Kodak case

Kodak case Project description requirement: reading the attached article and answer 3 questions related to it (attached). no source and essay typed required. the questions need to be answered separately, clearly and briefly. Assignment 3 The description of the Kodak case is included in your ProCopy packet. Your case analysis should answer these 3 questions: 1. What is Christensen’s theory of disruptive technologies? 2. How was this theory extended in this paper? 3. What did the authors find were the main reasons that Kodak did not respond appropriately to a changing, disruptive technology? Disruptive technology: How Kodak missed the digital photography revolution Henry C. Lucas Jr. * , Jie Mein Goh Decisions, Operations and Information Technologies, Robert H. Smith School of Business, University of Maryland, College Park, MD 20740, United States article info Article history: Available online 25 February 2009 Keywords: Innovation Information and communications technologies Disruptive technology Core rigidities Case study Qualitative research abstract The purpose of this paper is to analyze how a firm responds to a challenge from a transfor- mational technology that poses a threat to its historical business model. We extend Christensen’s theory of disruptive technologies to undertake this analysis. The paper makes two contributions: the first is to extend theory and the second is to learn from the example of Kodak’s response to digital photography. Our extensions to existing theory include con- siderations of organizational change, and the culture of the organization. Information tech- nology has the potential to transform industries through the creation of new digital products and services. Kodak’s middle managers, culture and rigid, bureaucratic structure hindered a fast response to new technology which dramatically changed the process of capturing and sharing images. Film is a physical, chemical product, and despite a succes- sion of new CEOs, Kodak’s middle managers were unable to make a transition to think digitally. Kodak has experienced a nearly 80% decline in its workforce, loss of market share, a tumbling stock price, and significant internal turmoil as a result of its failure to take advantage of this new technology. Ó 2009 Elsevier B.V. All rights reserved. 1. Introduction The purpose of this paper is to explore how firms respond to challenges from rare transformational technology that threatens a traditional, successful business model. We propose an extension of Christensen’s theory of disruptive technolo- gies and illustrate the extensions with a longitudinal case study of Kodak. Kodak is unique in that it developed and patented many of the components of digital photography, yet this new form of photography has had a serious, negative impact on the firm. The two main contributions of the paper are the extension to Christensen’s theory and the lessons from Kodak’s unsuc- cessful response to a major technological discontinuity. The digital camera combined with information and communications technologies (ICT), specifically the capabilities of the computer to store and display photographs, and the Internet to transmit them, transformed the major customer processes asso- ciated with photography . The consumer could take many photos at virtually no cost, and delete unwanted ones by pushing a button. Rather than waiting to develop a photo and then sending it by mail to another person, the customer uploads the pic- ture to a PC and sends it as an email attachment to multiple recipients. If the customer wants a hard copy, she can print a picture locally on an inexpensive color printer on a PC, send it to an Internet photo service, or go to a store that had a devel- oping kiosk. 0963-8687/$ - see front matter Ó 2009 Elsevier B.V. All rights reserved. doi:10.1016/j.jsis.2009.01.002 * Corresponding author. Tel.: +1 301 314 1968. E-mail addresses: [email protected] (H.C. Lucas Jr.), [email protected] (J.M. Goh). Journal of Strategic Information Systems 18 (2009) 46–55 Contents lists available at ScienceDirect Journal of Strategic Information Systems journal homepage: www.elsevier.com/locate/jsis 1.1. Past research: Christensen’s theory of disruptive technologies Christensen’s theory of disruptive technologies is one of the most popular for explaining the plight of the incumbent firm facing a significant new technology. He proposes a theory of response to disruptive technologies in two books about inno- vation ( Christensen, 1997; Christensen and Raynor, 2003 ). He argues that investing in disruptive technologies is not a ra- tional financial decision for senior managers to make because, for the most part, disruptive technologies are initially of interest to the least profitable customers in a market ( Christensen, 1997 ). The highest-performing companies have systems for eliminating ideas that customers do not ask for, making it difficult for them to invest resources in disruptive technologies. By the time lead customers request innovative products, it is too late to compete in the new market. The root cause of the failure to adapt to disruptive technologies is that the company practiced good management. The decision-making and re- source-allocation processes that make established companies successful cause them to reject disruptive technologies. Christensen and Overdorf (2000) present a framework for dealing with disruptive change that focuses on resources, pro- cesses and values. Resources include people, equipment, technologies, cash, product designs and relationships. Processes are the procedures and operational patterns of the firm, and values are the standards employees use to set priorities for making decisions. Managers design processes so that employees perform tasks in a consistent way every time; they are not meant to change. The most important processes when coping with a disruptive technology are those in the background such as how the company does market research and translate it into financial projections, and how the company negotiates plans and budgets. Employees exhibit their values every day as they decide which orders are more important, what customers have priority and whether an idea for a new product is attractive. The exercise of these values constitutes the culture of the orga- nization. Culture defines what the organization does, but it also defines what it cannot do, and in this respect can be a dis- ability when confronting a new innovation. 