Innovation And Creativity For Hawkins Construction: Essay.

1.1. Provide a brief introduction of your selected organization in terms of its product/service and business format. Thereafter, explain, in brief, what the reader can expect in the rest of the report. (3 Marks)

1.2. Evaluate any two of the following environmental scanning methods to identify two sources of opportunity for structural and management changes for your selected organization:

• SWOT analysis
• PESTLE analysis
• Michael Porter’s 5 competitive forces analysis
• McKinsey 7 –S analysis

Use the two sources of opportunity identified in section 1.2. to complete this section. Continue to relate this section to your selected organization.

You are required to recommend and explain at least two changes to the:

2.1. Organizational structure. 

2.2. Management structure. 

The following questions relate to the changes you recommended in 2.1. and 2.2.

2.3. How do the changes in the organisation’s structure create an environment to foster innovation and creativity in the organisation? 

2.4. How do the changes in organisation’s management system create an environment to foster innovation and creativity in the organization? 

3.1. Critically examine and evaluate the process of resource allocation in every stage of the innovation process:

• Idea generation
• Feasibility study
• Technology advancement
• Market assessment and project formulation
• Management of innovation 

3.2. Explain why, from your perspective, you will allocate a certain amount resources in every stage of the innovation process in your selected organization.

3.3. Clearly identify, for your selected organization, which position (s) is/are responsible for innovation management. If there is no position responsible for innovation management, which position would you create for innovation management?

3.4. Describe the roles and responsibilities of the position identified or created in 3.3.

Stakeholders are key to innovation management and play a critical role in creating value for the organization, both collaboratively and individually.

You are required to

Discuss three ways in which your selected organization shows appreciation and reward innovation and creativity. Show how the innovation and creativity are tied into the strategic intent of the organization. If there is no appreciation and reward system, discuss three ways in which you will show appreciation and reward innovation and creativity in your selected organization. The appreciation and reward should match the contribution of stakeholders of the organization. (9 marks)

You are required to:

Discuss, using these three bullet points below, the importance of enabling the participants of an innovation project in your selected organization to function creatively under conditions of uncertainty:

• Protection in the light of uncertainty and risk including freedom to fail
• Support in terms of resources
• Autonomy to take decisions 

You are required to:

Provide a conclusion to your report 

Ensure your report is in the appropriate format, has in-text citations and a reference list using the APA format.

Environmental Scanning

Hawkins: Introduction

Hawkins has three businesses including Hawkins Construction, Hawkins Infrastructure and project management arm – the Canterbury Recovery Project. The organization has fostered forward thinking attitude at the workplace which attract the best people at Hawkins.

Hawkins has a team of experts who are dedicated to deliver high quality projects which includes refurbishments, ground breaking education projects, commercial projects, modern health facilities and community infrastructure projects. The company makes sure that it delivers high quality projects to the clients through its dedicated and committed team. The company uses the approach of greater accuracy, build ability, transparency, quality and fast delivery. Hawkins has developed its brand reputation for completing complex projects in the New Zealand. 

SWOT Analysis

Strengths

Hawkins has strong management team which has fostered very healthy work environment within the organization. This leads to delivery of high quality work to the clients. Further, the company also has highly skilled manpower of engineers and scientists who work with full dedication and commitment to deliver the transformational projects to the clients. Hawkins has developed its reputation by completing complex projects in New Zealand.

Further, Hawkins has also fostered an innovative culture at the workplace through employee empowerment. The organization has spread its wings into the diverse portfolio of energy, health, industrial, offices, open spaces, art, civic & culture, education, airports, rail, sport & recreational, tourism & hotels, utilities, police corrections & defense  and accommodation. Thus, the organization has very well utilized its opportunity.

Weaknesses

Hawkins has to take huge amount of loans in order to successfully complete its projects before the deadline. The company could become bankrupt because of a single inappropriate decision which poses great risk factor on the company.

Further, the company has not effectively deployed research and development departments into the system which could affect the future growth of the company.

Opportunities

Hawkins has several opportunities to target the emerging markets of the country which could diversify its product and service portfolio. The company can easily enter the market through financial leverage and expand its overall market. Further, the company also has an opportunity to incorporate the latest technology into the system and have a competitive edge over its competitors.

Threats

Hawkins faces consistent challenges because of strict government policies of the country which restricts the growth of the company. There is an intense competition in the construction industry which compels the company to develop innovative products to maintain the sustainability.

Porter’s Five Forces

Competitors

Hawkins faces intense competition from its rivals during the submission of contracts and tenders. The company faces competition from the players Fletcher construction, Ebert construction, Leighs construction and Naylor Love construction.

