MBA 8220: Innovating Business Processes. Mike Gallivan Lars Mathiassen Richard Welke Duane Truex. Agenda. Innovation Process innovation Case discussion Project. The Information Systems Strategy Triangle. Business Strategy. Organizational Design. Information Strategy.
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With the Manager in the
I. Sustaining innovation (exploitation):
Successful companies are good at responding to evolutionary changes in their markets
II. Disruptive innovation (exploration):
Where they run into trouble is in handling revolutionary changes in their markets
Christensen and Overdorf, “Meeting the Challenge of Disruptive Change”
Adapted from Christensen & Overdorf (2000)
“Midlevel managers play a crucial role in every company’s innovation process, as they shepherd partially formed ideas into fully fledged business plans in an effort to win funding from senior management.
It is the midlevel managers that decide which ideas … they support and carry to senior management”
From C. Christensen: The Innovator’s Solution, HBP, 2004
Which forms of change are your organization capable of handling?
The factors defining an organization’s change capabilities evolve over time:
Change more difficult
What’s a “heavyweight” team?
From: “Darwin and the Demon” (HBR, Geoffrey Moore, Jul-Aug 2004)
Surface modifications to improve customer experience.
Improve customer-touching processes
Established offers inexisting markets tonext level
Reframe establishedvalue proposition
to new markets
How is innovation organized to facilitate enhanced process performance?
How does business process configuration influence and shape innovation?
Adapted from Thomas H. Davenport: Process Innovation: Reengineering Work Through Information Technology, Harvard Business School Press, 1992.
Radical versus Incremental
Relates to both outcomes and
Process and can be combined
Is your organization
Innovation is like jazz -- not random; requires improvisation
Creativity is just having enough dots to connect
Adapted from Shapiro: Innovate your organization.
The 24/7 Innovation www.24-7innovation.com.
Adapted from Beechner & Hamilton: “Infinity: A Model for Organizational Excellence”
Document & analyzelessons
Define processes & measures
Plan & Execute pilot plan
Execute, & Track installation
Establish processaction teams &action plans
Set context &establishsponsorship
Stimulus for improvement
Set strategy & priorities
Appraise &characterizecurrent process
Develop recommendations& document results
McFeeley, B. (1996). “IDEAL: A User's Guide for Software Process Improvement”, CMU/SEI-96-HB-001. www.sei.cmu.edu
7R’s of process innovation
Adapted from Stephen ShapiroThe 24/7 Innovationwww.24-7innovation.com