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Running head: XEROX

Xerox’s Situation

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(Institution)

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Xerox’s Situation

Xerox Corporation (Xerox) highlights one of the prominent business examples of failure.

The company pioneered in office technology, renowned for being the first manufacturer of

xerographic plain-paper copiers (Britannica, 2020; McGee, 1989). Likewise, the firm was the

first to invent the PC. In 2003, Xerox received an IEEE award for its DocuTech product line. The

product involved a combination of copier and computer resources. A single machine would

transfer and store documents digitally for print, thereby giving rise to the print-on-demand

industry. In 2006, the company filed a patent for photosensitive erasable paper, which allows for

paper reuse. In 2007, Xerox obtained the United States National Medal of Technology, currently

known as the National Medal of Technology and Innovation, the top award the country's

president gives to its leading innovators. Therefore, the company's failure seems unreasonable.

Still, the downfall is mostly attributable to the reluctance to adopt the digital business because of

the high costs. Instead, the company's management felt that its future was in copy machines.

Thus, the firm's digital communication products seemed second to the same. Likewise, the last

five years have seen Xerox fail to comprehend that perpetual revenue generation on conventional

norms and the same technology may be inadequate.

Explain whether existing capabilities can deliver appropriate types of innovation

Xerox displays its course toward entrepreneurial hardiness and genuine competitive

advantages (Vault, 2019). Its track record throughout its history ascertains the case. The

company boasts an unbeatable blend of an array of various services and innovative technologies.

Moreover, its past successes affirm that it has talented and empowered people who commit to

growing the business with outstanding service and technological advancements that simplify

tasks. Currently, Xerox manages its offerings in three segments. One is Xerox Services, which
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involves leveraging its software capabilities to automate, personalize, communicate, manage

content, and digitize. Two is Workplace Solutions, comprising mutual technology,

manufacturing, and product platforms for entry and mid-range equipment products. Three is

Graphic Communications and Production Solutions, underscoring an environment with high-

volume printing requirements. Still, the company has limited success beyond the core business.

Indeed, it was once one of the tech industry's leading organizations. However, it currently faces

the challenges in engaging in other product segments with its existing culture (FernFort, 2020).

Also, gaps exist in the firm's product range. The lack of choice can ensure a new competitor has

a foothold in the market. Moreover, Xerox seems unable to tackle the new entrants' challenges

present in the segment and has reduced the niche categories' market share.

Explain how people are recruited and rewarded for entrepreneurship

Xerox places a commitment to attract and develop the best talent, focusing on diversity,

and establishing global capacity (Xerox, 2019). The firm's culture is inclusive, acknowledges

differences, and upholds collaboration so that members can reach their utmost potential. The

company's appraisal involves performance evaluations, which regard employees' achievement of

targets, and behavioral evaluations, recognizing behavior that leads to innovation, the

organization's invigoration, and other employees' development. The company exhibits a

significant correlation between management's leadership style and employees' productivity and

motivation. Consequently, employees feel important and a part of the efforts to ensure their

success and profitability. Still, Xerox may be failing to give its people what they need to generate

their best ideas. Following a high turnover rate, Xerox developed an interest in reducing the

same by assessing its hires. The findings revealed no correlation between experience and

employee longevity (Petrone, 2014). Instead, the firm established that creative individuals stayed
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longer than inquisitive ones. The outcome saw Xerox begin targeting more creative types rather

than more curious ones, using personality tests. Yet, the firm still faces a relatively high attrition

rate in the workforce, and it has to spend a higher sum of money than its peers to train and

develop its employees.

Explain how innovation challenges are identified

Xerox is engaging in a market that is experiencing a decline in print volumes, though not

disappearing (Fernandes, 2018). As a result, the firm is leaning toward software innovation to

boost its business. The company had to extend its focus on integrating paper and digital

workflows through the launch of its ConnectKey technology in 2017, thus taking the lead in the

space. The move means the firm is adopting software innovation in its core business. The aim is

to introduce workplace automation to the broader public through technology's Workplace

Assistants. The technology provides advanced security, cloud, and mobile connectivity, and it

captures and routes documents, thus redefining the conventional multi-function product. Still, the

organization's workplace digitization approach's success depends on two fundamental factors; a

comprehensive solutions ecosystem and a dedicated sales team that can provide compelling

value propositions around workflow automation. In other words, the success of Xerox's strategy

depends on its ability to transform both its employees' and partners' cultural mindset. Likewise,

the company faces the threat of imitators. Such cases are rampant in the tech industry (Rao and

Klein, 2013). Therefore, there is probably going to be copycats for its innovation. Some may

even take the idea a little further.

