MANA3335 MindTap Assignment: Chapter 07: Organization Change and Innovation

The other major area of organizational change addresses people, attitudes, and behavior. Changes to which of the following would relate to this category? Check all that apply.

*Abilities and skills *Expectations *Attitudes {People: Abilities and skills, Performance, Perceptions, Expectations, Attitudes, Values}

If Twitter changed CEOs to restore confidence among investors, to what could the change be attributed?

*An internal force {Internal forces compelled the change in leadership roles. The decision was based on factors within (and not external to) the company}

Which of the following statements describes an organization's use of cultural symbols to promote innovation? Check all that apply.

*A large art installation of push pins positioned prominently on a wall in Wieden & Kennedy's headquarters spells out the agency mantra, Fail Harder *Google's corporate campus features a giant slide and nap pods {The mantra, fail harder, suggests a commitment to innovation. The giant slide at Google also supports its image as an innovative work environment. Vacation days are employee benefit, not a cultural symbol. Nike's bronze statues are cultural symbols but the focus on athletes does not directly relate to innovation}

According to the case study, which of the following are likely reasons Twitter changed its executive leadership? Check all that apply.

*Twitter faced increased competition from companies such as Facebook *Twitter wanted a more streamlined decision-making process *Twitter must achieve a higher conversion rate of passive to active users {There are many possible reasons for the CEO change at Twitter, both internal and external to the company. Internally, the company is growing, but not at the rapid pace investors expected. Twitter has also failed internally to establish a strong value proposition for users. Its own investors expect the organization to identify ways to operate more effectively. Externally, Twitter is operating in a rapidly changing business environment, facing increasing business competition from Facebook, Instagram, and others. Financial analysts have expressed concern over its ability to achieve earnings goals. Twitter was not losing money at the time of the change, nor did its board of directors demand the change, so these would not be reasons for the change. Its leadership has not sought to charge users fees, leaving open the possibility of monetization of passive users}

Twitter's organizational changes were _________ because they came in response to forces inside and outside the organization.

*reactive {Whenever the change occurs in response to circumstances, the change is reactive}

Bob sends a survey to customers to better understand their level of interest in two features that may be added to his company's product. Musashi considers whether a narrower version of the company's smartphone would make the screen too small for most users' needs. Dina compares several recent sneaker releases to choose the colorways for her company's next limited edition shoe.

*Development {At the development step of the innovation process, an organization evaluates, modifies, and improves on a creative idea}

Once Sharon's new clothing line got publicity on blogs and social media, and people began to see the products, sales started to steadily increase. Although most people thought neon Hammer pants would never come back in style, thousands of pairs sold after a popular singer wore a pair during a national television interview. Darnell started selling a mixtape on street corners. Once it got play time on a local radio station, thousands of people downloaded it from online sites.

*Growth {At the growth step of the innovation process, demand for new products or services grows}

A book publisher starts reading each chapter of an author's work as soon as it is written, rather than the former practice of waiting for the entire manuscript to be completed. Once the entire lot around a newly built home is ready, a gardener adds all of the landscaping during a 3-day period, instead of planting small sections over an extended period. A single loan officer handles a customer's application throughout the process, rather than having each step completed by a different bank employee.

*Application {At the application step of the innovation process, an organization uses a developed idea in the design, manufacturing, or delivery of new products, services, or processes}

After the CEO decided to spin off PayPal, what step in the change process had definitely already been completed?

*Recognize the need for the change {The steps for change include three general steps. The process was articulated by Kurt Lewin, an organizational theorist, and is known as The Lewin Model. The first step is unfreezing. This is accomplished by leading those involved to recognize why the change is necessary. The second step is to implement the change itself. The final step is to reinforce and support the change so that it is successful}

Proposed change interventions related to your company's technology and operations include which of the following? Check all that apply.

*Information technology *Work sequences *Control systems {Technology and Operations: Information technology, Equipment, Work processes, Work sequences, Control systems, Enterprise resource planning}

Eastman Kodak remained entrenched in film photography, despite the innovation by its own engineers of digital modes. What were the most likely reasons for the company's failure to innovate? Check all that apply.

