Application Of Innovation Strategies By East African Breweries Limited
Jilani, Paul B
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The objective of this study was to establish the application of innovation strategies by EABL. Primary data was collected using self-administered drop and pick interview guide while secondary data was collected by use of desk search techniques [rom published reports and other documents.Secondary data sources included the company's publications.journals.periodicals and information obtained from the internet. The interview guide was administered to 10 top, middle and low level management staff working at the EABL. The study sampled staff who directly dealt with day to day management of innovation strategies since they were the ones conversant with the application of innovation strategies in the company. A content analysis was employed to analyze the respondents' views about the application of innovation strategies at EABL. The data was then presented in a continuous prose as a qualitative report on the innovation strategies adopted by EABL. The study found that the company attains sustainable competitive advantage through the prolonged benefit of implementing some unique value-creating strategies based on unique combination of internal organizational resources and capabilities that cannot be replicated by competitors. Innovation strategies gave the firm a competitive advantage and with it the superior cash flows that generate value, create and maintain value, based on different environmental dynamics. The study concludes that the company employed much of product, marketing, technological, process and integrated innovation strategies. The study concludes that the factors that affect adoption of innovation are financial factors, organizational structure and cSulture, specialization and complexity, functional differentiation and managerial attitude towards change, slack and technical knowledge resources as well as centralization and formalization. This study recommends that for EABL to earn more profit and increase number of customers, the company should embrace the adoption of innovative strategies. EABL should also strive to ensure product range extension, product replacement, product improvement, product repositioning and new product introduction to enable the company to be more productive, to grow faster, to invest more and also to earn more profit. The study also recommends that the company should address areas that affect adoption of innovation strategies which include financial factors, organizational structure and culture, specialization and complexity, functional di fferentiation and managerial attitude towards change, slack and technical knowledge resources as well as centralization and formalization. This study also recommends that there should be reiiable infrastructure, enough financial resources; and the staff should be equipped with adequate skills and knowledge on the new technology through regular training in order to ensure that they do not resist the adoption of the new technology in the organization.