Managing & Developing Innovation & Creativity: Primark Inn Solutions

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Added on  2023/06/12

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This report identifies challenges faced by Primark Inn, particularly its lack of an online presence due to cost concerns. It explores potential solutions using creative problem-solving processes, including cost-saving measures like strategic pricing, mobile app development, investment in electric vans, and optimized shipping policies. The report outlines a solution implementation plan, incorporating idea generation, prioritization, and testing, followed by an innovation audit methodology to effectively manage innovation. Recommendations include improving the company image through online business, reducing employee turnover, and strategically increasing product prices to manage costs. The report concludes that addressing organizational problems with effective solutions is crucial for smooth and efficient operations, and that introducing the business online can expand the customer base and improve accessibility.
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Managing and
developing Innovation
and creativity
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Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................4
Identify a specific problem that exists within an industry or operational functional areas such
as operation, marketing, and HRM..............................................................................................4
Solution........................................................................................................................................4
Solution plan................................................................................................................................5
Innovation audit methodology.....................................................................................................6
Recommendations........................................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
In an organization with the smooth functioning of the organization, some problems are faced by
the organization and are important to resolve them for better management practices. These
problems can also affect the whole organization and these challenges can be resolved by
effective strategies and solutions. This is the report about Primark Inn which Is known as an
international retailer which serves the latest homeware, fashion, and beauty with reasonable
pricing this was founded in 1969 and its headquarters is located in the UK. This report is about
the problem that this organization is facing and this report also involves the effective solutions
which can help in solving that problem. This report also involves the plan of solution
implementation and innovation audit methodology which can be used to identify the problem.
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TASK
Identify a specific problem that exists within an industry or operational functional areas such as
operation, marketing, and HRM.
Various organizational problems are faced by the organization and can hugely affect the
organization in negative terms as it can affect the in level of profitability and the basic root
reasons of rising a problem are poor communication with the employees and customers.
Organization or workplace problems are also caused by ineffective teams and a lack of
awareness towards the organizational goal. These are the internal issues of the workplace the
external issues of the workplace are on the functional area that is in marketing and operational
issue(Song, and Yu, 2018). The issue Primark Inn is facing is in the area of digital technology as
Primark Inn is not selling their products online as they do not have any website because of the
cost related to manning and operation and it also processes high return volume and because of
this they are unable to offer lower pricing. As this company is on the lower margins and
switching or introducing the website online increases the overall structure cost of the
organization. As there is one more reason for not selling it online as the company warned the
closure in lockdown, which has resulted in a huge loss to the organization(Castillo-Vergara,
Alvarez-Marin, and Placencio-Hidalgo, 2018). As if introducing the website online will cost huge as
because of Brexit as the website will open in two different distribution stores in the UK and
Ireland which will generate a cost of additional paperwork and then it will result of increasing of
the transaction cost. As the cost will be increased due to import and export tax regulations in
different countries. As the products of Primark Inn are, at a lower cost and customers will also
have to pay a huge amount of shipping which does not make any sense of selling It at a lower
price no profit will be attained by the organization. As these are the possible cost-saving reasons,
therefore, Primark Inn has no online website, and they do not sell online to save the profit cost
and to remain sustainable in the market.
Solution
Various solutions can solve the problem of high cost by introducing the website online that are
described below.
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As an organization can use various methods for saving their cost by increasing their
pricing of a specific product so that the cost of the organization can be saved and paid by
the end consumer.
This problem can also be solved by using a phone app so that customers can do shopping
from online stores.
Company can also invest the investment in the electric vans which can help in deliver and
can reduce its cost and company can also use free advertising all over the world.
Company can use shipping policy method which is firstly offering free delivery and then
increasing its standard delivery(Yang, Nguyen, and Le, 2018).
Company can also use the solution as in the return policy the returned item can be
delivered by the customer itself in the store of Primark Inn and for free this can also
increase the sales of the organization.
Solution plan
There are various ways by which a plan can be implemented in a systematic process as the plan
for implementing the solution of saving the cost of Primark Inn is described below. There is a
tool of the creative problem-solving process that can evaluate the problems and challenges faced
by the organization.
Clarify
This is the first and critical step in which the company recognizes the gap between desired and
the current state of the organization. This step can also build awareness to fill the gap between
customer requirements and the actual circumstances of the organization. As Primark Inn has the
main problem to secure the cost of the organization which will increase by switching it to online
and this can be solved by filling the gap and saving the cost of organization and this can be
clarified by maintaining the light to the problem(Mahmood, Uddin, and Fan, 2019).
