Haslam College of Business - Research Digest

Innovation has traditionally focused on growth: launching new products, increasing sales, cutting costs and strengthening competitive position. Those elements remain essential for businesses, but in a world shaped by environmental strain, public health challenges and widening social gaps, innovation that serves only the bottom line is increasingly incomplete.

Management Takeaway: In a market where consumers care more about their impact on the earth, marketers and businesses must focus on products and services that not only drive profits, but provide positive outcomes for society and the environment.

Strategy conversations usually center on pricing, product mix, capital allocation and digital transformation. Location rarely makes the list, often because it feels fixed. Yet evidence shows that where a firm operates — especially whether it sits in a dense regional industry cluster — can play a meaningful role in how well it weathers economic shocks.

Management Takeaway: Being located among similar businesses is a strength, making location a serious strategic decision. However, managers can still draw on a location’s strengths (e.g., local universities) without being in a cluster.

Rideshare and delivery platforms operate in an unusually fluid labor market. Drivers can log off, switch apps or stop working at any moment, making engagement unpredictable. Companies often respond with bonuses, surge pricing and promotions, yet inconsistent commitment remains a challenge. Research suggests the problem is not only financial; platform design strongly influences drivers’ decisions about when and where to work.

Management Takeaway: Less complicated pay structures and interface designs can lead to a more reliable workforce.

Temporary store closures have become a recurring reality in retail, driven by pandemics, extreme weather, civil unrest, regulatory actions and infrastructure failures. For retail leaders, the central question is operational: When stores close, how much demand shifts online, and how does customer behavior change?

Management Takeaway: An online shopping option helps make up for some losses from a temporary store closure, but what is offered online and how inventory is categorized matter.

Performance-based pay has long been a default tool for motivating employees. In straightforward environments, it works well. Paying auto glass installers per windshield reliably increases output because the link between effort and results is clear. However, performance pay often does not work for more complex, high-skill roles, like doctors or teacher.

Management Takeaway: Performance pay is not suitable for all jobs. Employees in more complex roles will forgo innovation in favor of safer, more reliable outcomes.

The COVID-19 pandemic exposed weak points across systems, from supply chains to healthcare capacity. It also brought workplace mental health into sharper focus. Many employees were managing anxiety, depression or other mental health conditions while still trying to do their jobs well. This raised an important leadership question: How can managers support employees living with mental health challenges while maintaining trust and performance?

Management Takeaway: Trusting employees to handle manifestations of mental illness in the workplace can help them return to productivity more quickly.

Information security is often framed as a technology and compliance issue addressed through better tools, tighter controls and stricter policies. Yet security performance frequently falls short even after significant investment. Protocols can feel burdensome or disconnected from day-to-day work, leading employees to disengage from required practices.

Management Takeaway: Policies that support employees and social responsibility increase employee loyalty and commitment to cybersecurity.