Dynamic Strategy and Disruptive Innovation Executive Summary 2022

Dynamic Strategy and Disruptive Innovation

Dynamic Strategy and Disruptive Innovation 1
Executive summary
The dynamic strategy and disruptive innovation undertake contemporary models and abilities
to form and evaluate different essential business strategies. This report includes the disruptive
innovation of Woolworths. The retail industry of Australia is one of the strong industries and
includes 140,000 retail organizations and businesses. The Australian supermarket is even one
of the most focused industries in the world. The identified players of the Australian retail
sector are Coles and Woolworth, owned by Wesfarmers Group and Woolworths Ltd
separately. Both of the supermarkets have attained popularity for offering good quality
products. The report includes a description of Woolworths Australia. The stakeholder view of
Woolworths has been given with the list of specific stakeholders. Finally, stakeholder
analysis of four selected stakeholders has been made.
At last, it can be concluded that the selected group of stakeholders is sufficient to engage in
the organization.

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Contents
Executive summary...............................................................................................................................1
Introduction to Woolworths Australia...................................................................................................3
Stakeholder view...................................................................................................................................4
Stakeholder Analysis for four selected stakeholder groups...................................................................5
References.............................................................................................................................................8

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Introduction to Woolworths Australia
Woolworth started its operations in 1924 with a mini store in Sydney, Australia. Over the
years, Woolworth has converted into the supermarket colossal. Woolworth has become the
first choice for every family in the locality. The company has extended itself by offering a
wide series of grocery and food products. The company is tremendously subtle to the
customer’s requirements and offers innovative and better product proposals to the clienteles
on a regular basis. The brands under Woolworths are exclusive and extremely devoted to
offer the greatest quality products to the clients. The vision statement of Woolworths is to
focus on the future by viewing the long term goals of the company. The vision statement is
deliberated to be usually inspiring and stimulating. On the other side, the mission statement
summaries the fundamental principles of the company and states the details of the
organization and the steps taken to accomplish goals and vision. In crux, the vision of
Woolworths is to sustain and boost its retail corporate by providing superior quality, superior
expediency, and restored value for money, extensive range, high-value services, and
extensive range. Woolworth in Australia is trying hard to attain its vision statement. In order
to attain leadership in the market, it is vital for the business to attain its vision statement. The
vision statement of Woolworths in Australia is supported by:
 Comprehending requirements of the altering business: It is significant to comprehend
the changing business so that needs can be catered properly. It assists Woolworths in
sustaining and improving its retail business. The retail sector of Australia is dynamic
and changes as per the choices and needs of the customers. Woolworths is countering
the changing aspects of retail business by putting down the substance of the new
segment of expansion. The company believes in listening to the customers and trying
to innovate well which assists Woolworth in attaining its vision.
 The expectation of the customers from Woolworths is growing on a regular basis. The
company understands that in order to attain the vision statement, it has to keep
updated with the varying technology and encounter opportunities of the customers
fluently between the simulated and physical shopping means (Reinhardt and Gurtner,
2015).
Woolworth witnesses its growth in Australia mainly in the duration of 1930-40 and
lengthened itself by opening several stores. The brand recognized itself as the major retailer

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of fresh food harvests in the years 1970-80. Woolworth became a market retailer in the of
Australian retail sector during 1980-1990. From 1990 to present, Woolworth arrived into
numerous other segments with petrol gas stations and guesthouses. Woolworths is majorly a
retailer and has great roots in the supermarket sector with the universal merchandise stores,
petrol and gas stations, and hotels. At present, Woolworth is having 2,330 divisions, 577
universal merchandise stores and 284 hotels (Svensson et al. 2018). The prime areas of
operations comprise Australia and New Zealand with the holdings in Hong Kong, China, and
India.
Stakeholder view
Woolworth is such a huge organization and bound to have several stakeholders to hold a
social responsibility. The stakeholder group of Woolworth identified in the stakeholder view
model is:
Stakeholder Group
Custom
ers
Investo
s
Employ
ees Suppli
ers

