Putting it all togetherPutting it all together

Lecture 5 IEM5010 Summer 2002Lecture 5 IEM5010 Summer 2002

Paul E. Rossler, Ph.D., P.E.Paul E. Rossler, Ph.D., P.E.

Essay 5Essay 5

• To what degree does Takahashi’s account of To what degree does Takahashi’s account of Microsoft’s Xbox effort reflect the ideas, Microsoft’s Xbox effort reflect the ideas, concepts, or principles identified by various concepts, or principles identified by various authors in the course readings, by yourself in authors in the course readings, by yourself in your other essays, and discussed by us your other essays, and discussed by us throughout this course? throughout this course?

• What are those key ideas, concepts, and What are those key ideas, concepts, and principles? principles?

• What is your action plan for improving your What is your action plan for improving your ability to lead and manage new technology or ability to lead and manage new technology or change initiatives?change initiatives?

Some key concepts from Some key concepts from “Inside the Xbox”“Inside the Xbox”

• The strategy tax in the competition for eyeball The strategy tax in the competition for eyeball hourshours

• Gaining tractionGaining traction• Signing upSigning up• Lessons learned (of Sims, Trespasser, 3DO, Lessons learned (of Sims, Trespasser, 3DO,

content is king, threat from below…)content is king, threat from below…)• Technical evangelistsTechnical evangelists• The business sideThe business side• Company culture Company culture

Please refer to Excel spreadsheet/handout

4

Factors in 10 technology Factors in 10 technology disastersdisasters

• Specifications decided by technology-Specifications decided by technology-illiterate customerilliterate customer

• Less than honest communicationLess than honest communication

• Relying on guesswork; Ignoring scale Relying on guesswork; Ignoring scale effectseffects

• Cutting corners to cut costCutting corners to cut cost

• Lack of attention to detailLack of attention to detail

Factors (continued)Factors (continued)

• Mismatch between new technology and Mismatch between new technology and old onesold ones

• Foregoing proven technologies for novel Foregoing proven technologies for novel onesones

• Over-reliance on technologyOver-reliance on technology

• "Normal" accidents inherent in system "Normal" accidents inherent in system designdesign

Why some projects fly and Why some projects fly and others crash and burnothers crash and burn

DimensionsDimensions R100R100 R101R101

Competent technical Competent technical leadershipleadership xx

Appropriate staffingAppropriate staffing xx

Use of appropriate Use of appropriate technologytechnology xx

Reasonable expectationsReasonable expectations xx

Honesty toward Honesty toward engineered objectengineered object xx

What makes some What makes some development efforts succeed?development efforts succeed?

Form Cross-Functional

Teams

Integration ofDiverse Skills

Based on Jassawalla, A.R. and H.C. Sashittal, Building collaborative cross-functional product teams. Academy of Management Executive, 1999. 13(3): p. 50-63.

Willingness toCooperate

Access to Informationand Resources

Top Management’sTolerance for Delays

and Failures

Level of Interpersonal Trust

Comfort LevelWith Changes

Team LeadershipCulture

Propensity to Experiment and Adapt

Squires thinks that hierarchical Squires thinks that hierarchical structures cause problemsstructures cause problems

He also thinks that maestros of He also thinks that maestros of technology are key to successtechnology are key to success• Possess great technical and managerial Possess great technical and managerial

skillsskills– Didn’t rush into management but served Didn’t rush into management but served

apprenticeships that provided tests of competenceapprenticeships that provided tests of competence– Focus on improvement rather than innovationFocus on improvement rather than innovation– Aren’t seduced by gadgets or new technologyAren’t seduced by gadgets or new technology

• Understand Watson-Watts Law of Third Understand Watson-Watts Law of Third BestBest

Watson-WattsWatson-WattsLaw of Third BestLaw of Third Best

Best never comes.Best never comes.

Second best takes too long or costs too Second best takes too long or costs too much.much.

Pick the third best and get on with it.Pick the third best and get on with it.

