Site Loader

Organizational Behaviour
D.Hussain Basha – 16BEE0050
D.Venkata Achyuth -16MIS0431
This case study is made by Hussain Basha (B.Tech) and Venkata Achyuth (M.Tech integrated course) (VIT – Vellore Institute of Technology).This case study is about lack of innovation and how it affected corporate world in past. This case study also shows what are the causes of lack of innovation and how to overcome them.
Creativity is just connecting things. When you ask creative people how they did something, they feel a little guilty because they didn’t really do it, they just saw something. It seemed obvious to them after a while. That’s because they were able to connect experiences they’ve had and synthesize new things
–steve jobs
Creativity is a important attribute of human beings. This makes man highest-order species on the planet. People throughout history have seen their surroundings in new and instructive ways, producing ideas, inventions and works of art that have radically changed life and added to our understanding of the planet and its place in the universe.
Creativity can help you find new ways to work, and find easier ways to do work in everyday life. A creative and liberal mind will allow you to look at objects, motions and tasks in ways you may have never seen before. With creativity, you can also find ways to solve everyday problems in the fairest, and most efficient way. Creative thinking will also give you the ability to present, and interpret topics and information in fun, or interesting ways.
Example of Creativity from Plastic Bottles
From the above pictures we can say that innvotion can make the useless things into useful things. As we know the plastic and its harmful side effects are very harmful to environment.
So the lack of creativity in respective areas may also leads harmfulness to our mankind. Without creativity we as a race would not be where we are today. We would not have marvellous inventions like phones or the internet. We would lack the ability to build our civilizations up with magnificent buildings and sound structures. We would not have the marvellous stories of Shakespeare or The Odyssey. We would never see, or know art and music, and we would all just be mindless and numb beings who know nothing but survival. We would lack the capacity of living interesting and meaningful lives. Luckily that is not our current existence. Creativity is a part of our lives, and is one of the many things that make us human.
Innovation is key of survival for the companies. Without it, companies have to struggle badly in market or they have died in some time. There are many companies which went through same situation.
Here are some of the real examples were lack of innovation lead their companies to downfall.
About a decade ago, this business held the first position in their industry. Back then, Yahoo owned over 20% of the online advertising market. However, due to lack of innovation, Yahoo has become one of the businesses that have failed to maintain their high market position.
Even though they were on their way to becoming the leading search engine, Yahoo failed to embrace the opportunity. Instead, they decided to be recognised as an online portal and focused on media. But, this wasn’t the only opportunity Yahoo missed over the years. They also decided not to buy Google in 2002, and failed to acquire Facebook in 2006. Today, Yahoo is working hard to keep their position behind Microsoft, Google and Facebook.
There was a time when the primary mode of business communication was BBM and everyone wanted to know your PIN. It was the phone to have in the mid- to late-2000’s (in 2007 it had more than half of the marketshare of phones in the US.)
But on June 29, 2007 the iPhone was released. At first, Blackberry ignored touch screen based technology insisting their phones would remain the de-facto standard for enterprises especially since the iPhone struggled early with solid enterprise email security. But by dominating in the consumer market and slowly promoting Bring Your Own Device (BYOD) standards within companies, Apple redefines the market and left Blackberry stumbling and blinded by their own success.Their initial inaction snowballed into a succession of failed attempts to innovate. Blackberry currently has 0.8% of the Smartphone market share according to IDC. Rumor has it that they are now working on a Siri-Like feature called Blackberry Assistant. They might be a little bit behind the curve on that one.
This company was in number one position in 1990 where it is dropped to $7 share in 2001.
Xerox was a unique company.I created the technology that how a modern camera in mobile works. Many people think that touch screen technology was developed by google but it is done by Xerox.Xerox also invented personal computers as we know them, laser printing, Ethernet, peer-to-peer computing, desktop publishing, graphical (mouse-driven) interfaces and so much more.
The Palo Alto Research Center (PARC) was a special research team funded by Xerox with the goal of coming up with new and innovative technology. But at the end, some other corporations have used PARC ideas to make Billions, yet Xerox itself never implemented most of those ideas as part of their own product offerings.
You may have the brightest innovators in your company, but if your managers can’t implement those innovations, you have nothing.
This is another highly popular brand, recognised by customers worldwide, which became one of the businesses that have failed due to lack of innovative ideas. In the 1970s’, Kodak held over 80% of camera sales and 90% of film sales.
Kodak had originally created the market for cameras and films. Even so, they were unwilling to accept the innovation that came with digital photography. This cost the company a lot more than they could possibly imagine. By the year 2012, Kodak filed for bankruptcy, which signaled the end of a once famous brand.
Nokia was unable to be creative as fast as other companies. Nokia was the best company known for its hardware. But companies like google and apple came up with awesome software that set back Nokia. Many other companies also came up with good hardware that again a big defeat the Nokia. Nokia failed to stand in both the hardware and software. Even though it tried to be creative after their failure it became to late to recover their loss. Even people who where addicted to other brands didn’t showed much interest on Nokia again.Samsung and others have already won the hearts of the customers and people were unable to give the traditional concept phone a thought.Hence, these were the reasons for Nokia marketing strategy failure.
The barriers for innovation are these, but the order depend of the context the organization their environment:
• Organization and environment not supportive of innovation
• Traditional top-down management discourages front line empowerment and innovation
• Short term focus on execution with no time to think for the future
• Lack of resources, leadership and inadequate funding
• Organizational focus and value is on risk avoidance
• Lack of systemic innovation process
• Lack of end-to-end processes for bringing ideas to fruition
• Focus on immediate and unreasonable financial returns
• No incentives to innovate
• Inappropriate measures for managing innovations
• No common definition of innovation and how to measure success
• Lack of effective communication between individuals, managers, various disciplines.
• Lack of understanding and interaction with the customers, market and industry
