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Enterprise innovation depends on leadership and organizational culture

since 1997, hay group, a world-famous management consulting company, has cooperated with fortune magazine to launch an annual ranking of "the world's most respected enterprises" every year. Hay group has conducted in-depth research on the enterprises on these lists and investigated their stakeholders and competitors in the same industry. The results show that an enterprise's innovation ability has a high correlation with its ranking on the list, that is, the stronger the innovation ability, the higher the ranking

By sampling, hay group investigated the executives who participated in the ranking of "the most respected enterprises", and found 10 characteristics of the world's leading innovative enterprises through benchmarking. These 10 characteristics are: vision, atmosphere, talented employees, well-trained managers, training environment, patience, tolerance for failure, investment in research and development, and good organizational structure, processes and systems conducive to innovation

"innovation is not just technological innovation. We emphasize the use of leadership and create an organizational culture that encourages innovation, so that excellent talents can effectively cooperate with each other to achieve innovative results." Dr. Murray, global president of hay group, said at the "innovation and leadership" forum in China a few days ago, "Chinese enterprises should focus on leadership and organizational culture if they want to be among the 'most respected enterprises' as soon as possible."

leadership to promote innovation

the survey of hay group found that the leadership style of an enterprise is crucial to the innovation of the company, because the leadership style often shapes the organizational culture and atmosphere of the enterprise. Those effective leaders often provide the direction of innovation, establish an organizational culture and atmosphere conducive to innovation, encourage a high degree of personal initiative, and promote effective collaboration and integration of multi-functional teams to ensure the promotion and full use of best practices in the company

The research of hay group shows that the personal leadership style of managers can affect the organizational climate they lead to about 70%, and the organizational climate can affect the improvement of organizational performance to about 30%. Most of the most respected enterprises have clear and distinctive cultural characteristics, most of which are embodied in advocating personal initiative and high-level team cooperation. These factors can actively support the development of innovation ability

Dr. Murray divides leadership styles into six types, namely, compulsive, authoritative, friendly, democratic, leading and coaching. Dr. Murray believes that the leadership styles of the most innovative enterprises are usually authoritative, friendly and coaching. These three types of leadership styles can often provide a clear vision and direction, cultivate team harmony and pay attention to the long-term development of individuals, so they are more conducive to enterprise innovation. The preliminary production will touch on the high-performance utilization of special engineering polymer materials

hay group also studied the leaders of 1000 Chinese excellent enterprises and more than 6000 Asian excellent enterprises, and found that most of them belong to the "mandatory" and "affinity" leadership styles. Dr. Murray said, "this is a typical 'strict father and kind mother' leadership style. Asian leaders attach great importance to the harmony of relations, but if they can change their leadership style from 'mandatory' to 'authoritative', it will be more conducive to enterprise innovation."

corporate culture that encourages innovation

"it is easy for front-line managers to change the results by changing themselves, but senior managers of enterprises need to change the atmosphere of the team by changing their leadership style, so as to affect the members of the team." Dr. Murray said. He believes that the corporate culture of those "most respected enterprises" is mainly "teamwork, customer-centric, fair treatment of employees, and taking the initiative"

The survey of hay group found that leaders in the most innovative companies can create a more effective organizational climate for their subordinates, and the organizational climate can affect the overall performance of the organization to the extent of 25% - 50%

Dr. Murray divides the organizational climate into six factors: flexibility, flexibility, standardization, motivation, clarity, and team commitment. He believes that the organizational climate of innovative organizations is often much higher than that of other enterprises in terms of standardization, clarity, flexibility and flexibility

these standards often mean that in these enterprises, people want to do their best, their goals and expectations are clearly defined, people are given appropriate authorization, and new ideas are easy to be accepted. Dr. Murray believes that the clear direction and initiative advocated by such an organizational climate is conducive to the innovative activities of managers and employees

innovation requires teamwork

"the key evaluation value-added of innovation is 15.2534 million yuan, which depends on whether you have such a perfectly adjusted team." Dr. Murray said, "our research found that the core qualities that make the team members of innovative organizations different from other team members are initiative, customer service orientation, conflict management, empathy, adaptability and self-confidence."

initiative and customer service orientation are two very important qualities. The net income after adjustment is 110million euros. Initiative is to find opportunities, seize opportunities and take actions quickly, be spontaneous and initiative, and have the spirit of ownership. A few years ago, when a manager in the consumer goods industry arrived in the area he was responsible for, all the advertising positions on outdoor transportation facilities were bought by his competitors. One day, when he went to work, he found that there were many milk trucks in this area, and the bodies of these milk trucks were still empty, so he reached an agreement with the milk delivery company to put his company's advertisements on the milk truck, so that his target customers could also see them when taking milk

"there are two basic principles for innovative team cooperation: one is to have clear common goals, so that team members can clarify the balance between long-term vision and short-term goals; the other is the interdependence between team members, which can be discussed until the added weight is equal to the weight of the weight, so that they can clarify how they are related to each other." Dr. Murray said

one example is Philips, which has two product lines, namely, cardiac resuscitation machine and home health care products. In the past, these two product lines were aimed at hospitals and home users, and there was no overlap. Later, the heads of the two product lines often held meetings to study and innovate the products, which made the CPR machine enter many families and realized the integration effect of the two product lines. (end)

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