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Citation: Gribbin, John, Bailey, Mark and Spencer, Nick (2018) A rapid design-led approach to innovation readiness: Advantages and challenges. In: 21st DMI: Academic Design Management Conference: Next Wave, 1-2 Aug 2018, London, UK.
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21stDMI:AcademicDesignManagementConference
NextWave
London,UK,1-2August,2018
Copyright©2018.Copyrightineachpaperonthisconferenceproceedingsisthepropertyoftheauthor(s).Permissionisgrantedtoreproducecopiesoftheseworksforpurposesrelevanttotheaboveconference,providedthattheauthor(s),sourceandcopyrightnoticeareincludedoneachcopy.Forotheruses,includingextendedquotation,pleasecontacttheauthor(s).
Arapiddesign-ledapproachtoinnovationreadiness:advantagesandchallengesJohnGRIBBINa,NickSPENCERandMarkBAILEYaNorthumbriaUniversity
Thepurposeofthispaperistoreportonanongoingsuiteofresearchthataimstodevelopadesign-ledapproachtohelpsmallandmediumsizedenterprises(SMEs)understandtheirinnovationreadiness.Atpresent,anumberoftoolsareavailabletoorganisationswhencarryingoutanaudittodeterminetheirinnovationreadiness,howevernoneofthesemethodologieshavebeenconnectedtothepracticeofdesign-ledinnovation.Thispaperbeginstoaddressthisgapbypresentingareviewofatwelve-hourinterventioncarriedoutincollaborationwithafundmanagementorganisationlocatedintheNorthEastofEnglandaspartofanEUfundedresearchandinnovationprogramme,CreativeFuse.Thepaperutilisesaqualitativeapproachguidedbycasestudyprinciples,semi-structuredinterviewsandactionresearchtoreflectontheproposeddesign-ledapproachtoassessinginnovationreadiness.AdvantagesandchallengestotheapproachareconsideredwiththeintentionofdevelopingapracticalapproachtoassessinginnovationreadinesswithinSMEs,whichbuildsondesignprinciplesinordertorapidlyoutlinetheopportunitiesandpotentialbarriersfacingorganisationswhenitcomestoidentifyingareasforfutureinnovation.Keywords:Innovationreadiness,Design-ledinnovation,SMEs
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1.0IntroductionSmallandmediumsizedenterprises(SMEs)arecriticaltothegrowthofa
numberofnationaleconomies(WolffandPett,2006),howevertheabilityoftheseenterprisestocontributetothisgrowthishighlydependentontheirinnovativeness(NowackiandStaniewski,2012).Innovationisseenasakeysourceforcompetitiveadvantage,particularlyinrelationtoensuringsurvivalindifficultmarketconditions,whereitisnecessarytocompeteagainstmuchlargerfirms(VanDeVrandeetal.,2009).InnovationisthereforeanimportantundertakingforSMEs,notleasttoensuresurvival,howeverithasalsobeendescribedasa‘difficultundertaking,especiallyforfirmswithlittleexperienceandlimitedresources’(Hadjimanolis,1999,p.561).ThisdifficultyisunderpinnedbythepresenceofcommonbarrierstoinnovationprojectswithinSMEs,whichtypicallyrevolvearoundalackoffunding,prohibitiverisksandcostsoftechnology(NowackiandStaniewski,2012).Furthermoretherearefundamentalbarrierssurroundingtheavailabilityofhumanresources,wherethereareoftennotenoughqualifiedstafforfreetimeavailabletofocusoninnovationprojects(KaufmannandTödtling,2002).
DuetotheimportanceanddifficultyofpurposefulinnovationtoSMEs,theconceptofinnovationreadinesshasemergedfromcurrentdiscussionssurroundingopeninnovation,innovationsystemsandnetworksofinnovation(Zerfass,2005),wherebyinnovationreadinessistheconceptofprovidinganevaluationoftheextenttowhichacompanycansustaintheirabilitytoinnovate(ibid.).Thistypeofevaluationisparticularlyimportantasthesuccessofmostinnovationprojectstypicallydependsonmultiplefactorssuchas:people,informationandcommunicationtechnology,knowledgemanagementprocesses,culture,organisationstructure,managementsystems,processofassetsallocationandresearchanddevelopmentexpenditure(Biloslavo,2005).Thus,anunderstandingofacomplexoperating environmentiscriticalinoutliningastrategytoachieveorsustainpurposefulinnovation;particularlywhenconditionsmovebeyonda‘steadystate’intermsofmarket,technologyorotherdimensions(Bessant,2008).
Whilstanunderstandingoffactorssurroundinginnovationreadinessexistswithintheliterature,muchofthefocusisgroundedinbusinesstheoryandneglectstoconsidertheimpactthatbeingdesign-ledcancontributetoboththeinnovationprocessandattemptstounderstandinnovationreadinessacrossfirms.Thisisunfortunateduetoincreasingprevalenceofdesigninsolvingbusinessproblemsinamultitudeoforganisations(Brown,
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2009;Martin,2009).Theaimofthispaperistoaddressthisgapbypresentingadiscussionofanongoingpieceofresearchthatcarriesoutaninnovationreadinessassessmentguidedbyadesign-ledapproach.Theinnovationreadinessassessmentwascarriedoutintheformofatwelve-hour,design-ledinterventionwithafundmanagementorganisationintheNorthEastofEngland,facilitatedbyacademicsfromNorthumbriaUniversity,aspartofanEuropeanUnion(EU)fundedresearchandinnovationprogramme,CreativeFuse.Thenextsectionwillbeginwithadiscussionofrelevantliteraturefromthedomainsofbusinessanddesigntoestablishanunderstandingofinnovationreadinessanditsassessment.
