Relationship between Enterprise Culture, Creativity and Innovation

BSc (Hons) Business Management Top up
BMP5005 Enterprise, Innovation & Creativity
Assessment 1: Essay
Relationship between Enterprise Culture,
Creativity and Innovation
Semester 1
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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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