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Yonggen Wan

DBA Graduate - 2013

Thesis title

comparative case studies in the innovation management model of fast-growing and mature telecommunication companies in China


Jie Yan
After fast growth in recent 20 years, Chinese economy has made attractive progress in the world, and is well known as the world manufacture centre. Many Chinese firms especially in high-tech industries have started to technically lead in the China and international market. However, in the Western literature, Chinese companies are still focusing on copy rather than innovators, while China is a country with huge manufacturing capability but poor in advanced technology, innovation and R&D competence. These visions are facing challenges from fast growing Chinese telecom equipment industry. As one of the major telecom vendor in China and worldwide telecom market, much attention has been paid to Huawei Technologies Co. Ltd. (Huawei), particularly in its product development. The success of Huawei was the results introduced by a huge effort to reengineer its previous product development process based on Integrated Product Development (IPD), which helps Huawei to improve R&D efficiency and competence with high quality, to reduce time-to-market, efficiently to fill market requirement for their telecom customer significantly. Since IPD originated from PACE (Produce And Cycle-time Excellence) theory, IPD has been widely discussed and adopted in the R&D (Research&Development) among different industries. However, while IPD theory has been wildly and deeply developed, few of them focus on the product development of telecom equipment vendors, especially telecom equipment vendors in developing countries, like China. The existing theory of product development theory just focus on the research and analysis about the telecom vendors in developed countries, and can’t explain why the Chinese telecom vendors, like Huawei can develop competitive telecom solution and becoming a leading telecom player in very short time. The present research analyzes a special group of telecom vendors in China, which are the companies in the first tier of world telecom equipment vendor, like Page III of 229 III Nokia-Siemens, Ericsson and Alcatel-Lucent etc. with explicit strategy to develop product dependent on their product developemtn competence themselves . This research will specify the context of IPD model and clarify IPD process in order to point out the key facts of a successful product development process in telecom vendors. Meanwhile, through the comparison between different telecom equipment vendors and cast study, this research will analyze the differentiation of product development between a famous fast growing telecom vendor, Huawei and a stable growth telecom vendor-ASB (Alcatel-Lucent Shanghai Bell), and clarify how these differentiations support Huawei to grow up consistently in terms of R&D competence, product portfolio and market position etc.