The Role of Innovative Thinking and Practice in Business Growth

This essay examines the importance of innovative thinking and practice in modern business. It discusses how innovation has evolved from diffusion theory to a more continuous and idea-driven process. The essay explores the contributions of innovation theories to applied practice, emphasizing the role of creativity in achieving competitive advantage and organizational goals. It analyzes the impact of leadership styles, particularly directive and participative approaches, on fostering innovation. Furthermore, the relevance of organizational and industry context on innovation is discussed, along with internal and external factors that influence it. The essay also addresses strategies for overcoming risks associated with innovation and identifies key innovation drivers, enablers, and barriers within organizations. Finally, it proposes mechanisms to support innovation practices and highlights common obstacles to innovation.

Running head: Innovative thinking and practice
Innovative thinking and practice

Innovative thinking and practice
Answer 1
Earlier it can be analyzed that innovation do not take place on a continuous basis but now a
days innovation is considered as an important aspect. Earlier the innovation which was taken into
consideration is diffusion theory but in the current situation the ideas are gathered so that
accurate decisions can be taken. Now thinking is related with introducing new products in the
market by focusing on the innovative ideas given by the individuals.
Answer 2
In the applied practice the contribution is given by the theories and thinking on innovation.
It is seen that the activities can be conducted in a smooth manner when individuals focus on
considering innovative ideas and also it helps to achieve competitive advantage. By new ideas it
can be easy for the company to accomplish overall goals and objectives in an effective manner.
If an individual is creative and innovative in conducting the activities then it can be easy for the
company to achieve positive outcome. For giving ideas the company should rewards its
employees so that they can feel motivated and happy.
Answer 3
Leadership style plays a great role in enhancing the innovation and it also manages the
overall innovation that take place so that activities can be conducted with proper care. According
to the directive and participative approach to leadership it can be analyzed that this approach is
related with the influence in the process of decision making. In this approach it is seen that
directive leaders help to encourage the innovation by controlling, monitoring, and also by giving
directions. Participative leaders also encourage the team level innovation by giving freedom to
create new solutions so that new innovation can take place (Johnston and Marshall, 2016).
Answer 4
The relevance of organizational and industry context on innovation is related with the
innovation in the organization. Organizational innovation is the implementation of various
methods of the company by considering the practices of the business and external relations. The
changes that take place in the organization are based on the overall methods which are used in
changing the management strategy, mergers and acquisition and also the change in the overall
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Innovative thinking and practice
price level. If innovation take place then it can be easy for the company to accomplish goals and
objectives effectively.
Answer 5
The internal factor that gives impact on the innovation can be
a.) Leadership: if there is no proper leadership then negative impact can be analyzed on the
innovation that takes place in the company.
b.) Communication: by not having proper communication in the workplace the innovation do
not take place.
c.) Organizational structure: innovation cannot take place where the structure is not
managed.
d.) Learning: if there is no proper knowledge to the employees then it can be difficult for the
company to enhance the ideas related to innovation (Chesbrough, 2017).
External factors are
a.) Political: If rules and regulations are not followed then impact can be evaluated on
innovation.
b.) Social: innovation can be done by analyzing the society also. So, if proper activities are
not conducted then it is not possible for the company to analyze the demand of the
society.
c.) Technological: innovation can be affected if company is not using latest technology
(Camisón and Villar-López, 2014).
Answer 6
To overcome risk associated with innovation
a.) The innovation should have set of limitations: by fixing the limit of innovation it can be
easy to introduce innovative products or any service in a managed form.
b.) It is important to have proper knowledge and understanding at the time of innovation: by
having proper knowledge it can be easy to access and manage the risk with the
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Innovative thinking and practice
innovation. Meetings should be conducted so that company can achieve growth in the
competitive market (Abdelkafi and Makhotin, 2016).
Answer 7
a.) Finding and selecting the talented candidates: there are four types of individual who can
drive innovation like inventors, entrepreneur, mentors and the individual achievers.
b.) Managers are also considered as an innovation driver who gives direction to the
employees.
c.) Innovation drivers are also the leaders who give direction to its employees to conduct the
activities in a right direction.
d.) Managing creativity is also considered as an innovation drivers.
e.) If a culture of innovation is encouraged then it can be easy to consider innovative
products and services (Anderson, Potočnik and Zhou, 2014).
Answer 8
Six innovation enablers in the organization are
a.) Behavior: the individual behavior is different and it hampers the innovation process or
innovation that takes place.
b.) Attitude: negative attitude affects innovation.
c.) Communication structure: if there is no proper communication then it is not possible to
conduct innovation.
d.) Environment: negative environment can enhance the boring ideas.
e.) Skills: no individual is born to lead innovative projects.
f.) Infrastructure: if innovation enablers are met on a regular basis then it can give negative
impact on the activities.
Answer 9
The mechanism should be related to the various concepts to support innovation practices
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Innovative thinking and practice
a.) It is important to ask for more ideas from the staff so that they can support the new
concepts and ideas in a proper manner. Rewards should be given to the people who give
different ideas.
b.) It is important to define the innovation for the company so that the ideas can be gathered
and created into a strategic plan. It will also help to ensure success.
c.) Proper guidance should be given to the people who come up with the new ideas and skills
(Hedström and Wennberg, 2017).
Answer 10
Five barriers to innovation within the organization are
a.) The leader of the company thinks that they know everything.
b.) Lack of communication between the company and the different departments.
c.) Change is uncomfortable
d.) The habits which are old are hard to break
e.) Thinking related to innovation is conceptual and not concrete.
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References
Abdelkafi, N. and Makhotin, S., 2016. Standardization, innovation, and organization: A
contingency perspective. Effective standardization management in corporate settings,
pp.286-308.
Anderson, N., Potočnik, K. and Zhou, J., 2014. Innovation and creativity in
organizations: A state-of-the-science review, prospective commentary, and guiding
framework. Journal of Management, 40(5), pp.1297-1333.
Camisón, C. and Villar-López, A., 2014. Organizational innovation as an enabler of
technological innovation capabilities and firm performance. Journal of business
research, 67(1), pp.2891-2902.
Chesbrough, H., 2017. The Future of Open Innovation: The future of open innovation is
more extensive, more collaborative, and more engaged with a wider variety of
participants. Research-Technology Management, 60(1), pp.35-38.
Hedström, P. and Wennberg, K., 2017. Causal mechanisms in organization and
innovation studies. Innovation, 19(1), pp.91-102.
Johnston, M.W. and Marshall, G.W., 2016. Sales force management: Leadership,
innovation, technology. Routledge.
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