Corporate Innovation and Entrepreneurship Strategies at TUI Group

This report provides a critical analysis of corporate innovation and entrepreneurship, focusing on TUI Group. It examines various leadership theories, including management, transformation, contingency, and situational theories, highlighting differing viewpoints among TUI's leaders. The report also delves into Hofstede's cultural theory, analyzing power distance, collectivism vs. individualism, uncertainty avoidance, femininity vs. masculinity, short-term vs. long-term orientation, and restraint vs. indulgence within the organization. Furthermore, it discusses managing change processes using the Change Kaleidoscope model, emphasizing the importance of time and scope in implementing organizational changes. The report concludes with recommendations for TUI Group to enhance its innovation and entrepreneurial strategies.

Corporate Innovation
and Entrepreneurship

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Critical Analysis.....................................................................................................................3
Managing the change process.................................................................................................7
Synthesis.................................................................................................................................9
Recommendations................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Corporate entrepreneurship is a process in which the organisation is able to instigate or
able to renew new strategies and methods within the organisation. Corporate innovation is also
the process which helps the firm to initiate multiple changes with the changing environments of
the corporates. The report aims to analyse about understanding the process of innovation and
there are strategic decisions which could be taken by the entrepreneur. TUI group is the leisure
which is been providing the travel and tourism services to the customers. TUI AG was
previously known as Preussag AG (Grabara, Hussain, and Szajt, 2020). They have changed their
business operations from mining now the organisation is been providing services of the tourism
to the customers. In this report the main focus is to evaluate the leadership and culture which is
been by the organisation. The leaders of the organisation gives the desired direction to
employees which helps them to improve their skills and capabilities. There are various
advantages which is been used by the organisation and the company also tends to provide the
healthy environment which improves the workplace productivity in an effective manner. On the
other hand, there is a brief analysation about the change process which is been used to implement
the new change in the workplace and understanding about the change process. Kaleidoscope is
the process which is been used by the agent groups to solve various problems. There are various
steps which is been used in order to solve the problem.
MAIN BODY
Critical Analysis
Theories of leadership – These theories of leadership will help the to understand why
certain individuals become leaders (Zheng, and et.al 2021). They focus on developing the
essential traits and using various strategies which will help the to become more efficient in the
workplace. There are multiple theories of leadership which is been described below:
The argument will be presented by the managers and the leaders of the TUI which will be
represent as A, B and C
 Management theory – This is the theory which is been used to boost the productivity of
the workplace in an effective manner. It empathies on improving the organisation
effectiveness in the market. The leaders of TUI has different opinions there are various
things which is been contradicting with each other. A thinks that this theory does not

improve the critical areas of the employees which is the major downside for this
particular theory. On the other hand, B agrees to the things which is been suggested by A.
C suggests that in order to improve the productivity the theory of transinformation needs
to be applied which is the major source of enhancement.
 Theory of Transformation – This theory suggests that there is a relationship between
the leaders and the staff. They need to work in a coordinated manner in order to achieve
the goals and objectives in the market (Hampel, Perkmann, and Phillips, 2020). The
leaders of TUI thoughts are not matching with each other. A suggests that this theory
encourage the individuals to establish an effective communication with the staff. B thinks
that the things which is been suggested by the A is right. The leaders needs to establish
and effective communication with the employees. C disagree with that and suggests that
the organisation management and leaders has the major duty to provide the right path to
the candidates which will help them to achieve growth and they are able to attain great
results for the organisation.
 Theory of Contingencies – This is the theory which suggests that there is no best way to
run the organisation. There are various considerations which needs to be taken into
favour which help the organisation to achieve greater performance in the market. The
leaders of TUI has another opinion towards this theory. A suggests that the best way to
run the organisation is to implement an effective working environment which boost the
morale of the employees and make them more productive (He, and Tian, 2018). B thinks
that this is absolutely perfect to enhance the performance of the organisation. C suggests
that the organisation needs to work in a uniformed way. This will help the organisation to
provide Berretta services and products to the consumer.
 Theory of Situations – In this theory there are multiple judgements which is been taken
in an effective manner. There are various decisions which is been taken in order to solve
the complex problems of the organisation. The leaders of TUI works with the motive o
providing the best services to the consumers. A thinks that with the help of the structure
the organisation and maintaining the right judgments the organisation is able to solve
various problems in an effective manner. B disagrees to that and suggest that the
organisation needs use various tools and theories in order to solve the problems and the
use of technology will also carry out the operations in an effective manner. On the other

