Sse discontinuous innovation_group5b_2011

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  • 1. Finding, Forming and Performing:Creating Networks for Discontinuous InnovationBirkinshaw, Bessant & Delbridge (2007)Group 5b:Henrik Engervall Erik Ingemansson Karl Nielsen Teresia Schullstrm

2. This article is about Discontinuous innovation andnetworks that can be used to create these innovations.Discontinuous innovation = Implementation oftechnologies, products or business models thatrepresents a dramatic departure from the current stateof art in the industry. 3. The idea is that a rm must be able to step away from its oldbusiness model and adapt a new model that serves the fastgrowing world better. If this is not done the business can suffergreat market losses (e.g. Polaroid camera).There has always been a need for Discontinuous innovation butthe need has grown the last years due to a faster development. 4. EXAMPLES OF NETWORKS FOR DISCONTINUOUS INNOVATION 5. FINDING AND FORMING NETWORKSProblems when: Finding a partnerGeography, technology and institutions makes it more difcult to nd apartner Forming a relationship with a partnerIdeological, demographical and ethnical barriers makes it harder to form apartnerThese issues results in a matrix with four generic approachesto network building (the matrix is displayed in the next slide). 6. THE FOUR GENERIC APPROACHES 7. 1. Creating networks in proximate areas:Creating networks in proximate areas is relatively straightforward, but it requires a signicantinvestment on the part of the rm to ensure that the knowledge and insights of the partners areinternalized.Approach the potential new partners directly; you know who they are and there is every reasonto think they will be receptive to your proposals. Structure the relationship carefully to overcome the institutional or demographic differences that separate you; lead users and university professors often have very different world views to prot- making rms, and it takes time to understand what motivates and excites them. Build personal relationships at the interfaces with partners to ensure that knowledge transfer occurs; otherwise the potential of the relationships will be squandered. 2. Seeking out new networks in distant areas Rather than attempting to do it yourself, new potential partners are best approached through boundary spanners or scouts who specialize in building and maintaining relationships with many people. Be prepared to accept redundancy or duplication in the networks that you create; they are designed to be learning opportunities, not contracts for specic services. Do not underestimate the difculty of absorbing the insights gained from these distant networks; give specic individuals direct responsibility for internalizing and applying the knowledge gained 8. 3. Building relationships with unusual partners Focus on the higher-order purpose or issue that transcends your differences; it may be a major concern such as global warming or disease prevention, or it may be a common enemy that you are both competing with. Be prepared for a lengthy dialogue to take place before the new partners begin to trust you; the process of mutual adjustment often takes years. Try to identify cross-over individuals who have switched allegiance from the world of the prospective partner to your world; they can be very useful in proposing the appropriate ways of making the personal connections between the two sides. 4. Moving into uncharted territoryThis involves a combination of the tactics in number 2 and 3 since it involves both a distant area and aunusual partner. 9. TURNING NEW NETWORKS INTOPERFORMING PARTNERS Keep the network up to date and engaged Build trust and reciprocity across the network (to make therelationship more effective) Understanding your own role in the network Learning to let go 10. BIBLIOGRAPHYBirkinshaw, Bessant & Delbridge (2007) Finding, Forming and Performing:Creating Networks for Discontinuous InnovationImage page 1: Porter Novelli Global @ Flickr