Premium
Information versus inertia: a model for product change with low inertia
Author(s) -
Österlund Jan,
Lovén Eva
Publication year - 2005
Publication title -
systems research and behavioral science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.371
H-Index - 45
eISSN - 1099-1743
pISSN - 1092-7026
DOI - 10.1002/sres.667
Subject(s) - competence (human resources) , inertia , knowledge management , new product development , business , flexibility (engineering) , process management , computer science , marketing , management , economics , physics , classical mechanics
The design of a new product is a result of the competence resource available to the company. Developing the competence resources is an organizational learning process going from the individual through the group level to the organization. If the competence resource reacts relatively slowly to meet requests in the demand from the company customers for changed knowledge in its products, it has a high inertia. Inertia comes from an unwillingness to learn new competences and is detrimental to the operative flexibility of the company. Managing the company for lowest possible inertia when dealing with a change in the product design requires managerial actions at all levels. Realizing the need for a strategic change in the competence resource, the management will take actions to start a learning process. By informing all levels about their vision for the change and by creating the enabling conditions for the learning process, they can decrease inertia. Starting a learning process requires management to provide concurrent information of different forms to suit each of the three systems levels. Each individual must be convinced of the reason for change of competence, and how it can be learned and composed to the desired product. This requires a good information structure and an existing culture of common terms and values. Copyright © 2005 John Wiley & Sons, Ltd.