Introduction
Innovation management is an interesting topic that has been actively discussed by scientists over the last few years. It is a set of activities that are focused on research, development and implementation of new technologies and techniques. It is extremely necessary to understand the role and significance of this process for every company. The introduction of new technologies may help the organization to gain an enormous advantage over competitors in the market, and this fact should not be disregarded. Competitive advantage is essential because it can be used to expand the production, and new customers may also be attracted.
Innovation Management
CEO plays a significant role in the whole process, and it is important to understand that leadership skills are necessary for the success of operations. This aspect needs to be considered if one wants to make sure that innovation management is efficient. It is also imperative to note that some of the factors that influence the introduction of changes are still not understood because they are incredibly complex (Hajdini 7). Nevertheless, CEO must acknowledge the fact that it is paramount to create an environment in the organizations that would allow employees to voice their opinion about new technologies and other aspects that associated with innovations. Innovation manager should be competent and qualified for the job because this position requires a broad range of skills. Knowledge about numerous aspects of the industry is also necessary.
One of the most significant issues that often occur is that innovations are not considered during the development of the company’s strategy, and it creates a conflict (Satell par. 4). It is paramount to note that it is hard to measure the risks that are associated with the implementation of some projects, and one of the most significant tasks of innovation manager is to make sure that a program gets approval from higher-ups. Such professionals must operate on various levels because communication is imperative for the success of the process. The biggest problem is that sometimes it is hard to justify the need for such activities, but it can be seen that some of the activities often provide outstanding results.
Monitoring and assessment are also essential, and they should be regularly performed to avoid any issues with scheduling. Resource restraints may severely complicate the whole process, and the company will not be able to maximize the effectiveness of innovations (Zacharias 16). The biggest responsibility of innovation manager is to pick the programs that are expected to be the most efficient and will not become a liability for the organization. Employees must be prepared for implementation of new technologies, and sometimes it is necessary to conduct a piece of training to increase the overall performance. Internal and external factors have an enormous influence on the innovations, and it is imperative to develop a system that would help to collect information (Sattler 18).
ADNOC
Abu Dhabi National Oil Company (ADNOC) is one of the leading oil corporations in the world that has been actively expanding ever since it was founded in 1971. The company provides a range of services that are associated with petroleum products such as marketing, transportation, manufacturing, and others. It is known for its unique approach to innovations and new technologies and has won numerous awards for its achievements in this sector. The fact that it sponsors numerous studies and researches that focus on advanced energy is also essential because it shows that ADNOC is willing to contribute to the overall development of the industry. Also, it often helps with organization of numerous conferences and actively participates in discussions with customers. It is paramount to note that the company has a significant contribution to the economy of the country.
Creativity
The firm is extremely creative and understands that it is necessary to maximize the benefits of technologies that are currently available. Mobile applications can be viewed as an example. Their use it still limited in this sector, but ADNOC recognizes that such technologies have an enormous potential, and can be used for communication and other operations. They are incredibly easy to use, and it is one of their strongest points. The possibilities that are available are limitless, and it is likely that some of the applications will revolutionize this industry. The department that focuses on technologies has developed a broad range of programs for employees and managers. They help to minimize the expenses on operations because some of the tasks that required a significant amount of time are performed much faster.
Possible issues with data security are also considered, and the company takes necessary measures such as latest methods of protection to make sure that information is confidential. The fact that the company has an enormous amount of resources is imperative because they can be used for a broad range of activities that support creativity and innovation in the workplace. The company had developed numerous relationships and connections with other states. The employees often participate in courses and pieces of training in other countries. It needs to be said that it helps to utilize the knowledge and experience of others enterprises that operate in this sector. Activities that focus on leadership development are used to make sure that professionals can manage operations and use new technologies. The culture of innovation is actively promoted, and employees are participating in the process.
The biggest difference from other firms that should be noted is that ADNOC supports nationalization because it is paramount to make sure that residents of the country are assigned as supervisors. Representatives of the firm visit all biggest conferences because it is necessary to keep track of latest innovations in the industry. Creativity may also be seen in advertisements and promotional materials that are developed by the company. ADNOC Headquarters is a building that is still being constructed, but it should be said that its design is extremely innovative, and some of the new technologies were used during the planning.
Internal and Collaborative Innovation
The company heavily invests in both technologies and people (Mills 6). It is critical because well-trained professionals will be able to guide the process of implementation of innovations, and it will be extremely beneficial for the firm in the long-term. The introduction of new technologies has played a significant role in the development of petroleum industry because it has helped to obtain resources much faster, and this is paramount with increasing demand for such products in the whole world. It is also necessary to say that the company strives to minimize the harm that is caused by emissions because it views the possibility of climates changes as significant global threat that needs to be taken into account during operations. It is also necessary to say that the fact that an agreement with Technology Development Committee (TDC) was signed in 2014 is imperative because a set of processes to guarantee the safety of intellectual property will be developed.