2.0UnderstandinginnovationreadinessassessmentTheconceptofinnovationreadinessiscloselyrelatedtotheconceptof
understandingreadinessforchangewithinorganisations,whichArmenakisetal. (1993)defineasinvolvingpeople’sbeliefs,attitudes,andintentionsregardingtheextenttowhichchangesareneededandtheirperceptionofindividualandorganisationalcapacitytomakethosechanges.Inthisinstance,readinessisdefinedasthestateofmindabouttheneedforinnovationandthecapacitytoundertaketechnologytransfer(Backer,1995,p.22).Organisationreadinessforchangeisamulti-facetedconstruct,involvingcollectiveactionfrommanypeopleinthefaceofvariouscontextualfactorsincludingtheculture,resources,experiencesandstructureofanorganisation(Weiner,2009).Tosuccessfullyunderstandanorganisation’sreadinesstoinnovate,methodsmustsuccessfullyunderstandthesecontextualfactorsandtheimpactthattheycanhaveonnewinnovations.
Backer(1995,p.28)notesanumberofbehaviouralscience-basedmethodsthathavebeenemployedforassessingreadinessforinnovation,specifically:surveyinstruments,focusgroups,clinicalinterviews,sitevisitsandcommunityprofiles.Surveysappeartobethemostcommonlyutilisedtoolsacrossbothacademiaandprofessionalpractice.OnesuchexampleisthatofDworkinandSpiegel(2015),whoadoptasurveyapproachtoassessinginnovationreadinesstorankexistinginnovationeffortsonascale(fromlagging,tofollowing,toleading)infourkeyareas:constantenergy,creativefriction,flexiblestructureandpurposefuldiscovery.Oncethesurveyiscompletedparticipantsreceiveadvicebasedontheirscoreinrelationtootherparticipatingorganisations,withguidanceprovidedfor
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bothleadersoforganisationalchangeandteammemberswhoarealsoinvolvedintheprocess.ThisapproachisbasedonpreviousresearchfromAshkenasandSpiegel(2015),whocontemplatenecessaryconditionsformakinginnovationteamsmoresuccessful.
AsimilarapproachisadoptedbyBiloslavo(2005),whoproposesaninnovationcapabilityauditsurveybasedonasix-stageframeworkcapableofhelpinganorganisationevaluateitscurrentinnovationprocesses,identifywhichareasoftheorganisationsupporttheinnovationcapabilityandidentifywhichareasrepresentanopportunityforanorganisationtoimprove.Thisapproachispromotedasatoolforrapidassessmentofanorganisation’sinnovationoutcomesandknowledgemanagementprocesses,howeveritissuggestedthatforadetailedaudittobecarriedoutanorganisationneedstotakepartinfollow-upinterviews,focusgroupsandotherrelatedmethodsinadditiontocarefulanalysisofthequestionnaire(ibid.,p.17).
Asurveyapproachtoresearchprovidesmultiplebenefitsthatmakeitvaluableasatoolforrapidlyidentifyingorganisationalreadinesstoinnovate,especiallywithinSMEs.Inparticular,surveysofferadministrativeconvenience(MarshallandRossman,2006),astheyarealowcostoptionthatarequickfororganisationstocarryoutandcanofferimmediateresults.ThisisparticularlyusefulwithinSMEsthatfaceconstraintssurroundingthetimeandresourcesthatareavailabletocommittobothinnovationprojectsandassessmentsoftheirowninnovationpractices.Ontheotherhand,Biloslavo(2005)pinpointedtheneedforadditionalmethodsofenquiryinordertoprovideorganisationswithadetailedaccountoftheirinnovationpractices.Alternativemethodssuchasfocusgroupsandinterviewsprovidesimilarinformationtosurveys,howevertheyrequireextratimeatthecostofparticipatingorganisations.Furthermore,whilstthesetoolsprovideorganisationswithanoverviewoftheirsituationinrelationtoreadinesstoinnovate,theyfailtoprovideaspecificroadmapforsuccessfulinnovationbasedonthefindings,outsideofhighlightingpotentialareasbasedongeneralisedfindingsfrompreviouscasesthatarenotalwaysspecifictotheorganisationtakingpartintheaudit.
