INNOVATION
Introduction
New modern technology brought tremendous change in the formation of the society. With this dramatic and drastic changes occurred is the by-product of man’s innumerable inventions and unending search and discovery of new things. In line with such development, the field of economic and business landscape proactively engaged in adopting various creative enhancement techniques in order to participate actively with the demands set by the time and the phenomenon of globalization.
These phenomenological occurrences lead various transnational or multinational business corporations to observe with sophistication rapid changes in the organizational management and structural backdrop of a given company. Trying to make various changes on the level of human resources management, productivity level, and product demands make global industries spend lofty budget in exchange for effective economic production and competitive organizational structures and management.
The changes in business settings project a significant shift from the classical tradition to post-classical tradition on business orientation and transaction. However, the phenomenal and rapid changes make corporations reacted differently depending on the degree of how it will affect its management structure and organization’s set of standards and policies. Since, economic status is an important consideration in a certain organization or corporation.
Having this case presented, we are inevitably drawn given plethora of facts and data emerging from various schools of thought and fields of discipline, to consider that one of the most prevailing and important factor in the development of an organization as well as its entire system is the key conceptual term called innovation. In various researches by prominent and respected business and management scholars or even of social sciences provide conflicting definitions on the term. Although, this case is not new to any discipline arguably, posits that no absolute exists within the bounds of spatial and temporal fields. This only means that one’s definition is not necessarily incorrect rather should be apply in proper context.
In this case, gathering from different sources we encountered difficulties on what definition we are to subscribe. However, the problem is superficial because what is important here is to bring an element of definition in its proper and appropriate contextual setting. In this manner, the problem is solved.
In the thesis made by Feil Eric (2003: 8) on The Factors Affecting Innovation within Aeronautical Systems Center Organizations – an Inductive Study, he offered various definitions of innovation. But what was being used is a definition that is suitable and properly contextualized in his study. He then briefly synthesized the definition in three main points: first, the renewal and enlargement of the range of products and services and the associated markets. Second, is the establishment of new methods of production, supply, and distribution. Third, The introduction of change in management, work organization, and the working conditions and skills of the workforce (cited Neely, 1998:9). These three characteristics underlined a clear understanding on the concept of innovation. Moreover, according to Mckeown (2008) cited in Wikipedia the term innovation may “refer to both radical and incremental changes in thinking, in things, in process or in services.” This definition appropriately connects to the types of innovation suggested by Neely: First, Product innovation, which refers to products, services, or equipment. Second, Process innovation, is an improved or new process such as purchasing, manufacturing, or distributing. Third, organizational innovation is a new or improved organizational resource (1998:9).
Keeping this in mind, we are now cleared as to our understanding of the issue and we are led to explain how innovative activity be managed in organization.
Applying Innovation in Organization
In Dr. Franz Beeler’s (2005) presentation on Critical Success Factors in Innovation and Technology Management, he emphasized the important concepts which produced effective outcome such as Technology Management Concept, and Innovation and Venture Management Concept. These concepts as far as Beeler are concern is effective tools in applying innovation for certain small and medium enterprises. Furthermore, the underlying significant factors in furthering innovate an organization is the utility of technology.
Quite obvious that technology becomes an archetypical entity in which the implementation of innovation is effective. Moreover, the use of management technology needs a serious study and analysis on how it will successfully induced innovation.
However, let us consider various barriers identified by Feil in his study which was divided in two distinct magnitudes: The internal factor which includes rigid organizations and procedures, hierarchal and formal communication, structures, conservatism, conformity and lack of vision, resistance to change, lack of motivation, and risk avoiding attitude. The external factor includes lack of infrastructure, deficiencies in education and training systems, inappropriate legislation, and overall neglect and misuse of talents in society (2003:13).
These factors exemplified the difficulty of implementing innovation in certain organizational structure, in this case, at the Aeronautical Systems Center Organizations. However, the study resulted to able determined the attitude and behavior of few management in charge in letting the organization innovate its structures.
Moreover, such issue raised by Feil in his thesis provides us a glimpse on how organizations find some difficulty in implementing such action in order to be advanced and at par with other organizations as Eric would assume: “Very little has been written about innovation in military. Most of them cover way to innovate on the battlefield to ensure success (2003:11).”
This of course would magnify some important points in dealing with creative enhancement techniques to successfully implement innovations in organizations. However, not all organizations used standardized approaches for such implementation, it should be noted that no standard techniques are used as long as organizations varies its management and structure from each other.
The R & D Firm
In the presentation of Beeler (2005) he provides certain concepts in which became significant and effective in innovation process and implementation. The Technology Management Concept, R & D Venture Concept and Innovation and Venture Management Concept, these three significant concepts deliver different orientation and approach on its implementation. The R & D Firm uses Technology Management process to adopt an innovative move. The process involve tracking which means a continuous awareness and evaluation of technology sources and trends in the outside, furthermore, focus itself to particular opportunities. Adaptation on the other hand, means continuous balance of the Lead User’s needs with the value of adapting the technology to the requirements of other departments. Transfer follows an idea that a product should be transferred and integrated by a well-proven technology after successful adaptation into a new product development process. Lastly, Support entails provision of technical expertise after product development process has been finished.
Moreover, Beller outlined the advantages of the TM concept. He declared that innovation is possible even if internal resources are lacking and reduces risks because innovation meets customer’s needs. However, there are critical factors which the management should be conscious of. Two of these factors is the top management’s commitment and support throughout the process and managers who used such process should have a cross-functional skills.
R & D Management concept on the other hand explicitly reveals its natural orientation and strategies in business. This leans more on the external service offered to customers and such that it becomes a profit-center. On this level, R & D management should be business minded and market driven. These factors contribute to the effectiveness of innovation and are critical to its success.
