Innovation at the Lego Group (B) Harvard Case Solution & Analysis

(B) case describes the specific steps that the LEGO Group has taken to improve innovation. They include: 1) a restructuring of the company, that the responsibility for each part of the business clearly. Each line of the toy was made responsible for its own sales and profitability, and the concept of the laboratory, which previously was not enough attention has been separated and charged with the development of new ideas that were "obviously, LEGO, but never seen before." 2) definition of innovation has been revised through the matrix LEGO innovation. 3) A new stage gate process was implemented. 4) A new way of working with outside inventors and manufacturers additional product was integrated into the structure and process. 5) users have been involved in the development of new toys, including a new generation of LEGO Mindstorms. Through these and other activities, LEGO Group significantly improved its performance, returning to profitability in 2005, and achieving a very healthy profit in 2007. Learning objectives: 1) the restructuring of the innovation system. 2) How to encourage all types of innovation (innovation in pricing, business model, channel to market, branding, customer experience, etc.) and the coordination of these innovations in the company. 3) How to involve external parties such as customers, more product manufacturers, and foreign inventors in the innovation system. "Hide
by David Robertson, Robert J. Crawford Source: IMD 25 pages. Publication Date: March 28, 2008. Prod. #: IMD382-PDF-ENG

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