MHRIT002 Leading Innovation and Change Essay 4 Sample

MHRIT002 Leading Innovation and Change Essay 4

Assignment Details

The purpose of this assignment is to encourage students to research and understand a concept of Corporate entrepreneurship. In particular students will be required to apply their understanding of a particular to practical application in a company scenario.

At the heart of this project is preparing an essay based on.

a. researching a topic from one of the concept as identified below
b. and identifying a company’s where the application of the concept is prominent.
c. Explain how the company has applied the concept in relation to Corporate Entrepreneurship

For this assignment you will work in groups of two members and research one of the following topics:

Choose from the following topics in relation to Corporate Entrepreneurship and Information technology and Communications (ICT)

• ICT Innovation

• Enhancing the customer experience through ICT innovation

• Digital transformation

Your Research

Carry out research into the one of the above topics

o Quality research across allocated to a team will be required to achieve quality deliverables.

o This will require both:

▪ secondary research

▪ identification of a company in which the topic of research has been applied

o Areas that should be considered are:

▪ History - where the company started, expansion, business model changes Corporate structure and the way company has been setup around the world and how this has changed over time 300 words maximum

▪ Challenges the company has faced as they have grown, implications e.g. legal, fines etc and how these have been addressed e.g. reviews, new processes, revised structure etc

▪ The degree or measure of Corporate Entrepreneurship, Entrepreneurial Orientation, Entrepreneurial Intensity using ICT

▪ Draw conclusions from this research

▪ Research provides the basis for insights and conclusions. Areas to consider are: The changes that have occurred over time as the company has grown

▪ Insights into the level of ICT innovation Entrepreneurship in the company as it has grown

▪ Insights, observations etc about how the company could enhance their level of entrepreneurship and use of ICT

Guidelines on Format

A suggested high-level format is as follows.

1. Context/Introduction
o Research
o Conclusions

2. Analysis

3. Overall Conclusions

Solution

1. Introduction

In the essay, corporate entrepreneurship and information technology & communication, the field-specific discussion is developed. Specific attention is given to ICT innovation in the chosen company of the Australian market. Qualitative research is progressed that informs about the chosen Woolworth’s details and history of the business. In critical aspect their facing challenges and ways to overcome those are included in this essay discussion. By this depth information, a knowledge about corporate entrepreneurship in terms of ICT application is reflected. The changes Woolworth faced in the past few years to ensure its market position are discussed in this essay.

1.1 Research

1.1.1 Overview of the Woolworth

The journey of Woolworths was noticed in 1924, when they opened the first store in Sydney, Pitt Street of Australia. Value of making business operation unique owner of Woolworth adopted dynamic store policies. The first branching out was in 1927 in Brisbane, Queen Street which elevated to 300 stores within 1959 (Woolworth, 2024). Following this strategic mindset, Woolworths currently operates with a market capital of $26.3B where their reported revenue growth was 5.6% in 2023 (Global Data, 2024). This retail company operates with 201,000 employees which enhances its scope for leading in the wider business market. A locally owned public company is Woolworth and their revenue streaming sources are supermarket retail sales, general merchandise & others. The passing year of business and the adoption of a change of demand impact the current use of the change business model. The use of a strategic framework that aligns with divisional and functional strategy ensures their over-year goal achievement. In this leading discussion of changes adoption, Woolworth remarked on as revolution of their digital transformation and integration of technology. Some of their innovations include digital evolution, user-friendly mobile apps, and online platform efficiency (Vizology, 2024). As in this essay, ICT innovation is focused on and aligned with Woolworth's changes that reveal the use of a personalized marketing drive.

Figure 1: Corporate Governance Framework of Woolworth
(Source: Woolworth, 2024)

In the above figure, corporate governance of Woolworths is presented showing their value towards the future. They always keep their journey purpose-oriented for that they adopt better experience creation to make tomorrow better. The strategy Woolworth use to keep their journey worldwide is mostly theme-based. Some of the adopted initiatives are value creation at Country Road Group, fashion and growth beauty & home improvement, data data-driven decision-making (Woolworth, 2024). By this for MBA assignment expert they make the journey wider for Woolworths with a better competitive position.

