Deck 7: Innovation and Change

Question 1

Creativity was needed to improve efficiency without raising costs at DaimlerChrysler.Over the last few years,the company has successfully implemented a creative engineering program that allows its plants to produce more than one type of car from the same assembly line.What is this successful change to a flexible manufacturing system an example of?

A) corporate synergy
B) organizational innovation
C) assembly networking
D) reverse engineering

Answer 1

B
Organizational innovation is the successful implementation of creative ideas in organizations.

Question 2

What must necessarily come before organizational innovation in the successful implementation of creative ideas in organizations?

A) synergy
B) design competition
C) resource development
D) creativity

Answer 2

D

Question 3

What was the development of CDs a source of - just as audiotapes and 8-track tapes had once been - to companies in the recording industry?

A) a sustainable competitive advantage
B) creativity re-engineering
C) technological discontinuity
D) technological replacement

Answer 3

C
A technological discontinuity creates a significant breakthrough in performance or function.

Question 4

Through which of the following processes does an innovation stream move from one technology cycle to another?

A) technological substitution
B) technological variation
C) technological continuity
D) technological selection

Question 5

At what point in the typical S-curve pattern of innovation is a company likely to be when significant improvements in performance can be gained only through radical new designs or new performance-enhancing materials?

A) It is at its break-even point.
B) It is at the problem identification stage of the innovation cycle.
C) It is at the end of the innovation cycle.
D) It is at either the beginning or end of the innovation cycle.

Question 6

In the typical S-curve pattern of innovation,increased effort-that is,money,research and development,etc.-brings only small improvements in technological performance when the performance limits of the technology are reached.At what point in the cycle does this occur?

A) during the introductory stage of the cycle
B) at the break-even point of the cycle
C) during the maturity stage of the cycle
D) at the end of the cycle

Question 7

TRX Ltd.used to budget a large amount of expenditure for meetings where managers from across the province would meet at head office.With the inception of phone conferencing the budget for meetings was cut substantially as managers were required to come to head office less frequently.With the inception of video conferencing,managers now never conduct meeting by phone and rarely meet at head office.What is this an example of?

A) the technology process
B) a technology pattern
C) a technology cycle
D) the technology continuum

Question 8

What is the term for the knowledge,tools,and techniques used to transform inputs into outputs?

A) resource manipulation
B) procedural innovation
C) a transformation system
D) technology

Question 9

What is the term for the successful implementation of creative ideas in organizations?

A) organizational change
B) organizational innovation
C) organizational creativity
D) organizational development

Question 10

Which of the following best identifies where in the typical S-curve pattern of innovation increased effort-that is,money,research and development,etc.-brings only small improvements in technological performance?

A) at the beginning of the cycle
B) in the middle of the cycle
C) at the end of the cycle
D) throughout the entire cycle

Question 11

What is the term for patterns of innovation over time that can create a sustainable competitive advantage?

A) innovation maps
B) organization development
C) results-driven change
D) innovation streams

Question 12

What is the shape of the typical innovation pattern that nearly all technology cycles follow?

A) W-curve
B) U-curve
C) bell-shaped
D) S-curve

Question 13

Where in the typical S-curve pattern of innovation will small amounts of effort result in significant increases in performance?

A) during the growth stage of the cycle
B) at the midpoint of the cycle
C) at the end of the cycle
D) throughout the cycle

Question 14

Which of the following will an organization be able to achieve in an ongoing series of technology cycles?

A) satisfaction of more customers with fewer resources
B) creation of a competitive advantage
C) control of variable costs
D) elimination of the product-innovation process

Question 15

George was appointed president of a health devices company.Within a year the board of directors were very happy with George's appointment.The company's structure was transformed to a team structure.New suppliers were found.The culture became one of hard work and meeting goals.What did George bring to the company to please the board?

A) organizational innovation
B) organizational development
C) organizational change
D) organizational re-engineering

Question 16

A technology cycle occurs whenever there are major advances or changes in certain aspects of a field or discipline.What are those aspects?

A) the human, technical, and conceptual skills needed
B) the structure or personnel requirements
C) the internal environment resources
D) the knowledge, tools, and techniques

Question 17

McDonald's restaurants are involved in a long-term,worldwide movement to change consumers' perceptions of its products by selling food that is healthier.What is McDonald's engaged in?

