TM 743
Decision Making in Technology Management
Chaiwat Lerkbunrong
Napas Daengbunga
Piyapong Rotnaparai
Sodsai Chirachariyakul
Suksawat Paiphansiri
Tassamon Rungratnaubol
Wanitcha Khamwathee
5823030175
5823030126
5823030100
5823030134
5823030142
5823030050
5823030092
Nation - China
Organization Huawei
Chinas National Economic and Social Development Plan 2016-2020
Chinas National Innovation System (NIS)
Policy of Chinas Ministry of Science and Technology
Made in China 2025
Summary
Background
Financial
Analysis
Summary
Summary & Suggestion
Agenda
Chinas National Economic
and Social Development Plan 2016-2020
Chinas National Economic
and Social Development Plan 2016-2020
Chinas National Economic
and Social Development Plan 2016-2020
Innovative District Area
Source : http://www.innovativechina.com/2013/10/rd-china-nesta-provides-great-overview/
Chinas National Economic
and Social Development Plan 2016-2020
Chinas National Economic
and Social Development Plan 2016-2020
GDP Annual Growth Rate
China GDP
6.5%
Source : https://knoema.com/tbocwag/gdp-by-country-1980-2015?country=China
GDP
10,983 US$
Chinas National Economic
and Social Development Plan 2016-2020
Business R&D Intensity and Government Support to Business R&D
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
http://www.rba.gov.au/speeches/2016/sp-ag-2016-06-16.html
Chinas National Economic
and Social Development Plan 2016-2020
Background
Change in Government Support for Business R&D through Direct
Funding and Tax Incentives
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
Background
Ministry of Science and Technology of the People's Republic of China
Minister
With a PhD in engineering, Professor WAN Gang is Vice
Chairman of the 11th Chinese People's Political Consultative
Conference (CPPCC), Chairman of China Zhi Gong Party, and
Minister of Science and Technology
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
Background
Ministry of Science and Technology of the People's Republic of China
Departments and Offices
Department of Policies, Regulation and Supervision
(Office of Innovation System)
Department of Innovation and Development
Department of Resource Allocation and
Management
Office of Major S&T Projects
Department of High-tech Development and
Industrialization
Department of S&T for Rural Development
Department of S&T for Social Development
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
Ministry of Science and Technology of the People's Republic of China
Main tasks of most
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
China's
STI policies and international strategy
Background
Medium and Long Term S&T Development Plan 2006-2020
1. Enhance Chinas S&T and innovation capabilities;
2. Use innovation as a tool to restructure Chinese industry and shift growth from investmentdriven to innovation-driven;
3. Build a conservation-minded and environmentally friendly society; and
4.Enhance independent innovation capabilities as a national priority.
Source : https://www.oecd.org/sti/RDTaxIncentives-Data-Statistics-Scoreboard.pdf
China's STI policies and international strategy
Medium and Long Term S&T Development Plan 2006-2020
Quantitative targets:
Raise R&D expenditures to 2.5% of GDP by 2020.
Rank among the worlds top five in patenting and
international citations.
Source : https://data.oecd.org/rd/gross-domestic-spending-on-r-d.htm
China's STI policies and international strategy
12th Five-year Plan for S&T Development 2011-15
1. Improve indigenous innovation capability, especially in firms;
2. Strengthen S&T competitiveness and international influence with a focus on development of
human resources, creativity and innovation culture;
3. Make breakthroughs in core and critical technologies in key areas to support economic
restructuring;
4. Develop a functional, well-structured and efficient national innovation system through reform of
the public research and S&T governance systems and better co-ordination and collaboration among
stakeholders.
Source : https://data.oecd.org/rd/gross-domestic-spending-on-r-d.htm
China's STI policies and international strategy
12th Five-year Plan for S&T Development 2011-15
Quantitative targets:
Raise R&D expenditures to 2.2% of GDP.
Raise investment of large and medium-sized industrial enterprises in R&D to an average of 1.5% of
their revenue.
Increase proprietary core technologies. Increase the role of large-scale enterprises in driving
technological innovation. Foster world-leading innovative SMEs.
Raise the number of researchers to 43 out of every 10 000 employees.
Raise the share of citizens with basic scientific proficiency to over 5%.
Source : https://data.oecd.org/rd/gross-domestic-spending-on-r-d.htm
China's STI policies and international strategy
12th Five-year Plan for S&T Development 2011-15
Raise R&D expenditures to 2.2% of GDP.
Source : https://data.oecd.org/rd/gross-domestic-spending-on-r-d.htm
China's STI policies and international strategy
12th Five-year Plan for S&T Development 2011-15
Raise the number of researchers to 43 out of every 10 000 employees.
Source :
https://data.oecd.org/rd/researchers.htm#indicator-chart
https://data.oecd.org/rd/government-researchers.htm#indicator-chart
Made in China 2025
"Made in China 2025" is an initiative to comprehensively upgrade
Chinese industry that is inspired by Germany's "Industry 4.0" plan,
which was first discussed in 2011 and later adopted in 2013. The
heart of the Industry 4.0 idea is intelligent manufacturing
Source : www.csis.org/analysis/made-in-china2025
Made in China 2025
Strategy Factors
Source : http://community.iotone.com/t/made-in-china-2025-2025/28
Made in China 2025
Source : http://community.iotone.com/t/made-in-china-2025-2025/28
ZHONG GUAN CUN (Chinas Science park)
Zhong guan cun is the name of a place in the Haidian District,
northwest of Beijing
High-tech Science Park similar to the Silicon Valley in the U.S.
Zhong guan cun has grown up from an Electronic Street
Stone Group Corporation, Legend Group Corporation, BD
Founder Group, Qinghua Violet
Cluster Model
University
Peking University
Tsinghua University
Chongqing Jiaotong University
Chinese Academy of Social Sciences
Over 100 institutions in Chinese Academy of Science(CAS)
Organization
Tech High Technology Industry
Development Center
Government-Financed Venture
Capital Funds (GVCFs)
Technology Cluster in ZSP
Biopharma
New Energy
Environment
High-Tech
Firm infrastructure
Infrastructure
Research infrastructure
S&T infrastructure platform
High speed railway network
University
Industry
Government
High Technology Industry to Market
Diamonds Model
Encourage to expert
Discount tax & interest
R&D budget
infrastructure
High Potential Resources
Facilities
Explore the new trend
Social Value
Partnership
Conformed Policy
state agency
Nation - China
Organization Huawei
Chinas National Economic and Social Development Plan 2016-2020
Chinas National Innovation System (NIS)
Policy of Chinas Ministry of Science and Technology
Made in China 2025
Summary
Background
Financial
Analysis
Summary
Summary & Suggestion
Agenda
The Meaning of HUAWEI is flower
Timeline
First major product, a digital
telephone switchboard
Built more than 480 data centers as of the end of 2014,
among which over 160 were cloud data centers.
2014
1993
1987
Huawei was founded
2003
Huawei established its
handset department.
Source : http://huawei.com/en/about-huawei/milestone
2013
We launched the worlds first service- and
user experience-centric agile network
architecture,
2015
Huawei launched the world's first SDN-based
agile IoT solution.
Huawei - Vision & Mission
Vision
To bridge the digital divide, and promote the harmonious and sustainable development of the economy,
the environment, and society
Mission
To establish an excellent sustainability management system, operate with integrity and compliance,
continuously improve communication with stakeholders, promote a harmonious business ecosystem,
ensure the sustainable development of the company, and provide benefits to our customers and society
Source : http://www.huawei.com/en/about-huawei/annual-report/2015
Huawei Global Service center
Patent Portfolio 2015
Global industry
China industry
3,800
3868
Source :
http://www.greyb.com/patent-portfolio-analysis-of-xiaomi-global-expansion-plan/
http://www.huawei.com/en/news/2016/3/WIPO-names-Huawei-1-filer
http://blog.lenovo.com/en/blog/10-things-you-probably-didnt-know-about-lenovo/
3,898
Huawei - Partner
Source : http://http://www.huawei.com/en/partner/Seeking%20Partners/Value-added%20Service%20Partner%20Program
Huawei - Products & Solutions
Huawei is organized around three core business segments:
1.Consumer Business
2.Enterprise Business
3. Carrier Business
Source :
http://www.huawei.com/en/carrier/index.htm
http://consumer.huawei.com/en/index.htm
http://e.huawei.com/en /
Huawei - Products & Solutions
1.Consumer Business
Source : http://consumer.huawei.com/en/index.htm
Huawei - Products & Solutions
2.Enterprise Business
Source :http://e.huawei.com/en /
Huawei - Products & Solutions
3. Carrier Business
Source : http://www.huawei.com/en/carrier/index.htm
Smartphone Market share 2011-2015
Source : http://http://blog.daum.net/_blog/BlogTypeView.do?blogid=0Idbt&articleno=7594221
Broadband equipment market share 2015
Source : http://www.telecomlead.com/telecom-statistics/huawei-leads-telecoms-voip-ims-market-2015-67832
Huawei - Finance management
Revenues
Source : http://www.huawei.com/en/about-huawei/annual-report/2015
Market
Huawei - Finance management
Source : http://www.huawei.com/en/about-huawei/annual-report/2015
SWOT Analysis
Strengths
Employee know how and competence
Strong Market Share
Strong in R&D department
Flexible and responsive organization
Distribution channel
Dealing with good partners
Increase products line
Economy of scale
Opportunities
Android OS is the most popular
Government support
Demand increasing in Developing country
Expand to New Market
Weaknesses
Low revenue and Earning
Huawei 's lawsuit with Cisco
Nationalism
Limited Equity
Huawei
Threats
People have preconceptions
Rivals have strong competitive
Technology always change
Five Forces
Potential entrants
Smart phone Huawei : Low
Broad band equipment : Low
Suppliers
New Entrants
Competitive rivalry within the industry
Industry
competitors
Bargaining power of suppliers
Buyers
Bargaining power of buyers
Smart phone Huawei : High
Broad band equipment : Medium
Smart phone Huawei : Low
Broad band equipment : Low
Substitutes
Michael E. Porter, 1980, Five Forces model
Smart phone Huawei : High
Broad band equipment : Medium
Threat of substitute products or services
Smart phone Huawei : Low
Broad band equipment : Low
PESTEL
Politics
Government support technology and innovation
Founder have good relationship with china government
Policy of NIS
Legal
Consult about Law
Intellectual property
Economy
Environment
Social
Air and water pollution
Save energy (Solar cell)
Save energy (the new plant)
Technology
Johnson et al. (2014)
China economy growth
FDI
Largest telecom market
High investment
Develop 5G technology
Higher education
Best Living
Exchange culture
BCG Matrix Analysis
Botson Consulting Group
lnnovation Life Cycle
Utterback and Abernathy (1975); Twiss (1995) ; Rogers (2003)
Competitive Advantage
Smart Phone Business
Michael E. Porter, 1985, Competitive Advantage: Creating and Sustaining Superior Performance
Enterprise Business
Evaluate method
Nation - China
Organization Huawei
Chinas National Economic and Social Development Plan 2016-2020
Chinas National Innovation System (NIS)
Made in China 2025
Summary
Background
Financial
Analysis
Summary
Summary & Suggestion
Agenda
Summary - Nationality
National Innovation System (NIS)
Chinas National Economic and Social Development
Plan 2016-2020
12th Five-year Plan for S&T Development 2011-15.
Made in China 2025
Zhong Guan Cun Science Park
Summary - Corporate
Corporate Strategy's
ROADS
R&D
Partnership
Economy of Scale
Brand Image
Expending New Market
Suggestion
Government
Encouraged Foreign Investment in China
Encouraged Solid Policy
Non-tariff barrier
More discount tax and interest
Decrease import & Increase export
Increase number of patent by 3% year on
year
Increase rate of Knowledge diffusion
Increase number of indicators
Be a leader in every way
Reduce Government intervention
Industry
Develop craftsmanship
Encouraged learning and
creativity within organization
Reward for high performance
firm and employee
Potential of CEO
Improve quality and efficiency
in productivity
Establish Association for each
industrial
Nation - China
Chinas National Economic and Social Development Plan 2016-2020
Chinas National Innovation System (NIS)
Made in China 2025
Summary
Organization Huawei
Agenda
Background
Financial
Analysis
Summary
Thank you
Summary & Suggestion
