Showing papers on "Competitive advantage published in 1983"

The Change Masters: Innovations for Productivity in the American Corporation

Abstract: Kanter, writing in 1983, argued that American business was facing an unfavorable economic and social environment and in dire need of an "American corporate Renaissance." World events were threatening America's competitive strengths and survival. Nonetheless, she finds in exemplary companies practices that lead to productive responses to change and serve as models for fostering innovation, which will provide America's competitive advantage. The tools to "save the American corporation" already exist; they just need to be used. The author defines a "change master" as someone who can manage change effectively; they understand the architecture and strategy of change and the importance of the organizational environment. To stay ahead of this changing environment, firms need to stimulate more innovation, enterprise, and initiative. They must place more emphasis and value on individuals, who - in the right circumstances - come up with innovations. Firms must investment in people and long-term profitability related to taking a lead in innovation. Innovation is defined broadly as "bringing any new, problem solving idea into use." In general, Kanter is more focused on innovation within organizations ("corporate entrepreneurs") than entrepreneurial startups. Innovation is supported by cultures of pride and change, and by an environment that gives people the power to innovate and put ideas into action. Kanter's fundamental distinction is between segmented and integrated organizations. Integrated organizations are highly innovative and change oriented; they are willing to move beyond received wisdom, combine ideas from diverse sources, and embrace change as an opportunity. Firms invest in people; individuals may initiate ideas, but teams carry them forward. Firms incentivize initiative, and success comes not from domination but flexibility. High-innovation companies are also exemplary in human-resource practices. Problems are seen as wholes, related to larger wholes, and challenges to established practices. Segmented organizations are "innovating-smoothering" and anti-change. They compartmentalize actions, events, and problems, and keep pieces and persons isolated; innovation is inhibited at every step of the solution-search process. Problems are seen as narrowly as possible and independent of context and connections to other problems. Past structures and procedures dominate the future. The organizations are likely to be large, segmented, and hierarchical. Nevertheless, four change patterns in less-innovating companies are identified. In such firms, there is a tension between desire for innovation and blocking it. Kanter presents her well-known ten "Rules for Stifling Change." Innovation, nonetheless, can sometimes occur in segmented organizations; but even then, innovations do not survive initial trials or become widely used. Three skills are needed to manage innovation in integrated environments: power skills; ability to manage problems associated with use of teams and employee participation; and understanding how change is designed and constructed. Needed power tools are supplies information, resources, and support. Supporting the circulation of power are open communication systems, network-forming arrangements, and decentralization of resources. Successful and flourishing corporations will master the art of change: creating a new climate encouraging new procedures and possibilities, anticipating and responding to external pressures, and being responsive to new ideas from inside the organization. The challenge for innovative companies is "energizing the grass roots," or to combining the necessity of routine jobs with the possibility of employees contributing to innovation. Needed for innovation is the development of a "parallel participative organization" within the formal hierarchy of a company. Innovation requires a corporate entrepreneur who knows how

Marketing Theory with a Strategic Orientation

Abstract: The traditional paradigms of marketing are expanding to incorporate negotiated exchanges with internal and external coalitions in the pursuit of competitive advantage. This paper explores the impli...