A) organizational change
B) reverse engineering
C) market diversification
D) product revitalization

Question 18

TicketsNow.com tapped a market that Ticketmaster had neglected: they specialized in locating and securing premium seating and tickets to sold-out events.What did the company use to locate and serve a profitable market?

A) synergy
B) ideation
C) creativity
D) organizational adaptation

Question 19

Josephine is a valuable employee to her company.Josephine has found new ways to complete work processes that have saved the company thousands of dollars.What makes Josephine so valuable to her company?

A) synergistic use of resources
B) ideation
C) creativity
D) organizational adaptation

Question 20

When Gregg Steiner became the vice president for Pinxav,he knew the diaper-rash product manufacturer's sales were declining.At a trade show,Steiner was pitching the product and said,"If you're not happy with the product,I will not only give you your money back-I'll buy you our competitor's product.I'll buy you whatever other brand you want." Suddenly,customers were interested,and they all pulled out their money.None of the customers ever took Steiner up on his offer.Steiner then decided to make it part of his business practice.What is this new guarantee an example of?

A) corporate synergy
B) organizational innovation
C) assembly networking
D) organizational networking

Question 21

Narrative 7-1
Unverferth Manufacturing is a manufacturer and supplier of innovative agricultural equipment. Recently it began developing a new 12-row strip-till subsoiler that is ideal for cotton production. Before introducing the new tiller to the market, Unverferth developed and tested nearly three dozen product prototypes.
Refer to the Narrative 7-1.What approach to innovation did Unverferth use?

A) the compression approach
B) the experiential approach
C) the technological substitution approach
D) the generational change approach

Question 22

Which of the following is a part of the experiential approach to innovation?

A) distant management
B) testing
C) independent work
D) initiative conversations

Question 23

Which approach to innovation assumes that innovation is occurring within a highly uncertain environment and that the key to fast product innovation is to use intuition,flexible options,and hands-on experience to reduce uncertainty and accelerate learning and understanding?

A) the compression approach
B) the experiential approach
C) the technological substitution approach
D) the generational change approach

Question 24

October 15,2013 was known as Tabley Tuesday.Several large technology companies launched their next generation of tablets.Microsoft introduced their second tablet.Apple's new iPad promised to be sleeker and faster.Nokia introduced their first tablet.What occurred on this date with these companies and their new product introductions?

A) technological discontinuity
B) design competition
C) technology cycle
D) innovation streams

Question 25

In terms of innovation streams,what occurs when customers purchase flat-screen computer monitors to replace older,bulkier monitors?

A) technological substitution
B) technological expansion
C) re-engineering
D) demarketing

Question 26

Narrative 7-1
Unverferth Manufacturing is a manufacturer and supplier of innovative agricultural equipment. Recently it began developing a new 12-row strip-till subsoiler that is ideal for cotton production. Before introducing the new tiller to the market, Unverferth developed and tested nearly three dozen product prototypes.
Refer to the Narrative 7-1.What did Unverferth use to produce the best possible tiller before introducing it to the market?

A) service development
B) process duplication
C) design iteration
D) design compliance

Question 27

What do companies need to excel at managing in order to successfully manage innovation streams?

A) sources of innovation
B) innovation during synergistic change
C) reciprocity
D) environmental design issues

Question 28

Malcolm believes people produce best when they are exposed to some form of pressure.He changed the goals of his design team from being easily attainable to being of much higher standard and needing completion within shorter time frames.What component of a creative work environment did Malcolm introduce to the design team?

A) challenging work
B) mechanistic structures
C) freedom
D) autocratic leadership

Question 29

Donald feels his design team could be more creative if they met somewhere other than the lunch room where others are constantly coming and going.Donald created space in his large office where the team could meet without interruptions.After this move the team meetings were much more productive.What component of a creative work environment did Donald use to encourage greater creativity in his team?

A) regular brainstorming meetings
B) training
C) employee profit-sharing
D) the removal of organizational impediments

Question 30

The auto industry has been perfecting the internal combustion engine (ICE)for some 120 years.Billions of dollars of work is ongoing at all of the auto companies on alternatives to ICEs.A cooperative program between the Big Three and government to replace ICEs with electric engines has been operating since 1993.What is the internal combustion engine (ICE)an example of?

