Innovation Seminar #3 Inventium - Amantha Imber
Creative thinking in most workplaces is probably not a usual part of the day, excluding advertising, the arts, movies and TV or designing video games. Many corporations have policies and procedures in place to maximise productivity and basically stick to the rules. To even question the way a company operates may not always be a good idea for an enthusiastic employee. But for companies to grow and innovate, creative thinking is a key element that has been previously under-utilised in Australian business.
There are many ways to introduce creative thinking techniques into the workplace. Some are simple while others may take time to develop. By encouraging creative thinking in the workplace, employees and employers can benefit from many positive ideas. While not all ideas may be implemented, simply starting the creative thinking process at work can have immediate positive impacts on the business that would not have occurred previously.
Some techniques for creative thinking in the workplace include:
1. Open Mind
The famous quote from Lord Thomas Dewar 'Minds are like parachutes. They work best when open' can be applied to creative thinking in the workplace. By being curious and interested in their surroundings, an employee can look for ways to improve their work or suggest new ways of doing things. A supportive employer could encourage people having an open mind with small rewards or incentives for new ideas. Sometimes the motivation is simply the recognition that a person's new idea works and can be implemented for all to see.
2. Reading
By reading books, magazines, web sites, blogs and newspapers, a person can utilise the thoughts and learnings of many people in a short amount of time. Daily routines of reading one newspaper and one news website can provide links to numerous ideas that may apply in the workplace. Over time, reading news articles can lead to the formation of ideas that fit the workplace or identify opportunities that have worked elsewhere. Copying ideas from one industry and implementing them in another is one benefit that comes from extensive reading.
3. Think Tanks
The use of a Think Tank in the workplace provides a regular venue for the discussion of new ideas and innovations. For example, a Think Tank can be a meeting held every Tuesday afternoon between 5:00pm - 6:00pm where all team members present one idea/innovation to the group for consultation. There is no right or wrong judgement made - just a sharing of opinions and suggestions. Like a brainstorming session, a Think Tank can provide a wide range of views that may lead the organisation in a totally new direction. The success of the Think Tank is only limited by the input from individuals and their level of participation.
4. New Rules
Most large organisations have extensive policies and procedures to ensure compliance with current and old company rules. By deliberately questioning key organisational procedures or strategies, a whole new range of options may develop. Famous American inventor Thomas Edison once said, 'If we did all the things we are capable of doing, we would literally astonish ourselves'. By stepping outside the organisation and re-examining the current status quo, different ways of thinking can transform a workplace from the old ways to the new and innovative.
Companies like Inventium help stimulate creativity while major innovative companies like Apple, Google and Nokia are already using creative thinking with their people. In order for more Australian businesses to succeed locally and internationally, creative thinking will need a greater focus and support from management and the investment community. In the meantime, creative competitors keep on innovating and attracting the attention and dollars of satisfied customers.
Saturday, November 14, 2009
Monday, November 9, 2009
Innovative Thinker Stage #2 Dale Stohr
Alan Tran - CentreCom Frankston
After meeting with Alan and discussing the CentreCom business, I began analysing the company for improvements or innovations. As a 'traditional bricks-and-mortar' retail chain of stores, CentreCom is a high-volume but low-margin business of 9 stores across Victoria and an on-line internet store based at Head Office in Sunshine, Melbourne. By reviewing some of the business from a customer's perspective, I hoped to identify opportunities that would lead to future positive benefits.
My review was divided into different aspects of the CentreCom business:
1. Store Operations
2. Customer Experience
3. Future Strategies
1. Store Operations:
The CentreCom retail store environment consists of:
- an average 50m2 - 100m2 floorspace
- display cases, shelving and floorstack displays
- one long counter with 3 or more checkout/PC registers
- two or more sales staff and a Store Manager/Director
- numerous LCD monitors and PCs showing screenshots, movie trailers or music
Behind the counter are back-of-house offices, a warehouse and a tech area for repairs and customer product orders. With 2 or more I.T. technicians employed, the store is mainly managed as two seperate departments (sales and tech) with employees sometimes working in both depending on customers waiting to be served or technical repairs/builds outstanding. The store Directors oversee both departments across six days a week.
