California Management Review
California Management Review is a premier academic management journal published at UC Berkeley
The Forces of Ecosystem Evolution
Ecosystems depend on a delicate balance between forces that push activity toward greater integration, and those that push activity out onto the market.
How to Appropriate Value from General-Purpose Technology by Applying Open Innovation
An overly closed approach can prevent firms from deriving the benefits of general-purpose technology (GPT).
How Can Large Manufacturers Digitalize Their Business Models? A Framework for Orchestrating Industrial Ecosystems
Data is the new oil. For manufacturers, remaining competitive depends on their ability to digitalize their business models.
Harnessing Exaptation and Ecosystem Strategy for Accelerated Innovation: Lessons from the VentilatorChallengeUK
The VentilatorChallengeUK consortium moved quickly to speed up the design, regulatory approval, and manufacture of more than 81,000 ventilators during the COVID-19 crisis.
How to Compete When Industries Digitize and Collide: An Ecosystem Development Framework
How should firms best understand, engage in, and build business ecosystems?
Linking Executive Compensation to Climate Performance
This article examines the different ways that climate-linked incentive pay is used at European and U.S. energy companies.
The Boon and Bane of Blockchain: Getting the Governance Right
Countless enterprise blockchains fail to live up to high expectations, often because the supporting governance structures are insufficiently established or have become stagnant.
The Future of Global Supply Chains in a Post-COVID-19 World
Automation and digitalization are likely to play a key role in the transformation of global supply chains.
Global Value Chain Resilience: Understanding the Impact of Managerial Governance Adaptations
Automation and digitalization are likely to play a key role in the transformation of global supply chains.
Resilience Decoded: The Role of Firms, Global Value Chains, and the State in COVID-19 Medical Supplies
Lessons from case studies of four medical supply products—rubber gloves, face masks, ventilators, and vaccines.
Global Value Chain Reconfiguration and COVID-19: Investigating the Case for More Resilient Redistributed Models of Production
Firms can enhance resilience by pursuing GVC reconfiguration through the adoption of redistributed manufacturing (RDM) in local production.
Global Value Chain Governance in the MNE: A Dynamic Hierarchy Perspective
A dynamic hierarchy managerial response can eliminate global supply crises while maintaining the benefits of global efficiency.
Supplier-Selection Practices for Robust Global Supply Chain Networks: A Simulation of the Global Auto Industry
Regionalization can improve the robustness of supply chain networks.
No Team is an Island: How Leaders Shape Networked Ecosystems for Team Success
Today’s organizations rely on networks of dynamic systems of “agile” teams to get work done. The key is understanding the networked ecosystem in which teams are embedded.
Choose Your Enemies Well: Mapping, Managing, and Leveraging Rivalry
Deeply felt rivalries between competing organizations (such as Apple and IBM in the 1980s) can represent a prime opportunity for managers.
Incentivizing Environmental Improvements in Supply Chains through Data-Driven Governance
The Sustainable Apparel Coalition’s Facility Environmental Module (FEM) is one of the world’s most advanced 'data-driven governance' initiatives.
Tools and Technologies of Transparency in Sustainable Global Supply Chains
Transparency is vital in the creation of sustainable and resilient supply chains. Modern technologies can foster transparency and inform corporate governance.
Share and Share Alike: How Inner Source Can Help Create New Digital Platforms
The growing trend of “Inner Source” (adopting internal open-source/crowdsourcing practices within large organizations) can help companies become more platform-based.
SMEs’ Open Innovation: Applying a Barrier Approach
Unlike large firms, small and medium-sized enterprises (SMEs) encounter more internal (versus external) barriers to open innovation.
The New Normal
With many staff moving to a strictly work-from-home or hybrid model, managers need to maintain quality, engagement, and collaboration under new conditions.
How Has Managerial Behavior Changed with the Shift to Virtual Working?
Virtual working became the norm for most organizations in March 2020. How has managerial behavior changed as a result?
Agility as the Discovery of Slowness
How can companies avoid the agility acceleration trap and align their level of agility with environmental complexity to include reflection and slowness?
Four Ways to Improve Risk Reporting
Companies have improved their risk reporting by strengthening the vertical and horizontal communication of risks, reporting near misses, and communicating risk digitally through apps.
Preparing Organizations for Greater Turbulence
Vigilant organizations excel at seeing threats and opportunities sooner than their rivals.
Causal Mapping for Strategy Execution
Organizations can attempt to improve strategy implementation by developing strategy execution maps.
Partnering with Startups Globally
Partnering with startups is an important way by which large multinational corporations (MNCs) pursue open innovation.