Dynamic Strategy and Disruptive Innovation 5
Customers: The customers are deliberated to be the furthermost significant and valued
stakeholders of Woolworths. The company is highly dedicated to its customers and
understands their expectations well which have an impact on shopping behavior by constant
qualitative study. The customer care centre of Woolworth is liable to attain feedback and
grievances from the clienteles 24*7. The innovative harvests of Woolworths are verified in a
great customer-oriented atmosphere and factories in order to accomplish higher customer
satisfaction (Methner, Hamann and Nilsson, 2015).
Investors: The investors have a great role in making what Woolworths is today. The company
has reached new heights by attaining the trust and confidence of the investors. Woolworth
holds quarterly conferences and annual general meetings with the stakeholders to offer
insight into the activities of the organization. Add on, there is an investor call center service
that mainly handles to all the interrogations of the investors. The investor center on the
website of Woolworths permits investors to send email interrogations straight to the CEO.
Employees: The employees in the stakeholder view program of Woolworths are deliberated
to be the most valued people and are handled with almost upkeep and courtesy. It is the hard
work of the employees which has made Woolworths a giant organization. Woolworth is
greatly concentrated on constructing, advancing and expanding the competences of the
workforces in order to meet the current and future encounters and opportunities. Several
training programs and seminars are also conducted by Woolworth comprising mentoring,
networking, embattled leadership programs and other concerned growth activities
(Kumaraswamy, Garud and Ansari, 2018).
Suppliers: The suppliers are considered to be another significant group of Woolworths. It has
been always a priority of Woolworths to advance strong and long-term associations with the
suppliers. Woolworth arranges yearly trade performance dimension meeting, awards and
identify inventions by its associates. The company rejoices its collaborations with the
respected suppliers by recognizing them as a Supplier of the year honor (Miranda, Konya and
Havrila, 2015).
Stakeholder Analysis for 4 designated stakeholder groups
Customers: The customers are the most significant driving factor in the stakeholder analysis
of Woolworths. Although the company is innovating on a regular basis with the execution of
new technologies to impress and retain customers. The customers are likely to give more

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priority to convenience and better savings. The customers are generally organized to modify
the supermarket store on the base of contiguity, lower prices, and better offers. The customers
are collaborated by Woolworths through a program known as ‘everyday reward program’.
The data attained by this program is viewed widely to comprehend the way customers shop;
products required the most and where to place those (Grimmer, 2018).
Woolworth takes the feedback of the customers quite seriously so that customers can be
bringing back. The feedback is especially undertaken while making decisions regarding
customers. Another initiative taken by Woolworths is ‘customer talkback’ where customer
focus groups are held across the nation. The feedback is taken seriously by the company in
making the stores best in the long run.
Investors: Woolworth is having almost 445,000 shareholders and most of them are
Australians. It has been considered that millions of Australians are indirect investors of
Woolworths through superannuation funds. The company builds long term partnerships with
investors through fair and equitable dealings. In turn, it offers customers enhanced products
in a sustainable way. The investors enable investors to easily access to link services and
sustain current holdings online. The investors represent their interest in Woolworths through
conferences and meetings. The investor call center especially looks after the concern of the
company. The website also offers special assistance on the website of the company where
they can raise their concerns directly to the company (Bepari and Mollik, 2016). The
investors can even do direct email to the CEO of Woolworths. The investors are swing
stakeholder and the company is recommended to adopt a strategy which has struggles to
modify or impact the guidelines of the game. The company collaborates with environmental
groups such as environmental defense on the concerns like packaging (Spillan and Ling,
2015).
Employees: The employees drive the business by offering great services to the customers.
The employee’s motives are several career opportunities, extensive training, and
apprenticeship. The motives of the employees result in servicing customers in a better way.
The employees provided with the benefits, recognition, and rewards leads to satisfied staff
which is the ultimate goal of customer satisfaction (Merrett, 2019). On the other side,
satisfied and engaged employees offer better customer experience and lead to enhanced
customer satisfaction and loyalty. As a result, business growth is fuelled. The engagement of
the employees is their connection and commitment towards the company. The employees as a

