BUMGT 6927: Analyzing Creativity and Innovation in Organizations

This report delves into the concepts of creativity and innovation within organizational settings, exploring their definitions, differences, and importance for long-term success. It examines how creativity fosters new ideas and problem-solving, while innovation focuses on implementing changes and improving existing processes. The report highlights companies like Google and Zappos that encourage creativity and innovation, along with leaders who exemplify these qualities. It emphasizes the need for businesses to differentiate themselves through innovation to provide value to their customers and achieve organizational growth. The report also includes a self-reflection component, detailing the author's thoughts and insights gained during the assignment.

Running head: CREATIVITY AND INNOVATION IN ORGANISATIONS
Creativity and Innovation in Organisations
Name of Student:
Name of University:
Author’s Note:

1CREATIVITY AND INNOVATION IN ORGANISATIONS
Executive Summary:
The aim of this report is to discuss about the different existent ideas of creativity and innovation
in several organisational contexts. The idea of creativity and innovation as explained by different
researchers has been discussed in the given case study. The difference in the ideas between
creativity and innovation is also discussed in this assignment. It can be said that their creativity
can be leveraged and the proper capacities can be utilized to attain the long term success of the
organisation. Innovation is important in the sense that it is only method by which products and
services can be differentiated from their competitors. In order to make their business and
products valued by their customers, the products which they offer need to be distinct and prove
to be valuable to the customers. The report also contains a self reflection piece stating the
thoughts which help in the conduction of the assignment.

2CREATIVITY AND INNOVATION IN ORGANISATIONS
Table of Contents
Definition and formulation of the concepts of creativity and innovation:.......................................3
Differences in the ideas and concepts behind creativity and innovation in organisations:.............4
Examples of companies which encourage creativity and innovation:.............................................7
Examples of leaders who are creative and innovative:....................................................................8
Conclusion:......................................................................................................................................9
References:....................................................................................................................................10
Self reflection:...............................................................................................................................12

3CREATIVITY AND INNOVATION IN ORGANISATIONS
Definition and formulation of the concepts of creativity and innovation:
The concept of creativity and innovation are used in different connotations in the
different organisational contexts. The concepts of creativity are closer to that of behavioural
sciences which are applicable in different fields. Organisational innovation or organisational
creativity is “a type of collaboration which is a method by which innovation can be added in
organisations”. Secondly, it can be said that the development of organisational structures and
dynamics might foster the potential of the individual as well as the profitability of the
organisation (Mumford, Hester & Robledo, 2012). The concept of creativity after an
understanding of several theories have been considered to be “a process that results in novelty
which is accepted as useful, tenable or satisfying by a significant group of others at some point
in time.”
Creativity is considered to be a self-attributed construct. Creativity is considered to be
anything which is attributed as original to the creator and in this connection it can be said that it
is appropriate to the purpose of the goal or the creator. It has been considered that creativity is
actually a function of knowledge, curiosity, imagination as well as evaluation. The more the
knowledge base and level of curiosity of a person the more are the ideas, patterns and
combinations which the particular person can achieve (Serrat, 2017). The person can then
correlate for the creation of better and innovative products and services. Simply having
knowledge does not guarantee the formation of newer and innovative patterns. The bits and
pieces need to be shaken up and iterated in better ways. The ideas can then be developed into
ideas which can be used suitably later (Anderson, Potočnik & Zhou, 2014).

