Synopses & Reviews
Business/Management
The Organization and Architecture of Innovation
Managing the Flow of Technology
Thomas J. Allen, Gunter W. Henn
“WOW! The collaboration between Allen and Henn is a unique synthesis of fundamental work on social networks, organizations, and innovation with fundamental ideas on physical space and architecture. The Organization and Architecture of Innovation is a deeply insightful book on how the social, organizational, and physical worlds interact to create the conditions for communication across boundaries. Unlike any other book that I know of, this book is rich with examples of putting research-based knowledge to work with demanding clients. This is a fabulous piece of work.”
— Michael Tushman, Paul R. Lawrence Class of 1942 Professor, Harvard Business School
“For 40 years, researchers have recognized that communication is critical to innovation, and that architecture determines such communication. This book finally integrates understanding of architecture, communication, and innovation. Clearly and engagingly written, it synthesizes scholarly research and practical application to illustrate how architecture can be a hidden source of innovative advantage. Engaging cases and illustrations make it accessible to almost any audience. For its substance, it should be within easy reach of anyone interested in innovation.”
— Andrew King, Associate Professor of Business Administration, Tuck School of Business, Dartmouth College
“…this carefully researched and well-written book closes a hitherto existing and crucial gap in management textbooks. It is therefore highly recommended reading for scholars and students in all management sciences as well as for management practitioners on every level.”
— Professor Hugo P. Tschirky, PhD, DBA, Swiss Federal Institute of Technology (ETH), Department of Management, Technology, and Economics; Member of the European Institute of Technology and Innovation Management
Building on his pioneering work on the management of technology and innovation in his first book, Managing the Flow of Technology, Thomas J. Allen of MIT has joined with award-winning German architect Gunter Henn of HENN Architekten to produce a book that explores the combined use of two management tools to make the innovation process most effective: organizational structure and physical space. The authors present research demonstrating how organizational structure and physical space each affect communication among people—in this case, engineers, scientists, and others in technical organizations—and they illustrate how organizations can transform both to increase the transfer of technical knowledge and maximize the “communication for inspiration” that is central to the innovation process. Allen and Henn illustrate their points with discussions of well-known buildings around the world such as Steelcase’s corporate design center, the Corning Glass Decker building, as well as several of Gunter Henn’s own projects, including the Skoda automotive factory in the Czech Republic and the Faculty for Mechanical Engineering at the Technical University of Munich. Allen and Henn then demonstrate the principles developed in their work by discussing in detail one example in which organizational structure and physical space were combined successfully to promote innovation with impressive results: HENN Architekten’s Project House for the BMW Group Research and Innovation Centre in Munich, cited by Business Week (April 24, 2006) in naming BMW one of the world’s most innovative companies.
Thomas J. Allen is the Howard W. Johnson Professor of Management at the Sloan School of Management and Professor of Engineering Systems in the Engineering School, of the Massachusetts Institute of Technology, Cambridge, MA, USA.
Gunter W. Henn is professor of architectural design at the Technical University in Dresden, Germany, and visiting professor at the Sloan School of Management and at the Department of Architecture, Massachusetts Institute of Technology, Cambridge,
MA, USA. He is also head of Henn Architekten, an architecture and consulting company in Munich and Berlin,Germany.
Review
those concerned with enhancing the innovation and product development process in high-tech businesses."
-- David Probert, Reader in Technology Management, Centre for Technology Management, Institute for Manufacturing, Cambridge University Engineering Department
Review
Debackere, Professor of Technology and Innovation Management, K.U.Leuven, Belgium
"This fascinating book explores the impact of organizational and spatial factors on communication and innovation. Rooted in Tom Allen's classic research with R&D engineers and scientists, it brings the subject right up to date in the context of the BMW Projekthaus, designed by the book's co-author Gunter Henn. This concise work is a 'must read' for all those concerned with enhancing the innovation and product development process in high-tech businesses."
