1. David Marion University of Toledo The Effect of Strategic Orientation on the Structure of an Organization and the Resulting Innovation Strategy Dissertation Phase: ready for pilot Committee: Dr. Jeen S. Lim (E-Business) Dr. Janet Hartley (BGSU, chair, Mgmt.) Dr. James Pope OM Dr. Thomas Sharkey (Intl. Business)

2. David Marion University of Toledo Innovation Innovation Management Strategy has not been clearly defined in the literature Innovation Management Strategy has not been clearly defined in the literature Innovation has been stated as a way an organization can grow its market share, revitalize an existing product and even create a competitive advantage Innovation has been stated as a way an organization can grow its market share, revitalize an existing product and even create a competitive advantage Innovation is typically studied in isolation to itself or in combination with one other construct Innovation is typically studied in isolation to itself or in combination with one other construct

3. David Marion University of Toledo Purpose for Study Define innovation more clearly Define innovation more clearly Portfolio method for measurement Portfolio method for measurement Further development of three measures Further development of three measures Add more to organizational structure in innovation research Add more to organizational structure in innovation research Attempt to display the advantages of different configurations Attempt to display the advantages of different configurations

4. David Marion University of Toledo Structure of Study This study will introduce the different functions of the organization that affect the outcomes of an innovation This study will introduce the different functions of the organization that affect the outcomes of an innovation The premise is that once the strategic orientation of the organization is decided, the functional orientations will align to create innovations that support the strategic mission The premise is that once the strategic orientation of the organization is decided, the functional orientations will align to create innovations that support the strategic mission

5. David Marion University of Toledo Overview of presentation Present the conceptual model Present the conceptual model Present the different aspects of the organization that contribute to product innovativeness Present the different aspects of the organization that contribute to product innovativeness Present the theoretical basis for the study Present the theoretical basis for the study Present the measures and hypotheses examples Present the measures and hypotheses examples Close with research methods and expected contributions Close with research methods and expected contributions

6. David Marion University of Toledo Conceptual Model Strategic Orientation Market Orientation Supply Management Orientation Manufacturing Orientation Innovation Management Innovation Management Strategy Product Portfolio Control Variables Firm Performance Strategic Alignment

7. David Marion University of Toledo Strategic Orientation and Market Orientation Miles and Snow (1978) Defender, Prospector, Analyzer, and Reactor; Venkatraman (1989) Aggressiveness, Analysis, Defensiveness, Futurity, Proactiveness, and Riskiness Miles and Snow (1978) Defender, Prospector, Analyzer, and Reactor; Venkatraman (1989) Aggressiveness, Analysis, Defensiveness, Futurity, Proactiveness, and Riskiness Narver and Slater (1990) competitor orientation, customer orientation and interfunctional coordination; Kohli and Jaworski (1990) Narver and Slater (1990) competitor orientation, customer orientation and interfunctional coordination; Kohli and Jaworski (1990)

8. David Marion University of Toledo Supply Management Orientation and Manufacturing Orientation Shin (et. al., 2000) introduced the orientation as a focus on long-term supplier development, has not been included in organizational structure. Shin (et. al., 2000) introduced the orientation as a focus on long-term supplier development, has not been included in organizational structure. Mavondo (1999) used the Defender orientation as a representation of manufacturing orientation Mavondo (1999) used the Defender orientation as a representation of manufacturing orientation Hausman (et. al., 2000) stated that it should be used as leverage for competitive strategy Hausman (et. al., 2000) stated that it should be used as leverage for competitive strategy Boyer (1998) introduced competitive priority constructs as representative of manufacturing strategy, they are cost, quality, delivery, and flexibility Boyer (1998) introduced competitive priority constructs as representative of manufacturing strategy, they are cost, quality, delivery, and flexibility

