Analysis of Strategies Related to Change and Innovation that Provide a Competitive Advantage

Different Strategies Associated with Incremental Change and Radical Change

Incremental  change means that programs and organizations can be developed over time by making minor alterations such as changing components or activities therefore building on the status quo. For example, continuous improvement in quality management process or implementation of a new computer system to increase efficiency is an incremental change. Normally, incremental change is an exercise that slowly gets more difficult. This process allows more time for data collection and can help managers track performance of a program and learn which problems need to be addressed. This improves efficiency productivity and competitive differentiation. We can apply different strategies for incremental change. It is important to build an understanding of customer needs through conducting qualitative interviews, surveys and idea management software. Align your team with innovative methodologies and pivot the approach in the moment to minimize revisiting the research process afterward. Always build Riskiest Assumption Test (RAT) to help identify and invalidate key misconceptions and determine whether customers are interested in the concept before investing in it. Finally, communicate constantly with customers to help gain a better understanding of customer experiences, needs and responses towards new concepts and features.

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Radical change is change that occurs relatively fast and usually modifies the essence of social structures or practices in an organization. This change affects the resources, norms and interpretive schemes of groups and individuals. In the real world completely transforming how a company is structured and cultured is a radical change. To bring about radical change in an organization, adopt a coaching or training environment in the company culture. Companies can use proactive, active, reactive and passive strategies for radical change. Active strategies predict a healthy change in customer needs and rapidly grasps the market opportunity. Reactive strategies slowly adapt and embrace the market and technological dynamics. Passive strategies delay the process of change until the business comes up with a contingency plan that accommodates and counters risks and threats.

Example Where Incremental Change Is A Better Solution And One Example Where Radical Change Should Be Considered. 

Incremental change is preferred whenever the result of the change is unforeseen and the conditions where resources are inadequate. For instance, when a company wants to venture into production of a crude product without adequate resources, a wide range of knowledge and research, and where analytical predictable outcomes are not certain. The firm has to be well advised to proceed by implementing incremental changes (1). Radical changes are considered where companies have huge fiscal resources, broad and perfect knowledge of the market and technology, cutting edge innovations, and adequate and skilled human resources.

A Scenario Where A Push Or Pull Innovation Would Provide A Competitive Advantage

Push and pull innovation is any innovation that involves deep knowledge of both a problem and a solution. Push marketing requires pushing your brand in front of potential customers by advertising or promotions. Pull marketing requires implementing a strategy that naturally draws customer interest to your products. Push innovation is enhanced by immediate payback while pull marketing is essential in the long run (2). This innovation is influenced by internal development or research activities to enable supply chains to facilitate distribution of goods or services while pull change motivates potential customers to seek a specific product where the producer has a strong brand. Successful firms that aim to have a competitive advantage in the market and technology investments apply push and pull strategies (1). This enables them to make profits now and in future with the objective of getting specific products to its intended target market.

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Therefore, push and pull innovation promotional strategies. In a production organization, the push strategy works to boost sales for items that have low value as the pull strategy fosters and motivates customers to acquire a particular brand. This will lead to various results: For starters there will be a high demand for a particular brand with retailers stocking the product in bulk. Moreover, the customers will be aware of the existence of a particular product and demand more, increasing sales and marginal profits.

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Reasons Why Entrepreneurs Should Follow An Innovation Strategy

Entrepreneurs consolidate all factors of production, such as, labor, land, capital and human resources. They have a responsibility to identify, formulate an d implement innovative strategies to ensure the success of the business. They have to adhere to innovative strategies to increase competition. Innovative strategies give a company a competitive advantage by having a unique attribute that distinguishes it from the rest of the firms in the market. Entrepreneurs have to continuously and consistently come up with innovative ideas to achieve company’s mission, vision, goals and objectives. Innovative strategies aim to satisfy customer needs. With the increasing consumer’s expectations, desires, taste and preferences, entrepreneurs have a responsibility to indulge in research and development of innovative strategies to satisfy the unlimited customer needs. These strategies maximize profits while decreasing costs of production.

The main objective of any business is to make profit, therefore, entrepreneurs have to come up with newer methods of increasing sales, decreasing production costs and avoiding hidden costs, with the aim of maximizing profits. Strategic innovation requires entrepreneurs to implement the right framework for better outcomes. First, an entrepreneur should determine the causes and underlying issues in the organization and come up with ways of tackling them. The process of strategic innovation requires planning, directing, organizing, staffing, monitoring and evaluation of the ideas being considered (2). Planning is the key and most central part of the innovation process. Entrepreneurs use this process to solicit advanced solutions for their frameworks. Organizing and directing the staff is integral to the innovation and invention process. A structured work plan and collaboration from all stakeholders in the organization ensures favorable strategic innovation implementation.

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Innovation and Entrepreneurship, Change, Artificial Intelligence and Technology

Inter-relationship between Innovation and Entrepreneurship

Entrepreneurship is an essential industrial development factor in a country. It is the basic character of an entrepreneur. It initiates novel products and develops means of production and organizations to make them marketable. Entrepreneurship leads the quantum leap in technology and forces resources reallocation away from current uses to productive and new users. Entrepreneurship is a micro driver of innovation. Therefore, entrepreneurship entails innovation. Entrepreneurship and innovation concepts contain multiple meanings. The two are mostly considered as overlapping concepts. This was first insinuated by Schumpeter’s definition of entrepreneurship, where entrepreneurs are regarded as people who conduct innovations (Nagaraju, 3).

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The entrepreneurship concept is closely related to the innovation element, as it involves doing something new or doing existing things differently. It involves new production processes, the introduction of novel products, new market creation, and the discovery of novel and more improved forms of industrial organization. In the quest to improve the quality of services and goods, and to be more competitive in the market, entrepreneurs end up focusing on being innovative. They find new ways of doing this to remain differentiated in the market. They always focus on solving new and existing problems in society, creating a new market, or be more competitive in the existing market. This makes all entrepreneurs innovators (Nagaraju, 3).

The Risks and Benefits of a Social-Organization as it Related to Change and Innovation

Social organizations mostly focus on solving social problems to improve the living condition of targeted people. Social organizations perceive innovation as a means of solving social issues, based on a novel form of economy that employs aspects of current logic linked to other elements that focus on contributing to social welfare. Social innovation addresses changes in the social environment where new social systems and institutions are developed in a logic that shifts from the individual to the collective. The benefits of innovation and change in the social environment are that they introduce better ways of solving social problems in terms of cost and effectiveness. Innovation enhances inclusive growth as it enhanced the implementation and development of novel ideas that aspire to generate chances that enhance economic and social well-being for marginalized members of society. The main risks of innovation and change are that they are full of uncertainty (Bittencourt, 1). Innovation involves doing a new thing or an existing thing differently. It is highly based on ideas and projections. There is no guarantee that things will turn as anticipated. It is therefore of a process of taking risks. In a situation of failure, this may result in a huge cost that may be hard for social organizations to bear. Where change is inevitable, social organizations have to employ risk mitigation while implementing innovative ideas. 

