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What's stifling the creativity at CoolBurst

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  1. 1. ADRIANTO BUDI PRABOWO BAGUS PRIO SAMBODO CITRA DEWI WULANSARI What's Stifling the Creativity at CoolBurst?
  2. 2. 2 Background CoolBurst is a fruit juice manufacturer based in Miami, USA. Over the years of operation, management always apply the same organizational culture. The result, over the last 4 years annual revenue and profit Coolburst is stagnant. Currently, Luisa Reboredo as new CEO should start thinking about how to make Coolburst in order to survive in the future. The symptoms Annual revenues stalled at $ 30 million and profit never increased in the last 4 years Rootcause Colburst management still maintaining the old culture of the company, without thinking on organizational environment continues to change. CoolBurst Profile
  3. 3. Traditional Org. & Creativity 3 Culture Conservative & politeness employees were loyal and formal, treated one another with politeness. No one swore, complained or argued. Dont fix it if it is not broken Tradition Creativity New Idea Jenkins Trait - BIG Five Factors creative imaginative open minded divergent thinking Openness to experience Weve got one creative person here, and he makes everyone nervous
  4. 4. 4 Theoretical Analysis Maturity Behavior Birth Growth Maturity Decline Death Time CoolBurst Company Life Cycle Comunication quality becomes poorer. Stagnant. Maintaining old habits & behavior Rejecting innovation Avoiding risk taking Morale / work spirit become weaker. Neglecting the threats from competitor
  5. 5. Analysis SWOT 5 Strength Efficiency set of system Centralization of creativity on marketing & production Strong based market share Weakness (company life cycle) Comfortable and maintain the old way In-box-thinking No consideration on value creation Rejecting innovation avoid risk taking Opportunity Management doesnt know how to handle creative people Failed to get the right people at the right time Threat Competitor hired Jenkins and produce Mango Tango New entrants Drinks-Up SWOT CoolBurst had to innovate, or it would evaporate
  6. 6. Theoretical Framework 6 Culture Change VMV - Helps organization develop cultures (behaviors, values, beliefs and norms) appropriate to their strategies and environments Self Designing Organization Helps organization gain the capacity to alter themselves fundamentally Organization Learning Knowledge Management Seek to enhance capability to acquire and develop new knowledge; focus on how to use that knowledge to improve performance
  7. 7. 7 1. When the iPhone was released in 2007, Mike Lazaridis and Jim Basillie, RIM's co-CEOs, publicly dismissed the impact of the new device on the company's fortunes. (Again, in fairness, former Microsoft CEO Steve Ballmer made the same mistake, infamously referring to the first iPhone as "a toy.") Internally, however, the company's senior management knew the technology powering the iPhone was superior to the technology inside its own devices. 2. When customers requested features like those offered on iPhonessuch as a faster browser, more responsive touch screen, or more diverse applications RIM suggested that customers actually did not want those options because they would lead to higher data costs or decreased battery life. According to one insider interviewed by the newspaper, although RIM never stopped listening to customers, the company adopted a "we know better" mindset that expected customers to eventually come around to the corporate point of view. Aware to competitor; Transparant with current condition; Listen to your customers Learning from RIM Experience
  8. 8. Priority Solution 8 1. Discipline Thought Confront the brutal facts Changing mind-set the CoolBurst new CEO and all the other stakeholdes (Mental Modal). Provide meaningfulness on their job profession (3M). Provide chat room/forums & Open discussion where all people can speak their opinions. 2. Modify culture of discipline, increase ethic of entrepreneurship, (freedom & responsibility within a framework) Ex; Friday casualwear, team learning problem solving.
  9. 9. Priority Solution contd 9 3. Change the style of leadership Transformational leaders inspire their team members because they expect the best from everyone, and they hold themselves accountable for their actions. They set clear goals, and they have good conflict- resolution skills . This leads to high productivity and engagement.
  10. 10. 10 4. Roberedo must recruit external candidates, because : The new ideas that applicants and new hires bring in stimulate the thinking of others. New hires ask why we do things that way so we are often forced to re-think the way we do things. It keeps our employees on the edge because they know they must compete against outsiders for jobs. 5. Total Quality Management is a description of the culture, attitude and organization of a company that strives to provide customers with products and services that satisfy their needs. Priority Solution contd
  11. 11. PRIORITY SOLUTION 11 Creativity is a mental and social process involving the discovery of new ideas or concept. It is the ability to make or otherwise bring into existence something that has a value (Skender). There are 3 techniques for igniting creativity : 1. Brainstorming, work best in small groups of people, but also be done individually. Brainstorming process starts off with the problem clearly stated and recognized by all participants. One person out of the group is choosen to write down all the ideas that are suggested in order to make them simultaneosly visible to all others. Brainstorming suggest solution to the problem, starting from verry obvios answer, and often going to the extreme; 2. Lateral thinking, using only tradisional step by step logic. Its about finding a solution to problems through an indirect approach. For example, a simple problem like opening a door. Now think of some new solution except the doorknob; 3. Problem reversal, is based on starting the problem in reverse. Change a positive statement into a negative one. This will give opportunity to look problem from radically diferent point of veiw, which may lead to completely new and unexpected practical solution. We recommended using hybrid combination between brainstorming techniques to recognise the important issues on CoolBurst, and problem reversal, so the employees knew well the correlation between their contribution and what are the consumer needs
  12. 12. ALTERNATIVE SOLUTION 12 1. Re branding : see the market from different angle with a different marketing strategies; 2. Encourage visioning : invite the employees to think about where they want the company to be in next 5 years; 3. Allow time for pet projects : setting a side time for employees to pursue their own work related interests; 4. Ensure senior managers support : This is a critical point. Senior managers must provide sufficient resources and training if any of this efforts are to succeed. And each and every manager must be committed to the program; 5. Strategic alliances : to expand market share
  13. 13. How to evaluate success (Alter, 2015) 13 1. Profit Profitability is probably the first thing people think about when measuring success. Is the business making money? This is fairly common sense if there is money left after you have paid your monthly operating expenses and debt, then things are looking pretty good 2. A growing customer base The long-term growth of your company is tied directly to your ability to not only reach your customer base, but to expand it to accommodate your long-term goals. All of those long hours spent on the research and development of a marketing strategy prove themselves here. Did your research pay off? 3. Customer satisfaction Customer satisfaction is an indication that your company understands the needs of your customers. Understanding your customers and being able to satisfy their needs is crucial to the strength of your business. 4. Employee satisfaction Employee satisfaction is another key indicator of business success. Developing a work environment that rewards employees for their hard work is imperative in attracting and retaining quality employees. If workers know they are appreciated, they are much more likely to go the extra mile when needed. 5. Owner satisfaction Perhaps the most important measure of business success is whether you the owner are satisfied with the results of business ownership.
  14. 14. 14 DAFTAR PUSTAKA Alter, Michael. (2015). Five Ways to Measure Success in Your Business. Retrieved June 14, 2015, from : http : // www. surepayroll . Com / articles / small business / how-to- measure success of small business . Cummings and Worley. (2005). Organization. Development and Change, 8th Thomson Corporation De Cagna, Jeff. (2014, August). BlackBerry's Strategic Mistakes, and How to Avoid Them. Retrieved June 14, 2015 , http : // www . Asaecenter . Org / Resources / Skender, Martina. (2010, February). How to Create Creativity. Retrieved June 12, 2015, from : http://sixrevisions.com/creativity