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Handling innovations which do not fit
Linköping University, Department of Management and Economics. Linköping University, The Institute of Technology.
Department of Entrepreneurship, Marketing and Management, Jönköping Internationa Business School, Sweden.
2004 (English)In: 2004 IEEE International Engineering Management Conference, 2004. Proceedings., 2004, 934-938 p.Conference paper (Refereed)
Abstract [en]

The concepts incremental, modular, architectural and radical innovations introduced by Henderson and Clark (1990) highlights the interdependence between innovation and organizations. Competition forces the established competing firms to create efficient organizations for producing and developing products. Organizations will organize around the product's main components, since they are the key subtask of the design and production problem [H. Mintzberg, 1997]. Architectural and radical innovations representing new and different products are difficult to handle for established organizations because there is a misfit between the new innovation and the established organization. The organization thus works as a strong conserving force for innovations that require changes in product design. And, as a consequence the innovative capability is not nourished.

Place, publisher, year, edition, pages
2004. 934-938 p.
National Category
Engineering and Technology
URN: urn:nbn:se:liu:diva-100796ISBN: 0-7803-8519-5OAI: diva2:663709
IEEE International Engineering Management Conference, October 18-21, 2004.

The revised version of this paper which is included in the licentiate thesis is titled "Organizational structures dual effect on innovation".

Available from: 2013-11-12 Created: 2013-11-12 Last updated: 2013-11-12
In thesis
1. Modular Innovation in Mature Structures
Open this publication in new window or tab >>Modular Innovation in Mature Structures
2005 (English)Licentiate thesis, comprehensive summary (Other academic)
Abstract [en]

The field of interest in this study is modular innovation. This type of innovation replaces an old parr of an existing product or adds new functionality to an existing product. Modular innovations are important to increase the performance of an existing product and retain the competitiveness of the product. The purpose of this thesis is to: suggest some explanatory factors that can influence how and if modular innovation, which adds new functionality to an existing product, can become adopted within a mature industry. To achieve this purpose the analysis has been divided in two levels. The first level analyses how the modular innova· tion firs with the product architecture of the final product. The second level analyses how the industrial structures within the industry affects the possibilities for an entrant firm to establish oneself as a new supplier. The empirical data is collected from the automotive industry. The study is based on in-depth interviews.

The study illustrates that there is a difference between modular innovation that replace an existing module and modular innovation which adds new functionality to an existing product. In addition, the driving forces for replacing and adding innovation are different. The driving force for modular innovation which adds new functionality is linked with recognition of new needs. In contrast, replacing modular innovation is driven by competitive forces based on well-known parameters and the search for new technical solutions which can improve the performance of the existing module.

The study shows how industrial structures affect the possibility for entreating firms to introduce new modular innovation. Although the innovation in technical terms very well fits the final product it is far from certain that the innovation will become adopted. Aggravating circumstances for new entrants is the lack of organizational resources. Due to the lack of resources, entreating firms can benefit from having owners active within the target industry. Moreover, the imerdependences between the established firms in the industry obstruct the possibilities of established firms to adopt innovations from new suppliers.

Place, publisher, year, edition, pages
Linköping: Linköpings universitet, 2005. 48 p.
Linköping Studies in Science and Technology. Thesis, ISSN 0280-7971 ; 1188Dissertations from the International Graduate School of Management and Industrial Engineering, ISSN 1402-0793 ; 95
National Category
Social Sciences
urn:nbn:se:liu:diva-28878 (URN)14074 (Local ID)91-85457-12-4 (ISBN)14074 (Archive number)14074 (OAI)
Available from: 2009-10-09 Created: 2009-10-09 Last updated: 2013-11-12

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