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Summary of Week 3 Lectures (Critical perspectives on Management. Prof Stout. Coursera)

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What is innovation?
Given the "Innovate or Die" motto, it is straight-forward to select innovation Innovation in merely the reverse engineering of success stories (copy what the other guy did) The result is the most important and agreed -upon aspect of innovation What does innovation seeks to achieve? What are firms actually seeking to achieve in pursuing an "innovation strategy" ?

Introduction of ''the Box"

The book is a story of globalization itself. The question = why was the 1950's the right time to introduce the container?(remember that many attempts were made before) This is important to identify why the whole box business was so successful, Possible reasons: Booming in manufacturing labor costs Liberalization of trade Redefining shipping as moving cargo, not ships Lets look at McLean He liked risk Focused on solving problems Obsessed with cutting costs

Conditions for success

A lot of MONEY is necessary to change the world in the way McLean did. NO-one has that kind of cash The government is the only one who can help. The government helped because it would help the market model by decreasing the transportation costs,

The story of failure

People introduced the horrible problem of unpredictability People were inefficient The unions failed. Had they behaved differently, the outcome would have been very different. The problem of the union in that they didn't innovate Erradicate the people = erradicate the problem

Thinking beyond innovation

Why have we substituted innovation with adaptation? The benchmark of success for firms is growth. You won't necessarily grow when you adapt Innovation is prescriptive: it is prescribed for growing But if the only benchmark is growth, then all the time there would be managers planning funerals for firms that can't grow Innovation is merely a subset of adaptation. So, let's talk about adaptation and not innovation

Prepared by Ariadna 73

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