Nokia System Strategies Report Service
In a rising complex social and economic environment, high technology corporations are facing increasing technological development and global technology based competition. As a result of the critical function of technology in a competitive environment, tactical technology management is crucial for enterprises. For success, companies must enlarge and sustain their technological capabilities to generate external and internal outcomes within an ambiguous socioeconomic framework. The following paper attempts to explain the information and technology management systems of Nokia.
The emergence of Nokia dates back to the year 1865, with the foundation of a forestry industry venture in South Western Finland. In 1898 Finnish Rubber Works limited was founded. This company and Nokia gradually began to shift into hands having a few owners and eventually merged and formed Nokia Corporation in the year 1967(Nokia, 2000). Nokia Corporation majors in making of mobile network tools and, mobile device, as well as in the stipulation of associated solutions and services globally. Nokia has four main production functions: Mobile Phones, Enterprise Solutions, Networks, and Multimedia. Nokia’s strategic management is based in Finland, but it has branches worldwide
Nokia’s aims and objectives
Every organization has its own aims and objectives. Nokia’s major aims and objectives are; to generate profit, to become an exceptional electronic company worldwide and to maintain an excellent relationship with its customers. On the other hand, Nokia has aims of coming up with non IFRS R and D expenses in services and devices and it also aims to bring 300 million users globally under its umbrella.
In Nokia, technology management is often set in in R&D management, which is an ever more incorporating strategic management aspect. During the past decades, advance management has turned out to be a broad research discipline of its own. Improvement research has created understanding on the improvement progression itself, but does not give a wide-ranging framework on improvement management practice. The foremost concern in improvement management, is how to identify the value, and how to incorporate and apply knowledge commercially in products.
Technology management in Nokia relates to improvement management with the outlook on how to obtain knowledge and convey technologies into inventive products. Though, neither R&D management nor improvement management considers planned technology management holistically from perspectives of planned objectives, organizational structures and outcomes of technology.
Competitive environment of the project involves rising complexity due to quick modification in technological, economic, and social circumstances. As a result, efficient means on strategic technology management is important for enterprises. Up to date the state of practice inside high technology enterprises shows deficiencies in practices and knowledge of strategic technology management.
Strategic technology management actions have to be associated with the strategy of the company. The reason for this is to merge business and technology matters within the possibility of strategic management. Normally strategic management actions typically center on business and product characteristics of a company, while strategic technology management stresses the transformation and connection of business characteristics to technology issues.
The critical, successful factor for each aim and objective
The general aim of each aim and objective can be abridged as an intention to create a theoretical framework, to provide structure to the issue of strategic technology management for study, presentation, discussion and communication among scholars and practitioners.
The incorporated management model of Bleicher is used to comprehensively cover enterprise management in Nokia. The model is applied to associate technology management theoretically as an integrating utility with general management issues. The incorporated management model has normative, operative and strategic management viewpoints to structures, behaviors and objectives of Nokia. Conceptually, the model used in Nokia provides vertical incorporation of normative, operative and strategic dimensions, and horizontal incorporation of structures, outcomes and objectives of the operational actions.
From a technology management, viewpoint in Nokia, operative management contains management of effective activities to carry out the actual responsibilities of technology management, for instance, supervision of roadmap creation, making of a technology strategy or technology forecasting action. Normative management measurement contains the authorized, cultural and institutional issues and policies associated to technology management, for example, whether Nokia has its own R&D, organization for decentralization or centralization, strategies towards intellectual assets acquisition, safeguarding and authorizing, nurturing innovative culture, or utilization and improvement of internal procedures.
Strategic management in Nokia
Strategic management in Nokia is concerned with its plans taken by the executive, to create, improve and maintain its capabilities concerning its environment, and to arrive at its objectives. In Nokia, the field of strategic management works with the key planned and emergent schemes taken by the general managers, on behalf of possessors involving the use of resources, to improve the performance in its outside environments. In Nokia, strategic management covers clearly aspects of environment enterprise and society in its organization.