9. David Marion University of Toledo Innovation Management Strategy Griffin and Page (1996) present a study of six different innovation strategies in unison with Miles and Snow’s (1978) strategic orientations Griffin and Page (1996) present a study of six different innovation strategies in unison with Miles and Snow’s (1978) strategic orientations Ettlie and Subramaniam (2004) use eight case studies with four types of innovation strategies driven by market pull, technology push, competition, or any combination Ettlie and Subramaniam (2004) use eight case studies with four types of innovation strategies driven by market pull, technology push, competition, or any combination

10. David Marion University of Toledo Product Portfolio Portfolio management for product innovation has surfaced as one of the most important senior management functions (Cooper and Kleinschmidt, 1996; Cooper et al, 2001) Portfolio management for product innovation has surfaced as one of the most important senior management functions (Cooper and Kleinschmidt, 1996; Cooper et al, 2001) The studies concerning product portfolios have been mixed at best The studies concerning product portfolios have been mixed at best

11. David Marion University of Toledo Theoretical Foundation The antecedents and consequences of innovation such as strategy, structure, alignment and financial outcomes The antecedents and consequences of innovation such as strategy, structure, alignment and financial outcomes The foundation for this study will be based on three accepted theories, Contingency Theory, Core Competencies and Resource-Based View The foundation for this study will be based on three accepted theories, Contingency Theory, Core Competencies and Resource-Based View

12. David Marion University of Toledo Contingency Theory This theory is based on the match or coalignment of an organization that occurs with its environment on at least two levels. The first level, consisting of the structural features such as each subunit, should be suited to the specific environment in which it exists. This theory is based on the match or coalignment of an organization that occurs with its environment on at least two levels. The first level, consisting of the structural features such as each subunit, should be suited to the specific environment in which it exists. The second level, is the differentiation and mode of integration The second level, is the differentiation and mode of integration Each business unit will perform a distinct function, yet be integrated into the greater whole of the organization Each business unit will perform a distinct function, yet be integrated into the greater whole of the organization

13. David Marion University of Toledo Core Competencies Through developing routines and dealing with the changing contingencies, the organization will develop effective skill sets and become more proficient with different technologies. Through developing routines and dealing with the changing contingencies, the organization will develop effective skill sets and become more proficient with different technologies. Core competencies are defined as the collective learning in the organization, especially how to coordinate diverse production skills and integrate multiple streams of technologies Core competencies are defined as the collective learning in the organization, especially how to coordinate diverse production skills and integrate multiple streams of technologies

14. David Marion University of Toledo Resource-Based View Theory The RBV theory develops from two main assumptions, that there is heterogeneity of organizations, and that resources are immobile The RBV theory develops from two main assumptions, that there is heterogeneity of organizations, and that resources are immobile The individualism of an organization is determined by the choices made The individualism of an organization is determined by the choices made The resources immobility is represented by the organizations choices and access to resources The resources immobility is represented by the organizations choices and access to resources

15. David Marion University of Toledo Research Questions Research Question 1: Will the choice of a specific strategic orientation define a certain level of (a) market orientation, (b) supply management orientation, and (c) manufacturing orientation? Research Question 1: Will the choice of a specific strategic orientation define a certain level of (a) market orientation, (b) supply management orientation, and (c) manufacturing orientation? Research Question 2: Will the drivers of the innovation management strategy clearly define the organization’s degree of product innovativeness? Research Question 2: Will the drivers of the innovation management strategy clearly define the organization’s degree of product innovativeness? Research Question 3: What organizational structure combinations will perform the best? Research Question 3: What organizational structure combinations will perform the best?

16. David Marion University of Toledo Strategic Orientation and Market Orientation Measures Strategic orientation will use the measures from Sabherwal and Chan’s (2001) study concerning strategies in information systems Strategic orientation will use the measures from Sabherwal and Chan’s (2001) study concerning strategies in information systems Narver (et. al., 2004) introduces proactive and responsive market orientation in conjunction with new product development Narver (et. al., 2004) introduces proactive and responsive market orientation in conjunction with new product development Hypothesis 1a: Strategic orientation will have a positive effect on the level of market orientation. Hypothesis 1a: Strategic orientation will have a positive effect on the level of market orientation.

