Organizational Ambidecterity in Organizations

Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.
Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.
Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.
Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.
Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.
Human Resources - Org Ambidexterity. This document talks about the organisational ambidexterity. The importance and implications for managers as well.

1. Indian Institute of Management Lucknow
Organisational
Ambidexterity
Human Relations
PGP39345 : ADRISH BHATTACHARYA
PGP39299 : GOVIND GOYAL
PGP39309 : MOHIT MAHALE
PGP39341: AASHNA SHAH
Submitted to : Prof. Nishant Uppal
Submitted By : Group 3
PGP39359 : GAURAV TANEJA
PGP3978 : RADHIKA PATHAK
PGP39409: DISHA MUNDHRA
PGP39338: VISHU GUPTA
INTRODUCTION LITERARY SURVEY HOW TO ACHEIVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION

2. INTRODUCTION LITERARY SURVEY HOW TO ACHEIVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
Organisational Ambidexterity refers to an organisation’s ability to balance and effectively
manage two seemingly contradictory activities: exploration and exploitation.
Exploration involves innovation, experimentation, and the pursuit of new knowledge, which
leads to the development of new products, services, or processes.
Exploitation, on the other hand, focuses on refining and optimizing existing competencies,
products, and processes to improve efficiency and maximize short-term gains.
Importance of Organisational Ambidexterity
Enhancing Innovation and Performance
(Tushman & O'Reilly, 1996; He & Wong, 2004)
Sustains Competitive Advantage
(Gibson & Birkinshaw, 2004; O'Reilly & Tushman, 2008).
Manages Organisational Tensions
(Smith & Tushman, 2005; Raisch & Birkinshaw, 2008).
Improves Agility and Adaptability
(Andriopoulos & Lewis, 2009; Jansen et al., 2006).
Ensures Long-Term Organisational Health
(March, 1991; Lubatkin et al., 2006)
HBR Study (Charles A. O’Reilly III & Michael L. Tushman )
Companies structure their breakthrough projects in four ways:
Seven : Existing functional designs
Nine : Cross-functional teams
Four : Unsupported teams
Fifteen : Ambidextrous organisations
Results were tracked along two dimensions : Success in
creating the desired innovations and the performance of
the existing business.
While none of the cross-functional or unsupported teams
and only a quarter of the functional designs produced real
innovations, more than 90% of the ambidextrous
organizations achieved their goals.
35 Attempts 15 Business Units 9 Industries

3. INTRODUCTION LITERARY SURVEY HOW TO ACHEIVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
Within unit Across units
Simultaneous Harmonic Partitional
Sequentially Cyclical Reciprocal
Organizational Ambidexterity and Performance
Outcomes: Ambidexterity has been linked to improved financial
performance, innovation, and long-term survival in dynamic
environments.
Moderating Factors: The
relationship between
ambidexterity &
performance is moderated
by factors such as
environmental uncertainty,
competitive intensity, and
technological turbulence
Challenges
Resource Allocation: Organizations
often struggle with allocating
resources effectively between
exploration and exploitation
Organizational Inertia: Established
organizations may face challenges in
breaking away from existing routines
and embracing new ways of working
required for ambidexterity
Typology of Organizational Ambidexterity
Time and Space Dimensions:
To explain how organizations balance explorative and exploitative
activities
Time dimension captures the extent to which ambidexterity is pursued
simultaneously or sequentially over time
Space dimension captures whether ambidexterity takes place within
independent or interdependent organizational units
Space
Time
Raisch, S., & Birkinshaw, J. (2008). Organizational ambidexterity: Antecedents,
outcomes, and moderators. Journal of Management, 34(3), 375-409
O'Reilly, C. A., & Tushman, M. L. (2013). Organizational ambidexterity: Past,
present, and future. Academy of Management Perspectives, 27(4), 324-338