hand, thinks that the leaders need to self-Internet the capabilities and skills which is been
required in order to solve the problems which is been arise in uncertain situations.
This argument between the leaders of TUI is described above and there are many
differences which is been arise in way of carrying out the operational activities and the
organisation leaders has enriched their vision in order to provide the flexible working
environment to the employees which helps them to achieve the desired goals and objectives in
the market.
Theories of culture
Hofstede cultural theory suggest that this is the framework which is been used in order to
understand the cultural differences in an effective manner (Kahn, 2022). There are multiple
phases in this cultural theory which is been described below:
 Power distance Index – This is the extent which suggests that there is inequality which
is been established in the workplace. The workplace structure of TUI is healthy there is
open communication which is been established in the workplace. The organisation is
providing the healthy working environment to the employees in which various employees
can see their overall growth. There are various advantages which is been taken by them in
order to perform better in the market. It has been analysed that the TUI leaders A
suggests that there needs to be equal behaviour established in the workplace. On the other
hand, B agrees in regards to this subject. While C thinks the behaviour needs to be
established with the help of ethics and work values which needs to self attained by the
leaders and the employees of the organisation.
 Collectivism Vs Individualism – There are various dimensions which is been inherent in
this particular factor. TUI staff is able to achieve the desired goals in an effective manner.
They have improved the image the individual has also develop multiple skills and
capabilities which helps them to perform in a better way. Collectivism suggest that there
is importance of the team they need to work in a coordinate manner in order to achieve
the goals of the organisation (Kuratko, Goldsby, and Hornsby, 2018). It has been
analysed A thinks that the individual needs to be flexible they need to work with the team
in a coordinated manner as well as being the individual. Through this the organisation is
able to perform better in the market. B disagree with that and thinks the leaders needs to
make the team on the basis of skills and performance of the individual. This will help

them to perform better in every manner. C aggress with b the individual also think that
the employees needs to be more skilled in order to carry out the operations in an effective
manner.
 Uncertainty Avoidance Index - This factor tells about the uncertainty which is been
implemented in the workplace. The leaders of TUI helps the employees in every manner
and help them to achieve growth in the organisation. It has been analysed that A suggests
that the workplace needs to work in a uniformed way towards the goals and objectives
(Medina Molina, and et.al 2022). On the other hand, B agrees with the knowledge with
the knowledge which is been shred by A. C has different opinions the individual suggests
that the role of every individual needs to be fixed in the workplace. They need to carry
out the duties and responsibilities in an effective manner.
 Feminity Vs Masculinity – This is the dimension which tells that there needs to be
appropriate and equal behaviour established with both the genders. The leaders of TUI
provide equal opportunities to both the individuals. A thinks that the organisation needs
to provide the recognition and promotion to the employees which will help to improve
the overall productivity of the workplace. B disagree with that and the and thins that the
organisation needs to adopt to the structure in which the individual can see their overall
growth in the coming period of time. C agree with the motive of A in order to improve
the productivity of the workplace they need to provide the necessary benefits to the staff
in an effective manner.
 Short term Vs Long term orientation – This is the stage which suggest that the time
horizon is the major difference between and the societies views it differently. The
management of TUI follows the long term orientation which helps them to achieve the
goals which is set for the longer period of time (Popowska, 2020). It has been analysed
that A thinks the organisation needs to achieve the short term goals in order to improve
the employees morale. B disagrees with that and thinks there needs to be a process which
needs to implement din the workplace which helps the organisation employees to
perform in their tasks and work responsibilities. C agrees with the A the individual
suggest the short term gaols could leads to higher outputs which can be attained by the
employee.

