Managing and Executing Innovation Effectively in Large-Scale Distributed Organisations: A Case Study

Abstract: Background. The need for innovation is clear since it can be viewed as one of the few lasting sources of competitive advantages for a firm. Firms with large sub-organisations need to be able to manage and execute new changes effectively, and to be able to stay competitive the firm needs to change and be more innovative. Innovation is a big factor in economic prosperity. In addition to economic development, an innovative process affects other aspects of an organisation and may even create new markets. The process, if correctly implemented and used, creates a more sustainable internal environment. Objectives. This research aims to evaluate a proposed innovation process, investigate how a sub-organisation with already set ways of working can implement a new innovation process, what factors may affect the implementation and what engages and motivates the employees within the sub-organisation. What is it that makes the change hard for some and what needs to be done for them to feel motivated and engaged. Methods. In this thesis we did a case study at a software firm which is divided into large-scale global sub-organisations. We used interviews in a chosen sample group, a survey was sent out to the whole sub-organisation, and a literature review and benchmarking were conducted. The data analysis was to categorise the answers and compile the data. Results. The proposed process is well thought through, and it is based on design thinking and agile principles. Implementation of an innovation process requires a strategic plan, and the findings were Kotter’s 8 steps which is a change model. Time is the biggest obstacle for employees. The factor that motivates and encourages the employees the most is to create value for the firm where they work and to be recognised. Gamification is a type of tool that can help engage the employees. Conclusions. For a large firm it may be beneficial to have a strategy to allocate time to innovation. An innovation process needs to have clear instructions and it should be iterative since many firms work in an agile way it needs to be able to fit into the organisation type. A multinational large firm requires a fixed strategy when wanting to implement a new process and a strategy for change and engaging the employees is one possible way to execute and manage change and innovation effectively.