Toward a conceptual framework of the process of organized innovation technological within the firm

The literature concerning information flow and organizational design for technological innovation is summarized and a conceptual framework of the process of organized technological innovation within the firm is developed. The framework incorporates Rosenbloom's premise that corporate strategy can serve to cut across both internal and external boundaries of the firm and is shown to be consistent with the relevant organizational and planning literatures. The potential for using mathematical models to represent a firm's corporate strategy, budgeting and resource allocation activities is discussed. We argue that such models are needed to provide for policy analysis and could lead to a simulation capability that serves as a surrogate for real-life experimentation.