Recommendation:
My first recommendation involves the implementation of a product Category Management I.T. system to automate product pricing, profit management, sales history and category contribution as well as other reporting measures. This would involve the scanning of all product bar-codes (rather than manual pricing/keying) and the creation of a database to record all transactions. This would lead to greater detail of the financials of the business and a better understanding of the trends in consumer/business purchasing behaviour by tracking the sales history of every single product in the CentreCom range. This will lead to increased sales (by having the right product in the store for customers) and increased profits (by reducing human errors in product pricing).
2. Customer Experience:
The current customer store experience involves a person walking in, selecting a product, purchasing it and leaving. Apart from some database records for regular clients or purchasers of laptops or PCs, there is no I.T. system in place to easily record and analyse a customer's personal/business details, product requests, purchasing history, trade discount status or any other information that could be used to help this customer or communicate with them in the future.
Recommendation:
My recommendation is the establishment of a CentreCom V.I.P. Client database to record all current and future clients and using website, email, Twitter and other social networks to keep in regular contact. The creation of a 'CentreCom V.I.P. Club' using Customer Relationship Management systems (CRM) will lead to a direct relationship between the client and CentreCom. This database would promote exclusive discounts, new product pre-orders, special product requests, special event invitations and exclusive competitions as well as regular updates/newsletters, surveys, customer feedback including product reviews and ratings. By rewarding customers and receiving their feedback, CentreCom could improve internal processes while meeting the needs of the market and growing sales and profits.
3. Future Strategy:
The I.T and Retail industries are continually changing and evolving to meet the needs of consumers, businesses and organisations. Technology is constantly improving and driving down costs and competition between retailers is fierce resulting in lower prices and tight profit margins. Australian retailers have had to change to meet customer demands and branch out in other areas previously considered too small or in a totally different market. JB Hi-Fi began selling music CDs and car stereos before building bigger stores and carrying a larger range of goods such as DVDs, TVs, video games and more recently, mobile phones and GPS navigation devices. But services may be the next market for Australian retailers to enter rather than just selling products in boxes (eg. home theatre installations or computer repairs from Gizmo.com.au). In order to stay competitive, CentreCom will need to review its range of products and services and expand into markets where they do not have a presence.
Recommendation:
My recommendation is for CentreCom to continue their current marketing strategy as a 'discount I.T. retailer' but follow JB Hi-Fi's lead to increase product range while improving internal processes and expanding the number of store sites. Increasing the number of store locations will also increase the inventory level of the company but by selecting the best sites, CentreCom can rapidly increase sales and market share. A professional, co-ordinated strategy to grow the business over the short-term (5 years) in the right locations with a new branding campaign into TV, radio and through social networking will lift the profile of CentreCom for home consumers and corporate businesses and government agencies. Increasing product range will draw customers away from the major national retailers like Harvey Norman, Myer and JB Hi-Fi and result in better support from manufacturers in the form of rebates and financial incentives to off-set price discounts. The sooner CentreCom develops a detailed 5-year strategy, the sooner the business can grow in customers and sales.
I will further discuss these suggestions with Alan Tran over the coming months to decide on the final selection of one innnovation/change within CentreCom.
Oct 21 2009 - Meeting with Alan Tran for follow-up
Nov 13 2009 - Meeting with Alan Tran to discuss CentreCom's future
Dec 15 2009 - Meeting with Alan Tran to discuss options
Jan 19 2010 - Meeting with Alan Tran for additional feedback and guidance
Feb 16 2010 - Meeting with Alan Tran to decide best strategy to develop
After meeting with Alan and discussing the CentreCom business, I began analysing the company for improvements or innovations. As a 'traditional bricks-and-mortar' retail chain of stores, CentreCom is a high-volume but low-margin business of 9 stores across Victoria and an on-line internet store based at Head Office in Sunshine, Melbourne. By reviewing some of the business from a customer's perspective, I hoped to identify opportunities that would lead to future positive benefits.