1.1.2 Conclusion

Critical research on Woolworth's performance and strategic dimension of business a reflection of their corporate entrepreneurship is presented. Their unique business values and purpose-oriented business plan always push the growth toward a wider market. From 1924 to 2024 different changes they have adopted to ensure market competitive position. Even determining the changes Woolworth developed throughout the business year reflected that innovation is the only key drive to lead with success. Looking at the strategic approach Woolworth adopted for business positively leads the route for constructive growth for ICT innovation. Throughout the research clarity about business strategy and ways to lead the future is understood.

2. Analysis

2.1 Identified Challenges Company Has Faced

Illusion of discount a legal issue

The first challenge is about legal suits, against Woolworths for their discount illusion filed by customers. In this lawsuit, cases are filed for supermarket giants of Australia as they mislead customers in periods of rising interest rates, and another cost of living. In another lawsuit it was claimed that Woolworth kept their product price the same for almost 2 years on that they added more price just to represent a price drop by decreasing that change value (Business Standard, 2024). Using this approach for advertising over sales makes the pressure high on Woolworths based on customer misleading even that reached to the extreme of paying a penalty. The result of this misleading approach causes potential fines for consumer law A$50 million (Business Standard, 2024). Around 30% of the turnover needs to be paid for that period of wrongdoing by supermarket Woolworth. The main motto is to prevent the occurrence of this type of incident that breaches consumer safety in Australia. Without transparency in business leading to a higher rift can even destroy the scope for business sustainability.

Failure of Australian ERP an implement issue

According to Baumann (2021), as the largest supermarket chain in Australia Woolwort operates around 1000 locations with which they are dealing with 115,000 employees. Considering their distribution and market expansion they felt the need to streamline operations to ensure efficiency. Based on that they decided to implement SAP which was $200 million in 2009 however that relates to failure in 2015. In this implementation, one of the major faults of using an old legacy system is that leads to a loss of $766 million (Baumann, 2021). In the process of upgrading the existing system of Woolies that was built 30 years ago a longer time is involved. Apart from that the whole implementation took almost 6 years to complete but the final outcome seems as though everyone's anticipation was shifted. The associated flaws link with software errors that impact sales still now Woolworth deal with. Flaws of accounting oversight and facing errors makes the impact for inefficiency faced by Woolworth.

Both of the identified challenges are faced by Woolworths in the journey of their expansion and change handling.

2.2 Discussion on the Way of Addressing

In the first challenge of the lawsuit, Woolworths adopted the way of reviewing the claim and committing to stay connected with ACCC (Australian Competition and Consumer Commission) (Reuters, 2024). In this case regarding Federal government of Australia claimed that they could impose a billion dollars in fines for big chain supermarkets if they failed to comply with the code of conduct. Woolworth's business strategy works by creating a better experience for those facing these issues and using a review approach shows responsibility (Woolworth, 2024). It is essential for the company to take care of any legal issues of customers objection so that they can keep the business journey transparency in market competition. In the first challenge the issue of misleading customers is linked for that a risk for future profit may arise still the responsive attitude they showed for issue makes the positive significance for business.

On the other hand, in the second challenge of implementation failure, they faced huge trouble investing time and resources in the wrong area. Even that is linked with future risk for Woolworth's long-term business journey. The solution they picked for this issue is partnering with SAP services as a subject matter expert and as an applications integrator with TCS collaborates. Adopted collaborated partnership with TCS and subject matter expert creates the opportunity for Woolworth. Furthermore, to open a unique design that can overcome previous flaws of SAP implementation. Looking at the details in phase 1, 80 product categories that are linked with 2000 stores are used for promotional analysis (SAP, 2024). The use of the SAP UPDP solution implemented by Woolworth shows the efficiency of a sophisticated engine that is performed in the use of machine learning. The innovation and creative approach Woolworth used for SAP failure brings the opportunity for their new growth. On the other hand, looking at the impact that comes from the solution adopted for SAP failure is additional accuracy as well as quality for Woolworth's performance. The role of business analytics in emerging self-sufficiency adds confidence for handling data quality through causes of anomalies.

