University Name: Innovation and Management Decision Making Analysis

This assignment delves into the critical aspects of innovation and management decision-making within a business context. The student explores the definition and significance of innovation, highlighting its role in adapting to changing business environments. The analysis examines the impact of various forces, including socio-cultural, economic, and technological factors, on a company's marketing campaigns. It emphasizes the need for proactive responses through innovation to ensure survival and success. The assignment further explores the importance of improving decision-making processes by collecting information, reducing bias, and responding to market trends. It provides an example of organizational innovation from Samsung, showcasing how creative talent and freedom of expression can foster innovation. The student references several scholarly articles to support their arguments, providing a comprehensive overview of the subject.

INNOVATION AND MANAGEMENT
Innovation and Management Decision Making
Student Name:
Student ID:
University Name:
1

INNOVATION AND MANAGEMENT
Innovation and Decision Making
Quit talking and begin
doing is the way of getting
started
Aim of this blog is to give
insights and evidences in
relation to innovation and
decision making.
(Source: Author-made)
What is innovation?
According to Cross, et al., (2017) innovation can be described as an act to introduce something
new, product (eco-friendly outwears, stitch free clothing) or method (use of block chain to avert
unethical business practices, new business process etc.) or material to apply into commercial or
practical objectives. Innovation provides resources with a new capacity to create wealth. A
number of innovative characteristics/features/attributes, and customer “touchpoints” in
combination is frequently offered by Cotton On to maintain innovation.
Always think Out of the Box to be innovative!
2

INNOVATION AND MANAGEMENT
Why the need for innovation?
A significant impact of change forces such as socio-cultural, economic, technological and
environmental is seen on the success rate of Cotton On’s marketing campaigns. According to
Stroh (2016), the forces of today’s business environment is highly volatile and seeing and acting
proactively upon the opportunities for change through innovation will not onlyhelp Cotton On in
its survival but will also help to attain flourishing success during the toughest of the economic
conditions across the globe. For developing rapid innovation culture and effective business
processes, innovation is used as technological and a strategic tool by Cotton On. Out of various
environmental factors contributing to innovation in business, education and learning are one of
the key factors. In Cotton On’s ability of becoming innovative, a lot will be done by education as
it will enable its people to think out of the box toget things done. Another salient environmental
factor which is perceived as an aspect of innovation is access to capital. According to Palm, Lilja
and Wiklund (2015) innovation is influenced by economic forces, which is linked with the type
of government. As Australia is democratic country its government is more inclined in fostering
innovation for business like Cotton On as compared to any other type of government. Innovation
is more readily fostered by the ruling government because of its contributions to improve the
society as a whole. The current business environment is witnessing a rapid and continuous
change in the technological forces, all thanks to the evolution of digitization. For catching up
with technology advancement Cotton On needs to be innovative through effective promotion of
digital communication tools like intranet, chat rooms, discussions forums etc. in its workplaces.
More revenue streams can be generated from this connectivity and aggregation of data for
leveraging the current asset in dramatic and profit-making ways. According to Moussa,
McMurray and Muenjohn(2018) since technological forces are also changing the basis of
3

INNOVATION AND MANAGEMENT
competition, somoving towards technology advancement will enable Cotton On to competeas it
isoperative into apparel industry.Further, impactof socio-cultural forces (people- users, choosers,
and influencers) can be seen on all products/services, so to deal with growing awareness of
people Cotton On need to innovatein terms of use of elements in production process, so as to
reduce harm to society and meet people’s expectations.
Improving Decision-Making: A Framework for Innovation
For successfully being innovative Cotton On needs to improve its decision-making. This can be
done by collecting better information about markets and its capabilities; accumulating and
drawing on their own or others’ experience; recognizing and reducing bias and error in
judgment. According to Galvez, et al. (2018) uncertainty and risks always comes across
decision-makings however, by taking adequate measures to improve foundations, the odds of
making good decisions can be increased by Cotton On thereby, attaining good results. For
responding to technological and socio-cultural forces and trends like rise of middle class, aging
population, heterogeneous society etc. and Artificial Intelligence, touchscreen technology with
one-click shopping, the strategic innovative respond of Cotton On will be limpet to capitalize on
established technologies. The business paradigm supporting this innovative response will be
Service Dominant Logic, further ensuring the integration of products/services to provide
effective experience to its customers.
Organizational innovation: Example from Samsung
Samsung had engaged a Chief Design Officer for giving creative talents direct access to top
management, for the first time allowing employees table their ideas in front of the Executive
Board. According to Li, et al. (2018) recognizing the strategic importances of freedom of
hierarchy, in its Design centres the employees at Samsung are encouraged to speak their minds
and without fear. This approach has bridged the barriers in innovation at Samsung. Such an
approach can be used at Cotton On’s to nurture innovative thinking and creative minds and build
strong foundation for future innovation.
4

INNOVATION AND MANAGEMENT
References
Cross, R., Arena, M., Sims, J., andUhl-Bien, M. (2017). How to catalyse innovation in your
organization. MIT Sloan Management Review,[Online] 58(4), 39-47.
Available:https://search.proquest.com/docview/1916720849?accountid=30552Accessed on
17/3/2019
Galvez, D., Enjolras, M., Camargo, M., Boly, V., and Claire, J. (2018). Firm readiness level for
innovation projects: A new decision-making tool for innovation managers. Administrative
Sciences, [Online]8(1), 6. Available: http://dx.doi.org/10.3390/admsci8010006Accessed on
17/3/2019
Li, W., Tahseen, A. B., Nasiri, A. R., Hamid, A. S., andFayaz, A. S. (2018). Organizational
innovation: The role of leadership and organizational culture.International Journal of Public
Leadership,[Online] 14(1), 33-47. Available:http://dx.doi.org/10.1108/IJPL-06-2017-
0026Accessed on 17/3/2019
Moussa, M., McMurray, A., andMuenjohn, N. (2018). A Conceptual framework of the factors
influencing innovation in public sector organisations.The Journal of Developing Areas,
[Online] 52(3), 231-240. Available: https://search.proquest.com/docview/1963328656?
accountid=30552Accessed on 17/3/2019
Palm, K., Lilja, J., andWiklund, H. (2015). Agencies, it’s time to innovate!International Journal
of Quality and Service Sciences,[Online] 7(1), 34-49. Available:http://dx.doi.org/10.1108/IJQSS-
04-2014-0029Accessed on 17/3/2019
Stroh, P. J., C.M.A. (2016). Are you driving innovation value or stagnating? Strategic
Finance, [Online]98(6), 26-33. Available: https://search.proquest.com/docview/1848824355?
accountid=30552Accessed on 17/3/2019
5