Project Management Implementation as Management Innovation

A Closer Look

Stella George, PhD, Janice Thomas, PhD

• Publisher: Project Management Institute
• Year: 2013
• Print ISBN:
  9781628250312
• eBook ISBN:
  9781628251432
• Topic: Business
• Subtopic: Management
• Index: Business

Project Management Implementation as Management Innovation: A Closer Look investigates the processes involved in implementing one particular type of management innovation—project management—and how these innovations must evolve and be modified in order to deliver value. The book was written by three internationally recognized project management researchers/practitioners. Their extensive experience in the classroom and in the field shows through in how they are able to present complex concepts and make them highly relevant to project managers of all levels. Project Management Implementation as Management Innovation: A Closer Look begins by exploring the book's key concepts, including "innovation events," "intervention," and "simple" and "complex" innovation journeys.

Chapter 1

Introduction

Society seems to have always had a concept of innovation, in terms of doing or using something new: ironically the idea of “something new” is very old. Humans seem to have an innate need to grow, improve and change the way we work.

Organizations increase their strategic capacity to deliver value by implementing management innovations, which can be defined by the following characteristics (Hamel, 2006; West & Farr, 1990):

• They make intentional changes.
• The change is to organizational structure, management practices and systems, knowledge used for decision-making, and managerial skills.
• They are new to the group or organization being innovated.
• Changes are implemented to improve an organization’s ability to function efficiently and effectively.

The literature on management innovation and organizational change highlights the complexity of the phenomenon of innovation. It suggests a whole range of perspectives and interpretations on innovation:

• Management innovation initiatives often do not deliver the expected benefits (Hinings & Greenwood, 1988).
• Whether the innovation has actually been adopted can be difficult to ascertain (Damanpour & Evan, 1984; Damanpour, 1987; Zbaracki, 1998).
• Innovations sometimes are rejected and sometimes they do not actually result in improvement (Abrahamson, 1991).
• The implemented innovations bear little resemblance to those described in management books and academic journals (Hill & Wilkinson, 1995).
• Innovations are sometimes implemented in name only for legitimacy or other non-performance based reasons; the benefits they might or might not yield are of little importance to the organization (DiMaggio & Powell, 1983; Feller, 1981; Zbaracki, 1998).
• Most innovations go through some sort of modification before, during, or after implementation (O’Mahoney, 2007; Rogers, 1995).

Several explicit calls for further research on the process and dynamics of implementation of management innovation have been made recently in organizational literature (Maman, 2009; Dewett, Whittier, & Williams, 2007; Freitas, 2007). However, in order to explore the dynamics of management innovation meaningfully, you need to identify a particular incidence of management innovation to explore in detail.

We assert that efforts to improve organizational project management capabilities are a recent and reasonably common example of management innovation. Many organizations in the recent past have struggled with improving project management through managerial innovation with varying success. To date, three studies have examined project management as a management innovation (Hobbs, Aubrey, & Thuillier, 2008; Martinsuo, Hensman, Arto, & Kujalo, 2006; Thomas & Mullaly, 2008). By examining the implementation of management innovations with similar intent (i.e., specifically to improve project management practice), we address recent calls for more research that examines the dynamics of managerial innovation (Gray, Stensaker, & Jansen, 2010; Langley, Smallman, Tsoukas, & Van de Ven, 2010), and calls for research that generates insight into the practice of project management situated in organizational settings (Blomquist, Hallgren, Nilsson, & Soderholm, 2010).

This study investigates the processes involved in implementing one particular type of management innovation—project management—and how these innovations must evolve and be modified in order to deliver value. We examine lessons learned from the project management implementation journeys undertaken by 48 organizations from around the world. By analyzing and mapping more than 100 project management interventions across a period of up to 30 years, we acquired substantial evidence of what is actually done in practice. For each organization, we identified types of innovation events. Each intervention made by an organization is an innovation event. The series of interventions formed an innovation journey that reflected the dynamics of their managerial innovation, project management. Where needs arose (e.g., from external and internal shake-ups), organizations were capable of radical change; however, all of the organizations we studied ultimately tended toward continuous conservative change.

By examining project management as an example of management innovation, we conducted an empirical investigation of the implementation journeys of organizations seeking to improve this specific management practice. Management innovation literature asserts that innovation drives change within an organization. Drawing from the literature on change (Greenwood & Hinings, 1996; Street & Gallupe, 2009), four types of innovation events (Persistent, Tectonic, Turbulent, Punctuated) are defined by the pace (Continuous or Episodic) and scope (Convergent or Radical) of the change implemented. These events are linked into innovation journeys that together can become quite complex.

