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Command or Conviction? Informal Networks and the Diffusion of Controversial Innovations
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This chapter contributes to the understanding of the adoption of controversial innovations in the context of organizational change. In situations of controversy, organizational change is likely to be resisted. The authors argue that the management-induced diffusion of new conventions and behaviors related to communication and cooperation in an organization depends on informal and lateral rather than formal and hierarchical networks of communication. In their empirical study on corporate change from technology to market-orientation in a medium-sized ophthalmological engineering company in southern Germany, the degree of convergence toward market-orientation depends on the social proximity to the promoters of innovation in an informal knowledge network. They find that social proximity to promoters in the formal network has no effect. Hence, in situations of controversy innovations are more likely to diffuse through informal relations of conviction than through formal relations of command
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... Allerdings spielt auch in diesen Rahmen die Art der Innovation und des Wissens eine entscheidende Rolle. Theoretische (Krackhardt 1996;McGrath und Krackhardt 2003) und empirische Arbeiten belegen (Glückler 2014;Glückler und Panitz 2014), dass die Diffusion von Ideen und Innovationen innerhalb von Organisationen vom kontroversen Charakter der Innovation abhängt. In Abhängigkeit dieses Charakters sind für die erfolgreiche Einführung einer Innovation im Netzwerk unterschiedliche Positionen von Vorteil. ...
... In verschiedenen Studien konnte beobachtet werden, dass Wissensbeziehungen in Unternehmen durchaus mit formell geplanten Weisungs-und Prozessbeziehungen einhergehen (Glückler 2014;Glückler und Panitz 2014 (Lazega et al. 2006). Eine weitere Form der organisatorischen Einflussnahme ist die Strukturierung der Unternehmensprozesse. Unterschiedliche Autoren stellen fest, dass informelle Austauschprozesse den technischen und prozessualen Notwendigkeiten innerhalb von Unternehmen folgen (Argyres et al. 2020;Colfer und Baldwin 2016). ...
... Vernetzungsgelegenheiten und Netzwerkkultur schaffen Martin und Eisenhardt (2010) haben zeigen können, dass durch das Management einer Unternehmung "top down" initiierte und besetzte Projekte eine geringere Wahrscheinlichkeit besitzen erfolgreich abgeschlossen zu werden, als Projekte welche "bottom up" durch die Projektbeteiligten initiiert wurden. Daraus wird deutlich, dass die erfolgreiche Wissensweitergabe und Innovationsprozesse nicht angeordnet werden kann (Glückler und Panitz 2014). Vielmehr entstehen allzu oft Wissensbeziehungen aus zufälligen und ungeplanten Begegnungen. ...
Es ist ein grundlegendes Paradigma des Innovations- und Wissensmanagements, dass die Entstehung, Speicherung und Verwertung von Wissen und Ideen geplant und organisiert werden können. Neues Wissen und Innovationen entstehen dabei nicht in sozialer und organisatorischer Isolation, getrennt von den Beziehungsstrukturen der Erfinder*innen und den zugrunde liegenden sozialen sowie organisatorischen Prozessen. Entsprechend wird im folgenden Kapitel argumentiert, dass eine relationale Perspektive auf Innovations- und Wissensmanagement, welche die gelebten zugrunde liegenden Beziehungsstrukturen und Beziehungsinhalte betrachtet, hilfreiche Ansatzpunkte für eine Innovations- und Wissensmanagementpraxis bietet. Um dieses Argument zu verdeutlichen, wird aufgezeigt, welche Wirkungen unterschiedliche soziale Netzwerke auf die Innovativität von Organisationen und Individuen haben und wie Organisationen die zugrunde liegenden Wissensnetzwerke gestalten können.
... Allerdings spielt auch in diesen Rahmen die Art der Innovation und des Wissens eine entscheidende Rolle. Theoretische (Krackhardt 1996;McGrath und Krackhardt 2003) und empirische Arbeiten belegen (Glückler 2014;Glückler und Panitz 2014), dass die Diffusion von Ideen und Innovationen innerhalb von Organisationen vom kontroversen Charakter der Innovation abhängt. In Abhängigkeit dieses Charakters sind für die erfolgreiche Einführung einer Innovation im Netzwerk unterschiedliche Positionen von Vorteil. ...
