Impact of Innovation, Business Ethics and CSR on OCADO GROUP PLC

This report assesses the impact of innovation, business ethics and corporate social responsibility (CSR) on OCADO GROUP PLC. It includes research, analysis and application of innovation, business ethics and CSR to the company. The report highlights the importance of proper management, innovative strategies, and ethical business practices for gaining competitive advantage. It also discusses the diffusion model of innovation and the Carroll Pyramid model of CSR. The subject is Business Environment and the course code is MOD003353.

Student Number: 2013391/1
BUSINESS ENVIRONMENT: COURSEWORK
WRITTEN
BUSINESS REPORT
Student ID: 2013391/1
Word count: 2512
Assignment deadline: Tuesday 14th December 2021 at 14:00
Assignment: 011
Module: MOD003353
Module Leader:
Semester/Trimester: 1
Academic year: 2021/2022
1

Student Number: 2013391/1
1.1. Executive Summary
The current report is based on OCADO GROUP PLC (OGP) that is
technological based global software & robotics platform that provides unique
solutions to online grocery across globe. The present report will highlight innovative
strategy and its impact on modern business. Impact of corporate social
responsibilities and business ethics will be included in present study along with
examples. In the report below you will see that there is a greater need to have proper
management in the company, so that competitive advantages can be obtained. In
addition, the current report included information on organizational issues, the
innovation strategy and its impact on the operation of the business. The case study
included ethical business practices and its influence on the organization's operational
practices. The specified company has implemented actions such as proper
compliance with labor law, consumer protection, etc. The current report involved
CSR activities of the company that contribute to gaining competitive advantage.
Figures
2

Student Number: 2013391/1
Table of Contents
1.1. Executive Summary .........................................................................................2
List of Figures.............................................................................................................2
List of Tables...............................................................................................................2
1.2. Assess the impact of innovation on modern business organisations.......4
1.3. Research, analysis, and application of innovation to OCADO GROUP
PLC…………………………………………………………………………………………..6
1.4. Assess the impact of business ethics and corporate social responsibility
(CSR) on modern business organisations ..............................................................8
1.5. Research, analysis, and application of business ethics and corporate
social responsibility to OCADO GROUP PLC.........................................................9
1.6. References......................................................................................................10
3

Student Number: 2013391/1
1.2. Assess the impact of innovation on modern business organisations
There are different kinds of organizational aspects that play important role
influencing operational practices of business. OCADO GROUP PLC is one of the
international organizations has different organizational aspects. There are basically
four aspects of organization which includes common people, division of work,
coordinated efforts and hierarchy of authority. To order to meet overall requirement
of enterprise in efficient manner it becomes possible for the enterprise to concentrate
on developing effectual aspects in business so that greater outcome and
productivity to reach leading position in industry (Abbas, 2020). OGP’s aspects such
as employees, resources, are properly managed and effectively prioritized so that
optimum utilization of available of resources so that much productivity and stability to
cope up changing circumstances can be derived.
To be success in industry, it becomes important for the company to pay
attention on developing few innovative strategies so that higher emphasis on it can
be derived. Competition and trend of client requirements have changed that need
firm to concentrate on analysing market situations so that higher ability to overcome
prevailing challenges can become possible. OCADO GROUP PLC is one of the
successful organizations that require company to maintain sufficient knowledge that
needed to be developed by firm in its operational practices so that greater
productivity can be obtained.
There is higher concentration is given on developing leadership tactics in
employees in turn proper innovative tactics can be executed in company. OCADO
GROUP PLC operates its business process with help of artificial intelligence and
machine learning so that technological development in company can be derived.
Having proper innovative strategy becomes crucial for specified organization as
there need to be highlight such advancement adoption of technological components
for gaining competitiveness in sector. In addition to this, there are number of
changes in current business environment that forces firm to enable new course of
action to achieve ability to develop differentiation quality in offered products and
services.
There are number of strategies that need to be changed or altered to match the
prevailing circumstances. To achieve competitive advantages, it becomes essential
4