Perfectly Confident Leadership
Overconfident leaders put themselves, their teams, and their organizations at risk.
Acquisitions of Startups by Incumbents
What does a successful startup acquisition entail?
Innovation Outposts in Entrepreneurial Ecosystems
Many multinationals find it necessary to connect themselves to the vitality of ecosystems like Silicon Valley.
Even a Small Conductor Can Lead a Large Orchestra
Startups combine the speed and innovativeness of a small company with the power and resources of multiple larger firms.
Whether they're aware of it or not, managers influence the people they work with every day through posture, facial expressions, and other cues.
Perceptions of Digital Readiness
Digital transformation is now an essential requirement in the financial sector. It is important to align the perceptions of both managers and employees to ensure a successful transition.
Tackling Societal Challenges with Open Innovation
The ultimate objective of innovation should be to create value - and in this era, the process of innovation should be oriented toward addressing societal-level problems.
Open Innovation for Wicked Problems
Open innovation is a viable strategy to solve wicked problems, but their complexity makes management significantly more difficult.
How Corporations Can Overcome Business Unit Rivalry
In the banking industry, collaboration with startups can rapidly accelerate digital transformation - but internal rivalry can become a barrier to implementation.
Influencer marketing represents a $10 billion industry in 2020 and is becoming of increasing relevance for many firms. To succeed, they'll need to find the right influencers for the right markets.
Decision making requires managers to constantly estimate the probability of uncertain outcomes and update those estimates in light of new information.
Changing the Work of Innovation
The Work System Approach can help leaders foster innovation for long-term organic growth.
When Agile Harms Learning and Innovation
Agile approaches inherited from software development can promote flexibility, with certain drawbacks.
New Product Development in an Omnichannel World
Firms need to adapt their new product development capabilities rapidly to keep pace with evolving consumer patterns.
Blurring the Lines between Physical and Digital Spaces
Alternative physical retail spaces can be designed to meet new omnichannel demands.
Managing Digital Transformation
The proliferation of new digital technologies is extending the horizon of firm activity. Digital transformation is a force that will revolutionize most industries.
Digitalization in Manufacturing Firms
Many manufacturing firms have seen digitalization as a means of increasing efficiency. But too few consider growth.
Implementing a Digital Strategy
Most attempts at digital transformation fail because of poor strategy execution.
Mastering the Digital Transformation of Sales
Most attempts at digital transformation fail because of poor strategy execution.
Digital Transformation and Organizational Design
Organizational systems should be optimized for effective collaboration on digital transformation projects.
Cultivating a mindset that favors collaboration and agility can help employees who feel threatened or displaced by emerging technology.
Digital Artifacts and VR Technology
Developments in the VR space provide new opportunities for industrial co-creators collaborating on sophisticated projects with distributed stakeholders.
The same features that can make a strong leader - like confidence, charisma, and the willingness to take on risk - are also traits that strongly correlate with the DSM-5 definition of narcissism.
Friedman at 50
Fifty years ago Milton Friedman famously argued that the social responsibility of business is to increase its profits. As public institutions falter, business is now offering to step into the void.
The Risk of Derisking Innovation
How can firms promote innovation under highly ambiguous conditions? Over recent decades, the majority of breakthroughs have come from a large group of small companies - as opposed to a small group of large companies.
Startup Supplier Programs
Outside-in programs allow larger firms to harness the entrepreneurial vitality of smaller startups.
Data-Driven Innovation - Ubisoft's Ghost Recon Wildlands Unit
To stay ahead of the competition, firms must continuously learn from their customers and swiftly adopt those lessons to improve their products. A unit at Ubisoft has developed a three-pronged innovation approach.
Design-Thinking Inspired Crowdsourcing
Some models of design thinking used in modern organizations fall short because they're too detached from users. Crowdsourcing could be a useful solution.
Designing the Future
This introduction to the special issue on design thinking explores the idea of DT and whether DT makes a difference in terms of enhancing or augmenting the result of technology and innovation.
Regaining R&D Leadership
This article examines how Siemen's molecular imaging group incorporated design thinking principles into R&D to regain market leadership.
Design thinking has emerged as an important way for designers to draw on rich customer insights to enhance their products and services. However, design thinking is now also beginning to influence how corporate managers bring customer data into their day-to-day strategic planning.
Design Thinking's Social Technology at Work
Design thinking can be a critical facilitator of new technologies, but it is also a technology in its own right - a social technology that encourages more productive innovation conversations that are valuable for dynamic capabilities.
