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INTRODUCTION OF NOKIA GROUP
Nokia is a world leader in mobile communications, driving the growth and
sustainability of the broader mobility industry. Nokia connects people to each other
and the information that matters to them with easy-to-use and innovative products
like mobile phones, devices and solutions for imaging, games, media and businesses.
Nokia provides equipment, solutions and services for network operators and
corporations. Nokia is a broadly held company with listings on four major
exchanges.
The world's first international cellular mobile telephone network NMT was opened
in Scandinavia in 1981 with Nokia introducing the first car phones for the network
Or, that the world's first NMT hand portable, the Nokia Cityman, was launched in
1987.
Nokia Reviews
My focus is Nokia phones. I also write about the everyday usage of Nokia cell
phones - small useful tips and tricks to get more out of your Nokia. I write about and
compare the newest phones, smart phones, camera phones, clamshell, candy bar,
slider, 3G and flip phones.
Which cell phone browsers are available for my Nokia? About Nokia camera
phones. Can a Nokia phone compete with MP3 players like the iPod? Should I
protect my Nokia against virus attacks? Is there a better calendar available for my
Nokia Smartphone? Should I upgrade the software on my phone? How do I make
Nokia wallpapers or themes for my Nokia? Where can I buy Nokia phones? Go for
Nokia videos.
Nokia Oyj is a Finnish multinational communications and information technology
company. Nokia is headquartered in Espoo, Uusimaa, in the greater Helsinki
metropolitan area. In 2014, Nokia employed 61,656 people across 120 countries,
conducts sales in more than 150 countries and reported annual revenues of around
€12.73 billion. Nokia is a public limited-liability company listed on the Helsinki
Stock Exchange and New York Stock Exchange. It is the world's 274th-largest
company measured by 2013 revenues according to the Fortune Global 500.
The company currently focuses on large-scale telecommunications infrastructures,
technology development and licensing, and online mapping services. Nokia is also a
significant contributor to the mobile telephony industry, having assisted in
development of the GSM and LTE standards, and was, for a period, the largest
vendor of mobile phones in the world. Nokia's dominance also extended into
the smartphone industry through its Symbian platform, but it was soon
overshadowed by the growing dominance of Apple's iPhone line
and Android devices. Nokia eventually entered into a pact with Microsoft in 2011 to
exclusively use its Windows Phone platform on future smartphones.
In September 2013, Microsoft announced that it would acquire Nokia's mobile phone
business as part of an overall deal totaling €5.44 billion (US$7.17 billion). Stephen
Elop, Nokia's former CEO, and several other executives joined the new Microsoft
Mobile subsidiary of Microsoft as part of the deal, which was completed on 25 April
2014.
In November 2014, following the Microsoft sale, Nokia announced plans to license
its product designs and technologies to third-party manufacturers, primarily to enable
a continued presence for the Nokia brand in the consumer electronics hardware
market. The first product borne of this strategy is the Nokia N1 tablet.
VISION
Corporate responsibility programming reflects an increasing interest (both internally
and externally) in the impact our business actions have on communities from
societal, environmental, and economic perspectives. We both acknowledge and
understand that our responsibilities go beyond simply providing quality
communication products.
As a market leader, the best contribution we can make to the global community is to
conduct our business in a responsible way. This belief drives our commitment to
creating ethically sound policies and principles that guide us in our work. Our
Corporate Responsibility (CR) agenda is framed around the Nokia Values and is
carried out in all aspects of our work to ensure customer satisfaction and respect, and
also to assist us in embracing renewal and striving for achievement.
Our values are put into action with the help of the Nokia Code of Conduct, which
aims to reach beyond legal compliance or reactionary positioning by taking a leading
role in the various areas where society is affected by the mobile communication
business.
This translates into further action as we integrate CR ideas and work practices
throughout our various business channels. By striving to include all members of
Nokia’s community in this process, we are demonstrating our overall commitment to
the belief that responsibility is everybody’s business.
Our promise is to help people feel close to what is important to them
Nokia is a consumer led company. There is a progressive and continuous increase in
consumer involvement with technology and communications globally. People are
broadening their modes of communication to include the web and, social networks
are becoming central to how people communicate.
People want to be truly connected, independent of time and place, in a way that is
very personal to them. And, Nokia’s promise is to connect people in new and better
ways.
Nokia’s strategy is to build trusted consumer relationships by offering compelling
and valued consumer solutions that combine beautiful devices with context enriched
services.
HISTORY OF NOKIA
Year 1969
Nokia introduced the world's first 30-channel PCM (Pulse Code Modulation)
transmission equipment conforming to the standards of CCITT (Consultative
Committee on International Telegraphy and Telephony).
Year 1981
The world's first international cellular mobile telephone network NMT opened in
Scandinavia with Nokia introducing the first car phones for the network.
Year 1982
Europe's first digital telephone exchange, the DX 200.
Year 1984
The world's first portable NMT car telephone, the Nokia Talk man.
Year 1987
The world's first NMT hand portable, the Nokia Cityman.
Year 1988
The world's first ISDN (Integrated Services Digital Network) exchange conforming
to CCITT standards, manufactured by Nokia, was brought into use in Finland.
Year 1989
The world's first Actionist trucking mobile radio network was brought into operation.
The world's first fast-poll 14,400 bps (bits-per-second) modem.
Year 1990
The world's first Radio Data System (RDS) and Mobile Search (MBS) text pagers.
Year 1991
The first manufacturer to have a large-scale production-ready GSM phone. The
world's first genuine GSM call made using Radiolinja's network, supplied by Nokia.
Year 1992
The Nokia 1011, the first digital hand portable phone for GSM network.The Nokia
100 series, the first family of handportable phones for all analog networks.
Year 1993
The first Personal Communications Network based on GSM 1800 standard delivered
by Nokia.The world's first SMSC (Short Message Service Centre) taken into
commercial use in Europolitan's Nokia network.The world's first credit card size
cellular modem card developed with AT&T Paradyne.
Year 1994
The first official GSM call in the People4s Republic of China made on a Nokia
phone on Beijing TA4s network, supplied by Nokia.The first European manufacturer
to start selling mobile phones in Japan. The world's first Data Communications
Server (DaCS), providing fully digital, fast access to corporate LANs.The world's
first digital cellular data products, including the Nokia PC Card and the Nokia
Cellular Data Card. Inmarsat made the world's first satellite telephone call with
Nokia's pocket-size GSM handset. The first manufacturer to launch series of hand
portable phones for all digital standards (GSM, TDMA, PCN, and Japan Digital).
The Nokia 2100 was the world's smallest and lightest family of digital products.
Year 1995
The world's first integrated wireless payphone. The new joint venture, Beijing Nokia
Mobile Telecommunications Ltd., was established: the first factory to manufacture
large scale GSM systems and equipment in China.
Year 1996
The first digital multimedia terminal in the world, the Nokia Mediamaster.The Nokia
8100 product family, the first with an innovative, ergonomically comfortable design.
Chinese character short messaging service and Chinese user interface were launched
in the Nokia 8110 mobile phone. Nokia was the first manufacturer to offer both
simplified and traditional character sets in the same phone.
The Nokia 2160, the first available dual mode AMPS/TDMA phone.
The Nokia 9000 Communicator, the world's first all-in-one mobile communications
tool introduced at the CeBIT exhibition.
Year 1997
The world's first four TETRA networks were delivered by Nokia.
A new handset for the NMT 450 standard, the Nokia 540, which is the world's first
NMT phone with Navi Key.
The next generation GSM product family, the Nokia 6100 series. New standards for
operating times and a set of innovative industry-first features, including audio quality
and an entirely new Profile function which enables users to adjust the phone settings
according to various situations.
Next generation half-rate hand portable for the digital PDC standard in Japan. With
this introduction, Nokia is the first company to demonstrate an entirely new,
innovative feature for PDC handsets, which enables calling by voice activation.
The world's first GSM dual band base station, the Nokia GSM 900/1800 Dual Band
BTS. This provides the possibility to integrate GSM 1800 transceivers (TRXs) into
an existing GSM 900 Base station(BTS). The first call on the Helsinki City Energy
Company's digital TETRA network was made. The network, called officially Helen
Net by Helsinki City Energy Company, is the world's first network taken into
operative use, according to the TETRA standard.
Year 1998
Nokia delivered world's first ETSI standard ADSL and IP network to Telecom New
Zealand, thereby marking the start of commercial delivery of broadband data
services using the ADSL network.
The Nokia 9110 Communicator, the first hand-held mobile device supporting
wireless imagining. The Nokia 5100 series, the first mobile phones with user-
changeable covers. The world's smallest NMT 450 phone, the Nokia 650, sets a new
benchmark for NMT 450 technology. As a special additional feature and first in the
market, the Nokia 650 has a built-in FM radio.
Year 1999
Nokia introduced the world's first high-speed data terminal for wireless networks: the
Nokia Card Phone 2.0 brings about a four-fold increase in data transmission speed.
Nokia completed the world's first WCDMA (Wideband Code Division Multiple
Access) phone call through a public switched telephone network.
Nokia announced the world's first media phone that is based on the Wireless
Application Protocol (WAP) in Mobile Media Mode. The Nokia 7110 dual band
GSM 900/1800 media phone has been designed to enable easy access to Internet
content from a mobile phone.
Year 2000
Nokia introduced the world's first IPv6-enabled end-to-end GPRS network.
Operators can use Nokia GPRS networks to provide their customers with new types
of services that bring benefits offered by IPv6, such as global reach ability and end-
to-end security.
Nokia introduced the world's first TETRA WAP browser which brings powerful
WAP applications to TETRA professional mobile radio networks. WAP over
TETRA provides a new method of data communication for professionals. It enables
real-time direct access to various customer and technical databases in only a few
seconds.
Nokia has combined the versatility of WAP with the power of TETRA to introduce
the world's first WAP services for digital professional mobile radio users. The new
WAP services have been developed in co-operation with Finnish companies Helsinki
Energy and Tekla Corporation. Nokia and Sonera have completed tests that bring
roaming capabilities for IP traffic between GPRS networks for the first time in the
world.
Nokia and Scandinavian Airlines Systems announced a partnership to bring Nokia
mobile phones to the selection of goods sold on all international SAS flights. This is
the first time mobile phones will be sold on airplanes.
Nokia launched the Nokia Live Site platform, the world's first WCDMA
implementation which is compatible with the latest 3GPP standards for third
generation networks.
Nokia successfully carried out the world's first WAP service over a trial WCDMA
system. The tests were completed in Beijing, China, where Chinese language WAP
services were transmitted via the WCDMA system and radio network.
Nokia, a founding member of the SyncML initiative, announced that it had
successfully demonstrated the world's first wireless Internet synchronization using
the SyncL protocol.
Nokia is the first vendor in the world to bring full mobile IP packet data
functionalities into TETRA networks. Nokia TETRA IP significantly enhances
access to WAP services and more efficient WAP service development is possible
Nokia announces world's first GPRS roaming between M1 Singapore and Cable and
Wireless HKT Mobile Services, Hong Kong.
Year 2001
Nokia introduces the industry first multimedia messaging solution, the Nokia Art use
(TM) MMS (Multimedia Messaging Service) Center, a high-capacity platform for
the next wave of mobile messaging. The solution enables operators to introduce
multimedia messaging services combining new rich content, such as audio and video
clips, photographs and images with the traditional text messaging.
Nokia and the Finnish operator Sonera conducted the world's first Wireless LAN
roaming based on GSM technology. Sonera is making use of Nokia technology that
allows mobile operators to offer broadband wireless Internet services in Wireless
LAN access zones.
Year 2002
Nokia successfully made the first 3G WCDMA packet data calls between its
commercial network infrastructure and terminals in its laboratories in Finland. The
Nokia 3G WCDMA network and terminal used were based on the commercial
standard level known as 3GPP (3rd Generation Partnership Research research
project) Release 99 June 2001 version. This was the first time that packet data has
been transmitted end-to-end on a commercial system based on the above mentioned
commercial standard.