3.0Howcandesigncontributetoassessinginnovationreadiness?Developinganunderstandingofinnovationreadinessisfundamentallya
strategicundertakingforanyorganisation.Whilstresearchintotheimpact
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ofdesignoninnovationhastypicallycentredonthedevelopmentanddifferentiationofnewproducts(Dell'eraandVerganti,2009),recenttrendshavedevelopedanunderstandingthatdesigncanaddsignificantvaluetothestrategiccapabilitiesoforganisations(BorjaDeMozota,2003).Inparticular,designmanagementisbeingusedtodrivecorporatestrategicgoalsthroughcreatingastrategicvisionandorchestratingcollaborationacrossdisciplinesinordertoaddvaluetostakeholders(HollandandLam,2014).Wrigley(2017)notesthatthisunionofdesignthinkingandstrategyisreferredtoasdesign-ledinnovation,whichactsasaprocessforbusinesstransformationandfacilitatingthecreationofnewcompetitiveadvantagesinafast-pacedglobalmarketplace(Bucoloetal.,2012).
Withindesignresearchoneoftheclosestareastomanagementliteraturethatseekstounderstandinnovationreadinessfallsunderthedomainofmaturityframeworks,whichseektodocumentboththestrategicvalueofdesignandthewayinwhichtheinfluenceofdesignchangesovertimewithinanorganisation.Generally,thisresearchfocusesonunderstandingthecapacityofanorganisationtointegratedesignintoinnovationprocessesratherthanidentifyingopportunitiestocarryoutinnovationwithintheexistingboundariesofafirm.ToolssuchastheDanishDesignLadder(DanishDesignCentre,2015),theDesignFunctionMaturityGrid(GardienandGilsing,2013)andInnovationCapabilityMaturityModel(EssmannandDuPreez,2009)alloffernormativestagesthroughwhichdesignoccursinmostorganisations,rangingfromnon-designtodesignasstrategy.Whilsttheseframeworkshighlightthatatransitionfromnon-designtodesignasstrategyisimportantforachievingdesign-ledinnovation,theyareoftenvagueintheirdescriptionsandfailtoofferbestpracticesthatadequatelydescribethedevelopmentofdesignpracticewithinanorganisation(BackesandWolff,2016).Onepotentialexplanationforthisisthattheapproachtocarryingoutdesign-ledinnovationdiffersforeverycompany(Bucolo,2016,p.137),howeveritisalsocompoundedbydesign-ledinnovationbeingarelativelynewfieldofknowledgethathasgrownfromaneedtorepositionandredefinethewaydesignvalueisimplementedinbusiness(Dohertyetal.,2014,p.6).
Frameworkshavebeendevisedtoexploitthisgap,byexplainingthewayinwhichdesigncanassistcompaniestoexplorethestrategicvaluethatdesigncanbringtoabusiness.Forexample,BucoloandMatthews(2011)identifytherelationshipbetweeninsights,competitivestrategy,observationsandbrandascorefeaturesinoutlininganorganisation’svalueproposition.Similarly,Acklin(2010)offersa‘designmanagementtravel
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guide’,whichaimstohelpSMEsassesstheirlevelofdesignintegrationwhilstcreatingabasicdesignstrategytoimprovemarketpositioningandcustomerfocus,withthesupportofadesignconsultant.Ultimately,thefocusoftheseframeworkshasbeenonreadinesstoadoptdesignintoorganisationalinnovationpracticesandstrategy,asopposedtoutilisingdesignpracticestounderstandreadinesstoinnovateinasimilarsensetothatofmanagementliterature.
Oneareainwhichthereiscloseralignmentwiththemanagementunderstandingofinnovationreadinessistheconceptofdesignsprints,whichwererecentlypopularisedbyGoogleVenturesandexistasamethodologyforexploringopportunitiesinashorttimespan,specificallythroughprototypingandtestingideaswithcustomers(Knapp,2016,p.9).Knapp(ibid.)describesthesprintprocessasawayofapplyingleandevelopmentordesignthinkingphilosophiesinapracticalwayoverastructuredperiodoffivedays;whichinvolvesfivedistinctphases:settingagoal,sketchcompetingsolutions,decideonthebestsolution,buildarealisticprototypeandtestwithtargetcustomers.Thesprintprocesscanbeutilisedinavarietyofways,inavarietyoftimespanswithexamplesrangingfromafewhourstoseveralweeks(Banfieldetal.,2015);yetthereisapredominantfocusonutilisingthesprintprocessinthecreationofnewproductinnovationasopposedtoinformingthedevelopmentofnewstrategy.O’donnellandBucolo(2016)begintobridgethisgapbyhighlightingaprocessthatutilisesthesprintmethodologyasameanstoraiseawarenessandcapabilityofdesign-ledinnovationwithinaglobalengineeringfirmtoidentifyopportunitiesfornewproductandserviceofferings.Thefindings,however,areagainskewedtowardsproductdevelopment,withastrategyfocusoutlinedasthenextphaseoftheirwork.
Thedesign-ledapproachdocumentedinthispaperwasinspiredbythephilosophyofdesignsprintsandinformedbypreviousresearchinthedomainsofbothmanagementanddesign.Thephilosophyattachedtothedesignsprintprocessofutilisingdesign-thinkingmethodsinarestrictedtimeframeinordertorapidlyoutlineandassesssolutionstoaproblemwascriticaltotheapproach,duetothelimitedtimeandresourcesofSMEsincarryingoutinnovationactivities(NowackiandStaniewski,2012).Managementliteraturewasalsocriticalindeterminingareasforinnovation,resourcesthatneedtobeinplaceforinnovationtobesuccessfulandidentifyingpotentialbarriersthatcouldoccur.Therestofthepaperwilloutlinetheprocessthatwasusedtocarryoutaninnovationreadiness
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assessmentwithinanSMEaspartofanongoingresearchproject,withthenextsectiondescribingthemethodologicalimplicationsofthework.