... In verschiedenen Studien konnte beobachtet werden, dass Wissensbeziehungen in Unternehmen durchaus mit formell geplanten Weisungs-und Prozessbeziehungen einhergehen (Glückler 2014;Glückler und Panitz 2014 (Lazega et al. 2006). Eine weitere Form der organisatorischen Einflussnahme ist die Strukturierung der Unternehmensprozesse. Unterschiedliche Autoren stellen fest, dass informelle Austauschprozesse den technischen und prozessualen Notwendigkeiten innerhalb von Unternehmen folgen (Argyres et al. 2020;Colfer und Baldwin 2016). ...
... Vernetzungsgelegenheiten und Netzwerkkultur schaffen Martin und Eisenhardt (2010) haben zeigen können, dass durch das Management einer Unternehmung "top down" initiierte und besetzte Projekte eine geringere Wahrscheinlichkeit besitzen erfolgreich abgeschlossen zu werden, als Projekte welche "bottom up" durch die Projektbeteiligten initiiert wurden. Daraus wird deutlich, dass die erfolgreiche Wissensweitergabe und Innovationsprozesse nicht angeordnet werden kann (Glückler und Panitz 2014). Vielmehr entstehen allzu oft Wissensbeziehungen aus zufälligen und ungeplanten Begegnungen. ...
... Due to circular time conceptions (Ibert, 2004), stable and permanent forms of the organization encourage process improvement, failure eradication, and knowledge accumulation. However, a wide variety of concepts such as structural inertia (Hannan and Freeman, 1984;Agócs, 1997), the lack of absorptive capacity and dynamic capabilities (Protogerou et al., 2011;Verona and Ravasi, 2003;Cohen and Levinthal, 1990;Tsai, 2001), or controversial innovation (Glückler, 2014;Krackhardt, 1997) illustrate the problems that may arise when trying to integrate new ideas into permanent organizations (Scarbrough et al., 2004;Glückler and Panitz, 2014). Conversely, an increasing number of studies highlights the crucial role of informal networks and temporary forms of organization as flexible complements for formal organizations (Grabher, 2011(Grabher, , 2004Krackhardt, 1996). ...
... Furthermore, informal networks offer alternative channels for the diffusion of information, ideas, and innovations, developments which may otherwise be blocked off by formal decision-making boards and reporting lines (e.g. Glückler and Panitz, 2014;Glückler, 2014). Organizational and interpersonal relationships-as well as the relationships between individuals and organizations-are of recent interest in network research (Lazega et al., 2008;Brennecke and Rank, 2016). ...
... A key element of organizing is formally defined reporting and command lines, which serve to coordinate actions and to channel information top-down and bottom-up within and across the different units of an organization. However, the flattening of hierarchies and transformations from established routines to temporary project settings may limit the extent to which formal lines of reporting affect the structure of informal knowledge exchange as well as the channels through which innovation and organizational change are distributed (Glückler and Panitz, 2014). (iii) Experience and tenure within the organization. ...
This article explores the effects of organizational flux on the statics of interpersonal knowledge exchange structures. In our empirical case, organizational flux refers to high rates of personnel turnover, temporary project work, constant recombination of team memberships, and short-term collaboration. Network statics refers to the balance between forces composing and decomposing a network. Set in continuously changing organizational compositions of an in-house management-consulting unit, our study offers insights into the relationship between organizational characteristics and informal networks between experts. Against conventional intuition, we find a dense and stable structure of knowledge exchange. Furthermore, we elaborate on the two concepts of organizational flux and network statics, by comparing the observed structures with theoretical (random graphs) and empirical references (other empirical cases), and by using ERG models to account for different factors of organization , social balance, and individual attributes.
... In this respect, innovation can become an arduous process for several reasons. A new product may, for instance, face resistance due to immediate competition from other new developments or because actors do not understand the institutional environment, underestimate its importance, or behave in ways that are incompatible with certain environmental features (Agócs 1997;Glückler and Panitz 2014). ...
... Reasons for controversy and resistance in innovation can also be related to blockages within organizational hierarchies, in both a bottom-up and a top-down manner. This may be the case when novel standards and procedures run up against established interests and routines, as in the case of new business models (Glückler 2014) or new strategic orientations (Glückler and Panitz 2014). The continuous reinforcement of established ways of thinking and working through members of an organization leads to the formation of mental models and institutional orders. ...
