Comprehensive Report: Principles of Innovation and Change Management

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This report delves into the principles of innovation and change management, using Zebra Ltd and BPC Electronics Ltd as case studies. It explores the relationship between innovation and competitive advantage, analyzing internal and external factors that facilitate organizational change. The report examines management styles that foster creativity, the features of organizational culture that support innovation, and various sources of innovation. Furthermore, it discusses factors influencing change, change models, and communication needs of stakeholders. The report provides a comprehensive overview of the subject, offering valuable insights into how organizations can effectively manage innovation and change to achieve their goals.
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PRINCIPLES OF INNOVATIOIN
AND CHANGE MANAGEMENT
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
A) Relationship between innovation & competitive advantage in company...............................3
B) External and internal factors that help & permit for organizational change...........................4
TASK 2............................................................................................................................................6
A) Management styles that allows employees to be creative and innovative..............................6
B) Analysing the features of organization’s culture that supports innovation.............................7
C) Assessing the different sources of innovation.........................................................................8
Ways to encourage innovation at Zebra Ltd..............................................................................10
TASK 3..........................................................................................................................................11
A) Internal & external factors that allow change and those that are obstacles to change
procedures..................................................................................................................................11
External factors-.........................................................................................................................11
B) Change model, procedure of change and change factors addressed by management...........12
TASK 4..........................................................................................................................................14
A) Positive work relationship can facilitate change...................................................................14
B) Different communication needs and various type of support that might be needed by
different stakeholders groups.....................................................................................................15
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17
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INTRODUCTION
Change management refers to the procedure, techniques and tools utilize to manage
individual side of change to achieve needed business result. It focuses on applicant impacted by
modification. The current reports is based on Zebra Ltd and BPC electronics Ltd organization,
this study explain relation between innovation and competitive benefit in company, external &
internal factors that aid and permit for organizational change and also define management styles
that permit for worker to be creative as well as innovative in firm. Furthermore, this study
analyzed features of company culture that helps innovation, various source of innovation and
also explains ways to encourage innovation. Moreover, this report justified internal & external
elements that allow change and those that are challenges to change process. It also define change
model, discuss procedure of change and clarified positive work relationship can facilitate
modification. At last in this study, different communication needs and various kinds of support
that might be needed by several stakeholders unit will be explained.
TASK 1
A) Relationship between innovation & competitive advantage in company
Innovation refers to something new, such as a creation or practice of introducing and developing
new things. It is an often a new goods or services, but it can also be a new term of doing
something or yet a new way of thinking. It is commonly linked with technology and
organization, but it occurs in any field where individual introduce modification, including
electronic tools, equipments and arts. In order to gain competitive benefit, BPC electronics Ltd
and its management make innovation which is quite beneficial for them. With the help of
innovation, organization can get competitive benefits as result it increase their brand reputation
in marketplace and also help to become a market leader. Above statement, define the relationship
between competitive benefit and innovation in organization. In simple, words innovation is
carried out in company to gain advantage within highly competitive business environment. It has
disruptive and great effect on competition, any kind of positive creativity which adds value to
services or products is good for competitive benefit (Bashir and Verma, 2017).
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As it helps organization offer values to its consumers, improve production procedure,
reduce costs, adds attractive features and hence maximize customer’s satisfaction. Innovation as
strategy or activity consists of implementation of new goods produced by organization or
betterment of existing firm practices such as production procedures, workplace organization
activities, marketing approach or external connections with target customers. By innovating new
products or making changes in existing ones company can improve item quality which help to
gain consumers attention rather than before. When firm increase consumer base as results it
increase sales and profit margin that support to gain benefits of high competition. For example,
BPC electronic Ltd provide a range of tailor made printed circuit board producing and design
services ranging from manufacturing and testing to contract electronic manufacture. When they
innovates circuit board with some attractive features for consumers they can drive million of
people towards purchasing it as it help to gain competitive advantages because other
organizations are unable to innovate it.
Along with it, in order to keep competitive, firm across its sector embracing of innovation
should be fully and truly: innovation strategies, procedures creation and strategies. From
competitive environment, items within same sector from each company are very difficult and
similar for clients to realize differences (Aziz and Samad, 2016). The ability of concept is key
productivity and profitability that creates competitive edge by discovering or perceiving better or
new way to accomplish in manufacturing sector and launch them into target market.