4.0ResearchmethodologyThispaperhasadoptedaresearchmethodologyconsistentwiththe
principlesofcasestudyresearch.Yin(2014)describescasestudyresearchasamethodofempiricalenquirythatinvestigatesacontemporaryphenomenonindepthandwithinitsreal-worldcontext.Thispaperutilisesasinglecasedesign,wherebythefocusisplacedontheparticularityandcomplexityofasinglecaseinordertounderstandactivitywithinparticularcircumstances(Stake,1995).Flyvbjerg(2013)advocatesthesinglecaseapproachasawayofinvestigatingaphenomenonwithsufficientdepthinordertoaccuratelyunderstandthecausesandoutcomesofparticularphenomenonaswellasunderstandingthecontextandprocessinordertofosternewhypothesesandresearchquestions.
Thefocalquestionattheheartofthestudycanbedefinedas‘howcanadesignerlyapproachbeutilisedtohelporganisationsassesstheirinnovationreadiness?’Section4.0seekstooutlinethemethodologicalimplicationsofthestudy,includingthecriteriaforcaseselection,thespecificmethodsutilisedfordatacollectionandthelayoutofthedesign-ledintervention.
4.1CaseselectionThecasestudyistheresultofacollaborationbetweenaUKbased
UniversityandafundmanagementorganisationlocatedintheNorthEastofEngland.Theorganisationspecialisesinprovidingfundingsolutionstosmallandmedium-sizedbusinessesacrosstheNorthEastofEngland,whichcontributestothegrowthofthelocaleconomythroughthefundingofbusinessplans,thecreationofjobsandtheattractionoffurtherinvestmenttotheregion.ThecollaborationoccurredasaresultofanEUfundedinnovationprogramme,CreativeFuse.Theinnovationprogrammeisamultidisciplinaryactionresearchprojectfocusedonthestrength,diversityandnuancednatureoftheNorthEast’screative,digitalandITsector.Aspartoftheprogramme,multiplestrandsofsupportareavailabletoSMEs,freelancers,culturalorganisationsandcreativepractitionersacrosstheNorthEastofEngland.Thiscasefocusesononespecifictypeofinnovationsupportofferedwithinthewiderprogrammeofwork,named‘GetReadyToInnovate’.
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TheprimaryaimoftheGetReadyToInnovateprojectistoassistorganisationsindeterminingtheirinnovationreadinessbyutilisingasuiteofdesign-ledtoolsinordertochallengecurrentthinkingwithinanorganisationaswellasgeneratingnewwaysofcreatingvalue.Inadditiontogeneratingnewideas,participantsarealsoguidedthroughareflectiveprocessthataimstoprovidearoadmapforturningthesepotentialideasintotangiblestrategy.Duetothenatureoftheprojectfunding,severalconditionsdictatethenatureofcollaborationsbetweenNorthumbriaUniversityandparticipatingorganisations.Mostprominentistheallocationoftimewithpotentialparticipants,withtwelvehoursofcontacttimebudgetedforeachorganisation.Theinnovationprogrammeandsubsequentsuiteofresearcharestillongoing,howeverthispaperreflectsonaninitialcollaborationbetweentheUniversityandaparticipatingfundmanagementorganisation.
4.2SubordinatemethodsofdatacollectionEisenhardt(1989)notesthatmultiplemethodsofdatacollectionare
oftenutilisedwithintheboundariesofcasestudyresearch,includingbothqualitativeandquantitativetechniques.Theprimarydataforthisstudywascollectedinaqualitativemannerthroughbothasemi-structuredinterviewandreflectionsderivedthroughanactionresearchbasedapproach.Semi-structuredinterviewsarecommonlyappliedinqualitativeresearch(KitchinandTate,2000)andalsofeatureprominentlywithindesignresearch(Michlewski,2008;Gray,2014;Røiseetal.,2014).Withinthisstudy,asemi-structuredinterviewwascarriedoutwiththeChiefExecutiveOfficer(CEO)ofthefundmanagementorganisation.Theinterviewwascarriedoutfollowingthefinalinterventionandlastedanhourandfifteenminutes,withquestionsseekingtocollectfeedbackontheapproachtoassessinginnovationreadinessaswellastodeterminewhethertheapproachhadanyimpactontheday-to-daypracticesoftheorganisation.Toensureanonymityandafluentreadingofthenarrativeintheremainderofthepaper,theCEOwillbeprovidedwiththepseudonym‘Claire’,basedonarandomlyselectednameusingtheinitialletteroftheirjobtitle.
Semi-structuredinterviewsaresupplementedbyanactionresearchapproachintheformoffacilitatorobservationsfromtheauthors.Actionresearchisaself-reflectiveinquirythatresearchersundertaketoimproveonthepracticesinwhichtheyparticipateandthesituationsinwhichtheyfindthemselves(Baumetal.,2006).AccordingtoReasonandBradbury(2001,p.1)actionresearchaimstocombineactionandreflection,theoryandpractice,inparticipationwithothers,inthepursuitofpracticalsolutionsto
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issuesofpressingconcernstopeopleandcommunities.Forthepurposeofthispaper,theactionresearchapproachisevidencedinreflectionsfromtheresearchersthathaveinfluencedtherefinementofthedesign-ledapproachtoassessinginnovationreadiness.