Explain how entrepreneurship is practiced with external stakeholders

Engaging with stakeholders has been crucial for Xerox's success (Xerox, 2019). Its

concise vision originates from a robust strategic planning process, and stakeholder engagement is
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responsible for its adequate strategic or marketing plan. Specifically, the firm engages with

regulators, policymakers, and influencers in advocating for public policies that back its business

goals and expand economic opportunity for the masses. Also, it engages with customers through

forums that involve posting and responding to discussion threads about the firm's equipment and

software. In turn, the platform helps resolve customers' printing issues and allows their

participating in conversations about the organization's products. Conjointly, customer

satisfaction surveys are useful for identifying and meeting their needs and anticipations for an

appropriate web experience. Likewise, Xerox's engagement with its suppliers includes periodic

business reviews with key ones, while its Supplier Diversity Program incorporates small and

diverse enterprises. The client also holds well above 1000 business reviews every month with

clients worldwide to facilitate collaborative working relationships that ensure clients can achieve

their financial, operational, and environmental objectives. The move occurs through innovative

value addition processes and technology solutions. However, the company rarely involves the

opinions and insights of external stakeholders in the early phases of planning and development.

It means there is still some hint of boundaries and conventional stakeholder management

techniques.

Change Programme

Delivering appropriate types of innovation

Xerox has to directly establish an internal feedback operation from the sales force on the

ground to have significant success beyond its core business. Successful tech firms are also

engaging in deep market and customer insights (Rao and Klein, 2013). The move is suitable for

the constant unearthing and understanding of existing and potential customer needs. The activity

is equally essential for good collaboration with partners and leading-edge customers. The online
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channel provides a suitable platform for engaging with prospective customers. The company's

high investment in the same has opened a new sales channel. Thus, it should leverage the

opportunity through better knowledge of its customer and the use of big data analytics to serve

their needs. Likewise, the company should avoid path dependency. The consideration is that the

company's failure primarily regards its tendency to view innovation as merely developing or

improving existing products. In turn, the company misses its innovation potential and struggles

to match disruptive ideas in the tech market. The company should also act differently by

separating daily business activities from corporate entrepreneurship to increase the latter.

Simultaneously, it should establish integrative linkages to pursue innovative ideas in the firm's

best interest. A similar critical step involves adjusting the degree of integration in the company's

situation.

Recruiting and rewarding people for entrepreneurship

The company currently focuses more on creative types and ignores intuitive ones. Yet

both types are equally suitable for organization performance. Instead, the firm must contain a

work environment for encouraging innovation and creativity. The outcome would be more

employees excel at problem-solving (Sethi, 2020). The prioritization of the importance of

challenging the existing norms would ensure employees give unique solutions that would help

minimize costs, boost client or customer retention, or establish new revenue piles. The firm's

management must focus on leadership behaviors, collaboration tools and resources, and

appropriate performance metrics. Precisely, leaders' behavior should ensure employees feel

valued and that their contributions are worthy. Leaders can guarantee the same occurs through

inclusive stances and modeling the behaviors for encouraging a creative culture. Also, true

collaboration and creativity call for thinking beyond necessary tools such as smart boards and
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videoconferencing. Individuals require physical spaces that can prompt design thinking, while

technology and resources that can encourage genuine collaborative interactions would suit

virtual teams. Furthermore, metrics that tie employees' performance to originality, including the

values of related ideas, would make creativity a priority. On the contrary, performance measures

based on productivity and output are ineffective in motivating people to create new ideas and

even stifle creativity.

Addressing innovation challenges

Xerox needs to shift both its employees' and partners' cultural mindset by driving channel

engagement (Fernandes, 2018). For instance, the ConnectKey technology still requires Xerox to

drive innovation past its core to remain relevant in the current era that comprises digital

disruption. The company highly depends on its channel for expanding its small and midsize

business (SMB) footprint. As a result, it requires partners to be part of its transition from

conventional hardware- to software-led sales. The company's channel partner networks mainly

consist of agent partners that only sell the company's products. An adequate widening of its SMB

presence compels the firm to bring on board more multi-brand channel partners. To fuel growth

and drive innovation in both technology and its business model, the company should embrace a

start-up mentality. It may be risk-averse, much like most large legacy corporations, but

accommodating aspects of start-up culture and actions would make it less vulnerable to

disruption. Likewise, the firm should heighten its efforts to build brand loyalty to avoid imitators'

impact (Rao and Klein, 2013). Investing in the idea over many years would ensure customers do

not jump ship following the emergence of a cheaper alternative from an imitator; they would

consider all factors. Most will maintain the company's brand.

