Person:

Raffaelli, Ryan

I examine the processes and mechanisms whereby market demand for a "dying" technology re-emerges at a later date. In 1983, fourteen years after the introduction of the first quartz watch, mechanical watches, along with the Swiss Jura community of watchmakers who built them, were thought to be "dead" (Landes, 1983). Unexpectedly, however, by 2008 the Swiss mechanical watchmaking industry had re-emerged as the world’s leading exporter (in monetary value) of watches. Using qualitative and quantitative analysis, which I apply to a wealth of data, I show how changes in product, organizational, and community identities associated with a legacy technology can be reconstituted to reconfigure a field. My findings highlight that three mechanisms – identity claims, leadership, and framing (i.e., temporal, linguistic, value) – are core to explaining field re-emergence. Although new or discontinuous technologies tend to displace older ones, legacy technologies that are seemingly "dead" can re-emerge, thrive, and even co-exist with newer technologies. Building on these results, I draw out theoretical and empirical implications that focus on the interface between technological shifts and identity change at multiple levels.

Why do incumbent firms so frequently reject non-incremental innovations? One reason is due to the firm’s top management team’s (TMT) lack of frame flexibility, i.e., an inability to expand the organization’s categorical boundaries so as to encompass a wider range of emotionally resonate capabilities in the context of innovative change. For incumbent firms, we argue that the way the TMT cognitively thinks about, and emotionally frames, non-incremental innovation and organizational capabilities drives innovation adoption. We show that frame flexibility is both cognitive, through claimed beliefs and understandings, and emotional, through claimed appeals to feelings and aspirations. First, we reexamine an assumption that cognitive frames are static and suggest how they evolve to become flexible – via shifts in perceived categorical hierarchies and in the ability to reconcile incompatible organizational capabilities. Second, we theorize and attend to the role of emotional frames in innovation adoption. Thus, we advance a model that articulates how cognitive and emotional framing affects the likelihood of non-incremental innovation adoption and, over time, the breadth of the organization’s innovation practices. We delineate these processes, as well as the internal and external contingencies that influence them, and offer directions for future research.

How do leaders with divergent visions for their organization come together to create a novel strategy? This paper employs paradox as a lens to investigate how leader-dyads can integrate opposing strategies to produce a new, generative approach. Drawing on a qualitative historical case study of Switzerland’s largest watch company during the quartz crisis in Swiss watchmaking, we induce a process model from the activities of two leaders whose relationship embodied the tensions and strategic contradictions of preserving the past and modernizing for the future. The model specifies a set of individual, relational, and structural mechanisms by which leaders productively engage with a preservation-modernization paradox to facilitate novel strategy in the wake of a discontinuity. We interpret our findings in terms of the demands of navigating the management and outcomes of strategic paradoxes. While tracing the theoretical and practical implications of our model and our findings, we address leadership conundrums characteristic of organizations confronting paradox.

Framing is critical for leaders who must build support for strategic renewal. While research has concentrated on renewal that replaces one set of capabilities with another, we explore a distinctive challenge: how leaders persuade stakeholders to endorse the reprioritization of resources toward a capability set that must coexist with an existing one. Moreover, while research has focused on how leaders build employee support for renewal, we examine how to persuade those overseeing resource allocation. Our study analyzes Director Robert Mueller's 12-year effort at the FBI—after the 9/11 terrorist attacks—to build up counterterrorism capabilities while maintaining existing law enforcement capabilities. We offer a novel distinction between outcome frames and process frames and discuss how each frame, sequenced properly, is relevant to strategic renewal.