Innovation at Whirlpool - Creating a New Competency
Case Code: HROB081 Case Length: 21 Pages Period: 1999-2006 Pub Date: 2006 Teaching Note: Available |
Price: Rs.500 Organization: Whirlpool Corporation Industry: Electricals and Electronics Countries: USA, Europe Themes: - |
Abstract Case Intro 1 Case Intro 2 Excerpts
Abstract
This case is about the organization development (OD) initiatives undertaken at Whirlpool Corporation (Whirlpool) to create a new core competency in the form of building an innovation culture within the organization. In the late 1990s, Whirlpool was faced with stagnation in revenues, profits, and market share. According to analysts, this was a direct result of the stagnation in its product line due to the lack of innovative products. Whirlpool used the services of Strategos, a consultancy firm, to develop I-consultants and various I-mentors from within the organization, to form a coaching network to coach/mentor the employees and help them develop an innovation mindset.
The case discusses the various steps initiated by the top management at Whirlpool to bring about a change in the company's corporate culture and embed innovation as a core competency. Analysts felt that these efforts had borne fruit, judging by the consistent growth in Whirlpool's revenues since 2002.
Issues
The case is structured to achieve the following teaching objectives:
- Understand the issues and challenges faced by a company in bringing about a change in organization culture
- Appreciate the role of the senior management in culture change initiatives
- Appreciate the importance of coaching/mentoring in changing the organizational culture and creating a core competency
- Appreciate the use of IT for Knowledge Management and Innovation management
Contents
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Innovation Fuels Growth
Background Note
Need for a Change in Corporate Culture
Innovation as a Core Competency
Laying the Foundation
Building the Framework
Reinventing the Corporate Culture
The Results
Future Outlook
Exhibits
Keywords
Whirlpool Corporation, Organizational Culture, Organization Development, Consumer-driven Innovation Model, Competitive Strategy, Leadership, Gary Hamel, Core Competency, Competitive Advantage, Strategos Consultants, Knowledge Management System, Consumer Appliance Industry, Change Management, Research and Engineering, e-learning
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