-- David Probert, Reader in Technology Management, Centre for Technology Management, Institute for Manufacturing, Cambridge University Engineering Department
Review
"WOW! The collaboration between Allen and Henn is a unique synthesis of fundamental work on social networks, organizations, and innovation with fundamental ideas on physical space and architecture. Creating the Environment for Innovation is a deeply insightful book on how the social, organizational, and physical worlds interact to create the conditions for communication across boundaries. Unlike any other book that I know of, the book is rich with example of putting research-based knowledge to work with demanding clients. This is a fabulous piece of work."
-- Michael Tushman, Paul R. Lawrence Class of 1942 Professor, Harvard Business School
Review
main dimension of management: the spatial dimension as the indispensable counterpart of the structural dimension. The carefully researched and well-written book closes a hitherto existing and crucial gap in management textbooks. It is therefore a highly recommended reading for scholars and students in all management sciences as well as for management practitioners on every level.
-- Prof. Hugo P. Tschirky, PhD, DBA, Swiss Federal Institute of Technology (ETH), Department of Management, Technology, and Economics; Member of the European Institute of Technology and Innovation Management
Review
development by Professor Allen. Worldwide, thousands of scholars and managers have been thoroughly inspired by Allen's insights over the last three decades. The present work further translates those insights into highly relevant and, at the same time, practical lessons for implementation. By explicitly focusing on the symbiosis between organization and architecture, the authors successfully fill an important gap in the management of innovation and technology literature. This book is an evident must for every professional involved in innovation management."
-- Koenraad Debackere, Professor of Technology and Innovation Management, K.U.Leuven, Belgium
Review
nology and Innovation Management, K.U.Leuven, Belgium
Synopsis
As products become more complex, a wide variety of knowledge is essential in their creation. As a result, knowledge management has increased in importance in recent years. Managers have become increasingly adept at structuring their organizations to facilitate knowledge management, but they have largely overlooked the issue of space, including spatial configurations and arrangements. Organizational and physical space both matter. How a business is organized along these two dimensions will determine the degree to which they can capture the most elusive form of communication communication for inspiration and succeed in an environment where innovation is demanded.
For the past century, architecture has followed Louis Sullivanâs dictum that form follows function. Organizations have followed a similar path, assuming that human behavior will follow organizational structure. However, it is becoming increasingly apparent that softer issues of relationships among people and managing the probabilitiesof interaction are more important. They are also more difficult than structuring a building or an organization according to Sullivanâs dictum.
Management is only now beginning to realize that organization is less deterministic than has been assumed. Now they realize that they must manage probabilities of such behavior as communication in what is a stochastic, as opposed to a deterministic, organization. Architecture is beginning to respond.
In this book, Thomas Allen and Gunter Henn illustrate how companies can organize for innovative product development by discussing in detail two buildings in Munich where BMW designs its next generation of automobiles. The FIZ I was built as part of BMWâs effort to reduce dramatically the amount of time it took the company to design a new car. FIZ I featured a new spatial configuration designed to improve communication between product designers and process designers. However, it did little for communication between designers of similar subsystems on different models. FIZ II was designed and built to support awareness of everyone of where the car design stands at any given time. The space allows technical workers from various disciplines to encounter one another, to inspire one another, to share their emotional responses to the work, to be together, face-to-face, and to engage in creative dialogue about the next steps in designing a BMW car the time for which has been significantly reduced. Allen and Henn explore how companies can organize for innovative product development, and discusses the rate at which knowledge is changing or being developed and interdependence in innovative activities.