New Entrants

The high barriers of the industry restrict the entry of new players which supports the growth of Hawkins. The customers are not loyal to the companies because they only prefer the company with the lowest price. Further, there are many risks involved in the industry which again act as a threat to the new entrants. Every projects is filled with complexities and require highly skilled manpower which incurs huge cost to the company.

SWOT Analysis

Substitutes

There are new methods and processes evolving within the industry which poses continuous threat to the company. Further, the companies hire new consultant for every new project.

Suppliers Bargaining

The raw material is readily available in the market and Hawkins has several suppliers for construction material. The company works in alignment with the contractors, sub-contractors and manufacturers. The suppliers’ bargaining power is said to be low as there are several suppliers of the company Hawkins Construction and the company can switch from one particular supplier to another.

Buyers Bargaining

The force of the buyer essentially deals with the capability the customers have to essentially drive the prices at a lower level. The power of the customers is essentially affected by the total number of purchasers, customers, significance of each and every customer. Smaller as well as powerful base of clients essentially raises the power of the buyers.  The clients of the company Hawkins Construction expect high quality projects from the construction company and there are only few construction clients which gives them a strong bargaining power.

Opportunity 1: Analysis of the environment of Hawkins Construction reveals the fact that the company has an opportunity to integrate latest technology into the system and this have a competitive edge over its competitors.

Opportunity 2: Environment scanning also helps in understanding the fact that the company Hawkins Construction has ready availability of different raw materials as well as large number of suppliers in the market. This can help the company to procure the raw materials with ease and at relatively competitive prices.

Innovation Creativity

Organizational Structure

Project organizational structure has been incorporated within the organization because Hawkins deals with different projects of the company. Every project has its own goal along with a deadline for completion. Every project is unique and new for the organization and thus, requires great understanding of the client’s requirement. Hawkins deals with complicated projects which involves highly specialized manpower for the accomplishment. There is a great probability of loss over a project. For every project, individuals are assigned and have to work as per the direction of the project manager. Hawkins has numerous wings including education, health, rail, offices, art, police and defense. For every project, the company has assigned a specific manager who designs the jobs roles of the employees. Sometimes, the conflict arises between the project manager and the departmental manager pertaining to the control of authority over the team members. The following set of changes can be taken into consideration for mitigation of different issues associated to incorporation of changes in the organization;

1. Employee participation from different levels of the organization: Hawkins should involve employees in the planning process to take their feedback and suggestions in order to resolve the operational issues of the organization. This would help the company to enhance its overall performance.
2. Communicating the planning process: Hawkins should communicate any new update through email or other medium across the organization. The change must be communicated before implementing it within the organization so that the employees are not shocked by the change.

Hawkins must incorporate these changes because of changing business environment and to maintain a sustainable model.

Management Structure

Hawkins has an effective management structure with great leaders who have fostered forward thinking attitude within the organization. The company has very well distributed the roles and responsibilities among the team members and has established a standard flow of responsibility within the organization. Geoff Hunt is the CEO of Hawkins Group who handles the complete group. Mike Wardle is the Chief Financial Officer who takes care of the entire financial segment including financial leverages and debts. Gary Walker is the Executive General Manager of Hawkins Construction department and holds responsibility for construction department. Brian Fitzgerald is the Executive General Manager of Hawkins Infrastructure and John Beattie is the General Manager of Health

Porter's Five Forces Analysis

Safety and Environment department.

1. Empowering the General Managers: The General managers hold responsibility for their respective division. Since every new project is a challenge because of complications involved in the process, thus, the General Manager should have the authority to expand the horizon of their roles and responsibilities in order to meet the needs and requirement of the client.
2. Limited the role of Chief Financial Officer:

Opportunities	Organizational structural changes	Management changes
Opportunities 1	Encouraging employee participation at different levels of the corporation can help in acquiring feedback from the customers and resolving different functional issues	Empowerment of the senior officials can help in optimal allocation of resources that is vital for encouraging innovation
Opportunities 2	Development of the communication policy can help the stakeholder that is the employee of the organisation to remain updated about the company’s planning s and actions.	Limiting the role of the chief financial officer can also help in enhancement of business processes

Encouraging participation of employees can help in inspiring the employees to ideate by creating a relaxed, fun as well as open environment for planning. In this way, the management of the corporation Hawkins can help in developing and nurturing a specific young and dynamic internal culture that can help in persistently striving at attain organizational success. Employee participation at diverse levels of the organization can provide them to think out of the box and inspire them to come up different new ideas regarding business processes as well as procedures that in turn can lead to improvements and prospects (Hollensen, 2015). In addition to this, appropriate process for communicating the planning process can effectively motivate and at the same time engage members of the staff of an organization. The open dialogue can help the employees to put forward their innovative ideas especially before decisions are made. The process of communicating the plans can also help in stimulating communication between different departments and encourage collaboration between diverse departments resulting in creative solutions for different problems (Kotler et al., 2015).