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Speculation on How Artificial Intelligence (AI) and Robotics will Influence Organizations in the Next 10 Years

Artificial Intelligence (AI) and robotics have brought a great change in our organizations today. They have taken over most of the repetitive tasks from humans, doing them more efficiently than humans ever did. They have also taken over some of the high risks tasks especially in military and security agencies and helped in reducing operational risks in hospitals. Generally, AI and robots have enhanced work accuracy, safety, and efficiency. They have also helped in reducing the cost of operation and increasing the general output due to minimized errors and the ability to work repetitively for a long time without negative health impacts demonstrated by human workers (Dirican, 2).

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Moreover, robots reduce the safety demands and other human labor welfare demands that must be accomplished in a company. This means less chaos and go-slow incidences in an organization. Consequently, most organizations are working hard to implement AI and robotic technology. With the competitive advantage offered by AI and robots, it is likely their use in organizations will have increased from the current rate by a huge value, in the next 10 years. Most organizations will have more robots than human workers. Only fields related to developing and maintaining robots may remain marketable for humans in the future. The labor cost will go down in most of these organizations, increasing the production rate and profitability.

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Risks that the New Technologies May Present to Existing Industry Models and Economic Systems

The main risk of the new technologies especially AI and robots is loss of livelihood for the majority of the working class. These technologies have highly replaced human workers in most industries. This results in an increase in the level of unemployment in countries implementing them. Consequently, the majority of workers in semi-skilled and administrative levels have been replaced by technology. AI ensures that tasks are accomplished by fewer people than before, with high accuracy and high time efficiency. This makes them more preferred by most organizations. This means more organizations will opt for the use of these technologies in the future, phasing out a huge number of workers, and reducing the significance of the human resource department. Although such organizations are likely to cut on cost, increase their production rate, this may cause low human purchasing power due to a high level of unemployment. Consequently, the anticipated financial benefits may be unattainable to all in the future, after the technologies dominate the industrial model. This means in the long run the technology may affect the social system and the economy negatively.

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Jeff Bezos Transformational Leadership and Contribution Towards Innovation


One of the most renowned leaders of the 21st century is Jeff Bezos, the founder, and CEO of Amazon Inc. Bezos stands as one of the most famous leaders due to his leadership skills, traits, and behaviors that he has consistently exhibited over the years, specifically during his time in Amazon. Under his leadership, Amazon has exponentially grown from a garage start-up to become the world’s largest online retailer and the most valuable brand worldwide. This paper will explore Bezos’ approach to leadership to identify leadership theory that best describes him as well as his view and contribution towards innovation.

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Which Leadership Theory best Describes Jeff Bezos?

            The leadership model that best describes Bezos is transformational leadership. A transformational leader encourages, motivates, and inspires employees to innovate and create change geared towards facilitating growth and shaping the future success of an organization. Such a leader achieves desired outcomes by setting an example through a strong sense of organizational culture, encouraging employees to take ownership, and promoting independence in the workplace (Sata & Kelly, 2016). Therefore, transformational leaders like Bezos inspire and motivate their team without micromanaging. The approach gives employees more room and freedom to be creative and innovative; thus, finding new solutions to arising problems (Grădinaru, Toma, & AndriÈ, 2020). According to Sata and Kelly (2016), transformational leadership relies on charisma to derive a form of social authority, whereby their legitimacy stems from their behavior and character rather than their formal position. Comparably, as shown below, Bezos’ leadership skills, traits, and behaviors align with transformational leadership theory.

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Jeff Bezos’ Leadership Skills

            As a leader, Bezos has displays excellent communication skills. He has demonstrated these skills by motivating and inspiring his team to share his vision and dedicate their time and effort towards actualizing it. Grădinaru, Toma, and AndriÈ (2020) explain that leaders who utilize transformational leadership must have good communication skills since their effectiveness relies on their ability to inspire and motivate others. Another key leadership that Bezos acquires is the ability to influence others. Taylor (2018) defines influence skills as having a superior ability to induce a change of behavior, attitude, thoughts, and mastery to accommodate proponents’ wishes. Notably, Bezos founded Amazon in 1995, in the garage of his rented home. Less than two decades late, the corporation has grown into the most valuable brand and has more than 750,000 employees. Bezos has achieved this by influencing others to share his vision, principles, values, and process (Grădinaru, Toma, & AndriÈ, 2020). The accomplishment demonstrates Bezos’ superior communication skills coupled with the ability to influence, inspire, and motivate.

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Jeff Bezos’ Leadership Behaviors

The leadership behavior that distinctively exhibits Bezos’ subscription to transformational leadership is idealized influence and inspirational motivation. According to Taylor (2018), idealized influence refers to how individuals exhibit their influence within a group. As a leader, Bezos is highly respected by his employees and by his peers in the corporate realm. Moreover, he is charismatic and, as such, provides a great sense of belonging. This influences others to share his vision and believe in him as a leader. Bezos’ charisma coupled with his ability to provide inspirational motivation renders him a powerful force of influence on people that he leads as well as those who idolize him as a role model. As an inspirational motivator, Bezos is actively invested in improving his employees’ performance and enhancing their morale to strive towards innovation and creativity. He uses both extrinsic and intrinsic motivators to motivate his team to move in the direction that he deems best for the organization (Grădinaru, Toma, & AndriÈ, 2020). The behaviors allow Bezos to stand out as a catalyst for change.

Jeff Bezos’ Leadership Traits

            Many distinctive traits define Bezos’ leadership style. However, the two most distinctive are purposefulness and inclusiveness. As a transformational leader, Bezos is inclusive of other people’s diverse viewpoints and identities. This is well exhibited by Amazon as an employer. The organization appreciate people’s differences and acknowledge that their uniqueness is what renders them more valuable. Bezos is also an adamant advocate of equality and fairness, whereby he strongly believes that any person matters and can make a difference. The trait allows him to build meaningful relations and excel in developing talents through inspiring confidence and encouraging employees to grow and develop. Regarding his purposefulness, throughout his leadership tenure at Amazon, Bezos has consistently demonstrated his commitment to goals and actualizing visions in a manner that is both hopeful and optimistic. Bezos inspires a sense of purpose in his employees while at the time encouraging autonomy so that a culture of innovation and creativity pervades around him (Sata & Kelly, 2016). Nonetheless, he conveys the inspirational, motivational messages with clarity and authority.

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Jeff Bezos Leadership Style

Based on the above-described leadership behaviors, traits, and skills, Bezos’ approach to leadership inclines towards the transformational leadership style. Notably, transformational leaders emphasize motivating and empowering their followers to innovate and create change. They also encourage employees to grow and develop by promoting autonomy and including their followers in the decision-making process. Transformational leaders figure out what motivates each employee and utilize the knowledge to ensure they grow and develop (Sata & Kelly, 2016). Additionally, a transformational leader also influences his/her followers to adopt an established set of values, beliefs, and principles. Moreover, they are keen on establishing and maintaining robust relationships with their followers. Through establishing these relationships and using their charisma, transformational leaders inspire and motivate others to share their vision and commit to innovation and creativity (Grădinaru, Toma, & AndriÈ, 2020). Indeed, the qualities associated with transformational leadership form the foundation undergirding Bezos’ approach to leadership.

