Chapter 11: Managing Change and Innovation – Flashcards
Unlock all answers in this set
Unlock answersquestion
Organizational change
answer
Adoption of a new idea or behavior by an organization
question
Why do people resist change?
answer
-Self-interest -Lack of understanding and trust -Uncertainty -Different assessments and goals
question
Biggest obstacle to organizational change
answer
Fear of personal loss
question
Disruptive Innovation
answer
Innovations in products or services that typically start small and end up completely replacing an existing product or service technology for producers and consumers
question
Reverse Innovation
answer
Creating innovative, low-cost products for emerging markets and then quickly and inexpensively repacking them for sale in developed countries.
question
Ambidextrous Approach
answer
Incorporating structures and processes that are appropriate for both the creative impulse and for the systematic implementation of innovations
question
Product change
answer
change in the organization's product or service outputs. Primary way organizations adapt to changes in markets, tech, and competition
question
Technology changes are designed to...
answer
make the production of a product or service more efficient
question
Three strategies for changing technologies and products
answer
Exploration: Creativity, new ideas Cooperation Innovative roles: new ideas are carried forward for acceptance and implementation
question
Creativity
answer
Generation of novel ideas that might meet perceived needs or respond to opportunities for the organization
question
Research shows that successful innovations are often accompanied by...
answer
a high rate of failure
question
Who are the top three innovative companies?
answer
Nike, Amazon, and Square
question
Bottom-up Approach
answer
Encouraging the flow of ideas from lower levels and making sure that they get heard and acted upon by top executives
question
On average, a U.S. employee's ideas are implemented only once every...
answer
six years
question
Idea Incubator
answer
Mechanism that provides a safe harbor where ideas from employees throughout the company can be developed without interference from company bureaucracy or politics
question
What does keeping research and manufacturing close together help companies do?
answer
Be more innovative
question
Innovative Company Characteristics
answer
-People in research/marketing actively work with customers -Tech. specialists are aware of recent developments and make use of new tech -Shared new product development process is advocated/supported by top management and cuts across functions -Each project has a core cross-functional team
question
Horizontal Linkage Model (Internal)
answer
-Research, manuf., sales, and marketing departments simultaneously contribute to new products and technologies -Important in a high-pressure environment
question
80% of successful innovators...
answer
periodically test and validate customer preferences during development of new products and services
question
Open innovation (External)
answer
Extending the search for and commercialization of new ideas beyond the boundaries of the organization and even beyond the boundaries of the industry, sharing knowledge and resources with other organizations and individuals outside the firm
question
Crowdsourcing
answer
Using the internet to allow thousands of people to contribute to the innovation process
question
Innovation by acquisition
answer
-Buy start-up companies to obtain the innovative products and services and talent -Recognizes the cutting edge of innovation in young, small companies
question
Idea Champion
answer
Person who sees the need for and champions productive change within the organization
question
Managers can influence entrepreneurship by...
answer
-Supporting entrepreneurship activities -Giving employees autonomy -Rewarding learning and risk-taking
question
New-Venture Team
answer
Unit separate from the rest of the organization that is responsible for developing and initiating a major innovation. -Small, loosely structured, flexible
question
Skunkworks
answer
-Type of new-venture team -Separate, small, informal, highly autonomous, secret groups -Focuses on breakthrough ideas
question
The original skunkworks was created by...
answer
Lockheed Martin
question
New-venture Fund
answer
Provides resources to develop new ideas, products, or businesses -support from senior managers are important
question
People Change
answer
Concerns just a few employees, such as sending a handful of middle managers to a training course to improve their leadership skills
question
Culture Change
answer
Pertains to the organization as a whole
question
Two tools to help culture change
answer
Training and Development, and organizational development (OD)
question
Organizational Development
answer
Planned, systematic process of change that uses behavioral science knowledge and techniques to improve an organization's health and effectiveness through its ability to adapt to the environment, improve internal relationships, and increase learning and problem-solving capabilities
question
Problems that OD helps address
answer
-Mergers/acquisitions -Organizational decline/revitalization -Conflict management
question
OD Activities
answer
Team-building Survey Feedback Large-group Intervention
question
Traditional Organizational Development Model
answer
-Specific problem or group -Distrib. = limited -time frame is gradual -learning is individual, small groups
question
Large-Group Intervention Characteristics
answer
-Focuses on entire system -Distrib = widely shared -time frame is fast -learning is whole organization
question
OD Steps
answer
1) Unfreezing 2) Changing 3) Refreezing
question
Unfreezing
answer
-Makes people be aware of problems and need for change -Establishes sense of urgency -Uses a diagnosis and change agent
question
Change agent
answer
OD specialist that performs a systematic diagnosis of the organization and identifies work-related problems
question
Changing stage of OD
answer
-Individuals experiment with new behavior and skills (intervention) -Involves emotion and logic
question
Refreezing
answer
-When individuals acquire new attitudes or values and are rewarded by the firm -New behaviors and evaluated and reinforced
question
Need for change
answer
Disparity between existing and desired performance levels
question
Force-field Analysis
answer
-Kurt lewin -Change is result of the competition between driving and restraining forces -Driving: problems/opps that motivate change in firm -Restraining: Barriers to change
question
Implementation Tactics
answer
-Top Management Support -Communication and Education -Participation -Negotiation -Coercion
question
Top management support is especially important when...
answer
A change involves multiple departments or when resources are being reallocated among departments
question
Communication, Education
answer
-Change is technical -Users need accurate info and analysis to understand change
question
Participation
answer
-Need to feel involved -Design requires info from others -Users have power to resist
question
Negotiation
answer
-Group has power over implementation -Group will lose out in the change
question
Coercion
answer
-A crisis exists -Initiators clearly have power -Other implementation techniques have failed -Last resort
