Appendix:
Essay | Nokia -`A true core never dies` |
Nokia -`A true core never dies`
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NOKIA DISCONNECTED
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New York, 26th March 2013
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On 26th march 2013 Nokia is being declared bankrupt by the finish court of justice due to illiquidity and numerous still outstanding deliveries.
Do you think this is really going to happen?
It might – but I don`t believe so! Since Nokia`s founding in 1865 as a wood pulp mill at the Tammerkoski Rapids in south-western Finland the company has been concerned all about connecting people; the company’s core principle and slogan till today. Not only is wood pulp the essence to produce paper but more over it has been the most influencing communication technology since 3 thousand years before Christ in the antique Egyptian empire were it has been originally founded as papyrus.
Enchanting to read isn`t it? But do these facts make Nokia a visionary and admirable company? An organization such premier in its industry that it is highly admired by its peers being able to look back to a long-term record of significant world impact?
Maybe – but almost all this facts also account for every other paper manufacturing company in the world as they do for Nokia.
Therefore I invite you to follow me onto a journey to find out if Nokia really is a visionary company not only from my point of view but also from the scientifically proven methods of Jim Collins book `Built to last`.
Launching for centuries
Once Nokia was founded in 1865 as a wood pulp mill surely no one would have ever guessed that only 100 years later a joint venture with a rubber and a cable manufactory would result in a company producing electrical devices. It almost sounds like a fairy-tale that small Nokia developed from being a cycle tyre producer connecting people throughout greater mobility over being Europe’s third largest TV producer in 1987 into the world’s largest mobile phone producing and selling entity in the 1990 with an average annual turnover of 31€ million.
This all changed as the giant millennium celebrations all over the world adumbrated the new century multi-tasking phones being connected to the internet revolutionized and ruled the mobile phone market from now on. Nokia still being majorly focused on environmentally and socially responsible production as well as on recycling was thrown back even though their affords concerning sustainability were numerously awarded but this didn`t change anything regarding the deteriorating financial situation.
What would you have done in such a situation being outmoded by several competitors such as Apple?
Surely you would have moved! You would have done something! Not letting others overrule you! Guess what Nokia did? Also move? Wrong, Nokia just waited and observed. After almost one decade of resignation Nokia reacted in 2011 according to the approach `harder competition requires smarter phones` to beat rivalling ecosystems like iOS and Android; Nokia`s solution the Nokia Lumia 800 and the Nokia Lumia 710 the world’s first Nokia-Windows phones were introduced.
But shortly referring back to Nokia`s reaction regarding the sudden changing market situation in 2000. Everyone knowing something about economics would have reacted differently than Nokia did. WAITING almost 10 years doing nothing in today’s rapidly globalizing world could have ruined their business. Just as business students are told in universities all over the world stagnation, resignation, resistance will cause your bankruptcy.
Yes, indeed it could have but it is within Nokia`s genes to see, wait, observe. Let the others test it and fail they will lose the money not we do. Compared to every other company Mr. Collins, his colleague Mr. Porras and I know jumping on a train to late or having to chase it might not necessarily be beneficial for your business; but jumping on a train which may stop shorty after its take off will lead to the same result.
Social, Sustainable and beyond
If you are able to jump right onto an already speeding train that’s` surely an applaudable feat something that rarely anyone can do or would even think about doing just because the risk is too high. Exactly this is what Nokia did and has done before. As an innovation is coming they will let it pass by they will think about what they can do to improve the already existing products but they won`t enter the train as it slowly starts moving. Instead of directly rivalling the market they will think about `add-ons` product additions which might bring additional value to the actual innovation always keeping in mind aspects of sustainability, their core value of connecting people and treating people according to the UN`s global compact rather than how to make any profits since they understand that business is about `more than profits`.’’ Lately Nokia is therefore purchasing geo-co-ordinate companies to diversify their product range; they hearty welcome geographical services such as their newly developed tool for smartphones. Users only need to hold there camera upon the street they are currently at to see numerous additional information such as restaurants, shops, historical information; augmented reality. Throughout this movement Nokia is trying to create a whole new innovation instead of chasing others, they steadily develop since `good enough never is.´
Nokia`s approaches for sustainability as well as the companies concern for human rights can be seen within numerous projects connecting people throughout greater mobility the mightiest instrument of the 21st century. Majorly throughout smartphone apps millions of fellow people just like you and me can be educated, entertained and helped. “From raising awareness about environmental issues to helping reduce your carbon footprint, Nokias` green-themed apps and services offer an engaging and informative way to help protect the planet.” A wonderful example can be seen in the Nokia initiated Progress Project fighting malaria in Brazil. Mobility throughout apps has improved ways of communication enormously so that e.g. people living in rural areas of Brazil have faster access to medical aid saving their lives.’ This is just one example how Nokia helps people all over the world without looking out for great profits in return just as Merck an American based pharmaceutical concern provided medial aid for Africans right when it was needed just because they saw the need for help.
