MBA501: Disruptive Innovation and Strategic Leadership Analysis

This assignment analyzes the implications of dynamic strategy and disruptive innovation techniques, focusing on a case study of Essendon Food Solutions (EFS). It examines both internal perspectives, including human resources, organizational culture, resource allocation, and organizational structure, and external aspects such as regulations and commitments. The analysis considers EFS's challenges in adapting to disruptive innovation, including issues with traditional business programs, resistance within the organizational culture, and resource allocation. The marketing and technological perspectives are also evaluated, highlighting the absence of a structured marketing team and the age of the R&D team. The paper references key literature on disruptive innovation, strategic leadership, and business model innovation to provide a comprehensive overview of the topic.

DYNAMIC STRATEGY AND DISRUPTIVE INNOVATION

INTRODUCTION
• Disruption is the process that could be used by small companies with limited resources to
establish themselves in the competitive market.
• They go beyond the needs of the consumers, which helps them to create better products in their
businesses.
• Making better products with the help of innovations would benefit the business in the future.

INTERNAL PERSPECTIVE
• The internal perspective helps in examining the business model, which would implement the
disruptive innovation to tackle the organisational challenges. Some of the challenges have bee
listed below.
Human resources
One of the problems that the manager is facing in the Essendon Food Solutions (EFS) is the
inability to understand the power of disruption as they had been trained in conventional business
programmes (Christensen et al. 2015).

INTERNAL PERSPECTIVE (CONTD.)
Organisational culture
• Whenever any challenge comes in times of
disruptive innovation, then, the organisational
culture should be able to control the
resistance (Cacciolatti and Lee, 2016).
• As the company gives more importance to the
senior executives, the leadership is given to
the people above the age group of 53 years.
Control the
Resistance
Giving
leadership to the
experienced ones
Creates
sustainable
working culture

INTERNAL PERSPECTIVE (CONTD.)
Resource allocation
• The resource allocation includes financial
returns that could prevent the development of
disruptive innovation.
• The company had got a good relationship
with the shareholders as it had reached a
sound financial structure.
Internal Perspective
Development of
disruptive
innovation
Good
relationship with
the shareholders
Financial
returns

INTERNAL PERSPECTIVE (CONTD.)
Organisational structure
• The organisational structure is a critical part of a company and the larger it will be, more difficult
it would be for the firm to apply the disruption innovation.
• However, Essendon Food Solutions (EFS) is a medium-sized company with a strength of 800
employees having revenue of 1.6 billion dollars.

EXTERNAL PERSPECTIVE
The external perspective helps to evaluate the external
environment of the company which involves the following:
Commitments
• Organisations should have been committed to their
relationships with the investors so that they could fulfil the
interests of the suppliers (Teece et al. 2016).
Regulations
• Disruptive innovation could be hindered by the cultures
that could stop the flow of creative ideas.
• It could be seen in the company where all the decisions
are taken by the two general managers.
Commitments Regulations

MARKETING PERSPECTIVE
• The marketing perspective can be determined as the practices that can identify the wants and
needs of the customers and also gripping the distribution of goods and services in a competitive
society.
• The customer visit programs can be considered as one of the critical objectives that help the
organization to understand customer insights.
• One of the significant issues that Essendon Food Solutions (EFS) in terms of marketing activities
are the organization has no structured marketing team.

TECHNOLOGICAL PERSPECTIVE
• The technology perspective helps in evaluating the technological strategies required for
disruptive innovation.
• However, there may be some challenges if it belongs to new scientific discoveries.
• Another major issue in the company is that the R&D team is very old, and they have the
experience of using different applications in the Enzymetech.

CONCLUSION
• The entire study is based on the various implications of dynamic strategy and disruptive
innovation techniques.
• The study also emphasizes the different internal perspectives like human resources, organization
culture, resource allocation and organizational structure.
• On the other hand, the study also discusses the various external aspects, which include
regulations, commitments

REFERENCES
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