Ideate
This is the next step in which a creative solving process is resolved by generating new and
detailed ideas so the problem can be caused as soon as possible. In this large ideas are evaluated
and the solution is made accordingly as for the problem of shifting the business of Primark Inn
online the ideas are generated are firstly proving the material on free shipping which will attract
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the customers and after that company can charge extra to save and balance there cost of the
organization.
Develop
This is a step in which these ideas are tested for better feasibility so that in the idea no obstacle
can be faced at the time of implementation. As this solution can be tested to form it cost-
effectively and feasibly so that this solution can turn helpful and can help in increasing the level
of profitability in the organization(Ferreira, Coelho, and Moutinho, 2020).
Implement
The solution idea which is evaluated and tested in the previous step will plan into
implementation as Primark Inn is implementing this solution after various tests and so that this
can not be turned as a failure as this outlet has decided to first free the shipping charges and then
increase the standard shipping for maintaining the cost of the organization(Thrassou, Vrontis, and
Bresciani, 2018).
Evaluate
This is the final step in which the solution is being assessed and introduced to the industry and
evaluates whether the solution made by the organization is effective or not and this solution work
on a long-term basis or not. This is the evaluation stage that can be turned useful and this can
ensure the effective solution of the problem(Zuraik, and Kelly, 2018).
Innovation audit methodology
This is known as the innovative way by which an organization can understand and manage the
innovation effectively and, in this employees, share their opinions and views and their names are
anonyms and in this ways, various problems are evaluated effectively and this is also done in a
form and used by Primark Inn in which the first step is idea generation then the ideas are
prioritization of the ideas has been done than it is implemented in the organization(Treffinger,
Schoonover, and Selby, 2021).
Recommendations
As company image is improved by starting a business in online therefore by shipping
methods this company should switch the business online(Han, and Hawken, 2018).
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This company can also reduce employee turnover rate by hiring skilled and
knowledgeable employees which will also help in reducing the cost of the business(Liu,
and Atuahene-Gima, 2018).
It is also recommended to the organization that before introducing they can increase
slightly the pricing of the products which can help in managing the cost while shifting it
to online.
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CONCLUSION
This report concludes that introducing the business online increases the customer base of the
organization and reduces the efforts of the customer’s band can be assessable from anywhere in
the world. This report has also concluded that it is important to look after the problems of the
organization and make an effective solution so that company can run smoothly and in an
effective way.
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REFERENCES
Books and Journals
Song, W. and Yu, H., 2018. Green innovation strategy and green innovation: The roles of green creativity
and green organizational identity. Corporate Social Responsibility and Environmental Management, 25(2),
pp.135-150.
Castillo-Vergara, M., Alvarez-Marin, A. and Placencio-Hidalgo, D., 2018. A bibliometric analysis of
creativity in the field of business economics. Journal of Business Research, 85, pp.1-9.
Yang, Z., Nguyen, V.T. and Le, P.B., 2018. Knowledge sharing serves as a mediator between
collaborative culture and innovation capability: an empirical research. Journal of Business & Industrial
Marketing.
Mahmood, M., Uddin, M.A. and Fan, L., 2019. The influence of transformational leadership on employees’
creative process engagement: A multi-level analysis. Management Decision.
Ferreira, J., Coelho, A. and Moutinho, L., 2020. Dynamic capabilities, creativity and innovation capability
and their impact on competitive advantage and firm performance: The moderating role of entrepreneurial
orientation. Technovation, 92, p.102061.
Zuraik, A. and Kelly, L., 2018. The role of CEO transformational leadership and innovation climate in
exploration and exploitation. European Journal of Innovation Management.
Treffinger, D.J., Schoonover, P.F. and Selby, E.C., 2021. Educating for Creativity & Innovation: A
Comprehensive Guide for Research-Based Practice. Routledge.
Liu, W. and Atuahene-Gima, K., 2018. Enhancing product innovation performance in a dysfunctional
competitive environment: The roles of competitive strategies and market-based assets. Industrial
Marketing Management, 73, pp.7-20.
Han, H. and Hawken, S., 2018. Introduction: Innovation and identity in next-generation smart cities. City,
culture and society, 12, pp.1-4.
Thrassou, A., Vrontis, D. and Bresciani, S., 2018. The agile innovation pendulum: A strategic marketing
multicultural model for family businesses. International Studies of Management & Organization, 48(1),
pp.105-120.
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