A) a dominant design
B) design dichotomy
C) a synergistic design
D) a differential design

Question 31

At Unigista Designs,upper management encourages collaboration between employees of different departments to develop new products and processes.Throughout the organization,hallways have tables and chairs to facilitate this collaboration.What type of workplace culture is this an example of?

A) creative work environment
B) innovative society
C) homogeneous work environment
D) participative work team

Question 32

Which of the following is an organizational impediment to creativity in a work environment?

A) internal synergies
B) organic management structures
C) change culture
D) power struggles

Question 33

Titleist has been manufacturing golf balls for several years,but each year it comes out with new designs.Titleist developed the new Pro VI golf ball,with a solid core that is designed to benefit players with high swing speeds.Which term describes how this manufacturer remains competitive?

A) technological discontinuity
B) discontinuous change
C) dominant design
D) incremental change

Question 34

What is the term for the purchase of new technologies to replace older ones?

A) adaptive change
B) design replacement
C) technological substitution
D) dominant design

Question 35

Which phase of a technology cycle is characterized by technological substitution and design competition?

A) technological adaptation
B) the era of dominant design
C) the technological growth stage
D) discontinuous change

Question 36

Hewlett-Packard is exploring new products and markets through the development of digital imaging products in its plants in India,South Africa,and the United States.What can Hewlett-Packard do to jump-start this innovative process?

A) It can manage flow through the use of Gantt charts.
B) It can concentrate on dominant design and ignore incremental design.
C) It can engage in creative reciprocity.
D) It can establish creative work environments.

Question 37

What are the phases of a technology cycle within an innovation stream in order from beginning to end?

A) incremental change, discontinuous change, dominant design, and technological discontinuity
B) discontinuous change, incremental change, technological discontinuity, and dominant design
C) dominant design, discontinuous change, incremental change, and technological discontinuity
D) technological discontinuity, discontinuous change, dominant design, and incremental change

Question 38

When DaimlerChrysler learned that it took longer than any other U.S.car manufacturer to assemble a vehicle,it purchased newer,more flexible manufacturing systems to replace its older ones.Which period of the innovation stream did it enter when it made this change?

A) technological adaptation
B) the era of dominant design
C) the technological growth stage
D) discontinuous change

Question 39

During which phase of a technology cycle do companies innovate by lowering the cost and improving the functioning and performance of the dominant design?

A) during the technological discontinuity phase
B) during the discontinuous change phase
C) during the process implementation phase
D) during the incremental change phase

Question 40

Which of the following characterizes discontinuous change in an innovation stream?

A) synergy
B) technological substitution
C) incremental change
D) empathetic design

Question 41

According to Kurt Lewin,what are the three steps in the basic process of managing organizational change?

A) unfreezing, change intervention, and refreezing
B) organizational change, departmental change, and individual change
C) change definition, change motivation, and change
D) synthesizing, motivating, and rewarding

Question 42

Which statement describes the outcome from the use of milestones in the experiential approach to innovation?

A) The use of milestones results in the general chaos that follows technological discontinuities.
B) The use of milestones lengthens the innovation process.
C) The use of milestones maintains the status quo.
D) The use of milestones lets an organization know when to take corrective action.

Question 43

What are the goals of the compression approach to innovation?

A) speed, lower costs, and incremental change of dominant design
B) the development of milestones and the comparison of actual milestones with forecasts
C) the establishment of a dominant design and speed
D) absolute-time management and the creation of a dominant design

Question 44

Which approach to managing innovation assumes that innovation is a predictable process made up of a series of steps and that condensing the time it takes to complete those steps can speed up innovation?

A) compression
B) milestones
C) dialectical
D) generational

Question 45

Which of the following is one of the sources of resistance to change?

A) self-interest
B) multifunctional teams
C) a dynamic organizational culture
D) discontinuous innovation

Question 46

Jennifer is expanding her Canadian company be penetrating the Asian market.She brings together a task force comprised of managers from marketing,finance,and operations to determine how to be successful in this market.What kind work team did Jennifer create to expand into Asia?

A) milestone team
B) innovation team
C) multifunctional team
D) experiential team

Question 47

What is the first aspect for managing innovation during discontinuous change?

A) design iteration
B) budgeting
C) establishment of a dominant design
D) involvement of suppliers

Question 48

Which innovation management approach is best in fairly certain environments,during periods of incremental change,and when the goals are lower costs and incremental improvements in the performance and function of the existing technological design?