Furthermore, it can be said that innovation by invention enables or permits differentiation of
company’s goods or services from rivals, therefore playing essential role in organization
superiority & gaining competitive profit.
B) External and internal factors that help & permit for organizational change
Internal elements-
Employees-
Workers are the important and most effective internal business factors that support
company and allow them to make changes within organizational practices as well as
performance as outcome they can gain top position within marketplace as compare to their
competitors (Bellou, Xanthopoulou and Gkorezis, 2018). In context of BPC electronic Ltd, when
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staffs are motivated, talented and hard working they are able to contribute in achieving business
aims. Employees help firm to modify their existing activities for gaining benefits by performing
and contributing in it. In some cases, motivated employees are always ready to except the
changes and allow company to do so. They will produce better outcomes compared to an
uninspired and less skilled workforce.
Financial abilities-
When organization is financially strong, they can make changes as well as adopt current
trends as results it increase their profitability and productivity level rather than before (Brunsson
and Olsen, 2018). Business funds and money, allow and support firm as it make them capable to
modify business functions or operations in term of productivity which help to increase
operational efficiencies more than competitors accessible within same sector. In simple words,
when organization need to change for betterment and gaining competitive advantages, they need
money for it, in that case by having strong financial background they can make modifications
easily.
External components-
Technology development-
Advancement of technology help firm to strengthen their brand image within marketplace
by making changes within existing business practices that is beneficial for overall firm (Bellou,
Xanthopoulou and Gkorezis, 2018). In simple words, organizational environment will be
impacted by technological advancement, it helps to improve production process and allow
making important chances while producing printed circuit board. For example, technology get
changes in context of marketing products or services, it allow firm to modify their current selling
activities because it aid to gain competitive benefit. It help when organization adopt and comply
with new as well as advanced digital marketing technologies such as social media advertising,
web promotion etc.
Consumer’s preferences-
Along with the above external factors that aid and allow for organizational change,
customer attitude and preferences is another element that support for the same (Cameron and
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Green, 2019). Consumers provide their feedback to management regarding product or service
quality and affectivity, which help organization to change their current production process
according to client feedback and put extra value within existing items according to their
preferences. Furthermore, manager by using social media sites identify the need of target market
which help and permit firm for changing their current activities or action in term of increasing
operational efficiencies and consumer base rather than past few years. People put pressure on
company to chance their practice according to their needs.
TASK 2
A) Management styles that allows employees to be creative and innovative
There are different types of management styles that can be used by the organization for
managing their business. But there are two management styles that promotes creativity and
innovation among the employees of Zebra Ltd. A detailed description is given below.
Democratic management style
Democratic management style is also known as participative style which is based on the
philosophy that everyone deserves to say irrespective of their position.The idea behind this form
of management style is to encourage the participation of the employees with respect to sharing of
idea, opinion on a regular basis as and when feels required. It encourages employees to come
forward and share their thoughts, provide suggestions and solutions in order to provide help to
each and other and implements effective team work (Zheng, Wu and Xu, 2017). In this style, the
final decision is taken by the manager but after consulting the entire team before making the
decision. This style provides employees the sense of belongingness and also provides
opportunity to come up with creative and innovative ideas by encouraging them to take more
responsibility for the better result and outcome.Also, if the idea of the employee is implemented
then it motivates employee to work even more harder with dedication. The major downside of
this style is that it takes a lot of time which led to delay in decision making.
Laissez-Faire management style
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This management style puts emphasis on the freedom of the employees. In this, manager
provides full freedom to their employees to o the work in the way they want without any
interference. Within this management style, no oversight is provided by the manager in the
creation process. Manager promotes the self-directed teams and only involves when things go
wrong or team requests (Fiaz, Su and Saqib,2017). This style offers immense opportunities of the
employees which brings out their creative and innovative skills.The manager is mostly seen at
the beginning and at the ending of the process that too for providing guideline related to the
project. This management style leads to the high level of job satisfaction. It also boosts the
employee’s morale by giving freedom to be creative and innovative throughout the organization.
The drawback of this style is that teams needs to be self-motivated and skilled enough to manage
and solve the problems. It is also very risky as problems may get undetected until it’s too late.
