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ORGANIZATIONAL
INNOVATION
INDEX
● INTRODUCTION & TYPES
● ORGANIZATIONAL CULTURE CHANGE
● TECHNOLOGY INNOVATION
● STRATEGY AND STRUCTURE CHANGE
● NEW PRODUCTS AND SERVICES
ORGANIZATIONAL INNOVATION
Organisational innovation means the implementation of a new organisational method in
the undertaking business practices, workplace organisation or external relations.
Strategic types of change
ELEMENTS OF SUCCESSFUL CHANGE
NEW PRODUCTS
AND SERVICES
• Innovation in terms of new product and services is one of the most
important ways companies adapt to changes in markets, technologies,
and competition.
• Reasons for success:
– Innovating companies understand customers
– Innovating companies successfully use technology
– Top management supports innovation
• Horizontal Coordination Model:
– Specialization
– Boundary Spanning
– Horizontal Coordination
– Open Innovation
NETFLIX vs AMAZON PRIME VIDEO
Video Quality-
● Netflix-Basic — HD (480p max),Standard — Full HD (1080p max),Premium —
Ultra HD (4K max)
● Amazon-4K resolution
Number of streams-
Streaming device support-
● Amazon-including web browsers on a PC or Mac, Roku, Amazon’s own Fire TV and Fire
devices, iOS, Android, Xbox One, PlayStation 3&4.
● Netflix- Nintendo 3DS and Windows Phone
Content-
● Amazon offers are B-grade oldies while Netflix has thousands of licensed Hollywood movies,
TV shows, documentaries, and Netflix’s original productions, like House of Cards, Stranger
Things.
User interface-
● Netflix recommending shows and movies you might like based on your past viewing habits
● It has intuitive user interface
● Amazon’s X-Ray.
Features-
● Netflix picture quality is its dynamically-scaling streams i.e. the quality level will change
according to the availability of bandwidth.
● Netflix downloads stay in library for 30 days at a time, and will expire automatically even if
the device is not connected to the internet.
● Amazon give around 30 days to watch downloaded content, and once you start watching it,
you have to finish it within 48 hours before it’s deleted.
Choose Your Own Adventure-
● An interactive movie where user make choices for the main character and according to
that storyline will change.
● Its first interactive story was “Puss In Book” which target the kids.
● It provides thirteen choices to make but in the end it provides two different ending.
● Late shift movie, in which audience has 3sec to make there choices using their phones.
● Black Mirror: Bandersnatch is the name of the choose-your-own adventure film in which a
brief tutorial, specific to the device being streamed on, explains to the viewer how to make
choices. They have ten seconds to make choices, or a default decision is made.
TECHNOLOGY
INNOVATION
● Technology changes are changes in an organization’s production process,
including its knowledge and skill base, that enable distinctive competence.
● These changes are designed to make production more efficient or to
produce greater volume.
● Changes in technology involve the techniques for making products or
services. They include work methods, equipment, and workflow.
Technology Innovation
Toyota v/s Ford
● Company Chairman Takeshi Uchiyamada
was the man behind the development of
the first-generation Prius .
● He was appointed as the leader of the
company's G21 project, an engineering
team that paved the way for the
development of the Prius.
● The first mass- produced hybrid vehicle
was the Toyota Prius, launched in Japan in
1997.
Technology Innovation for Hybrid Car
 Ford Escape,
the hybrid 
electric sport
utility vehicle,
was released in
2005.
Toyota
and Ford entered into a
licensing agreement in
March 2004
allowing Ford to use 20
patents from Toyota
related
to hybrid technology.
Techniques for Encouraging Technology Change
1) The Ambidextrous Approach
The organization can be designed to
behave in an organic way for
exploring new ideas and in a
mechanistic way to exploit and use
the ideas.
2) Switching Structures
Switching structures means an
organization creates an organic
structure when such a structure is
needed for the initiation of new
ideas.
STRATEGY AND
STRUCTURE
CHANGE
Structure
Technology has changed the world that was in
20th Century.
The entertainment sector has changed the way
it delivers content, earlier it was from top to
bottom(MECHANISTIC) now it has changed
from bottom to top(ORGANIC)
i.e. customer driven market structure.
Strategy ● Internationalization and Localization
● Diversification Through Content Production
● Marketing Strategy and Marketing Activities
● Technological and Capability Building
VOD DTH
Subscription-based Video-on-Demand
services e.g. Netflix and Amazon Prime
Video, offer unlimited access to their
content libraries for a monthly
subscription fee. Movies and TV series can
be streamed to various supported
connected devices. The VoD market does
not include ad-supported services.
Benefits
● Flexibility,
● Unlimited content,
● Ad free,
● Multi device based function i.e
mobile, pc, smart tv etc,
● Innovative, efficient and cheaper
DTH is also monthly subscription based
entertainment services provided using
setup box and antenna e.g. Airtel DTH and
TATA SKY. But has restricted content.
Though its has shown growth but has
limited scope as of now.