The Social Psychology of Design Thinking
Design is all around us. There are four principles common to many design thinking approaches. To better understand the process of good design, it is important to understand how each of the four relates to human psychology.
Integrating Design into Organizations - The Coevolution of Design Capabilities
Organizational leaders are increasingly turning to design approaches as a panacea for uncertainty and disruption. However, frictions between design, engineering, and management make integration difficult.
Implementing Design Thinking
The advent of design thinking as a tool for innovation has led to its adoption in many organizations, but little is known about the organizational conditions required for design thinking to achieve long-term impact.
Understanding Design Thinking
Design Thinking is a major area of emerging research, examining the process of good design. It is based around related sets of human-centered principles - observing and noticing, framing and reframing, imagining and designing, and making and experimenting.
Why Giants Stumble
Why do large, successful public companies and their CEOs suddenly weaken? This article focuses on 45 large American and European companies who suffered from unexpected managerial mistakes.
Dynamic Capabilities and Organizational Agility
Agility is a fundamental organizational ability, and is related to dynamic capabilities. To foster agility, it is first essential to understand deep uncertainty, which is different from risk, which can be managed using traditional tools and approaches.
Uber's Expansion in Africa
The popular ride-sharing company has made a successful entrance into Africa by creating opportunities for drivers and passengers in emerging markets, while catering to their specific needs.
How Social Entrepreneurs Zig-Zag Their Way to Impact at Scale
As social entrepreneurs and their funders move from the early stages to operating at scale, many follow a "zig-zag" pattern by alternately focusing on social impact and growth.
Managing Knowledge Sharing in Collaborative Projects
Many of today's problems are too complex for any single organization to solve alone. When collaborating with competitors, how can companies share knowledge without providing an unfair advantage?
Solving Complex Problems with Open Innovation
Firms deciding between an open and closed innovation approach should consider project expertise and complexity. Levels of complexity and project expertise vary across the four types of open innovation models - crowdsourcing, coopetition, science-based, and network.
Michael Haenlein and Andreas Kaplan - How AI Will Change Business
This introduction to the special issue on AI covers the history of the technology and its recent developments linked to big data and machine learning, along with exploring certain regulatory implications.
The Feeling Economy
As artificial intelligence becomes more advanced, traditional analytical and thinking tasks will be automated - leading to the rise of a "feeling economy" where empathetic interpersonal skills are more valuable.
What is Swarm Intelligence?
Effective decision-making is more important than ever. But traditional methods often fall short. Is there a technology that could replace polls and surveys?
The Role of AI in Personalized Engagement Marketing
Customers today expect product recommendations and experiences tailored to their individual needs. How is artificial intelligence (AI) being used for personalization?
Artificial Intelligence in Marketing
Artificial intelligence (AI) has proven to be useful optimizing marketing strategy. However, though many firms want to take advantage of AI to improve marketing, they lack a process to follow.
Gen Z in the Workplace
Gen Z (1997-2013) are just now entering the labor market. It's essential for managers to understand the unique characteristics and needs of young talent.
Affirmative Action's Long-Lasting Effects
Affirmative action effectively reduces the employment gap for black workers. New research also demonstrates that many firms have continued to make diverse hires well after federal AA contracts have ended.
Fretting about Modest Risks is a Mistake
Managers often engage in risk-averse behavior, and economists, decision analysts, and managers treat risk aversion as a preference. In many cases, acting in a risk-averse manner is a mistake.
The Three Stages of Disruptive Innovation
Facing imminent disruption, many large, established firms have embraced innovation as a way to develop new growth businesses. Firms need to master three distinct disciplines - ideation, incubation, and scaling.
The Prospects for Enlightened Corporate Leadership
Why is it so hard for businesses to behave responsibly, even when they intend to? James O’Toole explores the challenges faced by business pioneers who tried to do well by doing good.
Governing Multilateral Alliances
VThe governance of multilateral alliances is an increasingly important strategic option as But not all multilateral alliances present the same governance challenges - one important factor is co-specialization.
Vizio - Network Efficiency
Vizio leveraged an efficiency-based business model to become the dominant flat panel TV vendor in the United States.
E-Retail - The Last Mile Problem
Many customers now expect a consistent, convenient shopping experience across different channels and devices. But providing that experience can become a logistical challenge.
Artificial Intelligence and Healthcare
The future of health care may change dramatically as entrepreneurs offer solutions that change how we prevent, diagnose, and cure health conditions, using artificial intelligence (AI).
Responding to Digital Piracy
Digital piracy challenges firms by reducing revenues and shifting consumption habits. Recently, some firms like Spotify and Netflix have worked to find a new viable business model.
