Chapter 10 Flashcards
(24 cards)
What does Fear stand for?
False
Evidence
Appearing
Real
Super trends shaping the future of business:
(1) Marketplace is becoming more segmented and moving toward more niche products
(2) Competitors offering specialized solutions require us to get our products to market faster
(3) Some companies are unable to survive disruptive innovation
(4) Offshore suppliers are changing the way we work
(5) Knowledge, not information, is becoming the new competitive advantage
A Harvard professor that argues that when successful companies are confronted with a giant technological leap that transforms their markets, all choices are bad ones.
Clayton M. Christensen
A process by which a product or service takes roots initially in simple applications at the bottom of a market and then relentlessly moves up market, eventually displacing established competitors.
Disruptive Innovation
Making changes in response to problems or opportunities as they arise.
Reactive Change
Planned change, involves making carefully thought out changes in anticipation of possible or expected problems or opportunities
Proactive Change
Outside Forces for Change:
(1) Demographic characteristics
(2) Technological advancements
(3) Shareholder, customer and market changes
(4) Social and Political Pressures
Inside Forces for Change:
(1) Human Resource concerns
(2) Managers behavior
Any machine or process that enables an organization to gain a competitive advantage in changing materials used to produce a finished product
Technology
The company is legally required to adhere to socially beneficial practices
B Corporation ( Benefit Corporation )
Creation of something new that makes money; it finds a pathway to the consumer
Innovation
Change in the appearance or functionality/performance of a product or a service or the creation of a new one
Product Innovation
Change in the way a product or a service is conceived, manufactured, or distributed
Process Innovation
Enhance or upgrade an existing product, service or process. These types of innovations are often incremental and are less likely to generate significant amounts of new revenue.
Improvement Innovations
Take a totally new or different approach to a product, service, process or industry. The invention of breakthrough products or services that are aimed at creating brand new markets and customers.
New- Direction Innovations
Example of a New Direction Innovation
Sea steading - the creation of floating cities
A coherent set of interdependent processes and structures that dictates how the company searches for novel problems and solutions, synthesizes ideas into a business concept and product designs, and selects which project gets funded
Innovation System
Components of an Innovation System:
(1) Innovation strategy
(2) Committed Leadership
(3) Innovative Culture and Climate
(4) Required Structure and Processes
(5) Necessary Human Capital
(6) Human Resource Policies, Practices and Procedures
(7) Appropriate Resources
Requires a company to integrate its innovation activities into its business strategies
Innovation Strategy
Four Agility Techniques to foster innovation:
(1) Place more emphasis on people
(2) Be responsive to change
(3) Develop and test prototypes
(4) Collaborate with customers
An emotional / behavioral response to real or imagined threats to an established work routine.
Resistance to Change
Resistance Causes:
(1) Employee characteristics
(2) Change agent characteristics
(3) The change - agent employee relationship
The individual who is a catalyst in helping organizations change
Change Agent
Ten Reasons Employees Resist Change:
(1) Individuals’ predisposition towards change
(2) Surprise and fear of unknown
(3) Climate of mistrust
(4) Fear of failure
(5) Loss of status or job security
(6) Peer pressure
(7) Disruption of cultural traditions or group relationships
(8) Personality Conflicts
(9) Lack of tact or poor timing
(10) Nonreinforcing reward systems