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stakeholder of Woolworths bring more to work every day and constructs better customer
relationships (Grimmer, 2017).
Suppliers: Both competence and opportune manufacturing of the goods by suppliers is a
major element in the supermarket retail industry. The suppliers impact the way company
functions. The suppliers know the key to offering good products timely. The association with
the close suppliers works like a key to survive in the organization. The close link with the
suppliers has helped Woolworth to survive in the competitive market of Australia (Svensson
et al. 2016). The company is in a considerably robust negotiating position than the suppliers.
The suppliers work compliantly with the Woolworths. The company has even signed the
grocery code of demeanor and presently executing the code across the organization. The
behavior of the supplier stakeholder group has the capability to cause important harm to the
small supplier’s business by influencing the supplier’s ability to plan and innovate (Ferro et
al. 2017). The suppliers of the Woolworths are required to sign a rebate program on the
precise date. The commander strategy has been also adopted by Woolworths to deal with the
suppliers and to prioritize them at the point.

Dynamic Strategy and Disruptive Innovation 8
References
Bepari, M.K. and Mollik, A.T., 2016. Stakeholders’ interest in sustainability assurance
process: An examination of assurance statements reported by Australian
companies. Managerial Auditing Journal, 31(6/7), pp.655-687.
Ferro, C., Padin, C., Svensson, G., Sosa Varela, J.C., Wagner, B. and Høgevold, N.M., 2017.
Validating a framework of stakeholders in connection to business sustainability efforts in
supply chains. Journal of Business & Industrial Marketing, 32(1), pp.124-137.
Grimmer, L., 2017. Is it so hard to say sorry? Revisiting image restoration theory in the
context of Australian supermarkets. Asia Pacific Public Relations Journal, 18, pp.17-32.
Grimmer, L., 2018. The diminished stakeholder: Examining the relationship between
suppliers and supermarkets in the Australian grocery industry. Journal of Consumer
Behaviour, 17(1), pp.e13-e20.
Kumaraswamy, A., Garud, R. and Ansari, S., 2018. Perspectives on disruptive
innovations. Journal of Management Studies, 55(7), pp.1025-1042.
Merrett, D.T., 2019. The Making of Australia's Supermarket Duopoly, 1958–
2000. Australian Economic History Review.
Methner, N., Hamann, R. and Nilsson, W., 2015. The evolution of a sustainability leader: The
development of strategic and boundary spanning organizational innovation capabilities in
Woolworths. In The Business of Social and Environmental Innovation (pp. 87-104). Springer,
Cham.
Miranda, M.J., Konya, L. and Havrila, I., 2015. Fine Tuning Customer Satisfaction to Prevent
Shopper Attrition. In Assessing the Different Roles of Marketing Theory and Practice in the
Jaws of Economic Uncertainty (pp. 152-156). Springer, Cham.
Reinhardt, R. and Gurtner, S., 2015. Differences between early adopters of disruptive and
sustaining innovations. Journal of Business Research, 68(1), pp.137-145.
Spillan, J.E. and Ling, H.G., 2015. Woolworths: An Adizes Corporate Lifecycle Perspective.
In Business History Conference. Business and Economic History On-line: Papers Presented
at the BHC Annual Meeting (Vol. 13, p. 1). Business History Conference.

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Svensson, G., Ferro, C., Hogevold, N., Padin, C. and Sosa Varela, J.C., 2018. Developing a
theory of focal company business sustainability efforts in connection with supply chain
stakeholders. Supply Chain Management: An International Journal, 23(1), pp.16-32.
Svensson, G., Høgevold, N.M., Petzer, D., Padin, C., Ferro, C., Klopper, H.B., Sosa Varela,
J.C. and Wagner, B., 2016. Framing stakeholder considerations and business sustainability
efforts: a construct, its dimensions and items. Journal of Business & Industrial
Marketing, 31(2), pp.287-300.