Supplement to case IN1530 and IN1533

The case starts by describing the transformation of ING Netherlands from a traditional bank with functional hierarchies to an organization that embraces digitalization and 'Agile' principles. Then it illustrates how the bank is re-organized around self-managed teams without traditional managers. Finally, the narrative recounts how employees are empowered to make decisions.

The case starts by describing the transformation of ING Netherlands from a traditional bank with functional hierarchies to an organization that embraces digitalization and 'Agile' principles. Then it illustrates how the bank is re-organized around self-managed teams without traditional managers. Finally, the narrative recounts how employees are empowered to make decisions.

Supplement to case IN1530 and IN1533

Supplement to case IN1530 and IN1533

Supplement to case IN1530 and IN1533

Supplement to case IN1530 and IN1533

Supplement to case IN1530 and IN1533

For most of the 20th century, innovation happened largely through co-location — that is, within one country, sometimes at different locations, where employees shared the same context and culture. This can no longer remain the norm, as the knowledge and skills needed for innovation are dispersed across the globe. There is only limited understanding of the difference between these two approaches, and this contributes to reluctance to embrace the opportunities of global innovation. Planning and managing global projects requires that the means of communication, co-ordination, and collaboration be approached differently. Organizational stability is a prerequisite for global innovation projects. Teams that are new to global projects and trying to build the necessary competence should start with small, non-critical collaborations between two or three geographically dispersed sites. It is important that the product or service architecture in a global project be thoroughly defined before development commences. Global projects require at least a small degree of competency overlap between sites. Senior managers of global projects, far from easing into informal roles, must not only champion projects but keep them together. A lead site should be designated in order to avoid inefficiency and lack of leadership. Communication must be built into the project, and an overreliance on information and communication technology should be avoided. Finally, multicultural managers should be sought out and the burden of managing subcontractors should be limited.