• Too much specialization, and lack the ability to cross-pollenate ideas or make connections
• Lack of focus, vision and direction from management and leadership ranks
• Lack of focus and support on innovation by senior management
• No infusion of new ideas, new problems or learning opportunities
• Resistance to change
What kind of organizations usually head into Lack of innovation?
Types of Innovation
Innovation is the driving force of business. Without the ability to innovate over time, your organization will be stuck in place at best – and at worst, it will wind up extinct in short order. Even if you have a great idea to get your business started, you are still going to innovate from that point forward in order to stay ahead of the competition.
Profit Model Most of the organizations always try to make profit. You must be innovative to make money and use clear and genuine tricks. For example Amazon provides free of delivery and 2 days shipping facility if you become a member of Amazon Prime. Amazon is innovatively making profit by linking both the business that really helps customer.
Network The Network in organizations play a major role. Many companies rely on other companies. For example Dell company relies on Microsoft for Operating systems. Dell also relies Intel for micro processer. Best example is many business based on online transaction will rely on Paypal and Paytm.
Structure To become a best innovative company structure play a major role. Many companies with best organizational structure like Amazon and Google has already proved that Organizational structure plays a major role in innovation and creativity of the organization. The organization structure should revolve around its leadership principles. The structure should be flexible that every individual is given a chance and provide useful content to companies innovation. Process To stand out of the crowd of completion one should use a good process i.e the way of developing a product. It helps to make product with less cost and minimum resources. This helps to save time. This makes your Organization to stand in front of the completion and makes you the best Organization.
Product Performance The products that make difference and stand unique and can satisfy the user will always stand first. There are many companies that follow this strategy. The Amazon online e-commerce company has many competitors like Flipkart, ebay and many. Still the Amazon stands first because of the different ways the produce product that really satisfies customers. Product System In addition to having specific products which stand out from the rest of the market in some way, your organization can also offer a selection of products which work together to complement one another. This kind of cohesive product system is a powerful innovation method as it can make it possible to achieve things that could not be done with just one stand-alone product. Service
Many companies only concentrate on their innovation and creativity and leave behind service. Even though a organization is so perfect there might be chance of something going wrong with customer. The customer should have the best
way to get corrected and make his work easy. It doubles the good impression and trust on the organization. Channel
Channel is nothing but how you take your organization to your customers. This is like advertising your product. In this phase many companies make a mistake by conveying their message in annoyed way i.e some advertisements don’t appeal to people as the are not realistic. Make sure that your promotion on your product should be appealing and attractive. Your advertisement should only show people what is there in your product not more than that. Brand Everyone knows that many people trust the product quality and functioning based on the company reputation and brand. So a organization should always try to increase its brand value. It is only possible by being 100% true and genuine to customer. If a company can satisfy a customer and make him happy definitely the customers will trust you. They suggest you to their friends and caring people. This helps in developing the brand of your organization.
Customer Engagement Is your product is going to be engaged with your customer. The product developed by the organization should be innovative more importantly it should be engaging. If it is not useful and engaging to user it is going to be a big failure. An organization should always thing in the perspective of the customer. Amazon follows this. Its main objective is to be a customer centric company.
Lack of innovation is the main problem in corporate field as many startups were being started by engineers who are passing out from the colleges yearly in lakh of members. Among these only few are able to stand and earn profits. The withstanding success rate is too low as there is lack of innovation in their organization as a main problem. Not only startups but also internationally reputed companies are also facing this type of problem. So here in this case study we tried to tell the lack of innovation in the corporate sector and it’s harmfulness with real examples.
Teaching Note
Synopsis of the case The case study is about how lack of creativity effects a company and stop their success. After studying the case study the one can get a very good idea on Lack of creativity in organizations as we provided real examples. This case study also explains how to make a organization creative.
Target Group:
This case study is for the students who are pursuing the graduation in Business filed. It is made easy to understand and students must have some idea about organizations to understand the case study.
Learning objectives and key issues
One will learn how to make an organization creative and steps to avoid lack o creativity in organization.
Teaching strategy
1. Make sure that students have brief idea on what is organization and how it runs. 2. Make sure that you are raising a question to students and try to get answers from them. It makes the case study interesting. 3. Don’t go for theoretical questions. Try to ask general questions. 4. Ask a question to student and tell to answer the question in their perspective and thus explain the creativity in every one answer.
Questions for discussion 1. How an organization run? 2. How an organization gets profit? 3. When you buy a certain product(clothes, electric devices) why you select only from that certain company(levis, addidas)? 4. What is the best creative thing (poster, image, advertisement) that you have seen in your life? 5. Which products do you like the most , the products that serve you better or the products that just look better and innovative? 6. What is the organization you like and why? 7. Name some defects in an organization and give suggestions to make them innovative? 8. Give an example of organization that you like to develop and how it functions? 9. What do you learn from this case study?
Analysis of data In this case study the content is shown with the help of images so it will be helpful to understand and remember the topics well.
Background reading For those students who are interested and want to know more follow given bellow some resources:
For barriers for innovation:
For examples of companies the resulted in failure due to lack of innovation:
Check out this book:
Ten Types of Innovation: The Discipline of Building Breakthroughs

Post Author: admin


I'm Erica!

Would you like to get a custom essay? How about receiving a customized one?

Check it out