2024 – Question In Business Model Innovation in Practice Euchner and Ganguly 2014 discuss

Question: In “Business Model Innovation in Practice,” Euchner and Ganguly (2014) discuss the challenge of implementing innovations within organizations that are naturally resistant to change. They present a systematic approach for integrating innovations to increase the likelihood of acceptance and success. Review their five-step approach and discuss how the four functions of management (planning, organizing, leading and controlling) can be leveraged within in their suggested approach to assist organizations in implementing successful innovations.

 

Posted: The four functions of management (planning, organizing, leading, and controlling) can be leveraged within the recommended six-step approach for integrating innovations to support organizational success. This can be done by incorporating the function of leading, including communicating the vision of the approach and modeling desired behavior, with each of the steps to help decrease the resistance to change. The first step is to demonstrate value creation through identifying customer needs and creating concepts for new propositions (Euchner & Ganguly, 2014). The first step involves the management functions of leading and planning to look at the big picture of the company as well as planning the direction of the new concepts. The second step is to generate business model options and involves the function of planning to develop a model that captures the value and is difficult for competition to replicate (Euchner & Ganguly, 2014). The third step is to identify the risks for each option, which involves the management function of controlling, and requires the ability to identify the risks in advance (Euchner & Ganguly, 2014). The fourth step is prioritizing risks, which also involves the function of controlling, as well as organizing and planning, to evaluate the risks and identify variables that will most affect the model’s success (Euchner & Ganguly, 2014). The fifth step is to reduce risks through business experiments and utilizes the combination of leadership, planning, and controlling to conduct real world business experiments in effort to determine the potential risk and reduce risk as insight is gained (Euchner & Ganguly, 2014). Again, leadership can be utilized here to strengthen the clarity of the vision and guide the overall direction of the experiments. The last step is to organize through incubation which involves the functions of leadership, planning, and organizing to prepare the small-scale incubation and identify a strategy (Euchner & Ganguly, 2014). The integration of the four functions of management within the six-step approach can help businesses to implement successful innovations.