technological innovation in the industry of bus body

XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario.
Belo Horizonte, Brazil, 04 to 07 October – 2011
TECHNOLOGICAL INNOVATION IN
THE INDUSTRY OF BUS BODY - THE
CASE OF MARCOPOLO
JORGE MONTEIRO JUNIOR (UNIP)
[email protected]
Oduvaldo Vendrametto (UNIP)
[email protected]
The industry of the bus body has gone through a process of intense
technological innovation. These innovations affect the strategies of
companies in the industry, and establish a strong competition between
them. Marcopolo, the market leaderr has developed throughout its
history while maintaining a competitive company edge technology
including units outside the country (Colombia, Argentina, Mexico,
Russia, India, Egypt and South Africa). Therefore, this study attempts
to identify the competitive advantages that are being generated and the
fact derive directly from the technological option of the company.
Using the adaptation model proposed by Vasconcelos (1992) and also
the “Manual of Diagnostic Innovation - FIVE” concluded that
Marcopolo developed a competitive advantage based on technology
innovation. A historical analysis of technological development of the
company was done under this scenario
Palavras-chaves: competitive advantage, technological innovation,
management of technology, competitiveness, the bus body industry.
XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
1 - Introduction
The interstate and international road transportation of passengers in Brazil is an essential
public service, responsible for handling over 140 million users per year according to data
from the 2008 report of the National Terrestrial Transportation.
The means of transport used by passengers in the country is basically the bus. The industry of
the bus body assembly has a peculiar characteristic which is that all automakers consist of
mostly national capital.
Among several relevant factors in running a business, this paper focuses on understanding the
role in the research and development of a company and the degree of its importance to
competitive success.
1.1 Objectives
The aim of this paper was to assess the technological level of the company and its market
competitiveness of the bus body manufacturers.
In order to reach the general goal, the following specific objectives were identified:
• to consider whether the technology investments have been or are fundamental in the
development of the company;
• to analyse the sensitivity of the company for the technologic function;
• to check the line between business strategy and technology;
• to assess the technological capability of Marcopolo/bus body builder company.
2 - Methodology
The research method used in this paper was based on the typology of Filippini apud Michael,
which is related to the theoretical / conceptual discussions studied through the literature
review and conceptual modelling.
In collecting data, we sought for further information about the variables that explain the
characteristics of the sector, understanding the role of technology and its correlations. The
research was divided in three stages: the theoretical framework composed by the review of the
bibliography, data collection and analyses of results. Data collection was also based on
published interviews and additional material supplied by the company. A historical analysis of
the technological development of the company aimed to understand the process of
technological evolution. The assessment of technology management was obtained through the
analysis of the technologic potential of the company nowadays. For this reason, the model
proposed by Vasconcelos was adapted, to meet the scope of this work and the "Manual of
Diagnostic Innovation - FIVE", which aims to conceptualize and operate a specific diagnosis
of the technological methodology and the innovation to be implemented under the FIVE
Programme, in order to find the needs and technological capabilities of enterprises.
3 - Characteristics of the bus body industry
The global market for buses is a narrow and mature segment of the automotive industry, with
two competitive types of businesses. One is the so-called integrated producers that
manufacture body, chassis and engine - a segment dominated by the major world groups, such
as Volvo, Scania , Volkswagen and Mercedes Benz. The other is producers of truck bodies,
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
such as Marcopolo, which manufacture the bus bodies to be coupled later, with the chassis
and engines from other companies. In terms of technology, the auto parts industry is
considered a traditional industry. In Brazil, there has been many organizational innovations,
such as the use of management techniques to work in teams, total quality programs, ISO
9000, just in time, etc.. The changes affect primarily the organization of work and its
relationships with suppliers and customers (Stal, 2009).
4. Theoretical Reference
4.1 The technology management, strategy and competitiveness
There is no common sense when the subject is linking technology strategies. Basically, all
areas must have a strategic focus aligned to the company's overall strategic positioning.
Wheelwright (1984), from the standpoint of manufacturing, highlights the needs for
positioning and prioritization strategy, as it is difficult and potentially dangerous to search for
expertise in several of the competitive dimensions. Linking technology strategy is not
something that concerns only the high-tech companies. The incumbents have gone far seeking
to identify the correlation between technology strategy and overall strategy of the company.