*Complacency *Failure to recognize opportunity {Eastman Kodak likely failed to recognize how significant a change digital technology would bring to the industry. It was also likely complacency, since Eastman Kodak had enjoyed decades of success as an industry leader. The company likely had sufficient resources in terms of expertise and funding had it chosen to more actively innovate}

While some students still prefer traditional textbooks, many now choose e-books, because of the added features they provide. A manufacturer that makes compact disk (CD) players sold fewer CD players once people began buying music in MP3 format. Rather than watching television shows on traditional televisions, many people subscribe to Internet-based services or watch shows on their smartphones.

*Decline {At the decline stage of the innovation process, demand for an innovation decreases, and substitute innovations are developed and applied}

If the management team decides to target people as the first area for organization change, what should you recommend?

*Develop a planned effort for organization development {When the area of change is people, organization development can be effective. It is a planned change effort intended to increase organizational effectiveness and health. Enterprise resource planning is a change focused on the information-system managing organizational processes. Since a competitive threat has been identified, it is best that your company proceed to make a change}

Which techniques would you recommend that eBay's leadership utilize to overcome resistance to change in this situation? Check all that apply.

*Educate stakeholders about the benefits of the change *Communicate how the change will affect people on an individual basis *Encourage employees to participate in implementing the change *Announce the change well in advance *Use a force-field analysis to show that the forces for change outweigh those against change in objective terms *Offer opportunities for employees to have some control over the changes that impact them, such as whether they remain at eBay or separate with PayPal {There are several techniques managers can use to overcome change resistance. These include participation, education, communication, and force-field analysis. Threats, punishments, and lack of participation would enhance the feelings of resistance and anxiety about the change}

Which of the following statements describe an organization's use of organization structure and design to promote innovation? Check all that apply.

*Google has a "20% Time" policy. A fifth of an employee's time at work can be spent working on ideas and projects of personal interest *DreamWorks Animation offers employees fully-paid sabbaticals {Structural support for innovation is present in the time policy and in the use of sabbaticals as an employee benefit. Financial bonuses and dining facilities are not related to job design}

What do you recommend Donahoe do once he has ensured those affected by the separation recognize the need for change?

*Implement the change {The steps for change include three general steps. The process was articulated by Kurt Lewin, an organizational theorist, and is known as The Lewin Model. The first step is unfreezing. This is accomplished by leading those involved to recognize why the change is necessary. The second step is to implement the change itself. The final step is to reinforce and support the change so that it is successful}

HyConn is a product innovation in the physical system used to attach fire hoses to fire hydrants. It was created by a firefighter in Arkansas who saw a chance to save more lives by reducing the time it takes for firefighters to get water to a fire. Despite offering an indisputable advantage over the previous system, the innovation has not been adopted by many fire departments, which are usually funded by local taxes and permeated by firefighting tradition. What reasons might have contributed to the failure of fire stations to adopt the innovation? Check all that apply.

*Lack of financial resources *Complacency {Fire stations are funded by governments or through volunteer donations. Thus, many likely have resource constraints that limit the acquisition of new equipment. The equipment used by firefighters has remained virtually unchanged for decades, suggesting a comfort with doing things the same old way. Fire stations would not typically be thought of as having entrepreneurial cultures. They also exist to respond to calls for help, not to innovate in how that help is delivered}

As for-profit competitors like FedEx and UPS gained market share, the government-run United States Postal Service (USPS) failed to implement managerial and process innovations. Long chronically short on funding, the USPS has faced even stiffer budget challenges as a result of losing business. What are the most likely reasons the USPS failed to innovate? Check all that apply.

*Lack of resources *Resistance to change {As a government bureaucracy, the USPS is resistant to change both structurally and culturally. As an entity funded by the government, it likely faces resource constraints. The USPS has been in the shipping service longer than any other provider, and consequently should have had the time needed to innovate}

A clothing company ships new products to stores 2 weeks before the release date (instead of just 5 days early) to ensure they are available to customers on the release date. A shoe company now has its marketing and distribution departments work together on release dates; this prevents ads from appearing before the shoes are actually available. Learning from its staffing shortages in the past, a concert venue now has extra ticket-office staff working the first few days after popular concert tickets first become available.

*Launch {At the launch step of the innovation process, an organization introduces new products or services to the marketplace}

At first, Felix's company was the only clothing manufacturer to make low-waisted jeans. However, within a year, most clothing manufacturers offered similar pants. The first flat-screen televisions were expensive and offered by few manufacturers. However, within a few years, most televisions incorporated that technology. Although few cell phone manufacturers offered touchscreen phones in the early 2000s, other companies figured out how to add similar technology to their products.