Limitation
● Lot of ad,
● Schedule based programs,
● Costlier,
● No innovation is there
VOD
250 m Subscribers
NETFLIX
151.56 mn Subscribers
$15.79 bn Revenue
PRIME VIDEOS
100 mn
$1.7 bn
DTH
72.44 mn Subscribers
AIRTEL
25% market share
DISH TV
40% SHARE
● Using the technology to provide the best product and
services.
● Easily engaging the customers.
● Customer satisfaction has became a priority.
● Customer friendly as well as budget packages are
coming in this market.
● To provide customers a variety of services at a single
platform providing the accessibility to the customers
ORGANIZATIONAL
CULTURE CHANGE
CULTURAL CHANGE
● Organizations are made up of people and their relationship with one another, changes in
organizations do not happen on their own, they involve in changes in people as well.
● Sometimes achieving a new way of thinking required a focused change in the underlying
corporate culture values and norms.
● Changing corporate culture fundamentally shifts how work is done in an organization.
● However changing culture of any organizations can be very different because it
challenges people core values and established ways of thinking and doing things.
● Mergers and acquisitions often illustrate how tough culture change can be. Ex Mizuho
financial group.
Forces for cultural change
● Reengineering and Horizontal Organization
● Diversity
● The Learning Organization
OD Culture Change Interventions
● Large Group Intervention
● Team Building
● Interdepartmental Activities
CULTURE CHANGE A REASON for SUCCESS OF FORD MOTORS
● The public traded Ford Motor Company is the 7th most popular car brand in the world but
before 2006 Ford was facing financial difficulties because of dysfunctional organizational
culture.
● William Ford, Jr. decided that he needed an outsider’s help to turn the company around and
hired CEO, Alan Mulally, who restructured the company and introduced several policies
aimed at creating a new strategic vision and cultural change. The success of these changes
allowed Ford to survive the market.
● Ford’s changed organizational culture is defined in the company’s One Ford plan which was
introduced in 2009. Based on this plan, the following are the main characteristics of Ford’s
organizational culture:
F: Foster Functional and Technical Excellence
O: Own Working Together
R: Role Model Ford Values
D: Deliver Results
The main advantage of Ford’s organizational culture is its support for unity
through teamwork. Prior to the implementation of the One Ford plan, the
company had different cultures and product lines in different regions. Today, the
firm’s organizational culture brings improved business capabilities based on
synergy through unity. In the figures on the next slide you can see how Ford’s
growth because of cultural.
Team
● ARJUN REGHU 20191005
● JAY JOSHI 20191015
● JAYDEEP PARMAR 20191025
● SHAILENDER SINGH 20191045
● RAJ JASWANI
● VEDASRUTHI SAYNAL 20191055

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ORGANIZATIONAL INNOVATION SLIDES MBA PDPU

  • 2. INDEX ● INTRODUCTION & TYPES ● ORGANIZATIONAL CULTURE CHANGE ● TECHNOLOGY INNOVATION ● STRATEGY AND STRUCTURE CHANGE ● NEW PRODUCTS AND SERVICES
  • 3. ORGANIZATIONAL INNOVATION Organisational innovation means the implementation of a new organisational method in the undertaking business practices, workplace organisation or external relations.
  • 7. • Innovation in terms of new product and services is one of the most important ways companies adapt to changes in markets, technologies, and competition. • Reasons for success: – Innovating companies understand customers – Innovating companies successfully use technology – Top management supports innovation • Horizontal Coordination Model: – Specialization – Boundary Spanning – Horizontal Coordination – Open Innovation
  • 8. NETFLIX vs AMAZON PRIME VIDEO Video Quality- ● Netflix-Basic — HD (480p max),Standard — Full HD (1080p max),Premium — Ultra HD (4K max) ● Amazon-4K resolution Number of streams- Streaming device support- ● Amazon-including web browsers on a PC or Mac, Roku, Amazon’s own Fire TV and Fire devices, iOS, Android, Xbox One, PlayStation 3&4. ● Netflix- Nintendo 3DS and Windows Phone
  • 9. Content- ● Amazon offers are B-grade oldies while Netflix has thousands of licensed Hollywood movies, TV shows, documentaries, and Netflix’s original productions, like House of Cards, Stranger Things. User interface- ● Netflix recommending shows and movies you might like based on your past viewing habits ● It has intuitive user interface ● Amazon’s X-Ray. Features- ● Netflix picture quality is its dynamically-scaling streams i.e. the quality level will change according to the availability of bandwidth. ● Netflix downloads stay in library for 30 days at a time, and will expire automatically even if the device is not connected to the internet. ● Amazon give around 30 days to watch downloaded content, and once you start watching it, you have to finish it within 48 hours before it’s deleted.
  • 10. Choose Your Own Adventure- ● An interactive movie where user make choices for the main character and according to that storyline will change. ● Its first interactive story was “Puss In Book” which target the kids. ● It provides thirteen choices to make but in the end it provides two different ending. ● Late shift movie, in which audience has 3sec to make there choices using their phones. ● Black Mirror: Bandersnatch is the name of the choose-your-own adventure film in which a brief tutorial, specific to the device being streamed on, explains to the viewer how to make choices. They have ten seconds to make choices, or a default decision is made.