A critical success factors analysis might contribute to an information systems strategy
In Nokia, strategic technology management addresses technology related matters which are contained in strategic management. In the extent of technology strategic management, Nokia uses various systems for technology management: sources of competitive strategy; strategy and technology; countrywide technology management systems; lifecycles and discontinuities; knowledge management; innovations and patents management. Nokia links technology and strategy by way of strategic technology management inside strategic management of an endeavor.
Strategy is important for survival, value creation, and long term success and survival of Nokia. However, there is no general agreement on what a business strategy is and how to institute a successful strategy. The major perspectives to strategy formation are the unique characteristics concerning the strategy formation process, underlying principles and focus of the strategy. The distinct Meta schools of strategy used by Nokia for its success are coherent, evolutionary, procession and systemic.
When forming strategies, technology factors are considered appropriately as technology is included in all actions that constitute Nokia’s value system. As a result, product and business strategy has to be embed in technology matters, for example, technology and business strategies have to be associated to guarantee a company’s competitiveness and performance, or instead, technology strategy has to be developed from the company strategy.
Coming up with a company strategy is a demanding managerial undertaking of its own. Combining the more conceptual measurement of technology in strategy construction increases the intricacy and uncertainty even more. Uncertainty and dynamics of technological improvements are the core concerns in strategy construction of ventures with respect to technology.
Increase of innovations and technologies in the market place, as well supervision of produce life cycles and produce substitution, enabled by technology, is mastered by Nokia. This is due to the critical function of technology in strategies of Nokia which are inevitable. This has enabled it to increase managerial intricacy of strategy making and strategy implementation.
The relevance of competitive intelligence to strategic planning
For accomplishing its mission, objectives and long term goals in the market, Nokia implements a strategy which may be, approved or emergent. The conventional approach to its strategy is based on balanced analysis, division of strategy making from implementation, and profit maximization as the major goal of strategy. Nokia also considers social, political, environmental, sustainability, risks, safety and business continuation associated aspects in their approaches and technology management. The strategy decides the unique competences and potentials that are serious for the Nokia’s success in implementation of the strategy and attaining its mission amongst competition.
The major school of thought about competitive strategy is Nokia’s positioning style, which is on the subject of attempting to attain a sustainable competitive benefit for it by maintaining what is unique about the company within the industry. This way performing diverse things from competitors, or doing things in a different way compared to competitor. Basically, the competitive possibility and basis of competitive benefit determines the type of competitive strategy, which can also be focused or general cost leadership, or separation.
The idea of core competency recommends that strategy is an incorporated and coordinated set of proceedings to exploit competencies, so as to achieve a competitive benefit in the business that Nokia pursues. It has been disagreed that a competitive benefit cannot be persistent in the changing environment, but it is the self-motivated capabilities that decide the company’s success. Self-motivated capabilities are the managerial and strategic practices by which management expands, incorporates and reconfigures the supply base that the company has. In Nokia, the supplies are the physical, organizational and human assets that it uses for its value formation strategies. Strategies which are not, resource oriented will not be flourishing in an unstable industry environment. On the other hand, resource based strategy disintegrates in capricious high velocity markets. In technology based businesses like Nokia, information is the main basis for competitive benefit and success, and information as a strategic resource comprises of a new management model for enterprises.
How a critical success factors analysis might contribute to information systems strategic.
Technology has to be linked with the firm’s company strategy by bearing in mind significance and association of technologies to a company’s generic competitive strategy. In addition, technology must be linked to the firm’s strategy on goods, processes and services all through its value chain actions. In order to successfully react into technological transformations, Nokia assesses dynamics of the life cycles of the technologies it makes use of or plans to use, and recognizes procedures that may lead into distraction. Characteristics and capabilities of technology are evaluated, leveraged and developed across Nokia, in relation to its technology, business product and product strategy.
Technology strategy is the major element in strategic technology management. In Nokia cooperation technology strategy functions as the basis for competitive advantage and business strategy. It aids to answer questions like, which technologies, capabilities and competences are required for competitive benefit, which technologies are supposed to be used, what is the buy or make strategy, what should be the savings level on technology development, how to set up technology in the market as embedded in goods, and how to systematize technology improvement and technology management. The capacity and significance of a technology strategy is over and over again acknowledged in Nokia, but the continuation of a precise technology strategy differs even in high technology companies like Nokia.
