ADMS 1000 Lecture Notes - Creative Destruction, Michael L. Tushman, Punctuated Equilibrium

• School: York University
• Department: Administrative Studies
• Course: ADMS 1000
• Professor: Eytan Lasry

Document Summary

Discontinuous/ radical and breakthrough: (digital camera, cellular telephones,): can create entirely new industries. Continuous/incremental: make relatively minor changes or adjustments to existing practices. Component / modular / material innovations: change to the product components but leave the overall configurations of the system relatively intact. Architectural innovation: alters the system"s architecture how the components interact and are linked with each other in: technological evolution. Technological innovation leads to the creative destruction (schumpeter: of industries. Abernathy and utter back propose the technology lifecycle model to explain how rates of product and process innovation evolve during from the fluid, to transitional to specific phase of the technology. Technological discontinuities appear at rare and irregular intervals and can dramatically alter an industry"s structure. Period of uncertainty (era of ferment) ends when a dominant design emerges and technical progress focuses on incremental improvements and process innovations (era of incremental change) until the next discontinuity. A punctuated equilibrium model (anderson and tushman, 1990)