This chapter explores the interrelations between institutions, defined as stabilized interaction patterns, and innovation, since successful innovation rests on the design of institutional contexts and since inconsistent institutional contexts constrain or even impede successful innovation. Such situations require processes of adjusting innovations to the institutional context (robust design), circumventing resistant institutional contexts (peripheral dominance), or creating new institutional contexts that fit the innovation process (institutional entrepreneurship). The chapter criticizes studies that focus on formal legislation and regulation as indicators of national institutional variety, while neglecting institutional practices and how these also differ at the sub-national level. From a relational perspective, supportive innovation policies need to respond to geographically and temporally varying institutional contexts even within a single legal and regulatory regime. It is argued that policy needs to understand the interrelationships between institutional practices and innovation, rather than viewing rules and regulations as determinants of innovation outcomes.
... Instead, we propose a geographical view and sketch elements of a research agenda that seeks to study the role of geographical and institutional variety in the unfolding of localized controversies and the success or failure of a novelty to experience acceptance and diffusion. As such, we emphasize the need for a geographical understanding of contested innovation processes and propose some first elements of an emerging analytical framework to study controversial innovation in economic geography (Glückler, 2014;Glückler & Eckhardt, 2022;Glückler & Panitz, 2014). ...
In this paper, we analyze the global controversy surrounding the innovation of cryptocurrencies, developing an analytical framework to assess the empirical structure of arguments. By unpacking an argumentation analysis of a comprehensive set of scholarly, media, and industry publications, we identify six key dimensions of disagreement, comprising 42 distinct arguments. These dimensions include the raison d’ˆetre, environmental impact, social inclusion, susceptibility to illegal activities, economic impact, and potential for decentralization and democratization. Our findings reveal entrenched positions supported by robust scholarly research and empirical evidence. Cryptocurrencies represent a controversial innovation, for which global resolution remains elusive. While the controversy may appear unbounded, we plead for a geographical approach, emphasizing that localized institutional contexts are crucial for exploring potential trajectories of the controversy. Finally, our analysis illustrates the potential of argumentation analysis to properly disentangle complex societal disagreements, and it therefore promises to enrich the methodological pluralism in economic geography.
... Researchers distinguish between tacit or codified knowledge that either diffuses via interpersonal communication or is encoded in scripts, reports and laws and thus can be exchanged easily (Schamp 2009). Avoiding detail, one can summarize that knowledge is a relational good that is bound to specific places (e.g., cities) and encoded into local, nation, or global networks (e.g., Glückler & Panitz 2014, Growe 2009, Meusburger 2009). These networks, however, are decisive for processes of knowledge innovation and the power that goes with them. ...
The book examines the concept urban sustainability as an ambiguous, deployed concept in current planning and policy endeavors across the global west. We examine the implications of this ongoing politics for the potential creating of a "just sustainability."
... Researchers distinguish between tacit or codified knowledge that either diffuses via interpersonal communication or is encoded in scripts, reports and laws and thus can be exchanged easily (Schamp 2009). Avoiding detail, one can summarize that knowledge is a relational good that is bound to specific places (e.g., cities) and encoded into local, nation, or global networks (e.g., Glückler & Panitz 2014, Growe 2009, Meusburger 2009). These networks, however, are decisive for processes of knowledge innovation and the power that goes with them. ...
Focusing on German politics, we want to discuss current practices of urban sustainability as an outgrowth of a knowledge economy. To look at the processes and outcomes of sustainability politics, we use the example of the city of Heidelberg - a mid-sized city in Germany (150,000 inhabitants), with a well-known university surrounded by a strong knowledge sector and situated in the economically dynamic region of Southwestern Germany. Despite the neglect of those smaller cities in sustainability research they sometimes tell very interesting stories. Thus, by looking at recent urban developments in Heidelberg in the context of the International Building Exhibition (IBA) and the real-world lab "Urban Office - Sustainable urban development in the knowledge society" at Heidelberg University, we hope to deepen our understanding of how sustainability is an outgrowth of and put into process as part of the knowledge society. This helps to learn how sustainability develops from theory to policy and practice.
... Given the importance placed on relationships and social interactions, there is significant attention placed on the individuals admitted to such emergent groups, and whether those individuals are of 'value' to the group on a shared-values level (Soda & Zaheer, 2012). The lack of structure within such emergent groups appears to be a form of emancipation (Bock, et al. 2012), where disenfranchised or disgruntled individuals are able to find support on a level-playing field where all individuals are viewed as equals with little regard for official position or title (Gluckler & Panitz, 2013). Hence, it is usually viewed as a way for less-powerful individuals to create a relationship-based support system that counterbalances the powerful elements within the formal organization (Kleinbaum, Stuart, & Tushman, 2013). ...
