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Chapter 12: INNOVATION AND ORGANIZATIONAL CHANGE CHAPTER 12 OVERVIEW While change is inevitable in the modern business world, it not necessarily negative. Indeed, change can have a powerful, positive impact on organizations and their success. Innovation is a primary source of competitive advantage. Moreover, organizations must continually adapt to new situations in order to survive and prosper over the long term. The chapter explores this theme by first considering the roles of strategic leadership, creativity, and innovation in organizational change and long-term success. The innovation process and characteristics or highly innovative organizations are considered next. The focus then shifts to the manager’s role as a change agent. The chapter then examines different models of change leadership and their potential contributions to a successful change program. Next, forces and targets for planned organizational change are identified. A three-phase model of the planned change process is introduced and the change strategies that are available for use in this process are discussed. The chapter then explores why people resist change and how managers can deal with such resistance. The chapter then looks at organizational development (OD), focusing on its goals, the process by which it works, its action research foundations, and specific OD interventions –– including individual, team, and organization-wide interventions. CHAPTER 12 SUMMARY Study Question 1: How do organizations accomplish innovation? Organizations need strategic leaders who initiate and successfully implement changes that help them perform well in changing environments. Organizations benefit from process innovations, product innovations, and business model
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This note was uploaded on 10/14/2010 for the course MG 390 taught by Professor Borah during the Spring '10 term at North Alabama.

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