Term
| Organizational innovation |
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Definition
| successful implementation of creative ideas |
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Term
| Why does innovation matters |
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Definition
Technology cycle
innovation stream |
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Term
| what does technology consist of? |
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Definition
| knowledge, tools, and techniques used to transform inputs ( raw materials and information) into outputs ( products and services) |
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Term
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Definition
| begins with the birth of a new technology and ends when that technology reaches its limits and dies as it is replaced by a newer substantially better technology |
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Term
| Example of technology cycle |
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Definition
Video being replaced by laser disc then by blu ray
mechanical hard drive technology into solid state drive technology |
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Term
| S Curve pattern of innovation |
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Definition
| nearly all technology cycle follow |
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Term
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Definition
| indicates increased effort (in terms of money or research and development ) brings only small improvements in technological performance |
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Term
| The steeper the slope on an s-curve indicates___ |
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Definition
| that small amount of efforts will result in significant increases in performance |
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Term
| After a technology has reached its limits___ |
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Definition
| significant improvements in performance usually come from radical new designs or new performance enhancing materials |
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Term
| The changeover or discontinuity between the old an new technologies is represented ____ |
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Definition
| by a dotted line, the old and new technologies will coexist |
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Term
| A competitive becomes sustainable if other___ |
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Definition
| companies cannot duplicate the benefits obtained from that distinctive competence |
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Term
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Definition
| technological innovation can enable competitors to duplicate the benefits obtained from a company's distinctive advantage |
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Term
| Example of technological innovation and competitive advantage |
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Definition
| Kodak introduced the digital camera which laid off 27k employees, but advanced their digital camera sales |
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Term
| best way to avoid threat innovation is to create a ______ |
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Definition
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Term
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Definition
| patterns of innovation over time that can create sustainable competitive advantage |
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Term
| Technological Discontinuity |
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Definition
| phase of innovation stream in which a scientific advance or unique combination of existing technologies creates a significant breakthrough in performance or function |
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Term
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Definition
| phase of a technology cycle characterized by technological substitution and design competition |
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Term
| Technological substitution |
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Definition
| the purchase of new technologies to replace older ones |
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Term
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Definition
| competition between old and new technologies to establish a new technological standard or dominant design |
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Term
| Technological discontinuities are followed by___ |
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Definition
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Term
| What are 2 characteristics of discontinuous change? |
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Definition
Technological substitution
design competition |
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Term
| Example of design competition |
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Definition
| the development of the phone system in the 1800's (page 134) |
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Term
| Discontinuous change is followed by _____ |
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Definition
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Term
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Definition
| new accepted market standard for technology |
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Term
| How does dominant design emerge? |
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Definition
critical mass
independent standard bodies(ITU) |
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Term
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Definition
| dominant always becomes the best accepted technology |
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Term
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Definition
| the inability of a company to competitively sell its products because it relied on old technology or a nondominant design |
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Term
| When companies bet on the wrong design they experience____ |
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Definition
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Term
| Emergence of dominant design |
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Definition
indicates there are winners and losers
signals a shift from design
experimentation and competition into incremental change |
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Term
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Definition
| a phase in which companies innovate by lowering cost and improving the functioning and performance of the dominant design |
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Term
| Example of incremental change |
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Definition
| increase of manufacturing efficiencies to enable to cut costs of chips while doubling or tripling their speed |
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Term
| Managers must be good in managing innovation in 2 ways |
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Definition
find a way to anticipate and survive change
must manage the very different process of incremental improvement and innovation |
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Term
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Definition
| what works well when managing innovation does not work well when managing innovation during periods of incremental change |
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Term
| In order to successfully manage innovative streams managers must be good at 3 things_____ |
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Definition
managing sources of information
managing innovation during discontinuous change
managing innovation during incremental change |
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Term
| To manage innovation one must manage the ___ |
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Definition
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Term
| Companies create _______ in order to properly manage innovation |
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Definition
| creative work environments |
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Term
| Creative work environment |
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Definition
| workers perceive that creative thoughts and ideas are welcomed and valued |
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Term
| 6 components to creative work environments |
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Definition
challenging work
organizational encouragement
supervisory encouragement
work group encouragement
freedom
lack of organizational impediments |
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Term
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Definition
| Work that is not challenging is creative |
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Term
| Work that is challenging creates psychological creativity called |
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Definition
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Term
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Definition
| psychological state of effortlessness, in which you become completely absorbed in what you are doing and time seems to fly |
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Term
| When skills and task challenge are balanced___ |
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Definition
| flow and creativity can occur |
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Term
| A creative work environment requires 3 kinds of encouragement: |
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Definition
organizational
supervisory
work group encouragement |
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Term
| Organizational encouragement |
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Definition
| creativity occurs when management encourages risk taking and new ideas, supports fairly evaluates new ideas, rewards and recognizes creativity and encourages the sharing of new ideas throughout different parts of the company |
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Term
