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2016 | OriginalPaper | Chapter

2. Six Basic Principles for a Changing World

Authors : Annika Steiber, Sverker Alänge

Published in: The Silicon Valley Model

Publisher: Springer International Publishing

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Abstract

This chapter explains six core management principles that enable companies to deal with rapid and constant change. Various researchers have identified these principles, finding them to be effective in many kinds of firms. They include both organizational features and precepts for managing. The principles are: Dynamic Capabilities. A Continually Changing Organization. An Ambidextrous Organization (an “ambidextrous” company is able to optimize current operations while innovating). A People-Centric Approach. An Open, Networking Organization. And a Systems Approach. The chapter illustrates the principles with examples from companies that include IBM and a food-processing firm.

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Footnotes
1
Steiber (2014).
 
2
Professor Eric Rhenman, a pioneer in the systems approach, introduced this definition. We prefer to use the term “elements” for Rhenman’s system “components” and will do so when discussing the systems concept in Chap. 9.
 
3
Teece (2007), p. 1320.
 
4
Penrose (1959).
 
5
Wernefelt (1984).
 
6
Prahalad and Hamel (1990), pp. 82–84.
 
7
Leonard-Barton (1992).
 
9
Teece (2007).
 
11
See for example Richtmyer (2002).
 
12
 
13
Harreld et al. (2006), pp. 33–34.
 
14
Ibid p. 29.
 
15
Brown and Eisenhardt (1997).
 
16
Ibid.
 
17
Brown and Eisenhardt (1998a).
 
18
Ibid, p. 6.
 
19
Brown and Eisenhardt (1998b).
 
20
Brown and Eisenhardt (1997).
 
21
Hamel (2011).
 
22
Ibid, p. 57.
 
23
Brown and Eisenhardt (1997).
 
24
Ibid.
 
25
Ibid.
 
26
Ibid.
 
27
Richard Florida has demonstrated these points repeatedly, in his book The Rise of the Creative Class and elsewhere, and so has the Danish scholar Steen Hoyrup.
 
28
Tidd and Bessant (2009).
 
29
Hamel (2011), p. 51.
 
30
Dallenbach et al. (1999).
 
31
Leifer et al. (2000).
 
32
The definition of vision as a vitalizing, attractive, realistic, and credible picture of the future of a business is inspired by Burt Nanus. See Nanus (1992).
 
33
Isaksen and Tidd (2006).
 
34
Hamel (2009).
 
35
Tidd and Bessant (2009).
 
36
Bel (2010).
 
39
See for example Teece (2007) or Kanter (1989).
 
40
Lawson and Samson (2001).
 
41
Interview July 2013 with Geoff Hollingworth, AT&T Foundry.
 
42
“Innovative skills may count for a great deal less than we once thought—unless we can learn to become better imitators ourselves.” Rosenberg and Steinmueller (1988), p. 234.
 
43
See for example MIT News Office (1999).
 
44
Chesbrough (2003).
 
45
The quotation is attributed to Welch in online sources such as Goodreads; other public figures have used the saying (or variations on it) as well.
 
46
As noted earlier under (2), the definition is from Eric Rhenman.
 
47
O’Connor (2008).
 
48
Steiber and Alänge (2013) used similar elements when describing the corporate system for innovation at Google Inc.
 
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Metadata
Title
Six Basic Principles for a Changing World
Authors
Annika Steiber
Sverker Alänge
Copyright Year
2016
DOI
https://doi.org/10.1007/978-3-319-24921-6_2

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