My review was divided into different aspects of the CentreCom business:
1. Store Operations
2. Customer Experience
3. Future Strategies
1. Store Operations:
The CentreCom retail store environment consists of:
- an average 50m2 - 100m2 floorspace
- display cases, shelving and floorstack displays
- one long counter with 3 or more checkout/PC registers
- two or more sales staff and a Store Manager/Director
- numerous LCD monitors and PCs showing screenshots, movie trailers or music
Behind the counter are back-of-house offices, a warehouse and a tech area for repairs and customer product orders. With 2 or more I.T. technicians employed, the store is mainly managed as two seperate departments (sales and tech) with employees sometimes working in both depending on customers waiting to be served or technical repairs/builds outstanding. The store Directors oversee both departments across six days a week.
Recommendation:
My first recommendation involves the implementation of a product Category Management I.T. system to automate product pricing, profit management, sales history and category contribution as well as other reporting measures. This would involve the scanning of all product bar-codes (rather than manual pricing/keying) and the creation of a database to record all transactions. This would lead to greater detail of the financials of the business and a better understanding of the trends in consumer/business purchasing behaviour by tracking the sales history of every single product in the CentreCom range. This will lead to increased sales (by having the right product in the store for customers) and increased profits (by reducing human errors in product pricing).
2. Customer Experience:
The current customer store experience involves a person walking in, selecting a product, purchasing it and leaving. Apart from some database records for regular clients or purchasers of laptops or PCs, there is no I.T. system in place to easily record and analyse a customer's personal/business details, product requests, purchasing history, trade discount status or any other information that could be used to help this customer or communicate with them in the future.
Recommendation:
My recommendation is the establishment of a CentreCom V.I.P. Client database to record all current and future clients and using website, email, Twitter and other social networks to keep in regular contact. The creation of a 'CentreCom V.I.P. Club' using Customer Relationship Management systems (CRM) will lead to a direct relationship between the client and CentreCom. This database would promote exclusive discounts, new product pre-orders, special product requests, special event invitations and exclusive competitions as well as regular updates/newsletters, surveys, customer feedback including product reviews and ratings. By rewarding customers and receiving their feedback, CentreCom could improve internal processes while meeting the needs of the market and growing sales and profits.
3. Future Strategy:
The I.T and Retail industries are continually changing and evolving to meet the needs of consumers, businesses and organisations. Technology is constantly improving and driving down costs and competition between retailers is fierce resulting in lower prices and tight profit margins. Australian retailers have had to change to meet customer demands and branch out in other areas previously considered too small or in a totally different market. JB Hi-Fi began selling music CDs and car stereos before building bigger stores and carrying a larger range of goods such as DVDs, TVs, video games and more recently, mobile phones and GPS navigation devices. But services may be the next market for Australian retailers to enter rather than just selling products in boxes (eg. home theatre installations or computer repairs from Gizmo.com.au). In order to stay competitive, CentreCom will need to review its range of products and services and expand into markets where they do not have a presence.
Recommendation:
My recommendation is for CentreCom to continue their current marketing strategy as a 'discount I.T. retailer' but follow JB Hi-Fi's lead to increase product range while improving internal processes and expanding the number of store sites. Increasing the number of store locations will also increase the inventory level of the company but by selecting the best sites, CentreCom can rapidly increase sales and market share. A professional, co-ordinated strategy to grow the business over the short-term (5 years) in the right locations with a new branding campaign into TV, radio and through social networking will lift the profile of CentreCom for home consumers and corporate businesses and government agencies. Increasing product range will draw customers away from the major national retailers like Harvey Norman, Myer and JB Hi-Fi and result in better support from manufacturers in the form of rebates and financial incentives to off-set price discounts. The sooner CentreCom develops a detailed 5-year strategy, the sooner the business can grow in customers and sales.
I will further discuss these suggestions with Alan Tran over the coming months to decide on the final selection of one innnovation/change within CentreCom.
Oct 21 2009 - Meeting with Alan Tran for follow-up
Nov 13 2009 - Meeting with Alan Tran to discuss CentreCom's future
Dec 15 2009 - Meeting with Alan Tran to discuss options
Jan 19 2010 - Meeting with Alan Tran for additional feedback and guidance
Feb 16 2010 - Meeting with Alan Tran to decide best strategy to develop
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