Chapter 13 - Innovation, entrepreneurship, and creativity

Question 1

Innovation

Answer 1

The process by which organisation use their skills and resources to develop new goods and services or to develop new production and operating systems so that they can better response to the needs of their customers

Question 2

Two types of innovation

Answer 2

Quantum change

Incremental change

Question 3

Quantum technological change

Answer 3

A fundamental shift in technology that revolutionises products or the way they are produced

Question 4

Quantum innovations

Answer 4

New products or operating systems that incorporate quantum technological improvements.

Question 5

Incremental technological change

Answer 5

Technological change that represents a refinement of some base technology.

Question 6

Incremental innovations

Answer 6

Products or operating systems that incorporate refinements of some base technology.

Question 7

Intrapreneurs

Answer 7

Entrepreneurs inside an organization who are responsible for the success or failure of a project.

Question 8

Knowledge-creating organization

Answer 8

An organisation where innovation is going on all the levels in all areas.

Question 9

Product life cycle

Answer 9

The changes in demand for a product that occur over time

Question 10

Product life cycle stages

Answer 10

Embryonic

Growth

Mature

Decline:

Question 11

Project management

Answer 11

The process of leading and controlling a project so it results in the creation of effective new or improved products

Question 12

Project:

Answer 12

A subunit whose goal centres on developing the products or service on time, within budget, and in conformance with predetermined performance specifications

Question 13

The purpose of a stage-gate funnel

Answer 13

To establish a structured and coherent innovation process that both improves control over the product development effort and forces managers to make choices among competing new product development projects so resources are not spread too thinly over too many projects

Question 14

Cross-functional teams

Answer 14

A critical element in any structured new product development effort.

Successful innovation depends on the coordination of the activities of the research and development with the activities of other departments

Question 15

Lightweight team

Answer 15

Mid-level functional manager who has lower status than the head of a functional department.

The lightweight team leader is not given control over human, financial and functional resources.am leader

Question 16

Heavyweight team leader

Answer 16

A true project manager who has higher status within the organisation.

The heavyweight team leader is given primary control over key human, technological and financial resources for the duration of the project.

Question 17

Skunk work

Answer 17

Is a task force, a temporary team that is created to expedite new product design and to promote innovation by coordinating the activities of functional groups

Question 18

Joint ventures

Answer 18

Joint ventures between two or more organisations are another important means of managing high-tech innovation.

A joint venture allows organisations to combine their skills and technologies and pool their resources to embark on risky R&D projects

Question 19

Three factors that shape organizational culture and the degree to which its values and
norms emphasize innovation are

Answer 19

Organisational structure

People

Property rights

Question 20

Information efficiencies

Answer 20

The cost and time savings that occur when IT allows individual employees to perform their current tasks at higher level, assume additional tasks, and expand their roles in the organisation due to advances in the ability to gather and analyse data.

Question 21

Information synergies

Answer 21

The knowledge building created when two ore more individuals or subunits pool their resources and cooperate and collaborate across role or subunit boundaries.

Question 22

Boundary-spanning activity

Answer 22

The interaction of people and groups across the organisational boundary to obtain valuable information and knowledge form the environment to help promote innovation.

Question 23

How does IT help organisational structure and culture?

Answer 23

IT gives lower-level employees more detailed and current knowledge of
consumer and market trends and opportunities

IT can produce information synergies because it facilitates increased
communication and coordination between decentralised makers and top
managers.

IT means that fewer levels of managers are needed to handle problem solving
and decision making, which results in a flatter organisation

IT can also promote innovation through its effects on organizational culture. IT
facilitates the sharing of beliefs, values and norms because it allows for the quick
transmission of rich, detailed information between people and subunits.