Deck 10: Strategic Experimentation With IT

Question 1

The goal of a successful strategic experiment is to ultimately become an innovation from which the business derives value.

Answer 1

True

Question 2

Strategic visioning occurs within a larger organizational framework of innovation to support an organization's need to reinvent its products and services.

Answer 2

False

Question 3

Venture funds are typically used for initiatives that focus on opportunities that can scale.

Answer 3

True

Question 4

In most firms, strategic experimentation does not occur within a larger organizational framework of innovation.

Question 5

Radical change is primarily viewed as are, risky, and episodic.

Question 6

Business innovation infrequently involves experimentation.

Question 7

The governance of venture funds can be instrumental to the business in achieving strategic alignment.

Question 8

The role of IT is bifurcating into separate roles: commodity service and strategic visioning.

Question 9

Positive results from a strategic experiment should be viewed as an affirmation to rush an innovation to market but not as justification for further experimentation.

Question 10

Technological innovation can be devastating to the business unless it creates value perceived by customers.

Question 11

The first step in a strategic IT experiment should be to identify the critical questions that need to be answered then design these questions into the experiment.

Question 12

Linking strategic experimentation and innovation will lead to customer value.

Question 13

The business need to innovate is necessary for long-term organizational survival

Question 14

Strategic IT experiments should be manageable and targeted but, at the same time, built so they can scale up easily.

Question 15

Innovation comes about through strategic experimentation as opposed to organizational change.

Question 16

The goal of a strategic experiment is to learn, however, experiments should conclude if nothing useful was learned from the experiment.

Question 17

When organizations commit resources, build infrastructure, articulate procedures, and provide incentives all in an effort to instill a culture of innovation, this collection of activities is called a strategic experiment.

Question 18

Innovation comes about through market disruption as opposed to organizational change.

Question 19

Because IT experimentation deals with technology, it is very hard for IT to be misled by very new and untested technology.

Question 20

Strategic experiments are enabling conditions offered by IT to support innovation.

Question 21

________ occurs within a larger organizational framework of innovation to support an organization's need to reinvent its products and services.

A) Competitive differentiation.
B) Strategic IT experimentation
C) Competitive advantage
D) Strategic visioning

Question 22

Which of the following activities are considered an appropriate use for venture funds?

A) Make greater use of innovation resources.
B) Focus on new business models.
C) Explore new/disruptive technologies.
D) Focus on penetrating new markets.
E) All of the above

Question 23

________ are inherent risky in nature and often involve a multiyear bet within a poorly defined industry that has no clear formula for making a profit.

A) Strategic experiments
B) Strategic investments
C) Technology frameworks
D) Technology roadmaps
E) Innovative processes

Question 24

Disruptive innovation can be devastating to an organization and is also often referred to as:

A) the innovator's quandary.
B) the innovator's quagmire.
C) the innovator's dilemma.
D) None of the above

Question 25

________ is defined as frequent and relentless change within the organization.

A) Continuous change
B) Sustaining change
C) Punctuated equilibrium change
D) Disruptive change
E) Environmental change

Question 26

________ change is frequent, relentless, and often endemic to the organization.

A) Continuous
B) Sustaining
C) Punctuated equilibrium
D) Disruptive
E) Radical

Question 27

IT experimentation occurs when businesses experiment with new products and services that are predominantly:

A) experimental.
B) technology enabled.
C) technology independent.
D) competitively differentiated.
E) None of the above

Question 28

The type of innovation that targets non-customers and delivers a product or service that fundamentally differs from the current product portfolio is known as:

A) sustaining innovation.
B) technological innovation.
C) disruptive innovation.
D) industry innovation.
E) environmental innovation.

Question 29

When organizations commit resources, build infrastructure, articulate procedures, and provide incentives all in an effort to instill a culture of innovation, this collection of activities is called the ________.

A) Innovation process
B) Technology roadmap
C) Platform
D) Strategic experiment

Question 30

The ________ is part of the innovation process.

A) technology framework
B) technology roadmap
C) technology platform
D) strategic experiment

Question 31

To be successful, the disruptive innovation must meet two basic requirements:

A) create customer and business value.
B) create mechanisms to capture value and create business value.
C) create mechanisms to capture value and create customer value.
D) None of the above.

Question 32

Which of the following are ways business can avoid failure when transitioning an initiative from strategic experiment to business innovation?

A) Focus on achievable targets.
B) Be cautious with leading-edge technology.
C) Rush positive results as an innovation to market.
D) Both A and B
E) Both A and C

Question 33

Which of the following are the dominant forms of organizational change?

A) Radical and continuous change.
B) Disruptive and sustaining change.
C) Environmental and disruptive.
D) Continuous and punctuated equilibrium change.
E) All the above

Question 34

________ assumes that long periods of small, incremental change are interrupted by brief periods of discontinuous, radical change.

A) Continuous change
B) Sustaining change
C) Punctuated equilibrium change
D) Disruptive change
E) Environmental change

Question 35

________ leaves organizations in their comfort zone of established markets, known customers, and realizable business models.

A) Sustaining innovation.
B) Technological innovation.
C) Disruptive innovation.
D) Industry innovation.
E) Environmental innovation.

Question 36

The type of innovation that improves an existing product or enhances an existing service for an existing customer is known as:

A) sustaining innovation.
B) technological innovation.
C) disruptive innovation.
D) industry innovation.
E) environmental innovation.

Question 37

The role of IT is bifurcating into separate roles:

A) commodity service and competitive differentiation.
B) strategic visioning and competitive advantage.
C) commodity service and strategic visioning.
D) competitive differentiation and strategic visioning.
E) competitive advantage and competitive differentiation.

Question 38

________ invokes the notion of testing or trying something new.

A) Innovation
B) Change
C) Experimentation
D) Learning

Question 39

There are two types of business innovation:

A) technological and industry.
B) industry and sustaining.
C) technological and environmental.
D) sustaining and disruptive.

Question 40

________ are enabling conditions offered by IT to support innovation.

A) Innovation processes
B) Technology roadmaps
C) Platforms
D) Strategic experiments

Question 41

List and describe (4) stages of the innovation process often used by companies to market a new product or service.

Question 42

List and describe (2) strategies for governing and overseeing innovation centers.

Question 43

What is IT experimentation? Why would business experiment with IT?

Question 44

Is strategic experimentation completely understood in most organizations? Why or why not?

Question 45

What is strategic experimentation?

Question 46

How can strategic experimentation occur within the innovation process?

Question 47

What are (3) necessary conditions for strategic IT experimentation to be successful?

Question 48

List and describe (2) types of business innovation.

Question 49

List and describe (3) ways business can avoid failure when transitioning an initiative from
strategic experiment to business innovation.

Question 50

List and describe two forms of organizational change. How does organizational change create business innovation?