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            Bezos’ transformational leadership style has proven to be remarkably effective in driving success. It has helped Bezos grow and develop Amazon from a garage start-up to one of the largest multinational corporations. Arguably, the style has been successful for Bezos and Amazon due to emphasis on inclusiveness, empowerment, purposefulness, and allowing employees the freedom to be innovative and creative. Also, by being process-oriented and ethical-driven, Bezos has been able to inspire and motivate his employees as well as partners to share his vision and goals. Consequently, they have dedicated their time and efforts towards achieving desired results. According to Taylor (2018), an effective transformational leader influences others to share his/her vision, inspires action, and provokes followers to think outside the box leading to innovation and creativity. Bezos has successfully implemented these principles hence his tremendous success as a leader.

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Jeff Bezos Contribution to Innovation

            One of the defining qualities of transformational leadership is the emphasis on creativity and innovation. The quality allows them to change processes and innovate products by thinking creatively to envision solutions and involve others in the vision-building process. As a result, innovation pervades transformational leaders (Taylor, 2018). Bezos is considered one of the most innovative modern-day leaders. He has pioneered many innovative processes and products. For instance, his most famous innovation is a client-centered approach to customer service.

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Amazon designed an algorithm that analyzes customers’ previous buying patterns to predict what they might shop next. In an era when most businesses focused on maintaining a competitive advantage through using traditional strategies such as differentiation and cost leadership. Bezos came up with a new approach that emphasized investing in customer relations by leveraging information technology. Moreover, under his leadership, Bezos insists that Amazon must continue experimenting and innovating. Bezos understands that not all new ideas will become successful but encourages his employees to view failures as learning opportunities (Grădinaru, Toma, & AndriÈ, 2020). This philosophy motivates Amazon employees to try new creative things without the fear of failure.

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            Jeff Bezos is a transformational leader who has successfully utilized the approach to grow and develop one of the world’s largest multinational corporations. He has consistently demonstrated skills, behaviors, and traits that align with transformational leadership. His leadership approach helped him achieve massive success, mainly as the founder and CEO of Amazon Inc. It has also allowed him to foster an innovative mindset at Amazon, helping the organization establish itself as one of the most respected innovative companies globally.

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Creating a Culture of Innovation and Creativity – HMD Global

In today’s business world, characterized by dynamism and vigorous competition, enterprises must seek ways to secure a competitive edge. An organization can establish and maintain a competitive advantage by creating a culture of innovation and organization. Relatedly, this report explores how HMD Global can infuse creativity and innovation in its organizational culture. HMD is a Finnish corporation, established in 2016, specializing in mobile technology. The company manufactures the Nokia brand smartphones (Who we are | HMD Global, 2020). Since HMD Global operates in the technology realm, creativity and innovation are essential to its success.

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Ideal Qualities and Characteristics of the Company Employees for Cultivating a Culture of Creativity and Innovation

 Creativity and innovation allow an organization to exploit change as an opportunity. However, for this to happen, a company needs to have employees with ideal qualities and characteristics, to establish a culture that allows creativity and innovation to thrive. These include risk-taking, a growth mindset, determination to change the status quo, teamwork spirit, effective communication and interpersonal skills, and self-confidence.

Risk Taking. Creative and innovative individuals are characterized by the ability to take a calculated risk. According to Hon and Lui, free-flowing creativity and innovation involve significant considerable risk-taking (p.14). HMD Global employees, therefore, need to embrace risk-taking to achieve a culture that promotes creativity and innovation.

A Growth Mindset. Where creativity and innovation are involved, challenges and setbacks are inevitable. A growth mindset is necessary to ensure that an individual persistently strives for excellence despite the challenges and setbacks. Employees with a growth mindset view challenges and failures as learning opportunities, which allows them to keep pushing (Hon and Lui, p.18). This mindset will enable HMD employees to keep excelling even in the face of adversity; consequently, facilitating creativity and innovation.

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Challenge Status Quo. Creative and innovative individuals are action-oriented, always seeking means to change the status quo for the better. This enables them to research and seek innovative approaches to address underlying problems. As a result, they create a work environment characterized by creativity and innovation (Hon and Lui, p.18). Thus, HMD needs employees who are determined to achieve continuous improvements in everything they do.

Team Work Spirit. According to Mumford and Todd, teamwork is the backbone of creativity and innovation. Whereas a person can innovate new things or approaches individually, teamwork facilitates and enhances the creativity and innovation process (p.41). HMD, therefore, needs to emphasize collaboration among its employees by creating a culture that promotes team spirit.

Communication and Interpersonal Skills. Creativity and innovation thrive in a culture characterized by effective communication and the presence of strong, meaningful bonds and relationships among the employees. Communication and interpersonal skills strengthen team spirit, thereby promoting a collaborative culture (Mumford and Todd, p.58). As mentioned in this paper, collaboration is essential to creativity and innovation.

Self-Confidence. Without self-confidence, an individual cannot challenge the status quo nor take risks. Self-confidence is, therefore, a crucial quality for HMD employees to have. According to Mumford and Todd, one may have great ideas, but without self-confidence, they can never actualize the ideas (p.60). Therefore, self-confidence is crucial to establishing a creative and innovative culture.

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Ideal Background and Experience Needed for Company Leaders

            To establish and maintain a creative and innovative culture, HMD leaders need to have the qualities and characteristics discussed in the section above. Moreover, they must have a background and experience that align with the promotion of creativity and innovation. To start with, they must have experience in leading change. The technology industry is characterized by dynamism and, therefore, the need for players to keep changing to maintain a competitive advantage. As a result, the ability to lead change is essential to fostering an organizational culture centered on creativity and innovation. 

            Secondly, HMD leaders need to have high-risk tolerance and experience managing employees working in a flexible work environment. Flexibility in the workplace is essential to creativity and innovation. According to Cohendet, Parmentier, and Simon, it allows employees to try new approaches and things, which lead to the inception of innovative products and processes. If leaders micromanage employees or emphasize they stick to the established ways of doing things, it smothers creativity and innovation (p.27). As such, it is imperative that HMD leaders have a background and experience working in a workplace that encourages flexibility and risk-taking.

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            Lastly, the leaders need to have background and experience in motivating and inspiring employees. Employees can have qualities and characteristics necessary to foster a creative and innovative organizational culture; however, without leaders who inspire and motivate them to create and innovate products and processes, they are most likely to accept the status quo (Cohendet, Parmentier, and Simon, p.32). Therefore, it is crucial that HDM have leaders who can effectively motivate and inspire the workforce to dedicate its time and effort towards creativity and innovation.

Leadership Qualities and Characteristics the Employees Should Have to Create a Culture of Creativity and Innovation

In the modern-day corporate realm, it is important that employees possess leadership skills. There are many leadership qualities and qualities that HMD employees should have to be effective in fostering creativity and innovation. However, the two most important ones are having a growth mindset and being action-oriented.