17. David Marion University of Toledo Supply Management Orientation and Manufacturing Orientation Shin (et. al., 2000) measures the management, buyer and supplier relationships Shin (et. al., 2000) measures the management, buyer and supplier relationships Hypothesis 1b: Strategic orientation will have a positive effect on the level of supply management orientation. Hypothesis 1b: Strategic orientation will have a positive effect on the level of supply management orientation. manufacturing orientation will use Boyer’s (1998, 1999, 2000) measures from competitive priorities manufacturing orientation will use Boyer’s (1998, 1999, 2000) measures from competitive priorities Hypothesis 1c: Strategic orientation will have a positive effect on the level of manufacturing orientation. Hypothesis 1c: Strategic orientation will have a positive effect on the level of manufacturing orientation.

18. David Marion University of Toledo Innovation Management Strategy and the Product Portfolio The innovation management strategy is expected to be directed by the drivers and past experience of the organization The innovation management strategy is expected to be directed by the drivers and past experience of the organization The measurement of the innovation management strategy will consist of the drivers that determine the innovation strategy and the management of other pertinent knowledge concerning innovations The measurement of the innovation management strategy will consist of the drivers that determine the innovation strategy and the management of other pertinent knowledge concerning innovations The product portfolio will be measured according to the amount of each of the five types of product innovation developed The product portfolio will be measured according to the amount of each of the five types of product innovation developed A respondent will be given 100 points to allocate between each type of product innovation A respondent will be given 100 points to allocate between each type of product innovation

19. David Marion University of Toledo Strategic Alignment Strategic alignment will be the indirect result of the different orientation’s alignment with the strategy of the organization Strategic alignment will be the indirect result of the different orientation’s alignment with the strategy of the organization Hypothesis 7a: Strategic alignment will have a positive affect on the innovation management. Hypothesis 7a: Strategic alignment will have a positive affect on the innovation management. Hypothesis 7b: Strategic alignment will have a positive affect on the firm performance. Hypothesis 7b: Strategic alignment will have a positive affect on the firm performance.

20. David Marion University of Toledo Control Variables Organizational size, gross sales, employees, age and industry Organizational size, gross sales, employees, age and industry Technology turbulence and market turbulence will be used from Narver (et. al. 2004) Technology turbulence and market turbulence will be used from Narver (et. al. 2004) Hypothesis 10: An organization that is affected by higher technological turbulence will be higher in market orientation and lower in manufacturing and supply management orientation. Hypothesis 10: An organization that is affected by higher technological turbulence will be higher in market orientation and lower in manufacturing and supply management orientation.

21. David Marion University of Toledo Research Method Manufacturing Orientation, Innovation Management Strategy and Strategic Alignment Manufacturing Orientation, Innovation Management Strategy and Strategic Alignment Respondents will be project/program managers responsible for all facets of NPD in various industries Respondents will be project/program managers responsible for all facets of NPD in various industries Pilot study will be conducted using local organizations Pilot study will be conducted using local organizations After clarification from the small sample, move to large sample survey; employ both mail and email After clarification from the small sample, move to large sample survey; employ both mail and email Final analysis will be conducted using both SPSS and LISREL Final analysis will be conducted using both SPSS and LISREL

22. David Marion University of Toledo Expected Contributions Insight into the strategy, structure and resulting innovations created within organizations. Insight into the strategy, structure and resulting innovations created within organizations. Development of an Innovation Management Strategy measure Development of an Innovation Management Strategy measure Adoption of a Manufacturing Orientation measure Adoption of a Manufacturing Orientation measure Development of a stronger Supply Management Orientation measure Development of a stronger Supply Management Orientation measure Better understanding of economic implications for an organization Better understanding of economic implications for an organization

23. David Marion University of Toledo Thank You! Dissertation Proposal Defense