Innovation has become a vital success factor for survival of organizations in rapidly changing industries. Specifically, service firms have perceived importance of innovation in creating long term advantages, and developing significant changes in competitive positioning (Dobni, 2008). Tourism and hospitality is among service industries which encompass higher risks, given that they own services with fewer patent protection and shorter service cycle. Hence, in order to overcome this issue in the globalized service industry, hospitality firms need to have durable and continuous innovation processes (Nieves et al., 2014). An organizational culture that supports novelty could be considered as a remedy for a continuous innovation that thrives in …show more content…
First, innovation culture is selected as an important factor that is likely to promote employees’ innovation performance. Particularly, having a culture that clarifies specific values of the organization which provides concrete support for employees to present novel and useful ideas (Chen, 2011) would encourage frontline employees who are in direct contact with customers to have higher service innovation behaviors and develop new services. Despite the emphasis on the importance of service innovation in various service firms (Åkesson et al., 2016), some scholars believe that the extent literature does not adequately document the characteristics of an organizational culture that supports innovation (Hogan and Coote, 2014). Moreover, a careful assessment of service innovation literature reveals that very little attention has been paid to innovation performance of frontline service employees (Schepers et al., 2016), particularly considering simultaneous effect of employee service innovation behavior and new service development as components of innovation performance in hospitality literature. Employee service innovation behavior was introduced to investigate individual innovation behavior, additionally new service development was presented to focus on the new service design and modification of old ones in tourism and hospitality firms, by considering external customer needs and internal service management requirements (Hu et al.,
Based on interviews with management, we found that XTO’s management style encourages innovation. Employees are encouraged to ask for forgiveness and not permission. We’ve learned this semester through lecture and readings, that this management technique empowers employees and gives them the autonomy they like and the freedom to create. Employees that work under this type of management style are not faced with the possibility of loosing their jobs if they make a business decision that turns out to have negative consequences. Employees are free to innovate and take pragmatic risks. The company culture at XTO is described as laid back and relaxed. XTO believes that major oil and gas companies are unable to implement this type of culture due to their size. Since XTO is smaller, the company is able to deploy a much different policy from what the majors employ. As the company rapidly grows, this relaxed practice has become a concern for XTO’s management. The company has recently grown so much that they’ve had to pull back slightly on the relaxed atmosphere. Management has been working with Human Resources to increase the amount of structure within the company. It remains to be seen if this policy will stifle company innovation.
As we know that a company’s culture, particularly during its early years, is greatly a reflection of the personality, background, and values of its founder or founders, as well as their vision for the future of the organization. When entrepreneurs establish their own businesses, the way they want to do business determines the Organization’s rules, the structure, and performance evaluation in the company and the people they hire to work with them. This is very much evident in the case o...
culture and structure allow managers to focus on the continual improvements of both the business and its employees. A strong culture and an appropriate business structure serve as the foundation for positive results from satisfied employees who are making the best possible decisions for the organization. Works Cited Nonaka, I., & Takeuchi, H. 1995. The knowledge-creating company: How Japanese companies create the dynamics of innovation . New York: Oxford University Press Rakichevikj, G., PhD., Strezoska, J., PhD., & Najdeska, K., PhD. (2010).
One of the most innovative organizations in the world is Starbucks. From a rollercoaster of performance Starbucks has overcame record losses in 2008 of $6.7 million (Rooney, 2008). Starbucks required a massive overhaul to move from slump to top fifty organizations in the world. In the same year, Howard Schultz, (C.E.O) recognized this organization required significant changes. The changes required had a major impact on the organization’s culture. A huge emphasis was previously placed on the overall yearly profit rather than core values. Unlike any other organization in its class; Starbuck’s core value is focused on rewarding performance and experience. In order to create rewarding experience employees need to be treated like assets rather than replaceable robots.
The culture of an organization is embodied in its vision as well as the actions and attitude of its employees. Managers can sometimes sustain the skeleton of the company culture but it takes a leader to invigorate it and keep it healthy. A manager works hard at keeping the “old” culture and a leader works even harder at ensuring the culture is innovative and breathing in each of its employees. Bo...
