A case analysis of managing “Maverick” innovation units

Abstract

Companies in the high technology manufacturing and development sector have to continually innovate in order to survive and grow in increasingly turbulent and competitive markets. It is common practice for the parent company to spin off separate business units that can incubate and capitalise on the development of new technological innovations in order to grow and create new markets. This case study illustrates the issues that arise when a separate “maverick” business unit focusing on developing a new and disruptive innovation is spun off from the parent company. It underlines the problems that arise when ICT systems and operational processes are not strategically aligned and imposed by the parent company. It also demonstrates how innovative business units can harness their unique talents and apply them to solving operational problems. By developing a new bespoke system aligned with the maverick unit’s emergent processes, the maverick business unit was pulled back from the brink of disaster to a successful and profitable business unit.