| Supervisory Encouragement |
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Definition
creativity occurs when supervisors provide:
clear goals
encourage open interaction with subordinates
actively support development teams work and ideas |
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Term
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Definition
| Occurs when group members have diverse experience, education, and backgrounds and the group fosters mutual openness to ideas: positive, constructive challenge to ideas, and shared commitment to ideas |
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Term
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Definition
| having autonomy over ones day to day work and a sense of ownership and control over ones ideas |
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Term
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Definition
| internal conflict and power struggles rigid management structures and conservative bias toward the status quo can all discourage creativity |
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Term
| Experiential approach to innovation |
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Definition
| assumes that innovation is occurring within a highly uncertain environment and that the key to fast product innovation is to use intuition, flexible options, hands-on experience to reduce uncertainty and accelerate learning and understanding |
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Term
| Experiential Approach has 5 aspects |
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Definition
design iterations
testing
milestones
multi-functional teams
powerful leaders |
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Term
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Definition
| cycle of repetition in which a company tests a prototype of a new product or service, improves on the design, and then builds and tests the improved product or service prototype |
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Term
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Definition
| full scale working model that is being tested for design, function, and reliability |
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Term
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Definition
| systematic comparison of different product designs or design iterations |
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Term
| Frequent design iteration reduce ___ |
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Definition
| uncertainty and improve understanding |
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Term
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Definition
| formal project review points used to assess progress and performance |
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Term
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Definition
people get over the embarrassment that work is still in process
communicate important points to the entire crew at the same time
people learn from and inspire each other
no surprises at the end |
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Term
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Definition
structure tot he general chaos that follows technological discontinuities
shorten the innovation process by creating a sense of urgency
meeting regular milestones build momentum by giving people a sense of accomplishment |
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Term
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Definition
| work teams composed of people from different departments |
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Term
acclerate learning and understanding by mixing, and integrating technical, marketing, and manufacturing activities
speed innovation through early identification of new ideas or problems that would typically not have been generated or addressed until much later |
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Definition
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Term
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Definition
provide vision
discipline
motivation to keep innovation process focused on time and on target
able to get resources when needed
more experienced-have high status-held directly responsible for the products success |
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Term
| Experiential approach is used to |
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Definition
| manage innovation in highly uncertain environments during periods of discontinuity chnage |
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Term
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Definition
| used to manage innovation in more certain environments during periods of incremental change |
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Term
| Goals of experiential approach are |
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Definition
significant improvements in performance
establishment of a new dominant design |
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Term
| Goals of compression approach |
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Definition
lower costs
incremental improvements in the performance and function of the existing dominant design |
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Term
| General strategy of the experiential approach |
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Definition
| build something new different, and substantially better |
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Term
| General strategy of the compression approach___ |
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Definition
compress time and steps needed to bring about small consistent improvements in performance and functionality
continue to improve the existing technology as rapidly as possible |
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Term
| compression approach to innovation |
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Definition
| assumes that innovation is a predictable process, that incremental innovation can be planned using a series of steps and that compressing the time it takes to complete those steps can speed up innovation |
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Term
| 5 aspect of compression approach to innovation |
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Definition
Planning
Supplier Involvement
Shortening the time of individual steps
overlapping steps
multifunctional teams |
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Term
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Definition
| choosing a goal and a method or strategy to achieve that goal |
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Term
| Planning for incremental innovation |
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Definition
| the goal is to squeeze or compress development time as much as possible |
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Term
| General strategy of incremental innovation |
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Definition
create a series of planned steps to accomplish that goal
helps avoid unnecessary steps and enables developers to sequence steps in the right order to avoid wasted time and delays between steps
reduces misunderstandings and improves coordination |
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Term
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Definition
| occurs when incremental improvements are made to a dominant technological design such that the improved version of the technology is fully backward compatible with the older bersion |
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Term
| Most planning for incremental chnage is vased on____ |
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Definition
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Term
| Backward compatibility is an important component of ensuring the success of new technology |
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Definition
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Term
| In the compression approach 2 ways of shorten developemnt time__ |
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Definition
supplier involvement
shorten the time of individual steps |
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Term
| Shorten the time of individual steps |
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Definition
This is doen trough CAD, speeds up the design process through
making it easy to see design changes-purchasing-production |
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Term
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Definition
| Summit entertainment used over;apping steps in producijng Twilight. |
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Term
| Companies that fail to chnage run the risk of organizational decline |
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Definition
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Term
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Definition
| occurs when companies do not anticipate recognize, neutralize, or adapt to the internal or external pressures that threaten their survival |
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Term
| Example of organizational decline |
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Definition
| GM lost market share in the auto industry |
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Term
| 5 stages of organizational decline |
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Definition
blinded
inaction
faulty action
dissolution |
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Term
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Definition
| key managers fail to recognize the internal or external chnages that will harm their organization |
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Term
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Definition
simple lack of awareness
inability to understand
overconfidence |
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Term
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Definition
| organizational performance problems become more visible, management may recognize the need to change but still take no action |
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Term
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Definition
problems correct themselves?
