MBA501: EFS Disruptive Innovation Analysis and Recommendations

This report analyzes the disruptive innovation capabilities of Essendon Food Solutions (EFS), examining its internal structures, external factors, and marketing strategies. The analysis identifies key areas impacting EFS's innovative capacity and provides actionable recommendations. The internal perspective focuses on improving business processes, while the external perspective emphasizes stakeholder engagement and market analysis. The marketing perspective highlights the importance of ICT strategies and customer-centric approaches. The report suggests implementing cloud ERP systems, developing new marketing strategies, establishing new technologies, and hiring effective leaders to improve overall business operations, increase profit, and enhance the company's competitive position in the market. The report draws upon the case study to offer insights into the strategic leadership challenges and opportunities facing EFS.

Disruptive Innovation
Script
Student name

Disruptive innovation is a base of the business in the present era. Most of the business has
established successfully in the market because of disruptive innovations. In addition, it improves
the business functions of the company as well. Moreover, products have increased the growth of
the company in the market. Many organizations are successful in the market because of their
innovation and technologies.
Jonathan Jacob and Henry Shultz started Essendon Food Solutions (EFS) forty years ago. In
addition, Both were working for a multinational food ingredient company and felt that the
company’s systems and processes were inhibiting creativity and innovation. Jonathan was a
microbiologist, and Jacob was a Food technologist. In the present time, EFS employs more than
800 people with combined revenue of $ 1.6 Billion. EFS is a holding company with two
subsidiaries; Enzymatic and Essendon Emulsifiers.
In addition, each subsidiary is headed by a General Manager (GM), and they report to the EFS
CEO (Jonathan) and the Board of Directors. Moreover, the two GMs have significant autonomy
and tightly control each business unit. The managerial structure is top-down; the GM and senior
executive team of each business make all decisions such as project appraisals and selections.
The company has focused on its business innovation model to improve its products and services.
In addition, there are some basic needs of innovation and technologies. Financial conditions can
improve the business of an organization. Therefore, EFS should include cloud ERP systems to
manage their financial work. The company should focus on marketing strategies to know about
the scenario of the market to make necessary changes in their business planning. There are basic
processes for improving marketing strategies.
EFS must consider its external stakeholders to improve its business in various places. These are
external stakeholders of the company, which are customers, suppliers, society, shareholders,
creditors, and government. EFS should focus on the research and development department to
improve its products using disruptive innovations, a company has spent large amount on the
R&D cell.
Market condition is low according to data of the company. Therefore, it is necessary to launch a
new product or services to grab the market and improve their performance as well as increase
profit and revenue of the company

Technology can improve the processing of the product and services of the company. In addition,
the company must provide high benefits to customers using various technologies and disruptive
innovations. ICT capabilities can improve the business functions of the company and it makes
huge impacts on the company revenue and profit. Disruptive innovation can change the scenario
of the company, as new technologies and innovations make huge impacts on the internal and
external stakeholders.
There are some recommendations for the company to improve its various perspectives based on
disruptive innovations. These are some recommendations, which areas:
1. Improve internal business processes using employees and other stakeholders
2. Focus on external stakeholders to improve performance and increase profit in the market
3. Develop new marketing strategies based on ICT strategies
4. Establish new technologies for improving various business function, such as ERP,
5. Hire good leaders for the strategic alignment of business functions
The company must focus on these recommendations for the overall improvement of business
operations.