4.3LayoutoftheinterventionInfluencedbythefundingstipulationthattwelvehoursofcontacttime
mustbeallocatedtocollaborationsaspartoftheprogramme,theinterventionwassplitintofourindividualsessions.Thefirstandlastofthesessionslastedtwohourseach,whilstthemiddlepairofsessionslastedforfourhours.Figure1visualisesthelayoutoftheintervention,includingthemethodsusedineachsessionastoolsforaidingunderstandingofinnovationreadiness.
Figure1:Visualisationoftheinnovationassessmentmethod
5.0Discussion Theaimofthepaperistoreportontheongoingprogressofasuiteof
workdesignedtohelporganisationsunderstandtheirinnovationreadinesslevelsutilisingarapiddesign-ledapproach.TheprevioussectiondocumentedtheprocessusedincollaborationwithafundmanagementorganisationaspartofanEUfundedinnovationprogramme.Thissectionwilldiscussparticipantandfacilitatorreflectionsoftheprocesstodeterminethestrengthsandweaknessesofthisapproachinanefforttoidentifythe
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waysinwhicharapiddesign-ledapproachcanbeusedtocarryoutthistypeofinnovationreadinessauditinthefuture.
5.1Strengthsoftherapiddesign-ledapproachtoassessinginnovationreadiness
5.1aValueinunderstandinginnovationreadinessTheinitialgoalofcreatingarapiddesign-ledapproachtoassessing
innovationreadinesswastocreateamethodcapableofsupportingSMEsinundertakingthistypeofaudit;specificallyinrelationtounderstandingexistinginnovationcapabilities,identifyingareasforpotentialgrowthanddevelopingstrategiestorealisethispotential.Itisthereforeworthremarkingthat,toalargeextent,thetwelve-hourinterventionhasachievedthesegoalswiththefundmanagementorganisation.
Inreflectingonthepositionoftheorganisationpriortotheassessmentprocess,Clairehighlightsthatthebusinesswas‘broken’intermsofinnovationpractices,howevertherewaslittleunderstandingastowhatthespecificproblemswereandsubsequentlyhowtogoaboutcorrectingthem.Bytakingpartintheintervention,thedesign-ledapproachwascapableofexplicatingsomeoftheinternalbarriersfacingtheorganisation,specificallyinrelationtoinformationandknowledgeflowsurroundingtheexistingdecisionmakingprocesseswithinthebusiness.Clairefeltthatdevelopinganunderstandingsurroundingthesebarrierswasoneofthekeyconceptsdevelopedthroughouttheworkshop,inthatitenabledhertogobacktothecompanyandcommunicatethesebarrierstootherswithinthebusiness,creatingasharedresponsibilityforimprovingtheorganisationalparadigm.Inthissense,theinterventionhassucceededinidentifyingexistinginnovationbarrierswithintheorganisationaswellasprovidingasenseofclarityregardingstrategiesforcorrectingtheirexistingsituationintoonethatismoresupportiveofinnovation.
Furthermore,theapproachalsoidentifiedareasforimprovementwithintheorganisation’scurrentworkingpractices.Asanexample,theworkshopidentifiedthatthewayinwhichthebusinesscurrentlysharedinformationwithclientswasperhapsnotthemosteffectivewayofcommunicatingbythebusiness.Externalcommunicationswerecreatedbyaccountantsinordertoconveyfinancialinformation,thustheywereheavilyreliantonspreadsheetsandnumberstoexpressinformation.Throughtheworkshopprocess,theyrealisedthatthepeoplereadingthesecommunicationsdon’tnecessarilyliketoreceivenumericalinformation,whichcanbe
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incomprehensibletosomeonewhoisnotfamiliarwithfinancialinformation.Asaresult,astrategyfocusedongraphicalrepresentationwasdevelopedsothatnewfundscouldbeeffectivelycommunicatedtoclients.
Finally,theworkshopprovidedtheorganisationwithexposuretoprocessesthatcouldbeappliedtofutureproblemsituations.Inparticular,thenotionoffailingearlyandoftenthrougharapidprototypingapproachtoproblemsolvingmadeanimpactonthemindsetofthecompany.Clairehighlightedthatthisapproachwassomethingthatshetypicallyassociatedwithdigitaltechormanufacturingbusinessandasaresultfailedtorealiseitspotentialapplicationtoproblemswithinherownbusiness.Thisshiftinthinkingopenedupnewmethodsandapproachestoproblemsolvingthatthebusinesshadlittleawarenessoformisunderstood.
5.1bThestrengthofthemethodinrelationtoexistingassessmentmethodologies Whilsttheapproachhasmeritsinrelationtohelpingorganisationsto
understandtheirinnovationreadinesslevels,theapproachalsooffersadditionalvaluebyhelpingorganisationstodevelopstrategiesthatseektoexploitopportunitiesthatariseasaresultoftheauditprocess.Forseveralreasons,thisisasignificantadvantageoverthebusinessmethodologiesoutlinedinSection2.0.Mostnotably,theapproachisbeneficialincomparisontosurveysthatofferaninsightintoinnovationproblemswithinanorganisationthatthenrequiremanagementconsultantstooffersuggestionsastohoworganisationscanthenfixtheseproblems.