 Restraint Vs Indulgence – This is the dimension in which the organisation needs to
fulfil the desires of the society by providing them right products and services. TUI has
managed to provide best services to the customers due to their structure and the flexibility
of the workplace which leads them to higher efficiency. A thinks that there are various
ideas which improve the effectiveness of the organisation (Rexhepi, Hisrich, and
Ramadani, 2019). B also agrees with the individual they think that the structure of the
workplace and the values helps the organisation to offer best services to the customers. C
thinks that with the changing environment scenario the organisation needs to understand
the needs of the customers and through this they are able to provide better products to the
consumer.
Managing the change process
Kaleidoscope – Change Kaleidoscope is the process which is been used by the agents in
order to solve the complex problems. This model consists of three things which will help to bring
flexibility in the workplace. There are multiple stages which is been described below of this
particular model:
Organisational Change context
 Time – This is the factor which helps the organisation to foresee the time in which they
are able to bring the change in the workplace. With the changing environment scenario
TUI needs to bring the desired change in the workplace. They need to become more
efficient and needs to provide the right training programs to the individual in order to
improve their mind set and knowledge. The organisation is generally being providing
needs to bring the creative team which will help them to achieve success in the market.
 Scope – This is the factor which helps to understand about the factors which to align and
separated with the right transformation. In TUI there is scope of improvement the
organisation needs to bring the skilled workforce in order to enhance profitability in the
market (Si.,and et.al 2020). With the help of right technology, the organisation can
become more productive and able to provide better services to the customers.
 Preservation – The organisation assets plays a vital role and the practices helps to retain
during the change (Zahid, and et.al 2021). TUI has various shareholders and company
can evaluate various funds which will help them to improve the critical areas in which

they are lacking. With the changing needs the organisation also needs to improve their
culture to become more diversified and achieve greater performance in the market.
Organisational Contextual features
 Power – There is a need of the right distribution of power while implementing the
change in the workplace. TUI is bringing the skilled workforce and the technological
advancements. They need to distribute the duties and work responsibilities in an effective
manner which will help the organisation perform better in every manner.
 Readiness – The employees needs to be ready with the new change which is been
implementing in the workplace. TUI is hiring the talented candidates which is ready for
the change (Tseng, and Tseng, 2019). On the other hand, they can also provide the
training programs in order to improve the skills and capabilities of the previous
employees. Through this they are able to achieve success and offer better products and
services to the customers. The technological tools will also help to carry out the
operations strategically.
 Capacity – There are multiple resources which is been needed by the company which
includes the cash, human resource and time. In relation to TUI they are preparing to bring
the new change in the workplace. The organisation has the capacity in order to transform
the workplace.
Implementation Options
 Capability – There are various skills which is been required by the individual to become
favourable with the change. The management and leaders of the TUI needs to become
more flexible in regards to the change. The leaders need to understand the true
perspective of the employees. There are various strategies which is been formulated by
them in an effective manner.
 Diversity – In order to bring the change in the workplace. TUI leaders needs to enhance
their operations in multiple regions. They need to bring diversity in the workplace by
making it more flexible (Ucar, 2018). There are various advantages which can be taken
by the organisation. The employees are able to become more productive and achieve the
goals an objective which is been set by the management.

This is the method which will help TUI to bring the effective change in the workplace.
The model has various steps which will help them to address the concerns and enhance their
overall performance in the market.
Synthesis
It is a part of entrepreneurship and creativity in which all the data which is been collected
will be able to assure better practices. it ensures that, there are key practices in relation to
formulation of the objectives which occurs within the TUI group. It has created better potential
to analyse the key impact on company regrading making changes in the company. All these
synthesis shows the overall data collected in the patches to make any further changes in the
company. It shows that, change management theories are well presented to apply the change
process within TUI group. The change within the organisation can be occur through bringing
transformation in the company (Urbaniec, and Żur, 2021). This can be done through promoting
better change in order to solve the business problem. The TUI group mainly lacks in generating
IT applicants and does not have particular teams. This reflects that, there are key practices in
leading areas through undertaking infrastructure and user interference software which enable
better practices. for the development of change practices. all the key synthesis area must be
created in well manner which includes vision, objective and short term goals of the company.
There are necessary areas which will showcase the key paths of TUI group that will ensure better
practices in terms of handling various teams like IT and marketing which are crucial for TUI
performance in current areas. Therefore, all the necessary areas are being suggested through
patch work. It has critical analyse that the organisational and cultural are totally dependent on the
leadership qualities. As per the model of Amabile, the model of creativity can be classified in
three components which are domain, creativity, task and motivation. When employees will get
all these factors within the TUI, they will keen to take participate in new working areas and be
ready to adopt risks as well.
In order to transform the organisation, there are some ways which are helpful in ascertaining
key practices that are described below:
Establish a sense of urgency:
In order to transform the company, there is requirement of key areas which leads to focus
on creating better working environment. The crises which are faced by TUI leads to take major
opportunities and do not miss any important areas. Therefore, creating sense of urgency for TUI