4CREATIVITY AND INNOVATION IN ORGANISATIONS
Organisations which have performed best over the long run are the most creative and
innovative. These organisations do not simply copy what others do, instead they might utilize
better and more innovative ideas from others for the service and application in specific cases, In
case organisations find that other companies are copying what others are doing, they can create
things which are new and strategies which are better. It can therefore be said that their creativity
can be leveraged and the proper capacities can be utilized to attain the long term success of the
organisation (Edquist, 2013). The problem with organisational structure is the resultant of many
factors which include the history, organic growth, strategy, operational design, and diversity of
products among others which need to be managed. Therefore it is desirable that organisational
managers need to have recipes of complete structural change (Baer, 2012).
Creativity and innovation are crucial for the organisational success which is necessary for
its performance. Creativity and innovate theories are applied and used for the procedures of
innovation. Several researchers consider creativity as the understanding of an individual or a
team. It can be said that individuals and teams are creative but it cannot always be said for
organisations. However it is desirable that organisations need to encourage innovation and
creativity. This can help organisations achieve their goals in their lives (Auernhammer & Hall,
2014).
Differences in the ideas and concepts behind creativity and innovation in organisations:
The idea behind creativity particularly in organisational context is about the concept of
creation. It involves harnessing the power of the mind for the creation of new ideas, plans
regarding launch of new products, experiments, art and other sensations. The concept of
creativity can be a type of expression or a way in which issues arising within the organisation

5CREATIVITY AND INNOVATION IN ORGANISATIONS
can be solved. There is no limit or no specification to the concept of which person can be
creative (Somech & Drach-Zahavy, 2013). It is possible for any person to be creative. In case of
organisations creativity has huge power (Binnewies & Gromer, 2012). This is due to the fact that
creativity makes or breaks organisational deals. Often it is seen that organisations despite
maintaining a great track record are not able to crack deals as their vision and goals lack
creativity. Creativity is not limited to specific companies who deliberately try to do things
differently, with majority of businesses usually favouring a traditional and monotone approach
towards running their organisations. With the advancement and development of new and
innovative technologies, companies need to be flexible and up to date (Dawson & Andriopoulos,
2014). Creativity helps such companies to identify newer and better ways to apply technology in
their businesses. In case employees are allowed to be more and more creative they are bound to
come up with newer and better ideas which help them in increasing the overall organisational
output. Several leading companies of the world have adopted unorthodox methods of
encouraging maximum amount of creativity from their employees which include noteworthy
ideas. To sum it up it can be said that in order to live a creative life people must lose the fear of
being wrong (Černe, Jaklič & Škerlavaj, 2013).
On the other hand, innovation requires a certain amount of stability and establishment. It
is basically concerned with the implementation of changes in a common or a long standing
procedure by means of its improvement. It is possible by possessing a balance in the existence
so that it can be developed based on the concept of innovation. There might be links between
creativity and innovation but in reality, the procedures are entirely different. Innovation is related
to the creation of new and innovative ideas which help them in the creation of ideas and their
development into things which are useful as well as practical. In several instances the concept of

6CREATIVITY AND INNOVATION IN ORGANISATIONS
innovation has been defined to be the procedure of conversion of theory into action (de Sousa,
Pellissier & Monteiro, 2012).
The commonest type of innovation is evolutionary which implies that the methods of
finding ways of making incremental improvements to the products and services lie within the
concept of innovation. Innovations which are created on existing nature of products and services,
are usually lower in terms of risk and it is usually easier to establish a certain demand on these
specific improvements and also calculate the likely return on the specific investment (Sarooghi,
Libaers & Burkemper, 2015). However, innovation needs to be understood and properly
interpreted. This is because of the fact that if those products are innovated which the customers
themselves do not like, there is no amount of innovation which is achieved in this particular
scenario. The best methods of innovation include collecting responses from customers on which
products they like and use and which they do not. Therefore it is crucial that those products are
bought which help in the overall increase in revenue of a particular company and therefore
correspond to the growth of the organisation (Çokpekin & Knudsen, 2012).
Innovation is important in the sense that it is only method by which products and services
can be differentiated from their competitors. In order to make their business and products valued
by their customers, the products which they offer need to be distinct and prove to be valuable to
the customers. Innovation is something which can be incorporated at several levels of the
business because it does not involve the products and their presentation alone but also their
manufacture. In case innovation can be used in case of the production of a particular product, it
needs to be ensured that the products are meeting the needs of the customers and the levels can
be proceeded on (West & Sacramento, 2012).

