Developing a Framework for Responsible Innovation

Question: Critically analyse the seven dimensions within a strategic innovation framework to produce a portfolio of outcomes that drive growth in your chosen organisation? Answer: Introduction In this essay, a critical study has been conducted to analyze the seven dimensions of the framework of innovation strategy of the renowned UK Company Marks Spencer. Marks Spencer is a major retail store chain, which was founded in Leeds, UK in 1884, but presently its stores have been set up all over the world (Corporate.marksandspencer.com 2016). Founded in 1884 by Michael Marks as just a small retail store in Leeds market, and later joined by Thomas Spencer in 1894, it has now become one of the worlds largest retail stores (Waller and Sag 2014). After the founding the store, Marks main aim was to deliver durable products at a very cheap but reasonable price. The company gradually grew through the years and currently it has now more than 500 operating stores around the world (planareport.marksandspencer.com 2016). In the beginning, the company only sold clothes, food products and some luxury goods but currently they sell wide range of products including stationary, household and other goods. This essay gives the ideas regarding the strategic framework followed by Marks Spencer, the strength and weakness of the strategy and the general measures taken by the company. This essay also critically analyses the operations and innovations done by the company. Study on innovation strategy framework of Marks Spencer Marks Spencer follow a strict seven-fold strategic innovation framework. This framework has largely helped in the growth of the company from a small retail outlet in Leeds market to a multinational retail store having branches all over the world (Anderson et al. 2014). An innovation framework helps a company to develop new products according to peoples needs and also bring new ideas for the management and production departments (Tidd 2014). The seven dimensions of innovation framework followed by Marks Spencer are as follows: Management of Innovation Procedure: According to analysis by Davenport (2013), managed innovation is necessary for the company to look beyond the present needs of people and make innovations that will attract more customers to buy the products. Futuristic innovations are necessary for a company to keep pace with the changing global markets and challenge the competitors. Alignment to Strategy: Cassia et al. (2012) opined that, key members and shareholders of the company mainly follow this, which involves sticking to the basic goals and guidelines of the company. They provide support and enthusiasm for the workers and other members of the company to follow the vision and basic strategies of the company to gain control over the market (Stilgoe et al. 2013). Industry and Market Foresight: According to Anderson et al. (2014), this is important to keep track of the changes in technology and inventions used in the industries for the supply of new materials. In addition, a good market foresight is essential to understand the changes in global markets and peoples needs. This also helps in bringing suitable changes within the company to survive even within tough competition from rival companies (Rubalcaba et al. 2012). Consumer Insight: Estampe et al. (2013) says this is important for a company to evaluate customers needs and sell products accordingly. This helps in maintaining a strong customer base and attracting even more customers if the quality of products is good and the price within the reach of general mass. Core Technologies: This is mainly the capability of a company to utilize latest available technologies to manufacture products of best quality. This is also required to fulfill customers need, maintain a good customer base, and compete with rival companies in a changing global market (Waller and Sag 2014). Organized Management: According to Kiron et al. (2013), an organized management helps a company to work on innovations and new ideas and implement an organized and viable marketing strategy. An organized management is also needed to manage the financial and operational aspects of the company. Disciplined Implementation: Kahn et al. (2012) opined that, success of new ideas and strategies depend on the disciplined approach of the company towards implementing innovations and ideas in the global market. There is a fine line of difference between invention and innovation. Invention refers to the creation of something new not available previously, while innovation mainly refers to a new idea to strategically improve an invention or a particular production. In short, invention is a new idea and innovation is the strategic implementation of that idea (Zott and Amit 2015). Invention is needed to advance technologically and keep pace with changing times. Innovation is needed to improve quality or functionality of a product or even present an existing product in a completely new package to attract new customers (Davenport 2013). Different companies have different perspectives on the application of innovations. Some companies think innovation means developing new products and introduce new items in the global markets, while to others, innovation is mainly improvement of already existing products and selling them in new packages in a cost effective way (Rubalcaba et al. 2012). In addition, some companies do not rely much on innovations to maintain a particular brand value (Estampe et al. 2013). Marks Spencer faced a decline in the late 20th century due to this policy of not accepting innovations or new technologies and continuing to have faith in their regular and cheap brand products (Stilgoe et al. 2013). In the last few years, they changed this policy, brought in new technologies, and used new strategies and innovations to prevent the gradual decline and increase their brand value again (Corporate.marksandspencer.com 2016). Currently, Marks Spencer follows four strategies of innovation policy. Food Waste: The company aims to conduct several experiments and case studies to understand the real reasons behind food wastage by their customers and the supply chain retailers. They also aim to introduce to new policies to reduce food wastage and supply more food to charities (Cassia et al. 2012). Circular Economy System: Marks Spencer aims to evaluate the opportunities of circular economy system in the global market. As a part of the plan, they aim to evaluate the viability of business if recycled waste materials are used for production of new products (Kahn et al. 2012). Policy of Circular Economy: By 2016, Marks Spencer aim to construct a strategical plan to implement circular economy system