Introduction
Financial innovation and its impact and has become a wide range topic at all levels of management and in the society as a whole. Financial innovation outlines new measures and ideas that come into place. It is aimed at improving trading techniques, supply chain systems and access to financial instruments and services (Poirier, Quinn and Swink 2010). These fresh ideas, brought about by the financial innovations, have several impacts on the economy as a whole. Top class management and effective supply networks are some of the traits brought about by financial innovation. This paper discusses some financial impacts that result into innovation as well as how these changes are triggered in the sector.
Reflection and background
The book, Diagnosing Greatness, discusses the ways how any organization can become successful and achieve benchmarks in the sector or economy they position themselves. Specifically, chapters four and five vividly explain how new forms and organizations in the financial sector achieve explicit and efficient supply chain network. It explains how companies support the flow of operations from one level of management to another and maintaining the right protocol.
In chapter four, the key trait that is being discussed is the massive focus on financial metric. It explains that there is an explicit collaboration between financial groups and the supply chain. Moreover, it has fostered a better understanding of direct and indirect impact of fresh initiatives on financial performance and position in an organization (Poirier, Quinn and Swink 2010).
On a further look at the chapter, one finds out that when interest on financial aspects is massively engaged in the supply chain, then positive outcomes occur. The value added to the organization is also rising. Also, it is noted that a lot of improvement initiatives always seem to outweigh firm’s financial resources since some are ambitious and unrealistic. The chapter, therefore, gives a clear picture of how the scarce and talented resources should to be applied in a cost-effective way and with healthy financial performance and greater client satisfaction.
Another trait, as mentioned in chapter five, is the determination to have innovations and process improvements in all operatives that take place in an organization. This attribute presumes that business should not be conducted as usual, but by doing good things through a range of initiatives that match with the clients needs (Poirier, Quinn and Swink 2010). It reveals important aspects and ways of employing new ideas and showing how to manage a company efficiently. Also, think-tank leaders have designed new techniques of optimizing their performances on every level of operations (Mention and Torkkeli 2014).
The new ways have boosted the performances of several organizations and allowed them to become more flexible to the market dynamics. Moreover, new ways offer insights into how leaders should not limit themselves to their previous traditions that remain embraced for a long time and have now little value. It shows that innovation gets successfully employed by those executives who embrace change and utilizes them to in order to have a bigger impact on their organizations (Mention and Torkkeli 2014).
A question for students to ponder topic
Are the sales and marketing segments doing all what they can to match the supply chain and the clients’ requirements? In either case, a conclusive answer should be explained.
Conclusion
Clearly, any organization with a supply chain network has goals and aims at growth of their market share within the economy sector. Financial innovations include such factors that require much-needed process improvements. It is upheld to be one of the working techniques to boost financial performance and positions of any firm employing it. Therefore, it brings success and a ranking factor in the organization with any step in all operations.
References
Mention, A. and Torkkeli M. (2014). Innovation in Financial Services. Newcastle: Cambridge Scholars Publishing.
Poirier, C., Quinn, F. and Swink, M. (2010). Diagnosing Greatness. Lauderdale: J-Ross Publishing.