Year 2003
Nokia announced that the world's first cdma2000® 1xEV-DV high-speed packet data
phone call was completed at Nokia's CDMA product creation center in San Diego.
The call, achieving a peak data rate of 3.09 Mbps, was made between a test set based
on a commercially available Nokia 2285 handset upgraded with a Nokia 1xEV-DV
chipset and a Racal Instruments, Wireless Solutions Group, 1xEV-DV research
emulator. This chipset is the world's first to support complete 1xEV-DV Release C
functionality.
Year 2004
Using Nokia's CDMA Dual-Stack handset, Nokia demonstrated the industry's first
Mobile IPv6 call at the 3G World Congress Convention and Exhibition in
November. The demonstration highlighted real-time streaming video with seamless
handoff between two CDMA access networks using Mobile IPv6.
Nokia announced the Nokia NFC (Near Field Communication) shell, the latest step
in the development of innovative products for mobile communications, in
November. With the Nokia NFC shell on their phone, consumers will be able to
easily access a variety of services and conveniently exchange information with a
simple touch gesture utilizing NFC technology.
In October, Nokia and Telia Sonera Finland successfully conducted the world's first
EDGE-WCDMA 3G packet data handover in a commercial network.
Achieving a first for the Asia-Pacific region, Nokia, MediaCorp Technologies, M1
and the Media Development Authority of Singapore jointly showcased a live end-to-
end mobile phone TV broadcast over a DVB-H (Digital Video Broadcast -
Handheld) network at the Nokia Connection event in Singapore.
Nokia and Texas Instruments Incorporated introduced the first pre-integrated and
validated Series 60 Reference Implementation based on TI's OMAP(TM) processor-
powered reference design in February. The Reference Implementation is available
immediately to Series 60 licensees.
Year 2005
The Nokia 6630 imaging smartphone has as the first device in the world achieved
global GCF 3G WDCMA Certification. The certification was achieved based on the
requirements defined by Global Certification Forum (GCF), an independent industry
body which provides network compliancy requirements and testing for
GSM/WCDMA mobile devices. SBS Finland's Kiss FM became the first radio
station in the world to begin Visual Radio broadcasts. This unique new concept
developed by Nokia offers the listeners the possibility to give feedback and to
participate in programs easier than ever before.
Nokia introduced a new product for secure mobile contactless payments and
ticketing. The world's first Near Field Communications (NFC) product for payment
and ticketing will be an enhanced version of the already announced Nokia NFC shell
for Nokia 3220 phone.
Year 2006
Digital and Nokia signed world's first commercial DVB-H mobile TV platform
supply contract.
Nokia introduced Wibree technology as an open industry initiative extending local
connectivity to small devices. Wibree is the first open technology offering
connectivity between mobile devices or Personal Computers, and small, button cell
battery power devices suchas watches, wireless keyboards, toys and sports sensors.
Year 2007
Nokia became the first phone maker to add energy saving alerts to mobiles. Nokia
launched the first mobile phones to include alerts encouraging people to unplug the
charger once the battery is full, a move that could save enough electricity to power
85,000 homes a year. Starting with the new Nokia 1200, Nokia 1208 and the Nokia
1650, the alerts will be rolled out across the Nokia product range.
Nokia 6110, dedicated smart phone with inbuilt GPS, aimed towards the navigation
market.
Nokia N95 was the world’s first device combining GPS and wireless broadband
(HSDPA/WLAN). When it was introduced to the market in March 2007 (announced
in 2006), it was a flagship smartphone in many ways: it combined a new form factor
(2-way slide design), class-leading camera functionality with 5 mega pixels and
Carl Zeiss optics, in-built GPS, WLAN and HSDPA for ultra-fast 3.5G connectivity.
Year 2008
Nokia N97, the first Nokia mobile computer with QWERTY keyboard and touch
screen.
Year 2010 to 2013
In 2010, pressure on Nokia increased dramatically as Android and iOS continued to
make gains. Other Symbian OEMs including Samsung Electronics and Sony
Ericsson chose to make Android-based smartphones instead of Symbian, and by
mid-2010 Nokia was its only OEM outside Japan. Nokia developed Symbian^3 to
replace S60, but it never became popular. By Q4 2010, Symbian's market share
dipped to 32%, surpassed by Android at 30%. Despite losing share, the smartphone
unit was profitable and smartphone unit sales increased every quarter during
2010. An estimated 4 million units were sold in Q4 2010.
In February 2010, Nokia and Intel announced MeeGo, a merger of their Linux-
based Maemo and Moblin projects aiming to create a unified mobile operating
system for a wide array of devices, including tablets and smartphones. In particular,
Nokia planned to use MeeGo as a successor to Symbian on its future smartphones,
but despite of warm reception from all markets only Nokia N9 has been launched.
In an employee memo that surfaced in February 2011, Elop infamously described
Nokia as being on a "burning platform", blaming the "war of ecosystems" between
iOS and Android as part of Nokia's overall struggle, and asserting that the company
needed to make major changes to its operation.
2011: Alliance with Microsoft, Windows Phone, and launch of Lumia.
The Nokia Lumia 720
In February 2011, Stephen Elop and Microsoft's CEO Steve Ballmer jointly
announced a major business partnership between the two companies, which would
see Nokia adopt Windows Phone as its primary platform on future smartphones,
replacing both Symbian and MeeGo. The deal also included the use of Bing as
the search engine on Nokia devices, and the integration of Nokia Maps into
Microsoft's own mapping services. Nokia announced that it would still release one
device running the MeeGo platform in 2011, but that it would devote fewer resources
to future development of the platform, and that it would phase out Symbian
entirely. Aligning with Microsoft had been considered a possibility by analysts due
to Elop's prior employment with the company. Nokia unveiled its firstWindows
Phone 7-based devices, the mid-range Lumia 710 and high-end Lumia 800, on 26
October 2011 at its Nokia World conference.
After this announcement, Nokia's share price fell about 14%, its biggest drop since
July 2009. Nokia's smartphone sales, which had previously increased,
collapsed. From the beginning of 2011 until 2013, Nokia fell from #1 to #10 in
smartphone sales. Amid falling sales, Nokia posted a loss of 368 million euros for
Q2 2011, whereas in Q2 2010, it had realized a profit of 227 million euros. On
September 2011, Nokia has announced it would cut another 3,500 jobs worldwide,
including the closure of its Cluj factory in Romania.
As Nokia was the largest mobile phone and smartphone manufacturer worldwide at
the time, it was suggested the alliance would help Windows Phone. Nokia was
overtaken by Apple as the world's biggest smartphone maker by volume in June
2011. In August 2011 Chris Weber, head of Nokia's subsidiary in the U.S., stated
"The reality is if we are not successful with Windows Phone, it doesn't matter what
we do (elsewhere)." He further added "North America is a priority for Nokia (...)
because it is a key market for Microsoft.
Nokia reported "well above 1 million" sales for its Lumia line up to 26 January
2012, 2 million sales for the first quarter of 2012, and 4 million for the second
quarter of 2012. In this quarter, Nokia only sold 600,000 smartphones (Symbian and
Windows Phone 7) in North America. For comparison, Nokia sold more than 30
million Symbian devices world-wide in Q4 2010 and the Nokia N8 alone sold almost
4 million in its first quarter. In Q2 2012, 26 million iPhones and 105
million Android phones shipped, compared to only 6.8 million devices with Symbian
and 5.4 million with Windows Phone.
While announcing an alliance with Groupon, Elop declared "The competition... is not
with other device manufacturers, it's with Google." In June 2012, Nokia
chairman RistoSiilasmaa told journalists that Nokia had a contingency plan in the
event that Windows Phone failed, but did not specify what it was.
Year 2013 to 2014: Sale of mobile phone business to Microsoft
On 2 September 2013, Microsoft announced that it would acquire Nokia's mobile
device business in a deal worth €3.79bn, along with another €1.65bn to license
Nokia's portfolio of patents for 10 years; a deal totaling at over €5.4bn. Steve
Ballmer considered the purchase to be a "bold step into the future" for both
companies, primarily as a result of its recent collaboration. In an interview
with HelsinginSanomat, former Nokia executive AnssiVanjoki commented that the
Microsoft deal was "inevitable" due to the "failed strategy" of Stephen Elop.
The deal was closed on 25 April 2014 for "slightly more" than the originally stated
€5.44 billion. Nokia's mobile phone assets became a part of Microsoft Mobile, a new
subsidiary of Microsoft based in Finland. The deal was originally expected to be
closed in March 2014, but was delayed by a tax dispute involving a factory
in India—officials claimed that Nokia had not properly paid taxes on devices that
were produced at the plant, but sold domestically (exports are exempt from taxes).
Indian governments had required that Nokia place money in escrow before it was
allowed to transfer control of the factory to Microsoft. As a result, the plant was not
transferred to Microsoft, but would produce products on behalf of the company.
As part of the deal, Microsoft acquired the Asha and Lumia brands, but only had a
limited license to the Nokia brand. Microsoft could only use the Nokia brand to
promote Lumia products for 18 months after the closure of the
acquisition, X products through December 2015, and feature phones such as
the Series 30 series for 10 years. Microsoft did not acquire any rights to the Nokia
tune, which the company may only use as the default ringtone on Nokia-branded
devices. Nokia itself is also subject to a non-compete clause forbidding it from
manufacturing any Nokia-branded phones until 31 December 2015. Microsoft also
took over Nokia's website and social media outlets following the closure of the deal;
this arrangement was in place for a minimum of one year after the closure. The
company continued to use the Nokia name on smartphones through October 2014,
when Microsoft announced that future Lumia devices would be branded with
Microsoft's name and logo.
A number of Nokia executives joined Microsoft as a result; Stephen Elop became the
head of Microsoft's devices team (which include products such
as Xbox and Surface lines);RistoSiilasmaa replaced Elop as interim CEO, before the
appointment of Rajeev Suri. Post-acquisition, Nokia now focuses on three core
business units; its Here mapping service (which Microsoft will license for four years
under the deal), its infrastructure division Nokia Solutions and Networks (NSN), and
on developing and licensing its "advanced technologies".In July 2014, Microsoft
announced a significant layoff of workers, including 12,500 workers from the former
mobile phone group at Nokia. It was also reported that Microsoft had ended future
development of Nokia's feature phone and X lines in favor of focusing exclusively
on Windows Phone.
Year 2014 to present
Nokia has been involved in the acquisition of other companies. These include Medio
Systems by the HERE division.
In October 2014, Nokia and China Mobile signed a $970 million framework deal for
delivery between 2014 and 2015.
On 17 November 2014, Nokia technologies head RamziHaidamus disclosed that the
company planned to re-enter the consumer electronics business by licensing in-house
hardware designs and technologies to third-party manufacturers. Haidamus stated
that the Nokia brand was "valuable" but "is diminishing in value, and that’s why it is
important that we reverse that trend very quickly, imminently." The next day, Nokia
unveiled the N1, an Android 5.0 tablet manufactured by Foxconn, as its first product
following the Microsoft sale. Haidamus emphasized that devices released under
these licensing agreements would be held to high standards in production quality,
and would "look and feel just like Nokia built it."
NOKIA PHONES
Nokia remains the world's number one manufacturer of mobile phones, although its
position is under threat from other manufacturers, particularly Sony Ericsson and
Samsung. Nokia have the advantage of outstanding loyalty from its traditional
customers, together with a perceived reputation for reliability and user-friendliness.
One of Nokia's problems is its difficulty in competing against electronics giants like
Sony and Samsung with their unparalleled expertise in technologies like digital
photography and LCD displays. As these technologies become more and more
important in modern phones, the gap between Nokia and its rivals becomes more
apparent. Nokia's response is to focus more on innovative design and the concept of
a "fashion" phone. However, at the top end of the market, Nokia has a dominant
position in the smartphone market with its Series 60 platform.