Empowerment of managers can help in the process of optimal allocation of resources that is vital for encouraging innovation. Particularly, the empowerment of senior officials can help in running the ongoing programs of the corporation in a better manner as the people operating in the top management needs to take care of different results as well as directions of innovation. People in the senior management needs to develop a culture that can help in supporting the process of innovation and lead to innovative cooperation (Kotler et al., 2014). As such, leading innovation is not only about a particular vision but also encouraging others to implement the same by creative abrasion, creative agility and creative agility.

Stages of innovation process	Explanation of each Stages of innovation process	Resource Allocation	Budget
Idea generation	The process of resource allocation during generation of ideas include examination of scope of the idea that includes examination of effects of the idea on core business, its ability to attain growth in mid-term along with future business opportunities. Analytical examination of the process of resource allocation during the phase of ideation also includes implementation of certain metrics such as return on investment (ROI) and enumeration of the net present value (NPV) (Sheth & Sisodia, 2015). The management of Hawkins can implement the financial metrics such as ROI and NPV for checking feasibility of its projects during the period of ideation.	The process of allocation of resources in diverse stages of innovation in Hawkins starts with selection of aspects that requires resource investment initiatives in a coherent manner during the planning phase. Thus, resource allocation for development of research and development team of the company for generation of innovative ideas is necessary. The process of allocation of resources in diverse stages of innovation in Hawkins starts with selection of aspects that requires resource investment initiatives in a coherent manner during the planning phase. Thus, resource allocation for development of research and development team of the company for generation of innovative ideas is necessary.	$ 0.5 million
Feasibility Study	The process of resource allocation during the phase of feasibility study might include preparation of the innovation budget after proper prioritization of activities. The management might enumerate the return on investment as well as net present value. Thereafter, analytical examination of the resource allocation also includes dimensions such as real option value (Foxall, 2014). The management of Hawkins might examine the potential of both existing as well as new business as per innovation and explore different options (Hawkins, 2017).	However, the stage of ideation leads to the process of mobilization phase. Thus, at the onset of mobilization of ideas requires adequate resources for moving it properly. The resources includes funds for building infrastructure, advanced plants and equipment and many others.	$ 0.5 million
technology advancement	The process of resource allocation during technological progression involves critical assessment of economic significance of each process of innovation. The process essentially comprises of assessment of the importance of the technological advancement and its impact on business (Chernev, 2014). Analysis of costs involved compared to the benefits of the advancement can help in understanding the extent of allocation of resources (Hawkins, 2017). Being a specialist in project deliverance, management of Hawkins Construction implements advanced technologies for building designs. The computer aided designing process helps in generation of flawless building designs	Subsequently, the stage of mobilization leads to the process of advocacy as well as screening that indicates the phase of analysing the pros and cons of the innovative idea (Iacobucci, 2014). The management of the corporation Hawkins also analyses the ideas of redevelopment of different existent properties, installation of specific structural steel roof, metal roof, picture frame steel work, establishment of definite exterior timber for development of existing process and allocation of resources for the same. The selection of the priority for allocation of resources in the next stage of innovation that is experimentation requires examination of sustainability of ideas of setting up new commercial buildings, installation of innovative machineries of lift cars, ceiling grids as well as panels. This includes examination of other alternatives for allocation of resources and experimentation with installation of technologically advanced façade in addition to brick veneer calls for the need of allocation of resources.	$1.5 million
Market assessment	Process of resource allocation during assessment of the market involves the analysis of both the length as well as breadth of the market (Meffert, 2013). This also comprises of restraining or increasing the overall resource commitments as per the selection of deteriorating projects or else prospective projects. Management of Hawkins Construction also carries out extensive analysis of the market before entering into new projects.	The business concern also needs to examine the target customers and assess whether the innovative processes solve the identified problems of the customers.	$ 0.5 million
management of innovation	Management of innovation involves use of an entire set of instruments that can permit all the managers as well as engineers of the corporation to cooperate with a shared understanding of different business processes. The managers thus need to understand all the external as well as internal opportunities before allocation of resources and using it creatively in order to introduce ideas, procedures or else products (Peñaloza et al., 2013). Hawkins Construction introduced many innovative practices and started the use of different new construction methods in place of old methods. Hawkins Construction invests in technology, innovation as well as continuous development plus training also safety in order to consistently provide a superior-quality service.	Resource allocation in the stage of commercialization require cost benefit analysis of the projects (Eastman et al., 2015). Finally, analysis is necessary for allocation of resources during the diffusion as well as implementation stage of innovation in business operations of Hawkins. Resources are necessary for establishment of framework, maintenance of the projects (Hawkins, 2017).	$ 1 million