Action-Oriented. When an individual is action-oriented, he/she gets things done, whether on their own or through other persons. Hence, they follow through on their commitments and make sure other people do as well (Mumford and Todd, p.78). Having the action-oriented ability will see HMD employees strive to foster a corporate culture undergirded by creativity and innovation as well as push each other to work towards achieving the goal. Consequently, this will allow HMD to establish and maintain an organizational culture emphasizing creativity and innovation.

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A Growth Mindset. As explained earlier in this report, a growth mindset allows an individual to thrive even in the face of challenges and adversity. As a leader having a growth mindset allows one to influence team members to embrace challenges and view them as opportunities for learning and growth. As a leadership quality, a growth mindset will allow HMD employees to remain creative and innovative even when situations are challenging, or ideas keep failing to achieve desired results. 

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Ideal Organizational Culture for Cultivating a Culture of Creativity and Innovation

HMD’s ideal organizational culture is one that places creativity and innovation at the heart of its operations. The culture entails various dimensions that define a creative and innovative environment. Firstly, it is challenging so that it gives employees a sense of meaningfulness in their work. Secondly, it promotes risk-taking by emphasizing tolerance of new ideas and willingness for experimentation and freedom of problem-solving and decision-making. Thirdly, it embraces flexibility, characterized by dynamism and liveliness, to facilitate the creation of new things and thinking. Fourthly, it is marked by openness so that individuals are open to new ideas, and the said ideas are received with attention and respect. Lastly, the culture is undergirded by an effective two-way communication framework. Effective communication promotes teamwork and collaborations, which are essential to creativity and innovation. It also provides employees with efficiency in exchanging information that can birth innovation.

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Jeff Bezos Leadership, View on and Contribution toward Innovation

Jeff Bezos is the founder, president, and chief executive officer of Amazon Inc., a multinational technology company that focuses on e-commerce, digital streaming, cloud computing, and artificial intelligence. Bezos has established himself as one of the most influential leaders in the 21st century due to the leadership skills, behaviors, and traits that he has consistently demonstrated over the years. Under his leadership, Amazon has experienced exponential growth and is currently ranked as the world’s most valuable brand. This paper seeks to analyze Bezos’ leadership approach using leadership theory and identify his view and contribution toward innovation. 

Leadership Theory that Best Describes Jeff Bezos

The leadership theory that best describes Bezos is relational theory. The model focuses on the relationship between people working together to accomplish change or make a difference to benefit the common good (Northouse, 2018). According to Northouse, the model emphasizes being inclusive and ethical. The model focuses on five fundamental components: ethics, purpose, empowerment, inclusivity, and process orientation. Hence, it emphasizes upholding values and standards of morality, having a common set of values and vision, empowering others to bring the best out of them, welcoming diverse perspectives and identities, and focusing on groups and how they can work as a team (Dugan, 2017). Thus, as per the theory, relationships are essential to leadership effectiveness. Comparably, Bezos’ skills, behaviors, and leadership traits align with the relational theory.

Jeff Bezos Skills

To start with, Bezos possesses excellent communication skills, demonstrated through how he inspires and motivates his employees to share his vision and work towards its success. According to Dugan (2017), leaders who adopt the relational leadership model must have plausible communication skills since their effectiveness relies on listening, sharing information, encouraging others, and making meaning of what they envision through words.  Another core leadership skills that define Bezos is influence skills. Northouse (2018) describes influence skills as having superior ability to behave in a way that offers others the invitation to change their attitudes, thoughts, behavior, and ways to accommodate the proponent’s wishes. In 1995 Bezos founded Amazon in the garage of his rented home. Fifteen years later, he has grown the company into the most valuable brand worldwide by influencing others to share his vision, set values, principles, and process (Anders, 2012). Undoubtedly, this demonstrates Bezos’ superior influence skills.

Jeff Bezos Behaviors

Bezos’ most distinct behaviors that underpin his subscription to the relational theory school of thought include idealized influence and inspirational motivation. Dugan (2017) explains that idealized influence relates to the ways leaders exhibit their influence within a group. Relatedly, Bezos is deeply respected not only by his employees but also by his peers in the corporate realm. Additionally, he provides a clear vision and a strong sense of belonging, which encourages others to share his ideas (Sata & Kelly, 2016). As such, Bezos is a powerful force of influence on the people he leads and those who idolize him as a role model. Regarding inspirational motivation, Bezos plays an instrumental role in improving the performance and raising his followers’ morale. Wanasika and Krahnke (2018) elucidated that he utilizes both intrinsic and extrinsic motivational techniques to inspire and motivate others.

Jeff Bezos Leadership Traits

Bezos has many distinct leadership traits, but the two that most stand out are inclusiveness and purposefulness. Bezos is inclusive of other people’s diverse identities and points of view. According to Sata and Kelly (2016), Bezos appreciate people’s differences and acknowledge that they are valuable in unique ways. He is also a zealot advocate of equality and fairness as he believes that every person matters and can make a difference. The trait allows him to excel in developing talents and building robust relationships. Concerning purposefulness, Bezos has consistently demonstrated individual commitment to goals or activities in a manner that is hopeful, positive, and optimistic. He possesses the ability to collaborate with others to find a common purpose and work toward its success (Anders, 2012). Bezos’ positive and optimistic attitude underpins his purposefulness.

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Bezos’ Leadership Style

Based on the above-described skills, behaviors, and traits, Bezos’ approach to leadership chiefly inclines towards the transformational leadership style. Transformational leaders emphasize empowering and motivating their followers to innovate and create change that will facilitate their growth as well as that of the organization. They also influence their followers to embrace an established set of values, principles, and beliefs (Northouse, 2018). Notably, transformational leaders are keen on establishing and maintaining a positive relationship with team members.  According to Dugan (2017), an excellent transformational leader provides encouragement, empowers others, sets clear goals, models integrity and fairness, inspires team members to achieve their goals, and provokes positive emotions in others. Relatedly, these qualities describe Bezos as demonstrated by his leadership behavior, traits, and philosophy.

Bezos’ transformational leadership style has been remarkably effective. It has helped him grow and develop Amazon from a garage start-up company to become one of the world’s largest multinational corporations. The style has been successful because Bezos has emphasized inclusiveness, empowerment, and purposefulness. He is also ethical-driven and process-oriented. Consequently, this has influenced, inspired, and motivated his employees and partners to share his vision and objectives; thus, dedicate their efforts towards desired results (Anders, 2012). As per Northouse (2018), an effective transformational leader influences others to share his/her vision, encourage others to inspire action, provoke others to think outside the box and innovate, and show genuine care and concern for team members. Bezos has effectively implemented these principles, hence the success.

Jeff Bezos Contribution and View towards Innovation

            As one of the traits defining transformational leaders, purposefulness allows them to change processes and models by envisioning solutions, identifying goals, thinking creatively, and involving others in the vision-building process. Consequently, this facilitates innovation. Relatedly, Bezos is considered one of the most innovative leaders of the 21st century due to his ability to envision and develop new creative ways to address issues. Bezos has pioneered many innovative practices and products. For instance, his most renowned innovation is the practice of recommending what customers would like based on an algorithm that analyzes their previous buying patterns and compares them with those of other clients (Wanasika & Krahnke, 2018). In a time when most corporations focused on maintaining their competitive advantage through cost leadership, differentiation, strategic alliances, and defensive strategies, Bezos came up with a new creative approach. He emphasized investing in deeper customer relationships by leveraging technology; thus, he developed the algorithm. 