(Ford, 1988). Freeman (2008) believes that there are six innovative attitudes that inbred to a
greater or lesser degree that can be used as follows: offensive, defensive, imitative, dependent,
traditional and opportunistic attitude. The offensive attitude is characterized by a pioneering
spirit as a market technician. The defensive option for launching products / processes after the
pioneer does not risk at all a running a pioneer. This does not mean it does not use resources
in research and development though. In the imitative, the company copies and builds
innovative products / processes in place, but its main focus is to compete with the costs. The
subject is characterized by a submissive role in relation to more developed technology. The
traditional attitude is set for a consolidated market, in which products / processes change
because there is little competition or technological capability for innovation. And the
opportunistic attitude is shaped by companies that need to be agile and flexible to market
needs. These companies will typically identify opportunities in certain niche markets.
4.2 The assessment of technology management
The assessment of technology management is accomplished through a study of technological
learning, which describes the progress of technological capability, and an analysis of the
company's current technological potential, both in relation to technical training, as with the
integration between R & D and other areas and the harmony between technological strategy
and global strategy (Bignetti, 1992). Thus, we used the evaluation methodology proposed by
Vasconcelos, which is defined as technology auditing. This approach aims to operate the
understanding and the evaluation of functioning in a technological company, covering the
analysis of ten factors.
5. Innovative features of Marcopolo
5.1 Product Innovations
Even having started to export in 1961, with the first client in Uruguay, the decision to have a
global vision was not present until the early eighties. Because of the large Brazilian market in
the country and the prevailing public policy of protection to domestic producers by barriers to
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
entry of international competitors, Marcopolo initially emphasized its business in the
domestic market. At that time, exports had additional purposes, reducing the idle assets in
times of lower domestic demand. From the late sixties on, the company started to invest
significantly in its Technical Department, seeking to increase industrial productivity. One
result of this action was the development of capacity for serial production from standardized
parts and components, equipment and special tooling, new layout and changes in industrial
production planning and control (Stal, 2009). Product innovations and processes were critical
to the success abroad, with exports and the installation of its own plants.
5.2 Innovation Process
When companies decide to export, they start full operations by selling products using the
CBU system (Completely Built-Up). With time, the importing countries, in order to create
jobs domestically, impose high taxes and require the assembly of products on site, and exports
then use processes such as CKD (Completely Knocked Down) or SKD (Semi Knocked
Down). (Stal, 2009)
Based on the audit methodology of innovation developed specifically for the FIVE Project
(Manual Audit of Innovation - FIVE) of auditing from Cardoso, 2000, with information
contained in Vasconcelos’ model, the conceptual model underlying the methodology is based
on a reading operation of the business, particularly on the way it contextualizes the
management of technological assets and innovation within the organization and the
framework of its relations with the surroundings. This methodology considers that companies
have a set of capabilities that allow them to manage more or less effectively their
technological base. Thus, the management capabilities of a technology company are
understood as a complex set of skills and accumulated knowledge, developed through
organizational learning processes, allowing companies to coordinate their activities and the
use of its assets in technology.
6. The internationalization process
Marcopolo initially prioritized the domestic market. Export was sporadic and was intended to
reduce the idle assets in times of lower sales. Over the years, with the accumulated capability
both with its domestic production and the development of exports, Marcopolo competes with
leading companies in the world market. This has become the central objective of the strategic
actions of Marcopolo. To achieve this goal, we developed a set of resources and capabilities.
(Stal, 2009) Although the Brazilian market is one of the world's largest, virtually none
existing rail passengers, their fluctuations and strong competition will not allow the company
to depend exclusively on it. The search for international markets is important. However, it is
uneconomical to have full production in other countries, hence the process of assembling
CKD, SKD and PKD. In 2002, the company achieved a record in exports, which account for
63% of net revenues, nearly 4800 buses sold in 70 countries and revenues of $ 1.5 billion. In
2003, exchange rate fluctuations have reduced these values. The first destination of the
exports was the Latin America and then the Middle East, with intercity buses, normal and
adapted. At that time, Marcopolo considered installing a bus assembly plant in a country of
the Arab League, because the frequency of vessels to the region was low and the shipping
very expensive (Stal, 2009). Companies may take two actions for the development of the
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
internationalization process, namely: a) an exporter sells its technology to a local company,
exporting its products in CKD; or b) the exporting company form a joint venture with local
companies and may even install itself alone in the country. When the company decides to sell
its technology, it runs the risk, upon completion of the contract (5-10 years), to "lose" its
know-how to the licensee, making it a great competitor. But if it chooses to settle in the
country alone or in the form of joint venture, it will have full autonomy over its technology,
solidifying its competitive power in the importing country. The control of technology assets
has influenced on the strategy of set up factories abroad, rather than license of the technology.