The chief innovation officer otherwise the chief technology innovation officer is the position in the corporation Hawkins that is accountable for management of process of innovation as well as change (Iacobucci, 2014).

Stakeholders	Roles	Responsibilities
Top management : Chief innovation officer	- Concentrates on delivering on the significant principles that is behind the innovation and is accountable for managing the process of innovation (Foxall, 2014). - the chief innovation officer also concentrates on the innovation of the organization through advancements in technology	- handling the entire procedure of innovation of a business concern that can recognize different strategies, opportunities as well as technologies

The management of the corporation Hawkins express appreciation as well as reward for undertaking innovative and creative business processes. The culture of the company is to reward and encourage people who takes up risks and does something that is innovative or can reflect creativity in the work process (Hollensen, 2015). The management shows appreciation by means of both intrinsic along with extrinsic rewards. This intrinsic as well as extrinsic helps the employees to acquire stimulus to persistently pursue innovative processes both from within and outside. In addition to this, management of the organization Hawkins also provide different tangible rewards to the employees that essentially ranges from monetary rewards to gifts based on performance (Hollensen, 2015). Apart from this, there are also non-tangible rewards such as ceremonies and promotions to superior designations (Hawkins, 2017).

The participants of the innovation team of the company are encouraged by the leadership of the firm to continue to strive for attainment of organizational through adoption of innovative processes (Sheth & Sisodia, 2015). The management needs to take into consideration the risky aspect of utilizing innovative solutions. There are several impediments to change as well as innovation in the organization. Thus, the participants needs to identify the same and mitigate the identified issues.

Support in terms of resources

 The management also needs to examine the requirement of resources that are essential for undertaking the innovative processes (Meffert, 2013). Likewise, the participants need to get the requisite support in terms of resources for continuing the innovative business processes.

Autonomy to take decisions

However, the team working towards implementation of innovative processes need to have the authority to arrive at innovative decisions in order to overcome the resistance to the novel processes and stagnancy (Meffert, 2013).

Conclusion:

The above mentioned study helps in gaining deep understanding different success factors that are essentially aligned to creativity within the business corporation. Moving further, the current study also helps in identification of diverse scope as well as opportunities for diverse change procedures as well as forms of innovation. In addition to this, the present study expounds in detail organizational as well as environmental scanning mechanisms that can recognize diverse sources as well as opportunities for successful innovation. Furthermore, the study helps n gaining comprehensive understanding as regards innovation structures, process of allocation of resources and critical analysis of vital traits for leading as well as managing. Besides, the present study also helps in gaining deep insight concerning the roles and responsibilities of persons assigned on innovation practices and explicates in detail the significance of enabling participants to function properly.

References:

Chernev, A. (2014). Strategic marketing management. Cerebellum Press.

Eastman, J. K., Eastman, K. L., Gleim, M. R., Lawson, S. J., Robinson, S. G., Huang, L., ... & Mack, B. (2015). Marketing management.

Foxall, G. (2014). Strategic Marketing Management (RLE Marketing) (Vol. 3). Routledge.

Hawkins. (2017). Hawkins.co.nz. Retrieved 12 March 2017, from https://www.hawkins.co.nz

Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education.

Iacobucci, D. (2014). Marketing management. Cengage Learning.

Kotler, P., Keller, K. L., Ancarani, F., & Costabile, M. (2014). Marketing management 14/e. Pearson.

Kotler, P., Keller, K. L., Manceau, D., & Hémonnet-Goujot, A. (2015). Marketing management (Vol. 14). Englewood Cliffs, NJ: Prentice Hall.

Meffert, H. (2013). Marketing-Management: Analyse—Strategie—Implementierung. Springer-Verlag.

Peñaloza, L., Toulouse, N., & Visconti, L. M. (Eds.). (2013). Marketing management: A cultural perspective. Routledge.

Sheth, J. N., & Sisodia, R. S. (2015). Does marketing need reform?: Fresh perspectives on the future. Routledge.