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Creativity and Innovation Analysis

Running head: CREATIVITY AND INNOVATION 1
Creativity and Innovation
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CREATIVITY AND INNOVATION 2
Executive Summary
In this fast-changing economy, creativity and innovation feature among the key agendas of
many corporate organizations. Companies have realized the need for using creativity and
innovation as part of their competitive strategies. There are various imperative reasons that
compel individuals to be more creative, and also makes organizations to foster a culture that
promotes creativity and innovation. This paper strives to provide an analysis of various
concepts that relate to creativity and innovation. It also provides a case analysis of the
theoretical concepts that are applicable at Google Inc. It is essential to evaluate the overall
impact of creativity and innovation at an individual as well as at an organizational level. The
focus of creativity in many organizations revolve around unleashing the potential of
employees to formulate new ideas that can be beneficial to the organization. Certain key
drivers influence creativity and innovation among individuals and organizations.
CREATIVITY AND INNOVATION 3
Table of Contents
Executive Summary ................................................................................................................... 2
1. Introduction ...................................................................................................................... 4
2. Individual-level Creativity ............................................................................................... 4
2.1 Amabile’s model of creativity................................................................................... 5
2.2 Little-C creativity ...................................................................................................... 5
2.3 Creative contributions .............................................................................................. 5
3. Imperative of Innovation ................................................................................................. 6
4. Theories of Creativity and Innovation............................................................................ 6
4.1 Diffusion of innovations ............................................................................................ 6
4.2 Schumpeter’s creative theory of destruction .......................................................... 6
5. Models of Innovation ........................................................................................................ 7
5.1 Market model............................................................................................................. 7
5.2 Technology model ...................................................................................................... 7
6. Google Inc. Innovation and Creativity Analysis ............................................................ 8
7. Conclusion ....................................................................................................................... 11
References ................................................................................................................................ 12
CREATIVITY AND INNOVATION 4
Creativity and Innovation
1. Introduction
In the contemporary world, the success of many businesses is driven by their level of
creativity and innovation. Creativity is depicted as the capability to conceive unique and
original ideas. Creativity relates to a combination of being imaginative, knowledgeable, and
being an evaluator. The greater one's’ knowledge is and their curiosity level, the more the
ideas they can formulate, and the more creative they become. Creativity can be learned
through someone's ability to comprehend things with rarer and exclusive perception. For an
individual to be creative, they have to brainstorm and think beyond their ordinary imagination
to come up with something worthwhile. Innovation refers to translating an invention into a
product or a service which is of high value. Innovation entails taking the created ideas and
converting them into something useful. To get proper insight on the topic, this paper seeks to
evaluate the various theoretical concepts of creativity and innovation and analyze the
concepts as applicable at Google Inc.
2. Individual-level Creativity
Various organizations undertake different types of creativity and innovation at
different levels to enrich their operations. The level of creativity can be at an individual level
or that of the overall organization. Organization level creativity entails general learning
processes that enable a company to use existing information to formulate better use of it to
adapt to future events (Dawson & Andriopoulos, 2014). Individual-level creativity relates to
focusing on creativity on a personal level, hence relates to personal employees. A creative
employee is highly likely to recognize new needs within their organization and help to solve
problems more effectively. Creative people share traits such as being attracted to complexity,
intuitive, and they are tolerant of ambiguity. Some of the essential aspects of individual
creativity include creative contributions, little-c creativity, and Amabile’s model of creativity.
CREATIVITY AND INNOVATION 5
2.1 Amabile’s model of creativity
According to Teresa Amabile’s model, creativity is usually influenced by four
aspects, which are: domain-relevant skills, a task’s motivation, the social environment, and
the creativity relevant process. According to the model, the four components determine
whether creative insight is likely to occur. The domain-relevant skills relate to the technical
skills and the knowledge which is possessed within the domain. A creative-relevant process is
a methodology that an individual can use to solve a given problem. This process can be
learned and mastered. Task motivation is the passion within someone or their willingness to
engage in a new idea. According to Černe, Jaklič, & Škerlavaj (2013), the social environment
is an external factor since it exists outside one’s body. It mainly relates to the working
environment of a person. According to Amabile’s model, the four factors determine an
individual’s level of creativity.
