Technological Advancement in All the Sectors of the Economy - Case Study Example

CASE STUDY ON AN APPLICATION OF THEORY TO PRACTICE: Name: Number: Course: Code: Lecturer: Date: 1. Introduction Many institutions and organizations have excelled in various sectors due to innovations and creativity, most advancement and exploration in the world is attributed to innovations. History shows that the current state in the world has been achieved through successive innovations that have led to much technological advancement in all the sectors of the economy .More so companies dealing with electronics have a greater challenge since there is a great need for the electronics for different purposes, the technology keeps changing so the companies must have great innovations to cope with the dynamic and ever demanding market. The innovations must however be managed to ensure the integrity of the company and position in the market that is filled with competitors[sun98]. Apple Inco-operations an international cooperation deals with consumer electronics, personal computers, Computer hardware and software internationally. They design and distribute the devices internationally but they are based in the United States of America. The company is well known for the design and distribution of Macintosh brand of computers, the iphone, iPod and the iPad .they also the designers of Mac Os X operating system for Pcs, iOS mobile phone operating system, iTunes media browser, Aparture photographic package software among others. The company is growing at a fast pace and opening outlets and stations worldwide; the company employs a lot of employees both permanent and temporary in order to meet its expansion and growth[Lin99]. Due to this face the company has many innovations within its businesses and design of their products, thus a need to ensure the innovations are managed. This is achieved through the use of innovation management theories. This case study seeks to explain how the theories on innovation management have been applied in the company[Ash11]. 2. Literature review The innovation management and the knowledge driven economy according to the [Eur04] states that the there has been an increase in the innovations in different companies of the world. This increase is mainly attributed to the changing needs and demands of the customer base. Change in social needs and their importance in company survival has resulted in more and more innovations[Ash11]. The social influence on innovation can be explained through several postulated theories that have been considered of importance by innovation specialists[Hei04]; Technology push theory; innovation that is derived from science. Social network derived innovation Market pull theory; innovation that is derived from market and customer needs. Technological network derived innovation. Innovation that is derived from linkages between the players in the market. The technology push theory of innovation management also referred to as engineering theory of innovation management is the first theory of innovation management. According to this theory the opportunities available for innovation which include the improvement of the manufacturing process and the final product is influenced by input of research that has been carried out as pertaining the product. Research is the source for the improvement of the production process and the final product, the input of the result of the research outcomes follows a linear progression from the research to identification and definition of the product, the definition of technology to be used in the production of the product, the definition should conform to the results of the research[Hei04]. The technology push theory of innovation faced some challenges as the products were at some point not doing well in the market, this resulted in another theory called the Market pull theory of innovation management . This theory accepts and recognizes the importance of research in the acquisition of knowledge to improve products in the manufacturing processes. According to this theory ideas and knowledge on improvement should be from the market and research in addition to this organizational competence and technical feasibility are the two most important factors that must be considered for successful innovation[Hei04]. Thereafter the chain link theory of innovation was introduced which tried to ascertain the concept that the connection between knowledge and the market is not as simple as it is assumed by the technology push and the market pull theories. According to this theory a connection is established between research and the market through technological and engineering production, sales and marketing. Later there was a linkage established between the companies and their respective clients and customers[Hei04]. In the late 1980s and in the 1990s, technological networks theory of innovation management was developed this theory assumed that the firms are highly interconnected and linked through the sharing of information and data .the theory emphasizes on the importance of taking into account the source of this information which at most is external to the organization[Hei04]. The social network theory of innovation management is linked to the two previous ideas, as per the technology push and market pull theories the idea is that innovation is mainly influenced by research and the inevitable interactions between the companies and other players innovation is also fostered much by knowledge, the importance of knowledge has resulted in the mass accumulation of information and data. The use communication technologies and social networks have made the dissemination and distribution of this data and information easier and faster in a wider and international scale[Hei04]. The evolution from a technological network perspective of innovation management to a social network perspective has been led by the challenge to transform information into knowledge (e.g. information contextually connected to the development or improvement of products or processes). Knowledge-based innovation requires not one but many kinds of knowledge. Furthermore, it requires the convergence of many different kinds of knowledge retained by a variety of actors[Ash11]. 3. Analysis of the case The Apple Inc. company has over the years Inco-operated a number of the innovation management theories in their processes and production of their products. The company which majorly deals with home electronics personal computers , computer hardware and software and other electronic devices, has a wide range of customer base and clients has to properly manage their innovations and this practice is better informed by theory[Ash11]. The company carries out constant research on the customer needs and their changing demands and input this research findings in the process of producing the products and services they offer their clients, there is a great deal of technological change in the electronics sector Apple company is one of the major innovators in this sector as most of their products have been rated the most efficient in the market. The innovations can be attributed to the technology push theory of innovation management[Hei04]. The market pull theory has been applied mainly in the identification of the major actors and players in the market and using the innovations to meet their requirements. The company carries out research of the market and gains knowledge of their needs, keeps data of consumer trends and behavior and inventory of customer data and information the knowledge is used in creating right products for the right market and using sales and marketing to promote and increase the sale of products worldwide[Lin99]. However there exist some gaps in the production process of the products from the apple company though the products have wide acceptance in the market they may not be widely accepted in most large companies for the large computations and activities, they are also not widely used in the security companies where more data and information security is of paramount importance[Lin99]. The gaps can be filled by proper market research and incorporation of the findings in order to cater for the needs of all customers and clients, the market research will also provide knowledge and understanding that will guide in the process of product sales and marketing[sun98]. Company x on the other hand has a challenge in the management of innovation and thus they command a less market position in the international market. Application of the theory of innovation in the company is limited and fewer innovations are identified in the company. Apple Company needs some innovation strategies that will ensure the company is on continuous course of improvement and innovation. This strategy will entail the development of strategies for growth, development of new products and services that will create new perspectives and values from the customers, a framework that combines both non-traditional and creative approaches to innovation and the known models of development strategies should be employed[Str03]. The framework focuses on three aspects of strategic innovation that are all intertwined in both thr traditional and conventional strategies , company profile , customer insight or consumer insight , and the overall strategic alignment are the three aspects that the framework focuses in an attempt to achieve a strategic innovation. These aspects combines a series of perspectives from different disciplines which include;consultations,qualitative customer research and future research and expansion through think tanks , organizational development practices that examines the organizations stractures,processes and culture and determines their effectiveness[Str03]. According to[Chr00]the organizational needs that are needed for effective innovations in the company include the provision of resources to be used in the production and introduction of new products, creating a connection with other businesses to share data and information this is done through availability of collaborative structures and processes the company also needs to include innovations in the company’s strategy. New product development requires additional resources and knowledge this should be provided by the organization and it requires adequate collaborative processes across the company’s departments, the decision making procedures and channels of communication should be effective and efficient[Chr00]. 3. Lessons learnt from the case Innovation propels a company to greater heights and determines the company’s performance in the market, however the innovations must be well managed to achieve this goal. Innovation is well achieved through strategic innovation and incorporation of research findings into the strategies to guide in the process of strategic innovation. The company or organization should be viewed in holistic perspective which entails the company cultures, structures and processes, the customer or consumer this important for the innovations to achieve the desired objectives[pro11]. In this case the major driver for innovation is the market pull and the technology push, the market that is the consumers’ needs and research on this needs leads to innovations that will try to meet the consumer needs. Technology push also dictates the innovations in the company[pro11] 4. Conclusion & Recommendations The innovations can only be achieved and appreciated if proper is done , availing resources systematically for processing of new products and allowing free flow of information and data and accepting innovation as a legitimate part and parcel of the organizations strategies. Dimensions as to the appropriate portfolio for strategic innovation have been developed[Chr00]; The dimensions include combining the traditional and nontraditional business strategy approaches, strategic alignment, foresight and future planning including customer and consumer views and insight, extending and increasing technological and company assets, organizational readiness and competence to take action and finally having an organized and efficient implementation mechanism[Chr00]. References sun98: , (sundbo, 1998), Lin99: , (Linzmayer, 1999), Ash11: , (Asheim, 2011), Eur04: , (European Commission directorate for enterprise(EAEC), 2004), Hei04: , (Heinze, 2004), Str03: , (Tennant & Deborah, 2003), Chr00: , (Christiansen, 2000), pro11: , (product arts, 2011), Read More

