diffusion of innovation

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The Diffusion and Adoption of Innovations A Quick Summary of ‘The Diffusion of Innovations’ by Everett Rogers or ‘Really, all you need to know about innovation diffusion and adoption was written over 50 years ago (and updated a few times since then)’ Dr. David J. Walczyk (c) Dr. David J. Walczyk

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Diffusion of innovation made simple. A condensed and applied summary of ‘The Diffusion of Innovations’ by Everett Rogers. A presentation I've given many times!

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Page 1: Diffusion of Innovation

The Diffusion and Adoption of Innovations

A Quick Summary of ‘The Diffusion of Innovations’ by Everett Rogers

or

‘Really, all you need to know about innovation diffusion and adoption was written over 50 years ago

(and updated a few times since then)’

Dr. David J. Walczyk

(c) Dr. David J. Walczyk

Page 2: Diffusion of Innovation

Sections: 1. Overview of technological diffusion 2. Stages in the innovation-decision making process 3. Attributes of innovations and their rates of adoption 4. Adopter categories 5. Putting it all together: the innovation process is an organization

(c) Dr. David J. walczyk

Page 3: Diffusion of Innovation

1. Overview of technological diffusion

(c) Dr. David J. walczyk

Page 4: Diffusion of Innovation

A process by which: 1. any innovation 2. is diffused through certain channels and then adopted 3. over time 4. among the members of a social system (for instance a

culture, a subculture, an organization)

- What is an innovation?- Examples?

What is technological diffusion?

(c) Dr. David J. walczyk

Page 5: Diffusion of Innovation

The elements of technological diffusion: 1. the innovation 2. communication channels 3. time 4. the social system (people and the organization)

Lets look at the characteristics of the first element in detail…

(c) Dr. David J. walczyk

Page 6: Diffusion of Innovation

Characteristics of the innovation that relate todiffusion and adoption: 1. Relative advantage 2. Compatibility 3. Complexity 4. Trialability 5. Observability

(c) Dr. David J. walczyk

Page 7: Diffusion of Innovation

Relative advantage: degree to which an innovation is perceivedas better than the technology it supersedes.

Measured in?

(c) Dr. David J. walczyk

Page 8: Diffusion of Innovation

Compatibility: the degree to which an innovation is perceivedas being consistent with existing values, past experiences,

and needs of potential adopters.

How much change is required…

Examples?

(c) Dr. David J. walczyk

Page 9: Diffusion of Innovation

Complexity: The degree to which an innovation is perceivedas being easy or difficult to adopt.

Examples?

(c) Dr. David J. walczyk

Page 10: Diffusion of Innovation

Trialability: the degree to which an innovation may beexperimented with prior to adoption

Why important?

(c) Dr. David J. walczyk

Page 11: Diffusion of Innovation

Observability: the degree to which the benefits (+ and -) arevisible to others

Examples?

(c) Dr. David J. walczyk

Page 12: Diffusion of Innovation

2. Stages in the innovation-decision making process

(c) Dr. David J. walczyk

Page 13: Diffusion of Innovation

Innovation-decision process: an information-seeking andinformation-processing activity in which an individual is

motivated to reduce uncertainty with the advantages anddisadvantages of the innovation

Examples?

(c) Dr. David J. walczyk

Page 14: Diffusion of Innovation

Steps in the innovation-decision process: 1. knowledge 2. persuasion 3. decision 4. implementation 5. confirmation

Lets look at each step in detail…

(c) Dr. David J. walczyk

Page 15: Diffusion of Innovation

Knowledge: when an individual (or other decision-makingunit) is exposed to an innovation’s existence and gains anunderstanding of how it functions

Examples?

(c) Dr. David J. walczyk

Page 16: Diffusion of Innovation

Persuasion: when an individual (or other decision-makingunit) forms a favorable or unfavorable attitude towardsthe innovation

Examples?

(c) Dr. David J. walczyk

Page 17: Diffusion of Innovation

Decision: when an individual (or other decision-makingunit) engages in activities that lead to a choice to adoptor reject the innovation

Examples?

(c) Dr. David J. walczyk

Page 18: Diffusion of Innovation

Implementation: when an individual (or other decision-makingunit) puts a new technology to use

Examples?

(c) Dr. David J. walczyk

Page 19: Diffusion of Innovation

Confirmation: when an individual (or other decision-makingunit) seeks to reinforce or revoke (reject) an innovation-decision

Examples?

