Amazon's Innovation Strategies: A Business Management Framework Report

This report analyzes Amazon's global innovation framework, focusing on optimizing innovation footprint, communication and receptivity, and collaboration. It examines strategies such as evaluating knowledge requirements, creating innovation networks, developing communication networks, fostering global leaders, and building trust. The report also highlights the importance of international projects and collaboration with innovation partners. Recommendations include using common software platforms and engaging with all team members to enhance creativity and innovation. This report provides a comprehensive overview of how Amazon manages innovation to maintain its competitive edge in the global market. Desklib provides this assignment solution and other study resources for students.

Business management

Table of Contents
INTRODUCTION.........................................................................................................................3
Company overview......................................................................................................................3
Overview of managing global innovation framework.................................................................3
CONCLUSION AND RECOMMENDATIONS.........................................................................5
REFERENCES..............................................................................................................................7

INTRODUCTION
Innovation management is the composition of innovation process and business which will
be helpful in bringing successful change management (Gerybadze, 2020). This report will define
the framework which has been used by organization to manage innovation. The study will
outline various factors such as innovation footprint, communication and receptivity and
collaboration which can be optimized by an organization. Lastly the study will also highlight
various recommendations which can be followed by business in order to optimize innovation of
business at global level.
Company overview
Amazon is American multinational E-Commerce companies which offers various
products and services. The company was founded by Jeff Bezos in Washington us 1994. There
are various subsidiary companies which are started by Amazon such as- audible, whole foods
market, Zappos and many more. The company also offers other products such as digital
streaming artificial intelligence cloud computing in e-commerce platform. The company offers e-
commerce platform for sellers to promote their goods and offer services around borders and
nations. Amazon is a multination company which is operating all around the globe and
strengthened its position within the industry.
Overview of managing global innovation framework
The global innovation framework is based on three dimensions of change. These
strategies are helpful to transform organization into global innovators. The three dimensions of
change analyzed with the help of global innovation framework involves- optimizing innovation,
optimizing communication and receptivity and optimizing collaboration (Kraus, Roig-Tierno and
Bouncken, 2019). In case of Amazon, the company is one of the global companies which is
operating all around the globe and managed to sustain their position in the industry with their
global innovation framework.
In case of Amazon, the dimensions of change are analyzed and understood with the help
of global innovation framework which is briefly discussed below:

Optimize the innovation footprint
In order to optimise the innovation footprint several strategies are formed which are
followed by Amazon as well. The strategies for optimizing innovation footprint are discussed
below:
 Evaluate acknowledge requirement- This dimension gives insight and better
understanding of what knowledge is needed to bring innovations in optimize footprint as
well of excess to critical and complex knowledge. In order to identify these requirements,
Amazon follow several stages which involves- creating a working group of people with
diversified range of functions. This helps Amazon in classifying the knowledge to
distinguish explicit embedded and complex knowledge.
 Creating a Network of Innovation- With the help of competence audit, this will be
helpful in identifying replication and redundancy which will be helpful to create
knowledge map to indicate the optimal innovation footprint (Midler and et.al, 2017). In
relation to Amazon, the company carryout knowledge audit of their current innovation
network which support, send, determine, acknowledge skills and capabilities of each side.
This also helps in determining gaps between knowledge requirement and current
innovation network which will be helpful for rapid cycle running environment and is
highly favorable for regulatory regimes.
Optimize the communication and receptivity
 Communication Networks Development- Due to common and effective
communication tools and mechanism, dispersed team are unable to share knowledge and
worked as an integrated whole (Moskowitz, 2016). In order to minimize the negative
impact and to create communication network, Amazon undertaken audit of existing
process to determine areas harmonization and similarity is lacking.
 Developing global leaders- Creating a cosmopolitan manager plays a significant role for
a successful global innovation. In relation to Amazon, this acts as a bridge to transfer
important and complex knowledge. This also helps Amazon in organizing internal

campaigns to determine and attract bicultural people whose natural skills can be
leveraged.
 Building Trust and Changing the Culture- It is difficult to create culture of receptivity
and establish trust in comparison to achievement of other factors of action points. In
relation to Amazon, senior managers focus on driving cultural changes by introducing
small projects and initiatives which are helpful in delivering quantifiable benefits to
business by driving change in perception and behavior of employees and overall
organization (Schoper and Ingason, 2019). This also supports Amazon in creating the
environment of transparency and seek common grounds which are helpful in building
trust between different parts of business. This also aids in resolving problems.
Optimize the collaboration
 Taking Charge of International Projects- Global innovation projects leverage supports
in optimizing footprint and enhance communication capabilities which supports in
delivering innovative products services or business models. Creating competence in
global projects is a time taking approach. In case of Amazon, the company focus on
building trust and competency for managing the global projects with small dispersed
projects. The whole process of building a strong global project relies on talented and
experienced personnel who belong from different cultures and functions which will be
helpful in bringing value, experience and exposure by working closely with such human
resource. This will be helpful in forming innovative decision which will be fruitful for the
organization.
 Collaboration with Innovation Partners- Innovative collaboration with partner is one
of the common features and only approach for accessing the required knowledge. With
the help of a structured approach to collaboration supports innovation process by
reducing the risk while working with partners (Tiwari and Buse, 2019). In case of
Amazon, this motivates different parts of business innovation to involve wider range of
partners which will be helpful in identifying opportunities. With the help of gaps
determined in the knowledge maps, this helps Amazon to determine and evaluate
potential partners who can provide the required knowledge capabilities and offer
diversity to collaboration.

CONCLUSION AND RECOMMENDATIONS
In a nutshell, it can be understood that Innovation is the approach which enhance its
diversity, increases knowledge, offers growth to new Market and is one of the important factors
which is required to compete in global and integrated market. It can be understood that
innovation is one of the primary factors which is helpful in enhancing business profitability and
manage the performance of organization in global markets.
Recommendations
 Share a common software platform with all team members- The company must use
collaborative project management software which can be accessed by all teams in their
timeframe (Westland, 2016). This will b helpful for connecting with all team members at
all geographical locations.
 Engage with all team members and keep a check on them- By regularly focusing on
encouraging the remote workers and keeping a check on them will be helpful in
enhancing creativity and innovation in business and drive various opportunities through
which business success and profitability can be enhanced and maintained.

REFERENCES
Books and journals
Gerybadze, A., 2020. Technology and innovation management in a global perspective.
In Managing Innovation in a Global and Digital World (pp. 207-225). Springer Gabler,
Wiesbaden.
Kraus, S., Roig-Tierno, N. and Bouncken, R. B., 2019. Digital innovation and venturing: an
introduction into the digitalization of entrepreneurship.
Midler, C and et.al., 2017. Rethinking innovation and design for emerging markets: Inside the
Renault Kwid project. Auerbach Publications.
Moskowitz, S. L., 2016. Advanced materials innovation: Managing global technology in the
21st century. John Wiley & Sons.
Schoper, Y. and Ingason, H. T., 2019. Projectification and the impact on societies. International
Journal of Managing Projects in Business.
Tiwari, R. and Buse, S. eds., 2019. Managing Innovation in a Global and Digital World:
Meeting Societal Challenges and Enhancing Competitiveness. Springer.
Westland, J. C., 2016. Global innovation management. Macmillan International Higher
Education.