The technology upgrade is critical to maintain its leadership and pioneering spirit, given the
increased competition and the rapid diffusion of innovations. The internationalization strategy
in partnership with chassis manufacturers promotes technological development. Marcopolo
has partnered with the Swedish group Scania to produce buses in South Africa, with Volvo in
Colombia, with Mercedes-Benz in Mexico and with Iveco in China. These agreements and
strategic alliances are in line with a worldwide trend in the automotive sector, where
automakers have been sharing responsibilities with partners. At first the choice of steady
partners in some markets, it may seem a contradiction for a company that grew up without
ever calling anybody, but the strategic alliances do not mean losing the autonomy it won and
that helped its growth. The plant in Portugal allowed access to the sophisticated European
market and technological exchange between the various business units, as well as proximity
to suppliers, customers and sophisticated competitors. Its main role is to collect information
about technological development in the European industry of bus bodies. The level of
technical activities is superior to the other plants because of the much increased demands of
the market in terms of components and final product - the most stringent safety standards, a
requirement for fireproof fabrics, glass safety and more differentiated components. Therefore,
components are bought locally instead of sending them to Brazil. The activities of developing
products and processes are made in Brazil, but the factory Coimbra can modify them,
adapting them to local conditions and being responsible for the quality of the final product.
With the exception of Portugal, the company's other plants were located based on the market.
The largest customers of buses, mostly urban, are developing countries, and exports are
directed to countries located in the Americas, Africa and Middle East. In Dubai, which has a
representative office since 1998, Marcopolo buses in 2003 represented approximately 70% of
the fleet.
7. The management of technology in business
The company maintains a very particular management feature. The history of the company
has been developed step by step, year by year, and its board has a large involvement in all
areas of operations. Although today it occupies a prominent place in the auto industry in the
world of bodies, its size cannot be compared to the international mega organizations of similar
sectors, such as the automobile. This has a remarkable importance, as we seek to analyse and
understand the participation of the board on issues of technological development (Cardoso,
2000).
7.1 Level of awareness of the technology
In Marcopolo, there is the area of R & D, Research and Development, formally defined and
with a specific department of research and development. The participation of the board is
effective, in accordance with its areas of attempts. Any technological issue is widely
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
discussed and evaluated by the area responsible for the engineering and with the participation
and knowledge of management. There is an understanding that the lever for business success
today and their perpetuation in the future is to develop leading technology. The function of
technology is part of the company policy and is treated and discussed clearly, transparently
and with depth in the board meetings. This, in practice, means the growth and winning of new
markets in the world of products from Marcopolo. The company now works with a board and
a corporate executive. The president and founder of the company along with three other
corporate officers do not participate more in operation, but remain engaged in the macro
business of Marcopolo. They have knowledge of all major projects of the company and
participate effectively in the development of new ideas, markets and concepts. The area or
department of R & D, i.e., research and development as it traditionally exists in large
organizations, is outstanding, but the budgets are; however, infiltrated into the areas that
incorporate and replace the area of R & D tradition. Roles are assigned and enforced by the
Engineering department with the board and department of market relations working together.
It is not set up as an activity, as a project or a department, but as an activity that develops in
these areas together.