B) Analysing the features of organization’s culture that supports innovation
The key elements or features of organizational culture that promotes and support
innovation in an organization are stated below.
Openness
This characteristic of culture refers to sharing the information among the employees. If
the Zebra Ltd promotes openness as its one of its objectives it will help in adding more valuable
knowledge which as a result can support further innovation (Why Culture Is The Heart Of
Organizational Innovation. 2017). Creating the corporate culture in such a way that encourages
employee interaction with one another at various of the workday will assist in improving the
knowledge that can be used at the job.This feature is very important for bringing and
encouraging innovation in the organization.
Hand-on approach
This characteristic of organizational culture focusses on using unique and experiential
learning methods that helps in improving the knowledge, skills and abilities of the employees.
Workers will be continuing to learn in the organization. This practice can be implemented with
the help of relevant policies that can help and provide support to the employees while involving
in the projects and other tasks. Also, under this feature, effective training is provided to the
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employees for their further development and enhancement which helps in enhancing the
innovative skills and performance of the employees.
Excellence
This organizational cultural characteristic mainly aims at achieving the bets result from
all aspects of the business. This feature is integrated with various human resource development
initiatives which appreciates the employees for the excellence in their performance (Taghizadeh
and et.al, 2019).For instance, providing timely training programs which are majorly designed for
motivating the employees for continuously improving their skills for an excellent output. This
feature in the organization if implemented by Zebra Ltd is very beneficial for striving excellent
result and increasing innovation in the organization.
Innovation
Under this, organization needs to always stay focussed on encouraging innovation among
its employees. Also, the organization should formulate policies for providing better support to
the employees in respect to the ideas and opinion they have. The innovative organizational
culture and the workplace environment will motivate employees to think out of the box and
contribute to the overall innovation approach of the business and its products. Innovation will
help the business in facing the changing trends and emerging needs in the better and effective
manner.
Thus, these are the essential features of the organizational culture which if implemented
successful and effectively will help Zebra Ltd in providing better support to the employees in
respect to innovation.
C) Assessing the different sources of innovation
There are various sources of innovation that can be used by Zebra Ltd. Some of them are
stated below.
Market structure-
The current market structure gives immense opportunity for innovation. Market
regulations keeps on changing which leads to expansion of some product line and shrink of
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others (Nakamori, 2020). Thus, it is essential for the firms to continuously monitor the market. A
change in the market opens up various opportunities for innovation. The rapid growth of the
industry is the major indicator of change in the industry which allows taking the advantage of
changing preferences of the customers.
Demographics-
The changing is also the result of innovation. Companies are affected in some way with
respect to change in demographics. The demographic changes like employment, education,
income level etc. which influences the businesses but on the other hand also opens the door of
new horizons to the company (Şengün, 2017). It is only possible if the company is effective
enough in identifying the emerging opportunities. Lifestyle needs is the biggest need and is
required to be fulfilled at any cost, this is where innovation comes into the picture to take
opportunity and this can be the great source of innovation.
New knowledge-
It is another source of innovation, when applicant or person gain new information about
something they drive towards innovation (Iyer, Sharp and Brush, 2017). Among history making
it, those that are based on new info and comprehend whether technical, social or scientific rang
high. They are super stars of entrepreneurship; they obtain money as well as publicity. It can be a
source of creation, whether it is biotechnology or nano technology or even artificial intelligence,
this source in any field play role as source of innovation. Knowledge based innovation different
from all others in recent time when person take in their casualty rates or in their predictability.
Every year new fields are discovered and much obtains added to current base of human
knowledge. This new knowledge paves source for innovation that will be sometimes be life or
organizational changing. Creation can be born out of adventure, passion or even of a hobby.
Changing perception-
Modification among perception regarding products or services in context of Zebra
Company can also give born to innovation. In earlier time, people think that mobile applicant is
the best place to secure and save images or important data (Varadarajan, 2018). However,
perception of same has undergone a big change where mobile app is seen as weaker place.
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People feel the need to innovate strong password security system. Based upon this changed
perception a, electronic manufacturer produce high tech system which came to market. So it can
be said that changing perception also considered as source of innovation.
