Two unique innovation considerations: logistics and healthy OI wk3 - Essay Example

Topic: Innovation Innovation Innovation as a strategy is creation of improved or more efficient products, practice, technologies or ideas that is satisfactory in the markets, governments and the entire society. As pointed out by stamm (2003), there are four different type of innovation. First, architectural innovation which majorly entails the tailor-making product designs so that they can be differentiated from their main competitors. Market niche innovation is the establishment of a new and improved market segments with which the firm can offer products and services for a value, through marketing and other promotional campaigns.

For instance, PepsiCo has been a market follower behind its major rivals Coke. It could invent new and specific market niche by concentrating in that market segment where it can serve better and reap maximum returns on the investment. There is also regular and revolutionary innovation where new and better means of addressing challenges are invented and implemented while revolutionary innovation is basically coming up with new policies and frameworks of how a system could best function to deliver the best output.

Creativity is a function of innovation which results have five origins of grace, accident, association, cognitive, and personality.Pillars of innovation Innovation thrives and is controlled by three pillars. First, Research and development, by nurturing of idea of a given company, aligning of company focus on innovation so as to match the company’s product life cycles. Third, there should be a constant flow of information and ideas between the production department and the feedback from customers.

For instance, an automated system of PepsiCo that helps in tracking its progress on a regular basis.Benefits of innovation It assists the company gain and sustain a market shareIt also assist the company stay updated in terms of producing quality and sophisticated products that best serve the needs of the society.It leads the company, an institution or even the government higher sales volume and assist the company grows survive and profit both in the short run and long run.Summary Innovation as a strategy is imperative for a company which wants to survive, grow and maximize the shareholders’ value.

ReferencesVon Stamm, B. (2003). Managing Innovation, Design, and Creativity. Southern Gate, West Sussex: Wiley. •