HARVARD BUSINESS SCHOOL PUBLISHING | ONLINE SIMULATIONS 1
ONLINE SIMULATION SCENARIO INTRODUCTIO N
Change Management: Power and Influence
Scenario 3: Director of Product Innovation
You are the Director of Product Innovation within the Research & Development unit of Spectrum
Sunglass Company. You have noticed that the topic of sustainable economic development and the link
between sustainability and innovation is featured in more professional articles, such as "Why
Sustainability Is Now the Key Driver of Innovation." You are frustrated that you don’t have any new
sunglass products to offer to the vocal customers who increasingly express concerns about Spectrum’s
environmental impact. Sustainable development makes sense to you personally, from both a moral and
an economic standpoint, and you also see this as an exciting opportunity to differentiate Spectrum’s
products and the overall company from your competitors, which focus primarily on price and design.
At a Spectrum executive strategy retreat in October, you decide to ask for a special, unplanned session to
discuss the conversations you recently had with a vice president at Spectrum Sunglass Company’s largest
retail customer, BigMart, which has more than 1,000 retail outlets across the continental United States.
Sales to BigMart constitute 30% of Spectrum’s annual revenues, representing the company’s top account.
Just a few days ago, at the annual sunglass-industry trade show in Las Vegas, a BigMart executive
approached Spectrum’s booth. The VP explained that he was now in charge of national sunglass
procurement for BigMart and that BigMart recently started an in-house labeling program whereby
products that receive a "Green Stamp" manufacturing certification for environmental friendliness would
get special promotion at BigMart. Notably, the retail giant’s in-house market research revealed that even
its most price-sensitive consumers were starting to prefer green products within their price range. The VP
explained that BigMart was now considering recommending that all of its suppliers go through the Green
Stamp certification process.