2.2 Little-C creativity
Many employees depict little-c creativity. This is a type of creativity that involves
mini innovations which are made on a daily basis. Little-c creativity is found in many people,
and it is often used as an indicator of having stable mental health since it is used in solving
problems that arise daily. In many occasions, little-c creativity is usually inspired by
someone’s surroundings. This, for instance, can include an employee coming up with an idea
for improving a given task (Johnstone, Pairaudeau, & Pettersson, 2011). This type of
creativity can be cultivated by developing one’s insight outlook and also becoming more
conscious of the consequences of utilizing certain information.
2.3 Creative contributions
The creative contribution focuses on the level of creative performance of an
individual when isolated from a group. According to Amabile (2012), creative contribution
primarily entails three components: formulation of an idea by an individual within a team or a
CREATIVITY AND INNOVATION 6
group, promoting the creative performance among other members of the group and then
stimulating or increasing the creative energy among the rest of the group members.
3. Imperative of Innovation
Innovation is imperative for the survival and excelling of many organizations. In any
type of business, innovation helps in solving various problems. When problems arise, an
organization that has brewed a culture of innovation is likely to solve the problem faster since
employees can think beyond their ordinary imagination. Innovation also helps to boost the
level of productivity at an organizational level. Innovation makes people think more
creatively and smartly and thus undertake tasks with increased efficiency (Cropley, Kaufman,
& Cropley, 2011). Employees who are innovative strive to find means of streamlining
activities and cutting out things which they deem unnecessary. Innovation is also imperative
to the organizations since it boosts their marketing strategies. Formulating creative marketing
ideas can help a business stand out and have a competitive edge in the market. Innovation
also enables organizations to formulate creative ideas of designing their products and
attracting more customers.
4. Theories of Creativity and Innovation
4.1 Diffusion of innovations
Diffusion of innovations is a phenomenon that strives to elaborate why, how, and the
rate at which and new original idea or a new technology spreads. This theory was formulated
by Everett Rogers, who argued that diffusion could be seen as the process which a new idea
or innovation is presented or communicated over time within a social setting. According to
the theory, the four primary elements that drive the spread of new idea are the communicating
channels, the new idea itself, the social system, and time. This theory relies on human capital,
and it must be adopted in order to be sustained.
4.2 Schumpeter’s creative theory of destruction
CREATIVITY AND INNOVATION 7
According to Schumpeter, economic changes are a result of innovations and market
power. This theory describes creative destruction as the various processes of industrial
mutation which revolutionizes the structure of the economy, by destroying the old one and
creating a new structure. This implies that creative destruction takes place when something
old is replaced by a new one. According to this theory, the rate at which innovation takes
place in organizations is dependent on their sizes. It notes that small firms can innovate more
since they are flexible compared to large firms which are more bureaucratic. Later on,
Schumpeter changes his opinion and states that larger firms can innovate more since they
have more market power and required resources.
5. Models of Innovation
5.1 Market model
One of the most renowned models of innovation is the market-driven innovation
model. This innovation model is commonly used because customers will always remain
supreme in the business environment (De Dreu, Nijstad, Bechtoldt, & Baas, 2011). As such,
their needs are more imperative to the success of a business. However, it is difficult to
determine the needs of these customers without conducting extensive research on the market.
Therefore, many companies channel a huge portion of their resources on research, to
determine new and unique strategies that can be introduced to satisfy the needs of their
customers.
5.2 Technology model
Technology-based innovation results in the creation of new business opportunities
across the globe. Technology-based innovation is slightly different from market-driven
innovation due to the fact that while market-driven innovations rely on the needs and
preferences of consumers, technology-based innovation relies on the creation of new
technology as well as the development of new products to create a need among consumers.
