dr. iris berdrow bentley college, harvard summer school
TRANSCRIPT
Dr. Iris BerdrowDr. Iris BerdrowBentley College, Harvard Summer SchoolBentley College, Harvard Summer School
Student: Where is my Lincoln Student: Where is my Lincoln brief??brief?? Professor: Would you believe Professor: Would you believe my puppy ate my homework?my puppy ate my homework?
The next Dilbert cartoon:
Tonight’s class:Tonight’s class:
Readings Networks Learning, communication and innovation Controlled versus open learning Communication, organization structure and
innovation Wrap Up
“Linking Knowledge & Innovation for Competitive Advantage”
Learning Knowledge Innovating InnovationCompetitive advantage
• Divergent
• Exploration focus
• Cost = cost to get and stay smart
• Need to know how to explore
• Need infrastructure to facilitate exploration
• Convergent
• Exploitation focus
• Cost = cost to apply knowledge in the marketplace, i.e., commercialize the innovation
• Need to know how to exploit
• Need infrastructure to facilitate exploitation
Return via the market
Strategic alignmentPhase 1 Phase 2
Strategic alignment between P1 & P2 leads to competitive advantage. C.A. leads to higher returns. Thus how well we do P1 & P2 and the alignment will lead to higher returns.
Source: Global Innovation Assessment Project, McDonough, Berdrow & Zack, 2007. ©
Do not copy without permission.
Learning within organizationsLearning within organizations
What are the internal processes by which new knowledge is created, integrated and institutionalized into products, services and processes?
Source: M.M.Crossan & I.Berdrow. 2003. Organizational Learning and Strategic Renewal. Strategic Management Journal, V.24(11), p.1087.
Learning across organizationsLearning across organizations
What are the processes by which new knowledge is created, integrated and institutionalized across organizational boundaries?
Source: Berdrow, Iris. 2003. “Complex Learning Partnerships: Creating the Connections In International Alliances.” A.F. Buono, editor Enhancing Inter-Firm Networks and Interorganizational Strategies (Volume 3), Research in Management Consulting: Information Age Publishing, Greenwich, Ct: pp 117-136.
INDIVIDUAL
IND
IVID
UA
L
GROUP
GR
OU
P
ORGANIZATION
OR
GA
NIZ
AT
ION
DEVELOPING LEARNING CAPABILITIES
ASSIMILATION
OF LEARNING
IMPACT ON
CONTINUED
LEARNING
Organization A
Organization B
Partnership
Learn
ing
with
in O
rgan
ization
s
Learn
ing
with
in O
rgan
ization
s
Learn
ing
acros
s Org
anizatio
ns
Lea
rnin
g O
rig
in
Learning Target
Figure 1: Learning Matrix
Controlled versus Open LearningControlled versus Open Learning
Organizations choose between make, co-create or buy strategies of innovation.
What are the pros and cons of creating innovations in-house versus through an open peer development system?
The Lone Wizard or the MassesWhat is the contribution of Open Source?
On May 22, 1997, a little-known software programmer from Pennsylvania named Eric Raymond presented a
paper at a technology conference in Würzburg,
Germany. Titled “The Cathedral and the Bazaar.”
Traditionally, sophisticated programs had always been “built like cathedrals, carefully crafted by individual wizards or small bands of mages working in splendid isolation.”
An open source project, in contrast, was the product of a large and informal community
of volunteers who in aggregate “seemed to resemble a great
babbling bazaar of differing agendas and approaches.”
Raymond coins Linus’s Law, after Linus Torvalds,
Linux’s founder and presiding genius.
“Given enough eyeballs, all bugs are shallow.”
The Ignorance of Crowds by Nicholas G. Carr 05/31/07, enews Strategy+Business.
Benefits & Limitations of Open Benefits & Limitations of Open Source SystemsSource Systems1. Diversity of skills and experience
2. Diversity of agendas and perspectives
3. Requires little coordination among workers
4. Works best when labor is donated or partially subsidized
Cathedral versus BazaarCathedral versus Bazaar
CATHEDRALA MODEL OF INVENTION
BAZAARA MODEL OF OPTIMIZATION
• Find and fix problems• Collect and categorize information• Engaging customers to harness
insights and increasing loyalty
• Origination of ideas that lead to products
• Perfecting the fit and finish of products
Effective use of peer Effective use of peer development systemsdevelopment systems
IDEA GENERATION
PEER DEVELOPMENT EXPERT TEAMTorvalds’ hierarchy of talented software programmers to help
manage the contributions.
Linus Torvald, founder and presiding genius of Linux
Public contributions to the refinement of Linux
SOURCES OF INNOVATIVE SOURCES OF INNOVATIVE IDEASIDEAS Within organizations
Visionaries, Wizards R&D Labs New Leadership
Across organizations Networks Alliances
Outside organizations Peers Customers Competitors Industry
Organization & Architecture of Innovation: Managing the Flow of Technology by Allen & Henn, 2006: Butterworth-Heinemann.
What is the relationship between innovation, communication and organization structure?
ArgumentsArguments
Managers should realize that they have both organizational structure and physical space available to them when planning the innovation process.
Most frequently, the best source of new technical ideas for product development engineers is a colleague in the same organization.
Innovation ProcessInnovation Process
CONCEPT DEVELOPMENT ENGINEERING
Stages of Innovation
Num
ber
of P
eopl
e In
volv
ed
CommunicationCommunication
Probability of Face-toFace Communication
Pro
babi
lity
of
Tel
epho
neC
omm
unic
atio
n
What have we learned?What have we learned?
Innovating requires learning Learning requires communication Organization structure and physical space
can impact learning, communication and hence, innovation.