A) experiential
B) compression
C) prototypical
D) milestones

Question 49

ARI is a leading provider of sales and profit-building technology services for equipment dealers.When Unverferth Manufacturing wanted to change the way it supplied information to its dealers by implementing a website,it contacted ARI.ARI provided a solution that allowed Unverferth to replace its paper catalogues with catalogues on CDs and to create a website.Aided by supplier involvement,Unverferth was able to eliminate costly paper catalogues and gain the ability to provide up-to-the-minute information to its dealers.Which approach to innovation is this incremental change an example of?

A) generational
B) experiential
C) milestones
D) compression

Question 50

What is said to have occurred when incremental improvements are made to a dominant technological design such that the improved version of the technology is fully backward compatible with the older version?

A) a milestone
B) an intuitive change
C) a generational change
D) a coercive change

Question 51

According to social psychologist Kurt Lewin,what leads to differences in the form,quality,or condition of an organization over time?

A) compressed changes
B) generational forces
C) generational changes
D) change forces

Question 52

According to Kurt Lewin,which of the following is one of the three steps in the basic process of managing organizational change?

A) unfreezing
B) organizational dialogue
C) change definition
D) incremental change

Question 53

Paul has hired an Industry Canada consultant to review the labour intensive process his company uses to make its products.Paul is hoping that automation can be implemented to reduce the costs of production and make his company more profitable.What kind of force is Paul to his company?

A) experiential:Resistance to change will not occur when those affected by the change participate in its planning and implementation.
B) generational: Resistance to change will not occur when employees are educated about the need for change.
C) resistance: Resistance to change will not occur when change efforts receive significant managerial support.
D) change: Resistance to change will always occur; it is inevitable.

Question 54

Covisint is an e-commerce venture involving DaimlerChrysler,Ford,GM,Peugeot,and Renault/Nissan that allows car makers access to online auctions for buying component parts and materials.Because the idea of such a website was a new concept,the prototype site was built and tested,then revised,and rebuilt for further testing before the website was ever offered to customers.Which of the following,therefore,was used to develop Covisint?

A) server development
B) process duplication
C) design iteration
D) design compliance

Question 55

What is the first step in the compression approach to innovation?

A) overlapping of the individual steps
B) planning
C) supplier involvement
D) granting of autonomy

Question 56

Which of the following is an important part of both the compression approach and the experiential approach to innovation?

A) multifunctional teams
B) design iterations
C) milestones
D) synergistic processes

Question 57

Backward compatibility is an important consideration for software users who are using an accounting program to facilitate their tax preparation and who want to use a newer version that has greater capacity.Therefore,which of the following do many software manufacturers engage in?

A) coercive change
B) dominant design manipulation
C) generational change
D) intuitive change

Question 58

What is the best reason to use milestones in the experiential approach to innovation?

A) Milestones serve to eliminate manufacturing bottlenecks.
B) Milestones shorten the innovation process.
C) Milestones create incrementally sustainable advantages.
D) Milestones virtually eliminate problems associated with the control function of management.

Question 59

Jim is very happy with how his company has provided a living for himself and his family.His wife,Kim,knows the company needs to adopt new technologies to continue to serve their customers especially with growing competition.However,Jim is reluctant and asks Kim why change something that has been so successful? What kind of force is Jim to his company in this situation?

A) dialectical
B) generational
C) resistance
D) experiential

Question 60

Unverferth Manufacturing makes agricultural equipment.It used finite element analysis (FEA)software to speed up the design cycle for its 12-row subsoiler.Which aspect of the compression approach to innovation would the use of this software assist?

A) planning
B) supplier involvement
C) shortening time of individual steps
D) multifunctional teams

Question 61

When a merger of Springs Industries with the Brazilian textile producer Coteminas was announced,the CEO of Springs was quoted as saying,"It is unclear what effect this move will have on our employees.Though no immediate layoffs are planned,there may be some in the future." In which stage of organizational change would the CEO need to use empathy and communicate the specific details of the merger?

A) change intervention
B) the change prototype
C) unfreezing
D) refreezing

Question 62

Which type of change focuses primarily on changing company procedures,management philosophy,or employee behaviour?