Meanwhile, Innovation and Venture Process as a simultaneous venturing followed certain leveling of process. First, Business Planning, this requires management teamwork, marketing planning, financing, business system and organization, and consideration on its risk level. Second, prototyping, this on the other hand requires implementation business model, first track record results, and to develop prototype version itself. Third level is Corporate partnering, which means to track qualified partners for business venturing, strategic alliances, lead customer, and finding established firms as corporate venture capitalist. Lastly, Financing/Venture Capital, this level suggests of contacting private investors, established firms as corporate venture capitalist, and venturing capital firm tracking.
This process has critical success factors which an organization should be aware of. As such the importance of realistic business evaluation and planning, an early stage of prototyping with Lead customers and strategic alliance with established firms are vital for the implementation and success of innovation.
In here we found how the R & D Firm managed to invent and innovates its organization through the use of varied strategies, processes, and concepts in which it effectively implement innovation as long as critical observation to factors is observed.
Some Factors to be considered
In Eleanor Glor’s article Key Factors in Influencing Innovation in Government, provides a substantial report on prevailing factors which is significant in influencing innovation in government structure and system. She identified at least three important factors involved namely: individual’s motivation related to innovation, culture within the workplace, and challenges presented by an innovation. These three factors affect much on the process of influencing the government system or structure in dealing with innovation.
Glor (2001:3) elaborately explained these factors in a systematic and organized manner. According to her discourse, individual motivation has two distinct faces: an intrinsic and extrinsic face value. The extrinsic motivation pertains to “arbitrary rewards and goals” which typically creates an extrinsic motivation to a person while intrinsic motivation pertains to achieving certain goals attained in various means such as “meaning”, “competence”, “self-determination”, and “impact (cited Thomas and Velthouse, 1990).” If this factor successfully exercised and emphasized in a certain organizational structure, more or less it provides an avenue for innovation not only of on the systems, products, but on competence of the public workers.
The culture in workplace on the other hand should be recognized its importance in both individual and collective level. Etzioni, cited by Glor, provides three types of consciousness that contributed to action of individuals within an organization, namely: consciousness of the environment, the acting self, and controlling overlayers. These three factors contribute to the collective consciousness of individuals which produces autonomy and innovative behavior. The concept of organizational culture is commonly used to “describe the social environment in a workplace.” In this sociological and organizational development perspective lead us to understand the underlying significance of “power within the organization.” Lastly, the magnitude of challenge, it is in this level in which challenges and opportunities come in many forms. They are found in the “amount of money, time, work, and psychic energy that would be given or received to implement the innovation (2001:3).”
These three important factors in the mind of Glor contribute to the implementation of innovation in the government structures or systems. Undeniably, the success of the implementation only measured on how people within an organization respond to such an innovative call. Nevertheless, only when all members of organization support such project, then it would be a successful endeavor and hopefully make an organization more productive as well as compete fairly with those advanced organization.
Innovators then should observe such case and bring to consciousness relevant and significant factors that if and when treated easily maybe detrimental to the implementation of any innovation in certain organization.
Suggestions and Justifications
After such laborious work, it does make sense that such innovation thing bears significant relation to the development and progress of an organization. Since, the world moves in its rapidity, the need for continuous innovation in order to be at front of advances and not to be at the periphery location, should be considered and observed wisely. The unpredictable and unprecedented occurrences make the world alive and people become watchful in their own course of living. The same is true in the course of economic and business life; in which every firm find its eye in watchful mood.
Given the facts, examples and arguments in the previous discussion, I hardly find suitable and good suggestions to further develop creative and innovative activity. Nevertheless, let me underline some suggestions which I think could be possibly practiced and to further develop creative and innovative activity.
First, applied innovative strategy, in this case, an organization should chose strategy that is innovative in itself, in such manner, the process of innovation would produce successful outcome.
Second, continuous assessment of creative enhancement techniques, this suggests that any techniques are subject to spatial and temporal expiration. This means that no amount of excellent technique will be applicable and useful eternally.
Third, continuous research, this means that as there is a continuous assessment of creative enhancement techniques, there must also a continuous research to further enhance and support assessment criteria and evaluation of techniques.
Conclusion
This paper presented concepts about innovation and how organization treat and deal with such demand. The expositions of various examples provide us how significant and important an innovation process is in the life of an organization. Furthermore, in underlining various factors critical to the implementation of the innovation purports an impact on the practical and application of such activity.
In addition, different concepts and processes were cited in the example above, which basically different organizations in various domains applied.
The knowledge based on empirical scientific research gives us a background on the relevance of innovation in the realm of business and economics. At this moment on, the world as it moves faster and faster in an indeterminate trail makes various sectors especially the business world watchful and critical since the need of adoption, continues renovation, redesigning, reengineering, and restructuring of organization are always embedded in the set standard and goal of different firms and companies worldwide.
Hence, because of the innovation system and the need of constant evaluation and assessment of an organization are at top priority, corporations and firms should invest itself in time, work, management, skills, and production in order to remain competitive and continuous innovation be held.
References
Glor, E.D, (2001). Key Factors Influencing Innovation in Government. The Innovation Journal: The Public Sector Innovation Journal. Vol. 6(2)
Beeler, F.J, (2005). Critical Success Factors in Innovation and Technology Management. Innovations- und Technologiemanagement,10-11, Osec, Business Network Switzerland
Feil, E.D (2003). Factors Affecting Innovations within Aeronautical Systems Center Organizations – An Inductive Study. Thesis, Department of the Air Force, Air Force Institute of Technology.
Credit:ivythesis.typepad.com
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