Do you believe me now why I find Nokia visionary, such premier in its industry that it is highly admired by its peers being able to look back to a long-term record of significant world impact?
No, not quite? Here are some more facts…
Production facilities
Rather than being involved in charity events just to facilitate and promote their good name Nokia means it seriously. In the same way they are concerned about connecting people who are externals to their company they are concerned about their internal `the core`. Even though Nokia had to outsource or even offshore all their production facilities to Asian, south-/middle-American and eastern-European located countries such as Brazil, China, Hungary and South Korea to remain capable to compete, their requirements regarding environmental and social issues are still on very high standards. Or have you ever heard about Nokia employees committing suicide since they are overwhelmed by their workload and students not being able to attend classes for weeks just because Apple wants to have its new iPhone 5 produced? Truly not, of course this cannot be entirely controlled and ensured but due to strict social and environmental requirements throughout the companies whole supply chain as well as sudden and unannounced audits the chance is fairly low. Furthermore close cooperation throughout the use of e-solutions enable Nokia “open communication, good relationships and transparency” the key of Nokia`s success and for continuing improvements or as Nokia states “a chain is only as strong as its weakest link”.
In conclusion
Nokia might not be able to look back to the highest financial turnover in today`s economic situation but they can surely present an immensely long record of sustainable and social achievements as well as a wonderful history.
Since being premier in your industry, highly admired by your peers and being able to look back to a long-term record of significant world impact has nothing to do with a company’s current financial situation but rather than this with the embodiment of the core principle connecting people; Nokia in my eyes and according to Mr. Collins theories in `Built to last` is definitely a visionary company.
Don`t you think all this facts and figures make Nokia a visionary and admirable company you would like to work for? I think so.
It`s your turn
If you even need more prove to experience how admirable Nokia can be for you just become part of their trail project by sending them your great idea for a new product or product improvements get e.g. a smartphone send to you and two weeks you have to experiment with it. To do this you need to do nothing else then writing a nice and convincing letter or mail and being older than 16 years.If you are lucky and creative you can make it your new individual Nokia product maybe being greener or more concerned about sustainable lifestyle that might be launched all over the world!’ Get connected with Nokia and connect others yourself!
Become part of the core! Become part of a vision to connect people! Become part of Nokia! Since the core of connecting people always was, is and will be and you can be part of it!
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[ 1 ]. The Nokia story - Once upon a time, by the Nokianvirta river. (n.d.). http://www.nokia.com. Retrieved October 2, 2012, from http://www.nokia.com/global/about-nokia/about-us/story/the-nokia-story/
[ 2 ]. Papyrus. (2012, September 30). In http://en.wikipedia.org. Retrieved October 2, 2012, from http://http://en.wikipedia.org/wiki/Papyrus
[ 3 ]. Collins, J. C., & Porras, J. I. (1994). The best of the best. In Built to last: Successful habits of visionary companies (1st ed., p. 1). New York, USA: HarperBusiness.