Click on any of the Nokia phones below to read a full review (plus independent
reviews by consumers), and to find the best place to buy in the UK.
Nokia N-Gage -phone & games console in one!
Nokia 1100 -entry-level phone, designed with simplicity and reliability in mind
Nokia 2100 -practical and fun phone
Nokia 2300 -very basic phone
Nokia 2600 -entry-level color phone
Nokia 2650 -odd-looking clamshell phone with basic features
Nokia 3100 -color phone with glow-in-the-dark cover
Nokia 3200 -entry-level camera phone with customcovers
Nokia 3220 -fun camera phone aimed at teenagers
Nokia 3300 -music phone with MP3 player, stereo FM radio, and a digital recorder
Nokia 3310 -very popular pay as you go phone
Nokia 3410 -replacement for the Nokia 3330, with lots of new features
Nokia 3510 -similar to the 3410, with polyphonic ringtones, but lacking Java b
Nokia 3510i - bestof the 3410/3510 series
Nokia 3650 -multimedia phone with digital camera and video camera
Nokia 3660 -enhanced version of the 3650 with 65k colour screen
Nokia 5100 -hard-wearing phone with colour display & built-in radio
Nokia 5140 -durable phone designed for sportand outdooruse
Nokia 5210 -hard wearing, versatile phone
Nokia 6100- advanced feature-rich lightweight phone
Nokia 6170 -excellent value clamshell camera phone with metal caseand a good
range of features
Nokia 6220 -business class phone that also includes features like an integrated
digital camera, video recorder and FM radio
Nokia 6230 -improved version of the 6220 with 65k colour display
Nokia 6230i - review coming soon!
Nokia 6260 -advanced clamshell-design smartphone
Nokia 6310 -replacement for the classic 6210
Nokia 6310i - adds triband and Java™ capability to the Nokia 6310
Nokia 6510 -advanced phone, with similar features to the 8310
Nokia 6600 -smart phone with 65k colour display, camera, camcorder and Symbian
operating system
Nokia 6610 -all the features of the 7210 in a more conventional design
Nokia 6610i - adding a digital camera to the 6610
Nokia 6630 -first 3G smartphone
Nokia 6670 -multimedia smartphone with megapixel camera
Nokia 6800 -brand new phone with full QWERTY keyboard
Nokia 6810 -full QWERTYkeyboard, Bluetooth wireless connectivity and high
speed data
Nokia 6820 -messaging device with QWERTY keyboard and multimedia features
Nokia 7200 -Nokia's first clamshell phone
Nokia 7210 -hot new phone with colour display, triband, Java™ and polyphonic
ringtones
Nokia 7250 -similar to the 7210, but with an integrated digital camera
Nokia 7250i - enhanced version of the Nokia 7250
Nokia 7260 -Art-Deco inspired camera phone
Nokia 7270 -fashion phone with MP3 ringtones and viceo camera
Nokia 7280 -review coming soon!
Nokia 7600 -3G phone
Nokia 7610 -multimedia smartphone with megapixel camera
Nokia 7650 -amazing multimedia phone with colour display
Nokia 8310 -most popular Nokia phone, widely regarded as the bestcurrently
available
Nokia 8910i - exclusive phone with stunning looks
Nokia 9210 -heavy-duty mobile communications device
Nokia 9210i - updated Communicator with more memory and improved internet
supportand so on………
NOKIA COMMITMENT
As approximately one in three phones in use is a Nokia phone, it’s safe to say our
products influence the lives of hundreds of millions of people.
Maximizing the benefits of mobile communication and minimizing potentially
negative effects requires commitment from governments, civil society, and the
business sector. However, we recognize that as a market leader with global
operations, our potential impact, and therefore our responsibility, is great.
From a social growth and economic development perspective, we acknowledge our
impact and responsibilities throughout our value chain: in our sourcing, product
design, manufacturing, employee well-being, business partnerships, recycling,
community involvement, and communications. Through our product lifecycle we
respond to various environmental needs. Through employee relations, supply-chain
management, and consumer offerings we aim to have a positive social influence.
Our overall response to our stakeholders is to produce high-quality, safe products
while upholding the law, protecting the environment, and following sound best
practices. It is an expectation we strive to meet.
NOKIA VALUES
The values of our company make us different. They provide a sense of direction for
consistent behavior as employees and citizens of the world, and in our quest to be a
great internet company. Through extensive employee engagement, Nokia has now
created new values that reflect our business and changing environment. They act as a
foundation for our evolving culture and are the basis of our operational mode. Living
them every day is our shared philosophy.
Achieving together is more than collaboration and partnership. As well as trust, it
involves sharing, the right mind-set and working in formal and informal networks.
Passion for Innovation
Passion for innovation is based on a desire we have to live our dreams, to find our
courage and make the leap into the future through innovation in technology, ways of
working and through understanding the world around us.
Very Human
Being Very Human encompasses what we offer customers, how we do business and
the impact of our actions and behavior on people and the environment. It is about
being very human in the world - making things simple, respecting and caring. In
short, our desire is to be a very human company.
Organizational Change on Nokia
Some firms have had to change dramatically to stay in business. Nokia began
life as a lumber company, making the equipment and supplies needed to cut down
forests in Finland. It moved through into paper and from there into the ‘paperless
office’ world of IT – and from there into mobile telephones.1
As the world leader in mobility, Nokia is driving the transformation and
growth of the converging Internet and communications industries. The company
makes a wide range of mobile devices with services and software that enable people
to experience music, navigation, video, television, imaging, games, business mobility
and more. Developing and growing our offering of consumer Internet services, as
well as the enterprise solutions and software, is a key area of focus.2
It seems like every year, the company acknowledges the organizational
change and reshuffling the leaders. The company planned further changes in its sales
and marketing activities in the Markets unit, which is expected to affect about 450
employees, maximum 100 in Finland.3 Joining with the occurrences of change, it is
deliberately needed intense adjustments especially on the newly-deputies.
The Aims:
1. To follow-up the company’s reorganization in the past year that target to strengthen
the customer interface, and ensuring that all resources are well allocated to meet the
business needs and de-layer the organization.
2. To make the Nokia Research Center (NRC), which specialize long-term research
activities, sharpen its focus on fewer but stronger research areas.
3. The company is planning to relocate their activities in a more convenient site.
4. The company also plans some smaller workforce adjustments in global process
operations.
External influence affecting Nokia
Smartphone industries affected the position and reputation of the organization.
According to the Memo, the instigation and shipment of Apple’s I phone n 2007
gave rise to the downfall of the firm.
The memo declares that Nokia was not able to match that position of the market
constructed by Apple because this product made a rapid shift in the behavior and
concerns of consumers which further brought a decline in the preferences of
Nokia’s product worldwide. The external factors further included the quick launch
of similar phones that assured the development of application software in the
mobile and phones. Thus, this progression turned out to be the source of
reduction in the customers of Nokia because the organization even faced a
condition in which the customers of areas where Nokia had a strong hold namely;
Russia, Germany, Indonesia and Germany started shifting their preferences
towards other brands. Furthermore, Apple was not the only brand that gave Nokia
such a tough competition because several new entrants in market such as
Android and iOS as well made Nokia face the hard times.
Internal factor affecting Nokia
The external factors demanded a change in the internal environment so as to
maintain the equilibrium with the market. Therefore, Nokia required best
leadership maintenance within the organizations because the organization
needed change. Somehow, the internal maintenance lacked accountability and
leadership because the decision made at the time of the launch of first I phone
depicts that the burning platform which was experienced by Nokia was served with
gasoline by the internal environment which further brought reduction in the annual
profit of the corporation. Actually, the situation in 2007 demanded a proper aligned
plan that directs the company in moving further for the accomplishment of desired
goals.
Background
On the basis of analysis of case study depicts that Nokia required a change with
which it can manage to maintain their position in the market. The in-depth
investigation suggests that following are the reasons that make the requirement of
change esse4stila for Nokia:
The development of market in the direction of innovation made Nokia go for
change.
Missing the shipment and Smartphone revolution also requires Nokia to bring
Change
For the development of productlife and effectiveness
Management of poorleadership and accountability
Development of strategic decisions for the launch of similar products
These are the factors that require the organization to implement change
management; somehow, these implementations can as well turn out to be
challenging for the corporation (Aspara, Lamberg, Laukia and Tikkanen, 2011).
Furthermore, the problems findings that can Nokia encounter during the
implementation of change are discussed below:
Problems-findings
Even Burtonshaw – Gunn and Salameh (2007) claimed that change can bring
several problems and challenges that requires to be resolved for the better
execution of strategies because sometimes change can shatter the processes of the
corporation and bring even worst situation for it. The estimated problems and
challenges for the firm during the change management are defied below:
First of all, the organizational can fail in understating the problem.
Similarly, lack of management while addressing the change can also affect the
change and processes ofthe firm
Actually, change management problem is mainly raised due to the lack of
understanding of gravity of the situation.
Lack of understanding among employees and seniors can as well occur
during the processesofchange management
Leadership differences and opinion differences can arise that states both
agreement and disagreement with the change
Decision maintenance and workforce maintenance is the major issue that can arise
during the change management
Organizational Change Models
There are two possible organizational change models that the Nokia used in
establishing their efforts that falls under the Strategic Planning model. There is
various kind of approach and two are picked-up for careful examination. The two
models are Alignment Model and Scenario Planning Model.
Alignment Model
This kind of model ensures the strong alignment among the organization’s
mission and its resources to effectively operate the organization. This model is useful
for organizations that need to fine-tune strategies or find out why they are not
working. An organization might also choose this model if it is experiencing a large
number of issues around internal efficiencies. Overall steps include:
1. The planning group outlines the organization’s mission, programs, resources, and
needed support.
2. Identify what’s working well and what needs adjustment.
3. Identify how these adjustments should be made.
4. Include the adjustments as strategies in the strategic plan
Scenario Planning
This approach might be used in conjunction with other models to ensure
planners truly undertake strategic thinking. The model may be useful, particularly in
identifying strategic issues and goals.
1. Comes with the selection of several external forces and imagining the related
changes which might influence the organization.
2. For each change in a force, discuss three different future organizational scenarios
which might arise with the organization as a result of each change. Reviewing the
worst-case scenario often provokes strong motivation to change the organization.
3. Suggestions are formulated what the organization might do, or potential strategies,
in each of the three scenarios to respond to each change.
4. Planners soondetect common considerations or strategies that must be addressed to
respond to possible external changes.
5. The selection of the most likely external changes to effect the organization, and
identifying the most reasonable strategies the organization can undertake to respond
to the change.
Change Management Model
The discussion above shows that change management can cause several problems
and challenges that require to be addressed; however, in the case of Nokia, Kotter’s
model of change management is found to be influencing because the model
includes the practices and strategies that an organization can apply so as to
maintain and manage the change within the organization.
Kotter’s Change ManagementModel
This model of change management was created by the professor of Harvard
University John Kotter in 1966 (Cameron and Green, 2012). The model includes
eight different stages that are actually the processes requires to be implemented so
as to manage and execute a fruitful change (Winkler, 2009). These are defined
below:
Figure 1: Kotter's Change Management
Model
(Source: Winkler,
2009)
Step no1: Understand the Exigency of Change: This is the first step in which
identification of change emergency takes place because this identification will
accelerate the processes of change. However, Nokia requires conducting an in-
depth analysis so as to quote the urgency of change. For this purpose, assessment
of market and competitive organizations can help in managing the procedures and
processes of change. This identification can actually enhance the progression in the
change implementation.
Step no 2: Maintenance of Team dedicated to Change: The second step of the
model depicts that so as to manage the change, organization requires managing the
workforce for the change so that their operations and functions can limit to that
certain change only. However, in the case of Nokia as well the organization
requires the maintenance of the proper workforce that work only for the
development of change.
Step no 3: Establishment of Idea for Change: The identification and
development of a clear idea is essential for the execution of change. Nokia as
well requires the execution of a clear vision about the implementation of change.
