The middle manager as innovator.

If there's one thing that most U.S. executives agree on, it's the need for higher productivity in American workplaces. So far most efforts at raising performance have concentrated on factory and office employees-partly, one assumes, because their output is easily measured. However, the increases in productivity at the shop or office level will mean nothing in the long run, if, for instance, new products aren't designed, new structures aren't put in place to accommodate change, or new equipment isn't conceived to improve product quality. In other words, a company's productivity depends to a great degree on how innovative its middle managers are. In this article, the author describes a study she conducted of 165 middle managers in five companies to determine what managers contribute to innovation and what factors the most innovative companies have in common. She found that, among other things, innovative managers tend to be visionary, comfortable with change, and persistent. Innovation flourishes in companies where territories overlap and people have contact across functions; information flows freely; numbers of people have excesses in their budgets; many managers are in open-ended positions, and reward systems look to the future, not the past.