Introduction
Adobe Inc. is an American software company offering a variety of products employed by people all over the world. The range of products is diverse, starting from Adobe Photoshop and incorporating additional platforms such as Adobe Illustrator and Adobe Creative Cloud. The success of the organization depends on the effective marketing and development of software systems that assist in various tasks.
However, it is vital to acknowledge the significant influence of leadership when it comes to establishing, maximizing, and maintaining the competitive position of Adobe in the market. In this paper, the organization will be assessed through Porter’s Five Forces model, and the employed leadership model will be analyzed. Furthermore, recommendations will be provided in regard to management and aligning operational needs with business strategies. The analysis highlights that while the leadership style is currently effective, strategies such as focusing on employee resilience and product expansion can be implemented for the capitalization of the current competitive advantage.
Porter’s Five Forces
Porter’s Five Forces model helps assess the competitive advantage of the corporation in question. One of the elements is the threat of new entrants, which is especially significant due to the digitalization correlating with the current market (Chirita et al., 2020). While multiple tech start-ups may constitute a danger for Adobe, the extensive knowledge, experience, and innovative products create circumstances in which potential competitors would require high investments. The threat of substitutes, on the other hand, is relatively high as multiple other corporations compete in the field, such as Google, IBM, and Oracle.
In regards to the suppliers, the technological industry is a growing market, which implies that costs for supplies can increase. Nonetheless, effective supply chain management allows Adobe to manage this particular aspect. The bargaining power of buyers is also relatively high, a factor that Adobe manages by establishing a large consumer base and having innovative approaches which generate a desire to invest in their products.
Leadership
Adobe adheres to the idea that effective leadership is what ultimately impacts the effectiveness both in the internal and external organizational environments. The current style that is being employed is transformational leadership, as it is illustrated that managers focus on an empathetic, creative, and flexible approach (Williams, 2021). The model is effective as it is commonly associated with high job commitment and satisfaction among the workforce (Saad Alessa, 2021). Thus, as researchers highlight that the transformational leadership model is the most effective, it is certain that changes in the style are not required.
Based on the Adobe framework, the efficiency of the style can be determined through organizational success. For example, current literature illustrates that leadership success can be examined through the success of direction, team adherence to organizational goals, and the creation of a collaborative effort (Sonmez Cakir & Adiguzel, 2020). The phenomenon can be exemplified through the case study of Adobe as the organization is resilient towards market changes, and the workforce is flexible in switching to more effective strategies to reach professional objectives set by leaders (Bansal et al., 2022). Thus, the efficiency of the strategy is linked to leadership on multiple levels.
Several factors correlate with the success of the leadership within the company. For example, in Adobe’s case, the managers focus on creating and sustaining a diverse and innovative workforce, implying that minorities receive more opportunities to work for the software corporation (Adobe, 2022). By having this particular strategy, the leaders address the need for innovation and the presence of different points of view. Other strategies, as mentioned prior, include an empathetic approach, the establishment of fundamental objectives and a vision, and resilience. Regarding managerial power, the overall hierarchy gives leaders legitimate power, while the expert one aligns with the experience and the skills correlating with the leaders managing the teams.
Recommendations
As mentioned prior, the transformational leadership model is an evidence-based approach that does not require additional alterations. However, specific actions can be implemented to create a closer alliance between operational needs and business strategies. One of the recommendations is maximizing resilience within the workforce. Due to the fact that Adobe operates in a highly dynamic industry, focusing on the ever-changing nature of tech is critical (Bansal et al., 2022).
Thus, leaders are to monitor the market and apply evidence-based practices when it comes to team resilience. Another action that can be implemented is expanding the product range. The current business strategy is, indeed, aligned with a creative approach to technological advancements. Expanding the software products as well as applying new technology such as artificial intelligence to maximize their effectiveness is a strategy that correlates with the organizational need for maintaining a competitive advantage.
Conclusion
The current leadership style employed by the managers at Abode aligns with the organizational culture. The transformational approach leads to employee adherence to corporate goals and satisfaction. However, Porter’s Five Forces analysis highlights the need to maximize competitive advantage through the employment of creative strategies to connect operational needs with business strategies. Namely, maintaining the transformational approach while addressing innovation and product expansion is an efficient model for generating circumstances in which the company continues to be a leading software platform.
References
Adobe. (2022). Gem Fellows Drive STEM Research Forward – and plan to open doors for even more innovators. Adobe Research. Web.
Bansal, J., Balodi, K. C., Jain, R., & Datta, S. (2022). Strategy and business model evolution at Adobe: Competing in Digital Media Software Industry. Journal of Information Technology Teaching Cases, 204388692211163. Web.
Chirita, N., Visan, A., & Popescu, M. (2020). Measuring Adobe company performance from the perspective of a Complex Adaptive System. Theoretical and Applied Economics, 28(4), 55–72.
Saad Alessa, G. (2021). The dimensions of transformational leadership and its organizational effects in public universities in Saudi Arabia: A systematic review. Frontiers in Psychology, 12. Web.
Sonmez Cakir, F., & Adiguzel, Z. (2020). Analysis of leader effectiveness in organization and knowledge sharing behavior on employees and organization. SAGE Open, 10(1), 215824402091463. Web.
Williams, M. (2021). New Year, new leadership: 5 skills needed to succeed in 2021. Business Adobe. Web.