Maintaining innovation should be in the clear approach and vision of the Nokia
because this is the actual factor where the change is required.
Step no 4: Sharing Necessitate of Change: The fourth stage of change model
includes the communication of change within the organization. Similar to this,
Nokia as well requires the communication of change internally so as to make the
employees aware about it through which they can further improve the processes of
change.
Step no 5: Empower Staff for Change: The fifth step of change management
model helps in empowering staff so that they can contribute in the development of
actual change. Nokia as well needs to incorporate the empowering culture for the
staff so that they can manage the change.
Step no 6: Settlements of Objectives: The maintenance of objectives is also a
major step of change management model; Nokia requires executing the settlement
of objectives for the change so that it can manage it gradually.
Step no 7: Maintaining Persistency: Persistency maintenance is also essential
for the management of change; thus, Nokia requires maintaining the persistency
with the operations and function. This should be maintained after extracting
the fine results in the face of accomplishment of short term objectives.
Step no 8: Change implementation lastingly: The whole management lastly
requires the implementation of actual change which in Nokia exhibits as the
execution of innovation in the products.
Solution for the Problems Faced by Nokia: Organizational Development
Strategies
Since Nokia faced a major challenge after the instigation of innovative
Smartphone, the conditions and situations required Nokia to bring the change
internally. Execution of change within the internal environment of organization
was actually influenced by the external pressure on Nokia. As stated by Todnem
(2005); Burke, (2013) changes require proper management so as to produce fruitful
outcomes or the results because no change can affect the organization if it is
managed properly. However, the model above reflected a proper format that
can help in managing the procedures of the firm. The change management
requires the solution initiated from an organizational development technique.
Furthermore, the organizational change management requires the organizational
development strategies so as to maintain the change effectively (Schyns and
Schilling, 2011; Schyns and Meindl, 2005). Estimated possible solutions
about organizational development for change management in Nokia are
discussed
Figure 2: Organizational Development Strategies for Change
(Source: Palmer, Dunford and Akin,
2008)
On the basis of figure 2 the estimated organizational development strategies
concerning to change are further demonstrated below (Palmer, Dunford and Akin,
2008).
Directive Strategy
Directive strategy involves the development of authority and seniors because
seniors are the actual person that requires adjusting and declaring the change.
Actually, if seniors are attuned with change they can automatically prepare the
workforce for the execution of a change in the organization (Meyer, 2009; Ensley,
Hmieleski and Pearce (2006). Since the downfall of Nokia was enhanced due to
the lack of leadership and accountability among the seniors of the organization,
directive strategy can help in managing the change. For instance, Nokia can
provide the authority to the senior authority to impose change after developing a
clear vision for that. Advantage of this approach for Nokia can reduce the
resistance.
Expert Strategy
The expert strategy is actually interlinked with the development of IT and technical
development because it prepares the technical aspects to shift with the change
(Palmer, Dunford and Akin,
2008). Since Nokia required a quick change so as to bring technology and
change in their
products, man aging expert strategy can benefit the firm. This strategy solves
the problem concerning to technology through giving charge to the IT and R&D
department of an organization.
Participative Strategy
The people are the core part of an organization; thus, their involvement and
resistance to the change declares that whether the change is to be
implemented or not (Hitt, Ireland and Hoskisson, 2012). This strategy should be
included in the organizational development strategy because it enables the
participation and sharing of other people during the implementation of change. In
Nokia, this strategy is extremely important because the position and scenario that
Nokia was facing required a team work.
Negotiating Strategy
Identifying and discussing the issues with the people who are either involved or
affected with the change is crucial because it helps in marinating a fine
environment for the workforce to work in (Meyer, 2009). This strategy involves
the discussion with the specific department and people that got affected with
the change so as to establish the adjustment. Nokia requires applying
negotiating strategy so that they can reduce the resistance that can occur in the
direction of change implemented.
Educative Strategy
Making people understand the change through giving them training and education
about the change can help in successful execution of change within an
organization
The condition and circumstances of Nokia required a shift among the values and
beliefs of people involved in change so that they can easily accept and adjust with
the change. Development of communication, persuasion and training can help
Nokia in attracting the interest of people with which the organization can enhance
the performance in the society.
These are the estimated solutions that can help Nokia in attracting the position that
it had in past times because the change requires the organizational development
strategies
Resistance to change
Employees’ resistance
Employee protest
Immediately after Elop’s February 11th announcement, around a
thousand Nokia employees walked out from the Nokia’s offices in Finland
to participate in a protest. They were shocked about the announcement
and worried about losing jobs. Many of them were confused about the
situations, and would like to hear more information from the company
about the impact to their job roles. (HELSINGIN SANOMATINTERNATIONAL
EDITION February 11, 2011)
Figure 4-1: Nokia employees walked out from their offices in Finland for
a protest after Stephen Elop announced the strategy change
(Photo courtesy: Kai Tirkkonen)
Employees’ disagreement with the CEO
When asked about the decision of discarding MeeGo as a mainstream
platform, Stephen Elop pointed out Nokia could not manage to
manufacture enough MeeGo devices in the forthcoming years. Felipe
Contreras, a software engineer at Nokia, published a blog article arguing
that there should not be technical constraints to manufacture even up to
10 devices with the same hardware architecture as the Nokia N9. He also
pointed out that Windows Phone was even less flexible to adapt different
hardware architectures than MeeGo, and he accused of Elop not answering
his questions directly. (Contreras June
21, 2011)
Figure 4-2: Anssi Vanjoki (left), ExecutiveVice President and Head of
Mobile Solutions (left) and Jorma Ollila, Chairman of Nokia
(right) were the senior management team members who eventually
resigned from Nokia (Photo courtesy: Nokia Corporation)
Cultural differences
When Elop and his leadership team handled the massive layoffs in
Finland, the effects of cultural differences between Scandinavian and
North American cultures, especially Finnish’s feminine and strong
uncertainty avoidance attributes were underestimated.
Stephen Elop is a Canadian and is the first non-Finnish CEO ofNokia in its
148 years of history (The Wall Street Journal June 3, 2011), while Nokia was
still the largest private company in Finland back in 2010. As of today, half
of Nokia’s leadership team are Finnish. (Nokia Corporation 2013)
According to Hofstede’s cultural dimensions (Hofstede 2012), Finland is a
“feminine” country with high uncertainty avoidance. This means that
Finnish people prefer cooperation, caring for the weak and enjoy quality
life, while at the same time they do not feel comfortable about
uncertainties and would try to do whatever they can to avoid them. The
fact that a thousand of Finnish Nokia employees
walked out from the office in response to Elop’s announcement is a
good example of their strong uncertainty avoidance.
Canada, the country where Elop came from, is a relatively masculine
country with strong individualism and lower uncertainty avoidance than
Finland. This means Canadian expect everyone takes cares of themselves,
being more assertive and always strive for better achievements and
material rewards. USA, where four of the leadership were graduated in,
also shares similar cultural dimension attributes as Canada.
When Elop and his leadership team handled the massive layoffs in
Finland, it seems that they were not aware of the cultural differences
between Scandinavian and North American cultures, especially Finnish’s
feminine and strong uncertainty avoidance attributes.
Market’s resistance
Customers’ resistance
Nokia supporters and existing Symbian users were shocked and angry
about the announcement. This was because Nokia had its own platforms
for long, users and supporters were eager to see Nokia’s newest platform
innovation. The sudden abandonment of Symbian and MeeGo in favour
of an outsider’s platform also made them angry because many of them
disliked Microsoft and its offerings.
Besides saying Nokia and Microsoft will achieve a much better future,
Nokia did not do much to alleviate the immediate resistance of the
customers. (Nokia Corporation February 11, 2011ba)
Network operators’ resistance
According to Elop, network operators were hesitant about Windows
Phone’s ecosystem because of Skype, a well-known voice conversation
application that can make use of Internet connection to perform
international calls, which was acquired by Microsoft in 2011. (Skype
Global S.à.r.l. May 10,
2011)
The operators worried that Windows Phone users would heavily rely on
Skype to make international calls over the 3G networks, putting their
international calling businesses at risk. In response, Microsoft and Nokia
said they are flexible on whether or not the operators to include Skype as
a default application in the Windows Phone devices they sell. (Yarow May
4, 2012)
Figure 4-6: Skype runs on an Nokia Lumia Windows Phone (Photo
courtesy: Skype Gobal S.à.r.l )
Intel’s response
Intel, the strategic partner of Nokia on the MeeGo project back in 2010,
was disappointed about the announcement. (Rawal February 11, 2011)
Paul Otellini, Intel’s CEO, said Nokia made a wrong decision on choosing
Microsoft as a strategic partner. He even said, “I would probablyhave gone
to Android if I were him.” (Thomson Reuters February 17, 2011)
A few months later, Otellini admitted “Nokia was the wrong partner to have
picked”and blamed Nokia for dropping plans to release a MeeGo
smartphone based on Intel’s chips. As a reminder of fact, Nokia N9, the
only MeeGo smartphone by far, is equipped with a processor
manufactured by Texus Instruments. (Shilov May19, 2011)
Nokia did not directly respond to Intel’s comments on MeeGo.
Even though Elop said MeeGo was for “future disruption”, it turned out
that the MeeGo team was eventually dissolved and team members
departed the company to create quite a few start-up companies in
Finland, with financial support received from Nokia’s “Bridge” program.
(Lunden July 10,
2012)
4.2.4 Software developers’ resistance
4.2.4.1 Philosophical conflicts between F/OSS and proprietary software
supporters
Before Nokia switched its focus to Windows Phone, it had been a long-time
supporter of Free and Open Source Software (F/OSS) – Qt, the application
framework shared across Symbian and MeeGo, is open source (Qt Project
Hosting 2011); Symbian was once open sourced under the Symbian
Foundation set up by Nokia (Symbian Foundation November 2010); and
MeeGo itself was initiated as an open source project. (Intel Corporation
February 15, 2010).
Figure 4-7: Nokia N9, Nokia's only MeeGo smartphone, is based heavily on
the Qtapplication framework. (Photo courtesy: Nokia
Corpora
tion)
Microsoft’s Windows Phone, in contrast, is a totally proprietary platform
like Apple iOS. Its closed source nature heavily limits developers’ freedom
to innovate (Lee October 8, 2010), and developers often have to work
around different ways to bypass the restrictions imposed by Microsoft.
