The Managerial Logic and Innovation

The first factor that impacts a firm’s ability to recognize the potential of an innovation is the firm’s dominant managerial logic. Each manager brings to each management problem a set of biases, beliefs, and assumptions about the market that his or her firm serves, whom to hire, what technology to use to compete in the market, who the firm’s competitors are, and how to conduct business. The set of biases, assumptions, and beliefs is a manager’s managerial logic. It defines the frame within which a manager is likely to scan for information and approach problem solving. It is the mental model that a manager brings to any innovation circumstance. Depending on a firm’s strategies, systems, technology, organizational structure, culture, and how successful it has been, there usually emerges a dominant logic, a common way of viewing how best to do business as a manager in the firm.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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