Fostering a culture of innovation WMBA 6020

The following scenarios are based on a fictional company with global manufacturing operations. These scenarios capture different levels and mediums of communication with employees of a variety of leadership positions.

Scenario 1: Informal Breakfast Discussion

This discussion is between the marketing director and general manager (GM) of the Latin America Division.

Marketing Director: “Thanks for the chance to meet so early. I know we have a lot going on, and everyone is really pushed to the limit trying to meet our targets. Getting out of the office to discuss things is helpful. In fact, I was thinking about taking the entire team out for lunch meeting later this week.”

GM: “Well, I’m not so sure the timing is right. I’m really concerned about the launch of the new models. These have to go well, or they may consider closing our division operations. I absolutely need everyone in your department working 120 percent on this for the next month.”

Marketing Director: “Of course.”

GM: “Don’t get me wrong, I think team-building is important, but we just don’t have the time. In fact, I’m going to suspend the weekly in-person brainstorm sessions just for the short-term while we finish this project launch.

Marketing Director: “Uh, ah, I don’t….”

GM: “I’ve asked Pam from North American Operations to create a virtual message board where people can post and discuss ideas as they occur. This will be a global message board, rather than discussions specific to just our division.”

Marketing Director: “Well, okay, if that’s what we need to do, let’s do it. But since people really like the brainstorm sessions, it will be something of a letdown. Perhaps we could incentivize participation in the online groups by hosting an innovation lab or idea contest to generate enthusiasm for the forum?”

GM: “That’s a great idea. Why don’t you reach out to Pam and work it out.”

Scenario 2: E-mail Exchange

This e-mail exchange is between Global Vice President of Human Resources, Robert Engleton, and Global Vice President of Finance, Johann DeGroot.

August 24, 2013 14:22

To: Johann DeGroot, VP Finance

From: Robert Engleton, VP HR

Subject: Next Year’s Budget

Johann,

I’d like to set up a meeting to go over next year’s budget with you. I have some ideas on how we might be able to allocate resources a bit more strategically in order to accomplish some of the goals we set for this year, that clearly are not going to be met with the present resource allocation. I’ve talked to several of the operations managers, and think we could make some big impacts with a few changes. Do you have some time?

—Rob

August 25, 2013 08:32

To: Robert Engleton, VP HR

From: Johann DeGroot, VP Finance

Subject: Re: Next Year’s Budget

Rob,

We really don’t include an itemized discussion of HR and operations budgets at this stage in the process, especially one that sounds as complex and interdepartmental as what you are proposing. Frankly, I doubt we could save more money than the cost in personnel time and labor it would take to figure it out. Just plan to increase your budget request 5 percent across all sectors and let’s move on. We have a lot to do, and as you note, many of our Q3 targets are not looking good.

—Johann

August 25, 2013 12:29

To: Johann DeGroot, VP Finance

From: Robert Engleton, VP HR

Subject: Re: Re: Next Year’s Budget

Johann,

I understand. In that case, I’d like to earmark the additional monies in that 5 percent increase for a company-wide seminar on “Original Thinking: Making Bright Ideas Into Innovative Action Plans.” I’m tired of getting poorly thought out elevator pitches on every idea everyone has ever come up with, half of which don’t have anything to do with the reality of our market. I’d like to initiate some formal training on how to vet and test an idea before it is pitched to leadership so we get more polished and viable suggestions.

—Rob

Scenario 3: Formal Company Meeting

This formal company meeting is with the chief executive officer (CEO), general managers, and operations leads from all divisions in the company.

Operations Lead, Asia: “Sir, thank you for the opportunity to speak. I wanted to raise a major issue for us regarding labor costs in India. There are considerations specific to our plants there that would allow us to save quite a bit of money if…”

CEO: “Look, this is a company-wide meeting. If you have something that will reduce cost and enhance efficiencies—and thus reduce cost further—in your division, do so. I think it’s a waste of time to try to standardize every practice and standard operating procedure we have, or discuss things that are really specific to one group of people. Does anyone have any contributions here at the strategic level?”

Operations Lead, Europe: “Yes, I’d like to discuss changing some of our recruiting and hiring practices in all divisions. I think we need to prepare for future growth better by focusing on what skills we anticipate our managers needing in 5–8 years. We are too big to hire outside managers all the time, and also too big for those managers to learn our issues quickly. We’d do better to hire people less for a specific role now, and more for future roles, or, at least, do so for a portion of our hires.”

CEO: “That’s an excellent point. I like it, let’s do it. Work with the Global VP for HR and have a proposal for us on how we can implement this throughout the company.”

Operations Lead, Latin America: “Excuse me, I’m not sure that’s a realistic strategy for us right now considering…”

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