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Miplm Case Study Smart Farming

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Solution to a case study on IP-strategy development and implementation
Content of the MIPLM course 2017 / 18

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Miplm Case Study Smart Farming

  1. 1. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 1 of 14 © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer CEIPI MIPLM Module 6: Case Study Smart Farming (M6-26)
  2. 2. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 2 of 14 Strategic Analysis Strategy Objectives Strategy Formulation Task Tool IP Focus External Internal Output - Threats / Opportunities - Industry structure - Strengths / weaknesses - Value proposition Positioning Output - Sources of competitive advantages - Strategic direction Appro- priation Impact Function Economic effect: Premium price Economic effect: Market share External - Five forces analysis - Industry value chain Internal - Value chain analysis - Business model analysis External - Bargaining power through IP Internal - Increasing the strategic value of resources - Role of IP in the business model - SWOT analysis - Portfolio analysis IP alignment to: 1. Market attractiveness 2. Resource strength IP strategy Development tool Creating and sustaining competitive advantages IP Strategy Development
  3. 3. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 3 of 14 Case Study: CLAAS Ability to Change Factors requiring the change:  External influence: digitization of the industry  As a reaction → new market positioning
  4. 4. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 4 of 14 Case Study: CLAAS New Market Positioning Porter’s Generic Strategies – Positioning within an industry Source of competitive advantage Low cost Differentiation Competitivescope Industry-wide Cost leadership Differentiation Single segment Focus Reorientation (Farm Management) leads to new market positioning and new competitors.
  5. 5. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 5 of 14 Case Study: CLAAS Portfolio Analysis Examination of the dynamics of portfolio development within certain technological fields (e.g. Farm Management):  dynamic environment,  CLAAS as a technology leader,  the number of applications related to agricultural machinery worldwide is on the increase,  relevance of technological fields beyond agricultural engineering greater for larger companies.
  6. 6. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 6 of 14 Case Study: CLAAS Decision Theory From the portfolio analysis the decision was derived to build up a new patent position. Farm management was identified as a target sector.
  7. 7. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 7 of 14 Case Study: CLAAS IP Design Storyline (Activities) Environments Interactions Objects User Process step 1 Process step 2 Process step 3 Process step … Process step n Cognitive WalkthroughAEIOU-Method Swimlane illustration Scenario examination IP design relies on a combination of different design thinking methods IP design can be applied to reach the required patent position. When using this tool, first the need for IP is determined and then covered by synthetic inventions.
  8. 8. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 8 of 14 Case Study: CLAAS Organizational Structure “Farm Management” R&D Finance Manufacturing Marketing President Functional Structure Divisional Structure Division 1 President Manu- facturing Marketing R&D Finance Division 2 Manu- facturing Marketing R&D Finance Division n Farm Management Manu- facturing Marketing R&D Finance … Establishment of a new organizational unit to realize the innovation "Farm Management“.
  9. 9. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 9 of 14 Case Study: CLAAS Institutional Economics - Agency Theory Agency Theory  Explanation and design of relationships between contracting individuals with asymmetric information. Principal offers a contract and agents fulfill the contract. Principals can’t control the effort of agents and thus have less information. Hidden Characteristics No information on the characteristics of the agents or the offered input. adverse selection ex ante problem Hidden Action Effort of the agent to fulfill the contract can‘t be observed by the principal. moral hazard ex post problem Types of asymmetric information: Hidden Intention Principal can observe the effort of the agent but not his intentions. hold up ex post problem Solution: Incentivizing to make patents in the new digital field.
  10. 10. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 10 of 14 Case Study: CLAAS IP Controlling  Transparency: IP Controlling delivers information that is relevant for planning, budgeting and control.  Allocation of resources: Formulating concrete targets and prioritizing specific (potential) areas of exclusivity will lead to an IP portfolio structure which is strictly oriented at maximizing benefits. This ensures that the resources are allocated in a meaningful way.  Controls: Formulating concrete targets and controlling the target achievement leads to systematic integration of IP into the business model and with this to generate maximum benefit.  Optimization: The continuous surveillance of IP related costs and benefits their documentation and analysis allow for the target-oriented design / optimization of the IP portfolio (following indicators of performance). In addition IP related budgeting can be tied to the benefit expected from IP. Benefits of IP Controlling CLAAS:  Regular review of the portfolio and continuous comparison with the competitors  By outsourcing the new area, transparency of the results
  11. 11. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 11 of 14 Case Study: CLAAS IP Controlling CLAAS invested strongly in the target aimed generation of patents in the relevant technology fields and strengthened its position in an highly competitive IP environment.
  12. 12. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 12 of 14 Case Study: CLAAS Change Management Need for Change Evaluate problems and opportunities, and define needed changes in technology, products, people, and culture Environment Forces Monitor global competition, customers, competitors, and other factors Internal Forces Consider plans, goals, company problems, and needs Implement Change Use force-field analysis, tactics for overcoming resistance Change for CLAAS: From machine sales to digital platform
  13. 13. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 13 of 14 Case Study: CLAAS Change Management Employee skills role Strategy partnership market entry Structures organizational structure process org. Equipment resources technology Leadership Promoter e.g. shareholder Market e.g. customer, competitor Result product services Return turnover and profit customer satisfaction assets, image
  14. 14. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer Page 14 of 14 © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer STEINBEIS-TRANSFER-INSTITUTE Intellectual Property Management Director: Prof. Dr. Alexander J. Wurzer Thalkirchner Str. 2 D - 80337 Munich Phone: +49 (0)89 / 74 63 92 16 Fax: +49 (0)89 / 72 44 909 61 E-Mail: alexander.wurzer@sti-ipm.de Internet: www.sti-ipm.de

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