MGMT 3000 Chapter 10

7 Methods of fostering innovation

1. Create an innovation strategy 2. Get commitment from top managers 3. Foster an innovation culture and climate 4. Establish the required structure and processes 5. Obtain the necessary human capital 6. Institute the necessary human resource policies, practices, and procedures 7. Obtain the appropriate resources

What are matters that can be addressed by organizational development?

Adapting to mergers Managing conflict Revitalizing organizations

Which type of change implementation makes employees feel the least threatened?

Adaptive Change

How do organizational consultants carry out a diagnosis?

By attending meetings and performing direct observation By consulting company records By using surveys and questionnaires

Which statement about human capital and innovation is true?

Certain employee characteristics, such as intrinsic motivation and creativity, are positively associated with innovation.

Employees are introduced to new information, new perspectives, and new models of behavior during the ______ stage of Lewin's change model.

Changing

Employees need to be given the tools for change, and managers can help by providing role models, mentors, experts, and training, during the ______ stage.

Changing

Introducing new information, perspectives, and models of behavior

Changing

To promote innovation, organizational structure and internal process should foster ______.

Collaboration Agility Cross-functional communication

What is a true statement about the need for faster speed-to-market?

Competitors may be in and out of the market within days.

Factors such as the increasing number of women in the workforce and the growing number of older workers exemplify which force for change outside the organization?

Demographic Characteristics

The common term used to describe the techniques for implementing planned change to make people and companies more effective is called organizational ______.

Development

Managers use the four levers of targeting elements of change to ______.

Diagnose problems

What is the first step in organizational development?

Diagnosis

The introduction of the DVD-by-mail business model by Netflix changed the video rental business and caused the demise of Blockbuster Video. This is an example of ______.

Disruptive Innovation

The process through which a product or service takes root initially in simple applications at the bottom of a market and then moves up, eventually displacing established companies, is referred to as ______.

Disruptive Innovation

What is a demographic characteristic that is a force for change outside the organization?

Education

What statements about rewards and innovation goals are true?

Extrinsic reward receipt needs to be tied to creativity and innovation. Reward systems should be aligned with innovation goals.

True or false: Management support has little effect on the success of organizational development.

False

At Hudson Food Company, managers permit experimentation, risk taking, and tolerate failure. Which step of supporting innovation does this represent? Multiple choice question.

Fostering an innovative culture and climate.

Feedback

How can the diagnosis be further refined?

How ready an organization is for change depends in part on ...?

How much top managers support the change How employees regard the consequences of the change How capable employees are of handling the change

Evaluation

How well has the intervention worked?

What is the first step in force-field analysis?

Identifying the thrusters and counterthrusters

The process of creating something new that can be applied profitably is referred to as ______.

Innovation

A plan for being innovative that requires a company to integrate its innovation activities and business strategies is a(n) ______.

Innovation Strategy

A set of interdependent processes and structures that dictate how a company seeks out problems and solutions, synthesizes ideas into a business concept and product design, and chooses projects for funding is a(n) ______

Innovation system

What are the three parts of a systems model of change?

Inputs Outputs Target elements of change

In the organizational development process, an attempt to correct a problem is called ______.

Intervention

What is achieved by integration of innovation activities into business strategies?

Management is encouraged to dedicate resources to innovation. Employees feel committed to innovation in the organization.

Which is a purpose of organizational development?

Managing conflict

Demand for organic foods has increased dramatically as Americans become aware of the effects of pesticides and other harmful chemicals in food. This exemplifies which force for change outside the organization?

Market Changes

Innovations must be

Novel and useful

What type of structure is best suited to innovation?

Organic

What are the four target elements of change?

Organizational arrangements Social factors Methods People

True or false: Organizational development is used to hire new executives.

Organizational development's purpose is to implement change to make organizations and people more effective.

Rather than worry about introducing a new sports recovery product, Gabriel told his staff that they should repackage the existing products and promote them to professional basketball teams throughout the country. Gabriel is demonstrating ______

Process Innovation

When a company alters the way a product is manufactured, conceived, or distributed it is referred to as a ______

Process innovation

When a change is made to a product or service that changes its appearance or performance, this is known as a(n) ______

Product innovation

Making changes in response to problems or opportunities as they arise, rather than attempting to foresee them, is referred to as ______.

Reactive Change

The beliefs, attitudes, and intentions of an organization's staff regarding the extent of the changes needed and how willing and able they are to implement them is called ______.

Readiness for Change

During which stage of Lewin's change model should managers encourage employees to exhibit the new behaviors and then reinforce employees making the desired change?

Refreezing

Supporting and reinforcing the new behavior

Refreezing

What an adaptive change in an organization?

Reintroduction of a practice familiar to the organization

Reactive change is change that ______.

Responds to problems or opportunities as they arise

What BEST describes "demassification"?

Segmenting customer groups into smaller, more specialized groups

B-corporations (benefit corporations) are an example of one way ___________ have begun to be more active in pressing for organizational change.

Shareholders

As more and more companies become proficient at bringing products and services to market, ______ is emerging as a necessary and powerful competitive weapon.

Speed

What is a true statement about organizational development?

Successful organization development usually involves multiple interventions.

Increasing segmentation of the marketplace and the need to get products to market faster in light of competitors' specialized solutions are examples of ______ currently influencing the future of business.

Supertrends

Manufacturing automation and office automation are examples of ______ that are forces for change outside the organization.

Technological Advancements

Any machine or process that enables an organization to gain a competitive advantage in changing materials used to produce a finished product qualifies as ______.

Technology

What happens during the last step of the organizational development process?

The diagnosis and intervention are further refined if the problem was not solved.

What are supertrends that are currently affecting the future of business?

The way we work is being impacted by offshore suppliers. Competitive advantage is coming increasingly from knowledge, not information.

Achievement of strategic goals through organization development is likely to fail if ______.

Top managers are not committed

True or false: Multiple organizational development interventions have been found to work better than single interventions.

True

Creating the motivation to change

Unfreezing

Lewin's Change Model

Unfreezing Changing Refreezing

What are companies doing to respond effectively to increasing segmentation of the marketplace?

Using more narrowly targeted marketing messages

Diagnosis

What is the problem?

Intervention

What should we do about it?

When is organizational development most likely to be successful?

When goals are tied to both short-term and long-term results

When is organizational development most likely to succeed?

When it is supported by top managers

An innovative culture is a place where failures are ______ the organization's culture

an accepted part of

Organizational development can be used to manage ______ within an organization.

conflict

One assumption of a systems approach to change is that change ______.

creates a ripple effect through an organization

During the unfreezing stage, managers need to instill in employees the motivation to change by

encouraging them to let go of attitudes and behaviors that are resistant to motivation.

The technique used to determine which forces could act for a proposed change and which forces could act against it is referred to as ______.

force-field analysis

Organizational development (OD) can help organizations to revitalize themselves by assisting them with:

opening communication dealing with stress fostering innovation

Organizational development is more successful when it involves ______ type(s) of goal(s)

short-term goals long-term goals