Relationship between Enterprise Culture, Creativity and Innovation

This essay explores the relationship between enterprise culture, creativity and innovation and how they contribute to social and economic progress. It discusses the importance of bringing innovation to products, processes and services, and fostering a positive work culture that encourages creativity and innovation. The essay also highlights the benefits of creativity and innovation, such as increased productivity and profitability, and the role they play in solving business problems and gaining a competitive edge. The subject is BSc (Hons) Business Management Top up, and the course code is BMP5005 Enterprise, Innovation & Creativity.

BSc (Hons) Business Management Top up
BMP5005 Enterprise, Innovation & Creativity
Assessment 1: Essay
Relationship between Enterprise Culture,
Creativity and Innovation
Semester 1
Submitted by:
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The relationship between Enterprise Culture, Creativity and
Innovation and an examination of how they contribute to
social and economic progress
Enterprise may be defined as the legal entity which engages in various commercial,
occupation and industrial activities in order to earn profit (Kwan, Leung and Liou, 2018)
. There are numerous organisation which established to serve good to society.
Innovation plays vital role in making company more successful and facilitates in effective
attainment of goals. In addition to that, company should bring innovation to its process
and strategies so that it can take competitive advantage within target market. Apart from
profit making, it is important for company to identify needs and wants of customers and
produce product which can meet customer’s expectation. With market analysis, company
can identify what customers are seeking for and how their expectation can be met.
Creativity and innovation plays vital role in social and economic development and
contributes a major fraction in attainment of goals. There are numerous benefits of
creativity and innovation such as boost sales, enhanced performance and more
productivity.
In has been observed that creativity, innovation and enterprise culture directly
effects on overall productivity and efficiency of company and leads to maximization of
profit. In today’s technological world, creativity and innovation can bring prosperity to
company’s operations and helps in gaining competitive advantage. It is important for
company to bring innovation to its products, process and service so that customer’s
expectation can be met. Bringing innovation is a time consuming as well as involves
huge financial resources. The initial stage in innovation is to seek customer’s needs and
wants and based on that company collects data in order to create insight. Collected
insights facilitates in effective decision making and leads to fulfilment of objectives.
Customer seeks for product which can meet his expectation along with affordable price.
So it is crucial to set price affordable so that it can fit to customer’s pocket. In addition to
that, by bringing innovation to process, company can lower down overall cost and enjoy
high profit. Profit maximization is the core aim for every business concern and they try
best to cut down overall cost. Creativity and innovation are two essential components for
an entrepreneur which facilitates in reforming and rising.in today’s business scenario,
entrepreneurs come up with unique product and service by which they can capture larger
market. There can be seen cut throat competition in almost every industry and to gain
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competitive edge, it is needed to bring innovation and uniqueness to its products and
services. It is important for establishment to make modification and add some unique
feature to its products so that it can capture larger market. Nowadays companies are
framing strategies with innovative ideas and how they can bring innovation to its products
and services. Creativity is a time consuming process and cannot be taken by
consideration of a single individual. For example, Dyson invites board members and
employees to discuss about innovation and creativity. Employees share their thoughts
and opinions and after long discussion, decision is made with consent of all members.
Collection and interpretation of big data is a complex task and to minimize human
interference many companies opt Artificial Intelligence which lowers down burden of
company. It analyses customer habit, behavior and collects essential customer so as to
create insight. It will help company in deeply understand customer and their needs.
There are various managerial approaches which cannot be implemented at some
instance and at that time creativity helps in overcoming from issue. Adding to this,
business is full of uncertainties and it is important to have a positive culture which invites
involvement of creative individuals or those who have capability to think out of box.
Whenever a company faces with an issue or problem, takes suggestion from its
superiors and subordinates in order to resolve problem. There are various companies
who seeks for creative individuals in order to solve managerial and operational problem.
Success of an establishment significantly depends on effective combination of creativity
and innovation. Along with creativity and innovation, it is also important for company to
have positive work culture in which employee works with peak potential and this creates
sense of value within individual.
Within an enterprise, culture can be defined as proposed way to behave in a
specific manner (Goller and Bessant, 2017). There are various values that culture
encompasses with along with several beliefs that is formed by leaders and
communicated with employees by opting various methods so as to maintain positive
work culture. It is crucial for an organisation to focus on optimum utilization of
resources so that maximum efficiency can be achieved. With this, company can cut
down overall cost and can offer better price to its customers. Having positive working
culture facilitates in adoption initiatives and makes process effective. Corporate
culture needs to be taken into consideration while formulating management
strategies. Organizations which encourages in maintaining healthy relation with
peers and subordinates can benefitted in numerous way. Positive work culture leads
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to motivation and employees can work with peak potential towards achievement of
objectives. In context to negative working culture, it becomes difficult to attain
objectives because of low employee morale and reduced employee engagement. So
it is crucial for company to foster positive working culture so that employees can feel
valued part of organisation. Along with providing positive working environment,
company needs to apply key values so that it can contribute a major part in social
development. The culture in an organisation depicts way of practicing several
function and operations. It is being evaluated that organisational cultures should hold
ethical values and should have positive image within society so as to gain trust of
society. Various opportunities can be grabbed by fostering positive culture.
