Innovation is important for any organization, however, within corporate entrepreneurship, it is often difficult to carry out them properly. Such business activity is directed at exploring new market domains (including creating new products or services) and thus, the process affects the structure of an organization. Therefore, Goodalea, Kuratkob, Hornsbyc, Covin (2014) identify “corporate antecedents” that have a direct influence on how innovative approaches and methods are applied in a specified setting (p. 16). Although such factors help combat the uncertainty a company may experience in some cases, they can obstruct new approaches being implemented as well. This paper aims to examine the research article on corporate entrepreneurship and determine ways in which the approach can be applied to Dubai Electricity and Water Authority (DEWA).
The ability to change and adjust to current market conditions is vital for any company. The article by Goodalea et al. (2014), aims to explore the question of corporate activity as a determining factor of an organization’s success. The issue is in the fact that combing processes connected to innovational management (such as process control) can disrupt the traditional structure. The problem with corporate organizations is the prevalence of formalities, which often obstructs new ideas from being applied, and thus, such companies rarely change their structure, activities, or product portfolio. Corporate entrepreneurship is an approach that can leverage both aspects – compliance to rules and the striving for innovation.
The primary questions of research are determining risk and process control approaches and their effect on a corporate organization’s innovation. In addition, the prior methods utilized by establishments are examined as well. Therefore, the research is exploring whether factors such as “management support, work discretion/autonomy, rewards/reinforcements, time availability, and organizational boundaries” can ensure better operational outcomes for an organization (Goodalea et al., 2016, p. 116). Goodalea et al. (2014), aim to analyze whether more liberal approaches to managing an organization can be utilized in large corporate establishments. In addition, the authors strive to identify the impact each component has on both operations and innovation. According to Goodalea et al. (2014), the study is exploring whether factors such as “management support, work discretion/autonomy, rewards/reinforcements, time availability, and organizational boundaries” can ensure better operational outcomes for an organization (p. 116). Therefore, the issues that they investigate are the ability to combine attributes of corporate culture (such as ensuring conformity, specific behavior, and work ethic, and others), and those of entrepreneurs who benefit from being involved in new developments.
The research methodology that Goodalea et al. (2014) apply is an examination of operations conducted on 177 companies (from various industries) and the assessment of their performance parameters. For this task, the Corporate Entrepreneurship Assessment Instrument was utilized. The indicators of performance and factors that contribute to operational success were collected and analyzed. Thus, the authors applied a sample size examination to conduct their study. The primary finding of the study concluded that only several of the identified factors impact an organization’s innovation activities. However, “each of the five antecedents significantly interacts with one or both of the operations control variables” (Goodalea et al., 2014, p. 116). Thus, every factor that was researched in the study can be utilized by a company to leverage its efficiency.
Further studies on the topic should investigate specified methods that can be applied to use the approaches properly. Thus, Goodalea et al. (2014), have fulfilled the aim of the study and determined that entrepreneurship approaches that are appropriate in a corporate setting. Furthermore, those can contribute significantly to achieving the strategic goals of a company, which is essential. Therefore, executives can use the conclusions to adjust their management techniques, which will benefit their organizations through the ability to explore new market domains.
The article is useful as the findings can be implemented into an organization’s management practices to ensure that the company can apply to develop. DEWA is an establishment, described as “Dubai Electricity and Water Authority” which has begun its operations in 1992 (“DEWA the Brand, n.d.). Because the company receives financial support from the government, it can be argued that the procedures within it are highly formalized. The issue can obstruct a possibility to explore new markets (such as solar or wind energy) and thus, bypass an opportunity to grow the business.
A change in how DEWA approaches task assessment is required to promote innovation. Goodalea et al. (2014) identified the components that should be applied to DEWA’s people management techniques for enhancement of performance (within the domain of human resources). For instance, the authors stated that management support is crucial for employees as it provides them with additional confidence in their actions. Thus, training management on how to encourage the personnel, give them support, and help develop their creativity can help DEWA identify unexplored market opportunities. Additionally, autonomy among the staff members can be implemented to ensure that people can engage in projects more efficiently. Therefore, DEWA can use managerial support and worker autonomy to promote independent task completion.
Overall, the article by Goodalea et al. (2014) provided an examination of corporate business structures. More specifically, the authors hypothesize that improving management techniques applied in formalized establishments can have a positive impact as it will establish corporate entrepreneurship. The result can be achieved by promoting independent work, providing employees with support from executives, implementing rewards, and illuminating boundaries. The research results confirm the claim; thus, DEWA can utilize the described methods in its strategic planning.
References
DEWA the brand. (n.d.). Web.
Goodalea, J. C., Kuratkob, D. F., Hornsbyc, J. S., & Covin, J. G. (2014). Operations management and corporate entrepreneurship: The moderating effect of operations control on the antecedents of corporate entrepreneurial activity about innovation performance. Journal of Operations Management, 29(1–2), 116-127. Web.