Maestros of technology Maestros of technology (continued)(continued)

• Show tremendous loyalty to the Show tremendous loyalty to the project’s objectivesproject’s objectives

• WorkaholicsWorkaholics

• Get around; know what’s happeningGet around; know what’s happening

• Aren’t concerned about positionAren’t concerned about position

• Help others become maestrosHelp others become maestros

Complex projects require a Complex projects require a great many maestros and…great many maestros and…

• A great leader who ensures they A great leader who ensures they cooperate and who sorts things out cooperate and who sorts things out when they don’twhen they don’t

The Abilene ParadoxThe Abilene Paradox

““Organizations frequently take actions in Organizations frequently take actions in contradiction to the data they have for contradiction to the data they have for dealing with problems and, as a result, dealing with problems and, as a result, compound their problems rather than compound their problems rather than solving them.”solving them.”

Source: J. B. Harvey, The Abilene Paradox and other meditations on management (Lexington, MA: Lexington Books, 1988).

The very different fourth The very different fourth attemptattempt

• In 1753, John Jefferys follows In 1753, John Jefferys follows Harrison’s design specs and makes him Harrison’s design specs and makes him a pocket watcha pocket watch

• Changes Harrison’s vision of the sea Changes Harrison’s vision of the sea clockclock

• H4 takes roughly four years to complete H4 takes roughly four years to complete (1755-1759)(1755-1759)

• Presented to Board in 1760Presented to Board in 1760

It’s here that the It’s here that the story takes a turnstory takes a turn

• Astronomy-based methods had been making Astronomy-based methods had been making steady progresssteady progress

• In 1731, Hadley and Godfrey independently In 1731, Hadley and Godfrey independently created the instrument on which lunar method created the instrument on which lunar method depended (quadrant or octant depended (quadrant or octant sextant) sextant)

• By late 1750s, lunar distance method finally By late 1750s, lunar distance method finally looked practicallooked practical– Flamsteed Flamsteed Halley Halley Bradley Bradley– Tobias MayerTobias Mayer– Reverend Nevil MaskelyneReverend Nevil Maskelyne

But can it be made?But can it be made?

• Kendall’s K2 inferiorKendall’s K2 inferior

• Mudge built three (“Maskelyne’s new Mudge built three (“Maskelyne’s new sparring partner”)sparring partner”)

• Arnold produced several hundred of Arnold produced several hundred of high qualityhigh quality– Farmed out bulk of routine work to Farmed out bulk of routine work to

craftsmancraftsman

But can it be made? But can it be made? (continued)(continued)

• Mudge’s son built 30, but cost twice as much Mudge’s son built 30, but cost twice as much as Arnold’s, not as goodas Arnold’s, not as good

• Arnold and his son’s biggest competition Arnold and his son’s biggest competition came from Earnshawcame from Earnshaw– Earnshaw stuck to single basic designEarnshaw stuck to single basic design– Could turn out chronometer in two monthsCould turn out chronometer in two months– In “patent” suit with Arnold over escapement In “patent” suit with Arnold over escapement

designdesign

• By 1780s prices down to £80 for an Arnold, By 1780s prices down to £80 for an Arnold, £65 for an Earnshaw£65 for an Earnshaw

The road to Watson and Crick, The road to Watson and Crick, Wilkins and FranklinWilkins and Franklin

• In 1943, Oswald Avery proved that DNA In 1943, Oswald Avery proved that DNA carries genetic informationcarries genetic information

• 1948, Linus Pauling discovered that 1948, Linus Pauling discovered that many proteins take the shape of an many proteins take the shape of an alpha helixalpha helix

• In 1950, biochemist Erwin Chargaff In 1950, biochemist Erwin Chargaff found that the amount of certain found that the amount of certain nitrogen bases in DNA always occurred nitrogen bases in DNA always occurred in a one-to-one ratioin a one-to-one ratio

