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This is a summary of all the articles necessary for the Context exam for the course Business Innovation through IT Project Management. (9.6 in exam)
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Context – Paper SummaryPaper 1 – Digital Innovation Management: Reinventing Innovation
Management Research in a Digital World
Introduction
- Digital innovation: use of digital technology during the process of innovating
o Has radically changed nature and structure of new products and services
- Rise of digitization led scholars to increasingly questions explanatory power and usefulness of
extant innovation theory and related organizational scholarship
- Transition from innovation to digital innovation comes as golden opportunity to be seized upon
by information systems (IS) researchers
o Expansion to identifying and articulating unique aspects of digitization in industr4ies,
specific organizational domains, or product families
- Digital innovation conceptualized as:
o The creation of market offerings, business processes, or models that result from the use of
digital technology
o In digital Innovation, digital Technologies and associated digitizing processes form an
innate part of the new idea and/or its development, diffusion or assimilation
- Digital innovation management – the practices, processes and principles that underlie the
effective orchestration of digital innovation
- Definition of innovation intended to capture three important and concurrent phenomena:
o Includes a range of innovation outcomes → do not need to be digital; process needs to be
digital
o Includes a broad swath of digital tools and infrastructure for making innovation possible
o Includes the possibility that outcomes may be diffused, assimilated, or adapted to specific
use contexts such as typically experienced with digital platforms
- The Big 5 of ICT:
o Social media – Business model innovation
o Big Data analysis – Product/Service Innovation
o Internet of Things – Product/Service Innovation
o Cloud Computing – Process Innovation
o Mobile Technology – Process Innovation
Challenging Key Assumptions of Innovation Management Theories
- Three key assumptions:
o Innovation is a well-bound phenomenon focused on fixed products
o The nature of the innovation agency is centralized → organize for innovation
o Innovation processes and outcomes are distinctly different phenomenon
Is Innovation a Well-Bounded Phenomenon?
- Unprecedented level of unpredictability and dynamism with regard to assumed structural or
organizational boundaries of digital innovation
o Boundaries on what is or is not an innovation outcome have become more fluid
- Innovation processes become less bounded, in terms of their temporal structure
o Greater level of unpredictability and overlap in their time horizons
o Less clear as to when particular innovation process phase starts and/or ends
- Creation of new level of fluidity in innovation processes, allowing them to unfold in nonlinear
fashion across time and space
o Less bounded innovation outcomes and processes reflect newer success criteria
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,Can Innovation Agency be predefined?
- Shift toward less predefined and more distributed innovation agency → Shift referred to as:
o Distributed innovation/Open innovation/Network-centric innovation
o Distributed innovation agency – innovation context wherein a dynamic, unexpected
collection of actors with diverse goals and motives engage in innovation process
- Collectives highly dynamic in that actors opt in and out while their goals change
- Important to incorporate features of digital technology into theories about innovation
management that make distributed agency possible
Can Studies of Innovation Processes and Outcomes focus on one and not on the other?
- Traditionally, innovation management studies have focused either on process or innovation
outcome
o With digitization, dependencies between processes and outcomes are complex and
dynamic
- Digitizing innovation involves processes and outcomes shaping and being shaped by the other
New Logics of Theorizing about Digitization of Innovation: A research agenda
- Four theoretical logics or conceptual elements in that IS researchers are particularly skilled at
exploring
Dynamic Problem-Solution Design Pairing
- Digital innovation management as a sporadic, parallel, and heterogeneous generation
o Digital innovation as temporary set of couplings between needs, user affordance, digital
artifact features and related sociotechnical constellations
- Forking, merging, terminations and refinements of problem-solution pairs
- Every digital innovation process can be viewed as a constant discovery, manifestation and
combination of design pattern
o Each pattern identifies a new and different relationship between at least two components
of digital technology functions
- Acknowledges fluid boundaries of innovation space and potential for innovation agency to be
distributed
Socio-cognitive sensemaking
- Technology is being made sense of in individual innovator’s cognition and the innovator’s social
system of collective of organizations and individuals
o Successful digital innovation depends on how actors come to understand, share with
others, and then modify understandings of innovation outcomes, processes, and related
markets
- Shared cognition and joint sensemaking as critical element of digital innovation management
- Narratives (embedded in digital artifacts/supported by digital technologies) as a vehicle for such
socio-cognitive sensemaking
- Acknowledges fluid boundaries of innovation space and the heterogeneous actors that populate it
(distributed innovation agency)
- Observe → Retreat and reflect → act in an instant
Technology affordance and constraints
- Digital Innovation enables and constraints
o Different contexts
- New possibilities & capabilities in new situations
- Considers digital technology use as sets of affordances and constraints for particular innovation
actors
o Helps explain how and why the ‘same’ technology can be repurposed by different actors
- Affordance – action potential offered by digital technology
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, o Relation between technology with certain features and users’ intent to which technology
is to be used
- Acknowledges the receding distinctions between innovation processes and outcomes
Orchestration (Inszenierung)
- One or more firms assume the responsibility for coordinating value cocreation and value
appropriation
o Orchestration – matching of problems and needs with potential solutions
- Problem-solution matching as a microfoundation of digital innovation orchestration
o Increasing role of digital technologies in enabling or supporting such orchestration
- Acknowledges the fluid boundaries of the innovation space and the potential for innovation
agency to be distributed
o Distribution toward Network
Innovate in Methods to Study Innovation
Computational Social Sciences
- Refers to a set of methodologies for exploring human behavior computationally
o Help scale local analysis of the use of digital technologies and innovation around them to
broader contexts
- Different forms:
o Organizational genetics – digital innovation decomposed into actors, activities, artifacts
and affordances to identify routines
o Computational case study research – integrate quantitative big data algorithmic analysis
with qualitative narrative development
o Process mining – application of Petri nets to elicit processes from event log data
Configurational Analysis
- Focus on matching specific conditions for specific outcomes rather than variance explanation
- Qualitative comparative analysis – uses Boolean algebraic techniques to compare pair-wise
combinations of antecedent and outcome conditions to identify those that produce an outcome
Complexity Theory Methods
- Identifying emergence → well apply to socio-cognitive sensemaking
- Different methods:
o Agent-based model – emergence as outgrowth of mutual adaptions between technology
and user
o Behavioral tracing studies – self-organizing crowds evolve tom coordinate their
knowledge sharing
o Field experiments – guide and encourage behavior, but not constraint it
Conclusion
- Digital innovation management promises a rich and potentially highly rewarding area of research
for information systems researcher
- Discourse on digital innovation management needs to be enjoined by researchers form other
disciplines
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