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Practicing entrepreneurship with external stakeholders

The firm should abandon the conventional management hierarchy, hollow out, and

emphasize minimal or no boundaries regarding external stakeholders. The move toward

partnering tactics would ensure it achieves common goals (Crowe, 2017). Correspondingly,

Xerox should provide external stakeholders' opinions and insights in the planning and

development processes' early stages. Effective engagement requires that the company equally

translate external stakeholders' needs into organizational goals and form adequate strategy

development. Such consensus or shared motivation is essential for arriving at a valuable decision

and ensuring investment in a meaningful course. Conjointly, a shared understanding would help

build a cohesive vision as we advance. Value to the strategic and marketing planning process

derives from implementing an active consultation and engagement affair and establishing an

open forum for discussion. At the same time, the company should strictly engage and not

manage. It is more respectful to engage with than to seek to manage external stakeholders. It is

impossible to manage the same anyway because external stakeholders have a high likelihood of

thinking and doing according to their choice. Through respectful engagement with the affected

parties, the firm would optimize its chances of impacting their choices. Moreover, stakeholder

engagement requires clear, consistent communication, effective outlining of the requisite

attention, and building the parties' project.

Conclusion

In sum, Xerox's success stories include its pioneering of office technology and the fact

that it was the first manufacturer of xerographic plain-paper copiers and the first to invent the

PC. Nonetheless, its downfall mainly regards its reluctance to adopt the digital business because

of the high costs. Currently, Xerox displays its course toward entrepreneurial hardiness and
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genuine competitive advantages, but it has limited success beyond its core business. The

company also commits to securing and developing the best talent while also observing an

inclusive and diverse culture. Conjointly, its appraisal involves performance and behavioral

evaluations. Still, Xerox may be failing to give its people what they need to generate their best

ideas. Likewise, the company could be leaning toward software innovation to improve its

business. But the success of its strategy requires a transformation of its employees' and partners'

cultural mindset. Engaging with stakeholders has equally been crucial for Xerox's success.

However, the company rarely involves the opinions and insights of external stakeholders in the

early phases of its planning and development. The issues make it imperative for Xerox to deliver

appropriate types of innovation, proper recruiting and rewarding people for entrepreneurship,

addressing innovation challenges, and practicing robust entrepreneurship with external

stakeholders.
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References

Britannica. (2020). Article. Retrieved December 15, 2020, from Britannica:

https://www.britannica.com/topic/Xerox-Corporation

Crowe. (2017, July 3). Insights. Retrieved December 15, 2020, from Crowe:

https://www.crowe.com/ie/insights/the-importance-of-stakeholder-engagement

Fernandes, L. (2018, October 22). Articles. Retrieved December 14, 2020, from Quocirca:

https://quocirca.com/content/can-xerox-turn-a-corner/

FernFort. (2020). Xerox SWOT Analysis / Matrix. Retrieved December 13, 2020, from Fern Fort

University: http://fernfortuniversity.com/term-papers/swot/1433/150-xerox.php

McGee, J. J. (1989). Fumbling the Future: How Xerox Invented, Then Ignored, the First Personal

Computer. Management Review, 78(2), 67-69.

Petrone, P. (2014, September 23). Pulse. Retrieved December 15, 2020, from LinkedIn:

https://www.linkedin.com/pulse/20140923185641-283620963-xerox-a-hiring-process-

worth-copying/

Rao, P. M., & Klein, J. A. (2013). Strategies for high-tech firms: Marketing, economic, and

legal issues. ME Sharpe.

Sethi, B. (2020, July 14). Obsessions. Retrieved December 15, 2020, from Quartz at Work:

https://qz.com/work/1879433/creativity-is-vital-in-business-good-leaders-can-foster-it/

Vault. (2019). Company profiles. Retrieved December 15, 2020, from Vault:

https://www.vault.com/company-profiles/computer-hardware/xerox-corporation
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Xerox. (2019). Corporate Social Responsibility Report. Retrieved December 14, 2020, from

Xerox: https://www.xerox.com/corporate-

citizenship/2017/commitment/stakeholders.html