Summary chapter 10: managing innovation and change

The innovation process begins as a set of apparently coincidental events, such as the
introduction of a new manager, a shift in technological paradigm, a loss in market share, and
so on, which set the stage for a new innovation to emerge. (Clegg et al, 2021, p. 311)
Organizations often find innovation difficult. Managers and organizations often find
it difficult to do something new, because they are biased by past successes and are looking to
keep things the same. This makes them myopic to future developments. Innovation is both a
process and an outcome. It represents both a way of ‘doing’ within the organization
embodied by different stages and innovation pathways that lead to implementation known at
the innovation process, as well as a form of ‘being’ embodied by a particular outcome
orientation known as innovation outcomes. Innovation represents new products, services, and
processes that are implemented, the process that preceded their implementation follows a
remarkably similar pattern. Innovation is a complex and nonlinear process in which managers
create internal conditions that increase the likelihood of developing, leading, and cycling
through the innovation journey. The innovation process begins with some seemingly
coincidental events that will help to set the stage for a new innovation that will emerge. There
are early events that trigger an internal or external shock that garners the attention of key
stakeholders. Plans are created to gain resources internally and then create legitimacy
externally. Development begins with a planned convergent pathway, but then splits into
multiple divergent pathways through cycles of exploring new directions and trail-and-error
learning. New goals are formed as the development progresses. This cycle is unpredictably
until a preferred direction emerges. Top management and powerful key stakeholders act
differently and serve as checks and balances on each other. In this stage, network building is
necessary and top management should be involved in the process to gain political support. In
order to innovate, one must build multifunctional communities of practice. The
implementation and adoption of the innovation are achieved by integrating the new with what
is old, established, and already known, fostering a fit within a local context and situation.
Finally, innovation's organizational careers end – it either is released or is dumped as top
management and investors assess whether the innovation was a success or a failure.