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Business Chemistry: How to Build and Sustain Thriving Businesses in the Chemical Industry

Business Chemistry: How to Build and Sustain Thriving Businesses in the Chemical Industry

Publisher Wiley & Sons
Year
Pages 352
Version hardback
Language English
ISBN 9781118858493
Categories Chemistry
Delivery to United States

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Book description

Business Chemistry: How to Build and Sustain Thriving Businesses in the Chemical Industry is a concise text aimed at chemists, other natural scientists, and engineers who want to develop essential management skills. Written in an accessible style with the needs of managers in mind, this book provides an introduction to essential management theory, models, and practical tools relevant to the chemical industry and associated branches such as pharmaceuticals and consumer goods. Drawing on first-hand management experience and in-depth research projects, the authors of this book outline the key topics to build and sustain businesses in the chemical industry. The book addresses important topics such as strategy and new business development, describes global trends that shape chemical companies, and looks at recent issues such as business model innovation.Features of this practitioner-oriented book include:* Eight chapters covering all the management topics relevant to chemists, other natural scientists and engineers.* Chapters co-authored by experienced practitioners from companies such as Altana, A.T. Kearney, and Evonik Industries.* Featured examples and cases from the chemical industry and associated branches throughout chapters to illustrate the practical relevance of the topics covered.* Contemporary issues such as business model design, customer and supplier integration, and business co-operation.

Business Chemistry: How to Build and Sustain Thriving Businesses in the Chemical Industry

