Abstract
We study a situation in which an R&D department promotes the introduction of an innovation that results in costly re-adjustments for a production department. In response, the production department tries to resist change by improving the existing technology. We show that firms balancing the strengths of the two departments perform better. As a negative effect, resistance to change might distort the R&D department's effort away from radical innovations. The firm can solve this problem by implementing the so-called skunk works model of innovation where the R&D department is isolated from the rest of the organization. Several implications for managing resistance to change and for the optimal design of R&D activities are derived
| Originalsprog | Engelsk |
|---|---|
| Udgiver | Centre for Industial Economics, Department of Economics, University of Copenhagen |
| Antal sider | 29 |
| Status | Udgivet - 2007 |
Emneord
- Det Samfundsvidenskabelige Fakultet