Abstract
This paper examines the internal and external drivers of innovation for Riordan Manufacturing as well as the benefits of innovation, design and creative thinking to its objectives. Innovation and creative thinking are crucial to the success of every organization. Various internal and external factors can drive innovation and creativity within an organization. For instance, some of the internal factors that drive innovation in Riordan Manufacturing include a strong financial base, technological superiority and an effective management strategy. On the other hand, external factors include customers’ needs and expectations, market demand as well as globalization.
By creating a culture of innovation, design and creative thinking, the company will benefit in a number of ways. For instance, the company will be able to reinforce its brand, boost the productivity of its employees and achieve a sustainable growth. Innovation and creative thinking will also enhance both horizontal and vertical communication within the organization.
Introduction
Innovation and creativity are the major factors, which determine an organization’s success. Organizations have to be innovative and creative in order to remain competitive in a given business segment. Innovation refers to the process whereby an organization generates new ideas and transforms them into products and services. Innovation requires screening of new ideas to determine their feasibility. On the other hand, creativity refers to the process of going beyond the norm. It involves identification of new relationships and acting on them. Innovation and creativity within an organization are driven by various factors. For instance, an organization’s culture can largely determine its level of creativity. This paper examines the drivers and benefits of innovation for Riordan Manufacturing.
Overview of Riordan Manufacturing
Riordan Manufacturing is a global company that manufactures plastic products. The company has approximately 550 employees (Baihaqi, 2009). It has its headquarters in California. It also has subsidiary offices in different continents across the globe. The company’s major aim is to maintain a competitive edge in the plastic manufacturing industry. It utilizes a management strategy known as the Six-Sigma (Baihaqi, 2009). This management strategy aims at streamlining its operations in order to ensure effective and efficient production. Therefore, the Six-Sigma management strategy enables Riordan Manufacturing to limit the number of defects in its production process. Additionally, Riordan Manufacturing has managed to maintain good relations with its customers. Consequently, this has enabled it to gain popularity and attract a good number of customers.
How Riordan Manufacturing can become Innovative
Riordan Manufacturing can become innovative by adopting the following strategies. First, the management should create a flexible and relaxed work environment. The company’s managers should ensure that senior and junior employees co-exist harmoniously. Consequently, this will enhance employees’ productivity. Second, the company should hire employees who understand the organization’s culture. Employees should be able to identify with the company’s vision, mission and goals. Third, the company’s management should promote diversity. It should hire employees with different capabilities, passion and background. Fourth, the company must be intentional about its innovation goal. It should clearly state how it intends to change the world.
Internal Drivers of Innovation for Riordan Manufacturing
A number of factors can facilitate innovation within an organization. For instance, some of the internal drivers of innovation for Riordan Manufacturing include the following. First, the company’s technological superiority in the plastic industry has enabled it to develop unique products (Baihaqi, 2009). The company also boasts of state-of-the-art equipment in plastic production. Consequently, this has enabled it to maintain a competitive advantage over its rivals.
Second, the company has a strong financial base due to its large size. This has facilitated the implementation of various innovations within the company. Additionally, the company has been able to conduct regular market research, which is crucial to the process of innovation.
Third, it has an effective management strategy, which has promoted a culture of innovation. For instance, it uses the Six-Sigma management strategy that has reduced the number of defects in its production process. Similarly, the Six-Sigma strategy has also facilitated the company’s sustainable growth in both human and financial capital.
External Drivers of Innovation for Riordan Manufacturing
Today, several companies have adopted new ways of operation in response to external pressure. For example, innovation in Riordan Manufacturing has been influenced greatly by different external factors. First, innovation within Riordan Manufacturing has been driven by its customers’ needs and expectations. The company’s major aim is to ensure that it satisfies the diverse needs of its customers effectively. This is only attainable through continuous innovation. Therefore, the company has upgraded the quality of its products. Furthermore, it has managed to gather relevant information about the emerging needs in the plastic industry.
Second, the demand for its products also plays a crucial role to its innovation. Demand often determines the rate at which a company creates new products and services. Due to the high demand for its goods, the company has continued to introduce new products into the market. Thus, it has maintained a large share of the plastic industry in the United States of America.
Third, the process of globalization has also promoted innovation in Riordan Manufacturing. Globalization has enabled the company to identify new markets in different states within and outside United States of America. For instance, the company has been able to establish its operations in Michigan, Georgia and China (Baihaqi, 2009). Consequently, this has facilitated its level of dynamism in order to exploit the new opportunities effectively. Additionally, globalization has also intensified competition at the international market. Thus, the company has initiated varied strategic changes in order to remain viable and competitive globally.
Benefits of Innovation, Design and Creative Thinking
Creating a culture of innovation, design and creative thinking can lead to a tremendous impact within an organization. Companies must maintain a culture of continuous innovation and creativity in order to remain competitive. Riordan Manufacturing can benefit in a number of ways by adopting a culture of innovation, design and creative thinking.
First, the company will be able to attain sustainable growth. Innovation and creative thinking often facilitate growth within a company. For instance, by developing these skills, the company will produce valuable products that can attract more customers. Additionally, the company will also be able to identify different opportunities as well as potential markets. Consequently, this will further its growth.
Second, innovation and creativity will enable the company to reinforce its brand. Brand development is one of the major factors that can advance success within a company. Thus, through creative thinking and innovation, Riordan Manufacturing can promote its brand in new markets. Additionally, this will enable it to maintain a large market share in the plastic manufacturing industry.
Third, the company will enhance its efficiency through innovation and creative thinking. The aim of every organization is to maximize profits by adopting strategies that can minimize the cost of operations. Therefore, creative thinking can lead to the adoption of cost-effective ways of producing new goods and services. Additionally, innovation and creative thinking can lead to the development of products that can attract higher prices. Consequently, this will cause a higher rate of return to the company.
Fourth, innovation and creative thinking will enable the company to respond effectively to market competition and trends. The success of a company in a given business segment lies in its ability to withstand market competition. A company should also be able to predict market trends. This is crucial because it can facilitate generation of new ideas within Riordan Manufacturing. Consequently, the new ideas can be transformed into products and services that meet customers’ needs effectively. Similarly, the ability of the company to predict market trends will enhance its capability to withstand adverse market shocks. Thus, the company will be able to stay ahead of its competitors as well as market trends.
Inculcating a culture of innovation and creative thinking will also help to enhance employees’ productivity. Creative thinking helps to stimulate the development of new plans and strategies for conducting business. Creativity also promotes confidence, self-reliance, initiative and leadership among employees. Thus, by creating an environment that allows for creative thinking, the company’s employees will be able to discover and fully exploit their abilities. Similarly, the company will harness the full potential of its employees. Moreover, employees will easily accept and embrace change within the organization due to ownership of the innovation process.
Finally, a culture of innovation and creative thinking will promote effective communication within the organization. For instance, innovation requires the participation of all employees. Therefore, this will enable the company’s employees to express their opinions freely about various issues. As a result, the management will be able to collect relevant information that it can use to enhance the performance of the organization. Furthermore, this will also enhance both horizontal and vertical relations within the organization; hence, facilitating productivity.
Conclusion
From the above discussion, it is evident that innovation, design and creative thinking are crucial to the success of any given business. Therefore, Riordan Manufacturing can reap great benefits by promoting a culture of creative thinking and innovation. For instance, the company will be able to reinforce its brand and attain sustainable growth. Additionally, it will enhance its employees’ productivity and communication within the organization.
Reference
Baihaqi, E. (2009). Riordan Manufacturing. Web.