Innovation has rapidly assumed a position of prominence in world competition on a global scale. To compete in this environment, organizations need a level of innovation. As competition becomes more global and time-based, organizations must develop and deliver new and superior products or services in less time. The challenge for modern organizations is to revitalize them so they can successfully and continuously develop newer products and enhance business development.
Defining ”innovation”could be rather a difficult task as it is a “multi-faceted phenomenon”, and a widely u...
Rodgers, S. (2008). Technological innovation supporting different food production philosophies in the food service sector. International Journal of Contemporary Hospitality Management, 20(1), 19-34. Doi: 10.1108/09596110810848541
The book has used peer-reviewed resources to enhance the use of professional approaches to innovation and management strategies by the readers who uses the book. The authors have given different management strategies and their practical application in business fields. As the title states, a strategy in business require innovative strategies for efficient development of the firm. More importantly, the book offers modern innovative ideas that need to be integrated with management strategies to develop modern businesses. The innovative approach provides a practical guide to the management strategies easing the execution of the strategies in the respectful environment. The book has given the strong relationships between innovation and strategies. These relationships are known to increase profitability in business organizations that use them efficiently. It offers how business managers can create successful value through innovation. Value creation in companies is done through examining untapped markets, clients ' needs and investing in new businesses. Therefore, this remarkable book helps readers in innovating and managing business
“My learning experience, things I can achieve, the decisions I make, the people I meet and befriend and the mistakes I make tells me who I am now and who I will become.” As a child, this was a belief that my parents taught me and, so I grew up with it and became very devoted to follow it. My parents always said to me “Learn all you can.” They also taught me that the decisions I make will help me to build my own destination, and the way I treat others will say the person I am. Until this day, I continue to believe, apply and follow that belief. Today, Hospitality Management is my number one career choice I have chosen to work for the rest of my life. In many different ways, Hospitality Management reflects my third, fourth and fifth of
Open innovation opens the doors for a vast array of ideas and suggestions that can help an organization succeed in being innovative. This will allow the organization to hold a competitive advantage when compared to their competition. Organizations who understand the importance of managing technological innovation will have an easier time succeeding than those organizations who feel they are safe and put innovation on the back burner. Managing technological innovation is essential in this day and age, where technology is advancing at a faster than
One of the most integral qualities of an entrepreneur as well as that of a successful business is the degree of innovation it possesses. Innovation refers to the creation of new ideas, improvement of existing production processes, and effective problem solving. Innovation allows for increased efficiency in a business, which in turn increases its supply potential and productive capacity. Being innovative may involve either improving upon old methods o...
Moreover, the InterContinental Hotels & Resorts is considered the first international hotel brand in the world, as it began operations in the year 1946 (About InterContinental Hotels Group Brands, 2015). Over time the hotel group has evolved to encompass quality hotel rooms not only in North America, but in Central and South America, Europe, the Middle East, Africa, Australia, and Asia-Pacific (IHG – InterContinental Hotels Group, 2015). In addition, they have acquired extended stay facilities and the Hualuxe Hotels & Resorts, which specifically “celebrates the essence of Chinese hospitality” (About InterContinental Hotels Group Brands, 2015). In my opinion, this shows that their target market has changed by expanding their scope of travel, which means they are traveling to farther and farther locations and require the familiar surroundings with equivalent product quality at the final destination. The InterContinental Hotels Group is in the fourth and final stage of the product life cycle, which is the decline stage (Editorial Board, 2014, p. 212). Indeed, the brands lengthy history indicates it has loyal customers, but its addition of innovations indicates the targeting of new customers for the organization, which are clear signs of a business in the decline stage of the product life cycle (Editorial Board, 2014, p.
The restaurant industry has become quite competitive in recent times. In an effort to cut costs restaurants are taking serious measures to improve their performance in relation to their competitors. Two of the most important steps that restaurants have undertaken in recent years are:
The Hotel industry has become very important in the past years due to immense traveling and growth of international business. The Hotel industry not only plays an important role in the life of people but as well as the economy of the country. I spent an hour of my day relaxing in the lobby at the Fontainebleau resort in Miami, while on vacation with my family visiting from out of state. It was my first time staying at the resort so I was eager to check it out, after seeing such great reviews on Yelp and hearing great things from friends who have been there in the past. The employees working at the resort were very welcoming, professional and willing to go above and beyond to help their guests. The check-in process was very quick due to having