Today, the direct R&D investment on foreign countries has been increasing dramatically because of growing global competition. The A group which is one of the chaebols in Korea is also increasing the number of their overseas R&D centers to repond to the trend. This study tries to show up a guideline to make effective foreign R&D centers to the people who are supposed to manage overseas R&D centers especially of the A group.
This study carried out case analysis of 8 comapnies of the A group with the framework which has 10 research fields of the purpose of estabilishing, type of R&D center, way of aquiring, locationing, autonomy, HRM, project selection & management, technology transfer, reward system and people. The framework was organized with results suggested by early researchs concerned about overseas R&D centers.
As conclusions, this study suggested some managerial implications and a model on management the A group's overseas R&D centers. The remarkable managerial implications are as follows: 1) Most of R&D centers which are for aquring technologiy located on regions of source of crresponding technology and they could be successful; 2) The projects were propose from home sites in case of industries hard to forecast the trend of technology; 3) Autonomy, taking HRM system and staffing R&D managers has strong relationship, so it can be handled as same parameter. and R&D centers which carry out projects independently with home site should be given autonomy; 4) Huge centers have strategic problems and the others have organizational problems; 5) Most of foreign researchers don't understand home company's management conditions, and to overcome it, company should provide visions to researecers; 6) Many companies don't have abvious R&D strategy and it could decrease the effectiveness and efficiency of their overseas R&D centers; 7) To recruit qualified researchers, stock option in the U.S. and finding researcher who has the 3rd nationality in Japan could be effective alternatives; 8) In advanced technology industries, many companies invest too small resource compare with what advanced companies did, and it could cause of serious conflicts among researchers with their objectives. This comes from difficiecy of owner's interesting and supporting.
The model for management A group's overseas R&D centers consisted with building and operationg stages. it provides guidelines on various topics of both stages.