*Professor Allen of MIT is known worldwide for "the Allen curve" which is taught and cited in all management literature about innovation
*Gunter Henn is a renowned architect in Germany known for his innovative industrial building designs such as BMW projecthaus and the Skoda factory
*Shows in clear terms--based on actual research and implementation--how managers can organize the work, workers, and their physical space to maximize the potential for innovation
Serious thinking based on solid research into how organizational structure and physical space affect innovation in industry
Synopsis
Building on his pioneering work on the management of technology and innovation in his first book, Managing the Flow of Technology, Thomas J. Allen of MIT has joined with award-winning German architect Gunter Henn of HENN Architekten to produce a book that explores the combined use of two management tools to make the innovation process most effective: organizational structure and physical space. They present research demonstrating how organizational structure and physical space each affect communication among people—in this case, engineers, scientists, and others in technical organizations—and they illustrate how organizations can transform both to increase the transfer of technical knowledge and maximize the “communication for inspiration” that is central to the innovation process. Allen and Henn illustrate their points with discussions of well-known buildings around the world, including Audi’s corporate headquarters, Steelcase’s corporate design center, and the Corning Glass Becker building, as well as several of Gunter Henn’s own projects, including the Skoda automotive factory in the Czech Republic and the Faculty for Mechanical Engineering at the Technical University of Munich. Allen and Henn then demonstrate the principles developed in their work by discussing in detail one example in which organizational structure and physical space were combined successfully to promote innovation with impressive results: HENN Architekten’s Project House for the BMW Group Research and Innovation Centre in Munich, cited by Business Week (April 24, 2006) in naming BMW one of the world’s most innovative companies.
Professor Thomas Allen is the originator of the Allen curve. In the late 1970s, Tom Allen undertook a project to determine how the distance between engineers’ offices coincided with the level of regular technical communication between them. The results of that research, now known as the Allen Curve, revealed a distinct correlation between distance and frequency of communication (i.e. the more distance there is between people — 50 meters or more to be exact — the less they will communicate). This principle has been incorporated into forward-thinking commercial design ever since, in, for example, The Decker Engineering Building in New York, the Steelcase Corporate Development Center in Michigan, and BMW’s Research Center in Germany.
*Professor Allen of MIT is known worldwide for "the Allen curve" which is taught and cited in all management literature about innovation
*Gunter Henn is a renowned architect in Germany known for his innovative industrial building designs such as BMW projecthaus and the Skoda factory
*Shows in clear terms--based on actual research and implementation--how managers can organize the work, workers, and their physical space to maximize the potential for innovation
Synopsis
Serious thinking based on solid research into how organizational structure and physical space affect innovation in industry
About the Author
Thomas J. Allen is Howard W. Johnson Professor of Management at the Sloan School of Management, Massachusetts Institute of Technology. He focuses his work in Sloan’s program on Management of Technological Innovation and Entrepreneurship (MTIE). Specializing in organizational psychology and management, Tom Allen explores the relationship between organizational structure and behavior, the role of technological gatekeepers in technology transfer, and how a building’s layout influences communication. He is also an expert on international technology transfer, reward systems for technical professionals, and how organizational structure affects project performance. He has been engaged in long-term research on project management in several industries. Prof. Allen’s book Managing the Flow of Technology (MIT Press, 1984) is the pioneering work in how people in technical organizations communicate. His work is widely cited in both the academic and general literature. For example, Malcolm Gladwell (author of the bestselling The Tipping Point) discusses Prof. Allen’s work in some detail in a December 2000 article published in The New Yorker.Gunter Henn, a noted German architect, established his firm HENN Architekten in 1978. The firm is based in Munich and has an office in Berlin. Gunter Henn is a professor of architecture at the Technical University of Dresden and a visiting professor at the MIT Sloan School of Management. His innovative building designs include, among many others, the BMW Research and Innovation Centre in Munich, Volkswagen’s Automobile City in Wolfsburg, the celebrated Transparent Factory in Dresden, a novel auto assembly plant for Skoda in the Czech Republic, and the Faculty for Mechanical Engineering at the Technical University of Munich. He is the author, with D. Meyhöfer, of Architektur des Wissens / Architecture of Knowledge (Junius Verlag, 2003).
HENN Architekten, Germany
Table of Contents
Chapter 1
Organization and Architecture
Chapter 2
The Process of Innovation
Chapter 3
The Flow of Communication in Space
Chapter 4
Increasing Awareness
Chapter 5
Two Management Tools Employed Together