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Management Approaches to Innovation (Gerard H. Gaynor) - Coggle Diagram
Management Approaches to Innovation
(Gerard H. Gaynor)
Innovation: Top-Down or Bottom-Up (2013)
Top-Down Innovation (TDI)
Stems from fully funded organizational projects
Begins with the organization's strategic direction
Funding will continue based on progress
Down sides
Lack of motivated people
Inhibits creativity
Require more than 8 hours workday and go home
Roles and tasks are assigned to individuals
Requires high levels of management involvement
Bottom-Up Innovation (BUI)
Begins as an individual initiative in pursuit of value-adding activity
Originate by anyone who has an idea from anywhere in the organization
Then demonstrating feasibility
Final step is approval by the company
Based on the culture that anyone can participate
Individual who might take part BUI
Those whoa are not fine without change
Who think differently and expansively
Those who challenge the status quo
Downsides
Limited resources
Bootlegging is one solution for limited resources
Simple ideas might evolve to be complex
What begins as an individual idea, might end up as the firm project
BUI eventually becomes TDI
Transition From BUI to TDI
BUI innovators need Top-down management support
Demonstrating feasibility is
step 1
Who will lead the project after feasibility is demonstrated and the venture is approved?
Step 2
Defining required competencies of the project leader
Discuss defined competencies with the innovator
Design and research follow feasibility demonstrating
BUI Challenges (2013)
BUI appropriate environment includes:
Organizational freedom with high tolerance to failure
People willing to take the risks
BUI cannot function without freedom of thinking and doing
Organization's Management must:
Promote BUI
Encouraging individuals initiatives
Supporting unconventional thinking
Welcoming the constructive Mavericks
Affirms accountability for results as a practice
Accept well-intentioned failure
Failure is part of the learning process
Take appropriate level of risk
Innovation by reduces risk. In contrast innovation by chance increases risk
Enforce flexible policies and procedures
Communicate
Lack of communication creates organizational contentiousness
BUI Innovators must:
Accept the innovation prevention department
Accept the status quo followers criticism
Deal with the corporate culture
What do they bring to the innovation table
Know what you are proposing
Develop your raw idea and expand it into a coherent concept
Break the rules and change the game
Know when to stop
You cannot do it alone
Innovation involves multidisciplinary technical knowledge