Bezos insists that Amazon must place the customer at the center of everything they do and are always ready to take risks, which others may shy away from, for the sake of improving their clients’ experience. The innovative approach has seen Amazon enjoy increased success over the years (Wanasika & Krahnke, 2018). Moreover, under the leadership of Bezos, Amazon continues to experiment and innovate in many other areas. It is worth noting that Bezos acknowledges that not all innovations will succeed, but the most important thing is to keep innovating and trying new things. This philosophy inspires and motivates Amazon employees to try new creative ways and things. Bezos has created an environment that encourages a growth mindset in that people are not afraid to fail as they are aware the setbacks serve as opportunities for learning and growth (Schoemaker, Heaton, & Teece, 2018). Consequently, innovation has become the order of the day at Amazon.

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Therefore, Jeff Bezos is a transformational leader, whereby the relational theory underpins his leadership style. He demonstrates skills, behaviors, and traits that align with the transformational leadership approach. Bezos’ transformational approach to leadership has helped him achieve significant success as the founder, president, and CEO of Amazon Inc. It has also cultivated his innovative mindset, helping Amazon establish itself as one of the most innovative companies worldwide.

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Why Entrepreneurial Organizations Seek Opportunities for Innovation

Innovation is the step of putting new ideas into practice in order to come up with unique products in the market. Many companies seek the opportunities for innovation because it has clear advantages in the market. Companies that focus on innovation have a high chance of succeeding. Four of the most important reasons why entrepreneurial organizations seek opportunities for innovation are explained below.

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Increase Competitive Advantage

Innovation helps to increase a company’s competitive advantage. This is especially the case in an environment where many businesses are dealing in the same type of products. Innovating new products, or coming with new ways on how an existing product can be made more efficient and cost-friendly can be the best way to stand out in the market (Nambisan et al., 2019). Being associated with new innovations can increase a company’s standing in the market, and make it more competitive. New innovations make it easy to increase revenues and increase on productivity in the firm. Competitive advantage makes it possible for a company to dominate the market. Entrepreneurial companies focus on innovations to be able to differentiate themselves from their rivals.

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Help the Business to Grow

Innovation contributes significantly to the growth of a business entity. Innovation is not only necessary for large firms, but also for startups. Small businesses seek opportunities for innovation because it provides them with an opportunity to expand their reach. Innovation makes it possible to increase the number of goods that a business deals in, and thus caters for the needs of many different buyers. Another method of growing in the market is buying increasing the value of an existing product. This can be achieved through innovation. Although many companies exploit different methods to grow and expand in the market, embracing innovation and seeking innovation opportunities is one of the surest ways of achieving growth.

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Meet the Needs of Customers

Innovation makes it possible to meet the needs of customers. The needs of customers are always changing. Innovation provides entrepreneurial organizations with an opportunity to meet customers’ immediate and long-term needs. As the needs of customers keep shifting, it is the duty of the organization to realize read the patterns and innovate products that will respond to the new needs (Mahmoud et al., 2019). The ability to be highly responsive makes it possible for a company to be relevant at all times. New innovations also help to excite customers and motivate them to remain loyalty to the business. The best way to meet the diverse needs of customers is by embracing the spirit of innovation.

Read also Company With Best Innovation – Amazon

Attract the Best Employees

Innovative companies are the most attractive working destinations for innovative and talented people. An atmosphere that encourages innovation excites many highly qualified employees. Innovative employees desire a work environment that is interested with new ideas, and readily invests in actually new ideas in the business. As such, entrepreneurial organizations seek opportunities for innovation in order to remain attractive to the best employees in the market. These employees usually perform a background check of a company before applying for any opportunity. In such a case, a company’s history of valuing innovations serves as a significant appeal. 

Read also Innovation Planning and Design Process

Opportunities for innovation give a company the opportunity to be unique in the market. It ensures that a company becomes highly attractive to innovative and talented employees. Innovation also makes it possible for a company to meet the needs of customers. Other important advantages are that innovation helps a company to grow and increase its competitiveness in the market. These reasons explain why businesses focus on innovation.

Read also Creating a Culture of Innovation – BUS302

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Creating a Culture of Innovation – BUS302

Imagine you are creating a new and innovative technology company. In this assignment, consider the culture, management, and leadership of your organization. Remember that your company should be a place that people want to work.

Write a three to five (3-5) page paper in which you:

  1. Describe the characteristics of the people you would want working at your company, in relation to the culture you are trying to cultivate.
  2. Identify two (2) leadership qualities you would look for in employees. What does their background and previous experience look like?
  3. Discuss your company’s organizational culture. What are the ways you can help ensure that the company’s culture fosters creativity and innovation among employees?

Read also Company With Best Innovation – Amazon

 Creating a Culture of Innovation – Jolly’s Creative Apparel

            Jolly’s Creative Apparel is a fashionable apparel company incepted on December 6, 2019 in New Jersey with the primary aim of creating handbags for the stylish 21st century woman. The company is grounded in a unique business framework which allows customers to send in designs to be incorporated into the final design. This nascent idea is the primary reason why Jolly’s Creative Apparel handbags’ have a starting price from $55.00 since customers are always assured of high-end finished products. This relative affordability also creates a unique opportunity for aficionados of customized goods to enjoy this exceptional service. Ethical and fair trade manufacturing material are procured from Quebec, Canada; from accredited suppliers renowned across the region for first-rate goods.  Jolly’s Creative Apparel stands out from the rest by allowing customers to set a price range from which they would like to operate within, which further improves the company’s standing within a complex market.

Read also The Seven Rules of Innovation

Customers are also given an opportunity to introduce new changes after manufacture to ensure initial plans and ideas are incorporated into the final design. A premium subscription through the company website also allows customers to enjoy free shipping for products ordered, in case mail delivery is unavailable. Word of mouth referrals have been responsible for a majority of the referrals, while customers enjoy a 5 percent discount for the purchase of four or more bags. Creating a robust culture of innovation relies upon fundamental characteristics of employees and leadership qualities within an effervescent organizational culture.

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Characteristics of The People I Would Want Working at the Company

            The hiring of new employees is an important practice which currently takes center stage at Jolly’s Creative Apparel. Nevertheless, prospective applicants must first display several core characteristics bound to bolster the company’s mission of transforming lives through the creation of elegant masterpieces. The company is particular about these traits for it is only through their presence that success will be realized in a relatively competitive market. The demeanor of individual employees is always an important aspect to factor in for it impacts an organization directly and has far-reaching consequences for all parties involved. Jolly’s Creative Apparel seeks to employ individuals who are highly dependable and meticulous in their work. It is always crucial to employ reliable persons capable of taking on any challenge within the workplace environment. Dependable employees are individuals who overcome personal deficiencies to complete an assortment of pending tasks in an orderly fashion while remaining cognizant of projected timelines (Blair & Roe, 2016).

