PROCESS MANAGEMENT AND ORGANIZATIONAL ADAPTATION TOTECHNOLOGICAL CHANGE.

Abstract

This paper examines the role of process management techniques in organizational adaptation to changing technology. I propose that process management's focus on identifying, improving, and adhering to organizational processes is likely to channel innovation into incremental forms that increase efficiency and performance in periods of incremental technological change. However, these incremental forms of innovation may also reduce more exploratory innovative activity and increase inertia, impeding an organization's ability to respond appropriately to more radical technological change. I test these hypotheses with preliminary data from an experimental study. I find evidence that process management has the potential to slow organizational response to technological change, but find no evidence for efficiency benefits in stable environments. This paper provides a first step into the relatively unexplored topic of the effect of process management on organizational or technological adaptation, while also shedding light on the conflicting results of research on process management and performance.