Real-Time Management - Thinking "Fast and Flow"
Disruptive technologies and changing business practices are moving many industries toward “real-time” enterprise. Perceptions surrounding the concept of time will dictate the best approach to implementing real-time throughout the firm.
VUCA - How to Succeed in a Chaotic World
Planning for the future is never easy. This is especially true in today’s world, where the unpredictable and unexpected have become the norm. VUCA is an acronym that stands for Volatility, Uncertainty, Complexity, and Ambiguity.
Dynamic Capabilities in an Uncertain World
Today's world creates new demands on companies that are often hard to anticipate. Dynamic capabilities can integrate, build, and reconfigure internal competences to address radical shifts and changing environments.
Sproutel makes interactive toys for children diagnosed with a chronic illness. The organization's product strategy is motivated by a core focus on its users.
Corporate Political Responsibility (CPR)
Of the Fortune 500 companies, 80% now issue sustainability reports, and interest in Corporate Social Responsibility (CSR) has been growing. But CSR is not enough. Today's companies must learn to operate transparently in the political arena.
What is the Circular Economy?
The circular economy is a new paradigm of industrial organization that could eliminate 100 million tons of waste globally in the next five years alone.
Nature as a Model - 3D Printing and the Circular Economy
3D printing has the potential to become the manufacturing infrastructure for a sustainable circular economy, because it closely resembles the process that nature uses to create all living things.
Open Innovation and Disruptive Technology
Computer networks have ushered in a new era of collaborative innovation. Decentralization allows breakthrough ideas to surface from all over the world. And the open innovation model can help companies build the future.
Don Moore - Traditional Interviews Don't Work
Traditional job interviews are notoriously poor predictors of actual work performance.
Nora Silver and Paul Jansen - The Importance of Cross-Sector Affiliations
Many current leaders have had meaningful cross-sector experience (public, private, nonprofit).
Juliana Schroeder - The Problem of Overclaiming
People often believe that they do more than their fair share of work.
Neuromarketing - Inside the Mind of the Consumer
Neuromarketing is a brain-based approach to help marketers directly measure customers’ underlying thoughts, feelings, and intentions. Neurologists have taken the latest understanding of basic human cognition and applied it to marketing.
Decision-Making in Organizations
New research has shown that the world’s best managers can overcome biases and reliably make effective decisions by following an approach called diligence-based strategy, a systematic focus on the firm's most essential operational abilities.
Overcoming Cognitive Biases in Business
Cognitive biases affect our decision-making every day. This video examines four major categories of bias, and how those errors of thinking have shaped the corporate response to the issue of climate change.
The 3D Printing Revolution
Additive manufacturing has been called "the third industrial revolution." The widespread adoption of 3D printing will dramatically change the business landscape over the coming decades.
Today, mass urban migration has challenged to meet the demands of a growing population. However, cities have also drawn innovation and technological development, transforming them into economic hubs.
Dynamic Capabilities - An Introduction
The Innovation Economy is defined by revolution. Just when you think you've got it all figured out... Everything will change in an instant. The best organizations are agile.
The Four Types of Crowdfunding
In the past, shipping a product or launching a company was only an option for those who had the money. But the internet has enabled creative new means of gathering capital.
This animated introduction to the special section on family firms defines a new concept called "Family-Driven Innovation" (FDI). FDI is an integrated perspective on the processes underlying innovation within family businesses.
Understanding Hybrid Organizations
This animated introduction to the special issue on hybrid organizations defines hybrids, places them in their historical context, and introduces the strategies hybrids undertake to scale and grow, the impacts for which they strive, and their reception by mainstream firms.
Global Clusters of Innovation - Lessons from Silicon Valley
Can innovation and entrepreneurship stimulate economic growth in diverse communities, or is it only effective in a few unique places like Silicon Valley?
Green Innovation Games
Since the 1990s, growing awareness of environmental issues has inspired an increased interest in corporate responsibility and sustainability. While it was once possible for firms to pursue regulatory compliance alone, today's businesses have to go farther.
Developing and Diffusing New Technologies
New technologies are being developed all the time, but not every invention is successful in the marketplace. Companies can conduct preliminary research to determine whether or not legitimacy can be effectively established for their products before they are even released.
The New Perspective on Organizational Wrongdoing
Wrongdoing in and by organizations offends public sensibilities, is costly to organizations, and is injurious to the individuals who perpetrate it and are victimized by it.
Building Appropriation Advantage
An introduction to the special issue on Intellectual Property Management.