Leveraging Resistance to Change and the Skunk Works Model of Innovation

Research output: Working paperResearch

Documents

  • 2007-10

    Final published version, 370 KB, PDF document

  • Andrea Fosfuri
  • Thomas Rønde
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
Original languageEnglish
PublisherCentre for Industial Economics, Department of Economics, University of Copenhagen
Number of pages29
Publication statusPublished - 2007

Number of downloads are based on statistics from Google Scholar and www.ku.dk


No data available

ID: 886041