CREATIVITY AND INNOVATION 8
The products and services innovated from technology-based innovations are usually new
products or services, or improvement into the company’s current products or services. In
many occasions, the use of technology leads to the creation of enhanced products or services
(Sarooghi, Libaers, & Burkemper, 2015). However, in some cases, it may result in to radical
innovations which may create a unique and attractive product that is highly preferred, and it
is referred to as a breakthrough.
6. Google Inc. Innovation and Creativity Analysis
Google Inc. is a company that is built on a culture that fosters a spirit of innovation
and creativity as part of its organizational strategy. Google supports imaginative reasoning,
and it creates favorable conditions where employees are free to air their views, give opinions
and make inquiries. It also energizes a constant learning process while advancing
innovativeness at work. The level of creativity in the organization often results in the
formulation of innovative ideas. Their primary focus around fostering creativity revolves
around unleashing the potential of their employees to conceive new ideas. Innovations within
the organization are usually measurable and evaluated. Since Google strives to unravel
creativity among its employees, it has managed to build an innovative culture. According to
Sarooghi, Libaers, and Burkemper (2015), firms that usually encourage a work environment
that has a culture of inventiveness are more likely to have cheerful and awakened workers
who are loyal and more beneficial.
Google Inc., comprehends that their primary concern achievement depends on the
capacity to improve and come up with new ideas. The employees of the company are given
incentives whenever they come up with new ideas or build upon the existing techniques
implemented in the firm (Steiber, & Alänge, 2013). Google Inc. has figured out how to
advance rapidly and grow new and develop innovations and technology to adjust to the
evolving surrounding. Also, Google Inc. is acknowledged for many advancements
CREATIVITY AND INNOVATION 9
universally. The company highly promotes individual-level creativity. This is since credit is
given to individual workers who come up with new ideas even when working in groups. The
brainchild of the idea is rewarded with different kinds of incentives to encourage innovative
behaviour among them.
As other organizations create innovation departments that are solely responsible for
coming up with innovative ideas, Google prefers creating a culture that encourages all its
employees to be creative and innovative. The management team of the company believes that
employees enjoy being appreciated for being creative, and the incentives are efficient
extrinsic motivators. Most of the company’s employees portray signs of having little-c
creativity in their daily routines. This is since they are encouraged to always think of new
strategies every day that can enhance their operations and make work easier in the
organization. According to Steiber and Alänge (2013), the company prefers involving
everyone in their innovation process rather than dedicating a certain group of employees or
department to be the brain behind the company’s innovation process.
In relation to Amabile’s model, creativity is known to be driven by factors such as
domain-relevant skills and the social environment. Google’s social environment is efficient in
driving innovation and creativity. The organization has ‘Google labs’ where employees are
encouraged to take solid ideas they believe can be beneficial to the organization. New ideas
are often incubated in those labs and experts determine whether the ideas are worth
proceeding with or they need new ones. It is within these labs that great ideas such as Google
Glass, and the Google maps were made. The organization also collaborates with other people
outside the company to be more innovative. To demonstrate that Google believes that
domain-relevant skills under the Amabile’s model are a driver for innovation, they mainly
employ workers who have intrinsic motivators, which makes them curious and want to learn
more. Employees within the company are allowed to define their own work as guided by their
CREATIVITY AND INNOVATION 10
supervisors. They are given free time, which is believed to be utilized by thinking of new
ideas and strategies.
As depicted by the diffusion of innovations theory, the primary drivers the spread of
new idea are the communicating channels, the new idea itself, the social system, and time. In
relation to Google Inc., the company promotes open communication among employees who
are encouraged to give opinions freely. This makes the spread of an idea to be fast and easy
as employees interact with their superiors, who are the evaluators and implementers of the
new ideas. It is also evident that the company has set up the correct social system that drives
the transfer of new ideas across the company. There is also sufficient time for the new ideas
to be natured in the Google labs. In relation to the creative destruction theory, new ideas
always replace the old one to create growth and innovation. The company does not despise
small ideas, and thus, it always tries to evaluate how to gain from new concepts that are
continuously being formulated by employees.
