nep-ppm New Economics Papers
on Project, Program and Portfolio Management
Issue of 2015‒02‒28
ten papers chosen by
Arvi Kuura
Tartu Ülikool

  1. Reforming Education Governance Through Local Capacity-building: A Case Study of the “Learning Locally” Programme in Germany By Marius Busemeyer ; Janis Vossiek
  2. Collaboration and Innovation Speed : Evidence from a Prize Data-Set, 1955-2010 By Shimizu, Hiroshi ; Hoshino, Yusuke
  3. The More Learning, the Better? The Curvilinear Relationship between Technological Learning and New Product Commercialization By Winkelbach, Andreas ; Walter, Achim
  4. Inter-temporal patterns of R&D collaboration and innovative performance By Belderbos R.A. ; Carree M.A. ; Lokshin B. ; Fernandez J.
  5. The allocation of transport infrastructure in Swedish municipalities: welfare maximization, political economy or both? By Jussila Hammes , Johanna ; Nilsson, Jan-Eric
  6. Philippine Priorities in Expanding APEC-Wide Connectivity through Infrastructure Development By Navarro, Adoracion M.
  7. Clean Development Mechanism (CDM) as a funding opportunity for development: A macroeconomic CGE analysis of the Peruvian experience By Montaud, Jean-Marc ; Pécastaing, Nicolas
  8. Technology-Based Growth Policies: The Case of North Carolina’s Green Business Fund By Hall, Michael ; Link, Albert
  9. Spinout Formation: Do Opportunities and Constraints Benefit High Capital Founders? By Natarajan Balasubramanian ; Mariko Sakakibara
  10. Capital Flows in Rational Markets By Martin Schmalz ; Francesco Franzoni

  1. By: Marius Busemeyer ; Janis Vossiek
    Abstract: This report is an assessment of the programme “Lernen vor Ort” [LvO – “Learning Locally”] initiated by the German federal government in order to support the development of local governance structures in education. LvO ran between 2009 and 2014 in about 40 participating local governments, which were chosen in a competitive process. It aimed at promoting cooperation between local governments and civil society stakeholders, creating sustainable structures in educational monitoring, management and consulting as well as improving local capacities in knowledge management. Besides providing important background information on the German education system and the design of the LvO programme, this study engages in five detailed case studies of the implementation of the LvO programme in different local authorities. These studies are mainly based on approximately 90 interviews with local and national experts, and stakeholders. The main findings are that LvO can be regarded as a success due to the fact that it had a lasting and probably sustainable impact in the cases studied in this report, in particular with regard to those structures that produce concrete and visible outputs, such as educational monitoring. The case studies also reveal a number of local factors that influence the relative effectiveness of the implementation of the programme. Political leadership and support from the head of the local government are crucial, in particular during critical situations during the implementation. Furthermore, the impact of the programme was particularly positive, when the process of local implementation was characterised by clear communication strategies, broad stakeholder involvement in governing bodies and the implementation of concrete goals and projects. However, relative success also depended on important background factors such as local socio-economic conditions as well as financial and administrative capacities, which could not be adressed directly by the programme’s goals. The report concludes with some general recommendations and lessons learned of relevance for other countries.<BR>Par le biais de l’initiative « Lernen-vor-Ort (LvO)» (« Apprentissage local »), le niveau central en Allemagne a lancé un programme politique d’envergure en 2009, qui vise à renforcer la gestion de l’éducation au niveau local. Active entre les années 2009-2014, environs 40 communes participaient à LvO. Le programme vise à promouvoir la collaboration entre les gouvernements locaux et les organisations de la société civile, et la création des structures viables pour améliorer le suivi pédagogique. Par ailleurs, l’organisation du programme facilite la création d’un nouveau système de connaissances dans l’éducation et l’amélioration de la capacité locale dans ce domaine. Le programme LvO peut être considéré comme une réussite car il a eu des répercussions durables et probablement pérennes au niveau de structures comme le suivi pédagogique. Le leadership politique et le soutien apporté par les collectivités locales constituent d’importants facteurs de réussite. L’incidence de ce programme a été particulièrement marquée au moment où la mise en place au niveau local s’est traduite par des stratégies de communication claires, une large implication des parties prenantes dans la direction des organes et la concrétisation des objectifs et des projets. Son succès a néanmoins été lié à d’importants facteurs comme les conditions socio-économiques locales ainsi que les capacités financières et administratives, qui ne pouvaient pas être abordées directement dans le contexte des objectifs du programme. Le rapport conclut avec des recommandations d’ordre général et les leçons pertinentes que d’autre pays peuvent en tirer.
