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This ebook examines how commercial businesses in Germany's significantly very important funding items area are deploying new technological and organizational construction innovations to evolve to competitiveness demanding situations, new industry specifications, environmental calls for, and coverage pressures. It attracts at the Fraunhofer ISI's exact national survey of expertise use and construction in Germany. East German in addition to West German information is analyzed. Readers will achieve clean insights in regards to the diffusion of latest creation thoughts, the interplay of strategy and product ideas, and next results on productiveness, employment, paintings flexibility, and the company functionality of German undefined. Implications for company approach, public coverage, and ongoing learn into expertise diffusion are considered.
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Additional resources for Innovation in Production: The Adoption and Impacts of New Manufacturing Concepts in German Industry
To address these factors, many companies have adopted new organizational 44 Sales growth and the share of innovative products, German investment goods sector, 1995 Figure 4-1 Growth in turnover • Stagnation in turnover • Decline in turnover IOO% ~---'------r---------'------r--------~----__r - - - ZI 80"10 +---1 t:I j :!! j ~ 60% +-- 40"/0 20"10 Without innovative products Innovative products up to 25% of turnover Innovative products more thau 25% of turnover approaches to innovation in the last few years, as part of the broader introduction of new production concepts.
1 Introduction The tapping of new markets with growth possibilities is often said to require the development and commercialization of innovative products (Utterback 1994, Freeman and Soete 1997). A strategy of innovation and technology leadership appears to be the most promising way, especially for manufacturers in high-wage Germany, to not only maintain, but also to expand their sales performance and market positions. In turn, the ability to innovate to ensure continued success in sales and markets is closely linked to the preservation of manufacturing jobs in Germany.
In the past, firms often maintained high in-process and final inventory levels, in order to ensure the continuity of production and timely delivery. Today, in the search for higher efficiency and competitiveness, firms seek ways to reduce inventory and thus reduce carrying costs. In addition, inventory reductions often help to highlight previously masked production deficiencies or problems in quality and