Alberto Sangiovanni-Vincentelli

The Edgar L. and Harold H. Buttner Chair of EECSUniversity of California at BerkeleyCo-Founder, CTA and Member of the BoardCadence Design Systems

VIRTUAL CORPORATIONS:THE “COLLABORATE TO INNOVATE”IMPERATIVE

Collaborate to Innovate

•Firms will focus more sharply on what they do best, and they will enlist agrowing diversity of suppliers for the rest. Organizations will increasinglylook outside their walls not just to reduce costs but for

innovation

–inprocesses, product and service differentiation –to free up resources,transform their businesses, and facilitate sustainable competitiveadvantage. As supply networks become more global and complex,winning will depend on transparency, trustworthiness, and reciprocity. Ina word:

collaboration

(Alan McCormack et al. (HBS))

•The ideal collaboration model is the

Virtual Corporation

where thedifferent firms involved in collaboration act as if they were division of thesame corporation (or even better!!).

OUTLINE

The Innovation collaborative landscape todayExamples of collaborationThe need of deeper collaboration for the futureNecessary components of collaboration