Running Head: INNOVATION AND BUSINESS 1 INNOVATION AND BUSINESS Innovation and the Market Louie Borrayo Brian Glennon Daniel Lapikas Jared Linscombe University of Phoenix PDB17BSB03 MGT/411 Dr. Jay Deb 29 January 2019 Innovation and the Market Companies may start and seem to succeed but for the success to be sustained, innovation is necessary. This is because as time goes by things change and so does the market world people want new things that are more efficient (Frishammar, 2015). When this is not the case with a company, the CEO’s job is easy, but the company will be at the risk of failing because change and innovation are both inevitable. One example of a company that failed to innovate and is at the verge of close down is the Kodak Film Company. There was a time that the Kodak film dominated the film industry but because it refused to innovate other companies came into the market and took over. The Kodak Film Company had the chance to be the leaders of the digital industry but was in denial that times had changed and the digital error was taking over (Frishammar, 2015). It is said that the Kodak Company is the one that invented the first digital camera, but the managers could not approve it because they were too focused on the success of the company that they missed the great digital revolution. Kodak problem was they did not move fast enough into the digital world, which caused them to be technological discontinued. This company was declared bankrupt in 2012. Kodak had been failing to keep up their business and profits even before the digital revolution when Fuji started doing a better job using the old technology, the roll-film business ("Barriers To Change: The Real Reason Behind The Kodak Downfall", 2012). Another company that went through the same is the Nokia Company. It was among the most successful companies in the early 1990s for creating the first cellular phone. Nokia was a universal leader in the business of mobile phones. When the internet landed Nokia failed to understand that data was the future. That in the future people will prefer silent communication over voice in this case text messages and emails (Frishammar, 2015). Instead of developing software Nokia focused on the hardware side with the fear that if they changed a lot the current users will get affected. They dint want to risk and lead in the change. They believed in their brand so much that they thought even if they came after others, they would take over but by the time they decided to compete with the touch screen it was too late they could not come up with products that were competitive enough to compete with the iPhone that had been launched by Steve Jobs. Surowiecki (2013), Nokia was known as an engineering company, but needed more market savvy ideas, in order to keep up with its competition. The other company that failed in the innovation part is Yahoo. Around 2005 Yahoo was a big fish in the online advertising.

1. Running Head: INNOVATION AND BUSINESS
1
INNOVATION AND BUSINESS
Innovation and the Market
Louie Borrayo
Brian Glennon
Daniel Lapikas
Jared Linscombe
University of Phoenix
PDB17BSB03
MGT/411
Dr. Jay Deb
29 January 2019
Innovation and the Market
Companies may start and seem to succeed but for the success to
be sustained, innovation is necessary. This is because as time
goes by things change and so does the market world people
want new things that are more efficient (Frishammar, 2015).
When this is not the case with a company, the CEO’s job is
easy, but the company will be at the risk of failing because
change and innovation are both inevitable.
One example of a company that failed to innovate and is at the
verge of close down is the Kodak Film Company. There was a
time that the Kodak film dominated the film industry but
because it refused to innovate other companies came into the

2. market and took over. The Kodak Film Company had the chance
to be the leaders of the digital industry but was in denial that
times had changed and the digital error was taking over
(Frishammar, 2015). It is said that the Kodak Company is the
one that invented the first digital camera, but the managers
could not approve it because they were too focused on the
success of the company that they missed the great digital
revolution. Kodak problem was they did not move fast enough
into the digital world, which caused them to be technological
discontinued. This company was declared bankrupt in 2012.
Kodak had been failing to keep up their business and profits
even before the digital revolution when Fuji started doing a
better job using the old technology, the roll-film business
("Barriers To Change: The Real Reason Behind The Kodak
Downfall", 2012).
Another company that went through the same is the Nokia
Company. It was among the most successful companies in the
early 1990s for creating the first cellular phone. Nokia was a
universal leader in the business of mobile phones. When the
internet landed Nokia failed to understand that data was the
future. That in the future people will prefer silent
communication over voice in this case text messages and emails
(Frishammar, 2015). Instead of developing software Nokia
focused on the hardware side with the fear that if they changed
a lot the current users will get affected. They dint want to risk
and lead in the change. They believed in their brand so much
that they thought even if they came after others, they would
take over but by the time they decided to compete with the
touch screen it was too late they could not come up with
products that were competitive enough to compete with the
iPhone that had been launched by Steve Jobs. Surowiecki
(2013), Nokia was known as an engineering company, but
needed more market savvy ideas, in order to keep up with its
competition.
The other company that failed in the innovation part is Yahoo.
Around 2005 Yahoo was a big fish in the online advertising