Student Number: 2013391/1
for enterprise to give quality full services so that ability to attract customers can
become possible. OGP make sure that proper ability to sign for bright grocery future
(Song and Yu, 2018). It concentrates on identifying that all kept effort is in correct
direction in turn higher profitability can be achieved. OCADO GROUP PLC has
implemented different kinds of tactics that are crucial to be applied by organization in
its supply chain managements so that higher level of sustainability can be achieved.
The mentioned organization provides quality service to its clients for which it pays
attention on developing significant execution of technological aspect so that
maximum favourable impact on company can be derived.
Diffusion model of innovation is one of the widely used model that help
company to make decision regarding particular new launch of product or policies.
There are number of actions which are focused by OGP prior implementing actions
in turn corrective actions can be executed. It includes innovators, early adopters,
early majority, late majority and laggards. On the basis of this model, it is identified
that offering service will be accepted by clients or not. According to this, it can be
interpreted that there are different types of innovative product users which aids in
taking crucial decision (Djumanazarovna, 2020). Innovators are those who are first
to try and early adopters are referred to people that has a enjoy leadership roles &
embrace opportunities. They are basically aware of products and want to try. Early
majorly adopt new ideas that are come before average people late majority are
skeptical for change who take use of innovative products that are already has been
tried. In addition to this, laggards are very conservative to change (Borowski, 2021).
By suing this particular framework of innovation specified enterprise pay attention on
assessing how people are accepting change or they are satisfied or not. On the
basis of this firm pay attention on a taking decision.
This model is applied by large number of companies irrespective of their scale of
operations such as size in order to achieve maximum level of benefits like higher
market share, greater profitability, etc. From the evaluation, it can be articulated that
firm uses to gain higher satisfaction from all of its internal and external users. The
main reason behind the competitive advantage possessed by particular firm r such
as unique end to end to operating solution for online grocery store. In addition to
this, OCADO GROUP PLC get assistance in changing the way people buy
groceries so that higher productivity can be derived. OGP to achieve this objective of
changing pattern of buying to bring innovative practices in sector. Retail organization
5

Student Number: 2013391/1
in current environment is facing peak level of competition which enable them to
accept different and creative software and products that can share competitive
advantages while dealing with their customers. For this purpose, OGP ensures that
these expectations of clients are fulfilled in effective manner (Müller, Buliga and
Voigt, 2021). Enterprise installs distinct software that can contribute in building good
image among stakeholders through providing quality services and higher return on
investment.
From the evaluation it can be identified that there are variety of needs of company
which are attained by OGP through maintaining ability to adopt changing
circumstances in effective manner. There is frequent change in market trend is found
that forces firm to give deeper focus on increasing competitiveness by developing
creative strategies so that s maximum level of productivity & stability through
maintaining good financial position by adapting diverse way of handling operational
practices of business.
1.3. Research, analysis, and application of innovation to OCADO GROUP
PLC
Business ethics is associated with following fair and relevant practices that helps
in safeguarding interest of stakeholders. In the modern business environment, it has
become essential for organization to pay attention on implementing relevant
business ethics practices. The reason underlying the fact is that people has become
aware about their rights and duties which enable them to arise voice against
unethical practices (Dierksmeier and Seele, 2020). It can result in creation of legal
and social obligation which forces firm to pay attention on developing effectual
strategy so that adhering to ethical activities can become possible.
According to the utilitarianism model of business ethics, company should make
decision only after considering aspects of business so that action of morality can be
assessed on the basis of derived outcomes (Lu and et.al., 2020). The model
indicates that there is no right or right practice conducted y organization. There
should be emphasis provided on constructing effectual strategy has maximum
positive impact on company and least detriment.
OCADO GROUP PLC as being international organization pay attention on
formulating significant policies and strategy so that better progress can be derived.
6