to hire IT team will best human resources to carry out their operations on online platforms. The
potential crises which can be face by TUI are lack of knowledge and skill gap in hiring good IT
individuals. Apart from this, the opportunities are reflecting for the company is all about AI
technology, Cloud services and robotics which plays an important role in today’s era.
Form a powerful Guiding:
In order to adopt the changes within the organisation, building coalition and team work is
essential for every business. it is a key for success to work in together efforts and promote good
strategies in better way. Also, there is requirement for TUI to eliminate individual efforts and
divide the work within team. The change will become easy to operate through taking team
collaboration. The TUI group has the pool of experts and leaders who are lead to take courage in
the practice of organisation.
Create a vision: TUI wants to deliver effective tour and travel services across the world
through providing online services which will be easy and accessible for the development of
creating better performance of the company.
Communicate the vision: It is necessary to form the particular areas that creates the
vision for the organisation (Villasana, and Lozano, 2020). The TUI will communicate the vision
through social media channels like Facebook, Instagram, and Twitter. All these communications
will be possible through making campaign. Therefore, it is considered as a part of
communicating the problems that will emphasize on the TUI strategies to attract the customers.
Empower others to act on the vision: The TUI group needs to empower the areas to act
on their vision. This could be done through empowering the team to take risk in the current
dynamic environment. The vision is to make changes in such a manner that employees will get
ready to bear risk (Yunis, Tarhini, and Kassar, 2018). This will have done through applying risk
management strategies like focusing on barriers in technology and working together for the same
mission.
Create short term wins: It has analysed that short terms wins are crucial for business to
celebrate short success for further motivation. The TUI needs to set plans through initial level
and by achieve each milestones, celebration should be there.
Consolidate improvements and change:
The change can be made through bringing the good improvement strategies that will
secure the key practices and actions perform by the company. The TUI group leaders must make

performance plans in order to identify any mistakes and recommend proper solutions for future
security. For that instance, the managers of company need to dislocate the policies like
unstructured policies of communication (Wang, and Zhang, 2022). Open communication,
collaboration and development of new ideas can be done through making culture of feedbacks
which strengthen the limits.
Institutionalize new approaches:
New approaches which require in the better practices to initiate better guidelines in the
organisation. It demonstrates that, all the necessary practices require great leadership to get
success in the company. New approaches to bring change in the company can be done through
leadership styles. Therefore, success can be measure through past and current performance of
TUI.
Recommendations
As per the above discussion, the company is facing major problems regarding technology and
bringing positive culture in the organisation. The areas which are required to perform by the TUI
group are described below:
 The company needs to invest more in hiring skilful employees by fulfilling skill gap from
the organisation.
 The change must be regulating in company through setting power and feedback culture in
the organisation which will helps in bringing creativity and innovation in the company.
 This company has to make changes in policies in terms of managing diversity and
equality in the organisation. These policies must support the betterment of employees
towards analysing requirement of people and provide them compensation, incentives,
equal opportunities and career growth.
CONCLUSION
The report has concluded that change management is a crucial practice for the organisation
to bring innovation and creativity in the company. It can be done through setting effective plans
like vision, risks, strategies communication channels and integrated improvements. Also, the
patches which has prepared for the change management process synthesise some important
solutions for the company. This includes bringing new IT teams, involve AI and robotics
techniques to ensure great online services to the customers.

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