3. sector. At the time Yahoo was only interested in becoming the
media major and ignored the power of search. This company
ignored the fact that they needed to improve user experience
and the trend of consumers (Frishammar, 2015). Yahoo had a lot
of users but was not making enough profits. The CEO’S of
Yahoo was not a risk taker which led him missing out on
opportunities with Google and another one to buy yahoo.
In the first company, Kodak, the innovative strategy they
missed was creation of new improved products instead they
focused on pushing their old product if only they would have
endorsed the digital camera, they would be the leader of the
film industry now. On the other hand, Nokia failed to take the
risk of being the game changers and another company took over
the market. Yahoo also was focused on profits and being the
media giant that they forgot consumers is the backbone of a
company.
Some of the innovative strategies that can be used by a company
in order to stay relevant for long are as follows; developing of
new products is the main strategy that can be used because
people will always embrace new and improved products.
Another strategy that can be used is incorporating young
entrepreneurs that have innovative minds in our companies.
Diversification is also something our companies are lacking. As
we have seen as change is inevitable so is innovation and hence
companies must innovate (Frishammar, 2015). According to
Hisrich and Kearney (2014), an organization has to engage in
six processes in order to maintain organization innovation to
have a competitive advantage. Those six processes are: “(1)
adapt to external environmental changes, (2) be customer driven
and focused, (3) have flexible strategies and processes that can
meet the needs and diverse requirements of customers,
suppliers, distributors, regulators, and stakeholders, (4) be able
to quickly respond to the fast pace of change in the environment
by recognizing and taking advantage of opportunities that
emerge (5) proactively meet and exceed the needs of customers
in light of existing competition, and (6) actively engage in R &

4. D to continuously prioritize the development of new products,
services, processes, markets, and technologies” (2014, Ch.4).
References
Barriers to Change: The Real Reason Behind the Kodak
Downfall(2012). Retrieved from
https://www.forbes.com/sites/johnkotter/2012/05/02/barriers-to-
change-the-real-reason-behind-the-kodak-
downfall/#b6e99d069efa
Hisrich, R., & Kearney, C. (2014). Managing Innovation and
Entrepreneurship. Retrieved from
https://phoenix.vitalsource.com/#/books/9781483322667/
cfi/6/24!/4/2/4/[email protected]:0
Frishammar, J. M. (2015). When product meets service:
Digitalizing industrial innovation. Erricsson Bussiness review
2.
Surowiecki, J. (2013). Where Nokia Went Wrong. Retrieved
from
https://www.newyorker.com/business/currency/where-nokia-
went-wrong

5. HRMANAGEMENT
The staffing decision in HRManagement only requires you to
consider the number of employees
needed for the next quarter, but as a human resources manager,
you must be able to forecast
labor requirements beyond the immediate future.
1. Given productivity of 200 units/worker, project the number
of level 1 employees needed to
meet the production goals forecasted in the table below.
Current Qtr. Qtr. + 1 Qtr. + 2 Qtr. + 3
Production Goal 100,000 105,000 110,000 107,000
Employees Required 500
2. When might it make sense to require overtime, rather than
hire enough new employees to
meet production goals? How might reliance on overtime have a
negative effect?
3. Assuming you want to keep the number of employees fixed at
500, project the required
productivity to meet production goals.
Current Qtr. Qtr. + 1 Qtr. + 2 Qtr. + 3
Production Goal 100,000 105,000 110,000 107,000

