Organization theory and design: Lecture 31

Organization theory and design: Lecture 31 provides students with content about: new products and services; probability of new product success; reasons for new product success; horizontal linkage model; horizontal organization;... Please refer to the lesson for details!

New Products and Services

31

Probability of New Product Success

Technical Completion = 0.57

Commercialization = 0.31

Market Success = 0.12

Reasons for New Product Success

• Why are some products more successful than

others?

• Following factors isolated through research:

1 Better understanding of customer needs, paid

more attention to marketing

2 Top management support to change and

innovation

3 Most of the work done in-house

• These factors point towards a horizontal link

across departments

Horizontal Linkage Model

• Highly competent HR in R&D, marketing and production

• Boundary spanning

• Horizontal linkages, idea sharing,

coordination,

• Horizontal Organization

• Change in strategy and structure

• Change in culture

• Recap