Lucretia M. Taylor
Leading Innovation in a Global Organization
76 Highland Court
West Haven, CT. 06516
Instructor: Dr. Douglas Buck
Leadership by Innovation Delivering and making short-term profits signaled success for leaders. Globalization, economic uncertainty, and rapid advancing technology in the 21st century have set the stage for a new type of leadership. Today, investors are less concerned with past performance, but with future innovation. Sustainable innovation starts with the leadership of the organization. Proctor and Gamble is an innovative leader. The following is an analysis of the leadership qualities that create …show more content…
Through these ways, innovators know that experimenting is often the only way to generate the data require to ultimately achieve success” (Dyer, Gregerson, & Christensen, 2011, p. 151).
The Case: Proctor & Gamble (P&G)
The Organization Proctor & Gamble (P&G) founded in 1837, by two brothers-in-law, William Proctor and James Gamble entered into business together at the suggestion of their father-in-law. Their first branded product was Ivory Soap. 175 years later, the multinational consumer goods company remains headquartered in Cincinnati, Ohio, with a reported 121,000 employees selling their products in more than 180 countries and territories (P&G Annual Report, 2013, p. 13).
P&G is structured in an inverted organizational pyramid (appendix A), where the “support functions and executives [are] accountable to frontline workers, rather than the other way around” (Nayar, 2010, p. 113). This assists P&G
Innovative Leadership Initially, P&G had a closed innovation policy in which the only ideas were created internally. In 2001, A.G. Lafely introduced an open policy called Connect and Develop (C&D). This model set the standard that 50% of all innovations would come from outside the organization. The C&D “model generated ideas from scientists, engineers, inventors, entrepreneurs, and individuals outside the company” (P&G used the network of 70 technology entrepreneurs around the world to develop and identify consumer