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How to Appraise Your Organization's Capabilities and Disabilities

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Questions

Question 1

According to Chapter 8, what are the three classes of factors that affect what an organization can and cannot do?

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Question 2

In the RPV framework, what are 'processes' defined as?

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Question 3

What does the chapter identify as a key characteristic of an organization's 'values'?

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Question 4

According to the RPV framework, why did leading firms in the disk drive industry consistently succeed with sustaining technologies?

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Question 5

What was the success rate of established firms in developing and adopting the 111 sustaining technology innovations identified in the disk drive industry's history?

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Question 6

What was the 'batting average' for the leading disk drive companies when it came to the five major disruptive innovations?

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Question 7

How does the location of an organization's capabilities typically migrate as it matures?

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Question 8

In the case study of Digital Equipment Corporation (DEC), why were its established processes a disability for succeeding in the personal computer business?

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Question 9

What was the minimum gross margin that Digital Equipment Corporation's (DEC) values dictated for a product to be considered worthwhile?

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Question 10

Which of the following is NOT one of the three options presented in the chapter for managers to create new organizational capabilities?

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Question 11

When acquiring a company, what does the RPV model suggest a manager should do if the acquired company's primary value lies in its processes and values?

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Question 12

What company's acquisition strategy is cited as a successful example of buying companies primarily for their resources and plugging them into the parent's well-defined processes?

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Question 13

What type of team does the chapter suggest is necessary for creating new capabilities and processes internally within an established organization?

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Question 14

What is the primary reason given for why creating capabilities through a 'spin-out organization' is often necessary for disruptive innovations?

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Question 15

According to the framework in Figure 8.1, what organizational structure is appropriate for an innovation that has a poor fit with the company's values but a good fit with its existing processes?

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Question 16

In Figure 8.1's framework, what does Region C represent?

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Question 17

How does the chapter explain the idea that innovation is a 'theory of relativity'?

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Question 18

What does the chapter claim is the single most important requirement for a spin-out organization to succeed?

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Question 19

In the summary, what does the author state is the most crucial step in solving the problems of innovation?

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Question 20

Why are processes, which define a capability in one context, often difficult to change?

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Question 21

In the case of the DaimlerChrysler merger, what did the RPV model suggest was the primary source of Chrysler's value in the 1990s?

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Question 22

What type of organizational team, according to Figure 8.1, is best suited for an innovation in Region B (strong fit with values, customary processes)?

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Question 23

Which factor is most easily transferable across organizational boundaries?

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Question 24

What happened to IBM's acquisition of Rolm, and why?

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Question 25

Why do the values of successful firms tend to evolve in a predictable fashion?

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Question 26

In the context of the RPV framework, why do large companies often 'surrender emerging growth markets'?

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Question 27

According to the author, when does an organization's change become 'extraordinarily difficult'?

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Question 28

What does Region D in the Figure 8.1 framework typify?

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Question 29

Which company's project to develop its Internet browser is cited as an example of a Region A innovation?

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Question 30

What is the very first question managers confronting change must ask, according to the chapter's summary?

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Question 31

According to the chapter, why is it dangerous to assume that an organization can succeed at a task just because you've found the right people for it?

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Question 32

In the case of Cisco's acquisitions, why did it make sense to integrate the acquired companies?

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Question 33

What is described as one of the 'most serious disabilities' in coping with change that resides in typically inflexible background processes?

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Question 34

Which company's decision to split itself in two is described as being rooted in its recognition of the problem of differing values and processes?

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Question 35

What is the primary characteristic of an organization's 'culture' as defined within the chapter?

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Question 36

Why do managers who face the need to change or innovate need to do more than just assign the right resources to the problem?

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Question 37

In the start-up stages of an organization, where does much of its capability reside?

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Question 38

What company is cited as an example of a 'flame out' because it was grounded in its resources (founding engineers) but failed to create processes to create a sequence of hot products?

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Question 39

The chapter argues that Digital Equipment Corporation (DEC) had the resources to succeed in personal computers. What did it lack?

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Question 40

What option for creating new capabilities has a 'spotty track record,' according to the chapter?

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Question 41

What example does the chapter use to illustrate how an innovation can be sustaining for one company (Dell) and powerfully disruptive for another (Compaq)?

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Question 42

The framework in Figure 8.1 uses two axes to map an innovation. What do these two axes represent?

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Question 43

The success of Toyota in the U.S. auto market in the 1970s and 1980s is attributed to its development of what kind of new capabilities?

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Question 44

What was General Motors's response to Toyota's process innovations, and why was it ineffective?

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Question 45

For a disruptive technology project housed in a spin-out organization, why does the chapter say it's difficult for the organization to be profitable at small scale?

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Question 46

What does the author suggest is a better strategy than full integration when an acquiring firm's primary rationale for an acquisition was the target's resources?

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Question 47

Which of these is NOT listed as a 'resource' in the RPV framework?

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Question 48

What does the chapter say about the role of the founder's methods in a maturing company?

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Question 49

When is it particularly dangerous for managers to assume an organization will be capable of succeeding at a task?

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Question 50

Why must an organization's values necessarily reflect its cost structure?

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