The Change Masters: Innovations for Productivity in the American Corporation

Abstract: Kanter, writing in 1983, argued that American business was facing an unfavorable economic and social environment and in dire need of an "American corporate Renaissance." World events were threatening America's competitive strengths and survival. Nonetheless, she finds in exemplary companies practices that lead to productive responses to change and serve as models for fostering innovation, which will provide America's competitive advantage. The tools to "save the American corporation" already exist; they just need to be used. The author defines a "change master" as someone who can manage change effectively; they understand the architecture and strategy of change and the importance of the organizational environment. To stay ahead of this changing environment, firms need to stimulate more innovation, enterprise, and initiative. They must place more emphasis and value on individuals, who - in the right circumstances - come up with innovations. Firms must investment in people and long-term profitability related to taking a lead in innovation. Innovation is defined broadly as "bringing any new, problem solving idea into use." In general, Kanter is more focused on innovation within organizations ("corporate entrepreneurs") than entrepreneurial startups. Innovation is supported by cultures of pride and change, and by an environment that gives people the power to innovate and put ideas into action. Kanter's fundamental distinction is between segmented and integrated organizations. Integrated organizations are highly innovative and change oriented; they are willing to move beyond received wisdom, combine ideas from diverse sources, and embrace change as an opportunity. Firms invest in people; individuals may initiate ideas, but teams carry them forward. Firms incentivize initiative, and success comes not from domination but flexibility. High-innovation companies are also exemplary in human-resource practices. Problems are seen as wholes, related to larger wholes, and challenges to established practices. Segmented organizations are "innovating-smoothering" and anti-change. They compartmentalize actions, events, and problems, and keep pieces and persons isolated; innovation is inhibited at every step of the solution-search process. Problems are seen as narrowly as possible and independent of context and connections to other problems. Past structures and procedures dominate the future. The organizations are likely to be large, segmented, and hierarchical. Nevertheless, four change patterns in less-innovating companies are identified. In such firms, there is a tension between desire for innovation and blocking it. Kanter presents her well-known ten "Rules for Stifling Change." Innovation, nonetheless, can sometimes occur in segmented organizations; but even then, innovations do not survive initial trials or become widely used. Three skills are needed to manage innovation in integrated environments: power skills; ability to manage problems associated with use of teams and employee participation; and understanding how change is designed and constructed. Needed power tools are supplies information, resources, and support. Supporting the circulation of power are open communication systems, network-forming arrangements, and decentralization of resources. Successful and flourishing corporations will master the art of change: creating a new climate encouraging new procedures and possibilities, anticipating and responding to external pressures, and being responsive to new ideas from inside the organization. The challenge for innovative companies is "energizing the grass roots," or to combining the necessity of routine jobs with the possibility of employees contributing to innovation. Needed for innovation is the development of a "parallel participative organization" within the formal hierarchy of a company. Innovation requires a corporate entrepreneur who knows how

The strategic management of technology

Abstract: It is clear that throughout the 1980s, competitive advantage, new‐product development, new markets, productivity and profitability will be tied directly to technology. Advances on the technology front are revolutionizing both mature and high‐technology industries, radically altering traditional business strategy and triggering dramatic shifts in global market share. Traditional industry leaders are already reeling from the impact of unprecedented global competition, as newly emerged world‐class competitors outperform them, as once clearcut industry lines are blurred, and as government‐business alliances proliferate.

Cases in competitive strategy

Abstract: Though the cases in "Cases in Competitive Strategy" may be informative when studied on their own, they are designed to be read and analyzed in combination with the companion volume, "Competitive Strategy". The conceptual materials and the cases are designed to reinforce each other, showing the connection between the theory and the practice of competitive strategy formulation. The 26 case studies provide the student with a context in which to develop a working understanding of competition and the ability to identify the factors that shape the success or failure of a firm. Each case places the reader in a real-world business setting - providing a strategist's view of Kodak or General Electric - and allows for the first-hand exploration of various problems involved in designing and implementing strategy. The reader must cope with making choices actual companies have faced. A major theme of the book is that a firm can shape the rules of competition in its favour if it understands these rules in a sophisticated way.

Business Unit Strategy and Changes in the Product R&D Budget

Abstract: This study of changes in Product R&D intensity in business units supplements past studies by including two major classes of independent variables which have not been examined previously: the competitive strategy of the business and role of the business in the overall corporate portfolio. Multiple regression analysis is used on a sample drawn from the PIMS data base. The results suggest that R&D decisions in growth businesses are responsive to competition, evolving strategies, and intra-firm resource flows. In mature businesses, a pattern of stability and R&D equilibrium is evident, even in the face of changes by competitors. Managerial implications are noted.

Multiple Point Competition.

