An Innovative Entity’s Key Components

Tidd, J. & Bessant, J.R. (2009) suggested seven key components of an innovative entity, three of which are addressed in this essay.

They are effective team-working, have a high-involvement environment, and external focus. Teamwork is a crucial part of any organization as it provides cooperation and collective problem-solving. Guchait et al. (2016) assessed two team knowledge on teamwork effectiveness, and found that team knowledge, compared to taskwork knowledge, is more likely to impact team outcomes. Another group of scholars, Salas et al. (2018), claim that collective action is stronger than individual one when teammates know how to apply coordination, communication, and adaptability. For example, CNG (Group) Limited successfully manages teamwork within its teams. However, finding an effective teamwork leading strategy is difficult and time-consuming. As such, there should be a good leader whom other people will listen to and follow.

Along with the team, the working environment should motivate employees to effective and productive work. It is commonly agreed that the competitive workplace plays a critical role in reaching success for an organization (Drucker, 2015; Hisrich and Kearney, 2014). Nevertheless, high competitiveness in the workplace may lead to burnout, causing stress for employees (Kilroy et al., 2016). Therefore, a leader should ensure a moderate level of competitiveness and that workers do not undermine their well-being.

The last component of an innovative organization is the external focus. It implies that a business structure is responsive to the changes in external conditions and adapts well to them (Mitra, 2020). Moreover, relationships with external business partners and internal parts of the company are an effective combination for business structures (Plouffe et al., 2016). Following trends and the needs of customers are also included in the success of the organization.

For CNG (Group) Limited, focusing on internal and external intellectual capital and relying on its capabilities are the way to increase creativity and enhance innovation. This is because the company has all the aspects of creating its independent path to innovative development.

Reference List

Drucker, P.F. (2015). Innovation and entrepreneurship: practice and principles. Abingdon: Routledge.

Guchait, P., Lei, P., & Tews, M. J. (2016). Making teamwork work: Team knowledge for team effectiveness. The Journal of Psychology, 150(3), 300-317. Web.

Hisrich, R.D. & Kearney, C. (2014). Managing innovation and entrepreneurship, London, Sage.

Mitra, J. (2020). Entrepreneurship, innovation and regional development, 2nd ed. Oxon, Routledge.

Kilroy, S., Flood, P. C., Bosak, J., & Chênevert, D. (2016). Perceptions of high‐involvement work practices and burnout: the mediating role of job demands. Human Resource Management Journal, 26(4), 408-424. Web.

Plouffe, C. R., Bolander, W., Cote, J. A., & Hochstein, B. (2016). Does the customer matter most? Exploring strategic frontline employees’ influence of customers, the internal business team, and external business partners. Journal of Marketing, 80(1), 106-123. Web.

Salas, E., Reyes, D. L., & McDaniel, S. H. (2018). The science of teamwork: Progress, reflections, and the road ahead. American Psychologist, 73(4), 593. Web.

Tidd, J. & Bessant, J.R. (2009) Managing Innovation: integrating technological, market and organizational change, 4th Ed, John Wiley & Son.

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