Session 9: The Innovative Organization

Question 1

Own R&D as a source of innovation

Answer 1

Firms internal R&D and its
innovation capabilities is
still one of the (if not the)
most important sources of
innovation.

Question 2

Concept of absorptive capacity

Answer 2

Absorptionsfähigkeit ist die Fähigkeit, zu schätzen, zu assimilieren, und neues Wissen anwenden.

Question 3

Well-managed innovation process

Answer 3

• Pre-Development
• Development Projects
• Intrduced Products

Question 4

The reality … is very different

Answer 4

• Source of ideas is uncertain
• Pet projects of senior management
• Products get jammed
up and recirculate
• A lot of hot air at the
end, but only few
products “drip” into
the market

Question 5

Solution of: Principal-agent problems in inno. management

Answer 5

Based on key goals and critical success factors for new product development, stages and gates break the Innovation process into defined stages, each consisting of a set of defined, parallel and cross-functional
activities.

Question 6

Not-Invented-Here syndrome (NIH)

Answer 6

The Syndrome is defined as the tendency of a Project group of stable composition to believe it possess a monopoly of knowledge of its field, which leads it to reject new ideas from outsiders to
the likely detriment of its performance.”

Question 7

Promotor model: types of promotors

Answer 7

• Technical Promotor
• Power promotor
• Process promotor

Question 8

Benefits of a strong corporate culture

Answer 8

• Processes of coordination are easier through a common orientation
• Fast agreement and decision
processes are possible
• Control mechanisms might be dispensable
• Team spirit – higher motivation and individual performance

Question 9

Potential issues of a strong

corporate culture

Answer 9

• Corporate culture “rules” the
company
• Conformity pressure too high
• Culture as a closed system

Question 10

Which corporate culture fosters innovation?

Answer 10

- Internal market for
ideas
- Internal market for
capital
- Internal market for
talents