Mapping the innovation events, triggers, and benefits revealed in the 48 project management innovation journeys, we identified several classes of simple journey from the possible 16 movements between events defined by dimensions of pace and scope. These movements between events, or simple journeys, described specific components of the implementation processes predominant in our data. We found that some organizations engaged in multiple Continuous Convergent innovation events aimed at polishing and improving a particular project management approach. Other organizations engaged in Continuous improvement efforts that were simultaneously aimed at both Convergent and Radical innovation, seeking to integrate their project management practice across all organizational levels. Another class of organizational innovation journey began with a Convergent Episodic intervention aimed at fixing a problem with a project management approach that was otherwise working for the organization. Another common type of innovation journey was labeled “revolutionary,” because it began with impetus from outside the organization and an innovation event that radically repositioned and rethought the practice of project management within the organization. These four common simple innovation journeys depict specific ways organizations embrace project management to balance demands of efficiency and standardization aimed at improving the fit or effectiveness of project management practices, and the evolution of these practices through time.

For organizations that invest in project management over time, these simple journeys often combine into complex journeys. Analysis of 10 complex innovation journeys provided insight into how value is created and destroyed through the selection of innovation events that either support or detract from historical project management trajectories. Deeper understanding of the complexity of project management innovation as it relates to any specific organization depicted in this monograph provides practical insights for those contemplating such a journey. Such understanding also suggests direction for further theoretical and empirical exploration in this field of the dynamics underlying these implementation processes.

Aim of the Study and Rationale

Despite the call from scholars for greater research attention to the process of implementing management innovations (Birkinshaw & Mol, 2006), particularly the process and dynamics of change involved in implementing such innovations (Langley, Smallman, Tsoukas, & Van de Ven, 2010; Dewett, Whittier, & Williams, 2007; Freitas, 2007; Mamman, 2009), there is very little research to date on the reality of management innovations. There is clearly a gap in the organizational literature that deserves future attention with respect to the internal dynamics of implementing innovations, including how the degree and type of changes to particular innovations is impacted by the characteristics of the innovation, the implementing organization, and the external context within which the organization operates (Mamman, 2009). We attempted to address this gap with respect to the internal dynamics of implementing innovations in our investigation of the implementation stage of the innovation process, including the events and action taken to modify either the innovation or the organization, any pilot testing, and the evolution of the innovation to the point where it became a routine fixture of the organization (Damanpour, 1991).

In this study we are interested in the process of implementation of ideas (in particular ideas about the practice of project management) that are considered new to the organization under study. The process of implementation covers the decision around what shall be adopted and the process of adoption, adaptation, and sometimes rejection. It also includes the human dynamics of making an innovation a reality. Although we pay attention to invention and creativity, and their roles around these implementations, they are not our focus.

Our research monograph presents insights and propositions that are a source of “added value” to both the innovation debate and to questions of how project management can be effectively implemented in organizations. We do this by illustrating and interpreting the notion of internal dynamics of continual transition and transformation by means of identifying and analyzing the innovation journeys.

Relevance of Study

Ongoing critique of the writing on organizational innovations has focused on the literature’s continued presentation of these initiatives as monoliths in their conception, adoption, and application (O’Mahoney, 2007; Wolfe, 1994), assuming that an organizational innovation is implemented in totality in every instance. According to Buchanan and Badham (1999, p. 164), innovation processes resemble March and Olson’s notion of the “garbage can” model of reorganization, which relies on “highly contextual combinations of people, choices, opportunities, problems and solutions” (March & Olson, 1983, p. 286). Recent attention has been given to the role of leadership and the impact of the size of the innovating organization on what is actually implemented (Vaccaro, Jansen, Van Den Bosch, & Volberda, 2010). Recent research suggests that the diffusion of management innovations is influenced as much by the inherent nature of the innovation itself (and its ability to be adapted to new contexts), and the way these ideas infect particular classes of carriers in the environment, as by any beneficial impacts of the innovation (O’Mahoney, 2007). There remains little research on the reality of management innovation implementation (Birkenshaw & Mol, 2006), or the degree and type of effect that can impact the innovation depending on its characteristics, the implementing organization, and the external context within which the organization operates (Mamman, 2009).

At the same time, organizations the world over are investing heavily in project management, which is defined broadly to include program and portfolio management as well as execution-oriented project management. However, research and media reports continue to indicate that projects are not meeting the expectations of key stakeholder groups (see Standish group results, for example) and that most executives do not see project management as a strategic asset (Thomas, Delisle, Jugdev, & Buckle, 2002). Some observers may believe that this is evidence that project management is not effective. Others might argue that what the organizations have invested in and call “project management” is not the right project management methodology, or has been modified from its original concept beyond recognition. This leaves organizations to either adopt another variety of project management or turn to some other management fad that comes along, in hopes of finding the silver bullet required for successful projects. Like many management innovations (Total Quality Management, Business Process Re-engineering), project management risks being labeled a “management fad” (Abrahamson, 1991) unless we can identify the processes through which project management is successfully implemented in order to deliver organizational capabilities valued by organizations.

