Week 7 discussion Assignment Example | Topics and Well Written Essays - 1000 words - 1

Week 7 discussion - Assignment Example ication, under Mike Zafirovski embarked on an innovative transformation of the company by revamping its Research and Development department, and experimenting with the emerging technologies. Nortel Telecommunications spent an approximate amount of 2 billion dollars in revamping its R and D department. 20% of this amount was directed towards emerging technology, 60% towards supporting it core business operations, and 20% in boosting its declining products. As a result of these tendencies, the company developed the 2.0 web application that made it possible for employees to interact with one another while on the internet (Gertner, 2012). However, this was an effective innovation in turning the fortunes of the company. Gartner denotes that this was because the company was experiencing a decline in its sales revenue, and the 20% of the total amount given to R and D was not sufficient enough to facilitate the development of products that will improve the market share of the organization (2012). The web 2.0 was also not conducive for the organization, since the company needed a technology that could help it interact with the customers, as well as with its employees (Gertner, 2012). On this note, there was a disconnect between the objectives of the company, and the innovations developed. Gertner further denotes that the main objective of Mike Zafirovski was to increase the profitability of the company (2012). He was to achieve his objectives by developing products that reflected the needs of the customers. However, this was not the case. The results of this disconnection that amounted from failure of a company to develop an innovation product that reflected its objectives was a drop in its financial position, thereby resulting to losses and subsequent filling of bankruptcy on January 14th 2009 (Gertner, 2012). One of the strategies of solving this problem is highlighting the goals and objectives of the business organization. While innovating, it is essential to