and create a sustainable economy (Estampe et al. 2013). Textile Recovery: The Company will conduct a project in collaboration with several reputed universities to conduct a survey to increase the value and the volume of textile products recovery. This plan is still in progress and the project is yet to start (Klionsky et al. 2012). Marks Spencer has also chalked out several innovation strategies to be applied in the markets. The main parts of their plans are as follows: New Innovation Plan: The company aims to launch a new innovation plan to solve their technical problems and create new goals and challenges to keep up with the competitions of the rival companies. They also aim to forge new partnerships and collaborations to increase the financial support and options to solve the main technical issues (Kiron et al. 2013). International Learning Stores: Within a few years, the company will open several new learning stores in various parts of the world to learn more about the local market and demands. This will gradually help the company to take hold of the local markets (Kahn et al. 2012). Sustainable Merchandize: The company aims to produce new products and merchandize that will be sustainable and cost-friendly (Davenport 2013). Off-site Construction: By 2016, Marks Spencer aims to begin several off-site constructions involving on-site installation of building parts. This can help in reduction of waste and increase of efficiency. The company aims to evaluate the effectiveness and efficiency of the off-site constructions and, in time, will prepare a report to recommend its future usage (Cassia et al. 2012). Building Information Model (BIM): The Company also aims to study the effectiveness of BIM and evaluate how the company can use it in future. According to the BIM model, a building can be designed in three dimensions, keeping in mind the potential problems and effectiveness (Estampe et al. 2013). Climate Adaptation of Stores: Within a few years, Marks Spencer plans to review the climatic changes in the store locations and design a strategic plan to adapt the store according to the climate (Owen et al. 2013). Neutral Carbon Operations: Marks Spencer aims to maintain carbon neutrality in order to continue operations in a environment friendly manner. This operation is aimed to be applied worldwide in all stores and factories of the company, in collaboration with all the associates (Kiron et al. 2013). According to the companys reports, this will make Marks Spencer the biggest retailer in the world with carbon neutral operations globally. Steps have been already taken by the company to reduce CO2 emission. Steps have also been taken to reduce emission of wastes and impure water. Emission of CO2 has been reduced from lighting, air-conditioning and heating (Klionsky et al. 2012). Besides all these innovation plans and activities, Marks Spencer has designed a strict governance plan for successful running and growth of the company. The main principles of this structure are innovation, integrity, intouch and inspiration (Estampe et al. 2013). The executive committee of the company meets every few months to chalk new strategies, manage ongoing plans and provide leadership to the workers of the company (Corporate.marksandspencer.com 2016). They also plan strategies to maintain ethical, social and environmental aspects during the operations of the company (Stilgoe et al. 2013). A small team of experienced personnel is also created to develop company policies and solutions to the problems, maintain healthy relationship with the stakeholders of the company and others (Kahn et al. 2012). A group risk profile is evaluated every six months to mark the potential social and other risks. Business risks are also evaluated in order to maintain reputation, value and successful operation of the company (Davenport 2013). The committee also reviews the risks due to extreme climatic changes and other social aspects. The main aim is always maintain brand value, corporate reputation and continuity of supply chain in spite of all the risks and threats (Owen et al. 2013). The Code of Ethics and Policy of Anti-Bribery are also revised regularly and any breach to the rules lead to hard punishment. There is also a separate board, the Advisory Board for Sustainable Retail, which meets every six months to evaluate the viabilities and challenges of the plans designed by the company. They also provide solutions to several challenges and apply their expertise to provide advices regarding solutions and upgradable services (planareport.marksandspencer.com 2016). Looking beyond 2016, the most important aim of the company is increasing marketing and in addition to it, transparency. They have designed a plan to improve marketing and transparency for both stakeholders and customers (Kiron et al. 2013). They also have plans to step up their efforts to get more involved in a circular economy policy in addition to existing initiatives (Cassia et al. 2012). Several strategies are in effect to adapt the stores according to local climate and demand of people. The next few years will be vital for the company to set up a sustainable global economy, including production of quality products at a suitable price and an environment friendly manner (Kahn et al. 2012). In their home country, Marks Spencer aim to launch a new leadership program following the primary governance plan. This initiative will help to evaluate their business plans and increase efficiency of workers in order to maintain successful running of the company (Corporate.marksandspencer.com 2016). Conclusion This essay gives a critical analysis of the strategy framework followed by Marks Spencer, which contributed in the growth of the company globally. Over reliance on the brand value, sticking to the policy of cheap productivity, incompetent managers have led to some decline of the company since the late 20th century. To prevent this decline, the company should accept changes that will be favorable. Effective leaders are to be appointed in the high posts and technological advances should be accepted instead of sticking to old ways of production. New strategies are to be structured to keep pace with the changing global markets and needs of people. Over-dependence on cheap production should be avoided and instead, new methods are to be innovated to produce goods of better quality at a suitable price. To keep pace with changing markets, the company has entered the field of e-commerce and launched a mobile application for easy trade of goods. The several plans and strategies chalked out by the company are to be implemented quickly and effectively to prevent decline of the company. 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