As companies transfer their R&D activities abroad they, will have to confro
nt a challenging management issue how to successfully, operate R&D laborato
ries dispersed around the world. Both Matsushita Electric and Sony, seem to
have coped with this issue skillfully by introducing new management system
s and practices-redefining the mission and goals of their global R&D, assig
ning two types of projects at the same time, rather than specializing proje
cts among different labs, coordinating not by large-scale committees or mee
tings but through human relationships among a small number of top R&D manag
ers, drastically, changing their organizational structures, and so on. It a
ppears that both companies have already realized some of the anticipated be
nefits.