Contribution of an information audit to an information systems strategy
In Nokia, the information audit is used as a source for the improvement of information system strategy. This contributes to Nokia’s knowledge in management strategy. Once absolute, the information audit, allows assessment into where knowledge is created from, the need for more input and where knowledge relocation is necessary. Moreover, this investigation develops strategy for information capture, storage, access, dissemination and justification.The significance of this audit therefore, is to appreciate the strategic implication of an organization’s knowledge assets to make certain that, management has payed attention to those areas it is purposely required. On the other hand information, audit is crucial to Nokia’s effective management of information.
The information audit not only finds out what information services and resources and services require to do their work, but how the information resource and service is essentially used. It looks at the purposes, significant success aspects and tasks and actions of each group, department, business unit, or parts, and connects them with the appropriate organizational objective. It recognizes the information that is necessary to hold up each task. It is then likely to trace a particular resource from the chore it supports to the organization purpose, and allocate a level of strategic importance to it. This gives room for one to not only recognizes those services and resources that are sustaining organizational objectives but also rates them in relation to their strategic importance.
Likewise, an information audit enables one to map information flows inside an organization and amid an organization and its outside environment. This is an important attribute of the process as it recognizes the existing informal and formal communication process that are used to convey information as well as stressing inefficiencies such as duplications.
The results of not conducting an information audit can lead to significant indirect and direct costs in an organization. When an organization is not aware of the strategic importance of its knowledge possessions, it controls everything rather than what it is crucial to control. The direct costs rise as the program necessitates technical resources and people and the indirect costs rises as the program is unable to recognize strategically important knowledge possessions and prioritize their supervision. Further direct expenses are incurred when the information that is managed is imperfect information that is, information that is produced by means of sub-standard processes and resources. Moreover, there is the risk of not including considerable information assets because one does not know they exist.
Key concepts of organizational management
Nokia cooperation defines how it conducts its plans to attain its objectives and long term goals. The plans are completed in Nokia through people who are being managed by the management process. The general use of management processes are planning, leading, organizing, and controlling.
The divisions of tasks in Nokia are based on function, knowledge and process. The all-purpose forms of organizing are functional, matrix, divisional, and networks incorporation or coordination is about administration of actions that take place in different sections of an organization and management is required to achieve the organization’s overall task. Organizational functional specialization and structures have led into impossibilities to work across the efficient barriers. As a result, finding the best degree of functional decentralization against incorporation or management is a face up in organizational design.
On top of the organizational design confrontation, managers are also confronted by the necessitation to have a variety of competences, for carrying out the managerial responsibilities.
Managers in organizations require technical, conceptual and human skills and capabilities, and the relative significance of the skills differs according to manager’s level in business. This implies that at the subordinate level of organization technical skills are stressed.
Nokia has developed from single task orientation to multi purposeful, strategic orientation. This progress is induced by accelerating industry development, coming up of new business opportunities, and interferences in the competitive landscape, which is driven by indefinite and complex technological development. As opposed to optimization of a distinct function, companies require to strategically incorporate and support goals and dealings of functional units across the company. This entails the company’s management to regard broadly, not only manufacturing, purchasing, marketing, study or engineering functions, but as well outlooks, skills, choice making, information arrangements, organizational structures and scheduling practices to accommodate the alterations in business environment. Revolution to multifunctional planned orientation means ability to strategically manage technology, for example, foresee technological change, assess business risks and potential of technologies, management proliferation of technology in goods, and manage technology replacement.
As a conclusion, the paper has focused on the strategic management, executive management and information management concepts in the Nokia context, enhancing information in strategic technology management. The contributions of this paper are benefiting practitioners by providing a summary for managerial development regarding strategic technology management. In any company, successful or a newly created if not administered well and cannot take benefit of its opportunities can collapse. For a company to run successfully it has to manage its threats and competitors that may affect the operation of a business.