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Book review: Innovation Management

July 20, 2:59 PMDallas Business Commentary ExaminerRobert Morris
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Innovation Management: Strategies, Implementation, and Profits
Allan Afuah
Oxford University Press (2002)

In this second edition, Afuah develops in much greater depth many of the same concepts introduced in the previous edition (1998) but changed some of the terminology and rearranged the sequence of material while separating strategy issues from those concerning implementation and adding an entirely new chapter, “The Internet: A Case in Technological Change” (Chapter 16). He also incorporates many of the readers’ reactions and suggestions generated by the earlier edition. However, he retains the same seven themes that “underpin the synthesis and intregrative framework” that can allow students of innovation “to get their minds around this increasingly important field – a framework that allows them to build on and make cause-and-effect predictions.” That is again his goal in this second edition and he achieves it fully.

Opinions are mixed as to whether or not it is possible to “manage” innovation. Perhaps some of the disagreements have to do with how manage is defined. Afuah seems to be among those (I among them) who believe that it is possible to establish and then manage an environment in which innovation can flourish, and it is also possible to manage the adoption, production, marketing, sales, and distribution of products that result from innovative thinking. In his introduction, Afuah poses a series of 17 questions and then answers them, devoting a separate chapter to each. Following Chapter 1, “Introduction and Overview,” he organizes his material as follows: Part I (Chapters 2-4): Fundamentals (e.g. models of innovation); Part II (Chapters 5-10): Strategizing (e.g. strategies for sustaining profits); Part III (Chapters 11 and 12): Implementation (e.g. of the decision to adopt); and Part IV (Chapters 13-17): Globalization (e.g. the role of national governments). Afluah thinks in terms of an entire enterprise, one whose strategy is based on several key factors that he examines in Part II.

Readers will also appreciate the two appendices, “Dominant Designs and Standards” and “Some Organizational Designs.” They and Afuah’s thoughtful responses to the 17 questions during which he develops the seven themes will provide a wealth of information and counsel but presumably he would be the first to agree that it would be a fool’s errand for any of his readers to attempt to implement all of his recommendations.
 

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