The F/OSS communities have a strong philosophical belief that everyone
should have the freedom to access, modify and redistribute the source
code of all software, given that the modified code must also be open
source. (The Free Software Foundation 2012) For decades, the F/OSS
communities see Microsoft as an “evil” company as it attacked open
source initiatives in the past. (Smart July 22, 2009)
Many F/OSS software developers involved in Nokia related projects were
angry about the change, because they felt that Nokia betrayed them with
fake promises on Qtand MeeGo to fall in love with the “devil”. These
developers discussed the news on Twitter and tagged with hash tag
#elopocalypse, a combination of “Elop” and “apocalypse”, to express their
anger. (SamatJain February 10, 2011)
To address developers’ concerns, Nokia emphasised that Symbian and
MeeGo smartphones would still be based on Qt,while feature phones
would also be using open web technologies. Nokia welcomed developers
to continue to contribute their efforts to these platforms. (Delaney
November 2, 2011)
4.2.4.2 Sceptical view of Stephen Elop being Microsoft’s “Trojan horse”
Stephen Elop was the Head of Business Division in Microsoft before joining
Nokia, and he was the CEO ofMacromedia which was then acquired by
Adobeduring his term. Elop was found to be holding Microsoft’s shares
after he had become the Nokia CEO for months. (Meyer February 13, 2011)
There had been a character flaw and sceptical view among the developers
and customers that Elop is actually a “Trojan horse” sent from Microsoft in
order to destroy Nokia’s share price to facilitate Microsoft’s
acquisition. Elop was even asked by an audience publically “Are youa
Trojan horse?” in the Mobile
World Congress 2011. (Rockman February 14, 2011)
Figure 4-8: Stephen Elop was rumoured to be Microsoft's "Trojan horse"
to destroy Nokia for easier acquisition
(Photo courtesy: MyNokiaBlog.com)
Elop, of course negated the claim and said the speculation of Microsoft
to acquire Nokia was totally baseless. He also tried to explain the
situations of his Microsoft shares. (Rockman February 14, 2011, Burrows
et al. June 2, 2011)
4.2.5 Shareholders’ resistance
Shareholders were shocked about the strategy shift and Nokia’s share
price was steep-dropped by nearly 10% immediately after the February
11th announcement, and as of March 2013 Nokia’s share price is still far
from recovering back to the pre-strategy-change level. (Weisenthal
February 11, 2011)
February 11, 2011
Nokia announced partnership with Microsoft
Share price dropped by nearly 10%
Figure 4-9: Nokia's share price trend (Thomson Reuters
March 8, 2013)
4.2.6 Responses from analysts
Market analysts from all over the world had diverse views on the strategy
change. Some thought the change was in correct direction but how the
transition was managed was wrong; while some totally disagreed with
the context of the change. (Reed October 19, 2012)
One of the extreme negative voices was from the mobile industry analyst
and ex-Nokia executive Tomi Ahonen, he said Elop’s “Burning Platform”
memo “wiped out $13B revenues, destroyed $4B profits in just 12 months”
and reckoned that “Elop is indeed the worst CEO ever seen in corporate
governance and he truly must be fired immediately”. (Ahonen June 14, 2012,
Ahonen July6, 2012)
Conclusion
Summarizing the above report it has been estimated that Nokia faced tremendous
issues and challenges after the launch of Smartphone series. Nokia was known to
be a global brand that was found on the leading position in the market. Somehow,
the instigation of Apple I phone in 2007 brought misfortune for Nokia because the
execution of innovation and Smartphone made Nokia lose its position. Similar to
this, the entrance of several new products as well turned out to be harmful and
effective for the market reputation of Nokia. Nokia actually faced such drawbacks
only because it failed in fulfilling its customers need and demand. Since the
instigation of Smartphone shifted the views and concerns of consumers the market
as well shifted strategies in relation to the innovation and creativity. The
organization required an effective and quick strategy so as to maintain and
retain the customers because the shift in the market caused Nokia to lose the
customers from the area where it had the strong hold. On the basis of overall view
of the study, it has been estimated that Nokia critically required the change that can
provide the execution of the proper position in the market.
The action plan of Nokia assessed that innovation is the basic techniques that can
help the organization in attracting the customers back. Actually, the change is of
utmost importance and significance only because the market value of Nokia is
observed to be decreasing and the estimated impact is recorded from both
internal and external disorder. The external shifts and impacts affected internal
environment of Nokia also because the management failed in understanding the
action plan. The summary depicts that internal influences were also there because
the case study highlights that Elop believed that lack of management and
leadership added fuel to the fire in which the organization was burning.
However, execution of an appropriate change can help in managing the position of
Nokia; the development of a specific criterion for the change is found to be
essential. Somehow, the management of change as well requires a major
observation and consideration because failing in change management can affect
the productivity and performance of the business. Initially summary also
depicts that management of change is also effective and operative for the
attainment of similar position in the market. Lastly, the suggested techniques for
the change management are stated as the Kotter’s model of change. The model can
be applied so as to attract a proper in line process for the execution of change. The
maintenance of this model can provide an opportunity for the organization with
which it can re-establish its position in the market.
Recommendations
Subsequent to the conclusion, researcher addresses some recommendations for
Nokia which are briefly discussed below:
So as to attract similar position in the market, the management of Nokia
requires implementing the strategies that includes the change. However,
change further requires an effective leadership processes because this is a
functioning approach that can result in the extreme productivity. Basically,
it has been recommended to the organization that execution of new
leadership can turn out to be effective for the development of an
organization. The execution of an outer leadership strategy can make it
helpful for the organization about executing the proper and operative
strategy.
Similar to this, it has been recommended to Nokia to execute an innovative
corporate planning through maintaining the strategic decision. This strategy
can help in managing the performance of the business because it brings
the decision making ability for the firm.
Retrenchment is also recommended for Nokia because this is can help in
maintaining the loss that has been addressed by the organization. The reduction
in extra expenses can as well develop the opportunity for the development of an
organization.
It has been recommended to Nokia to maintain a clear view about the factors
that are concerned with the development of change. Basically,
maintenance of change with respect to the technology should be followed
with consistency. Therefore, managing the proper view point with the
urgency of execution of change can help the organization in attracting
reputation and status.
Furthermore, it is also recommended to Nokia to change the strategic
direction because the discussion above depicts that the condition started
getting worse when the internal
environments after the launch of I-phone took the wrong
strategic direction. Furthermore, the execution of an effective strategic
direction can contribute into the development of an organization.
It has been recommended to Nokia to change the objective to globalization
of markets becausethis can further expand the business and productivity of
the organization.
Nokia did not do much to respond and address the concerns brought out
from industry analysts,besides directly quoting Tomi Ahonen’s immediate
feedback a day after the announcement in a Nokia official blog article and
verbally answering questions at the annual general meetings and various
other occasions. (Phil February 12, 2011)

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Organisation change in nokia

  • 1. INTRODUCTION OF NOKIA GROUP Nokia is a world leader in mobile communications, driving the growth and sustainability of the broader mobility industry. Nokia connects people to each other and the information that matters to them with easy-to-use and innovative products like mobile phones, devices and solutions for imaging, games, media and businesses. Nokia provides equipment, solutions and services for network operators and corporations. Nokia is a broadly held company with listings on four major exchanges. The world's first international cellular mobile telephone network NMT was opened in Scandinavia in 1981 with Nokia introducing the first car phones for the network Or, that the world's first NMT hand portable, the Nokia Cityman, was launched in 1987. Nokia Reviews My focus is Nokia phones. I also write about the everyday usage of Nokia cell phones - small useful tips and tricks to get more out of your Nokia. I write about and compare the newest phones, smart phones, camera phones, clamshell, candy bar, slider, 3G and flip phones. Which cell phone browsers are available for my Nokia? About Nokia camera phones. Can a Nokia phone compete with MP3 players like the iPod? Should I protect my Nokia against virus attacks? Is there a better calendar available for my Nokia Smartphone? Should I upgrade the software on my phone? How do I make Nokia wallpapers or themes for my Nokia? Where can I buy Nokia phones? Go for Nokia videos. Nokia Oyj is a Finnish multinational communications and information technology company. Nokia is headquartered in Espoo, Uusimaa, in the greater Helsinki metropolitan area. In 2014, Nokia employed 61,656 people across 120 countries, conducts sales in more than 150 countries and reported annual revenues of around
  • 2. €12.73 billion. Nokia is a public limited-liability company listed on the Helsinki Stock Exchange and New York Stock Exchange. It is the world's 274th-largest company measured by 2013 revenues according to the Fortune Global 500. The company currently focuses on large-scale telecommunications infrastructures, technology development and licensing, and online mapping services. Nokia is also a significant contributor to the mobile telephony industry, having assisted in development of the GSM and LTE standards, and was, for a period, the largest vendor of mobile phones in the world. Nokia's dominance also extended into the smartphone industry through its Symbian platform, but it was soon overshadowed by the growing dominance of Apple's iPhone line and Android devices. Nokia eventually entered into a pact with Microsoft in 2011 to exclusively use its Windows Phone platform on future smartphones. In September 2013, Microsoft announced that it would acquire Nokia's mobile phone business as part of an overall deal totaling €5.44 billion (US$7.17 billion). Stephen Elop, Nokia's former CEO, and several other executives joined the new Microsoft Mobile subsidiary of Microsoft as part of the deal, which was completed on 25 April 2014. In November 2014, following the Microsoft sale, Nokia announced plans to license its product designs and technologies to third-party manufacturers, primarily to enable a continued presence for the Nokia brand in the consumer electronics hardware market. The first product borne of this strategy is the Nokia N1 tablet. VISION Corporate responsibility programming reflects an increasing interest (both internally and externally) in the impact our business actions have on communities from societal, environmental, and economic perspectives. We both acknowledge and understand that our responsibilities go beyond simply providing quality communication products. As a market leader, the best contribution we can make to the global community is to conduct our business in a responsible way. This belief drives our commitment to creating ethically sound policies and principles that guide us in our work. Our Corporate Responsibility (CR) agenda is framed around the Nokia Values and is carried out in all aspects of our work to ensure customer satisfaction and respect, and also to assist us in embracing renewal and striving for achievement. Our values are put into action with the help of the Nokia Code of Conduct, which aims to reach beyond legal compliance or reactionary positioning by taking a leading role in the various areas where society is affected by the mobile communication business.
  • 3. This translates into further action as we integrate CR ideas and work practices throughout our various business channels. By striving to include all members of Nokia’s community in this process, we are demonstrating our overall commitment to the belief that responsibility is everybody’s business. Our promise is to help people feel close to what is important to them Nokia is a consumer led company. There is a progressive and continuous increase in consumer involvement with technology and communications globally. People are broadening their modes of communication to include the web and, social networks are becoming central to how people communicate. People want to be truly connected, independent of time and place, in a way that is very personal to them. And, Nokia’s promise is to connect people in new and better ways. Nokia’s strategy is to build trusted consumer relationships by offering compelling and valued consumer solutions that combine beautiful devices with context enriched services.