  • 12. ● Technology changes are changes in an organization’s production process, including its knowledge and skill base, that enable distinctive competence. ● These changes are designed to make production more efficient or to produce greater volume. ● Changes in technology involve the techniques for making products or services. They include work methods, equipment, and workflow. Technology Innovation
  • 13. Toyota v/s Ford ● Company Chairman Takeshi Uchiyamada was the man behind the development of the first-generation Prius . ● He was appointed as the leader of the company's G21 project, an engineering team that paved the way for the development of the Prius. ● The first mass- produced hybrid vehicle was the Toyota Prius, launched in Japan in 1997. Technology Innovation for Hybrid Car
  • 14.  Ford Escape, the hybrid  electric sport utility vehicle, was released in 2005. Toyota and Ford entered into a licensing agreement in March 2004 allowing Ford to use 20 patents from Toyota related to hybrid technology.
  • 15. Techniques for Encouraging Technology Change 1) The Ambidextrous Approach The organization can be designed to behave in an organic way for exploring new ideas and in a mechanistic way to exploit and use the ideas. 2) Switching Structures Switching structures means an organization creates an organic structure when such a structure is needed for the initiation of new ideas.
  • 17. Structure Technology has changed the world that was in 20th Century. The entertainment sector has changed the way it delivers content, earlier it was from top to bottom(MECHANISTIC) now it has changed from bottom to top(ORGANIC) i.e. customer driven market structure.
  • 18. Strategy ● Internationalization and Localization ● Diversification Through Content Production ● Marketing Strategy and Marketing Activities ● Technological and Capability Building
  • 19. VOD DTH Subscription-based Video-on-Demand services e.g. Netflix and Amazon Prime Video, offer unlimited access to their content libraries for a monthly subscription fee. Movies and TV series can be streamed to various supported connected devices. The VoD market does not include ad-supported services. Benefits ● Flexibility, ● Unlimited content, ● Ad free, ● Multi device based function i.e mobile, pc, smart tv etc, ● Innovative, efficient and cheaper DTH is also monthly subscription based entertainment services provided using setup box and antenna e.g. Airtel DTH and TATA SKY. But has restricted content. Though its has shown growth but has limited scope as of now. Limitation ● Lot of ad, ● Schedule based programs, ● Costlier, ● No innovation is there
  • 20. VOD 250 m Subscribers NETFLIX 151.56 mn Subscribers $15.79 bn Revenue PRIME VIDEOS 100 mn $1.7 bn
  • 21. DTH 72.44 mn Subscribers AIRTEL 25% market share DISH TV 40% SHARE
  • 22. ● Using the technology to provide the best product and services. ● Easily engaging the customers. ● Customer satisfaction has became a priority. ● Customer friendly as well as budget packages are coming in this market. ● To provide customers a variety of services at a single platform providing the accessibility to the customers
  • 24. CULTURAL CHANGE ● Organizations are made up of people and their relationship with one another, changes in organizations do not happen on their own, they involve in changes in people as well. ● Sometimes achieving a new way of thinking required a focused change in the underlying corporate culture values and norms. ● Changing corporate culture fundamentally shifts how work is done in an organization. ● However changing culture of any organizations can be very different because it challenges people core values and established ways of thinking and doing things. ● Mergers and acquisitions often illustrate how tough culture change can be. Ex Mizuho financial group.
  • 25. Forces for cultural change ● Reengineering and Horizontal Organization ● Diversity ● The Learning Organization OD Culture Change Interventions ● Large Group Intervention ● Team Building ● Interdepartmental Activities
  • 26. CULTURE CHANGE A REASON for SUCCESS OF FORD MOTORS ● The public traded Ford Motor Company is the 7th most popular car brand in the world but before 2006 Ford was facing financial difficulties because of dysfunctional organizational culture. ● William Ford, Jr. decided that he needed an outsider’s help to turn the company around and hired CEO, Alan Mulally, who restructured the company and introduced several policies aimed at creating a new strategic vision and cultural change. The success of these changes allowed Ford to survive the market. ● Ford’s changed organizational culture is defined in the company’s One Ford plan which was introduced in 2009. Based on this plan, the following are the main characteristics of Ford’s organizational culture: F: Foster Functional and Technical Excellence O: Own Working Together R: Role Model Ford Values D: Deliver Results
  • 27. The main advantage of Ford’s organizational culture is its support for unity through teamwork. Prior to the implementation of the One Ford plan, the company had different cultures and product lines in different regions. Today, the firm’s organizational culture brings improved business capabilities based on synergy through unity. In the figures on the next slide you can see how Ford’s growth because of cultural.
  • 28.
  • 29. Team ● ARJUN REGHU 20191005 ● JAY JOSHI 20191015 ● JAYDEEP PARMAR 20191025 ● SHAILENDER SINGH 20191045 ● RAJ JASWANI ● VEDASRUTHI SAYNAL 20191055