1.2. Extending Christensen’s theory When a firm is confronted with a discontinuous, highly disruptive technology, senior management has to bring about sig- nificant changes in the organization at all levels. Our first extension to Christensen is to emphasize the change process re- quired to adopt a disruptive technology. Senior management has to convince others of the need to move in a new direction. Specifically we are interested in how middle managers change themselves and also bring about change in the organization (see Rouleau, 2005; Balogun, 2006 ). Christensen argues that the firm is not ready to adapt a disruptive technology because it does not see a demand from its customers for the new innovation. He maintains that high-performing companies have systems in place that tend to kill ideas that customers are not asking for. We propose to extend this part of his theory to encompass the culture of the orga- nization, by which we mean the beliefs of employees, the way the firm organizes itself and the nature of the interactions among employees ( Schein, 1983 ). 1.3. A first extension: the struggle for change In confronting a technological disruption, a firm faces a struggle between employees who seek to use dynamic capabilities to bring about change, and employees for whom core capabilities have become core rigidities. Management propensities for change drive the process (see Fig. 1 ). We describe this ongoing struggle using concepts from dynamic capabilities, core rigid- ities and management propensities. Dynamic Capabilities Core Rigidities Management Propensities Response to Disruptive Technology Reduce capacity to change Increase capacity to change Attack Rigidities Organize and marshal capabilities for change Fig. 1. A framework for responding to disruptive change. H.C. Lucas, J.M. Goh/Journal of Strategic Information Systems 18 (2009) 46–55 47 24. Discussion 15 Assignment: ENGL 1113: English Composition I Essay 4: Writing to Convince / Research Argument Assignment: For this assignment, you are to select a topic that is either global or multicultural in nature, articulate a position on the topic, address and refute an opposing view, and argue your viewpoint using sound logic. Your topic should not only have an immediate impact on American society or culture but also other societies or cultures. Your viewpoint should be both arguable and defendable, and s hould be structured as a classical argument. Objectives: Use invention techniques such as brainstorming, listing, cubing, reporters’ questions, freewriting, and clustering. Consider an external audience to guide tone, vocabulary, and content. Draft or outline your initial draft. Employ a pattern of organization that is clear and easy for the reader to follow. Provide sufficient and relevant context so that your audience understands your topic. State a clear, debatable c laim/thesis. Support your claim by presenting credible evidence from a variety of sources. Identify and acknowledge the counterargument to your claim. Offer a conclusion that summarizes your evidence and restates your original claim in a new way. Utiliz e an appropriate balance of audience appeals from Aristotle’s Rhetorical Triangle to connect with the reader. (Logos – logic and facts, Ethos – ethics and credibility, Pathos - emotion). Avoid using fallacies that will weaken your argument and lessen your credibility with the audience. Write effective sentences using concise language, proper grammar and punctuation. When using outside sources, integrate your quotations effectively and correctly and cite all sources according to the specified format. Revis e and edit your essay to improve the original draft. Techniques: Argue objectively, use sound logic, and avoid fallacies. Incorporate all the components of a classical argument in a fluid and effective manner. Make nuanced and effective use of the rhetor ical triangle: ethos, logos, and pathos. Show how your topic has a real and important impact on various cultures or societies. Options: Option I: Write an argument that deals with issues of culture or ethnicity. Option II: Write an argument that addresses the United States’ relationship with other nations. Option III: Write an argument that deals with a global issue. Requirements: MLA Format 12 point font (Times New Roman or Arial) 6 - 8 pages of text, not incl uding the Works Cited page Works Cited page 5 - 7 sources, correctly quoted and cited Select sources that are current, relevant, and reliable Avoid “quick and easy” sources, such as Wikipedia , Dictionary.com , or other online encyclopedias or dictionaries Or ganization: Your paper should follow the classic argument pattern, or a variation of it, as specified by your textbook. A classic argument contains the following components: I. Introduction: In the introduction, you slowly lead your audience into the topic by introducing it and connecting it to them. II. Narration: The narration is where you give all necessary background and context so your audience can understand the topic. You might do any or all of the following: give historical background; define special ized terms; explain the extent of any problems presented within the topic; explain how the topic is controversial. III. Partition: The partition, in short, is your thesis, or claim. It should meet two criteria: it should be arguable, and it should be defendable. IV. Argument: If the partition is the claim, this is where you support that claim with topic sentences, or sub - claims, that bolster and prove the thesis. Remember to use outside sources to illustrate or support your ideas, and avoid fallacies at all costs. Solid argument, remember, is built upon solid reasoning. V. Refutation: Here, you first acknowledge opposing viewpoints, and then show why your viewpoint is preferable to all others. VI. Conclusion: As in previous essays, your conclusion should tie up all loose ends, reiterate the main idea, and then end on a thought - provoking note. Usually, an argument ends with a call to action. For this assignment, you will begin the writing process for Essay 4 by using a prewriting strategy. Specifically, you will explore potential topics for Essay 4 through one of the following: •    Clustering - making a map of ideas and showing how those ideas relate to one another •    Listing - compiling a list of ideas to see how many ideas you can generate •    Freewriting - writing nonstop for five minutes to see what ideas pour onto the page; when you freewrite, you do not worry about grammar or development since the primary goal is to generate ideas Select one of the above prewriting strategies and explore as many topics as possible for Essay 4. After you post your prewriting process, reply to two classmate postings. Your replies will be judged according to the established discussion criteria. Note: You can use the Paint program (or similar program) on your computer to make a "digital.' cluster that you can upload for this assignment (view "Prewriting Strategies: Parts I and II for an example of how to make a digital cluster). When you are finished making your cluster, save it as a JPEG image. PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY AND GET AN AMAZING DISCOUNT :)