It is so important because employees will be able to protect their rights when they offer ideas, and this should not be disregarded because they may actively participate in the process of innovation. It will become much easier to manage patents and other documentation, and professionals will be able to evaluate the benefits that are associated with such suggestions. It is hard to argue with the fact that some risks that are related to such programs are always present, but it is necessary to understand that they should be taken to achieve the overall growth of the firm. The company makes sure that the latest available equipment and vehicles are used to increase the speed of operations. ADNOC also actively collaborates with other enterprises.
Borouge is one of the best examples that need to be discussed. This joint venture with an Australian company is focused on the development of innovative plastic products. The manufacturer has significantly increased its production capacity over the years, and now it can produce close to 2 million tons of products. One of its initiatives has a goal to make sure that the issues with water supply in some regions are addressed. The company understands that this problem needs to be solved globally, and requires the attention of international community. Also, it uses some of the methods that were developed by other enterprises such as Benfield-HiPure process (Berrouk and Richard 20). It needs to be said that various expansion projects are also planned. ADNOC is ready to build relationships with companies that offer innovative products and services.
Recommendations
One of the most important aspects of innovation management planning is to determine the goals. Any issues that are present must also be considered because it is necessary to look for possible solutions. Petroleum industry currently faces some challenges such as an increase in demand, availability of resources, and others, and their presence should be viewed as a significant factor because it affects all the companies that operate in this market. Development of new technologies should help to address some of these problems. The fact that the company often focuses on technologies that can be used to preserve the environment is essential. This aspect is incredibly important and should be taken into consideration during the planning. Enterprises that operate in this sector are often criticized by the community, and it is paramount to develop new methods that can be used to deliver the information about safety measures that are taken to the population.
It is extremely necessary to keep track of trends in the industry to make sure that new technologies and methods that are being introduced are taking into account during the development of strategies. One of the most vital aspects that need to be addressed is that the demand for gas is expected to grow at incredibly fast rates, and it will not be possible to satisfy the needs of customers with technologies that are currently available. One of the potential ways in which the company may improve the effectiveness of its operations is an introduction of tools that are used to analyze big data. The company has a department that focuses on new technologies, and a possibility of development of software that would be able to see correlations between the factors should be considered. Some alternatives are currently available on the market, and many companies offer similar services.
However, it would be efficient to create a program with unique algorithms that may filter out the information that is not necessary. It is important to understand that the workforce can be viewed as a valid source of ideas. The company should focus on this factor, and it is necessary to educate employees about all of the aspects of the implementation of innovations. Innovation manager needs to make sure that workers have all necessary tools to express their opinions. Such activities are quite beneficial for enterprises most of the time, and CEO needs to support such attitude. It is necessary because such information can be analyzed and used to figure out the areas of the business that must be addressed. The fact that ADNOC works with subsidiary companies is also significant and should not be disregarded because it may complicate the implementation of innovations.
The enterprise should develop a framework that would help to deliver all the necessary data, and a division that help with the introduction of such programs needs to be established. One of the essential factors that are not often mentioned is the importance of technologies and techniques that are associated with maritime transportation, and it is necessary to focus on technologies that can be used to resolve the issues that may occur. Alternative energy is also viewed as significant threat to the industry, and it is necessary to develop new strategies and methods to stay competitive. It needs to be said that some of the employees have stated that there are some issues with safety. This aspects needs to be addressed, and new technologies should make operations less dangerous. New drilling methods are always being introduced, and it is necessary to educate the workers about particular aspects of such techniques. It is also important to make sure that there are no constraints that would limit the innovations in the company. Overall, it is paramount to focus on the environment of the enterprise and the most significant problems of the industry.
Conclusion
In conclusion, it is hard to argue with the necessity of innovation management for every single company. It is especially true for firms that operate in the petroleum industry because it is essential for the economy of the country. However, it is necessary to understand the risks that associated with innovations. One of the problems is that some projects may not be efficient, and it is important to make sure that the expenses are reasonable because it may affect the stability of the company. It is also important to understand legal aspects because some complications may occur if there is an issue with patents or documentation. Nevertheless, ADNOC has all the necessary resources to support innovation systems. The company has been extremely successful over the years thanks to supervision, leadership skills and experience of owners. Overall, it is imperative to consider both internal and external factors such as economic situation, the environment in the company, and other before making decisions that are related to innovation management.
Works Cited
Berrouk, Abdallah S., and Richard Ochieng. “Improved Performance of the Natural-gas-Sweetening Benfield-HiPure Process Using Process Simulation.” Fuel Processing Technology 127.1 (2014): 20-25. Print.
Hajdini, Ilir. Innovation Management: The Leadership Role of the CEO. Munich, DE: GRIN Verlag, 2010. Print.
Mills, Robin. “Challenges at the Frontier of Oil Technology.” AFAQ 4.6 (2014): 4-15. Print.
Satell, Greg. How to Manage Innovation. 2013. Web.
Sattler, Markus. Excellence in Innovation Management. Wiesbaden, DE: Gabler. 2011. Print.
Zacharias, Nicolas. An Integrative Approach to Innovation Management. Wiesbaden, De: Gabler Verlag. 2011. Print.