    Date: 2015–02–09
  2. By: Shimizu, Hiroshi ; Hoshino, Yusuke
    Abstract: The anecdotal evidence has indicated that inter-organizational collaboration increases R&D productivity by providing access to outside complimentary assets for firms. Focusing on the length of time from launching R&D project to realizing its R&D outcomes, we call it innovation speed, this paper examines a prize data-set on industrial technology, including 434 award-winning R&D projects, and empirically examines the relationship between inter-organizational collaboration and innovation speed and explores how the relationship varies across different types of collaborations. After controlling time periods, technological areas, prize categories, and collaboration types, the data reveal that inter-organizational collaboration among non-business group firms is associated with shorter innovation speed. The curtailed time periods vary from 19.9% to 32.2% according to the models. However, such accelerated time periods are not observed in other collaboration types such as inter-firm collaboration and firm-academic collaboration.
    Date: 2015–01
  3. By: Winkelbach, Andreas ; Walter, Achim
    Abstract: Managers entrusted with new product development (NPD) have to seek the optimal balance between prior competencies and learning activities to generate successful products. Yet prior NPD research has largely taken a positivistic view of learning despite an inkling that too much learning can lead to dysfunction. This study attempts to contribute the NPD literature by analyzing whether and, if so, when technological learning engenders shortcomings and affects new product commercialization. We use a multi-informant longitudinal design combining unique survey and patent data on a multi-industry sample of about 163 product-based R&D collaborations in Germany. The results of a Cox regression reveal that prior technological knowledge is pervasively important for NPD and confirm that an inverted U-shaped relationship holds between the likelihood of commercialization and technological learning. The inverted U-shaped relationship supports the characterization of learning as a double-edged sword that helps overcome rigidities but also has downsides if taken too far. Exploitive learning, in particular, is the later of the two to incur downsides. This draws attention to the inherent uncertainty and costs of experimentation when learning is geared to exploration. As expected, technological progress determines NPD, but the influence is negligibly small. We argue that inertia dominates NPD projects, at least in the short-term. Our findings mainly contribute to the NPD literature by demonstrating a differentiated learning-performance relationship. The results reveal whether and, if so, when, learning can become a drag to NPC and traps may occur. Managers are advised to ensure, at least, a fit between project requirements and prior competencies, but also to ensure adequate learning. Irrespective whether learning is geared to exploration or exploitation, it is advisable to maintain it at an appropriate level. This article suggests a patent-based instrument to monitor and manage learning efforts.
    Keywords: new product development,technological learning,prior technological knowledge,technological progress,patent data
    JEL: O31 O32 O34 D83
    Date: 2015
  4. By: Belderbos R.A. ; Carree M.A. ; Lokshin B. ; Fernandez J. (GSBE )
    Abstract: While prior studies have investigated the effect of collaborative RD with different partner types suppliers, customers, competitors and research institutions universities on firms innovative performance, the implications of dynamic patterns in these collaborations have not received attention. In a large panel of Spanish innovating firms operating in a broad range of industries during the period 2004-2011, we examine the differential effects of recently formed, persistent, and recently discontinued collaboration on innovative performance. Persistence is the most common pattern of collaboration, while discontinuities are most often observed for competitor collaboration. We find that it is persistent collaboration that has a systematically positive effect on performance. With the exception of recently formed collaboration with universities and research institutes, other temporal patterns of collaboration do not significantly improve performance. Implications of these findings are discussed.
    Keywords: Innovation and Invention: Processes and Incentives; Management of Technological Innovation and R&D;
    JEL: O31 O32
    Date: 2015
  5. By: Jussila Hammes , Johanna (VTI ); Nilsson, Jan-Eric (VTI )
    Abstract: The choice of transport infrastructure projects to include in the National Transport Infrastructure Plans in Sweden is often said to be motivated by the weighing of cost against social benefits. Examining the projects that are included in the Plans, it is clear, however, that not all projects have positive net present values, and are therefore more costly to build than the benefits they create. This paper studies alternative models that might explain the choice of projects. Two political economy models, the district demand and the swing voter with lobbying, are tested, and a model that accounts for the spatial distribution of the projects, as well as the possibility that priorities are based on welfare concerns, is estimated. No support is found for the political economy models. What explains investment volume is the existence of CBA results for a project, which may indicate that welfare benefits have an impact, as do the spatial spillovers from a project’s benefits and lobbying, especially by the municipalities concerned.