6. Productivity 200
4. What steps can you take to improve productivity?
5. What factors might cause productivity to fall?
Forecasting Labor Requirements
105000500: 110000500: 107000500: meet production goals How
might reliance on overtime have a negative effect: 105000200:
110000200: 107000200: 4 What steps can you take to improve
productivity: 5 What factors might cause productivity to fall:
HRMANAGEMENT
The staffing function of human resources management involves
finding the right people to fill
the positions required to meet company goals. Employee
turnover, production goals, and
changes in productivity all have an impact on the number of
positions that need to be filled. In
HRManagement, you have the option of using internal
promotions or external hires to fill
vacancies. This assignment gives you practice projecting
staffing needs so you can make
appropriate hiring and promotion decisions each quarter.
1. Complete the table below by estimating the number of
resignations at each job level based
on the percentage turnover, and calculating the positions that
need to be filled for the next

7. quarter based on the estimate of the required number of
employees.
JOB LEVEL
5 4 3 2 1
Previous Employees 20 25 50 60 500
Est. Resignations @10% Turnover
Est. Employees Required 20 25 50 61 505
Positions to Fill
2. State the promotion policy you will use when filling
positions.
3. Now copy the number of positions that need to be filled from
the table above, and apply
your policy to show the promotions and external hires you will
use to fill the positions. Keep in
mind that promoting a lower level employee to the next level
will cause an additional opening
for a position in the lower level.
JOB LEVEL
5 4 3 2 1
Positions to Fill
Internal Promotions

8. Openings Due to Promotions
External Hires
Staffing
5Internal Promotions: 4Internal Promotions: 3Internal
Promotions: 2Internal Promotions: 1Internal Promotions:
5Openings Due to Promotions: 4Openings Due to Promotions:
3Openings Due to Promotions: 2Openings Due to Promotions:
1Openings Due to Promotions: 5External Hires: 4External
Hires: 3External Hires: 2External Hires: 1External Hires: 5Est
Resignations 10 Turnover: 4Est Resignations 10 Turnover: 3Est
Resignations 10 Turnover: 2Est Resignations 10 Turnover: 1Est
Resignations 10 Turnover: 5Positions to Fill: 4Positions to Fill:
3Positions to Fill: 2Positions to Fill: 1Positions to Fill: 2 State
the promotion policy you will use when filling positions: Level
5 Positions to Fill: Level 4Positions to Fill: Level 3Positions to
Fill: Level 2Positions to Fill: Level 1Positions to Fill:
HRMANAGEMENT
Once you have set your goals, you will need to allocate
sufficient resources to achieve them.
Some spending is essential to meeting immediate production
goals, while other spending will
help improve the long-term performance of the company. Some
spending may need to be
maintained every quarter, while other spending can be done on
an annual basis. In this exercise,

9. you will categorize spending, set priorities, and get practice
allocating your budget.
1. Prioritize spending in each of the following categories by
rating them from 1 (low) to 10 (high).
Priority
(1 – 10) Comment
Staffing
Wages and Benefits
Training and Development
Employee Relations/Other Programs
2. Assume an annual budget of $1.5 million. Use your ratings to
allocate a share of the budget
to each category. You can do this by summing the ratings, and
dividing each by the sum to
calculate the percentage. Then use the share to calculate the
annual and quarterly amounts
available for each category.
Share of
Budget Annual Amount Quarterly Amount
Staffing
Wages and Benefits
Training and Development

10. Employee Relations/Other Programs
3. What adjustments might you need to make to the calculated
allocations?
Budget Allocation
Priority 1 10Staffing: CommentStaffing: Priority 1 10Wages
and Benefits: CommentWages and Benefits: Priority 1
10Training and Development: CommentTraining and
Development: Priority 1 10Employee RelationsOther Programs:
CommentEmployee RelationsOther Programs: Share of
BudgetStaffing: Annual AmountStaffing: Quarterly
AmountStaffing: Share of BudgetWages and Benefits: Annual
AmountWages and Benefits: Quarterly AmountWages and
Benefits: Share of BudgetTraining and Development: Annual
AmountTraining and Development: Quarterly AmountTraining
and Development: Share of BudgetEmployee RelationsOther
Programs: Annual AmountEmployee RelationsOther Programs:
Quarterly AmountEmployee RelationsOther Programs: 3 What
adjustments might you need to make to the calculated
allocations: