Which of the following actions can extinguish risk taking and innovation?
A) long tenure in management
B) encouraging experimentation
C) rewarding for the absence of failures rather than for the presence of successes
D) using organic organizational structures
E) using an organizational structure that scores low on vertical differentiation, formalization, and centralization

Question

Quizplus · Accepted Answer

Innovative organizations encourage experimentation. Organic structures positively influence innovation because they're lower in vertical differentiation, formalization, and centralization. The long tenure in management is associated with innovation. Innovative organizations reward both successes and failures. They celebrate mistakes. Unfortunately, in too many organizations, people are rewarded for the absence of failures rather than for the presence of successes. Such cultures extinguish risk taking and innovation.

Which of the Following Actions Can Extinguish Risk Taking and Innovation