Two competing Two competing (complementary?) paths (complementary?) paths

• At Cambridge University, graduate At Cambridge University, graduate student Francis Crick and research student Francis Crick and research fellow James Watson employ model fellow James Watson employ model building techniquesbuilding techniques

• At King's College in London, Maurice At King's College in London, Maurice Wilkins and Rosalind Franklin use X-ray Wilkins and Rosalind Franklin use X-ray diffraction techniquesdiffraction techniques

The generation of innovations The generation of innovations generally follows six stagesgenerally follows six stages

• Essentially a communication process Essentially a communication process and, therefore, labor intensiveand, therefore, labor intensive

• Characterized by a high degree of Characterized by a high degree of uncertaintyuncertainty

Needs R D C Diffusion Conseq.

See p. 133 for full model

One of the most crucial decisions One of the most crucial decisions is the decision to diffuse, to adoptis the decision to diffuse, to adopt

• Innovation gate keeping occurs in a variety of Innovation gate keeping occurs in a variety of ways (p. 148)ways (p. 148)– Decision processesDecision processes– Blanket approvalBlanket approval– RecommendationsRecommendations– Consensus developmentConsensus development– TrialsTrials

Diffusion

Decision about an innovation is Decision about an innovation is a process, occurring over timea process, occurring over time

• Period between awareness-knowledge Period between awareness-knowledge and decision is gestation period (p. 198)and decision is gestation period (p. 198)

• Distinguishing characteristic is perceived Distinguishing characteristic is perceived newness of innovation and uncertainty newness of innovation and uncertainty associated with it (p. 161)associated with it (p. 161)

Knowledge Persuasion Decision Implement. Confirmation

See p. 163 for full model

Five attributes explain 49 to 87% Five attributes explain 49 to 87% of the variance in rate of adoptionof the variance in rate of adoption

1.1. Relative advantage (p. 206 ff.)Relative advantage (p. 206 ff.)

2.2. CompatibilityCompatibility

3.3. ComplexityComplexity

4.4. TrialabilityTrialability

5.5. ObservabilityObservability

Behavior of opinion-leaders helps Behavior of opinion-leaders helps determine rate of adoptiondetermine rate of adoption

• Degree to which an individual is able Degree to which an individual is able informally to influence others (p. 281)informally to influence others (p. 281)

• Usually different sets of opinion leaders in Usually different sets of opinion leaders in a system (p. 288)a system (p. 288)– Tendency to seek info and advice from Tendency to seek info and advice from

leaders perceived as more technically leaders perceived as more technically competent (p.289)competent (p.289)• But not too much greater!But not too much greater!

Behavior of opinion-leaders helps Behavior of opinion-leaders helps determine rate of adoption (cont’d.)determine rate of adoption (cont’d.)

• Not necessarily innovators (pp. 294, Not necessarily innovators (pp. 294, 354)354)– Sometimes they are, but often they are notSometimes they are, but often they are not

• Depends on whether or not norms favor Depends on whether or not norms favor changechange

– Change agents often err in selecting Change agents often err in selecting opinion leaders who are too innovative (p. opinion leaders who are too innovative (p. 295)295)

Behavior of opinion-leaders helps Behavior of opinion-leaders helps determine rate of adoption (cont’d.)determine rate of adoption (cont’d.)

• Must continually look over her or his Must continually look over her or his shoulder to followers (p. 296) shoulder to followers (p. 296) – Relationship of respect is a delicate Relationship of respect is a delicate

balance balance – Typically will hold back in adopting high-Typically will hold back in adopting high-

uncertainty innovations (p. 297) uncertainty innovations (p. 297)

Innovation process consists of two Innovation process consists of two phases and a usual sequencephases and a usual sequence

Agenda-Setting

MatchingRedefining

RestructuringClarifying Routinizing

I. Initiation II. Implementation

Decision

Note: Complete model shown on p. 392

Innovation goes on all the time in organizations (p. 376)

SummarySummary