Innovation is increasingly being considered as a core competency that organisations must develop. Companies that consistently innovate don't rely on chance; they address innovation in a systematic way. The Enron Corporation was a brilliant innovative company…
It would be within the next year that Enron would begin to go through some major financial difficulties. It will be argued here that the basic tenets of a successful company require three key aspects: profit; sustainability of innovation; and good leadership.
First, one should begin with a short history of Enron. In the case of the Houston-based Enron Corporation, a multi-billion dollar institution encountered a crisis situation. The denial of top corporate executives Kenneth Lay and Jeffrey Skilling led to Enron making excuses such as blaming Arthur Andersen, its accounting firm, for its failure. An integral part of understanding Enron's demise comes from learning a little bit about the company and how it grew over the years to its existing status. Houston Natural Gas merged with InterNorth, in July 1985, to form the Enron Corporation. Over the next fifteen years, Enron expanded rapidly, establishing many new businesses worldwide.
The first sign of an innovative corporation is that it shows a profit. In about fifteen years, Enron grew from nothing to being America's seventh largest company. Enron employed over 21,000 individuals in more than forty countries. Enron's executives transformed this company, without actually building a company that made significant business profits. By doing this, Enron executives could exaggerate the company's cash flow. To create these profits, Enron's executives also used many accounting procedures that seemed to confuse watchdogs-and, to make themselves look better, they blindsided everyone who thought that Enron was on top of the world, by creating hundreds of fake companies. To prevent anyone from seeing any loss from Enron, they would transfer their debt to the fake companies. By doing this, Enron's debt would seem a lot smaller than they actually were. Like many large companies, Enron had its good and its bad side. In 2002 Enron's bad side was exposed to the nation. So the question is raised, what did Enron make' Enron didn't really make anything. Enron acted as the "middleman" in large natural gas and electricity deals. Enron always admitted it was hard to define their "business" in one sentence, but they finally came up with an explanation that they make commodity markets so that they could deliver physical commodities to their customers at a predictable price. Enron seemed to have trapped employees that worked with the company. The employees were forced to put their pension money into the Enron stock, which was overvalued. The employees at Enron were just doing their jobs, and in fact should not be held to blame.
"Such high turnover [at the top of corporations such as Enron] suggests that the real problem isn't a lack of innovation-it's sustained innovation."1 Although many of the future business people attend curriculums that require business law classes, the Enron scandal has proven that corporate corruption is alive and well. Also, the company proved that it could not sustain its innovation over time, because its biggest innovation, mark-to-marketing accounting, was a fraudulent innovation. It was brilliant, in the sense that profits could be estimated and then banked upon, but it was also an illegal practice to put profits on the books that were not truly there. In addition, Enron ...
Cite this document
(“Assessing Brilliance in Innovation Case Study Example | Topics and Well Written Essays - 2500 words”, n.d.)
Retrieved from https://studentshare.net/business/284972-assessing-brilliance-in-innovation
(Assessing Brilliance in Innovation Case Study Example | Topics and Well Written Essays - 2500 Words)
“Assessing Brilliance in Innovation Case Study Example | Topics and Well Written Essays - 2500 Words”, n.d. https://studentshare.net/business/284972-assessing-brilliance-in-innovation.
This study will help to understand the organisation’s vision and strategy for innovation, current vision and strategy’s interfacing with innovation, components of the vision, innovation strategy and corporate strategy, context, competencies and culture for innovation, innovation as a core business component, support for innovation from the organisation and its environment.
Jones was brought up in the worst environment ever. Not only was the sixteen year old girl obese and illiterate, but also she was brought up by parents that took advantage of her naivety. Her father raped her repeatedly and even fathered two children with her (Bradshaw, 2010).
These organizations need to create an environment which favors new innovations for future prosperity. They should therefore be able to respond to challenges it faces and retain talented workers. In reviewing the basic creation of an innovation climate, we based our studies in three critical theories.
So the question that arises is that where does innovation begin, how it executed and what are the end results and how one measure does or understand the true value of the innovation at hand, under monetary terms. Well to begin with we can first have a look at a few people at hand who have understand it better than anyone else in humanity, such as Steve Jobs, Michael Dell, Bill Gates and others.
2002. pp1095). Daneels (2002. 1096-1098) established that product innovations result in overall organizational renewal due to renewed internal competencies & value system. He emphasized on alignment of innovations towards customer needs by taking inputs from customers when re-engineering existing products or developing new products.
The challenges in the communication industry are even greater comparatively. To keep up with these expectations an organization needs to have an innovation process as vehicle to bring the new products to the market. Organizations must adapt to an effective innovation process to improve the existing product and capture the market overcoming the challenges of today's markets.
The organisation should also adopt business model which can eke the process of innovation and make the organisation enjoy hyper growth. In the paper we have studied Gurit as an innovative organisation and tried to find out the secrets of the successful innovations at the company.
en as types of innovation and this brings out the relationship between change and the element of innovation when striving to bring about positive changes to a company. When looking at innovation from what can be termed as an organizational aspect, it can be seen as the