Adoptingadesign-ledapproach,wherebyproblemsandsolutionsco-evolve,toconducttheinnovationreadinessinterventionpresentsanopportunityinwhichtheorganisationcanidentifyaninnovationchallengetoaddressthroughoutthetwelvehourintervention.Indoingthis,theapproachcanthenprovidetheorganisationwithagreaterunderstandingoftheproblem,potentialsolutions,potentialinnovationsandfinallypotentialtools,approachesandmindsetsthatcanhelpthemtobemoreinnovativeasaresult.Inthisrespect,theinnovationreadinessauditadoptsaco-creativeapproachtosimultaneouslyfacilitatelearninganddoingthroughouttheprocess.
5.1cOvercominginherentbarrierstoassessinginnovationreadinesswithinSMEs SeveralauthorshaveoutlinedobstaclestoSMEsintermsofevaluating
andconductinginnovation,aswellasengagingwithdesignaspartof
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organisationalinnovationpractices.Inparticular,thereisaperceivedlackoftimeandresourcetocommittothistypeofwork,whichisoftenconsideredtobehighinrisk(NowackiandStaniewski,2012).TheCoxReport(2005)findsthatsimilarobstaclesareinplacefororganisationsthatseektoengagewithdesign,withtheadditionofalackofin-housedesignorcreativeskillsandalackofaccesstoexternaldesignersfurthercontributingtoorganisationalinnovationstruggles.Thewayinwhichthisworkwaspackagedandadvertisedtoparticipantsisvaluableinovercomingasubsectionofthesebarriers.
Therapidapproachtounderstandinginnovationreadinesswascreatedasamethodofhelpingorganisationstoassesstheirinnovationpracticesinashorttimeframe,whilstmaximisingthebusinessvalueofferedtotheparticipants.Inthisrespect,theapproachfindsamiddlegroundbetweenmanagementstudiesthatseektoauditinnovationreadinessthroughsurveysanddesignresearchthatseekstoprovidedetailedbusinessstrategyadvicethroughlongerinterventions.Timecommitmenttothistypeofworkwasacriticalfactorforthefundmanagementorganisation,withClaireexpressingthatastheCEOofasmallorganisationthereispressuretojustifyspendingtimeonprojectsoutsideoftheday-to-dayoperationofthecompany.Claireindicatedthatcarryingoutthesetypeofactivitiesneedstoproduceknowledgeforthewholecompany,otherwiseitwillbeseenasawasteoftime.Therapidapproachgenerallyhelpstomitigatethisperceivedriskincomparisontolongerinterventionsasthereislessperceivedcommitmentonbehalfoftheorganisation.
Additionally,thefundingacquiredtosupporttheworkofferedbusinessesanopportunitytoaccessexpertswithoutrestrictivecosts.Claireexpressedthattrainingandconsultantsforsmallbusinessesgenerallytendtobeparticularlyexpensiveandthereforeoutofreachforhercompanyinparticular.AccesstothisprojectthroughtheEUfundedinnovationprogrammewasultimatelycriticalinenablingClairetojustifythenecessarytimecommitmentfromherselfandmembersofherorganisation.Thishasimplicationsatapolicylevel,giventheimportanceofinnovationwithinSMEstonationaleconomies.Ifrapiddesign-ledinterventionsarecapableofstimulatinginnovationwithinSMEs,itcouldofferanareafortargetedinvestmentforpoliciestostimulateeconomicgrowth.
5.1dCreativefunctionality Anotheroutcomeoftheworkisthatithasprovidedevidencesupporting
theconceptof‘creativefunctionality’.Creativefunctionalityisdefinedasa
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valueframethatsupportsenterprisesbyfacilitatingtheadoptionofanentrepreneurialattitudetoinnovationbycapitalisingonlatentcapabilitiesandcapacitytoshiftthemindsetoftheorganisation(Baileyetal.,2018).Furthermore,creativefunctionalityaimstoestablishorganisationalstructuresandroutinesthatsupportthisentrepreneurialattitude(ibid.).Theinitialattitudetowardsinnovationwithinthefundmanagementwasrestrictive,asnotedbyClaire,whohighlightsthatemployeesofthefundmanagementcompanytypicallycomefromanaccountingorbankingbackgroundwheretrainingensuresthatskillssuchascreativityareassociatedwithnegativeconnotationsandhandledinarisk-aversemanner.Ultimately,creativityhasthepotentialtobesomethingthatpeoplelosejobsfor,whichhascreatedaninternalenvironmentinwhichthereisaconservativeattitudeandstrongpriorityonmaintainingthetraditionalwayofdoingthings.