Read also Creativity, Intrapreneurship and Innovation Concepts In An Organization

They are also able to work with minimal administration due to a high level of discipline and commitment to organizational objectives. These traits also foster honesty within the workplace environment which then ensures that employees actively participate in ethical and transparent business practices. An ideal employee is also one who is proactive and capable of taking initiative in any given scenario. Such individuals typically display a high level of responsibility and are known for their resourcefulness whenever confronted by any emerging challenge. They should also display a great deal of integrity by owning up to their mistakes and being ready to make necessary changes to avoid a similar occurrence in the future. Furthermore, they should also be unafraid of raising pertinent issues and bringing them to the attention of respective supervisors for official direction on the best intervention strategy. They should also be willing to do more than is expected of them as a sign of sheer diligence and dedication to ensuring that the company thrives and meets set goals. A model employee is one with a virtuous disposition which is typically characterized by a good attitude. This is evident in their work ethic and relations with fellow employees. Additionally, they should have superior communication skills which will enable them to enunciate and pitch novel ideas with the aim of improving organizational performance.

Read also Why Biotech Startup Companies And University Research Facilities Have Become The Primary Sources Of Innovation In The Drug And Device Development Process

Leadership Qualities To Check in Employees

            Jolly’s Creative Apparel also seeks employees with essential leadership qualities. This is because employees should always be ready to occupy any available leadership position to support senior management in administrative duties. Leadership qualities also allow them to directly influence coworkers during a time of crisis with the primary aim of charting a defined course within a high-morale environment. Accountability and vision are two main leadership qualities that an ideal Jolly’s employee should have.

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            Accountability is ranked among the most important leadership qualities that employees can possess. This is because it has traditionally improved productivity by enabling employees to identify high-priority tasks as a way of reducing the frequency of unproductive behavior. Accountability also increases individual’s confidence in inherent capabilities since it allows them to display a great deal of skill within the workplace environment. It also reduces incidences of blame since employees focus more on the tasks at hand as opposed to finding fault in others. Accountable leaders are individuals who take initiative to employ best practices within the workplace environment to avert a situation where blame is shifted during precarious scenarios (Andrew, 2018, p. 45). Accountability also assures employees of less conflict since individuals take responsibility for their actions and endeavor to change as a way of remedying the current situation. Besides, accountability every so often means less frustration within the workplace environment since culpable individuals strive to transform circumstances through cumulative alterations. It also fosters an environment where exceptional customer service becomes the norm since individual employees take responsibility for their role in organizational failings. A visionary employee is one who constantly seeks to improve an organization’s current position by seeing its potential to attain nascent innovative goals. They are individuals who are constantly coming up with new ideas on how organizational objectives can be realized. A visionary leader is also directly involved in company initiatives and always ready to lead others towards the attainment of specific objectives. They are also risks takers who see potential in proposed ideas and willing to take sacrifices to attain set goals. Furthermore, a visionary employee is one who carefully listens to advice provided by every single individual within the organization including dissenting voices. This allows one to listen to useful advice crucial when seeking to attain a set of pre-determined goals.

Read also Advantages and Disadvantages of A Business Functioning Within an Ecosystem In Terms of Innovation and Creativity

Organizational Culture on My Innovative Company

            Jolly’s Creative Apparel consists of motivated entrepreneurs who are dedicated to display their love of fashion through unique handbag designs. They are ready to dedicate their lives to this cause and have already taken necessary steps to identify potential clients who will ultimately become the company’s lifeline. The company employs a comprehensive hiring structure which only approves dedicated individuals who set their eyes on achieving organizational goals. The spirit of entrepreneurship is one of the basic requirements since it is linked to problem-solving capabilities and ultimate entrepreneurial success. Additionally, our company ensures all employees enjoy a level of freedom which allows them to express their opinions openly without fear of accompanying repercussions. It is, therefore, possible to directly approach any emerging challenge, while constantly brainstorming to develop refined business ideas for the company’s future.

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In conclusion, Jolly’s Creative Apparel is an emerging leader in the handbag industry which strives to create imitable designs for its rapidly growing clientele. Hiring employees who are dependable, motivated, meticulous, and proactive will support the company in fueling its expansionist quest through aggregate success. Similarly, accountability and vision are two main leadership qualities that an ideal employee should possess. Thus, the company seeks to achieve its organizational objectives through an intricate organizational culture which fosters growth and success.

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Company With Best Innovation – Amazon

AMAZON.COM – Innovation Audit

            Innovation audit is the inspection of an organization’s innovation capabilities with the aim of discovering exact strengths and weaknesses of innovation processes and practices, as well as determining the best way of improving performance. This document presents innovation audit for It begins by describing organizational background and history. The subsequent sections focus on key drivers of innovation at the company, sources of innovation, innovation capability mapping, and hindrances to innovation.

Read also Jeff Bezos Leadership, View on and Contribution toward Innovation

Organizational Background

            Amazon is the world’s largest online retailer. Officially launched in 1994, the company started as a book seller before transforming into a provider of a broad range of products and services through its multiple websites. Today the company operates via three segments based on product offerings and strategic regions of its market: (1) Amazon Web Services (AWS), (2) North America, and (3) International services (Amazon Inc., 2014). Primary products and services include merchandise and content that the firm purchases from vendors for resale and stocks offered by third-party sellers. Recently, Amazon has ventured in the manufacture and sale of electronic devices such as the popular Amazon Alexa smart speaker. Through its many subsidiaries like the Whole Foods Market, the company is also involved in the sale of organic foods and staples. The North America segment focuses on consumer products, including those from sellers, and subscriptions through websites like The international segment comprises retail sales and subscriptions via international-focused websites while the AWS segment deals with the sale of computing, storage, database, and web-based products.

Current State

            Amazon retains the title of the largest retail business in the world. It is one of the highest grossing online companies with an approximated annual sales of $180 billion. Over the past decade the firm has increased its sales by almost $150 billion (Wearetop10, 2018). In 2008, sales totaled $19 billion while in 2017, they amounted to $177 billion. The total market share value for the company’s stock is estimated to be 669.8 billion (Wearetop10, 2018). Comparing this value to the Gross domestic Product of countries, Amazon emerges wealthier than 16 nations. With an estimated 12 million products, excluding books, wine, media, and services, and 341 million more from third-party sellers, the firm’s customer base is exceptionally diverse and the target market includes all consumers around the globe.

Read also Amazon’s SWOT , PESTEL Analysis and Porter’s Five Force Appraisal Analysis

Over 1000 million customers use the company’s Prime service. 72% of all amazon customers usually end up spending between $100 and $500 on the Amazon’s websites annually and half of web shoppers visit the sites to search for products (Wearetop10, 2018). Amazon webs services and products, including Prime Video service, Amazon Alexa, and renewable energy solutions have also attracted a large audience worldwide. The company’s workforce currently stands at 117,000 workers worldwide. Evidently, Amazon has demonstrated to be an innovative company and a prime contender in the online market place. The firm continues to grow through development, acquisitions, and new products and services.

Read also Why Entrepreneurial Organizations Seek Opportunities for Innovation

Drivers of Innovation

            Innovation refers to the process of transforming an idea into a valuable service or product. One of the principal factors behind Amazon’s success is its innovation. Drivers of innovation at the firm range from technological advancement, new social norms, to organizational culture.

