Professional Documents
Culture Documents
Title of Assignment:
Student name:
Le Tuan Minh
Group Number: 1
I. Introduction
Have you ever wondered why the world we live in today is much more
efficient compared to 50 years ago in many aspects from economic growth to
various new inventions in our life? It is the result of human education and
innovation, which serve as a foundation for further human progress. To support
this view, Confucius stated that: “Learning without thought is labour lost, thought
without learning is perilous”. Therefore, the establishment of a learning culture
and the ability to innovate is crucial for every business looking for competitive
advantage (Gilbert & Cordey-Hayes 1996). Under this circumstance, it is critical
to identify the concepts that encourage creativity and innovation.
The scope of this paper will initially define the main terms: “creativity” and
“innovation”, followed by the analysis of theories used to stimulate creativity and
innovation such as the La Salle Innovation Matrix, the Tuckman’s team stages,
the Componential Theory of Creativity, and the innovation typologies. After that,
some real-world examples will be provided to strengthen the arguments
regarding these concepts.
e) Innovation typologies
It is only through classifying types of innovation that we may increase our
understanding of innovation regarding the NPD process (Garcia & Calantone
2002). Thus, a number of different innovation typologies are developed to help
experts focus on specific business aspects through differentiation and examine
their impacts on organisation’s performance (Taran, Boer & Lindgren 2015)
The first zone of innovation typology is product leadership which includes
disruptive innovation, product innovation, platform innovation, and application
innovation. Product leadership pushes companies to innovate in terms of being
creative with idea generation, quickly commercialising these ideas, and finding
new solutions to solve problems. For example, in 1983, Johnson & Johnson Inc.
found a new way to produce disposable contact lens inexpensively. Then, the
company quickly formed a team to develop the product and by 1987, it rolled out
the products in the US market. Although J&J has obtained a large market share
after a few years, it continued to search for new materials to increase the
wearability of contact lenses (Treacy & Wiersema 1993)
The second zone of innovation typology is customer intimacy zone which
includes line extension innovation, enhancement innovation, marketing
innovation, and experiential innovation. The main objective of customer intimacy
is to meet with the consumer’s needs and cultivate intimate relationships with
them to satisfy economic goals. Furthermore, firms must deliver consumer values
to enhance customer loyalty for a long term (Anantadjaya et al. 2015). For
example, Home Depot employees take as much time with clients as necessary to
consult which is the right product for their home-repair issue. Their priority serves
around customer’s needs for information and satisfaction (Treacy & Wiersema
1993)
The third zone of innovation typology is the operational excellence zone
which includes value-engineering innovation, integration innovation, process
innovation, and value migration. Operational excellence refers to the greatest
quality and performance in all aspects of the business (Found et al. 2018).
Moreover, the aim is to lower overhead expenses, improve business processes,
and offer products at competitive prices with minimal inconvenience. In 1980, Dell
Computer was able to outperform its rivals with a different business model for
operational excellence. For its delivery system, it eliminated the distribution
process by selling directly to consumers, creating a low-cost structure, while still
providing high quality products (Treacy & Wiersema 1993).
III. Conclusion
To conclude, creativity and learning are key elements of human
experience. The process of creating and constructing new things necessitates the
acquisition of new skills and knowledge. Thus, people are always learning
through their experiences, imagination, and environment. As a result,
organisation leaders should apply the concepts above into real management
practices to enhance the creativity and innovation within their employees and
business.
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