Abstract

Why has implementing new processes into well-established organizations proved to be problematical? We present two case studies hosted between 2012 and 2013 by a large Australian retailer that address this question. The first study focused on devising cost extraction ideas; and the second investigated how facilitation could mitigate adverse impacts of new ideas. A gap was found between the capability to implement a new process and that required to achieve the promised benefits. Investigation of new process implementations found three prime contributors to this gap. Firstly, knowledge flow was inhibited by social network structural holes; secondly, reliance on tacit knowledge made identifying training needs difficult; and lastly, high utilisation of experts reduced their effectiveness. We devised a four-pronged approach to estimate this gap and provided guidelines to facilitate new processes. Outcomes from these studies will help organisations enhance their ability to maintain a competitive advantage in a changing marketplace.

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