7.2 Level of harmony between global strategy and technology strategy.
The company works with a new design that is aligned with the strategic planning of business
and designed for the next five years, which is updated annually. The company participates in
this plan along with the board of all hierarchical positions of management level. In planning,
work is clearly a technology strategy adopted by the company with the objectives, goals and
policies defined. This is shared between business people who are decision-makers together
with the board. For the lower hierarchical levels, these issues end up being passed on only
when appropriate. At this time, all the sectors involved are fully informed and participate
effectively in the implementation. In terms of business strategy, Marcopolo, a few years ago,
had defined its mission in providing solutions, goods and services to satisfy customers and
users, technology and performance, adequate remuneration to the investment, working to be
given priority to mass passenger transportation and helping to improve the quality of life for
employees and society. With this, its business strategy has set out in its strategic plan,
understanding that its business is transportation and not necessarily the means of
transportation bus. This implies that the company is now ready for radical innovations that
may happen in the future in relation to public transport. In other words, Marcopolo is prepared
for transportation solutions that may arise, for instance, producing something completely
unknown today, or a means of transportation known but little used in Brazil, which is the
train. It is realized that the company's strategic planning includes key points in developing the
business. The issue of the international position reaches larger markets, with both exports and
installation of new industrial plants. The units installed in Coimbra, Portugal, the European
Union, in Rio Cuatro, Argentina, and recently the unit of Aguas Calientes, Mexico, are clear
examples of this strategy of market positioning.
7.3 Level of technological capability in relation to competitors.
For strategic reasons, it is understood that the technological process, which has a public
domain, is not developed, but it is acquired from suppliers, unless in very specific cases in
which they are developed internally. On the production technology, its policy is completely
opposite and reflects the internal development of 100% production technology that is
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
incorporated in the models of the company. The company believes it will remain a seller of
technology as it has done since the first contract in 1972 with a Venezuelan company. The
company part of its competitive advantage is directly linked to the capacity of innovation
within the company. Contracts with external centres of R & D do not exist. There are isolated
cases, for example, when processing and analysing the structural calculation with a computer.
In this case, depending on the company's strategic positioning in this area, it does not develop
internally because of the high investment cost and maintenance contracts to a third party to
carry out the work. The company chose not to develop expertise in this area of knowledge
throughout the years, it had developed technologies that are now fundamental and strategic
for the company. The use of various technologies and products of some processes contributed
to the competitiveness nowadays. An example of this is that the company considers strategy
and, therefore, develops, designs and produces internally all the seats used on their buses.
With some other components such as windows, for example,the same happens. The definition
of vertical integration in certain items aligned with the overall strategy of the business
certainly helps bring the company's success. On a bus road there are about 10,000
components. Expanding these components and evaluating codes of raw materials to meet all
the families there are hundreds of thousands of items to be considered and each component
has at least more than one item. The case of the contract in Mexico is a typical example of
internally developed technology that was licensed to another company. In this case,
Marcopolo sold the rights to assemble and sell its buses in the U.S. market and Mexico. It
sold the bus project and the technology of how to ride these buses. Mexicans were trained,
monitored and received all the necessary technology for production and, thereafter, played
operation themselves. Besides this case, there are others, though in smaller proportions. Now,
with the assembly plant of Aguas Calientes, the models are being manufactured in Brazil and
shipped in CKD for final assembly and aggregation of the chassis on the Mexican driving
level of integration between R & D and other areas of the company. The integration between
the areas involved in the business process is given if necessary, so it is absolutely normal.
Engineering and production eventually interact whenever a process and / or new product
needs to be developed, not to mention the normal day to day. Engineering and marketing are
involved in the discussion of a new solution. Laboratories and shopping area and supplies are
other very common examples of constant interaction. The activities of research and
development are not aware of all areas, only when they are released. What the development
area is doing is kept secret. What the company is planning and developing for the future is
only open to those sectors that have to initiate their participation in the project. This is all tied
to strategic planning that initially, managers and directors involved.
7.4 Level anticipating threats and technological opportunities.
The technology developed for the production process is an important point of the company,
since it gives the capacity of flexibility the Brazilian market demands and, at the same time,
gives an operational and productive efficiency in manufacturing. One of the competitive
advantages of business is the management system of the manufacturing process with a
universe of a large amount of items and mounting possibilities. Facts like these lead to the
perception that the company has the internal matters of the technologies essential to business
success, maintaining an adequate level of information about the technologies identified as
priorities. The delivery of raw material concern both development and follow global sourcing,
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
both are global trends in similar industries. The current line of production is being constantly
updated and modernized incorporating what is most modern, and demonstrating the
importance of technological development contemplated in the strategic planning of the
business as a whole. The technology is the responsibility of the engineering. There is the area
of Developing New Markets and Products, set about two years ago, which includes the
marketing concept. There is a team that goes out looking for opportunities, both domestically
and in foreign countries, and it brings the idea of what could be developed to meet a particular
market. Completed this stage, there is what is known as Final Product Development in the
company, which is when the idea is set up opposite to the company's reality and feasibility of
the project. With the engineering work done, the research and development are carried out
until the first prototype is ready.
