When one thinks of innovation, it is a term used to describe new ideas and new beginnings. One who introduced this concept to a failing organization, was an innovative leader named. Alan Lafley former CEO of P&G, adapted the five discovery skills that were displayed in Dyer, Gregersen, & Christensen ‘s Innovator’s DNA associating, questioning, observing, networking, and experimenting. Lafley applied these skills to create an innovative organization and gave a blueprint for other innovative organizations to follow. Although, leadership is a group ...view middle of the document...
al, 2011). Nahavandi (2006) stated “Transactional leadership…occurs when one person takes the initiative in making contact with the others for the purpose of an exchange of valued things”. Organizations using transactional leadership develop an organizational design and use it within the organization to focus on tasks and the reward structures for completed tasks (Nahavandi, 2006). Lafley was able to change the company dynamics and business model with the use of this leadership model, as P&G transformed from a closed innovation business model to an open innovation business model allowed for the company to reward Lafley for his works.
Proctor and Gamble (P&G) is said to have had one of the most impressive research and development labs, which kept them leaps ahead of their competition until the late 1990’s. It should be noted that what is significant about P&G during their early innovative years is that their research labs were global although their innovative R&D processes were at the time considered “closed”. Actually, P&G had taken a significant step into the future long before their competition by strategically developing global R&D teams within their organizational infrastructure (Rao, Venkatesh, & Devi, (2009) p. 3). But again, technology waits for no one and it would bring P&G’s innovative strategies to a grinding halt decreasing the companies’ profits significantly by 2002. It was the pressure of new technologies challenging organizations to work outside their infrastructural comfort zones, which sparked Alan Lafley to connect with an R&D team outside P&G in order to develop a new product (Rao, et, al., (2009). p. 3-5). It was this very act that facilitated the Connect & Develop (C&D) Model. This model revolutionized networking by using technology to bring diverse individuals together in order to develop new ideas, thoughts, processes, products, and services, for the future. Alan Lafley observed companies eagerly embracing new technologies; trade their closed innovation approach for new creative strategies.
Explain why you chose this model and how it will help the leaders in their responsibilities as leaders of innovation.
I chosen this model as it allowed Lafley the chance to infuse his innovative thinking with the business model as a good fit for P&G. When Alan Lafley realized this then he had to find someway of connecting his theories along with his new introduced business model, he then “developed the Connect & Develop model to generate ideas from scientists, engineers, inventors, entrepreneurs and individuals outside the company” (Rao, et al., 2006). The DNA of disruptive organizations involves having a team of individuals who are not only given an environment where they are allowed to experiment and develop new ideas and processes but also possess strong discovery skills.
As P&G began to survive they had to open their thinking from only using ideas from inside...