BUS 010 Lecture Notes - Lecture 13: Moe Williams, Organisational Routines, Satisficing
Document Summary
Barriers to change theories: organizational routines. Organizations get caught in competency traps where core capabilities become core rigidities: social and political structure. Change represents a threat to the power of those in positions of authority: conformity. Institutional isomorphism locks organizations into common structures and strategies that make it difficult to adapt to change: limited search. Organizations prefer exploitation of existing knowledge over exploration for new opportunities. Satisficing: sitting at a satisfactory level of performance rather than pursue optimal performance: complementaries between strategy, structure, and systems. Complex configurations are a barrier to change once established. Any change in the external environment of an industry offers opportunities for newcomers to. Coping with technological change challenge incumbents (start-ups and established firms) Some technological changes are: competence destroying. Render obsolete the resources and capabilities of established firms: competence enhancing. They preserve, strengthen, the resources and capabilities of incumbent firms.