This thesis’s objective was to discover a new understanding regarding decision-making inefficiencies within the researcher’s informal work environment (UMR), and construct a framework for informed action. Using the broad research question, ‘What data-emergent theory can help explain the impediments to effective decision-making within UMR’s informal work environment?’ the researcher started by conducting a foundational literature review that brought to the forefront the complexities of an informal work environment and the lack of relevant decision-making frameworks. An informal work environment was found to be characterized by Communities of Practice, emergent social groups, and self-interest, which were often incompatible with rational decision- making frameworks. Using core grounded theory concepts, a methodological framework of data collection and analysis was developed that focused on data centrality and discovering a data-emergent theory grounded within the research field. A core category of selective perception emerged that explained and captured the core phenomenon of sustained barriers to decision-making and selective bias towards information due to the interpretative nature of the socially constructed environment.
At the core of the discovered theory is that individuals have a tendency to reject decisions within an informal environment based on external variables not directly related to the decisions. Theoretical conceptualizations put forth the variables of communication, trust, and resources, each which influenced and was influenced by selective perception. By constructing a theoretical model explained through 9 propositions, this thesis shows that decision-making efficiency is impacted by selective perception, communication effectiveness, the level of trust, and available resources, with a strong interrelation between each variable. By integrating the emergent theory and literature, short-term action strategies as well as long-term action and recommendations based on the notions of adaptability and proactivity were formulated. The concept of adaptability was applied and tested for relevance and effectiveness within the research field, with positive results. This was further extended through long- term recommendations, which focused on core areas of the emergent propositions, and emphasized proactivity through self-initiated and continuous changing.
This thesis concludes with a discussion on the implications for practice, research, and suggestions for future research.
The study of networks has been characterized by a dualism of methods. Researchers either use interpretive methods to explore the quality of social relations, or quantitative methods to assess the formal structure of network connectivity. However, because relational and structural characteristics of networks are interdependent, we present a method for Situational Organizational Network Analysis to overcome this dualism. In sequencing and integrating qualitative, quantitative and action research techniques, SONA is designed to help unveil authentic understand-ings of socially meaningful structure in compliance with research ethics. Drawing on a decade of research experience we describe the workings of this integrative method and elaborate on its valued-added compared to single methods. Building on selected applications, we demonstrate how the tailored use of SONA enhances cross-validation , supports original theory-building, and empowers reflexive transformative research.
Das wirtschaftliche Wachstum der Region Heilbronn-Franken war in den letzten 15 Jahren im Bundesvergleich überdurchschnittlich. Die regionale Wirtschaftsstruktur ist durch kleine und mittelständische Betriebe mit einer hohen Exportorientierung und leistungsfähigen Branchenclustern geprägt. Heilbronn-Franken prosperiert sowohl hinsichtlich der ausgeschöpften Beschäftigungsverhältnisse als auch des Einkommensniveaus. Im Vergleich Süddeutschlands hat die Region seit dem Jahr 2000 den zweitstärksten Zuwachs an Bruttowertschöpfung verzeichnet und ist dadurch heute die viert größte aller Raumordnungsregionen in Süddeutschland.
Grundlage der Entwicklung von Lösungsansätzen für das Management organisierter Netzwerke sind einerseits ein angemessenes und gemeinsames Zielverständnis der Mitglieder, andererseits eine empirisch fundierte Bewertung der Rahmenbedingungen des Netzwerks sowie der potenziellen und realisierten Interaktionen zwischen den Unternehmen. Neben der Analyse formaler Aspekte der Netzwerkarchitektur (s. Kap. 3 und 4) erfordert ein zielführendes Netzwerkmanagement eine profunde Analyse der Netzwerkstruktur, d. h. der tatsächlichen Interaktionen in wirtschaftlichen Beziehungen und der Governance des Netzwerks. Nur aus der Kenntnis der tatsächlichen Beziehungen lässt sich eine Zahl von Unternehmen als Netzwerk erkennen und entsprechend bewerten. Und erst die Kenntnis der tatsächlichen Kooperationsstrukturen ermöglicht es, angemessene Konzepte und Maßnahmen zur Verbesserung der Zusammenarbeit und der Koordination der Interaktionen zu entwickeln. In diesem Kapitel diskutieren wir einige zentrale methodische Herausforderungen in der empirischen Analyse organisierter Netzwerke und entwickeln das spezifische Untersuchungsverfahren SONA
– situative organisatorische Netzwerkanalyse
(Glückler und Hammer 2011) – als Netzwerkzeug
(Sydow und Lerch 2011) für die empirische Analyse in Netzwerkfallstudien (s. Kap. 6, 8 und 17).