(c) Dr. David J. walczyk

Page 20: Diffusion of Innovation

Two types of innovation rejection:Active – consideration and then rejectionPassive – no consideration and no adoption

(c) Dr. David J. walczyk

Page 21: Diffusion of Innovation

A big picture

1. knowledge 2. persuasion 3. decision 4. implementation 5. confirmation

Prior conditions1. Previous practices2. Felt needs/problems3. Innovativeness4. Norms of the social system

Characteristics of theDecision-making unit1. SocieconomicCharacteristics2. Personality variables3. Communicationbehavior

Perceived characteristicsof the innovation1. Relative advantage2. Compatibility3. Complexity4. Trialability5. Observability

1. Adoption

2. Rejection

Continued Adoption

Late Adoption

Discontinuance

Continued Rejection

Communication Channels

The rate of awareness-knowledge foran innovation is more rapid than its rate of adoption

(c) Dr. David J. walczyk

Page 22: Diffusion of Innovation

3. Attributes of innovations and their rates of adoption

(c) Dr. David J. walczyk

Page 23: Diffusion of Innovation

Attributes of innovations: (differences) in perceivedproperties of innovations

Rate of adoption: the speed with which an innovation isadopted by members of a social system.

(c) Dr. David J. walczyk

Page 24: Diffusion of Innovation

Another big picture

Variables Determiningthe Rate of Adoption

Dependent VariableThat is Explained

I. Perceived Attributes of Innovations1. Relative Advantage2. Compatibility3. Complexity4. Trialability5. Observability

II. Types of Innovation-Decision1. Optional2. Collective3. Authority

III. Communication Channels(e.g. mass media or interpersonal)

IV. Nature of the Social System(e.g. its norms, degree of networkInterconnectedness, etc.)

V. Extent of Change Agents’Promotion Efforts

Rate if Adoptionof Innovations

(c) Dr. David J. walczyk

Page 25: Diffusion of Innovation

4. Adopter categories

(c) Dr. David J. walczyk

Page 26: Diffusion of Innovation

Adopters: measured in terms of the behavioral, cognitive, andattitudinal openness to change

Diffusion follows an “S” curve (similar to in the real-world) – anormal distribution

Distribution of adopter categories follows a bell curve

The “S”-curve and the normal distribution curve overlap to give a general/generic view of technological diffusion

(c) Dr. David J. walczyk

Page 27: Diffusion of Innovation

Categories: (3 to left, 2 to right on a bell curve)- innovators 2.5%- early adopters 13.5%- early majority 34%- late majority 34%- laggards 16%

(c) Dr. David J. walczyk

Page 28: Diffusion of Innovation

Innovators – gatekeepers, control flow of new ideas

Early adopters – highest level of opinion leadership. Potential adopters look to them

Early majority – Seldom hold positions of opinion leadership

Late majority – general acceptance is established

Laggards – do not accept change

(c) Dr. David J. walczyk

Page 29: Diffusion of Innovation

Two main types of diffusion systems:Centralized (linear – top-down)

Decentralized (non-linear bottom-up convergence)

(c) Dr. David J. walczyk

Page 30: Diffusion of Innovation

5. Putting it all together: the innovation process is an organization

(c) Dr. David J. walczyk

Page 31: Diffusion of Innovation

The innovation Process in an Organization

I. Initiation II. Implementation

Agenda-setting MatchingRedefining/

RestructuringClarifying Routinizing

#1 #5#4#3#2

Decision

Generalorganizationalproblems thatmay create aperceived needfor innovation.

Fitting aproblem fromtheorganization’sagenda with aninnovation.

The innovationis modified andre-invented tofir theorganization,andorganizationalstructures arealtered.

Therelationshipbetween theorganizationand theinnovation isdefined moreclearly

The innovationbecomes anongoingelement in theorganization’sactivities, andloses it identity.

(c) Dr. David J. walczyk

Page 32: Diffusion of Innovation

Agenda-setting – organizational problem is definedthat creates a need for an innovation. For example a performance gap

Matching – stage at which a problem from the agenda is fit with aninnovation

Redefining/restructuring – reinvention of innovation to organizationsneeds. Organizations structure is modified to fit with the innovation

Clarifying – Flexibility. Social construction or technological determinism

Routinizing – Integration into everyday life

(c) Dr. David J. walczyk

Page 33: Diffusion of Innovation

But its iterative!So…we must analyze consequences

1. Desirable vs. undesirable2. Direct vs. indirect3. Anticipated vs. unanticipated

(c) Dr. David J. walczyk

Page 34: Diffusion of Innovation

Desirable – functional effects on individuals or moreUndesirable – Dysfunctional effects

Direct consequences – changes that occur in immediate responseIndirect - the consequences of consequences

Anticipated – changes that are recognized and intendedUnanticipated – neither recognized nor intended

(c) Dr. David J. walczyk

Page 35: Diffusion of Innovation

End

(c) Dr. David J. walczyk