Abstract: Situations where firms compete against each other simultaneously in several markets abound in real life. However, there is very little conceptual or theoretical literature on multiple point competi...

Progression or regression in facilities focus

Abstract: In many industries today, advances in technology and changes in market demand have together resulted in the need for significant manufacturing change, both in terms of products and processes. This need to respond in order to stay competitive means not only planning for product change but also planning for process change. Further, this latter aspect has two dimensions. The first concerns process technology changes which are due to the introduction of new products or to gain distinct, accrued advantages such as process capability or cost. The second is the need for process alterations which are necessary to support changes relating to existing products in terms of mix, volumes and product maturity. In many situations, however, the consideration of process change, particularly to support alterations in product mix, is an anathema to the presently-held view of cost-effective manufacturing. Consequently, such changes tend to be made on an ad hoc rather than planned basis. However, if this attitude is not reviewed then companies may gradually lose their competitive edge as the required facilities focus deteriorates.

New Product Development: A Literature Review

Abstract: States that the emergence of a formalised new product development can be attributed to the needs of companies in the capitalist system for maintaining a competitive advantage in their operating markets. Describes the process as one of innovation defined as:‘the technical, industrial and commercial steps that lead to the marketing of new manufactured products'. Belies the complexity of the function:’to describe new product development as difficult is probably a mammoth understatement'. Intends to illuminate the theory and practice of this process. Concludes that a flexible approach and an open mind are the most important requirements for successful application.

Research on technological innovation, management and policy : a research annual

Abstract: Volume 6 of "Research on Technological Innovation, Management and Policy" contains five papers on strategic change in firms and industries All five discuss aspects of the interrelationships between technology strategy, competitive strategy, and organization and management The first two address these at a level of the industry; the next two at firm level; and, in the final chapter, the level of analysis is primarily the technology These five chapters are illustrative of themes in current research that are shaping the field of strategic management technology and innovation They build well on earlier work in the field and thereby support its further empirical and theoretical development They also provide useful insights for practicing managers faced with the challenges of changing technologies and a rapid rate of innovation

The Rise and Decline of the American Cut Nail Industry: A Study of the Interrelationships of Technology, Business Organization, and Management Techniques

Abstract: The history of cut nail manufacturing shows how the interaction of technology and markets shaped the structure, organizational patterns, management systems, and individual production units of a single industry--a classic example of the American enterprise system at work. Reliance on wood construction created an expanding market for cut nails and exerted considerable pressure for high volume and low prices. Industry responded to this challenge, introducing and perfecting machine-made nails. As this competitive advantage began to decline the industry was again transformed by management changes and the implementation of cost accounting. Loveday utilizes the records of four dominant companies in the industry and journalistic accounts to document the complex patterns of growth and decline, innovation and obsolescence in the cut nail industry.

Improving health care strategy planning through assessment of perceptions of consumers, providers and administrators.

Abstract: Perceptions of consumers, health care administrators, and physicians regarding health care providers are analyzed. Ratings on 26 dimensions of health care services were obtained from members of the three participant groups using measures of image and satisfaction of both physicians in general, and of specific physicians. Discriminant analysis reveals significantly different perceptions of the health care system among the three groups of respondents. These differences suggest some changes in health care administration which could lead to increased consumer satisfaction and competitive advantages for physicians and health care institutions.

Technology for the Factory of the Future

Abstract: It is becoming increasingly apparent that major investments in technology will be required in the near term if industrial firms are to maintain their competitive edge in the marketplace. This development will be both driven and limited by the state of the art of technologies associated with the evolving factory of the future. An examination of technological developments and emerging applications provides a better understanding of the factory of the future and its implications for the existing social and economic order.

The strategic audit: A game theoretic approach to corporate competitive strategy

Abstract: To bring the highly developed quantitative approaches of middle management in accounting and control to the aid of corporate strategists is not easy. Specific operational problems are less overt and therefore formal optimization techniques are less easy to apply. The paper considers that the difficulty lies less in the absence of techniques and more in the failure of top management to state its objectives with precision. To do this a strategic audit is suggested. This can aid in goal specification. Industrial economics and game theory can then be applied to the problem so delineated.