2.3 Application of ICT to Measure Woolworth Corporate

In purpose of enhancing the level of entrepreneurship role of SAP tech at Woolworth is significant. The application of this technology is widely spread including business processes, management of inventory systems, and even customer relationship management. The unique approach SAP brings to Woolworths enhances the way to embrace innovation for ICT (Cadestin et al. 2021). Additionally, the significant value this collaboration holds for technology award SAP ANZ shows the importance of technology innovation to run business successfully. The reason for considering this world worth 15 years of togetherness is because it transformed the previous way of linking up with customers. In the presence of SAP, many functions of Woolworth enhance the efficiency including its finance, procurement, and customer management. One of the leading causes of embracing innovation is to lead up with the market demand for innovation to stay with its competition.

The detailed discussion on ICT innovation it has been found Woolworth made their position through received awards. In 2020 they received the Chris O Brein award whereas SAP technology added one more social superhero tag to them (Alibangbang, 2022). These small examples of being a technology-advanced company their revolution stayed unique. Adding on more innovation Woolworth brings an e-gift card to hold on employee satisfaction from their services. The presence of Woolworth kindness cards through hybrid platforms emerges the entrepreneurial value they pose for ICT use. On the other hand, Woolworth comes with a plan for cloud transformation that decisions include the best approach through migration. The specific returns Woolworth received from innovations are rising sales, a seamless inventory order, and efficient operating flow. Alibangbang (2020), stated that the transformation managed by SAP to Microsoft Azure enhances the flexibility as well as stability of performance. As per Merzel et al. (2023), the sip of being the stable innovation transformer is a collaboration of SAP and Tata Consultancy Services. One of the vital observations this critical analysis reflected about Woolworths is that they worked on efficiency and accuracy.

The trend of serving a better experience which is the value of corporate entrepreneurship is followed by the assistance of Microsoft. In this journey of transformation, Microsoft provides a cloud technology backbone that can add strength to make the infrastructure evergreen (Microsoft News Centre, 2020). Additionally, process streamlining through meeting customer satisfaction becomes easy to obtain for Woolworths. As they used Azure for their offerings that makes the platform performance better.

Enhancing ICT using further

In comparison with Tesco one of the competitors of Woolworth developed ICT innovation through digital menu boards, self-ordering kiosks. In case of Woolworth if they adopted this innovation further a scope for better customer satisfaction is generated. On the other hand, Tesco developed fine tune customers experience as well as generative AI that enable customers behvaiours understanding and fraudulent mitigation (Globe Newswire, 2024). In case of Woolworth, they can receive the safety for their investment and a potential loyal customer base is developed. Another competitor is Walmart that leads the ICT innovation by using people led and power tech organization approach (Walmart, 2024). As their target is being resilient in digital era so if Woolworth also adopted this technology a scope for positive innovation driving is developed.

3. Overall Conclusion

The critical analysis through observation predicts that, challenges are the most common things in business. Maybe the challenges pattern varied with the business flow still the responsive attitude makes the way to overcome. The first challenge is about legal suit that even makes the conditions of paid penalty. Though the situation was not in favor still the review approach adopted by Woolworths made the positive hope for outcome. On the other hand, the failure of SAP implementation is also analyzed to enable us to understand the causes of failures. Based on that collaboration Woolworths adopted SAP the benefits for sales elevation, stability of operations, and many more. However, corporate entrepreneurship through ICT implementation is explored that define the advanced strategy Woolworths followed. Even that received the award and newly developed potential enhances the sustainability of the business.