Models and Methods in Social Network Analysis, first published in 2005, presents the most important developments in quantitative models and methods for analyzing social network data that have appeared during the 1990s. Intended as a complement to Wasserman and Faust's Social Network Analysis: Methods and Applications, it is a collection of articles by leading methodologists reviewing advances in their particular areas of network methods. Reviewed are advances in network measurement, network sampling, the analysis of centrality, positional analysis or blockmodelling, the analysis of diffusion through networks, the analysis of affiliation or 'two-mode' networks, the theory of random graphs, dependence graphs, exponential families of random graphs, the analysis of longitudinal network data, graphical techniques for exploring network data, and software for the analysis of social networks.
In recent years, academic and practitioner interest has focused on market orientation and factors that engender this orientation in organizations. However, much less attention has been devoted to developing a valid measure of market orientation. Here we define market orientation as the organizationwide generation of market intelligence pertaining to current and future needs of customers, dissemination of intelligence horizontally and vertically within the organization, and organization-wide action or responsiveness to market intelligence. The authors describe a procedure to develop a measure of the construct. Key features of the research methodology include several rounds of pretesting, a single-informant assessment, and a multi-informant (both marketing and nonmarketing executives) replication and extension. The multi-informant results indicate that the proposed 20-item market orientation scale (MARKOR) may be best represented by a factor structure that consists of one general market orientation factor, one factor for intelligence generation, one factor for dissemination and responsiveness, one marketing informant factor, and one nonmarketing informant factor. Taking into account the informant factors, the subsequent validation tests are moderately supportive of the market orientation construct. The authors discuss methodological, substantive, and application directions for future research in light of these findings.
This research addresses three questions: (1) Why are some organizations more market-oriented than others? (2) What effect does a market orientation have on employees and business performance? (3) Does the linkage between a market orientation and business performance depend on the environmental context? The findings from two national samples suggest that a market orientation is related to top management emphasis on the orientation, risk aversion of top managers, interdepartmental conflict and connectedness, centralization, and reward system orientation. Furthermore, the findings suggest that a market orientation is related to overall (judgmental) business performance (but not market share), employees’ organizational commitment, and esprit de corps. Finally, the linkage between a market orientation and performance appears to be robust across environmental contexts that are characterized by varying degrees of market turbulence, competitive intensity, and technological turbulence.
“Quadrads” (double dyads) of interviews, each conducted with a pair of marketing executives at a Japanese vendor firm and a pair of purchasing executives at a Japanese customer firm, provided data on corporate culture, customer orientation, innovativeness, and market performance. Business performance (relative profitability, relative size, relative growth rate, and relative share of market) was correlated positively with the customer's evaluation of the supplier's customer orientation, but the supplier's own assessment of customer orientation did not correspond well to that of the customer. Japanese companies with corporate cultures stressing competitiveness (markets) and entrepreneurship (adhocracies) outperformed those dominated by internal cohesiveness (clans) or by rules (hierarchies). Successful market innovation also improved performance.
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This study traced the diffusion paths of two innovations (with different degrees of "adoptive potential") among directors of local health departments in three states. As predicted, substantial correlations obtained between the time an individual adopted an innovation and both his relative position in sociometric networks ("centrality") and his most valued source of information. Earliest adopters of the easily accepted program were opinion leaders, while pioneers in the low adoptive potential innovation were found to be marginal to their groups. A concept of "system delay" is described wherein the stable influence-adoption configuration delays accepting the risky innovation until others have demonstrated its feasibility through prior adoption. Possible motivations for pioneer adoption are considered. Finally, data are presented in support of a modified model for diffusion among professionals, suggesting that (contrary to the current view), the professional's innovativeness determines his centrality in the communication network, and further, that a desire to maintain or increase prestige (tempered by the risks of adoption) motivates the professional to seek sources which are most likely to provide information on innovations.