The paper 'The Collaborative Organization' is a great example of a Management Case Study. The nature of the contemporary world triggers a competitive society wherein the capacity to dictate transformation, as well as changes, bring about the utmost value. Basically, as evidenced by Sony Corporation, a competitive advantage in the management of creativity and innovation results in this ability. Therefore, efficient managers in leading corporations are focussing on developing mechanisms as well as ways for better organizational creativity and innovation. Without a doubt, innovation attribution by managers as integral to competitiveness is mainly steered by the emerging knowledge economy, advancement in technology in addition to high competition within the service and industrial companies.
Sony, being a technologically driven company must be more pioneering as well as innovative as before so as to compete, grow, lead as well as endure. Regrettably, the technological innovation at Sony has increasingly emaciated leading to investor confidence decline as well as the falling of the Company’ s stock price falling by almost 50% in 2011. For this reason, Sony must concentrate on product differentiation as well as technological innovation so as to outdo their rivals.
The report prepares a plan for how Sony can improve its innovation management. Organization Background Sony Corporation (Sony was started in 1946 and is involved in developing, designing, manufacturing as well as selling different types of electronic instruments, equipment and devices for industrial, professional, and consumer markets in addition to software and game consoles. Sony’ s facilities used for manufacturing are situated in Asia, mostly Japan while it used third-party contract companies to manufacture particular products. The company’ s products are sold across the globe by unaffiliated distributors as well as sales subsidiaries and use the Internet to make direct sales (Tang, Misra, & Shanholt, 2012).
Furthermore, Sony engages in producing, purchasing as well as distributing television programming and motion pictures as well as the operation of digital and television networks. Sony segments include financial services, network, and game services, mobile communications, home entertainment and sound, music, pictures, devices, and so forth. Besides that, Sony produces and distributes recorded music and is engaged in different financial services businesses such as operations of insurance. Sony markets most of the products through retailers while professional electronics services and products are marketed by Sony Business Solutions Corporation.
For electronic components, Sony sells products directly to wholesalers and manufacturers. Sony has over the years turned out a global leader in technology, producing scores of innovative products. All through its history, Sony has been creating their own internal technology standards instead of copying other manufacturers’ standards. The Innovation at Sony Since 1946, Sony has been a key innovator in the electronics market and created more than 13 disruptive innovations between 1950 and 1970s.
Thanks to innovation, the revenue of the company has increased drastically. Since its arrival in the U. S., a number of products have been introduced by Sony and has consequently transformed the electronics industry. Besides that, the Walkman personal stereo as well as Sony Trinitron television have developed to be industry leaders. Sony’ s innovative products are developed and produced by nearly 21,000 employees. Team members at the company are encouraged to take risks, innovate, as well as surpass the expectations of the customers. The creativity of workers resulted in a net income of almost 418.5 million U. S.
dollars in 2013. Towards the end of the 20th century, Sony because of its innovation strategy was the leading brand in the US beating out Disney, Coca-Cola, and. Ford. Undeniably, IT growth as well as the shift to digital technology has been an on-going process; therefore, Sony's 50th anniversary marked the beginning of the new digital age. Besides that, the company’ s management structure was reorganized with the intention of enhancing its company system at a divisional level to respond faster to changes in the market and to generate a structure capable of facilitating the development of innovative businesses.
Sony understands that future product planning can only be realized through system planning, and for this reason, the company’ s corporate structure was restructured into a horizontal system instead of a vertical system so as to accelerate market responsiveness as well as decision making. Sony has internalized most of its technological advances, and as a result, it has placed itself in a strong position to meet its objective and strategic goals. Sony's success in the consumer electronic market has been facilitated by three factors; creativity in marketing, product planning, and technology.
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