economic Growth. International Defense and Security Requirements depend on the Commercial Marketplace. Dual-Use Technology, Products and Services Coexist in the Marketplace and Support Each Other.

4 4 Theories of Innovation and Disruptive Technology Disruptive Innovation Theory –Underserved, Overshot and Non-User Customers –Low-End Disruption –New-Market Disruption Resources, Processes and Values Theory –What you have; What you do; What you want to do Emergent Strategy Theory –Uncertain Circumstances – Adapt to Market Signals –Patient for Growth – Impatient for Profit

5 5 Impact of Globalization on the Development of Innovation and Commercialization 10 Flatteners: –Berlin Wall Came Down –Renewed East-West Linkage –Netscape Went Public – Dot-Com Boom –Work-Flow Software – Connectivity & Productivity –Outsourcing – Commodity Process Sourcing Options –Offshoring – Cost-Efficiencies –Uploading – Open Sourcing, Equal Access, Podcasts –Supply-chaining – Strategic Process –Insourcing – Comparative Advantage – Refocus on Core –Informing – Google, Search Engines, Access to information –Collaborative Initiatives – VoIP, Wireless, File-sharing

6 6 Impact of Globalization on the Development of Innovation and Commercialization Triple Convergence: –Convergence #1: All 10 Flatteners are Happening Together –Convergence #2: Work Habits Changing from Vertical & Exclusive to Horizontal & Inclusive –Convergence #3: Three Billion New Digital Workers Entered the Global Economy

7 7 Concept Integration Redeploy Resources – Talent and Infrastructure –Cross Disciplines –Cross Border Collaboration –Horizontal Integration Mass Customization –Global Communication, Supply Chain & Delivery Processes Dual Use Markets –Industrial (Shipbuilding), Power (Density, Portability), Digital (Communications, Processing), Miniaturization (Power requirements, Weight, Functionality), Bio- Medical (Instrumentation, Clinical)

8 8 Case Study Examples Philadelphia Naval Shipyard –Closed as part of Base Realignment and Closure Process Aker Shipyard Opened on Site Build Commercial Ships using European Design, construction practices, and specialized modules Austal Shipyard, Australia –Build Fast Ferries – new technologies and designs Open plant in US using Australian Design and construction practices Building commercial and military ships in same plant HP – Precision Electronic Test Equipment for Defense and Aerospace Industry –Laser Printers –Inkjet Printer Technology –Personal Computers –Nano-Technology Research –Medical use of Inkjet Technology –Precision Inkjet Technology combined with Nano-Technology

9 9 Challenges Nurture Scientific Expertise and Comparative Advantage European Single Labor Market for Science Opportunities for International Collaboration –NATO Science for Peace –EU Research Framework Programme – FP7 http://cordis.europa.eu/fp7/home_en.html Underserved, Overshot and Non-User Customers Miniaturization Markets (Non-Market Markets) Commercialization Process – Persistence Counts! –Patient for Growth – Impatient for Profit

10 10 Final Observations Globalization Brings Great Opportunities New Ways to Connect to the World Traditional Expertise More Important Than Ever Low-End Disruption is a Dual-Use Start Point Collaboration is Key


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