Read also Innovation Planning and Design Process

Technology (Information and Communication Technology)

            Technology was not only a key driver in the formation Amazon, but also in the exponential growth of the company. In fact, Amazon is considered as one of the Big Four Horsemen of technology along with Alphabet, Apple, and Facebook. Before the company’s launch, Jeff Bezos, the founder, visualized the internet as an opportunity to open an online store. He initially launched the firm as a website for selling books. Nevertheless, he had a vision for growth and even aspired to expand the business into an all-inclusive store with a range of products. Later, Amazon included new product lines with music CDs, DVDs, videotapes, and software in its stock. The list grew quickly to incorporate baby products, apparel, electronics, beauty products, and even groceries. In essence, Amazon was an early adopter of the internet as a commerce platform (Chaffey, 2018). The firm launched in 1994, only three years after the internet was opened for commercial use. With E-commerce, users could traverse geographical barriers to get what they wanted and use electronic payments that did not require physical presence. Through time, Amazon has capitalized on every new technology in the internet, including security protocols and Artificial Intelligence (AI) to raise value for its customers which is one of the critical reasons for its grate success (Cloud, 2008).

Read also Creating a Culture of Innovation – BUS302


            Competition is a major driver of innovation at Amazon just as it is a central factor in novelty in other businesses and industries. After the launch of Amazon, many entrepreneurs decided to espouse e-commerce in order to traverse geographical boundaries and reach a wider customer base. This competition meant that every business was aiming to provide the latest and most valuable products and services to customers (vickery, 2018). Amazon innovated various strategies to outsmart its competitors such as incorporation of user friendly websites, broader product assortments, highly competitive pricing, and greater convenience in delivery and sale. Product and service differentiation has been a chief element of Amazon’s competitive edge and marketing strategies. By retaining creativity in its products, customer-orientation, and a focus on quality, Amazon has carved out its own image in a crowded marketplace.

Human Capital

            Amazon’s innovative organizational culture enables the company to seek talented employees who are bold enough to take risks and create new ideas (vickery, 2018). This is facilitated by availability of a skilled workforce with key prerequisites for innovation in the technology and originality frontiers. In the modern business environment, workers are not only required to create but also learn new production techniques. Moreover, the percentage of people with university degrees has risen in the recent decade. This reflects a high availability of skills in the market which in turn, shape human capital at Amazon.

Economic Climate and Market Conditions

            A culture of innovation is easiest to maintain where market conditions reinforce the confidence to take risks (Gewirtz, 2016).  Although the economy was plagued by the 2008 financial crisis, Amazon succeeded in exploiting economic and market enablers of its enterprise, particularly those related to e-commerce. Furthermore, the U.S. economy promotes investment and entrepreneurship by according the private sector with economic freedom and the autonomy to choose the direction and scale of production. With regard to the market, the recent period has seen a significant shift from conventional to online shopping where a majority of millennials prefer to order products online at their convenience. This change has not only allowed amazon to innovate it offerings but also personalize shopping experiences.

Sources of Innovation

            Sources of innovations in the case of amazon vary greatly depending on the context. The main sources include incongruity in the market, process need, market structure, and demographics.

Incongruity in the Market

            The need for diverse products and services has shaped innovation in many ways. For instance, the frustrating experience of typing and waiting for online search results to load prompted Amazon to develop a device that could listen and answer questions immediately. The Amazon Echo device, which is powered by an AI assistant, is personable and connects to Amazon’s cloud service in order to work (Bausch, 2017). It delivers what Google could not deliver in its conventional search engine. It is a common trait for human beings to fill incongruities that they notice around them.

Process Need

            Amazon regularly identified weak spots in its processes and redesigns or corrects them. This is a task-oriented solution that creates an innovative culture from existing capabilities. A case in point is the use of robots to carry stock around Amazon’s expansive stores. The company owns over 100,000 robots that help in sorting, packing, and relocating stock.

Market Structure and Demographics

            The expansive retail industry in which amazon operates is in continual flux. Some products lines expand while other shrink. This is especially true with technology products which quickly evolve. Additionally, regulations change abruptly, often requiring Amazon to be innovative in order to guarantee survival (vickery, 2018). By the same token, demographic factors command businesses like Amazon to adopt new ways of service. A fitting example is the use of web-based service platforms to serve the modern generation of shoppers.

Innovation Capability Mapping

            Amazon relies on knowledge sharing and collaboration among its employees to fuel innovation (Gewirtz, 2016). The company provides various types of access to its employees including graphics user interfaces. These user-friendly interfaces allow the workforce to participate in mass collaborative knowledge processing. The user interface is adequate for most workers, although requesters occasionally need versatile services. In such cases, the user resorts to program interfaces to consult, submit, and design new bits of knowledge. Generally, the company relies on a custom system that connects departments and teams in accordance with functions and hierarchy. New bits of knowledge submitted by employees is used to design new processes, solve problems, and perform continuous improvements.

Read also Advantages and Disadvantages of A Business Functioning Within an Ecosystem In Terms of Innovation and Creativity

Hindrances to Innovation

            Barriers to Amazon’s innovation are not related to the organization per se but rather to the external environment. For instance, the current business environment evolves so fast that it becomes a challenge for organizations to keep up. As a large, process-driven firm, Amazon struggles to keep up with changes, especially in technology because of ‘liabilities’ such as a large base of existing customers, highly scaled leveraged processes, and brand equity. Fortunately, the company does not rely on legacy tech. Another challenge concerns high levels of regulation in the market. A majority of amazon services depend on data sharing which is increasingly being regulated aby authorities, thus impending innovation.


            In order to secure its position in the marketplace, Amazon needs to continue utilizing innovation in its operations. The following recommendations will serve as strategies for improvement:

  • Amazon should continue to focus on quality rather than branding.
  • Amazon should entice new shoppers as consumers are less interested in value ranges.
  • The company should create a flexible organizational culture to allow for innovation.

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CIS 8011 Digital Innovation All Assignments With Sample Answers

CIS 8011 Assignment 2 Instructions

This assignment continues from the first assignment and your task is to write a report on the following aspects.
Following on from the previous assignment, the CEO was comfortable with what has been proposed by you in the first assignment and would like to see three key elements be investigated and reported further in this assignment.

  1. The processes and procedural considerations the organization would need to understand to mitigate key risks?
  2. The potential security risks in implementation, and how do you plan to mitigate such risks?

For the purpose of this assignment, you will have to recap your previous assignment and then to provide a well-researched and informed report to the CEO.


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Innovation Planning and Design Process

Principally, organizations grow own competitive advantages and profitability by being innovative. Innovation processes are usually successful when they are typified by the involvement of stakeholders in as numerous organizational and commercial functions as possible (Mumford, Hunter & Bedell-Avers, 2008). Such functions include distribution, manufacturing, marketing, and sales. When the processes are underway, organizations require staff bases with varied competences relating to the development, testing, as well as commercialization, of specific new products (Daim, Pizarro & Talla, 2014; Morris, 2011). To ensure success in the designing of particular innovation approaches, or strategies, organizations ought to appraise the relevant external, as well as internal, factors and appreciate the relationships among them and general innovation. Many organizations innovate just some of own organizational designs, processes, or products.

