Solution to a case study on IP-strategy development and implementation Content of the MIPLM course 2017 / 18

1. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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© 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
CEIPI MIPLM
Module 6: Case Study Smart Production (M6-22)

2. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
Page 2 of 12
Case Study: Rittal
IP Management in the digital Transformation
Physical product
Layer 1
Sensor and actuator
Layer 2
Connectivity
Layer 3
Analytics
Layer 4
Digital service
Layer 5
Physical
world
Digital
world
Digital
Global
Physical
Local
Customer benefit
Willingness
to pay
Digital
Ecosystem

3. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Resource Based View
Unique combination of expertise across the entire industrial value chain in control
cabinet manufacturing in the Friedhelm Loh Group (F.L.G.):
EPLAN:
Platform technology enabling
the centralized provision and
administration of data related to
planning and production.
CIDEON:
Interface between the
administrative ERP software
and the PLM system, e.g. by
automating BOMs.
Rittal:
Modular cabinet systems with
comprehensive compatible system
accessories (e.g. power distribution,
climatization and IT infrastructure systems).

4. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Dynamic capabilities
Dynamic capabilities
The dynamic capabilities of a company are determined by:
 Companies’ ability to realize new developments and changing conditions of
its environment (e.g. in terms of competition and technology) and assess the
implications for its resources and way of conducting business
 The ability to learn faster than competitors
 The ability to realize and implement organizational changes
faster than competitors and react flexible towards environmental changes
Co-creation with sister companies (gathering of expertise) to develop an entire
value chain
Reacting to digital transformation as an early mover in the industry and
developing a comprehensive new business model
Intensive cooperation in the development and offering of the joint service
Reorganization of processes (e.g. development and implementation of a joint
IP strategy)

5. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Decision Process
Decision environment
Exogenous factors, e.g.
 Digital Transformation,
 Efficiency Requirements in the Market,
 New emerging Ecosystem,
 Horizontal intercompany Integration,
 Vertical Integration of Systems,
 New technological Competitors with high
patent application propensity
ObjectsystemSubjectsystem
Endogenous objectives
 Business strategy,
 Digital Business Model,
 Early Mover Advantage,
 Integrated Product / Service
Development with Sister Companies
Information
process
Subjective
decision process
Information
Implementation
Rittal should not restrict their IP strategy (IP generation) to its position in the value
chain but also tend to design the new eco-system by means of IP.

6. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
IP Risks in the digital Transformation
If a patent infringement relates to a digital concept the entire value chain and
potentially large parts of the production can be affected
High probability of infringement due to technological complexity and high
patent application propensity of large internet-focused companies

7. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Innovation Management
How Radical?
How Broad?
Industry  B2B and supply chain
integration
 Inventing new industry
structures
Business  Re-engineering
business processes
 Creating entirely new
business concepts
Product or
Process
 Refining products &
processes
 Reconfiguring products &
processes
Incremental Radical
The innovation does not just related to a new product, but to a whole new way of
producing and integrating other levels of value creation (→ co-creation).

8. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
IP Design for Digital Business Models
Maindifference:
Modelingofinteractions
betweenthephysicalworld
andthevirtualworld

9. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Organizational Structure “Smart Production”
Advantages (e.g.)
 Concentration of competencies and focused
R&D
 Performance-based billing
Challenges (e.g.)
 Coordination of activities
 Motivation of the value creation partners to
participate in a solution for the customer

10. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
IP Controlling
Alignment of IP activities away from "visible" product features towards
the digital business model.

11. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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Case Study: Rittal
Force-Field Analysis
Initiative:
Establishing and
implementing a
digital business
model / value chain
in control cabinet
manufacturing
Driving forces
(Positive forces for change)
Restraining forces
(Obstacles to change)
Manufacturing
time savings
Time savings in
control cabinet assembly
Simplification of
control cabinet assembly
Higher energy efficiency
of data centers
Enable customers
to handle complexity
Training effort for
own sales staff
Training effort at stakeholders
(e.g. planners, customers)
Market acceptance risk
Potential harm to
stakeholders’ business model
High investment costs
… …

12. © 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
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© 2018 STI-IPM, Munich, Prof. Dr. Alexander J. Wurzer
STEINBEIS-TRANSFER-INSTITUTE
Intellectual Property Management
Director: Prof. Dr. Alexander J. Wurzer
Thalkirchner Str. 2
D - 80337 Munich
Phone: +49 (0)89 / 74 63 92 16
Fax: +49 (0)89 / 72 44 909 61
E-Mail: alexander.wurzer@sti-ipm.de
Internet: www.sti-ipm.de