Student Number: 2013391/1
The specified organization implements ethical practices for both internal and external
activities such as execution of marketing, pricing strategies etc. in turn greater
emphasis on conducting fair trading can become possible. There is implementation
of strategy by firm to make sure that employees are getting significant way working
environment, proper working hours, remuneration, etc. The reason for this course of
action to offer equality by eliminating gender-based biasness in practices of firm. In
order to execute proper recruitment and training, focus is given on skills, experience
and attributes of employees (Brenkert, 2019). OCADO GROUP PLC pay attention on
developing significant workforce through fair recruitment by providing equal
opportunities. Each employee has is given right to communicate their problems and
decisions by developing clear & transparent communication system in OGP. On the
basis of this it can be identified that positive impact on employees can be seen. In
addition to this, positive influence on staff of OGP is found as they get motivated due
to favorable & engaged working culture. It aids company to get loyal and committee
employees that helps in achieving organizational objectives & goals in effective
manner.
There is significance of compliance with corporate governance in each
segment so that irrelevant practices can be eliminated. OCADO GROUP PLC pay
attention on ensuring that relevant activities are exerted for delivering high quality
solutions to clients so that safeguarding consumer right objective can be achieved. It
is mission of specified organization to go milestones for customers so that higher
trustworthiness to gain competitiveness in industry can be derived. Firm makes sure
that appropriate policies, strategies and activities are conducted to meet to
objectives of business. Fair pricing, quality, approaches are exerted by business to
accomplish ability of complying with industrial and global standards. On the basis of
this, it can be identified that there are different kinds of practices that are executed
by OCADO GROUP PLC in order meet organizational objectives. Implementation of
business ethics are enabling OGP to incline productivity & profitability through
motivating and encouraging staff to attain goal of higher customer satisfaction,
leading position in industry (Cepel and et.al., 2019). it can be articulated that such
types of practices aid the organization to bring competitive advantage in both
monetary and non-financial aspects so that greater position in sector can achieved.
7

Student Number: 2013391/1
1.4. Assess the impact of business ethics and corporate social
responsibility (CSR) on modern business organisations
There are various organizational aspects that need to be into consideration for
getting trustworthiness in society. There are various ways in which business can
conduct corporate social responsibilities so that accomplishing positive affect on firm
becomes possible. OCADO GROUP PLC is one of the international organizations
that uses different kinds of resources from society for meeting its daily requirements
of company (He and Harris, 2020). It becomes responsibility of all firms to enlarge its
reach to society and giving high return by investing for development of society. For
this purpose, companies formulate effective strategy that allows business to conduct
good practices or welfare of community. It avoids misconducting of bribery, fraud,
breach of data privacy, insider trading, danger to health & safety, conflicting of
interest, harassment, environmental issues and abuses of human rights (Ferrell and
et.al., 2019). In addition to this, it is ensured by organizations that misconduct that
can create barrier in execution of CSR practices. There is need to highlight that there
is proper integrity check is as well conducted by firm to increase productivity and
profitability along with competitive advantages.
It is done by executing proper sourcing & resecting human rights, protecting
environment, declining rate of carbon footprint, etc. it allows organization to driven
efficiency by bring these in core & striving for lean and more sustainable processes.
There is presence of OCADO foundation which supports charities through giving
emphasis on providing expertise knowledge of technologies and building
opportunities for better life of community. Concentration is provided by enterprise to
increase charitable activities through implementing charity & fundraising policy in
organizational processes. The specified policy aims to protect company from misuse
of funds, misconduct leading legal practices, creation of disruption of media for
spoiling image of company, etc.
Carroll Pyramid is one of the suitable models of corporate social responsibility
so that greater knowledge regarding business actions that they have conducted for
8

Student Number: 2013391/1
welfare of community. In addition to this there are four levels in this particular model
which includes economics, legal, ethical and philanthropic. In addition to this, the
particular model is one of simple framework that provides assistance in arguing how
& why organization should meet its corporate social responsibility (Kusyk, 2021).
There are various actions which are executed by company for good doing in
respect of community. In addition to this, it becomes essential for the organization to
give larger emphasis on conducting such course of action which can provide
significant contribution to organization in success.
The particular pyramid comprises economic responsibilities that is lowest level
part of pyramid which basically represents one of the crucial duty that is needed to
be accomplished (Adnan, Hay and van Staden, 2018). It is required to pay attention
on generating higher level of profitability to provide sufficient & reliable benefits to
staff. Attaining this responsibility permits company to highlight higher sustainability
level by overcoming all the challenges.
Legal responsibility is concerned with obeying law by conducting fair & relevant
practices in market. It includes complying with employment, taxation, positive
competition in industry, health & safety measures, etc. There is essential for the
company to maintain good relation with stakeholders so that higher ethical
environment can be maintained.
1.5. Research, analysis, and application of business ethics and corporate
social responsibility to OCADO GROUP PLC
Ethical responsibility describes what is right, fair and relevant, practices that can
aid in avoiding non crucial and negative impacting situations (Nurunnabi, Alfakhri
and Alfakhri, 2020). This layer is one of the best parts of this model that helps to
understand that what are relevant actions executed by company.
Philanthropic responsibility tend to have smallest space in philanthropy which
criticized that carbon footprint, pollution, utilization of resources, etc. that is essential
for the organization to highly eliminate for avoiding negative impact arising form
company. It is one of the of essential part of this is specified model (Huo and et.al.,
2021). It aids the organization to highlight what and how practices should be done to
get greater productivity.
There is proper waste management strategy applied by firm that gives relevant
opportunity to ensure significant quality for future generation. Food waste
9