Throughouttheintervention,design-ledmultidisciplinaryco-creativeactivitiesencouragedashiftintheinnovationmindsetoftheorganisationtowardsaculturethatwasmoresupportiveofbothcreativityandinnovation.Atthestrategiclevelofthebusiness,theboardofdirectorshadpreviouslyidentifiedthecreationofamoreinnovativemindsetasoneoftheobjectivesthroughwhichsuccesscouldbeidentified.Whilstacceptingthatitisadifficultareatoquantify,theboardfeltthattheworkdonetoassesstheinnovationreadinessofthecompanywassufficientincreatingthismindsetacrossthebusinesstotheextentthatthestrategyrequiredchangingtoreflectthatthebusinessculturehadchanged.
5.1eImpactoftheworkonorganisationalstructureandprocessesThereisalsoevidencehighlightingthattheorganisationhasattempted
tointegratedesignprinciplesintotheirday-to-dayworkingpracticesasaresultoftheworkshop.Clairetalksaboutthecreationofan‘innovationroom’,whichislocatedinoneoftheorganisation’sconferencerooms.Thespacehasbeenfurnishedwithmaterialsdesignedtoimprovetheinnovationmindsetoftheemployees;witheasyaccesstobooksoninnovation,largerollsofpaper,colourfulpensandpost-itnotesanimportantfeatureofthespace.ThespaceactsasavisualremindertoemployeesoftheinnovativecultureClaireisattemptingtofosterwithintheorganisation.ClairehasutilisedherpositionasCEOtoenforcearulewherebyallinternalmeetingsmusttakeplacewithintheinnovationroominordertofurtherreinforcethe
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importanceofcreativitytotheinternaldecisionmakingprocessofthecompany.
Furthermore,aspectsoftheworkhasalsobeenintegratedintostaffappraisals.Forexample,theworkshopidentifiedaserviceblueprintmethodologythatwasvaluableinsolvingoneoftheorganisation'sproblems.Inthisrespect,theworkshopdemonstratedthewayinwhichaserviceblueprintcouldbeusefultosolvetheparticularproblemathand,howeveritalsoledtoarealisationthattheprocesscouldbeusefultothebusinessinsolvingproblemsgoingforward.Asaresult,Claireintegratedaspectsoftheframeworkintotheappraisalofthemarketingexecutivetoensurethattheframeworkwasappropriatelyutilisedinthefuture.Thisisimportantasitprovidesstaffwithasenseofownershipovertheinnovationprocess,whilstagainreinforcingtheimportanceofinnovationtothedecisionmakingprocessofthecompanygoingforward.
5.2Areasforfurtherrefinement
5.2aRestrictionssurroundingtimecommitmentsThewayinwhichtheprojectwasfundedledtoastipulationwhereby
twelvehoursofsupportwasrequiredwithparticipatingorganisations.Thismeantthattherewasnospacetodeveloptheapproachacrossnumeroustimedomains.Itisthereforepossiblethattheoptimalmethodofutilisingadesign-ledapproachtoassessinnovationreadinessdoesnotfitpreciselywithinatwelve-hourtimespan.
Thewayinwhichthetwelvehoursweredividedalsoneedstobeconsidered.Thesessionsweresplitintoaninitialtwo-hoursession,followedbytwofourhoursessionsandafinaltwo-hoursession.FeedbackfromClairesuggestedthatthefour-hoursessionsprovedtobedifficultinkeepingparticipantsengaged,inparticularwhentheissuesathandwereconsideredtobestrategicbigpictureissues.Althoughthiswasthecase,itisthebeliefofthefacilitatorsthatafour-hourtimescaleistheminimumrequirementforthistypeofwork,inordertounderstandthechallengesfacingabusinesswiththesufficientdetailrequiredtoderivemeaningfulsolutionsforthebusiness.Nevertheless,ithashighlightedtheneedforfacilitatorstoplaceagreateremphasisoncomfortbreaks,alternativeactivitiesandmanageddown-timeduringthelongersessionswhereitcanbedifficulttosustainenergy.
Additionally,Clairefeltthatthefinalsessiontookplacetooclosetotheprevioussessions.Inthecaseofthefundmanagementorganisation,the
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final‘followup’sessiontookplaceinthesameweekasthemiddlesessions.Clairesuggestedthatitmaybemorebeneficialtohavethefinalsessionfurtherintothefuturesothatthebusinesshadtheopportunitytoimplementsomeofthetechniquesdiscussedwithintheworkshop.Thefollowupsessioncouldthenbeusedasachancetoreviewprogressandreceivefeedbackonthestrategiesadoptedsincecarryingouttheinitialwork,aswellasactingasastimulusforfurtherwork,asopposedtoactingasaconclusionfortheworkcarriedoutintheprevioussessions.Againitisthefacilitatorsreflectionthatthisproximityisnecessaryinordertoreinforcetheprogressmadethroughouttheintervention.However,inascenariounrestrictedbycostandtime,furthersessionsplacedstrategicallyinthefuturewouldbevaluableinsupplementingtheworkdoneintheinitialworkshop.
5.2bLimitedparticipationfromthebusinessThroughouttheproject,threepeoplewereengagedwiththeworkfrom
thefundmanagementorganisation:theCEO(Claire),thecompanyITManagerandthemarketingexecutive.ThiswasatthediscretionoftheClaire,whowasoftheopinionthatinadditiontoherself,theITmanagerandmarketingexecutivewerelikelytobetheonlypeopletoapproachtheprojectwithanopenmindsetandanenthusiasmfornewwaysofworking.Clairefeltthatifshehadbroughtmembersofstaffwithspecialismswithinfinancialservicestheremayhavebeenanegativereactiontothework,whichhadthepotentialtoderailtheprojectattheoutset.