This increase is mainly attributed to the changing needs and demands of the customer base. Change in social needs and their importance in company survival has resulted in more and more innovations[Ash11]. The social influence on innovation can be explained through several postulated theories that have been considered of importance by innovation specialists[Hei04]; Technology push theory; innovation that is derived from science. Social network derived innovation Market pull theory; innovation that is derived from market and customer needs.

Technological network derived innovation. Innovation that is derived from linkages between the players in the market. The technology push theory of innovation management also referred to as engineering theory of innovation management is the first theory of innovation management. According to this theory the opportunities available for innovation which include the improvement of the manufacturing process and the final product is influenced by input of research that has been carried out as pertaining the product.

Research is the source for the improvement of the production process and the final product, the input of the result of the research outcomes follows a linear progression from the research to identification and definition of the product, the definition of technology to be used in the production of the product, the definition should conform to the results of the research[Hei04]. The technology push theory of innovation faced some challenges as the products were at some point not doing well in the market, this resulted in another theory called the Market pull theory of innovation management .

This theory accepts and recognizes the importance of research in the acquisition of knowledge to improve products in the manufacturing processes. According to this theory ideas and knowledge on improvement should be from the market and research in addition to this organizational competence and technical feasibility are the two most important factors that must be considered for successful innovation[Hei04]. Thereafter the chain link theory of innovation was introduced which tried to ascertain the concept that the connection between knowledge and the market is not as simple as it is assumed by the technology push and the market pull theories.

According to this theory a connection is established between research and the market through technological and engineering production, sales and marketing. Later there was a linkage established between the companies and their respective clients and customers[Hei04]. In the late 1980s and in the 1990s, technological networks theory of innovation management was developed this theory assumed that the firms are highly interconnected and linked through the sharing of information and data .the theory emphasizes on the importance of taking into account the source of this information which at most is external to the organization[Hei04].

The social network theory of innovation management is linked to the two previous ideas, as per the technology push and market pull theories the idea is that innovation is mainly influenced by research and the inevitable interactions between the companies and other players innovation is also fostered much by knowledge, the importance of knowledge has resulted in the mass accumulation of information and data. The use communication technologies and social networks have made the dissemination and distribution of this data and information easier and faster in a wider and international scale[Hei04].

The evolution from a technological network perspective of innovation management to a social network perspective has been led by the challenge to transform information into knowledge (e.g. information contextually connected to the development or improvement of products or processes). Knowledge-based innovation requires not one but many kinds of knowledge. Furthermore, it requires the convergence of many different kinds of knowledge retained by a variety of actors[Ash11]. 3.

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