*Maturity {At the maturity step of the innovation process, most competing organizations have access to the idea}

Which of the following statements describes an organization's use of a reward system to promote innovation? Check all that apply.

*Monsanto offers a monetary prize to scientists who develop the biggest commercial breakthrough each year *At Savant Learning Systems, the most innovative employees take an all-expense paid luxury vacation {Monetary prizes and vacation awards are reward systems. Demo days and goals may encourage innovation, but do not reward innovation}

Which of the following types of ideas relate to changes in your company's organizational structure and design? Check all that apply.

*Overall design *Coordination mechanisms *Human resource management {Organization Structure and Design: Job design, Departmentalization, Reporting relationships, Authority distribution, Coordination mechanisms, Line-staff structure, Overall design, Culture, Human resource management}

What type of change did Twitter make when it appointed Dorsey CEO in response to concerns about its declining stock values?

*Reactive {If Twitter managers decided on the CEO change after noticing their changing business conditions, the change would be reactive. It was made in response to a change that already occurred in the environment. A planned change happens before the company's environment changes, and an organic change comes from the company's employees, not managers. You cannot determine whether the change will be sustainable given the information in the question}

According to force-field analysis, what is the final thing you recommend Donahoe do to ensure the change accomplishes what was intended?

*Reinforce and support the change, also called refreezing {The steps for change include three general steps. The process was articulated by Kurt Lewin, an organizational theorist, and is known as The Lewin Model. The first step is unfreezing. This is accomplished by leading those involved to recognize why the change is necessary. The second step is to implement the change itself. The final step is to reinforce and support the change so that it is successful}

Which factors encouraged change in this situation? Check all that apply

*The two businesses have different needs when it comes to managing the environment, choosing strategy, and structuring the organization *Investors, led by Carl Icahn, believed PayPal could be far more successful if it pursued its own strategic vision {Forces for change encourage a change to take place. In this case, Icahn voiced support for the change. Separating two companies that need vastly different strategies to optimize growth and earnings is also a force for change. Investors do seek to maximize their returns, but it is unknown whether they would earn more with the companies merged or separated. Donahoe is stepping down, so an assumption about his desire for power is unfounded}

Which factors discouraged change in this situation? Check all that apply.

*The user data PayPal collects during financial transactions is a valuable addition to the data eBay collects about buyers and sellers *eBay and PayPal complement each other in that the combination of payment system and retailer results in a truly integrated online marketplace {More complete and accurate user data is a valuable asset for both companies, and this will be compromised by the separation of the two companies. eBay and PayPal do complement each other, especially from the perspective of those shopping on eBay. PayPal will be better positioned for the future; thus, this statement describes a reason for the change, not against the change. If eBay would be stronger without PayPal, it would represent a reason for change, not against}

Desire for outcomes associated with status quo Differing opinions of the situation Influence of a change agent Feelings of loss Job insecurity Focus on corporate mission Threatened self-interests Ability to compete effectively Customer anxiety about functional reliability Ambiguity at work Logistics of making the change Desire for outcomes associated with change

From top to bottom *Against Change *Against Change *For Change *Against Change *Against Change *For Change *Against Change *For Change *Against Change *Against Change *Against Change *For Change {In almost any change situation, there are forces acting for and against the change. Identifying forces that are resistant to the change allows managers to focus on efforts to remove those barriers. Typical forces against change include different opinions about the situation among stakeholders, feelings of loss, threatened self-interests among stakeholders, and feelings of uncertainty. Note that the forces may not always be rational. A common force against change is the discomfort associated with ambiguity and fear. The perceived benefits of making the change must outweigh the factors against change if the change is to be successful}

Clashing personalities of top leaders Needs of paid advertisers for new ad formats Decision to add new features to platform

From top to bottom *Internal *External *Internal {The forces that compel change may be external or internal to the organization. External forces derive from the organization's general and task environments. For instance, external forces can be technological developments, regulatory aspects, socio-cultural shifts, changes in the economy, and changes in competition. Internal forces are those forces inside the organization. Internal forces can be derived from employees, organization management, internal decisions and activities, and internal resource constraints}