Fromtheperspectiveofthefacilitators,theparticipationofpeoplewiththecreativeconfidenceandenthusiasmtofullycommittotheprojectwasbeneficialtothesuccessofthework.Ontheotherhand,thelackofinputfromothermembersoftheorganisationmeantthattheworkshopshadlimitedperspectivesontheproblemsfacingthebusiness.Thisresultedinthecreationofideasthatwerenotnecessarilyreflectiveoftheviewsofthewiderorganisation.Itispossiblethatwiderparticipationinfutureprojectscouldleadtoconflictssurroundingscepticalviewsfromcertainmembersofstaff,howeveritisnecessarytoengagethesepeopleinordertofullyunderstandtheinternaloperatingenvironmentoftheorganisation.
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5.3Otherfactorstoconsideraspartoftheresearchapproach
5.3aParticipantrecruitmentandthegeneralizabilityoftheapproach Aspartofthefundingrequirements,theinterventionwasavailableto
SMEsacrosstheNorthEastofEngland,atnoextracosttotheorganisationstakingpart.Assuch,theopportunitywaswidelyadvertisedwithSMEsencouragedtoapplyforsupporttoreceivehelpwiththeirinnovationstrategy.Participantswereadvisedthatateamofdesign-ledpractitionerswouldbefacilitatingtheworkshoputilisingavarietyoftoolstohelpchallengeexistinginnovationwithintheorganisationtocreatevalue.Subsequently,thedesign-ledapproachandanopennesstochallengeexistingorganisationalparadigmswascentraltotherecruitmentofparticipants.
Duetothewayinwhichtheservicesareadvertised,itisworthconsideringthatthepeoplewhotakepartintheworkshopsarespecificallyseekinghelpwiththeirinnovationpracticesandareenteringtheinterventionwithanopenmindset,bothofwhichareimportantprecursorsfortheworktobesuccessful.Thisraisesthequestionofwhetherthewayinwhichtheworkshopsareadvertisedactsasanaturalselectionprocess,wherebyonlyopen-mindedpeopleareapproachingtheuniversitytotakepartinthework,filteringoutpeoplewhoaremorescepticaltodesign’sabilitytoaddbusinessvalueandareignoringtheopportunityasaresult.
Thishasimplicationsintermsofthegeneralisabilityoftheapproach,particularlyapplyingthemethodologytoorganisationsthatarenotnecessarilyenteringtheworkwithinthesecircumstances.Subsequently,atthisstageoftheworkitisdifficulttosaywhetherthemethodcouldbeappliedtoanySMEandhavethesamepositiveimpact.
6.0Researchimplications,conclusionsandrecommendationsforfutureresearch Thispaperhaspresentedarapiddesign-ledapproachtounderstanding
innovationreadinesswithinSMEs,aswellasdocumentingthestrengthsandweaknessesoftheapproachaspartofanongoingpieceofresearch.Thefindingssuggestthatthedesign-ledapproachofferedvaluetothefund
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managementorganisationbyhelpingthemtoassesstheirinnovationreadinesslevels.Specifically,thisvalueincludedtheidentificationofexistingbarrierstoinnovationandareasforimprovementintheorganisation’sexistingworkingpractices,whilstsimultaneouslyco-creatingastrategydesignedtohelptheorganisationaddressthesechallengesthroughprovidingtoolsthatcouldbeappliedtofutureproblemsituations.Throughthisapproach,trainingindesign-ledinnovationhasbeendeliveredtotheparticipantsthroughpracticeandactiveparticipationintheworkshops,whichisbeneficialovertraditionalinnovationreadinessauditmethodologies.
Someofthebenefitsoftheapproachareinherenttothewayinwhichtheinnovationprojectwasfunded,whichhasimplicationsatthepolicylevelinthatithascreatedasetofconditionsthatencourageinnovationandgrowthwithinSMEs;howevertheseconditionswouldnotoccurnaturallywithouttheinterventionofanexternalgoverningbody.Similarly,someofthedrawbackstotheapproacharealsoinherentlylinkedtothewayinwhichtheinnovationprogrammewasfunded.Specificallysurroundingtimerestrictionsplacedoninteractionswithparticipants.
Intheshortterm,thereisaneedforfurtherresearchtodeterminewhetherthepositiveeffectsseenwithinthefundmanagementorganisationcanbereplicatedacrossmultiplebusinessestoimprovethegeneralizabilityofthefindings.Theinterventionhasalsoprovidedarichareaforfutureresearchfurtherinvestigatingthepotentialofadesign-ledapproachtoassessinginnovationreadinesslevels.Initially,thiscouldbedeterminingtheoptimaltimeframeforthedeliveryofthistypeofintervention.Thereisalsopotentialtoexploretheabilitytoapplythemethodologytomultipleorganisationssimultaneously,whichwouldfurtherimproveitsattractivenesstoexternalgoverningbodies.
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