7CREATIVITY AND INNOVATION IN ORGANISATIONS
Examples of companies which encourage creativity and innovation:
There have been several companies who have prospered due to the implementation of
proper techniques and useful implementations. The example of Google in this case cannot be
neglected in view of the fact that the proper nurturing culture of the corporation has helped in its
overall growth. The innovations of the company have been undertaken by several companies all
over the world.
Another company which is given credit for its innovation is Zappos. It is famous for te
shoes e-commerce and for the positive work culture which is famous with the employees. The
core values of the company inspire the employees as a whole. The company has kept a part of its
budget reserved for the purpose of team buildings and the development of its culture. The
employees are encouraged to unleash their creative skills as they work in a fun working
environment.
Another innovative company is Warby Parker. The organisation has a special team which
is devoted to their corporate culture. The regular dinners, fun events and programs contribute to
their goals of being part of a cohesive community.
Chevron is another company which takes care of the well being of its employees and
ensures that the employees feel valued and respected. The company ensures that there are several
co-curricular activities which the company can take part in. The company also encourages its
employees to take regular breaks.
Adobe is a company which encourages positive corporate culture. The company entrusts
a certain amount of trust on its employees and they are given the freedom to perform their best n

8CREATIVITY AND INNOVATION IN ORGANISATIONS
order to create ambitious challenges for them and help them in their overall achievement. The
organisation encourages autonomy and the consequences of risk taking in a positive way.
Disney is another company which encourages innovation. It can infarct be said that the
company is basically all about innovation. The concepts which are chosen by the company are
such that they appeal to both the young and old alike. Every member of the teams are given
equal importance in order to help the company achieve organisational dominance.
Examples of leaders who are creative and innovative:
This section discusses about the different managers who have encouraged creativity and
themselves been creative in their different pursuits within their organisations. In the field of
diversity and education, the director of inclusive hiring and accessibility, Neil Barnett is a very
innovative and creative leader. The innovations and the creativity of different products of
Microsoft bear testimony to the fact that new ideas are encouraged at Microsoft. Candice
Morgan is the head of diversity at Pinterest and also encourages creativity in its endeavours.
Some other creative people are Karlie Kloss, the founder of Kode With Klossy, Crystal Martin,
the Code Girl Program manager at Launch Code. These personalities have shown several
categories of innovative products and services for their respective organisations.
Innovative and great leaders have been seen in the fields of design, entertainment,
diversity and education, fashion and beauty, finance and commerce, food, music, science and
health, social good, sports, technology and transportation among others. These people have
helped their companies create a lot of opportunities for growth and they have also been
successful in catering to the demands of the customers. These leaders have come inspirational in
the sense that they have been able to visualize future opportunities for the organisation and have

9CREATIVITY AND INNOVATION IN ORGANISATIONS
developed creativity accordingly. There is a strategic intent to make the creative ideas successful
and help the organisation succeed (Perry-Smith & Mannucci, 2017).
Conclusion:
In situations where companies make way for both creativity and innovation to take place
in a particular business, the performance is ultimately boosted. This can be achieved only when
there is a particular scope for this to take place. The concept of creativity primarily requires that
the workers of the companies should be creative. In order to achieve this particular scenario, it
needs to be ensured that the employees of the organisations are motivated to either work outside
of their office hours or incorporate their insights into creativity without affecting their major line
of work. It is also necessary to ensure that staff members feel free in their means of exploring
their innovative ideas and ways and means to achieve their goals. It is difficult to categorise
innovation but it is generally observed that the phenomenon is observed in case of employees
who are positive and well motivated. In case employees are stressed or worked up it is not
possible for them to adapt to their work environment well, and working for their ultimate goals
of innovation or creativity is much more difficult. Therefore creativity and innovation are
concepts which need to be encouraged from all quarters which, if implemented well can
ultimately boost the performance of the organisation.

