R&D in the Service Industries

(Study parallels between innovation in the service and manufacturing industries)

ROR sponsored a Special Interest Session on this topic at the 1989 IRI Fall Meeting. A panel described the differences and similarities between R&D in the manufacturing and service sectors, and how the role of the CTO differs in these sectors. A paper published in RTM later in 1989 indicated that as technical skills and resources are applied toward the end of the value chain, i.e., the service sector, generic needs such as design and construction of a physical system, operation of the system, and the service products of the system form the focus of the R&D program.  The paper also emphasized that both the goods and services producers will come to accept that executives who direct a portfolio of internal and external technical programs, involving state-of-the-art technology, are in effect R&D managers, even though their principal skills are in information and systems sciences.