Ways to encourage innovation at Zebra Ltd
Empower employees to take action and make decisions-
When management provides their staff power to take part in decision making process and
take appropriate action, it helps to bring innovation in workplace. Because motivated and
inspired workers able to drive themselves towards making innovation in exiting services or
products. Applicants who are believed to take safe actions and attempt new ways to doing things
just stumble across that further great business solution. Strong workforce is capable to develop
innovation, by empowering candidates to take action as well as making decision, senior
encourage staff for innovation (Dery, Sebastian and van der Meulen, 2017).
Get clear-
Employees clearly comprehend issues or an opportunity that requires ideation, they are
able to provide their team mates a well defined aims and create a senesce of urgency behind it.
When manager clearly define aims and objectives of business in front of their new as well as
existing staff, management in that way encourage innovation. With clear understanding workers
drive towards innovation and attempt hard work in order to achieve set goals of company.
Without putting high pressure on employees, manager easily and effective encourage and inspire
applicants for innovating something new or even make change in existing one.
Ask for solution-
Leaders and manager within Zebra firm, by asking workers to be solution will encourage
for innovation. Innovative and creative leader immerse their staff in issues so they can
experience their impact on business and require candidate to find out a way out. Along with the
above ways, it also considered as the most important and essential way that help to encourage
applicant for innovation. Experience and skilled people in workplace always ready to evolve in
decision making process because they can bring innovation by sharing creative ideas.
Let people to share their ideas-
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When manager allow applicants to share their new thought and ideas during meeting,
they can encourage them for innovation. Whenever group has meeting, everyone is inspired to
offer their ideas, regardless of their rank at chosen organization. It permits for a diverse range of
opinions, perspective and ideas. An employee may have a excellent or brilliant idea but may be
scared to share it. It will empower people to have confidence in their thoughts and encourage for
innovation.
Set example-
Leaders set right examples in front of their juniors by conducting good practices and
provide better results. Employees see leader as their role model and learn from their activities, it
encourage them for making innovation. When leader think creatively with their own work, they
can expect workers to do same. It is another way use to encourage applicant in context of
innovation or creation.
TASK 3
A) Internal & external factors that allow change and those that are obstacles to change
procedures
External factors-
Political factor-
Change in taxation policy, trade agreements, political stability or instability, fiscal policy
and trade traffic included in this factor that permit change or may be create barriers in context of
change process. Changes in trade policies allow companies to supply their products where they
desire to do. It give opportunity to make changes in supply chain management as well as trade
procedure which is quite beneficial in term of increasing sales and revenue rather than before. On
the other hand, it creates barriers in exiting trade process when organizations are unable to adopt
changes.
Legal factor-
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Consumer laws, employment laws, health & safety standards and other legal factors
create barriers to change process. For example, changes in Equality Act 2019 may be creating
obstacle for organization to make changes in their current employment and business structure. It
put pressure on firms to make changes according to the principles of this law which is very
difficult do to. It is clear that companies need to know what is legal and what is not in order to
trade and run business successfully. They cannot be able to change employment norm and
principles without implementing and accepting changes, because it directly impact on
productivity level as well as workforce.
Internal factors-
Organizational structure-
This internal factor create barrier to change processes, because when organization have
hierarchical structure they cannot be able to make changes within exiting layer as it require a lot
of efforts and time as well that is not possible in some cases (Teräväinen and Junnonen, 2019).
Most companies had extremely hierarchical structure, with many layers of management as well
as leadership defining firm from top to bottom. With different stages, organization is unable to
continue change process; it is very difficult and long term procedure for which they require extra
time. It is one of the biggest internal barriers that affect negatively and put high pressure on firm
to overcome within it.
Communication-
Lack of communication between workers and top management, create obstacles to
change process (Singh, Farr and Kumar, 2019). At their core, progressive organizational change
is usually a successful communication practices. Single big reason for company’s failure to
effectively implement any type of change is frequent and clear interaction. When combined with
group of people natural resistance for modification outlined above, this obstacle makes logic.
When top management is unable to build strong communication relationship with bottom layers
employees, it restricts them to conduct change process. Workers are not in favor for making
changes within their current workplace environment because it directly impact on their
performance and day to day practices in work area. Ineffective or lack of communication create
negative environment in workplace, leaders cannot be able to agree staff for change.
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