Tools That Drive Innovation: The Role of Information Systems in Innovative Organizations

Technology As A Tool

Technology is an incredibly powerful force in the developed world. Compounding not only technology’s importance but also its impact, the rise of digital technology and its penetration into the market has been unrivaled in human history. In just a few short years personal computers moved from very expensive diversions for a limited number of technically-engaged hobbyists to a common household appliance. In just a few more years they moved from being stand-alone devices to networked devices that brought the world into living rooms and offices. Ultimately, such connectivity moved from full-sized computers to handheld devices in the form of smartphones.

Such devices are constantly changing and the highly competitive marketplace brings new features and new models to customers on a frequent basis. Technology is inherently innovative, particularly where competition among technology providers is concerned. Where misunderstanding often occurs is the idea that just by having technology in a process that process becomes innovative.

Technology is, and always has been, nothing more than a tool. Dosi (1988) explains that, “In very general terms, technological innovation involves the solution of problems-for example, on transformation of heat into movement, shaping materials in certain ways, producing compounds with certain properties-meeting at the same time some cost and marketability requirements” (p 1125). Notice that not only does technology solve problems, but it solves problems within the bounds of what is acceptable in the marketplace. The innovation is not the technology, rather the technology helps to find the answers as part of an innovative process.