As it been stated earlier there is a concern about complex, decentralised organisational structure and top-down management approach in Siemens and the fact that it does not match with Open Innovation Processes, in particular the main problem is that it will take too much effort to manage this processes in a multidivisional organisation.
Before and while proposing the idea of OI, Siemens approached top-down management communication, even though the bottom-up style seems more appropriate for innovative organization. Top-down communication requires strict obedience to the rules and consequently leads to lack of inter communication that in turn bounds the idea sharing (Zairi, 1995). Therefore, when Siemens decided to use Open Innovation Practices, the first step was to promote trust and openness within an organization through enabling effective communication. Additionally, as it’s been stated earlier, support and space for ideas play a crucial role in forming creative climate. When OI was only considered number of directors were concerned that employees who participated in OI project could be accused in doing the wrong thing and will be penalized for wasting working hours (Hutter et al, 2013). This issue refers to the fact that before starting implementing OI, Siemens didn’t support and provide its employees with the space for ideas. However, to solve this problem Siemens developed these components through number of projects such as Innovation Jam and TechnoWeb2.0 (Hutter et
Due to bureaucracy policies and procedures, it sometimes becomes hard to come out with innovative ideas quickly at Rio Tinto. To streamline the bureaucracy, I recommend Rio Tinto to embrace open innovation through collaboration internally and externally. Rio Tinto should assemble a global task force across all the product groups committed to accelerating ideas from concepts to reality. Prioritization of good ideas needs analysis by potential impact, risk and time to market, and should quickly transition open ideation to define the project teams. The open collaboration should embed the four innovation pillars employees reward mechanism, idea generation, idea conversion and idea diffusion.
Innovations form the main sources of competitive advantages and are always of significance for the growth of a company. Companies or organizations put their greater efforts in improving their performance by finding new ideas and knowledge on the best way of beating their competitors and therefore give satisfaction to their customers. There are various factors involved in the innovation design system which can be either internal or external.
| Thomas, in regards to the line you comment on "innovative changes often originate from lower levels of the organization", I totally agree withthat statement due to the fact that those lower level employees are the ones who are working in the fields, in terms of having their hands on the equipment and having the full knowledge of what improvements are needed in the work field. Innovation often derive from insight and even frustration at times. Good post.
B. the reduction in the amount of inventory needed by manufacturing firms due to technological improvements in inventory management.
This research intends to explore innovation at an individual level, but in a context, where the roles and functions of an organization appear eminent either as a promoter or an inhibitor of innovation.
In your opinion is the organization structured in a way that inhibits innovation? YES or NO
"It is a false assumption of mankind to assume the resilience of outdated practices," said western thinker and philosopher Slavoj Žižek. I agree with Žižek in supporting the statement that it is always necessary to find new solutions to problems. Innovation is paramount to our growth as a civilization, and will perish if not used, which can be exemplified through literature, history, and current world affairs.
Google, Inc. is a corporation that is known for innovation and amazing leadership practices. Google’s greatest innovation may actually be its managerial practice. Google is not led by a single CEO, but by a team that gives it immense strategic and management strength. (Nussbaum, n.d.) Engineers at Google are able to work on their ongoing projects 4 days out of the 5 day work week, and one day a week is designated for potential ideas of their own choice. (Sawyer, 2009) Google has innovation reviews, where each executive presents the most promising ideas from within his own division. The CEO is at these innovation reviews to listen to these innovative ideas. Another way to ensure that some of these ideas have the opportunity to be developed is to allow the engineers to work on these ideas for more than one day a week and in some cases full time. Allowing time to be creative and develop ideas is embracing the art of innovation and
Level two of Schein’s Three-Layer Organization Model is adopted values, or unconscious and unspoken behaviors that reflect the shared values of the organization. Employees are encouraged to be creative and are expected to share in the creative process. We work together as a team and try to have transparent and direct communication, to prevent conflict, which would disrupt financial gains. My father founded this company with the vision of originating products for sale in the growing online retail industry. My company proves that our vision is being carried out by our financial and team building successes, therefore these traits are part of the work culture of my organization.
The company’s objective is to enable business and operational success through integrated world class solutions and development by utilizing the organizational restructure of the Engineering and R&D departments. Having a centralized organization with a decentralized engineering department makes meeting the company objective quite difficult. Also, if the company’s objective does not align with the department specific objectives Campbell Soup is setting their selves up for failure. Sales and Marketing are concerned with increasing market share and gaining profit, while the Plants are worried about operational performance, and Engineering is focused on individual parts of the system. In order to have a successful company
measurement (Hale, 1996). Senge (1990b: 7) quoted W. Edwards Deming’s belief that we have been
concepts of inside and outside ideas into systems and structures so that there is some order in the chaos. In another book “Open Business Models: How to Thrive in the New Innovative Landscape” he defines open innovation as the flow of knowledge internally and externally such that it moves the process of innovation at a much faster pace and so that new markets can be found for the use of this
As Albert Einstein said, “If you always do what you always did, you will always get what you always got.” This quote is applicable for organisation and fully underpins the value of having a culture of innovation in order to meet short, medium and long term objectives.
Lackner knew that Siemens own huge baggage of knowledge which was hidden in its employees’ minds. Additionally, diversified profile of the company gave it an access to the advanced technology, which was important for the open innovation. He created an experimentation plan, which was not very welcomed as Corporate Technology group thought that they were already doing everything he proposed. Moreover, even more
In today’s knowledge-based economy, innovation has become the principal source of competitive advantages in global business; the success of firms now depends more on their intelligence capability – such as employee creativity – than traditional material assets (Amabile et al., as cited in Zhou, Zhang & Montoro-Sa ́nchez, 2011). The creative capability of individual and collective knowledge workers is the fuel that powers innovation in firms. While creativity leads to the production of new and useful ideas in any domain, innovation is the successful implementation of those creative ideas within an organisation (McLean, as cited in Zhou, Zhang & Montoro-Sa ́nchez 2011). In highly dynamic business environments innovation and creativity have become crucial for creating competitive advantages for the