  • 4. HISTORY OF NOKIA Year 1969 Nokia introduced the world's first 30-channel PCM (Pulse Code Modulation) transmission equipment conforming to the standards of CCITT (Consultative Committee on International Telegraphy and Telephony). Year 1981 The world's first international cellular mobile telephone network NMT opened in Scandinavia with Nokia introducing the first car phones for the network. Year 1982 Europe's first digital telephone exchange, the DX 200. Year 1984 The world's first portable NMT car telephone, the Nokia Talk man. Year 1987 The world's first NMT hand portable, the Nokia Cityman. Year 1988 The world's first ISDN (Integrated Services Digital Network) exchange conforming to CCITT standards, manufactured by Nokia, was brought into use in Finland. Year 1989 The world's first Actionist trucking mobile radio network was brought into operation. The world's first fast-poll 14,400 bps (bits-per-second) modem. Year 1990 The world's first Radio Data System (RDS) and Mobile Search (MBS) text pagers. Year 1991 The first manufacturer to have a large-scale production-ready GSM phone. The world's first genuine GSM call made using Radiolinja's network, supplied by Nokia. Year 1992 The Nokia 1011, the first digital hand portable phone for GSM network.The Nokia 100 series, the first family of handportable phones for all analog networks. Year 1993
  • 5. The first Personal Communications Network based on GSM 1800 standard delivered by Nokia.The world's first SMSC (Short Message Service Centre) taken into commercial use in Europolitan's Nokia network.The world's first credit card size cellular modem card developed with AT&T Paradyne. Year 1994 The first official GSM call in the People4s Republic of China made on a Nokia phone on Beijing TA4s network, supplied by Nokia.The first European manufacturer to start selling mobile phones in Japan. The world's first Data Communications Server (DaCS), providing fully digital, fast access to corporate LANs.The world's first digital cellular data products, including the Nokia PC Card and the Nokia Cellular Data Card. Inmarsat made the world's first satellite telephone call with Nokia's pocket-size GSM handset. The first manufacturer to launch series of hand portable phones for all digital standards (GSM, TDMA, PCN, and Japan Digital). The Nokia 2100 was the world's smallest and lightest family of digital products. Year 1995 The world's first integrated wireless payphone. The new joint venture, Beijing Nokia Mobile Telecommunications Ltd., was established: the first factory to manufacture large scale GSM systems and equipment in China. Year 1996 The first digital multimedia terminal in the world, the Nokia Mediamaster.The Nokia 8100 product family, the first with an innovative, ergonomically comfortable design. Chinese character short messaging service and Chinese user interface were launched in the Nokia 8110 mobile phone. Nokia was the first manufacturer to offer both simplified and traditional character sets in the same phone. The Nokia 2160, the first available dual mode AMPS/TDMA phone. The Nokia 9000 Communicator, the world's first all-in-one mobile communications tool introduced at the CeBIT exhibition. Year 1997 The world's first four TETRA networks were delivered by Nokia. A new handset for the NMT 450 standard, the Nokia 540, which is the world's first NMT phone with Navi Key. The next generation GSM product family, the Nokia 6100 series. New standards for operating times and a set of innovative industry-first features, including audio quality
  • 6. and an entirely new Profile function which enables users to adjust the phone settings according to various situations. Next generation half-rate hand portable for the digital PDC standard in Japan. With this introduction, Nokia is the first company to demonstrate an entirely new, innovative feature for PDC handsets, which enables calling by voice activation. The world's first GSM dual band base station, the Nokia GSM 900/1800 Dual Band BTS. This provides the possibility to integrate GSM 1800 transceivers (TRXs) into an existing GSM 900 Base station(BTS). The first call on the Helsinki City Energy Company's digital TETRA network was made. The network, called officially Helen Net by Helsinki City Energy Company, is the world's first network taken into operative use, according to the TETRA standard. Year 1998 Nokia delivered world's first ETSI standard ADSL and IP network to Telecom New Zealand, thereby marking the start of commercial delivery of broadband data services using the ADSL network. The Nokia 9110 Communicator, the first hand-held mobile device supporting wireless imagining. The Nokia 5100 series, the first mobile phones with user- changeable covers. The world's smallest NMT 450 phone, the Nokia 650, sets a new benchmark for NMT 450 technology. As a special additional feature and first in the market, the Nokia 650 has a built-in FM radio. Year 1999 Nokia introduced the world's first high-speed data terminal for wireless networks: the Nokia Card Phone 2.0 brings about a four-fold increase in data transmission speed. Nokia completed the world's first WCDMA (Wideband Code Division Multiple Access) phone call through a public switched telephone network. Nokia announced the world's first media phone that is based on the Wireless Application Protocol (WAP) in Mobile Media Mode. The Nokia 7110 dual band GSM 900/1800 media phone has been designed to enable easy access to Internet content from a mobile phone. Year 2000 Nokia introduced the world's first IPv6-enabled end-to-end GPRS network. Operators can use Nokia GPRS networks to provide their customers with new types of services that bring benefits offered by IPv6, such as global reach ability and end- to-end security.
  • 7. Nokia introduced the world's first TETRA WAP browser which brings powerful WAP applications to TETRA professional mobile radio networks. WAP over TETRA provides a new method of data communication for professionals. It enables real-time direct access to various customer and technical databases in only a few seconds. Nokia has combined the versatility of WAP with the power of TETRA to introduce the world's first WAP services for digital professional mobile radio users. The new WAP services have been developed in co-operation with Finnish companies Helsinki Energy and Tekla Corporation. Nokia and Sonera have completed tests that bring roaming capabilities for IP traffic between GPRS networks for the first time in the world. Nokia and Scandinavian Airlines Systems announced a partnership to bring Nokia mobile phones to the selection of goods sold on all international SAS flights. This is the first time mobile phones will be sold on airplanes. Nokia launched the Nokia Live Site platform, the world's first WCDMA implementation which is compatible with the latest 3GPP standards for third generation networks. Nokia successfully carried out the world's first WAP service over a trial WCDMA system. The tests were completed in Beijing, China, where Chinese language WAP services were transmitted via the WCDMA system and radio network. Nokia, a founding member of the SyncML initiative, announced that it had successfully demonstrated the world's first wireless Internet synchronization using the SyncL protocol. Nokia is the first vendor in the world to bring full mobile IP packet data functionalities into TETRA networks. Nokia TETRA IP significantly enhances access to WAP services and more efficient WAP service development is possible Nokia announces world's first GPRS roaming between M1 Singapore and Cable and Wireless HKT Mobile Services, Hong Kong. Year 2001 Nokia introduces the industry first multimedia messaging solution, the Nokia Art use (TM) MMS (Multimedia Messaging Service) Center, a high-capacity platform for the next wave of mobile messaging. The solution enables operators to introduce multimedia messaging services combining new rich content, such as audio and video clips, photographs and images with the traditional text messaging.
  • 8. Nokia and the Finnish operator Sonera conducted the world's first Wireless LAN roaming based on GSM technology. Sonera is making use of Nokia technology that allows mobile operators to offer broadband wireless Internet services in Wireless LAN access zones. Year 2002 Nokia successfully made the first 3G WCDMA packet data calls between its commercial network infrastructure and terminals in its laboratories in Finland. The Nokia 3G WCDMA network and terminal used were based on the commercial standard level known as 3GPP (3rd Generation Partnership Research research project) Release 99 June 2001 version. This was the first time that packet data has been transmitted end-to-end on a commercial system based on the above mentioned commercial standard. Year 2003 Nokia announced that the world's first cdma2000® 1xEV-DV high-speed packet data phone call was completed at Nokia's CDMA product creation center in San Diego. The call, achieving a peak data rate of 3.09 Mbps, was made between a test set based on a commercially available Nokia 2285 handset upgraded with a Nokia 1xEV-DV chipset and a Racal Instruments, Wireless Solutions Group, 1xEV-DV research emulator. This chipset is the world's first to support complete 1xEV-DV Release C functionality. Year 2004 Using Nokia's CDMA Dual-Stack handset, Nokia demonstrated the industry's first Mobile IPv6 call at the 3G World Congress Convention and Exhibition in November. The demonstration highlighted real-time streaming video with seamless handoff between two CDMA access networks using Mobile IPv6. Nokia announced the Nokia NFC (Near Field Communication) shell, the latest step in the development of innovative products for mobile communications, in November. With the Nokia NFC shell on their phone, consumers will be able to easily access a variety of services and conveniently exchange information with a simple touch gesture utilizing NFC technology. In October, Nokia and Telia Sonera Finland successfully conducted the world's first EDGE-WCDMA 3G packet data handover in a commercial network. Achieving a first for the Asia-Pacific region, Nokia, MediaCorp Technologies, M1 and the Media Development Authority of Singapore jointly showcased a live end-to-
  • 9. end mobile phone TV broadcast over a DVB-H (Digital Video Broadcast - Handheld) network at the Nokia Connection event in Singapore. Nokia and Texas Instruments Incorporated introduced the first pre-integrated and validated Series 60 Reference Implementation based on TI's OMAP(TM) processor- powered reference design in February. The Reference Implementation is available immediately to Series 60 licensees. Year 2005 The Nokia 6630 imaging smartphone has as the first device in the world achieved global GCF 3G WDCMA Certification. The certification was achieved based on the requirements defined by Global Certification Forum (GCF), an independent industry body which provides network compliancy requirements and testing for GSM/WCDMA mobile devices. SBS Finland's Kiss FM became the first radio station in the world to begin Visual Radio broadcasts. This unique new concept developed by Nokia offers the listeners the possibility to give feedback and to participate in programs easier than ever before. Nokia introduced a new product for secure mobile contactless payments and ticketing. The world's first Near Field Communications (NFC) product for payment and ticketing will be an enhanced version of the already announced Nokia NFC shell for Nokia 3220 phone. Year 2006 Digital and Nokia signed world's first commercial DVB-H mobile TV platform supply contract. Nokia introduced Wibree technology as an open industry initiative extending local connectivity to small devices. Wibree is the first open technology offering connectivity between mobile devices or Personal Computers, and small, button cell battery power devices suchas watches, wireless keyboards, toys and sports sensors. Year 2007 Nokia became the first phone maker to add energy saving alerts to mobiles. Nokia launched the first mobile phones to include alerts encouraging people to unplug the charger once the battery is full, a move that could save enough electricity to power 85,000 homes a year. Starting with the new Nokia 1200, Nokia 1208 and the Nokia 1650, the alerts will be rolled out across the Nokia product range. Nokia 6110, dedicated smart phone with inbuilt GPS, aimed towards the navigation market.
  • 10. Nokia N95 was the world’s first device combining GPS and wireless broadband (HSDPA/WLAN). When it was introduced to the market in March 2007 (announced in 2006), it was a flagship smartphone in many ways: it combined a new form factor (2-way slide design), class-leading camera functionality with 5 mega pixels and Carl Zeiss optics, in-built GPS, WLAN and HSDPA for ultra-fast 3.5G connectivity. Year 2008 Nokia N97, the first Nokia mobile computer with QWERTY keyboard and touch screen. Year 2010 to 2013 In 2010, pressure on Nokia increased dramatically as Android and iOS continued to make gains. Other Symbian OEMs including Samsung Electronics and Sony Ericsson chose to make Android-based smartphones instead of Symbian, and by mid-2010 Nokia was its only OEM outside Japan. Nokia developed Symbian^3 to replace S60, but it never became popular. By Q4 2010, Symbian's market share dipped to 32%, surpassed by Android at 30%. Despite losing share, the smartphone unit was profitable and smartphone unit sales increased every quarter during 2010. An estimated 4 million units were sold in Q4 2010. In February 2010, Nokia and Intel announced MeeGo, a merger of their Linux- based Maemo and Moblin projects aiming to create a unified mobile operating system for a wide array of devices, including tablets and smartphones. In particular, Nokia planned to use MeeGo as a successor to Symbian on its future smartphones, but despite of warm reception from all markets only Nokia N9 has been launched. In an employee memo that surfaced in February 2011, Elop infamously described Nokia as being on a "burning platform", blaming the "war of ecosystems" between iOS and Android as part of Nokia's overall struggle, and asserting that the company needed to make major changes to its operation. 2011: Alliance with Microsoft, Windows Phone, and launch of Lumia. The Nokia Lumia 720
  • 11. In February 2011, Stephen Elop and Microsoft's CEO Steve Ballmer jointly announced a major business partnership between the two companies, which would see Nokia adopt Windows Phone as its primary platform on future smartphones, replacing both Symbian and MeeGo. The deal also included the use of Bing as the search engine on Nokia devices, and the integration of Nokia Maps into Microsoft's own mapping services. Nokia announced that it would still release one device running the MeeGo platform in 2011, but that it would devote fewer resources to future development of the platform, and that it would phase out Symbian entirely. Aligning with Microsoft had been considered a possibility by analysts due to Elop's prior employment with the company. Nokia unveiled its firstWindows Phone 7-based devices, the mid-range Lumia 710 and high-end Lumia 800, on 26 October 2011 at its Nokia World conference. After this announcement, Nokia's share price fell about 14%, its biggest drop since July 2009. Nokia's smartphone sales, which had previously increased, collapsed. From the beginning of 2011 until 2013, Nokia fell from #1 to #10 in smartphone sales. Amid falling sales, Nokia posted a loss of 368 million euros for Q2 2011, whereas in Q2 2010, it had realized a profit of 227 million euros. On September 2011, Nokia has announced it would cut another 3,500 jobs worldwide, including the closure of its Cluj factory in Romania. As Nokia was the largest mobile phone and smartphone manufacturer worldwide at the time, it was suggested the alliance would help Windows Phone. Nokia was overtaken by Apple as the world's biggest smartphone maker by volume in June 2011. In August 2011 Chris Weber, head of Nokia's subsidiary in the U.S., stated "The reality is if we are not successful with Windows Phone, it doesn't matter what we do (elsewhere)." He further added "North America is a priority for Nokia (...) because it is a key market for Microsoft. Nokia reported "well above 1 million" sales for its Lumia line up to 26 January 2012, 2 million sales for the first quarter of 2012, and 4 million for the second quarter of 2012. In this quarter, Nokia only sold 600,000 smartphones (Symbian and Windows Phone 7) in North America. For comparison, Nokia sold more than 30 million Symbian devices world-wide in Q4 2010 and the Nokia N8 alone sold almost 4 million in its first quarter. In Q2 2012, 26 million iPhones and 105 million Android phones shipped, compared to only 6.8 million devices with Symbian and 5.4 million with Windows Phone. While announcing an alliance with Groupon, Elop declared "The competition... is not with other device manufacturers, it's with Google." In June 2012, Nokia chairman RistoSiilasmaa told journalists that Nokia had a contingency plan in the event that Windows Phone failed, but did not specify what it was.