The market-driven model of innovation is among the greatest driver for creativity and
innovation in the company. The organization strives to establish new techniques and ideas
that can result in the creation of more value for customers. Providing quality services and
customer satisfaction is among the primary goals of the organization. Google’s research
department is highly involved in trying to establish the consumer’s needs and preferences,
which are ever-changing (Finkle, 2012). The company thus strives to come up with a more
creative product that does not only meets these needs but surpasses them. The production
department will focus on mass production of the product while the marketing product will
ensure the products are made available to the consumers.
Google’s high level of creativity and innovation can also be considered to have a
technology-based innovation model. The company is large and highly invests in technology.
It uses technology to determine the emerging needs of consumers. According to
CREATIVITY AND INNOVATION 11
Schumpeter’s creative, disruptive model, large companies are involved in more innovation
processes since they have the required resources as well as market power. The use of
technology leads to the creation of new processes, products, services, markets, among others,
which continue to grow over time as technology also advances. However, the success of these
processes is usually determined by the internal forces which depend on how best such
technology works as well as external forces which depend on how best such technology can
influence their environments and also how the environment affects them.
With the imperativeness of innovation at Google Inc., the company accrues numerous
benefits that have enabled it to be among the top-notch performers in the industry. Some of
the imperative needs that compel Google to be innovative include the need to solve problems
as they arise, increasing its level of service efficiency, and having a competitive edge over
other companies. By fostering a culture of creativity and innovation, the company has been
considered to be among the most innovative companies across the globe (Finkle, 2012). With
initiatives such as workers being allocated part of their working hours to undertaking
personal development projects, the company is continuously formulating new ideas.
Employees in the company are encouraged to be free thinkers and collaborate with others to
be more productive.
7. Conclusion
From the analysis, it is evident that the level of creativity and innovation in an
organization is likely to determine its success. In this fast-changing economy, it is essential
for entities to adopt strategies that will enable them to adapt to the emerging issues, which
often involve adopting new business models. It is important for organizations to foster a
culture of innovativeness among its employees to achieve improved customer satisfaction and
working efficiency. Creativity and innovation are also beneficial when an organization strives
to increase its turnover and improve its overall profitability.
CREATIVITY AND INNOVATION 12
References
Amabile, T. M. (2012). Componential theory of creativity. Harvard Business School, vol. 12,
no. 96, pp. 1-10.
Černe, M., Jaklič, M., & Škerlavaj, M. (2013). Authentic leadership, creativity, and
innovation: A multilevel perspective. Leadership, vol. 9, no. 1, pp. 63-85.
Cropley, D. H., Kaufman, J. C., & Cropley, A. J. (2011). Measuring creativity for innovation
management. Journal of Technology Management & Innovation, vol. 6, no. 3, pp. 13-
30.
Dawson, P., & Andriopoulos, C. (2014). Managing change, creativity and innovation. Sage.
De Dreu, C. K., Nijstad, B. A., Bechtoldt, M. N., & Baas, M. (2011). Group creativity and
innovation: A motivated information processing perspective. Psychology of
Aesthetics, Creativity, and the Arts, vol. 5, no. 1, pp. 81-86.
Finkle, T. A. (2012). Corporate entrepreneurship and innovation in Silicon Valley: The case
of Google, Inc. Entrepreneurship Theory and Practice, vol. 36, no. 4, pp. 863-884.
Johnstone, C., Pairaudeau, G., & Pettersson, J. A. (2011). Creativity, innovation and lean
sigma: a controversial combination? Drug discovery today, vol. 16, no. 1, pp. 50-57.
Sarooghi, H., Libaers, D., & Burkemper, A. (2015). Examining the relationship between
creativity and innovation: A meta-analysis of organizational, cultural, and
environmental factors. Journal of Business Venturing, vol. 30, no. 5, pp. 714-731.
Steiber, A., & Alänge, S. (2013). A corporate system for continuous innovation: the case of
Google Inc. European Journal of Innovation Management, vol. 16, no. 2, pp. 243-
264.

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