A) resources-oriented change
B) activity-oriented change
C) vision-driven change
D) discontinuous change

Question 63

Downsizing has thinned the ranks of hospital personnel.In one hospital,management was bewildered by the high staff turnover rate,while in patient care areas,each nurse was doing the work of two nurses.Hospital employees were adamantly resisting any more change.According to Kurt Lewin,what method could hospital administrators use to manage this resistance?

A) Reduce communication to employees about the change process.
B) Adopt an autocratic leadership style.
C) Provide significant managerial support.
D) Encourage employees to work independently.

Question 64

Which type of change is the General Electric workout?

A) activity-oriented change
B) results-driven change
C) generational change
D) vision-driven change

Question 65

Which of the following is a method for managing resistance to change that should be used only as a last resort or under crisis conditions?

A) mentoring
B) arbitration
C) negotiation
D) coercion

Question 66

Which statement describes an advantage of the results-driven change approach?

A) The results-driven change approach supplants the sole emphasis on activity with a focus on process, not on outcomes.
B) Managers reinforce the status quo.
C) The results-driven change approach encourages employees to resist making rash decisions.
D) Managers introduce changes in policies, procedures, rules, and regulations only when they will improve measured performance.

Question 67

Which of the following is one basic method for managing resistance to change?

A) implementation of rigid structures
B) autocratic leadership
C) change simulation
D) negotiation

Question 68

Which term refers to the individual who is formally in charge of guiding a change effort?

A) change ombudsperson
B) staff moderator
C) change mentor
D) change agent

Question 69

What should managers use as an approach to manage resistance to change when the resistance is based on insufficient,incorrect,or misleading information?

A) education and communication
B) participation and experience
C) negotiation and mentoring
D) coercion and rewards

Question 70

When Tom Valerio joined CIGNA Property & Casualty,the company was faltering due to poor underwriting decisions and multiple claims from natural disasters.Valerio's vision was for CIGNA to become a top-quartile,specialist property and casualty company.It was a radical proposition.During which stage of organizational change would it be especially important to have this vision in mind?

A) change intervention
B) the change prototype
C) unfreezing
D) refreezing

Question 71

Connie has changed the organizational structure in her company to a team structure.Many employees have new functions and different people to work with.Connie has given Pat the responsibility to ensure the changes implemented are followed.What role has Pat been given by Connie?

A) change ombudsperson
B) staff moderator
C) change mentor
D) change agent

Question 72

Which of the following approaches is aimed at changing large systems,small groups,or individuals?

A) the General Electric workout
B) the functional approach to change
C) organizational development
D) results-driven change

Question 73

According to John Kotter,during which stage of organizational change do managers tend to make the largest number of errors while leading?

A) unfreezing change
B) implementing change
C) refreezing change
D) initiating change

Question 74

What is the first of eight steps in organizational development intervention?

A) pioneering
B) inception
C) introduction
D) entry

Question 75

Narrative 7-2
An Internet strategy enabled Nestlé to change its way of doing business and allowed the company to change its staid, risk-averse culture. Nestlé leaders overhauled company processes-from buying raw materials to processing purchase orders to marketing the roughly 2,000 products under its 200 brands.
Refer to the Narrative 7-2.In terms of organizational development,what type of intervention did Nestlé use?

A) unit
B) large system
C) unit-focused
D) results-focused

Question 76

According to John Kotter,which of the following actions will adversely influence refreezing efforts?

A) sharing a vision
B) removing obstacles to the company's new vision
C) creating a powerful enough guiding coalition
D) declaring victory too soon

Question 77

Which of the following is one group that John Kotter recommends be included in a core change coalition to guide and support organizational change?

A) lobbyists
B) suppliers
C) union leaders
D) creditors

Question 78

When Tom Valerio joined CIGNA Property & Casualty,the company was faltering due to poor underwriting decisions and multiple claims from natural disasters.Valerio's vision was for CIGNA to become a top-quartile,specialist property and casualty company.It was a radical proposition.What role did Valerio fill in this case?

A) change ombudsman
B) staff moderator
C) change mentor
D) change agent

Question 79

What is organizational development?

A) Organizational development requires a steering committee.
B) Organizational development takes a short-term approach to change.
C) Organizational development is a philosophy and collection of planned change interventions.
D) Organizational development assumes that top management support is not necessary for change.

Question 80

Which of the following techniques is used in large-system intervention?

A) survey feedback
B) training
C) team building
D) counselling/coaching