The design of a new industrial strategy

Abstract: The publication of the Telesis Report (1982) occurs at a critical time for the Irish economy. Over the next few years the growth of domestic and foreign markets is likely to be sluggish. A satisfactory growth of manufacturing output can be achieved, therefore, only by increasing market share, particularly in export markets. This in turn implies that progress depends on exploiting more effectively whatever competitive advantages we have and on improving these competitive advantages. Moreover, the aggregate volume of mobile international projects may be reduced and there is likely to be intensified international competition for such projects. Such circumstances suggest the need to concentrate relatively more than in the past on the development of domestic enterprise.

Pensions in the American Economy

Abstract: For anyone with an interest in pensions—workers and employers, personnel directors, accountants, actuaries, lawyers, insurance agents, financial analysts, government officials, and social scientists—this book is required reading. Now, without the aid of a pension specialist, anyone can determine how their particular pension plan stacks up against the average. Using virtually all available government sources (including computerized data unavailable in print) and their own extensive surveys, the authors present a comprehensive description of the structural features and financial conditions of U.S. private, state, city, and municipal pension plans. The introductions to the hundreds of tables explain and highlight the information. The picture that emerges of the "typical" plan and its significant variations is crucial to all those with a financial stake in pensions. The reader can compare pension vesting, retirement, and benefit provisions by plan type, plan size, industry, union status, and many more characteristics. With this information, workers can evaluate just how generous their employer is; job applicants can compare fringe benefits of prospective employers; personnel directors can judge their competitive edge. The financial community will find especially interesting the analysis of the unfunded liabilities of private, state, and local pension funds. The investment decisions of private and public pension funds and their return performances are described as well. Government officials and social scientists will find the analysis of pension coverage, the receipt of pension income by the elderly, cost-of-living adjustments, and disability insurance of special importance in evaluating the proper degree of public intervention in the area of old age income support. Pensions in the American Economy is comprehensive and easy to use. Every reader, from small-business owners and civil servants to pension fund specialists, will find in it essential information about this increasingly important part of labor compensation and retirement finances.

Quality the glittering prize

Abstract: The article discusses the question of quality and how this may be achieved by U.S. auto manufacturers. Today's quality problems are related to consumerism, competition and the history of product-development. Economic forces have helped place greater emphasis on quality which has also been triggered by Japanese competition. Experts hold that regaining the competitive edge on quality will require a philosophical change in order to achieve consistently high quality levels. Quality can only result from total planning at the inception of a project and includes coordination among research, design, manufacturing, purchasing, and service. A major element in this is the engaging of the designers with the suppliers and understanding their needs and limitations. It is noted that competition and recognition can promote quality. It is also noted that the most important impact on the customer's perception of quality may be the quality of dealer service.

The structure of international competitiveness in the Federal Republic of Germany : an appraisal

Abstract: In the Federal Republic of Germany, the 1980s are likely to see a continuation of the track competition from developing countries and resultant pressures for adjustment. This paper looks at the determinants of West Germany's comparative advantage, using that information in combination with evidence about the evolution of factor endowments and economic policies to assess the likely direction of West Germany's future specialization, particularly with respect to developing countries. Finally, the role of policy in influencing West Germany's specialization and structural adjustment is discussed. This study tested the neo-factor proportions theory and the neo-technology theory, which have been used to explain Germany's comparative advantage, in light of more current data. The conclusions were that craftspeople carried the burden of explanation and that innovativeness and scale economies performed less well. The results also indicated that the developing countries are competitive with West Germany in a far wider range of products than was previously thought.

Marketing strategies, or, it wouldn't be competition without competitors.

Abstract: Predicting that in an environment of limited resources, the hospital's competitive strategy will assume greater importance, the author reviews the relationship of positioning to market success. He also discussed how such strategies as differentiation, overall cost leadership, and market focus can be applied to hospitals.