Student Number: 2013391/1
management, no poverty, zero hungry and good & wellbeing are the few action
taken by company. OCADO GROUP PLC highly concentrate on developing effectual
corporate social responsibility so that treating people in accurate manner for gaining
positive impact can become possible. There are few crucial courses of action
conducted by specified organization to accomplish higher sustainability and
productivity (Agudelo, Jóhannsdótti and Davídsdóttir, 2019). It involves climate
action, affordable & clean energy and sustainable cities and communities. On the
basis of this, it can be identified that these courses of action can be helpful in
declining rate carbon impact arising due to operational practices of OCADO GROUP
PLC. From the assessment it can be interpreted that it becomes essential or the
organization to pay attention on developing such practices so that higher productivity
& sustainability can be derived. These type of CSR activities are usually exerted by
enterprise to have relevant & significant influence on operational practices. In order
to derive such effect on company, there should be emphasis provided on conducting
practices for gaining trustworthiness among stakeholders.
It is recommended to conduct market analysis process for gaiing detailed insights
about requirements of society in turn executing appropriate CSR activities to gain
higher productive outcome can become possible.
1.6. References
Abbas, J., 2020. Impact of total quality management on corporate green performance
through the mediating role of corporate social responsibility. Journal of
Cleaner Production. 242.p.118458.
Adnan, S.M., Hay, D. and van Staden, C.J., 2018. The influence of culture and
corporate governance on corporate social responsibility disclosure: A cross
country analysis. Journal of Cleaner Production. 198. pp.820-832.
Agudelo, M. A.L., Jóhannsdóttir, L. and Davídsdóttir, B., 2019. A literature review of
the history and evolution of corporate social responsibility. International
Journal of Corporate Social Responsibility. 4(1). pp.1-23.
Borowski, P. F., 2021. Innovation strategy on the example of companies using
bamboo. Journal of innovation and entrepreneurship. 10(1). pp.1-17.
Brenkert, G.G., 2019. Mind the gap! The challenges and limits of (Global) business
ethics.n Journal of Business Ethics. 155(4). pp.917-930.
Cepel, M and et.al.,., 2019. Selected economic factors of the quality of business
environment. Journal of International Studies.
10

Student Number: 2013391/1
Dierksmeier, C. and Seele, P., 2020. Blockchain and business ethics. Business
Ethics: A European Review. 29(2). pp.348-359.
Djumanazarovna, K. G., 2020. The role of the state in the formulation of innovation
strategy in industrial enterprises. Academy. (4 (55)).
Ferrell, O. C. and et.al., 2019. Business ethics, corporate social responsibility, and
brand attitudes: An exploratory study. Journal of Business Research. 95.
pp.491-501.
He H. and Harris, L., 2020. The impact of Covid-19 pandemic on corporate social
responsibility and marketing philosophy. Journal of business research. 116.
pp.176-182.
Huo, C. and et.al., 2021. Groundwater contamination with the threat of COVID-19:
insights into CSR theory of Carroll's pyramid. Journal of King Saud
University-Science. 33(2). p.101295.
Kusyk, S., 2021. Carroll's CSR Pyramid: An Empirical Investigation of SME CSR
Orientation. Journal of Leadership, Accountability and Ethics. 18(4). pp.100-
115.
Lu, J. and et.al., 2020. Modified Carroll’s pyramid of corporate social responsibility
to enhance organizational performance of SMEs industry. Journal of
Cleaner Production. 271. p.122456.
Müller, J. M., Buliga, O. and Voigt, K. I., 2021. The role of absorptive capacity and
innovation strategy in the design of industry 4.0 business Models-A
comparison between SMEs and large enterprises. European Management
Journal. 39(3). pp.333-343.
Song, W. and Yu, H., 2018. Green innovation strategy and green innovation: The
roles of green creativity and green organizational identity. Corporate Social
Responsibility and Environmental Management. 25(2). pp.135-150.
11