[ 4 ]. The Nokia story - Once upon a time, by the Nokianvirta river. (n.d.). http://www.nokia.com. Retrieved October 2, 2012, from http://www.nokia.com/global/about-nokia/about-us/story/the-nokia-story/
[ 5 ]. Nokia’s sustainability excellence recognised – Nokia Conversations : the official Nokia blog. (n.d.). Nokia Conversations: the official Nokia blog. Retrieved October 4, 2012, from http://conversations.nokia.com/2012/09/13/nokias-sustainability-excellence-recognised/
[ 6 ]. The Nokia story - Once upon a time, by the Nokianvirta river. (n.d.). http://www.nokia.com. Retrieved October 2, 2012, from http://www.nokia.com/global/about-nokia/about-us/story/the-nokia-story/
[ 7 ]. Environmental & social impact - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved 3, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/impact/environmental-and-social-impact/
[ 8 ]. Collins, J. C., & Porras, J. I. (1994). More than profits. In Built to last: Successful habits of visionary companies (1st ed., pp. 46-79). New York, USA: HarperBusiness.
[ 9 ]. The Ten Principles. (n.d.). United Nations Global Compact. Retrieved October 3, 2012, from http://www.unglobalcompact.org/abouttheGC/thetenprinciples/index.html
[ 10 ]. Nokia schließt Karten-Deal mit Oracle ab | heise online. (n.d.). IT-News, c't, iX, Technology Review, Telepolis | heise online. Retrieved October 4, 2012, from http://www.heise.de/newsticker/meldung/Nokia-schliesst-Karten-Deal-mit-Oracle-ab-1721076.html
[ 11 ]. Collins, J. C., & Porras, J. I. (1994). Good enough never is. In Built to last: Successful habits of visionary companies (1st ed., pp. 185 - 200). New York, USA: HarperBusiness.
[ 12 ]. Environmental & social impact - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 4, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/impact/environmental-and-social-impact/
[ 13 ]. Apps & services - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 3, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/apps/apps-and-services/
[ 14 ]. The Progress Project: Fighting disease and saving lives - Nokia Data Gathering, Brazil (2012, October 4). [Video File]. Retrieved from http://www.youtube.com/watch?v=kP1v9Snz6HA
[ 15 ]. Environmental & social impact - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 4, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/impact/environmental-and-social-impact/
[ 16 ]. Collins, J. C., & Porras, J. I. (1994). More than profits. In Built to last: Successful habits of visionary companies (1st ed., p. 47). New York, USA: HarperBusiness.
[ 17 ]. Collins, J. C., & Porras, J. I. (1994). The best of the best. In Built to last: Successful habits of visionary companies (1st ed., p. 1). New York, USA: HarperBusiness.
[ 18 ]. Production facilities - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 4, 2012, from http://www.nokia.com/global/about-nokia/about-us/production-facilities/production-facilities/
[ 19 ]. Apple's Manufacturing in China: Key Issues (2012, October 4). [Video File]. Retrieved from http://www.youtube.com/watch?v=sgbxUDvncko
[ 20 ]. Supply chain - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 4, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/impact/supply-chain/supply-chain/
[ 21 ]. Collins, J. C., & Porras, J. I. (1994). The best of the best. In Built to last: Successful habits of visionary companies (1st ed., p. 1). New York, USA: HarperBusiness.
[ 22 ]. Trial Terms and Conditions – Nokia Conversations. (n.d.). Nokia Conversations : the official Nokia blog. Retrieved October 4, 2012, from http://conversations.nokia.com/trial-terms-and-conditions/
[ 23 ]. Trial a Nokia – Nokia Conversations. (n.d.). Nokia Conversations : the official Nokia blog. Retrieved October 5, 2012, from http://conversations.nokia.com/trial-a-nokia/
[ 24 ]. Environmental & social impact - Nokia. (n.d.). Cell Phones and Smartphones - Nokia - USA. Retrieved October 5, 2012, from http://www.nokia.com/global/about-nokia/people-and-planet/impact/environmental-and-social-impact/
[ 25 ]. Nokia mulls selling its headquarters| Reuters. (n.d.). Business & Financial News, Breaking US & International News | Reuters.com. Retrieved October 4, 2012, from http://www.reuters.com/article/2012/10/03/finland-nokia-idUSL6E8L30VT20121003
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