Understanding Financial Accounting 3rd Canadian Edition by Christopher D. Bur...
Entrepreneurship and management
1. QN1(a) How will you contribute your ideas basing on the contemporary concepts of innovation
and organizational change to a newly established organization?
Introduction
Innovation is a successful idea or behavior implemented within an organization's industry or
market for a change in the organizational process. Organizational change is defined as a state of
transition between the current state and a future one, towards which the organization is
directed(Huse and Cummings 1985). Organization comprises several stakeholders such as
customers, suppliers, consultants and professional associations. Therefore contemporary
concepts of innovation and organizational change referred to as innovative and revolutionary
technology, products and services, strategy, structure and culture(Brown and Osborne 2012).
Technologies and Competencies/Influence and Extending Corporate Assets
A solid understanding of a company’s core technologies and competencies provides a realistic
filter against which imaginative ideas can be assessed and shaped into practical investment
worthy opportunities. Even when an organization possesses deep insight into consumer/customer
needs and future trends, transforming ideas into action is an uphill battle unless there is a keen
sense of the organization’s inherent strengths and ability to leverage its core assets(Derrick and
Kaplan 2007).
Implementation of skill and mindsets
Different individual skill and mindsets are needed at different stages of the Strategic Innovation
process. While many of the early team members will play a role throughout an initiative, additional
individuals will join the team as the process unfolds. The task of “Disciplined Implementation”
calls for pragmatic operational skills, exemplified in individuals who are adept at working closely
with others to tenaciously get the job done, and who have the energy, tenacity, persuasion and
communications skills, political know-how, personal relationships and credibility to overcome
organizational roadblocks(Derrick and Kaplan 2007).
2. Proper management approach
Strategic Innovation effort changes from being a single thread of activity and takes the form of
multiple concurrent “daughter” projects. These need to be tightly managed by paying attention to
established Management practices, including: realistic expectations in timing and performance
goals; appropriate resource allocation staffing, budgets and access to information consistent with
the scope of the desired business impact, and accountability, progress measurement and status
reporting, both before and during the pilot/roll out phases and throughout the market activities.
The area of human resource allocation in particular is where implementation efforts often fail,
with staff expected to fulfill their regular “day job” responsibilities while also being asked to
contribute to a strategic effort. The challenge raises organizational issues such the need for
redesigned personal performance measurement programs and associated rewards/incentives.
Organizational priorities and decision making processes
It is essential to be aware of the way an organization prioritizes, approves and continues to
support initiatives. Any initiative is potentially at risk as market conditions change, if newly
identified opportunities trigger a shift in priorities, if budget or other constraints suddenly come
to the forefront, or if the decision making process lacks rigor. With much at stake it is clearly
important to find ways to proactively reduce these risks.
QN1(b). Describe and compare two contemporary innovation frameworks and identify factors
which will assist innovation considering internal and external environment of your organization.
Considering the two contemporary innovation frameworks which are Customer engagement
and Services, by looking on factors which assist innovation as follows
Customer Engagement innovations are all about understanding the deep rooted aspirations of
customers and users, and using those insights to develop meaningful connections between them
and your company(Doblin.com,2018).While Service innovations ensure and enhance the utility,
performance, and apparent value of an offering.(Doblin.com,2018). For example
3. telecommunication company (Vodacom) is performing well for its customer service, with
employees who are empowered to take the initiative to solve the customer's issue whether it
means spending hours on the phone with them, or sending promotion messages to them.
Customer engagement and service innovation are mainly concerned with the creation of value
within customers when utilizing the available resources[36]. In that case, value co creation
according to [14] is “the process during which consumers take an active role and co-create value
together with the business [14]. In real meaning, it is the interrelationship that is developed
between the organization and the customers. It is something that has great value when exploited
to the full in helping a business achieve a competitive advantage [37]. The meaning are critical in
the sympathetic of the interrelationships that are core to the pursuance of business strategies
whose focus is on value creation to customers. Customer engagement and service innovation are
two elements that work hand-in-hand to enable co value creation. This can only mean that the
shortage of the interaction between the two has a possibility of causing or enabling co value
destruction on the affected elements. For instance, a particular organization may be having an
excellent customer engagement system, but lacking in service innovation that directly or
indirectly affects such customers. If no such change occurs, with time, the customers will no
longer find much value in the present customer service engagement and will instead be seeking
new frontiers that are unique and innovative. As stakeholders, it is beneficial for all interested
parties to ensure the positive benefits of inclusion in the innovative process.
QN 1(c) Explain why innovation may require a change in the organization.
Change and innovation play an extremely important role within any organization. Emerging of n
ew technologies example improved manufacturing systems are increasing production and
altering the way business across the sphere. There are several elements when dealing with
innovation and change within an organization. First element is how an organization can change
successfully which consists of the steps that are needed and the process that makes change
happen. Second element is technological change, which is how organizations adapt and realize
new technology(UK Essays,2018). From the acquired new technology, organizations come up
with next element which is new products and services. As these organizations become larger and
4. larger there is the need for strategy and structure change as well as cultural changes. Also there
are four key factors when looking at what is necessary for successful change(UK Essays,2018).
The first is ideas. In order to bring about change you need to have a new idea or thought.
Creativity, innovation and outside-the-box thinking play a huge role here. Second factor is need.
There must be a perceived need for change. Constantly changing structures, strategies, or culture
can actually be a bad thing if overused(UK Essays,2018). If a specific change is going to take
place, there needs to be an identifiable reason in order to make that specific change necessary.
Third factor is adoption. After the new ideas have been thought of on how to change and there is
a perceived need for that change, a new idea is chosen. Now that an idea has been chosen it is
time to put that idea into practice.
Final factor is resources. Through human energy and activity the idea is implemented and kept
alive. People are the most important resource and the essential contributors to successful change,
without them, change cannot happen. It is important that your employees are thoroughly trained
and understand what is being changed and why. Empowering them with this knowledge will
only enhance and increase the possibility of successful implementation of the changes set
forward(UK Essays,2018).
In conclusion, the world is constantly changing and change and innovation play an extremely
important role within any organization. There are many elements for successful change. New
technologies are always being introduced and it is important to stay up to date and take
advantage of technology that will greatly benefit the organization. As an organization it is very
important that new technology is used to constantly come up with new and innovative products
and services, this is a major undertaking for any organization it is necessary for sustainability.
Ultimately, the whole purpose of change is to increase profitability by making changes to the
strategy, structure, technology and culture of an organization.
5. Reference
Brown, K. and S. P. Osborne (2012). Managing change and innovation in public service
organizations, Routledge.
Derrick, P. and S. Kaplan (2007). "A framework for strategic innovation-blending strategy and
creative exploration to discover future business opportunities." Managing Principals, Innovation
Point LLC.
Doblin.com. (2018). [online] Available at:
https://www.doblin.com/dist/images/uploads/Doblin_TenTypesBrochure_Web.pdf [Accessed 19
Jul. 2018].
Huse, E. F. and T. G. Cummings (1985). Organization development and change, West
Publishing Company.
UK Essays. (2018). Importance of Innovation and Change Within an Organization. [online]
Available at: https://www.ukessays.com/essays/business/the-importance-of-innovation-and-
change-within-an-organization-business-essay.php [Accessed 19 Jul. 2018].
Woods, T. (2018). Using the Ten Types of Innovation Framework. [online]
Blog.hypeinnovation.com. Available at: https://blog.hypeinnovation.com/using-the-ten-
types-of-innovation-framework [Accessed 19 Jul. 2018].