Table of contents

List of Contributors xiPreface xvPart I Strategy 11 Management Challenges in the Chemical and Pharmaceutical Industry 3Jens Leker and Hannes Utikal1.1 Introducing the Chemical Industry as a Source of Innovation and Prosperity 31.2 Characteristics of the Chemical and Pharmaceutical Industry 41.2.1 Product and Process Characteristics 51.2.2 Market Characteristics 71.3 Business Transformation in the Chemical Industry 91.3.1 Business Transformation and Organizational Change Processes 101.3.2 Drivers for Change 121.3.3 Fields of Business Transformation 141.4 Managerial Challenges in the Chemical Industry 151.4.1 Creating Strategic Learning Processes 161.4.2 Managing Value Chains Across the Globe 171.4.3 Optimizing Processes 191.4.4 Creating Product, Process, and Business Model Innovations 221.4.5 Developing Human Resources 231.5 Summary 25References 262 Principles of Strategy: How to Develop Strategy 31Jens Leker and Tobias Lewe2.1 The First Day for CEO Walter Brown 312.2 Strategy Definitions and Their Interrelations - A Framework for Mindful Strategic Management 342.3 Historic and Current Trends in Strategic Management 382.4 Strategy Development Process 462.5 Industry Dynamics, Signaling Systems, and the Effect of Trends 502.6 Summary 55References 563 Strategic Analysis: Understanding the Strategic Environment of the Firm 59Jens Leker and Manuel Bauer3.1 Strategic Analysis to Improve a Firm's Performance 603.2 Industry Analysis 633.3 The Resource-based View in the Context of Strategic Analysis 743.3.1 Underlining Assumptions for the Resource-based View 763.3.2 VRIN/O Characteristics 793.4 Dynamism of Markets 873.5 Dynamic Capabilities 913.5.1 Capacity (1): Sensing and Shaping Opportunities and Threats 963.5.2 Capacity (2): Seizing the Opportunity 983.5.3 Capacity (3): Reconfiguring 993.6 Summary 103References 1044 Management of Business Cooperation 109Theresia Theurl and Eric Meyer4.1 Cooperation and Corporate Strategy 1104.1.1 What Does Cooperation Mean? 1104.1.2 Why Is the Management of Cooperation Different? 1134.2 How Cooperation Can Help to Achieve Corporate Objectives 1154.2.1 Cost Advantages 1154.2.2 Access to Resources, Know-how and Technologies 1164.2.3 Access to Markets 1184.2.4 Time Advantages 1194.2.5 Distribution of Risks 1194.3 Morphologies of Cooperation 1194.3.1 Horizontal, Vertical and Lateral Cooperation 1194.3.2 Types of Cooperation 1214.3.3 Strategic Alliance 1214.3.4 Value Chain Cooperation 1234.3.5 Project Cooperation 1244.3.6 Networks and Virtual Enterprises 1264.3.7 Cooperative 1284.3.8 Joint Venture 1294.4 Management of Business Cooperation: A Process Model 1294.4.1 The Management Process 1294.4.2 Strategic Positioning 1324.4.2.1 Market Analysis 1324.4.2.2 Company Analysis 1354.4.3 Preparation 1384.4.3.1 Partner Choice 1384.4.3.2 Competition Law and Cooperation 1424.5 Institutionalisation 1434.5.1 Institutionalisation of Cooperation Management 1434.5.2 Rules and Rights 1454.5.3 "Cooperative Transfer Prices" 1464.6 Operational Management of a Cooperation 1474.6.1 Monitoring 1474.6.2 Influence and Communication 1484.7 Monitoring Cooperation Success 1494.8 Summary 151References 151Part II Innovation 1555 Principles of Research, Technology, and Innovation 157Jens Leker, Thibaut Lenormant, and Gerald Kirchner5.1 What Is Innovation and Why Do You Need It? 1575.1.1 Temporality 1595.1.2 Content 1605.1.3 Subjectivity 1605.1.4 Intensity 1635.1.5 Normativity 1665.2 Sources of Innovation 1685.2.1 Technology-push Versus Demand-pull 1685.2.1.1 Environmental Scanning 1725.2.1.2 Causal Models 1735.2.1.3 Delphi 1735.2.1.4 Extrapolations 1735.3 Organizing for Innovation 1745.3.1 The Innovation System 1745.3.2 The Organization of R&D Departments 1765.3.3 Closed and Open Innovation 1795.4 Managing the Innovation Process: Stage-Gate(r) 1845.4.1 Stage 1 "Ideas Management" 1855.4.2 Stage 2 "Feasibility" 1865.4.3 Stage 3 "Lab Development" 1875.4.4 Stage 4 "Scale-up" 1885.4.5 Stage 5 "Ramp-up" 1895.5 Summary 190References 1916 New Business Development - Recognizing and Establishing New Business Opportunities 195Daniel Witthaut and Stephan von Delft6.1 New Business Development: Management in Unknown Areas 1966.2 Innovation Strategy 1976.3 Organizational Structure and Culture 2006.4 Searching for New Business Opportunities 2036.4.1 Why Should We Search for New Business Ideas? 2046.4.2 What Kinds of Business Ideas Are Requested and Hence Searched for? 2046.4.3 Where Do You Search for New Business Ideas? 2046.4.4 Looking Outside the Boundaries of the Firm 2066.5 Selecting New Business Opportunities 2076.5.1 The R-W-W Screen 2086.5.2 Understanding and Mapping the Whole Value Chain 2146.5.3 Discovery-driven Planning 2156.5.4 Portfolio Management 2186.6 Implementing the New Business Concept 2206.7 Learning: Capturing the Value from Lessons Learned 2256.7.1 Learning from Failures: Post-completion Audits 2256.7.2 KPIs for Measuring the Success of an NBD Unit 2266.8 Summary 228References 2287 Designing and Transforming Business Models 231Stephan von Delft7.1 Business Model Design: Essential Management Decisions 2327.1.1 Business Models at BASF 2417.1.2 Business Models at P&G 2467.2 Strategy, Business Model and Tactics 2497.3 Business Model Innovation 2527.4 The Role of Business Models in the Chemical and Pharmaceutical Industry 2637.4.1 Value Growth in- and out-side the Core 2647.4.2 New Technologies - New Applications 2667.4.3 Shifts in Competition 2687.4.4 New Ways of Value Creation 2707.5 Summary 272References 2738 External Integration: Why, When, and How to Integrate Suppliers and Customers 277Carsten Gelhard and Irina Tiemann8.1 Introduction 2788.1.1 Why Do Companies Integrate External Partners? 2788.1.2 The Sources of Innovation 2798.2 Customer Integration 2818.2.1 Degree of Collaborative Activities with Customers 2818.2.1.1 Listening to the Voice of the Customer 2818.2.1.2 Customer Integration (outsourcing) 2828.2.1.3 Customer Co-creation 2838.2.2 Up- and Down-sides of Collaborative Activities with Customers 2858.2.2.1 Mutual Learning and Trial and Error 2858.2.2.2 Innovativeness 2868.2.2.3 Reduction of Market Failure 2878.2.2.4 Customer Relationship Management 2888.2.2.5 Increased Dependency and Uncertainty 2898.2.2.6 Associated Costs 2898.2.3 Typologies of Customer Co-creation 2908.2.3.1 Co-ideation 2908.2.3.2 Co-development 2978.2.3.3 Co-launch 2998.2.3.4 Co-design 2998.2.3.5 Co-production 3008.2.3.6 Co-marketing 3008.2.3.7 Co-usage 3008.2.4 Designing and Assessing Customer Co-creation Practices 3018.2.5 BASF as Best Practice for Providing Customized Solutions 3058.3 Supplier Integration 3098.3.1 Emergence of Chemical Supplier-induced Innovations 3098.3.2 Typologies of Supplier Integration and Roles 3118.3.3 Supplier Willingness to Be Involved in the New Product Development 3168.3.4 Value Creation and Supplier Relationship 3168.3.5 How Do You Attract the Most Innovative Chemical Suppliers? 3188.4 Invisible for Black & White - A Best Practice for Collaborating with Both Suppliers and Customers 3228.5 Summary 324References 326Index 333

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