difficult to chnage the practices that led to success
no sense of urgency |
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Term
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Definition
| rising costs and decreasing profits and market share, management will announce belt tightening plans designed to cut cost, increase efficiency, and restore profits |
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Term
| Example of faulty action stage; |
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Definition
| managers will assume they can run atighter ship and return to previous levels |
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Term
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Definition
| bankruptcy or dissolution is likely to occur unless the company completely reorganizes the way it does business |
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Term
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Definition
companies lack the resources to fully change
layoffs will reduce talent
talent will leave ebfore it gets worse |
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Term
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Definition
| after failing to make changes to sustain the organization, the company will dissolve through bankruptcy |
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Term
| Decline is not reversible in any of the 5 stages |
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Definition
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Term
| Change is a fucntion of the forces that promote chnage and the opposing forces that slow or resist change |
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Definition
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Term
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Definition
| lead to differences in the form, quality, or condition of an organization over time |
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Term
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Definition
| support the status quo that is the existing conditions in an organization |
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Term
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Definition
| caused by self interest misunderstanding and distrust, and a general intolerance for change |
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Term
| People resist change out of self interest because they fear that chnage will cost or deprive them of soemthing they value |
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Definition
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Term
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Definition
| support chnages in public but do their jobs as they always have in private |
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Term
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Definition
| people feel threatened by the uncertainty asociated with chnage and worry that they wont be able to learn new skills |
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Term
| Managing resistance to chnage |
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Definition
unfreezing
change intervention
refreezing
coercion |
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Term
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Definition
| getting the people affected by chnage to believe that chnage is needed |
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Term
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Definition
| workers and managers chnage their behavior and work practices |
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Term
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Definition
| supporting and reinforcing the new chnages so that they stick |
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Term
| Resistance is an example of____ |
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Definition
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Term
| manage resistance to change |
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Definition
education
communication
participation
negotiation
top management support
coercion |
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Term
| 2 erros made during the unfreezing process |
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Definition
not establishing a great enough sense of urgency
not creating a powerful enough coalition |
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Term
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Definition
| guides and supports organizational change |
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Term
| 4 errors made during the change phase |
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Definition
lacking a vision
undercommunciating the vision
not systematically planning for and creating short term wins
not removing obstacles to the new vision |
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Term
| 2 errors made during the refreezing phase |
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Definition
declaring visctory too soon
not anchoring chnage sin company culture |
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Term
| how to keep anchored culture? |
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Definition
directly showing people that the chnages have actually improved performance
people who get promoted fit the culture |
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Term
| Change tools and techniques |
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Definition
results driven change
general electric workout
organizational development |
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Term
| One of the reasons that organizational chnage efforts fail is that they___rather than___ |
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Definition
activity driven
results driven |
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Term
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Definition
| supplants the emphasis on activity with a laser like focus on quickly measuirng and improving results |
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Term
| Advantages of results driven change |
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Definition
measure the effects of the focus on quality
managers introduce chnages in procedures, philosophy, or behavior only if they are likely to improve measured performance
quick visible improvements motivate employees to continue to make additional chnages to improve measured performance |
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Term
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Definition
| 3 day meeting that brings together managers and employees from different levels and parts of an organization to quickly generate and act on solutions to specific business problems |
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Term
| Organizational development |
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Definition
| philosophy and collection of planned change interventions designed to improve an organizations long-term health and peformance |
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Term
| General steps for organizational develpement |
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Definition
entry
startup
assessment and feedback
action planning
intervention
evaluation
adoption
separation |
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Term
| How to create a results driven change program |
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Definition
set measurable short term goals
Make sure action steps are likely to improve measured performance
importance of immediate improvements
solicite help from consultants and staffers
test action steps
use resources |
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