The term creativity can be termed as capability and ability of an individual who
thinks different form others. It encompasses with imagination and creative manner
(Ogbeibu and et al., 2020). There are various organisation who seeks for candidates
that have potential to think out of box in complex situation. It helps in solving
business problems in a creative manner which diminish probability of occurrence. It
contributes in both economic and social development. It is highly recommended in
technological industry as thinking out of box leads to effective modification in
products and services. In relation to Samsung, it brings innovation to its products so
that it can capture larger market. Creativity within products and services can bring
prosperity in company’s process and contributes in maximization of product. Market
opportunities can be captured by launching unique product. As business is full of
uncertainties and encounters with financial and operational issues, so in order to
address this issue company have to think different and in unique manner (Paulus and
Nijstad, 2019). It can be applied in every business sector and contributes in elevation
of economics of scale. It is needed for company to facilitate and encourage
innovative and creative thinking. It can be considered as key to drive productivity and
it embraces potential for failure which comes with experimentation. There are several
ways to structure creativity in order to mitigate potential risk and to maintain
momentum towards overall targets. For example, leaders can facilitate events
geared such as mind mapping sessions and hackathons. This type of events inspires
creative thinking along with providing helpful time boundaries. Company should
invest in creativity and the return are big ideas which power innovation and
engagement across team. With creativity, company can enhance overall profitability
by minimizing cost and with optimum utilization of resources.
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Innovation can be termed as way and adopting of modification in its process,
products and services. It is imperative for company to opt latest technology so that it
can take advantage in terms of high profit. Company can cut down overall cost of
production by opting latest machineries which saves time, cost and energy of
manpower. In addition to that, organisation should allocate financial resources in
obtaining latest technology by which it can take competitive edge within target
market. Customer seeks for quality product but by paying minimum amount.
Organisational innovation has tendency to enhance organisational performance by
diminishing administrative and transaction cost (Reiter-Palmon, 2017). It also
facilitates in enhancing satisfaction of employees and in attaining access to non-
tradable assets. Innovation within workplace delivers significant benefits and it is one
of the crucial skill in achieving success. It can help company in solving problems,
increasing market share and to edge out competitors. Innovation helps in problem
solving and provides creative insight which allows company to think from different
perspective. The economic development of company can be possible with innovation
and it helps in increasing brand equity and market share. Innovation can help in
meeting expectation of individual and leads to broader larger market. The main
purpose of innovation is to attract larger customer base and to maximize efficiency.
If a company does not bring innovation or unable to introduce new feature in
product, then it could not compete in market. With this, company can lose market
share and key staff. Company can increase competitiveness by offering high quality
products at lower cost and associated with creation of new products (Rampa and
Agogué, 2021). There are various innovation embraces that business can implement
such as new technology and their use, improved industry methods and meeting
changing customer needs and wants. All these embraces leads to social and
economic development. Survival and business competitiveness is directly linked to
ability to company’s innovation. In order to make innovation successful, it needs to
be supported by every member of organisation. It also leads to improved staff
retention and staff tends to work in jobs where problem solving and team work are
promoted. It is a proactive approach by which business can able to keep with
industrial changes. The approach to innovation is driven by business strategy,
market understanding, commitment to process and capability.
Employees are the crucial assets of company and company should help them
in becoming more productive by fostering positive culture in which they work with
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peak potential and contributes in attainment of goals. In order to bring innovation
within organisation, it is important to make innovation core value which encourage
employees to be honest, to share ideas and explore initiative. It should focus on
hiring employees who understand company’s vision and align culture and possess
different perspective. They should come from diverse background and hold different
abilities. In addition to that, company should be approachable and open to new ideas
and set aside space for workforce to share and create ideas. Many companies
allocate time for employees to take break from regular routine and to inspire new
thoughts. It can be supported by setting up of meeting to exchange ideas and
suggestion box. The other way to promote innovation is by encouraging collaboration
in which employees can work together and openly discuss ways of improvement
(Hon and Lui, 2016). Adding to this, company can provide dedicated area which
promote employee interaction and an open space in which they can discuss over
area of improvement. Creativity, innovation and enterprise culture are crucial
elements which collectively affects performance and productivity of company. It is
imperative to have balance among all three elements so that maximum benefit can
be obtained. With innovation and creativity, company can bring modification in its
process and services by which it can gain competitive edge within market.
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References
Castaner, X., 2016. Redefining creativity and innovation in organisations: suggestions for
redirecting research. International Journal of Innovation Management, 20(04), p.1640001.
Goller, I. and Bessant, J., 2017. Creativity for innovation management. Taylor & Francis.
Hon, A.H. and Lui, S.S., 2016. Employee creativity and innovation in organizations: Review,
integration, and future directions for hospitality research. International Journal of Contemporary
Hospitality Management.
Kwan, L.Y.Y., Leung, A.K.Y. and Liou, S., 2018. Culture, creativity, and innovation. Journal of
Cross-Cultural Psychology, 49(2), pp.165-170.
Ogbeibu and et al., 2020. Technological turbulence and greening of team creativity, product
innovation, and human resource management: Implications for sustainability. Journal of Cleaner
Production, 244, p.118703.
Paulus, P.B. and Nijstad, B.A. eds., 2019. The Oxford handbook of group creativity and
innovation. Oxford Library of Psychology.
Rampa, R. and Agogué, M., 2021. Developing radical innovation capabilities: Exploring the
effects of training employees for creativity and innovation. Creativity and Innovation
Management, 30(1), pp.211-227.
Reiter-Palmon, R. ed., 2017. Team creativity and innovation. Oxford University Press.
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