Diffusion Of Innovation: Submitted To

Diffusion of Innovation

Submitted to: PROF. SANJUKTA S.

Submitted by: Rohit Khandelwal Roll No. 126 Batch-M2

Definition • Diffusion is the process by which an innovation is communicated through certain channels over time among the members of a social systems.

Four key elements 1. Innovation itself 2. Information about innovation communicated through channels 3. Diffusion is a process that unfolds over time 4. Diffusion occurs in specific social system

1. Innovation itself • “Idea, practice, or process perceived as new” – newness means higher uncertainty – high uncertainty shapes adoption process

• Not always “good” idea – “Bad” ideas can also be an innovation – “Good” ideas for one can be “bad” for another!

• Innovation’s perceived characteristics key

Innovation characteristics • Observability – The degree to which the results of an innovation are visible to potential adopters

• Relative Advantage – The degree to which the innovation is perceived to be superior to current practice

• Compatibility – The degree to which the innovation is perceived to be consistent with socio-cultural values, previous ideas, and/or perceived needs

• Trialability – The degree to which the innovation can be experienced on a limited basis

• Complexity – The degree to which an innovation is difficult to use

2. Info through channels • Mass media (often used) • Interpersonal (can be more effective than mass) • Similar others most effective at persuasion • Change agent/opinion leader can be dissimilar, leads to diffusion problems

3. Diffusion occurs over time • Five-step process for individuals – Prior conditions (need/norms/current practices) – 1. Knowledge – 2. Persuasion (think of as “Evaluation”) – 3. Decision (adopt or not adopt) – 4. Implementation (could “reinvent”) – 5. Confirmation (or could discontinue)

Stages of DIF

1. Knowledge2.Persuasion 3. Decision

Perceived Characteristics Of the innovation 3. Relative advantage 4. Compatibility 5. Complexity 6. Trialability

4. Implement5. Confirmation ation

1. Adoption 2. Rejection Rejection

Continued Adoption Later Adoption Discontinuance Continued

Knowledge In this stage the individual is first exposed to an innovation but lacks information about the innovation. It should be noted that during this stage of the process the individual has not been inspired to find more information about the innovation. Persuasion In this stage the individual is interested in the innovation and actively seeks information/detail about the innovation. Decision In this stage the individual takes the concept of the innovation and weighs the advantages/disadvantages of using the innovation and decides whether to adopt or reject the innovation.

Implementation In this stage the individual employs the innovation to a varying degree depending on the situation. During this stage the individual determines the usefulness of the innovation and may search for further information about it. Confirmation Although the name of this stage may be misleading, in this stage the individual finalizes their decision to continue using the innovation and may use the innovation to its fullest potential

Innovation Adopter Categories • 1. “Innovators” = venturesome – First to adopt, not usually influential

• 2. “Early adopters” = progressive – Key to observability, takeoff

• 3. “Early majority” = deliberate • 4. “Late majority” = skeptical • 5. “Laggards” = traditional – Can become innovators over time!

Adoption Life Cycle

4. Occurs in a social system • Norms, practices of culture affect process – Ignoring them could lead to failure – Understanding them key to success

• Key: Identify system’s opinion leaders • Opinion leaders can be change agents

Change Agents and Opinion Leaders • Roles of Change Agents – – – – – –

To To To To To To

develop a need for change establish an information –exchange relationship diagnose problems translate an intent to action stabilize adoption and prevent discontinuance achieve a terminal relationship

• Relationship with Opinion Leaders – Informally influence other’s attitudes about innovation; they have followers – Leverage OL resources – Demonstration

Factors Determining the Rate of Adoption of Innovations Perceived Characteristics of the 2. 3. 4. 5. 6.

innovation Relative advantage (+) Compatibility (+) Complexity (-) Trialability (+) Observability (+)

Type of Innovation-Decision 9. Optional 10.Collective 11.Authority Communication Channels mass media or interpersonal Nature of the Social Systems Norms, network interconnectedness Extent of Change Agent’s Promotion (+)

Rate of Adoption Of Innovations

Innovation in Organizations Leader Characteristics •Attitude toward change (+) Internal Characteristics of Org. Structure 5.Centralization (-) 6.Complexity (+) 7.Formalization (-) 8.Interconnectedness (+) 9.Organizational slack (+) 10.Size (+) External Characteristics of the Org •System Openness (+)

Organizational Innovativeness

Consequences of adoption There are both positive and negative outcomes when an individual or organization chooses to adopt a particular innovation. This is an area that needs further research because of the biased positive attitude that is associated with the adoption of a new innovation. In the Diffusion of Innovation there are three categories for consequences, desirable vs. undesirable, direct vs. indirect, and anticipated vs. unanticipated.

Utility of DIT • Describes how social systems deal with new ideas (including new technologies) • Provides framework for analyses to inform effective programs/campaigns/strategies • Can be used to encourage or discourage adoption of innovations • Can be used to explain successes and failures of innovations