References

Alibangbang. (2022). How SAP Tech Plays a Key Role in Woolworths Group’s Business. Retrieved from: https://insidesap.com/how-sap-tech-plays-a-key-role-in-woolworths-groups-business/ (Accessed on: 1st November, 2024)

Baumann. (2021). Lessons Learned from the Woolworths Australia ERP Failure. Retrieved from: https://www.panorama-consulting.com/woolworths-australia-erp-failure/ (Accessed on: 1st November, 2024)

Business Standard. (2024). Australia sues grocery giants Woolworths, Coles over illusory discounts. Retrieved from: https://www.business-standard.com/world-news/australia-sues-grocery-giants-woolworths-coles-over-illusory-discounts-124092300131_1.html (Accessed on: 1st November, 2024)

Cadestin, C., Jaax, A., Miroudot, S., & Zürcher, C. (2021). Multinational enterprises and intangible capital. https://www.oecd-ilibrary.org/science-and-technology/multinational-enterprises-and-intangible-capital_6827b3c9-en

Global Data. (2024). Woolworths Group Ltd: Overview. Retrieved from: https://www.globaldata.com/company-profile/woolworths-group-ltd/ (Accessed on: 1st November, 2024)

Global Newswire. (2024). Tesco Retail Digital Transformation: In-depth Insights on Tesco Plc's Tech-Driven Strategies and Innovation Endeavors. Retrieved from: https://www.globenewswire.com/news-release/2024/01/12/2808670/0/en/Tesco-Retail-Digital-Transformation-In-depth-Insights-on-Tesco-Plc-s-Tech-Driven-Strategies-and-Innovation-Endeavors.html (Accessed on: 4th November, 2024)

Merzel, A., Bismuth, S., & Arica, Z. (2023). A Collegiality Model for Teacher Disciplinary Professional Learning Communities.https://osf.io/preprints/edarxiv/r84ps/
Microsoft News Centre. (2020). Microsoft to support Woolworths’ next phase of cloud transformation. Retrieved from: https://news.microsoft.com/en-au/features/microsoft-to-support-woolworths-next-phase-of-cloud-transformation/ (Accessed on: 1st November, 2024)

Reuters. (2024). Australian regulator sues Woolworths and Coles over discount pricing claims. Retrieved from: https://www.livemint.com/news/australian-regulator-sues-woolworths-and-coles-over-discount-pricing-claims-11727050896779.html (Accessed on: 1st November, 2024)

SAP. (2024). SAP Australia and New Zealand Best Run Awards 2024. Retrieved from: https://www.sap.com/bin/sapdxc/proxy.inmsl.attachment.4604.17167.pitch-deck.pdf (Accessed on: 1st November, 2024)

Vizologi. (2024). Why Woolworths’s Business Model is so successful? Retrieved from: https://vizologi.com/business-strategy-canvas/woolworths-business-model-canvas/#:~:text=Digital%20Transformation%20and%20Technological%20Integration,the%20burgeoning%20demand%20for%20eCommerce. (Accessed on: 1st November, 2024)

Walmart. (2024). Global tech. Retrieved from: https://tech.walmart.com/content/walmart-global-tech/en_us.html (Accessed on: 1st November, 2024)

Woolworth. (2024). 2024 Corporate Governance Statement. Retrieved from: https://www.woolworthsgroup.com.au/content/dam/wwg/about-us/documents/Woolworths%20Group%20Corporate%20Governance%20Statement%202024.pdf (Accessed on: 1st November, 2024)

Woolworth. (2024). Our history. Retrieved from: https://www.woolworthsgroup.com.au/au/en/about-us/our-history.html (Accessed on: 1st November, 2024)

Woolworth. (2024). Our Purpose. Retrieved from: https://www.woolworthsgroup.com.au/au/en/about-us/our-approach-/our-purpose--key-priorities.html (Accessed on: 1st November, 2024)

Woolworth. (2024). Our Strategy. Retrieved from: https://www.woolworthsholdings.co.za/overview/our-strategy/ (Accessed on: 1st November, 2024)