In our fast evolving market today that is characterized by fast change and unending quest for faster and better way to operate, one of the most valuable corporate attributes is innovation. However, corporate success and innovation can be stifled by hierarchy, reutilization and the elimination of risk.
Radical innovation is crucial to the growth of firms and economies. In the research entitled “From Invention to Innovation: Conversion Ability in Product Development” by Chandy et al (2006), the unending mission to transform inventions and its promising product ideas into innovations as a commercialized products is the main characteristic of industrial advancement and economic growth. In each level of product development, it adds significantly and even cumulatively to costs. These costs create valuable influence for firms, consumers and even the ones who make the policies.
According to a research entitled “Radical Innovation Across Nations: The Pre-eminence of Corporate Culture,” by Tellis, Prabhu and Chandy, corporate culture was a much more important driver of radical innovation than labor, capital, government or national culture.
In an article by ToBeinn (2012), an innovative culture rests on a foundation of six building blocks: resources, processes, values, behaviour, climate and success. Climate and Success are outcomes/outputs. Values, Behaviors, Resources and Processes are inputs.
One of the most famous and notable companies in the world is Samsung. Because of the evolving world and needs of people, they have established a Creative Development Research Institute System. This unique system aims to provide employees with great chance to pursue creative new ideas that fully utilize their talents and professional passions in a ...
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G.J. Tellis, J.C. Prabhu and R.K. Chandy, “Radical Innovation Across Nations: The Preeminence of Corporate Culture,” Journal of Marketing 73, no. 1 (January 2009): 3-23. Retrieved January 18, 2014 from http://www.carlsonschool.umn.edu/assets/114998.pdf
LG Electronics Sustainability. Corporate Culture/Work-Life Balance. (2012). Retrieved January 18, 2014 from: http://www.lg.com/global/sustainability/employee/corporate-culture-work-life-balance
ToBeinn, E.D . (2012). 6 Building Blocks for an Innovation Culture. Retrieved January 18, 2014 from: http://dicere-tobeinn.net/2012/10/26/6-building-blocks-to-create-an-innovation-culture/
Wycoff, J. (2004), The Big Ten Innovation Killers and How To Keep Your Innovation System Alive and Well. Retrieved January 18, 2014 from: http://www.innovationnetwork.biz/library/documents/TheBigTenInnovationKillers.pdf
As we know that a company’s culture, particularly during its early years, is greatly a reflection of the personality, background, and values of its founder or founders, as well as their vision for the future of the organization. When entrepreneurs establish their own businesses, the way they want to do business determines the Organization’s rules, the structure, and performance evaluation in the company and the people they hire to work with them. This is very much evident in the case o...
Innovation is an important sociological concept because it applied to the development and the expansion of the human culture around the world through discoveries or inventions. Furthermore, innovations can vary in the degree to which they perceive expenses and benefits associated with prevailing ideas and practices.
Utterback, A. M. (1996). Mastering the dynamics of innovation. United States of American: Harvard Business Press
It takes those who have innovation in their hearts to drive them towards this goal. It is important that staff on the units take time to assess innovators and brain storm areas in which they can empower and motivate the others to follow. The culture and environment of units must be that of being willing to be open to change and new ideas so they can be assessed during initial meetings.
Schumpeter’s view of competition is that companies’ innovation is continuously destructive to processes and assets. In that respect, new technologies displace the older ones making way for greater growth than in the conservative and stable markets. The authors’ review of the failure by IBM and Microsoft provides a good description of that Schumpeterian competition and diseconomy of scope. In that analysis, the author’s address the question on the causes of creative destruction through which they challenge the view that failure in new technological areas by companies that have been successful in theindustry is explained by two scenarios. One being that the companies fear the cannibalization hence ends up under-investing in the new market. The other explanation challenged is that the companies tend to develop cognitive frameworks and organizational capabilities that slow their identification and response to new opportunit...
culture and structure allow managers to focus on the continual improvements of both the business and its employees. A strong culture and an appropriate business structure serve as the foundation for positive results from satisfied employees who are making the best possible decisions for the organization. Works Cited Nonaka, I., & Takeuchi, H. 1995. The knowledge-creating company: How Japanese companies create the dynamics of innovation . New York: Oxford University Press Rakichevikj, G., PhD., Strezoska, J., PhD., & Najdeska, K., PhD. (2010).
Innovation has rapidly assumed a position of prominence in world competition on a global scale. To compete in this environment, organizations need a level of innovation. As competition becomes more global and time-based, organizations must develop and deliver new and superior products or services in less time. The challenge for modern organizations is to revitalize them so they can successfully and continuously develop newer products and enhance business development.
Sood, Ashish and Gerard J. Tellis. "Technological Evolution and Radical." Journal of Marketing 69 (2005): 152-168. Online Archive. 11 May 2014. .
Culture can be defined as “A pattern of basic assumptions invented, discovered or developed by a given group as it learns to cope with its problems of external adaptation and internal integration that has worked well enough to be considered valid, and therefore to be taught to the new members as the correct way to perceive, think and feel in relation to those problems”. Schein (1988). Organizational culture can be defined as a system of shared beliefs and values that develops within an organization and guides the behavior of its members. It includes routine behaviors, norms, dominant values, and feelings or climates. The purpose and function of this culture is to help foster internal integration, bring staff members from all levels of the organization closer together, and enhance their performance.
The most prominent of those scholars is Everett M. Rogers who is considered to be the foremost authority on the diffusion of innovation theory. He published his first book The Diffusion of Innovation in 1962, in it he compiled about five hundred different studies conducted by other researchers and from that he postulated that a unifying theory could explain why, how and at what rate innovations would be adopted by a certain culture (Singhal 2003). E.M. Rogers as stated compiled other people’s research, which were predominately surveys of individuals, from that research he was able find the elements that he believed had an impact on diffusion. One of the strengths of this theory is that it can be used on an individual, group, or some other social order, which makes it qui...
Kelley,T. (2005, Oct.). The 10 faces of innovation. Fast Company, 74-77. Retrieved 6th March’ 2014 from http://web.ebscohost.com/ehost/detail?vid=9&sid=1d6a17b7-c5f7-4f00-bea4 db1d84cbef55%40sessionmgr10&hid=28&bdata=JnNpdGU9ZWhvc3QtbGl2ZSZzY29wZT1zaXRl#db=bth&AN=18386009
Importance of organisational culture Organisational culture is one of the most valuable assets of an organization. Many studies state that the culture is one of the key elements that benefits the performance and affects the success of the company (Kerr & Slocum 2005). This can be measured by the income of the company, and market share. Also, an appropriate culture within the society can bring advantages to the company which helps to perform with the demand of the industry environment. For example, a company with a flexible, and innovative organisational culture will create competitive advantages that benefit the organisation's performance.
One of the most integral qualities of an entrepreneur as well as that of a successful business is the degree of innovation it possesses. Innovation refers to the creation of new ideas, improvement of existing production processes, and effective problem solving. Innovation allows for increased efficiency in a business, which in turn increases its supply potential and productive capacity. Being innovative may involve either improving upon old methods o...
Innovation in business is a key aspect of staying viable in an ever changing climate of competition. One must continuously provide insight and solutions to issues, known and presently unknown through investigation and collaboration. Within this paper we will look into four businesses and their use of innovation in attempt at a better business or greater market share. The innovative businesses of interest are: Taco Bell, Zipcar, Dollar Shave Club and Kickstarter.
Some creative ideas are amazing, simple and others complex. Creativity is a process, and it improves when a person continually work hard and come out with new ideas. Harris (1998)