Hans M Pohl

Managing learning in the automotive industry – the innovation race for electric vehicles

Electrification or hybridisation is the main focus for most car manufacturers today. However, it implies large changes both in terms of the vehicle itself (technology and integrated systems) and of usage and business models. The literature on discontinuous innovation proposes learning as a crucial capability, but there are few empirical studies on how this actually happens in firms. This paper discusses the different learning mechanisms used to develop the capabilities related to Electric Vehicles (EVs) and Hybrid Electric Vehicles (HEVs). It highlights that in this kind of broad innovation field, more advanced mechanisms might be needed by automotive firms aspiring to be leaders, such as market experiments and exploratory partnerships. It also argues that overall learning strategies are necessary to guide the many learning mechanisms involved. The paper contributes to our understanding of how automotive companies deal with disruptive innovations.

Radical Innovation in a Small Firm: A Hybrid Electric Vehicle Development Project at Volvo Cars

The potential paradigmatic shift in technology from the internal combustion engine to electric propulsion via hybrid electric vehicles (HEVs) has been addressed by most automakers, and has produced very different outcomes. This paper uses the framework of core capabilities to discuss how the small automaker, Volvo Cars, made substantial progress in its HEV development using an approach based on limited resources and a low risk. A comparison with Toyotas successful but very resource-demanding Prius project reveals some factors contributing towards rapid development in a context of limited resources, including focused project objectives, tight collaboration with suppliers of the new technologies, reuse of existing technologies and an unaggressive, bottom-up approach to change the firms values and norms and other core capability dimensions. This paper provides an empirical illustration of how a small company in a mature industry worked with radical innovation in a development project drawing on the combination of organizational slack, entrepreneurial employees and an extensive use of external (knowledge) suppliers.

The concept of interessement: The story of a power-split technology for hybrid electric vehicles

Innovation processes are out of necessity and by definition always open-ended and embedded in social interests and beliefs. This paper reports a study of how a power-split technology for hybrid vehicles needed and found support and interest from a variety of social actors to reach the market. One of the principal challenges of innovators is to mobilise support and attract interest among relevant social groups; innovations are always, to some extent, dependent on their ability to conform to pre-existing practices and beliefs. Based on a study of a hybrid electric vehicle (HEV) project at Volvo Cars, this paper investigates how the concept of interessement can contribute to a better understanding of the innovation processes (Akrich et al., 2002a,b). It concludes that this concept contributes to interesting perspectives on the dual technological and social nature of the innovation process but that the idea of one central innovator driving the process all the way may not always be applicable.

Japanese automakers' approach to electric and hybrid electric vehicles: from incremental to radical innovation

This paper discusses Toyotas, Hondas and Nissans efforts in battery, hybrid, and fuel cell electric vehicles (BEVs, HEVs and FCVs). Its aim is to increase understanding of the process constituting a paradigmatic shift in technology. In particular, the paper aims to elucidate how automakers managed their early moves. Based on interviews, patent data and previous literature, key aspects relating to the automakers successful early moves into vehicle electrification (as seen in 2010) are outlined. Toyotas (and Hondas) aim of in-house knowledge development in the new technologies is among the aspects emphasised as distinctive compared to other world automakers. Furthermore, spill-over in terms of branding and sales and a deliberate development of the corporate culture are proposed as potential new first-mover objectives and consequences. Finally, this paper argues that Toyota, Honda and Nissan are capable of not only incremental but also more-than-incremental innovations, as illustrated by their position in the electrification race.

Evaluating governmental support to automotive research and development (R&D): a Swedish case

One objective of evaluating governmental R&D investments is to learn from the past and improve future activities. This paper discusses R&D evaluation methods using empirical data covering more than 15 years of publicly (co-)funded automotive R&D in Sweden, with a particular focus on public-private R&D partnerships. One contribution of the paper is that it illustrates the need to add a systemic level to the programme and project level in traditional R&D evaluation methods. Further, it argues for diversity in public R&D funding in terms of instruments used and in the selection of actors, activities and technologies to be sponsored. This diversity is threatened in the Swedish automotive context, as the public-private R&D partnership programmes (which give priorities to the industrial actors in the agreement) appear to crowd out other types of public R&D investments.