  • 12. Year 2013 to 2014: Sale of mobile phone business to Microsoft On 2 September 2013, Microsoft announced that it would acquire Nokia's mobile device business in a deal worth €3.79bn, along with another €1.65bn to license Nokia's portfolio of patents for 10 years; a deal totaling at over €5.4bn. Steve Ballmer considered the purchase to be a "bold step into the future" for both companies, primarily as a result of its recent collaboration. In an interview with HelsinginSanomat, former Nokia executive AnssiVanjoki commented that the Microsoft deal was "inevitable" due to the "failed strategy" of Stephen Elop. The deal was closed on 25 April 2014 for "slightly more" than the originally stated €5.44 billion. Nokia's mobile phone assets became a part of Microsoft Mobile, a new subsidiary of Microsoft based in Finland. The deal was originally expected to be closed in March 2014, but was delayed by a tax dispute involving a factory in India—officials claimed that Nokia had not properly paid taxes on devices that were produced at the plant, but sold domestically (exports are exempt from taxes). Indian governments had required that Nokia place money in escrow before it was allowed to transfer control of the factory to Microsoft. As a result, the plant was not transferred to Microsoft, but would produce products on behalf of the company. As part of the deal, Microsoft acquired the Asha and Lumia brands, but only had a limited license to the Nokia brand. Microsoft could only use the Nokia brand to promote Lumia products for 18 months after the closure of the acquisition, X products through December 2015, and feature phones such as the Series 30 series for 10 years. Microsoft did not acquire any rights to the Nokia tune, which the company may only use as the default ringtone on Nokia-branded devices. Nokia itself is also subject to a non-compete clause forbidding it from manufacturing any Nokia-branded phones until 31 December 2015. Microsoft also took over Nokia's website and social media outlets following the closure of the deal; this arrangement was in place for a minimum of one year after the closure. The company continued to use the Nokia name on smartphones through October 2014, when Microsoft announced that future Lumia devices would be branded with Microsoft's name and logo. A number of Nokia executives joined Microsoft as a result; Stephen Elop became the head of Microsoft's devices team (which include products such as Xbox and Surface lines);RistoSiilasmaa replaced Elop as interim CEO, before the appointment of Rajeev Suri. Post-acquisition, Nokia now focuses on three core business units; its Here mapping service (which Microsoft will license for four years under the deal), its infrastructure division Nokia Solutions and Networks (NSN), and on developing and licensing its "advanced technologies".In July 2014, Microsoft announced a significant layoff of workers, including 12,500 workers from the former
  • 13. mobile phone group at Nokia. It was also reported that Microsoft had ended future development of Nokia's feature phone and X lines in favor of focusing exclusively on Windows Phone. Year 2014 to present Nokia has been involved in the acquisition of other companies. These include Medio Systems by the HERE division. In October 2014, Nokia and China Mobile signed a $970 million framework deal for delivery between 2014 and 2015. On 17 November 2014, Nokia technologies head RamziHaidamus disclosed that the company planned to re-enter the consumer electronics business by licensing in-house hardware designs and technologies to third-party manufacturers. Haidamus stated that the Nokia brand was "valuable" but "is diminishing in value, and that’s why it is important that we reverse that trend very quickly, imminently." The next day, Nokia unveiled the N1, an Android 5.0 tablet manufactured by Foxconn, as its first product following the Microsoft sale. Haidamus emphasized that devices released under these licensing agreements would be held to high standards in production quality, and would "look and feel just like Nokia built it."
  • 14. NOKIA PHONES Nokia remains the world's number one manufacturer of mobile phones, although its position is under threat from other manufacturers, particularly Sony Ericsson and Samsung. Nokia have the advantage of outstanding loyalty from its traditional customers, together with a perceived reputation for reliability and user-friendliness. One of Nokia's problems is its difficulty in competing against electronics giants like Sony and Samsung with their unparalleled expertise in technologies like digital photography and LCD displays. As these technologies become more and more important in modern phones, the gap between Nokia and its rivals becomes more apparent. Nokia's response is to focus more on innovative design and the concept of a "fashion" phone. However, at the top end of the market, Nokia has a dominant position in the smartphone market with its Series 60 platform. Click on any of the Nokia phones below to read a full review (plus independent reviews by consumers), and to find the best place to buy in the UK. Nokia N-Gage -phone & games console in one! Nokia 1100 -entry-level phone, designed with simplicity and reliability in mind Nokia 2100 -practical and fun phone Nokia 2300 -very basic phone Nokia 2600 -entry-level color phone Nokia 2650 -odd-looking clamshell phone with basic features Nokia 3100 -color phone with glow-in-the-dark cover Nokia 3200 -entry-level camera phone with customcovers Nokia 3220 -fun camera phone aimed at teenagers Nokia 3300 -music phone with MP3 player, stereo FM radio, and a digital recorder Nokia 3310 -very popular pay as you go phone Nokia 3410 -replacement for the Nokia 3330, with lots of new features Nokia 3510 -similar to the 3410, with polyphonic ringtones, but lacking Java b Nokia 3510i - bestof the 3410/3510 series Nokia 3650 -multimedia phone with digital camera and video camera Nokia 3660 -enhanced version of the 3650 with 65k colour screen Nokia 5100 -hard-wearing phone with colour display & built-in radio Nokia 5140 -durable phone designed for sportand outdooruse Nokia 5210 -hard wearing, versatile phone Nokia 6100- advanced feature-rich lightweight phone Nokia 6170 -excellent value clamshell camera phone with metal caseand a good range of features Nokia 6220 -business class phone that also includes features like an integrated
  • 15. digital camera, video recorder and FM radio Nokia 6230 -improved version of the 6220 with 65k colour display Nokia 6230i - review coming soon! Nokia 6260 -advanced clamshell-design smartphone Nokia 6310 -replacement for the classic 6210 Nokia 6310i - adds triband and Java™ capability to the Nokia 6310 Nokia 6510 -advanced phone, with similar features to the 8310 Nokia 6600 -smart phone with 65k colour display, camera, camcorder and Symbian operating system Nokia 6610 -all the features of the 7210 in a more conventional design Nokia 6610i - adding a digital camera to the 6610 Nokia 6630 -first 3G smartphone Nokia 6670 -multimedia smartphone with megapixel camera Nokia 6800 -brand new phone with full QWERTY keyboard Nokia 6810 -full QWERTYkeyboard, Bluetooth wireless connectivity and high speed data Nokia 6820 -messaging device with QWERTY keyboard and multimedia features Nokia 7200 -Nokia's first clamshell phone Nokia 7210 -hot new phone with colour display, triband, Java™ and polyphonic ringtones Nokia 7250 -similar to the 7210, but with an integrated digital camera Nokia 7250i - enhanced version of the Nokia 7250 Nokia 7260 -Art-Deco inspired camera phone Nokia 7270 -fashion phone with MP3 ringtones and viceo camera Nokia 7280 -review coming soon! Nokia 7600 -3G phone Nokia 7610 -multimedia smartphone with megapixel camera Nokia 7650 -amazing multimedia phone with colour display Nokia 8310 -most popular Nokia phone, widely regarded as the bestcurrently available Nokia 8910i - exclusive phone with stunning looks Nokia 9210 -heavy-duty mobile communications device Nokia 9210i - updated Communicator with more memory and improved internet supportand so on………
  • 16. NOKIA COMMITMENT As approximately one in three phones in use is a Nokia phone, it’s safe to say our products influence the lives of hundreds of millions of people. Maximizing the benefits of mobile communication and minimizing potentially negative effects requires commitment from governments, civil society, and the business sector. However, we recognize that as a market leader with global operations, our potential impact, and therefore our responsibility, is great. From a social growth and economic development perspective, we acknowledge our impact and responsibilities throughout our value chain: in our sourcing, product design, manufacturing, employee well-being, business partnerships, recycling, community involvement, and communications. Through our product lifecycle we respond to various environmental needs. Through employee relations, supply-chain management, and consumer offerings we aim to have a positive social influence. Our overall response to our stakeholders is to produce high-quality, safe products while upholding the law, protecting the environment, and following sound best practices. It is an expectation we strive to meet. NOKIA VALUES The values of our company make us different. They provide a sense of direction for consistent behavior as employees and citizens of the world, and in our quest to be a great internet company. Through extensive employee engagement, Nokia has now created new values that reflect our business and changing environment. They act as a foundation for our evolving culture and are the basis of our operational mode. Living them every day is our shared philosophy. Achieving together is more than collaboration and partnership. As well as trust, it involves sharing, the right mind-set and working in formal and informal networks. Passion for Innovation Passion for innovation is based on a desire we have to live our dreams, to find our courage and make the leap into the future through innovation in technology, ways of working and through understanding the world around us. Very Human Being Very Human encompasses what we offer customers, how we do business and the impact of our actions and behavior on people and the environment. It is about being very human in the world - making things simple, respecting and caring. In short, our desire is to be a very human company.
  • 17. Organizational Change on Nokia Some firms have had to change dramatically to stay in business. Nokia began life as a lumber company, making the equipment and supplies needed to cut down forests in Finland. It moved through into paper and from there into the ‘paperless office’ world of IT – and from there into mobile telephones.1 As the world leader in mobility, Nokia is driving the transformation and growth of the converging Internet and communications industries. The company makes a wide range of mobile devices with services and software that enable people to experience music, navigation, video, television, imaging, games, business mobility and more. Developing and growing our offering of consumer Internet services, as well as the enterprise solutions and software, is a key area of focus.2 It seems like every year, the company acknowledges the organizational change and reshuffling the leaders. The company planned further changes in its sales and marketing activities in the Markets unit, which is expected to affect about 450 employees, maximum 100 in Finland.3 Joining with the occurrences of change, it is deliberately needed intense adjustments especially on the newly-deputies. The Aims: 1. To follow-up the company’s reorganization in the past year that target to strengthen the customer interface, and ensuring that all resources are well allocated to meet the business needs and de-layer the organization. 2. To make the Nokia Research Center (NRC), which specialize long-term research activities, sharpen its focus on fewer but stronger research areas. 3. The company is planning to relocate their activities in a more convenient site. 4. The company also plans some smaller workforce adjustments in global process operations.
  • 18. External influence affecting Nokia Smartphone industries affected the position and reputation of the organization. According to the Memo, the instigation and shipment of Apple’s I phone n 2007 gave rise to the downfall of the firm. The memo declares that Nokia was not able to match that position of the market constructed by Apple because this product made a rapid shift in the behavior and concerns of consumers which further brought a decline in the preferences of Nokia’s product worldwide. The external factors further included the quick launch of similar phones that assured the development of application software in the mobile and phones. Thus, this progression turned out to be the source of reduction in the customers of Nokia because the organization even faced a condition in which the customers of areas where Nokia had a strong hold namely; Russia, Germany, Indonesia and Germany started shifting their preferences towards other brands. Furthermore, Apple was not the only brand that gave Nokia such a tough competition because several new entrants in market such as Android and iOS as well made Nokia face the hard times. Internal factor affecting Nokia The external factors demanded a change in the internal environment so as to maintain the equilibrium with the market. Therefore, Nokia required best leadership maintenance within the organizations because the organization needed change. Somehow, the internal maintenance lacked accountability and leadership because the decision made at the time of the launch of first I phone depicts that the burning platform which was experienced by Nokia was served with gasoline by the internal environment which further brought reduction in the annual profit of the corporation. Actually, the situation in 2007 demanded a proper aligned plan that directs the company in moving further for the accomplishment of desired goals.
