ABSTRACT
This chapter describes how to implement a product/service innovation strategy. The internal contextual elements of strategy for mation, organizational structure, management function, culture, personnel characteristics, personnel systems, and organizational outcomes are covered. The external market strategy drives the internal organizational context, which has been demonstrated over and over again to have substantial impact on teams and how well they perform. The organizational structure most likely to support an innovation strategy is based on a flat hierarchy with loosely grouped individuals who form not for structural purposes but for innovation purposes. Culture is discerned by organizational members as they observe the behaviors of those who are successful in a particular environment. Individuals who work in innovative organizations must have a very high level of skill in a particular area. Employees have to be encouraged to use these communication systems not only to stay current, but more important, to project into the future those innovations that are most likely to succeed.
