Practical examples of Open innovation models used in New Zealand organizations

Practical examples of Open innovation models used in New
Zealand organizations

Running Head: Report
Contents
1. Brief Profile of the organization...............................................................................................2
Fonterra Co-operative Group Limited.........................................................................................2
Parrot Analytics............................................................................................................................3
2. Academic Description of the model.........................................................................................5
Fonterra’s collaborative model....................................................................................................5
Parrot Analytics model.................................................................................................................5
3. Presentation of models.............................................................................................................6
4. Evaluation of the success.........................................................................................................9
5. Barriers to innovation.............................................................................................................11
6. Skills required to perform the selected models......................................................................12
7. Key aspects affecting the financial results of companies.......................................................13
8. Conclusion & Recommendations...........................................................................................14
References......................................................................................................................................15
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Running Head: Report
1. Brief Profile of the organization
Fonterra Co-operative Group Limited
Fonterra is New Zealand based Multinational dairy organization which is co-operatively owned
by 10,500 farmers. It is a global dairy nutrition firm and is responsible for around 30% of dairy
export worldwide. This organization is a large New Zealand organization with total revenue of
NZ$17.2 billion. This dairy group was established in 2001 following the merger of the two
largest dairy firms in New Zealand. Fonterra is very popular in shaping the dairy industry in
terms of innovation and product quality offered to the customers. Fonterra has employed more
than 22,000 people over the globe. This dairy organization serves around 140 countries and over
1 billion people each day (Fonterra Co-operative Group, 2018). Fonterra has a rich
experience in manufacturing nutritious dairy products. The organization collects, manufactures
and sells milk and milk-inferred products. It is considered as an FMCG company and largely
operating foodservice business. Fonterra supplies dairy fixings to food organizations, marked
dairy items to customers, and foodservice to nourishment experts in pastry shops and eateries. It
offers the customers with products like milk, ice-cream, cheese and butter.
Fonterra’s vision is to become natural sources of Dairy nutrition around the world. The company
is passionate to share nutrition for people of all age groups, everywhere & each day. Fonterra is
dedicated to uphold its standards along with maintaining its competitive leading position in the
dairy industry thereby delivering efficient and profitable service to the customers. Fonterra
creates a culture where employed staff shares their expert knowledge, skills, best practices to
develop the company as a whole. The service portfolio of Fonterra includes top most popular
brands (Fonterra, 2019).
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Running Head: Report
Figure 1: Service portfolio of Fonterra
This year’s goal is to become the market leader for introducing innovative products and fruitful
product launches. Fonterra's strategic plan is to create solid client associations with world's
known leading organizations in the nourishment and sustenance enterprises to turn into their
supplier of decision, and to keep on structuring its brands in developing countries like Asia and
the Middle East. Fonterra is planning to buy and operate the American factories of Nestle dairy.
It will not be mandatory for Nestle to purchase products or ingredients from Fonterra. It plans to
become America’s largest raw milk manager
Parrot Analytics
Parrot Analytics is a small to medium size data analytics organization in New Zealand which is a
data science company known to measure and forecast the global demand of existing and new
media content over the common platform. This organization empowers the different media
brands, companies and media agencies to determine global audience demand for TV content
(Verizon Media, 2019). It depicts the true value of content in the market. Even it helps the
media organizations to compare the same content in different countries. For this, it has its own
country-specific system for audience behaviour measurement and audience demand. This
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