    Keywords: Distributive politics; Fiscal federalism; Lobbying; Party competition; Political economy; Transport infrastructure; Spatial analysis; Sweden
    JEL: D60 D72 D78 R42
    Date: 2015–02–20
  6. By: Navarro, Adoracion M.
    Abstract: Well-developed infrastructure systems and services are vital means of enhancing the connectivity of Asia-Pacific Economic Cooperation (APEC) member-economies. In essence, efforts by APEC to enhance connectivity through infrastructure should be considered regional public goods since these create positive spill-over effects for each member of the region, or net benefits for a member which are greater than what it could achieve if it were to produce the by-products of regional cooperation on its own. To contribute to APEC efforts and at the same time help meet the infrastructure development needs of the Philippines, this study recommends that the Philippine government elevate cross-cutting topics and sector-specific concerns as priorities for discussion during its hosting of APEC 2015. The Philippines can propose regional cooperation on investing and building disaster-resilient infrastructure, as well as sharing of best practices and lessons learned in complying with infrastructure resilience requirements (e.g., plans, technologies, and logistics for humanitarian activities). The Philippines can also drive discussions related to public-private partnerships (PPPs) by expressing the need for truly dynamic capacity building and sharing of best practices on viability studies, risk sharing, and contracting (from design to management and monitoring)--which are crucial factors in ensuring that PPP projects are bankable. The Philippines can also recommend knowledge sharing and actual investments toward infrastructure quality upgrading in the transport, energy, telecommunications and information sectors.
    Keywords: infrastructure, APEC, transportation, Philippines, energy, public-private partnership (PPP), connectivity, regional cooperation, telecommunications and information
    Date: 2015
  7. By: Montaud, Jean-Marc ; Pécastaing, Nicolas
    Abstract: The Clean Development Mechanism (CDM) under the Kyoto Protocol constitutes a major tool in the fight against climate change; it is also an important foreign direct investment funding opportunity for Southern countries. Yet, few studies have focused on the economic impact of CDM on host countries. This study attempts such an assessment in Peru, using a computable general equilibrium (CGE) model that accounts for both the productive and regional dualism of the national economy. The numerical simulation of macroeconomic shocks generated by current and future CDM projects reveals the significant potential impact of such investments in terms of employment, growth, and regional imbalance in this developing country.
    Keywords: clean development mechanism,development,dualism,computable general equilibrium,Peru
    JEL: C68 O11 Q56
    Date: 2015
  8. By: Hall, Michael (University of North Carolina at Greensboro, Department of Economics ); Link, Albert (University of North Carolina at Greensboro, Department of Economics )
    Abstract: U.S. technology-based initiatives at the state level continue to emphasize regional economic development and job growth. Many are now also focused on green technologies. This paper describes one such green program, the North Carolina Green Business Fund. Based on an analysis of 24 funded R&D projects in 2008 and 2009, we find that 59 new full-time equivalent jobs were created in the short run through this program. We also find that those organizations that can attract greater additional financial support for their research generate more jobs. Lastly, we find that university involvement in these projects tempers job losses among projects discontinued early as well as job growth among those that commercialized their technologies. We cautiously offer, because of limited data, recommendations to states with similar programs to create structures to advise technology-based research organizations about sources of additional financial resources.
    Keywords: regional development; job growth; green technology; sustainability; technology; innovation
    JEL: L26 O31 O33
    Date: 2015–02–09
  9. By: Natarajan Balasubramanian ; Mariko Sakakibara
    Abstract: We examine the role of human capital in employees’ decisions to leave their parent firms andform spinouts. Using a large sample of individuals who formed spinouts in manufacturing industries between 1992 and 2005, and their co-workers who did not, we find that after controlling for age, education level, gender and alien status, individuals with higher human capital (measured as their earnings or experience) are more likely to form spinouts. We then examine the impact of industry opportunities and constraints on the propensity of high human capital individuals to form spinouts. Counterintuitively, we find that both industry constraints (measured as industry capital intensity) and opportunities (industry R&D intensity) reduce the propensity of higher human capital individuals to form spinouts. We interpret these results as being consistent with the argument that high human capital founders are more likely to choose larger, more capital-intensive projects than low human capital individuals, and thus face greater constraints. On the other side, R&D intensive industries appear to present abundant entrepreneurial opportunities, allowing low human capital individuals to identify their own opportunities thus decreasing the relative advantage of high human capital individuals.
    Date: 2015–06
  10. By: Martin Schmalz (University of Michigan ); Francesco Franzoni (University of Lugano )
    Abstract: We provide a rational model of capital allocation to projects with uncertain exposure to a systematic risk factor. We show that signal-to-noise ratios are highest when the factor realization is close to zero. As a result, investors redirect more resources across projects during these times. This finding resonates with the Schumpeterian intuition that downturns have a cleansing effect on the economy by improving the efficiency of capital allocation. We measure the speed of capital reallocation with the sensitivity of mutual fund flows to performance and find supporting evidence for the model's nonlinear and linear predictions.
    Date: 2014

This nep-ppm issue is ©2015 by Arvi Kuura. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
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NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.