7.5 Level of structuring the technological function
The engineering analysis channelled into development and the needs of the market maintain
the leading position of the company. Engineering is also a source of suggestions for new
developments through the monitoring of new processes and products in trade fairs, trade
magazines and suppliers. This sector, in turn, has the following configuration: Department of
Production Engineering, Department of Process Engineering and Development Engineering
Department. To this end, involving approximately 200 employees distributed among
designers, technical designers and engineers-designers. In production and development, which
concentrate the majority of technological activities, the vast majority of employees have
university degrees. All activities of a centre of traditional R & D are diluted in everyday
engineering. There is no way to enumerate the frequency with which meetings related to new
developments occurred, but they happened whenever it was necessary. Nothing is formal, but
there is a need to meet the involved people to the proposed studies, assessments and solutions
needed. In terms of process technology, it identifies two situations: one is a new company
developing specific processes, and the other is pure and simple acquisition. In many
situations, some of the processes must be Marcopolo developed and the technology is not in
any factory in the world, now there are particular products for Marcopolo. The company has a
department that produces machines, i.e., designs, develops and builds machines that are
adapted to the products. As for the registration of these process technologies developed
internally, nothing more happens than the mere filing of the projects developed for the
adequacy of the information system technology. A company with this position and importance
in the market works with the web of relationships for the extent of its operation, which is not
used only in internal factors but also in technological development. Even the daily
relationship with suppliers, customers and engineering companies exchanged and
incorporated technologies and experiences. In the case of universities, technological and
professional relationship is considerably smaller and, in this case, the company has a fear of
losing important information to share with the academic world. Taboo or not, it is a reality
that Marcopolo means that there is no effective interaction between the company and
university research centres. Another key to technological development of a business is a
technological watch. Regarding this, the company is focused on benchmarking and fairs,
especially international. This task is basically developed directly by the board and the area of
Production and Market Development. With this, the company ends up having profound
knowledge of the market, including products and technologies for national and international
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
competitors. At the rate Marcopolo works, communication between areas takes place formally
and informally. In many cases, it is first made and then there is the concern of making a
formal record for that particular event in order to record the history. The buzzword is speed,
and this is quite a remarkable fact and charged in all areas of the company, especially in
engineering. The rule is to solve the problem at a good level which actually does not have the
acquired effect when trying to get the perfect solution. All internally generated technologic
innovations are incorporated in products or processes. By developing new technologies, the
company usually does not register any patent, except in some cases. In Brazil, the patent law
exists, but its effectiveness and agility is much disputed. In the past, Marcopolo spent too
much money on patents and competition ended in copying one way or the other, breaking the
law of patents. Since then, the company's philosophy is that no point trying to protect
registering a patent, but the company must always be ahead, or should be concerned with
launching innovations on the market, because competition is there to copy the innovation
anyway. Everything that is referred to records in technology production is stored on electronic
documentation in a documentation centre. Nowadays, about 99% of the technical background
of the company is stored electronically.
7.6 Adequacy of resources for R & D
It is important to mention that all resources of financing for new projects are from internal
sources. The company usually does not take resources borrowed from others to implement
this order. Committed and determined to maintain world leadership in its area of expertise, the
company prioritized investments in technology. As it can be seen, by choice of the company,
the main sources for the investment in the company's technology research and development
are internal, not characterized as such, but run through the areas of responsibility. The return
from the internal research and development has given the company its first place and the
company has a pioneering condition. This also gives the company more competitiveness,
financial returns, technical knowledge, bargaining power with suppliers and prestige with
customers, which result in a greater bargaining power with the customers.
7.7 Adequacy of management techniques in technology
In terms of Brazil, Marcopolo occupies a position of technological leadership and bears on the
brand a synonym for the need of innovation. This happened; thus, in many of the innovations
that occurred in this sector over the last five decades. Among them, the steel structure, the
concept of higher bus, the concept of "floor and a half", known as low-driver, the doubledecker bus, the double-decker, the School Bus and minibus Volare, those may be cited as
examples and explanation of why the market believes an innovative company. In all these
cases and many others, Marcopolo launched the concept. Among the various technological
strategies advocated by Freeman, such as being offensive, defensive, imitative, dependent,
traditional and opportunistic, it can be stated that Marcopolo would fit perfectly in two.
