MGT 495 Week 2 Assignment

MGT 495 Week 2 Assignment

Introduction

The objective of this writing is to answer the question of the audit exercise of chapter 3 and 4. The business that has been selected for this purpose is AT&T. The scenarios which are given in the questions will be applied to the business and evaluation will be done.

Audit Exercise: Chapter 3

Key resources for AT&T to effect innovation

The AT&T in order to effect innovation has to understand the dimensions of the technological environment in which it is operating. The technological environment keeps on changing and the company has to wait till such time as the business opportunity pops up. They have to focus and make improvement in the existing technology and have to come up with new technology which can be effectively utilized in making innovative products that can differentiate the company among its competitors (Kalmanek, 2012).

Possible hindrances in pursuing innovation

The external environment of AT&T can pose hurdles in the way of company to achieve innovation. Due to the intense competition, competitors will try to outdo each other, Therefore, timely action to seize the opportunity by the business if it wants to make innovation in its products and services. The political and economic environment can also be a hindrance for the company in order to achieve innovation it they are unfavorable for the company. Moreover, rapid technology shift can also create problems in formulating a strategy for the business.

Difference between Technology & Innovation

Innovation is a process in which technology is being used while developing and creating unique products and services for the customers. Technology is just a tool which brings about innovation. Innovation creates new solutions which meet the requirements of business needs. It can be attained through improving and make changes in the processes, services and technologies. Technology and innovation are interrelated. Technology begets innovation through utilization of resources. The changing technology with the passage of time provides opportunities to the business to make innovation in their products and services.

New Creation and Change in Innovation

New creation is something which has been newly developed and never existed before. It is also innovation because it is a unique thing. New creation is possible because of the resources such as technology. However, change is referred to make improvements in the existing products and services. It is not innovation as the thing already existed. Mere improvement does not count as an innovation in the business. The AT&T encourages its employees to bring new ideas that can be developed into a new creation.

Factors influencing Innovation

Innovation is influences by many factors such as culture, government policies and resources. The innovation will take place if the governmental policies are favorable towards the industry and it does not impose stringent measure that can discourage companies to bring innovation. Culture of the country also influences the innovation, in fact, people decide what innovation they are seeking and companies bring such innovation as suggested by the people who belong to certain culture. The favorable policies of the government towards the organizations to ...