4. INTRODUCTION LITERARY SURVEY HOW TO ACHEIVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
Raisch, S., & Birkinshaw, J. (2008). Organizational ambidexterity: Antecedents,
outcomes, and moderators. Journal of Management, 34(3), 375-409
O'Reilly, C. A., & Tushman, M. L. (2013). Organizational ambidexterity: Past,
present, and future. Academy of Management Perspectives, 27(4), 324-338
Case StudiesStructural Approaches
Leadership Role
Separate Units: Establish distinct units for exploration and exploitation, allowing for tailored processes
and cultures. Integration at the senior management level ensures resource sharing & strategic alignment
Cultural Integration: Promote a culture that values innovation and operational excellence, fostering
collaboration between different units. This can be achieved by cross-functional teams & shared goals
Ambidextrous Leadership: Leaders should possess the ability to switch between different leadership
styles (e.g., transformational and transactional) to effectively manage exploration and exploitation
Effective leaders must navigate the tensions between exploration and exploitation,
employing transformational leadership to encourage innovation while maintaining
transactional leadership for operational efficiency
Supportive Environment: Leaders should create an environment that encourages
experimentation and tolerates failure, which is crucial for fostering exploration
Ambidextrous Mindset: Leaders should develop a mindset that embraces the
paradox of exploration and exploitation, recognizing their interdependence and
complementarity.
Successfully integrated print and digital
operations by creating distinct but
interconnected units, leading to growth in
the digital space while maintaining print
profitability
During the Internet collapse in the early
2000s, other newspapers' profits plunged,
USA Today made $60 million
Developed autonomous innovation units
while ensuring alignment with existing
operations
This strategy led to successful product
launches, including daily disposables and
extended-wear lenses, driving revenue
growth from $300 million to over $1 billion
within a decade

5. INTRODUCTION LITERARY SURVEY HOW TO ACHIEVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
ExplorationExploitation
Exploitation
Exploration
Organisational
goals
Structural Separation
Leadership
Strategic alignment
Create Dedicated Units: Establish separate teams for exploration characterised by
innovation & new ideas and exploitation characterised by cost cutting & efficiency
Tailored Processes: Implement different processes and structures suited to the specific
goals of each unit
Unified Vision: Ensure that both innovation initiatives and core operational activities
guide the organization’s long-term goals
Performance Metrics: Develop metrics that assess the success of both exploratory and
exploitative activities in contributing to the organization’s strategic goals
Adaptive Leadership: Leaders must model flexibility and support both innovation and
efficiency
Role model: Empower behaviours needed to achieve both- openness to new ideas and
a focus on continuous improvement in existing processes- across the organisation
Exploitation Exploration

6. INTRODUCTION LITERARY SURVEY HOW TO ACHIEVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
Promoted contextual
ambidexterity by allowing
employees to spend 15%
of their time on
innovative projects
outside their core
responsibilities.
IBM created separate
units for new ventures
like cloud computing and
AI while optimizing
existing hardware
businesses.
Employed structural
ambidexterity by
acquiring health-focused
businesses while
optimizing core food
operations, & used
sequential ambidexterity
to shift focus as needed.
Used structural
ambidexterity by having
separate teams for
different products (e.g.,
Mac, iPhone) while
fostering cross-
functional collaboration.
Organizational Ambidexterity: IBM and
emerging business opportunities
Charles A. O’Reilly, J. Bruce Harreld, Michael L. Tushman

7. INTRODUCTION LITERARY SURVEY HOW TO ACHEIVE OA SUCESSFUL CASE STUDIES UNSUCESSFUL CASE STUDIES CONCLUSION
Strategic Importance of Ambidexterity
Essential for Long-Term Success: Balancing exploration and exploitation
is crucial for organizations to innovate while maintaining operational
excellence
Adaptation to Market Dynamics: Organizations that effectively integrate
ambidexterity can thrive amidst technological disruptions and competitive
pressures
Sustaining Ambidexterity
Resource Flexibility: Ensuring that resources, such as talent and capital,
can be dynamically allocated between exploration and exploitation
activities, allowing the organization to respond quickly to market changes
Integration into Core Operations: Ambidexterity should be embedded
into the organization’s core processes to remain agile and competitive
Challenges
Over Emphasis: Ericsson focused overtly on exploration at the cost current
profitability.
Led to redundancies across 30,000+ research staff. Laid off 60,000
3 - 30 - 200: Manuel Hensmans and colleagues studied 214 leading firms in
the UK over last 40 years to reveal less than 30 firms consistently remained
at their industry’s forefront.
Role of Leadership
Cultural Shift: Success in ambidexterity requires a culture that values
both innovation and operational excellence, encouraging collaboration
across units
Navigating Tensions: Leaders must manage the dual demands of
innovation and efficiency by adopting flexible leadership styles