Research Question

In applying a “management innovation” lens to the study of implementing project management, what can we learn about project management implementation and management innovation?

Research Objectives

The objectives of this study are to:

1. Conduct a meaningful analysis and interpretation of the journeys of 48 organizations that are implementing project management innovation.
2. Capture the dynamics of the management innovation journey—its triggers, processes, and outcomes, and their interactions over time and across organizations.
3. Extrapolate from the study of project management implementation efforts to contribute to our understanding of the process and nature of management innovation, and to our knowledge of project management implementation.
4. Identify practical implications for participating organizational members at all levels who are engaging in such an innovation journey. Provide guidance for organizations and project managers on how to effectively implement strategic project management change initiatives by paying attention to issues such as power, learning, sustainability, flexibility, creativity, uncertainty, stabilization, socialization, and identity.

Empirical Evidence

Data for this study was drawn from two sources. The first is a case study database containing information on the project management implementation efforts of 48 organizations. This data set was collected by a large team of researchers working on the Researching the Value of Project Management project (Value project—see Thomas & Mullaly, 2008) between 2006 and 2008. This data set contains: interview data with multiple levels within each organization, narrative descriptions provided by researchers, survey responses, document reviews, photographic and analytical results from the Value project on each case. The second source was a set of interviews conducted in 2011 to update three of these original case studies, and to augment our understanding of the sociopolitical and behavioral components that provide a context for them.

Methods

Our study was designed as a qualitative, comparative case analysis (Eisenhardt, 1989; Eisenhardt & Graebner, 2007) supporting a quasi-experimental design (Grant & Wall, 2009), where individual cases can be seen as naturally occurring series of events that, through rigorous coding and analysis, can yield insights into the innovation journeys of the organizations. We start with the identification of 123 innovation events in the journeys of 48 organizations, and then select 10 complex journeys for further analysis. Each step of these analyses is discussed in detail in Chapter 4.

Monograph Structure

This monograph is comprised of nine chapters, as follows.

Chapter 1: Introduction

This first chapter provides the rationale for this research, an overview of how and why it was conducted, and the structure of the rest of the document.

Chapter 2: Making Sense of Management Innovation and Project Management Implementation

Two literatures provide the basis for this research. We draw from the innovation literature to both position project management implementations as a managerial innovation, and to examine the complex processes of adopting and implementing such innovations. We draw from organizational change literature to operationalize events, journey segments and innovation journeys. This chapter unfolds in two parts. The first part of the chapter explores foundational innovation literature. The second part makes the case for thinking of the implementation of project management as a specific example of management innovation. This chapter sets the conceptual foundation from which we explore innovation and project management implementation.

Chapter 3: Toward an Operational Framework for the Study of Project Management as Management Innovation

This chapter borrows from organizational change literature to operationalize the concept of an innovation journey in order to address the two serious challenges in studying management innovation raised in Chapter 2 (operationalization of the concepts of innovation is difficult, and most studies focus on the decision to innovate, or the process of invention, rather than the process of implementing new ideas in practice). Drawing from this literature allows us to identify and classify different types of innovation events and examine the dynamics of how, why, when, and in what ways innovation is implemented over time. This chapter introduces the concepts of “innovation event,” “intervention,” “simple,” and “complex” innovation journeys.

Chapter 4: Empirical Evidence and Methods

The data used in this study and the sample selection decisions in this chapter. At first, all 65 cases from the Value project dataset were evaluated to see if they had enough data on the project management implementation to provide useful insight. Forty-eight cases were selected for analysis. The methods section describes each step in our process of analysis, from data preparation to cross-case analysis. Each case was carefully examined and innovation events identified and plotted on a timeline. Further analysis of these 48 innovation journeys allowed us to select 10 more for further study. Three cases were updated through interviews.

Chapter 5: Exploring 48 Innovation Journeys

This chapter provides the initial analysis of the 48 implementation journeys. We explore project management innovation in practice, and the changes in project management implementations across time. Attention is paid to the role of project management associations and standardized knowledge on innovation and attitudes toward uncertainty. We conc...

Table of contents

• Cover Page
• Title Page
• Copyright Page
• Contents
• Acknowledgments
• Chapter 1 – Introduction
• Chapter 2 – Making Sense of Management Innovation and Project Management Implementation
• Chapter 3 – Toward an Operational Framework for the Study of Project Management as Management Innovation
• Chapter 4 – Empirical Evidence and Methods
• Chapter 5 – Exploring 48 Innovation Journeys
• Chapter 6 – Ten Complex Innovation Journeys
• Chapter 7 – Cross-case Analysis of Complex Journeys
• Chapter 8 – Conceptual Discussion
• Chapter 9 – Conclusions and Possibilities
• Appendix – Case Descriptions for Selected Data Set (Adapted from Thomas and Mully, PMI 2008)
• References