Factors Impacting on the Designing of Innovation Strategies

There are diverse external, as well as internal, factors that affect how innovation strategies are designed. The internal ones include leadership and culture. The principal external factor is the economies in which organizations operate. Innovative leaderships largely determine organizations’ success otherwise. Innovative strategies are effectively designed when leaders partake actively in the designing by guiding and inspiring their innovation teams (Mumford, Hunter & Bedell-Avers, 2008). They are effectively designed when leaders actively persuade and model behaviors that are innovative. Ideally, to support innovation, leaders should characterize the form of innovation with the capacity to drive grow and assist in meeting specific strategic goals (Daim, Pizarro & Talla, 2014; Morris, 2011). Ideally, to support innovation, leaders should have innovation accommodated in the official agenda of given regular meetings. That serves to demonstrate the value that the leaders attach to value management. Besides, ideally, to support innovation, leaders should set high innovation performance targets and metrics, including financial metrics and behavioral metrics.

Read also Company With Best Innovation – Amazon

Organizational cultures affect how innovation strategies are designed. The strategies are mainly effective when they are the products of inspiring and ambitious cultures and related engagements. Inspiring organizational cultures rule out lone-minded incremental business add-ons. When a culture is ambitious, designers easily design strategies that help them fight competition. Notably, numerous innovation strategies are mainly incremental. Organizations that are defined by an established relentless growth culture are capable of attaining own goals. The relentless growth spirit ensures a continual flow of ideas and constant reinvigoration of the organizations (Mumford, Hunter & Bedell-Avers, 2008). Consequently, the elementary challenge confronting organizations’ leaders who are keen on designing innovations is to grow environments that are characterized by constant and safe reassessment of the related directions and decisions.

Organizations have an easy time in designing innovations when their cultures are defined by stakeholder motivation. Every stakeholder expresses less potential than she or he has really. Motivating and inspirational leaders take up the responsibility of maximizing the potential and the related results and performance. The leaders wield marked influence on the stakeholder by motivating him or her (Daim, Pizarro & Talla, 2014; Morris, 2011). They convince the stakeholder that failing is accepted and errors are critical to organizational growth as well as innovation provided that the instituted systems are designed to ensure the correction of the errors when they happen.

As noted earlier, the principal external factor is the economies in which organizations operate. The economies in which organizations operate affect their overall success (Daim, Pizarro & Talla, 2014; Morris, 2011). Mostly, organizations are incapable of controlling economic dynamics that impact on their success. Ideally, organizations put in place innovation strategies that are adaptive and capable of evolving to match such dynamics. For instance, to accommodate specific economic changes, many businesses develop incorporate learning as their innovation strategy (Mumford, Hunter & Bedell-Avers, 2008). Incorporate learning allows organizations to make adjustments to the preferred economic courses to lessen losses accordingly, especially during economic recessions (Ferragina, 2013; Amendola, Ferragina, Pittiglio & Reganati, 2012).

According to Ferragina (2013) and Amendola, Ferragina, Pittiglio and Reganati (2012), several research studies have demonstrated that there exists a positive, as well as robust, relationship between macroeconomic level innovation along with organizational growth on one hand and the corresponding microeconomic level organizational economic innovation and performance. Even then, economists have limited opportunities for studying such relationships when grave economic downturns are underway. Difficult economic times compel organizations to institute survival innovation strategies. They intervene on process and product areas via innovative measures (Daim, Pizarro & Talla, 2014; Morris, 2011). Research demonstrates that there is considerable relation between organizational capacities to address the difficulties brought about by economic crises and their past innovative interventions along organization, process, and product facets, or dimensions (Amendola, Ferragina, Pittiglio & Reganati, 2012).

Factors Considered in Innovation Systems Design

The designing of innovation systems involves varied factors. First, the designing of innovation systems involves a research and design (RD) factor. RD takes on varied models for designing the systems: linear model and chain-link model. The designing processes and related research based on the linear model are taken as the commencement points of innovation processes (Daim, Pizarro & Talla, 2014; Morris, 2011). Even then, in the designing processes and related research based on the chain-link model, RD is taken as a tool for solving specific problems. The tool is employed at varied stages accordingly. The model, consequently, characterizes RD to be applied by numerous divergent stakeholders in different areas. Overall, RD is never an innovation precondition. Rather, it is adjunct to it.

Second, the designing of innovation systems involves a leadership factor. Leadership is one of the concepts that leaders ought to consider when keen on fostering innovation in their organizations (Mumford, Hunter & Bedell-Avers, 2008). As noted earlier, innovative leaderships largely determine organizations’ success otherwise. Innovative strategies are effectively designed when leaders partake actively in the designing by guiding and inspiring their innovation teams. They are effectively designed when leaders actively persuade and model behaviors that are innovative (Daim, Pizarro & Talla, 2014; Morris, 2011). Ideally, to support innovation, leaders should characterize the form of innovation with the capacity to drive grow and assist in meeting specific strategic goals. Ideally, to support innovation, leaders should have innovation accommodated in the official agenda of given regular meetings. That serves to demonstrate the value that the leaders attach to value management (Mumford, Hunter & Bedell-Avers, 2008). Besides, ideally, to support innovation, leaders should set high innovation performance targets and metrics, including financial metrics and behavioral metrics.

Why Innovation Systems are Important

            Innovation systems are important in varied ways. First, the systems helping in shifting policy focus from specific organizations to larger sets of organizations and the interactions between the organizations. Second, the systems provide approaches that are useful in shifting focus from particular technological and scientific inputs, including RD activities, to specific innovation processes and related outcomes (Daim, Pizarro & Talla, 2014; Morris, 2011). Third, the systems provide approaches that are useful in shifting focus on policy from decisions on whether or not to prop the demand or supply of technology and science to matters that impact on knowledge’s supply as well as demand. Besides, the systems help in emphasizing policy analyses and interventions to prop innovation at varied economic levels.

Innovation Planning Process Steps

The innovation planning process entails a number of successive steps (Lehman, Simpson, Knight & Flynn, 2011). The first step entails the generation, or production, of new thinking or ideas. The step entails brainstorming and exploring other industries for ideas that can be adopted accordingly to fit the present needs. In the second step, the ideas are appraised so as to determine the best among them (Daim, Pizarro & Talla, 2014; Morris, 2011). Marketplaces are examined to determine the working of comparable ideas and the extant market gaps with unmet needs. The third step involves the development of new products to meet the identified needs in the marketplaces (Caetano & Amaral, 2013). The last step is defined by the production, as well as distribution, of the products in their ultimate forms.


Primarily, organizations grow own competitive advantages and profitability by being innovative. There are diverse external, as well as internal, factors that affect how innovation strategies are designed. The internal ones include leadership and culture. The principal external factor is the economies in which organizations operate. The designing of innovation systems involves varied factors: the RD factor and the leadership factor. Innovation systems are important in varied ways, including helping in shifting policy focus from specific organizations to larger sets of organizations and the interactions between the organizations.

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