10CREATIVITY AND INNOVATION IN ORGANISATIONS
References:
Anderson, N., Potočnik, K., & Zhou, J. (2014). Innovation and creativity in organizations: A
state-of-the-science review, prospective commentary, and guiding framework. Journal of
Management, 40(5), 1297-1333.
Auernhammer, J., & Hall, H. (2014). Organizational culture in knowledge creation, creativity
and innovation: Towards the Freiraum model. Journal of Information Science, 40(2),
154-166.
Baer, M. (2012). Putting creativity to work: The implementation of creative ideas in
organizations. Academy of Management Journal, 55(5), 1102-1119.
Binnewies, C., & Gromer, M. (2012). Creativity and innovation at work: The role of work
characteristics and personal initiative. Psicothema, 24(1).
Černe, M., Jaklič, M., & Škerlavaj, M. (2013). Authentic leadership, creativity, and innovation:
A multilevel perspective. Leadership, 9(1), 63-85.
Çokpekin, Ö., & Knudsen, M. P. (2012). Does organizing for creativity really lead to
innovation?. Creativity and Innovation Management, 21(3), 304-314.
Dawson, P., & Andriopoulos, C. (2014). Managing change, creativity and innovation. Sage.
de Sousa, F. C., Pellissier, R., & Monteiro, I. P. (2012). Creativity, innovation and collaborative
organizations. International Journal of Organizational Innovation (Online), 5(1), 26.
Edquist, C. (2013). Systems of innovation: technologies, institutions and organizations.
Routledge.

11CREATIVITY AND INNOVATION IN ORGANISATIONS
Mumford, M. D., Hester, K. S., & Robledo, I. C. (2012). Creativity in organizations: Importance
and approaches. In Handbook of organizational creativity (pp. 3-16).
Perry-Smith, J. E., & Mannucci, P. V. (2017). From creativity to innovation: The social network
drivers of the four phases of the idea journey. Academy of Management Review, 42(1),
53-79.
Sarooghi, H., Libaers, D., & Burkemper, A. (2015). Examining the relationship between
creativity and innovation: A meta-analysis of organizational, cultural, and environmental
factors. Journal of business venturing, 30(5), 714-731.
Serrat, O. (2017). Harnessing creativity and innovation in the workplace. In Knowledge
Solutions (pp. 903-910). Springer, Singapore.
Somech, A., & Drach-Zahavy, A. (2013). Translating team creativity to innovation
implementation: The role of team composition and climate for innovation. Journal of
management, 39(3), 684-708.
West, M. A., & Sacramento, C. A. (2012). Creativity and innovation: The role of team and
organizational climate. In Handbook of organizational creativity (pp. 359-385).

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Appendix:
Figure: MIND MAP

13CREATIVITY AND INNOVATION IN ORGANISATIONS
Self reflection:
This particular assignment has been extremely helpful in guiding me about the concept of
creativity and innovation in organisations. There are several thoughts and ideas that go into the
creation of innovative products for whichever organisation. In the form of customer or
consumers only the after effects of creative outlooks and thought processes are visible to us. I
understood that it is necessary is for the organisations to understand their core customer base and
their target market before planning for any innovations within the organization.
The assignment also shows certain differences between the concepts of creativity and
innovation. While the concept of creativity does not require a base on which it is to be created,
for innovation the concepts are different. I have gained understanding on the fact that for any
organisation to prosper it must keep innovating and keep changing its ideas and concepts. In case
any organisation stagnates, it becomes difficult for it to operate. Constant updates with the times
and the needs of the customers help the organisation grow and top the list of acceptable to the
customers.
Therefore I intend to learn from the examples of organisations and famous innovative
leaders and apply their principles in my concepts of thinking. It will help me hone my creative
skills and capable enough of applying my ideas in myriad matters. Working on this particular
assignment was a very nice experience and therefore very helpful in gaining proper
understanding about the creativity and innovation concepts in organisations.