Certainly, offense is the strongest characteristic, however, in some actions it fall as
opportunistic. A typical example of this case is the release of Volare, which sought to occupy
a niche not occupied by any domestic competitor. In the niche of micro-bus, Marcopolo
reigned as absolute over many years. It held about 80% of the market until 1998, when new
competitors entered this market. Because of this, Marcopolo occupies timely market niches.
Offensive, as its main feature in most cases, comes out ahead, paying all costs and risks of a
launch. One example was the launch of the double decker bus, which stayed alone in the
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
domestic market for three years. Internally, there are also some factors that constantly
motivate innovation. A constant concern to meet the needs of customers, the policy of
diversification and product differentiation and cost reduction are the most important factors
that drive innovation as one of the inner core of the company. It is also important, but to a
lesser degree, the search for greater productivity, the constant use of industrial waste and the
existence of more advanced technology in the world that also motivate innovation internally.
Its importance is almost expressionless, because of the position that the company occupies in
the national market. There is a reaction to the initiatives of competitors. Currently, the
company expands its business in the world more and more, taking this factor into
consideration is important due to the position occupied against some international
competitors. Planning a new project happens almost at the same time as its execution. The
following step is a procedure to meet ISO 9001 standards in project control. It is a procedure
which consists of a checklist that, at each stage, shows the sequence of the project progress.
This results in an organization chart and product planning, system and their respective
timelines. The company does not work with any tool of control and project management. It
uses only the practicality of assembling charts and timelines, the tool Project, a Microsoft
software. The flexibility required for the project is so large that the company feels it would
have only one person to update the changes incurred during project development. Basically,
depending on this is, the company failed to implement the effective use of this tool with all
applications and resources available to control and project management. The technological
level achieved by the company was hit; there is a fundamental point in the company culture
that is the concern for the improvement of its employees.
8. Conclusions
As the importance of technology strategy is an organizational gap, the subject was researched
for this study because of the great value it represents for a company that wants to be
competitive today. The studied company is the market leader, Marcopolo SA, from the
industry sector of the bus body manufacturers. This sector represents the domestic industry
with emphasis on the global trade. Much by geography and politics of Brazil, the auto
industry of the bus body is retaining, growing and putting the flag of the Brazilian industry in
other countries in a fairly solid way. The results from this study verified the match between
business strategy and technology as well as the sensitivity of the company for the technology
function. The technology strategy was a focal point for the competitiveness and hence for the
market positioning of the company today. The company has clearly explained its policy in
order to be and remain innovative, so that it is always ahead of the major releases that
revolutionize the market. In some cases, when no market exists, for example, school buses, it
creates a need in the marketplace and then participates in selling the production of that
product. As the typology adopted by the study, Marcopolo positions itself either as innovative
or as opportunistic. This is clearly observed in the company's policy, in its history and the
aspects analysed in the workplace. Marcopolo has a rather particular characteristic of
management research and development. When talking about the size of the enterprise, there is
no concept of traditional organizational structure, research and development that is normally
found in larger companies, such as automakers. At Marcopolo, the management of Research
and Development is part of the activities of engineering. This does not mean that because it is
not hierarchically a defined function, the company can not be innovative. There is informality
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
about the role of technology while it is observed that the results reflect the treatment given to
technology strategy, clearly reflected in the success of the business. It was also noted that
technology strategy is connected to the business strategy adopted by the company. There is a
clear and definite affinity when making strategies complement each other in the sum of
company objectives. The study results confirm proposals that advocate a positional-level of
technology strategy that is aligned to business strategy in order to remain competitive in the
market segment, as originally pointed out the specific aim of verifying the match between
business strategy and technology.
References
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XVII INTERNATIONAL CONFERENCE ON INDUSTRIAL
ENGINEERING AND OPERATIONS MANAGEMENT
Technological Innovation and Intellectual Property: Production Engineering Challenges in Brazil Consolidation
in the World Economic Scenario. Belo Horizonte, Brazil, 04 to 07 October – 2011
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