The Photonics Experience
Case Study
Introduction
The Photonics case study is an important part of understanding how an organisation might consider the
introduction of new innovations into its business operation. It is based on a typical manufacturing business
model and focuses on the people aspects. In particular it offers an opportunity to explore the impact
people management practices and procedures can have in enabling the effective transfer of new
innovations into bottom line performance.
The purpose of completing this case study is to stimulate your thoughts towards some of the people issues
that may arise when implementing a new innovation within your organisation. When completing the case
study, you are encouraged to draw on any recent experience of introducing new innovations into your
business.
What to do now:
1.
Please read through the Photonics case study (10 mins)
2.
After reading through the case study, please get into pairs. Then, using the Case Study Review
Questions template to capture your initial thoughts. (20 mins)
3.
Feedback your impressions to the wider group.
The Photonics Experience Case Study
Company Background
Logan inc. is a telecommunications business employing 3000 people. Their product portfolio is SDH
(Synchronous Digital Highway), Voice over IP, and photonics. They supply to Europe and North America.
Management Structure
Managing Director
Finance Director
Production Dir
Quality Mgr
Manufacturing Mgr
Company Sec
R&D Director
HR Manager
TRANSFORMING CAPABILITY SUPPORT MATERIALS
HUMAN RESOURCE MANAGEMENT FOR INNOVATION
The Photonics Experience
Case Study
Culture
The overarching management style is target driven and authoritative. There is a small HR department
which manages formal people-related activities such as recruitment and welfare. Learning and
development is stated to be important, and the company has Investors in People (IIP) status. However,
due to budgetary constraints most training is technical and done in response to specific skills gaps. There
is the unwritten rule that managers will have enough previous experience to know how to manage people.
The company ensures it communicates on a need-to-know basis.
Drivers for Innovation
The telecommunications market is very competitive. During 2001, Logan inc. recognized that it was
beginning to lose its market share. In-order to address this, the following company members met up to
discuss the situation: the Managing Director, Finance Director, Production Director, and the Research and
Development Director. It was decided that a Mark II Photonic product should be developed to meet a niche
need within the market. It was acknowledged that existing photonics skills within the company were
inadequate, and that a new Research and Development (R&D) Photonics team would have to be created
through recruitment.
Key Steps in the Innovation Project
An R&D team specializing in photonics was recruited, and work started on developing the prototype in
June 2002. In January 2004 the R&D department completed work on the photonics prototype product
“ML2006”. This was evaluated by the board and they agreed that the product should be launched in June
2005. The Production Director was assigned as the project manager.
In September 2004 the Production Director went into discussions with equipment manufacturers and
purchased new production technology to manufacture the new product, for delivery in March 2005. He
discussed the project with the Operations Manager and Production Engineering team, who between them
developed plans for plant layout, standard operating processes and manpower allocations. It was felt that
any necessary training would best be done “on the job” once the new equipment had been installed.
In April 2005 the new equipment was installed and the Human Resources (HR) / Training Manager devised
a training plan to cover all the aspects needed to work the new technology. Four training sessions were
developed from this plan. The HR / Training manager acknowledged that not everyone would need to
attend all of the sessions. Supervisors were asked to use their personal knowledge of their employees’
skills, and assign them to the relevant courses.
During May – June 2005 all employees attended the relevant courses, and following this, production of
ML2006 commenced, in line with the original timing plan. The HR / Training manager asked managers to
observe their employees and if they had any difficulties in performing the new tasks, to inform HR so that
more training could be put in place.
During July to October 2005 production volumes were very low. A number of people were identified as not
performing satisfactorily with the new technology. A decision was made by the Production Director to reassign some of the under performing shop-floor members to another department and bring some new
employees into their position; selection again being based on personal judgment. These changes caused
upset on the shop floor and employees decided to work to rule for a month. Production was severely
affected during this time. Meetings were held with the employees and HR and the problems were
eventually resolved.
By November 2005, all employees had received the necessary technical training, and production was
reaching the minimum needed to meet the orders placed. Unfortunately this was five months behind
schedule, and business results were considerably below forecasted levels.
TRANSFORMING CAPABILITY SUPPORT MATERIALS
HUMAN RESOURCE MANAGEMENT FOR INNOVATION
The Photonics Experience
Case Study
Case Study Review Questions
Key Theme
Key Questions to Consider
Organisational level
people management
practices to enable
innovation
How have the following helped or hindered the
introduction of new innovations at the
organisational level?
Innovation project
level people
management practice
to enable innovation
How have the following helped or hindered at
the innovation project level?




information
gathering
strategy
resourcing
implementation



Your Comments on the
Case Study
training policy
communication systems
people management strategy
Information Gathering - Communication to
employees of potential changes. Environment
in which project team chose the new
innovation.
Project Planning – Communication of why the
new innovation is being brought in. The
company’s ability to define and measure
success.
Resourcing – Communication to employees
about the changes brought about by the new
innovation. The recruitment and resource
management. Skills gap analysis process. Redesign of job roles.
Implementation – Communication of changes
to employees as they happen. Technical
training, people management training of
managers. Performance management system.
Environment once the innovation had been
introduced.
TRANSFORMING CAPABILITY SUPPORT MATERIALS
HUMAN RESOURCE MANAGEMENT FOR INNOVATION
The Photonics Experience
Case Study
The role of senior /
line manager in
embedding the people
management
practices to enable
innovation.
How did the commitment of the senior level
management help or hinder the introduction of the
new innovation?
How have managers helped or hindered at the
following stages of the Innovation project level?
Information Gathering – In ensuring that necessary
support and resource is in place to obtain the correct
innovation for the organisation.
Project Planning – Taking people issues into
consideration. Were all the necessary managers
involved in the project planning? If not who was
missing and why?
Resourcing – Re-design of job roles and description.
Communicating to employees.
Implementation – Developing and managing their
employees.
The role of those
What role did the HR / training manager play in the
responsible for people following:
management in
embedding the

Helping the project management team to
practices to enable
understand the impact the new innovation would
innovation.
have on employees.

Influencing the project management team to
ensure that people management issues were
taken incorporated into the strategy.

Did they have the necessary skills to be
effective? What skills were missing?
What role did the HR / training manager play in the
following at the innovation project level?
Information Gathering – Identifying the right people
to gather information on the new innovation.
Understanding current skills capability.
Project Planning – Involvement in decision making
and design of strategy. Understanding how and where
to attract scarce skills. Understanding where to obtain
training.
Resourcing – Providing templates for job
descriptions. Supporting re-design of job roles.
Supporting implementation of skills gap analysis.
Implementation – Supporting the manager to
manage their people once innovation implemented.
Coaching manager on difficult people management
issues.
TRANSFORMING CAPABILITY SUPPORT MATERIALS
HUMAN RESOURCE MANAGEMENT FOR INNOVATION