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Architectural Or Modular Innovation? Managing Discontinuous Product Development In Response To Challenging Environmental Performance Targets

Author

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  • THOMAS MAGNUSSON

    (Linköping university, Department of Management and Economics, SE-581 83 Linköping, Sweden)

  • GÖRAN LINDSTRÖM

    (Linköping university, Department of Management and Economics, SE-581 83 Linköping, Sweden)

  • CHRISTIAN BERGGREN

    (Linköping university, Department of Management and Economics, SE-581 83 Linköping, Sweden)

Abstract

By adopting challenging targets on environmental performance, pro-active industrial firms may push themselves towards discontinuous product innovation. Such innovation can be understood as being either architectural, i.e. arranging components in new ways, or modular, i.e. introducing new technologies in specific components or subsystems. We argue that these two dimensions of discontinuous change call for some specific managerial responses. Architectural innovation challenges the whole engineering organisation, making it necessary to focus development efforts on technological interfaces, whereas modular innovation has a more isolated effect, making specialisation and co-ordination over organisational boundaries particularly important. Altogether, our analysis highlights the importance of adapting the project organisation to the development task and addressing part-whole relationships when managing innovation in established products and systems, something that becomes increasingly important in the strive towards sustainable development.

Suggested Citation

  • Thomas Magnusson & Göran Lindström & Christian Berggren, 2003. "Architectural Or Modular Innovation? Managing Discontinuous Product Development In Response To Challenging Environmental Performance Targets," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 7(01), pages 1-26.
    • Handle: RePEc:wsi:ijimxx:v:07:y:2003:i:01:n:s1363919603000714
    DOI: 10.1142/S1363919603000714
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    Cited by:

    1. Katia Picaud-Bello & Thomas Johnsen & Richard Calvi & Mihalis Giannakis, 2019. "Exploring early purchasing involvement in discontinuous innovation: A dynamic capability perspective," Post-Print hal-02380474, HAL.
    2. Habib, Tufail & Kristiansen, Jimmi Normann & Rana, Mohammad Bakhtiar & Ritala, Paavo, 2020. "Revisiting the role of modular innovation in technological radicalness and architectural change of products: The case of Tesla X and Roomba," Technovation, Elsevier, vol. 98(C).
    3. Dukangqi Li & Weitao Shen, 2022. "Regional Happiness and Corporate Green Innovation: A Financing Constraints Perspective," Sustainability, MDPI, vol. 14(4), pages 1-25, February.

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