  • 19. Background On the basis of analysis of case study depicts that Nokia required a change with which it can manage to maintain their position in the market. The in-depth investigation suggests that following are the reasons that make the requirement of change esse4stila for Nokia: The development of market in the direction of innovation made Nokia go for change. Missing the shipment and Smartphone revolution also requires Nokia to bring Change For the development of productlife and effectiveness Management of poorleadership and accountability Development of strategic decisions for the launch of similar products These are the factors that require the organization to implement change management; somehow, these implementations can as well turn out to be challenging for the corporation (Aspara, Lamberg, Laukia and Tikkanen, 2011). Furthermore, the problems findings that can Nokia encounter during the implementation of change are discussed below:
  • 20. Problems-findings Even Burtonshaw – Gunn and Salameh (2007) claimed that change can bring several problems and challenges that requires to be resolved for the better execution of strategies because sometimes change can shatter the processes of the corporation and bring even worst situation for it. The estimated problems and challenges for the firm during the change management are defied below: First of all, the organizational can fail in understating the problem. Similarly, lack of management while addressing the change can also affect the change and processes ofthe firm Actually, change management problem is mainly raised due to the lack of understanding of gravity of the situation. Lack of understanding among employees and seniors can as well occur during the processesofchange management Leadership differences and opinion differences can arise that states both agreement and disagreement with the change Decision maintenance and workforce maintenance is the major issue that can arise during the change management
  • 21. Organizational Change Models There are two possible organizational change models that the Nokia used in establishing their efforts that falls under the Strategic Planning model. There is various kind of approach and two are picked-up for careful examination. The two models are Alignment Model and Scenario Planning Model. Alignment Model This kind of model ensures the strong alignment among the organization’s mission and its resources to effectively operate the organization. This model is useful for organizations that need to fine-tune strategies or find out why they are not working. An organization might also choose this model if it is experiencing a large number of issues around internal efficiencies. Overall steps include: 1. The planning group outlines the organization’s mission, programs, resources, and needed support. 2. Identify what’s working well and what needs adjustment. 3. Identify how these adjustments should be made. 4. Include the adjustments as strategies in the strategic plan Scenario Planning This approach might be used in conjunction with other models to ensure planners truly undertake strategic thinking. The model may be useful, particularly in identifying strategic issues and goals. 1. Comes with the selection of several external forces and imagining the related changes which might influence the organization. 2. For each change in a force, discuss three different future organizational scenarios which might arise with the organization as a result of each change. Reviewing the worst-case scenario often provokes strong motivation to change the organization. 3. Suggestions are formulated what the organization might do, or potential strategies, in each of the three scenarios to respond to each change. 4. Planners soondetect common considerations or strategies that must be addressed to respond to possible external changes. 5. The selection of the most likely external changes to effect the organization, and identifying the most reasonable strategies the organization can undertake to respond to the change.
  • 22. Change Management Model The discussion above shows that change management can cause several problems and challenges that require to be addressed; however, in the case of Nokia, Kotter’s model of change management is found to be influencing because the model includes the practices and strategies that an organization can apply so as to maintain and manage the change within the organization. Kotter’s Change ManagementModel This model of change management was created by the professor of Harvard University John Kotter in 1966 (Cameron and Green, 2012). The model includes eight different stages that are actually the processes requires to be implemented so as to manage and execute a fruitful change (Winkler, 2009). These are defined below: Figure 1: Kotter's Change Management Model (Source: Winkler, 2009)
  • 23. Step no1: Understand the Exigency of Change: This is the first step in which identification of change emergency takes place because this identification will accelerate the processes of change. However, Nokia requires conducting an in- depth analysis so as to quote the urgency of change. For this purpose, assessment of market and competitive organizations can help in managing the procedures and processes of change. This identification can actually enhance the progression in the change implementation. Step no 2: Maintenance of Team dedicated to Change: The second step of the model depicts that so as to manage the change, organization requires managing the workforce for the change so that their operations and functions can limit to that certain change only. However, in the case of Nokia as well the organization requires the maintenance of the proper workforce that work only for the development of change. Step no 3: Establishment of Idea for Change: The identification and development of a clear idea is essential for the execution of change. Nokia as well requires the execution of a clear vision about the implementation of change. Maintaining innovation should be in the clear approach and vision of the Nokia because this is the actual factor where the change is required. Step no 4: Sharing Necessitate of Change: The fourth stage of change model includes the communication of change within the organization. Similar to this, Nokia as well requires the communication of change internally so as to make the employees aware about it through which they can further improve the processes of change. Step no 5: Empower Staff for Change: The fifth step of change management model helps in empowering staff so that they can contribute in the development of actual change. Nokia as well needs to incorporate the empowering culture for the staff so that they can manage the change.
  • 24. Step no 6: Settlements of Objectives: The maintenance of objectives is also a major step of change management model; Nokia requires executing the settlement of objectives for the change so that it can manage it gradually. Step no 7: Maintaining Persistency: Persistency maintenance is also essential for the management of change; thus, Nokia requires maintaining the persistency with the operations and function. This should be maintained after extracting the fine results in the face of accomplishment of short term objectives. Step no 8: Change implementation lastingly: The whole management lastly requires the implementation of actual change which in Nokia exhibits as the execution of innovation in the products.
  • 25. Solution for the Problems Faced by Nokia: Organizational Development Strategies Since Nokia faced a major challenge after the instigation of innovative Smartphone, the conditions and situations required Nokia to bring the change internally. Execution of change within the internal environment of organization was actually influenced by the external pressure on Nokia. As stated by Todnem (2005); Burke, (2013) changes require proper management so as to produce fruitful outcomes or the results because no change can affect the organization if it is managed properly. However, the model above reflected a proper format that can help in managing the procedures of the firm. The change management requires the solution initiated from an organizational development technique. Furthermore, the organizational change management requires the organizational development strategies so as to maintain the change effectively (Schyns and Schilling, 2011; Schyns and Meindl, 2005). Estimated possible solutions about organizational development for change management in Nokia are discussed
  • 26. Figure 2: Organizational Development Strategies for Change (Source: Palmer, Dunford and Akin, 2008) On the basis of figure 2 the estimated organizational development strategies concerning to change are further demonstrated below (Palmer, Dunford and Akin, 2008). Directive Strategy Directive strategy involves the development of authority and seniors because seniors are the actual person that requires adjusting and declaring the change. Actually, if seniors are attuned with change they can automatically prepare the workforce for the execution of a change in the organization (Meyer, 2009; Ensley, Hmieleski and Pearce (2006). Since the downfall of Nokia was enhanced due to the lack of leadership and accountability among the seniors of the organization, directive strategy can help in managing the change. For instance, Nokia can provide the authority to the senior authority to impose change after developing a clear vision for that. Advantage of this approach for Nokia can reduce the resistance. Expert Strategy The expert strategy is actually interlinked with the development of IT and technical development because it prepares the technical aspects to shift with the change (Palmer, Dunford and Akin, 2008). Since Nokia required a quick change so as to bring technology and change in their
  • 27. products, man aging expert strategy can benefit the firm. This strategy solves the problem concerning to technology through giving charge to the IT and R&D department of an organization. Participative Strategy The people are the core part of an organization; thus, their involvement and resistance to the change declares that whether the change is to be implemented or not (Hitt, Ireland and Hoskisson, 2012). This strategy should be included in the organizational development strategy because it enables the participation and sharing of other people during the implementation of change. In Nokia, this strategy is extremely important because the position and scenario that Nokia was facing required a team work. Negotiating Strategy Identifying and discussing the issues with the people who are either involved or affected with the change is crucial because it helps in marinating a fine environment for the workforce to work in (Meyer, 2009). This strategy involves the discussion with the specific department and people that got affected with the change so as to establish the adjustment. Nokia requires applying negotiating strategy so that they can reduce the resistance that can occur in the direction of change implemented. Educative Strategy Making people understand the change through giving them training and education about the change can help in successful execution of change within an organization The condition and circumstances of Nokia required a shift among the values and beliefs of people involved in change so that they can easily accept and adjust with the change. Development of communication, persuasion and training can help
  • 28. Nokia in attracting the interest of people with which the organization can enhance the performance in the society. These are the estimated solutions that can help Nokia in attracting the position that it had in past times because the change requires the organizational development strategies
  • 29. Resistance to change Employees’ resistance Employee protest Immediately after Elop’s February 11th announcement, around a thousand Nokia employees walked out from the Nokia’s offices in Finland to participate in a protest. They were shocked about the announcement and worried about losing jobs. Many of them were confused about the situations, and would like to hear more information from the company about the impact to their job roles. (HELSINGIN SANOMATINTERNATIONAL EDITION February 11, 2011) Figure 4-1: Nokia employees walked out from their offices in Finland for a protest after Stephen Elop announced the strategy change (Photo courtesy: Kai Tirkkonen) Employees’ disagreement with the CEO When asked about the decision of discarding MeeGo as a mainstream platform, Stephen Elop pointed out Nokia could not manage to manufacture enough MeeGo devices in the forthcoming years. Felipe Contreras, a software engineer at Nokia, published a blog article arguing that there should not be technical constraints to manufacture even up to 10 devices with the same hardware architecture as the Nokia N9. He also pointed out that Windows Phone was even less flexible to adapt different hardware architectures than MeeGo, and he accused of Elop not answering his questions directly. (Contreras June 21, 2011)
  • 30. Figure 4-2: Anssi Vanjoki (left), ExecutiveVice President and Head of Mobile Solutions (left) and Jorma Ollila, Chairman of Nokia (right) were the senior management team members who eventually resigned from Nokia (Photo courtesy: Nokia Corporation) Cultural differences When Elop and his leadership team handled the massive layoffs in Finland, the effects of cultural differences between Scandinavian and North American cultures, especially Finnish’s feminine and strong uncertainty avoidance attributes were underestimated. Stephen Elop is a Canadian and is the first non-Finnish CEO ofNokia in its 148 years of history (The Wall Street Journal June 3, 2011), while Nokia was still the largest private company in Finland back in 2010. As of today, half of Nokia’s leadership team are Finnish. (Nokia Corporation 2013) According to Hofstede’s cultural dimensions (Hofstede 2012), Finland is a “feminine” country with high uncertainty avoidance. This means that Finnish people prefer cooperation, caring for the weak and enjoy quality life, while at the same time they do not feel comfortable about uncertainties and would try to do whatever they can to avoid them. The fact that a thousand of Finnish Nokia employees walked out from the office in response to Elop’s announcement is a good example of their strong uncertainty avoidance. Canada, the country where Elop came from, is a relatively masculine country with strong individualism and lower uncertainty avoidance than Finland. This means Canadian expect everyone takes cares of themselves, being more assertive and always strive for better achievements and material rewards. USA, where four of the leadership were graduated in, also shares similar cultural dimension attributes as Canada. When Elop and his leadership team handled the massive layoffs in Finland, it seems that they were not aware of the cultural differences between Scandinavian and North American cultures, especially Finnish’s feminine and strong uncertainty avoidance attributes.
  • 31. Market’s resistance Customers’ resistance Nokia supporters and existing Symbian users were shocked and angry about the announcement. This was because Nokia had its own platforms for long, users and supporters were eager to see Nokia’s newest platform innovation. The sudden abandonment of Symbian and MeeGo in favour of an outsider’s platform also made them angry because many of them disliked Microsoft and its offerings. Besides saying Nokia and Microsoft will achieve a much better future, Nokia did not do much to alleviate the immediate resistance of the customers. (Nokia Corporation February 11, 2011ba) Network operators’ resistance According to Elop, network operators were hesitant about Windows Phone’s ecosystem because of Skype, a well-known voice conversation application that can make use of Internet connection to perform international calls, which was acquired by Microsoft in 2011. (Skype Global S.à.r.l. May 10, 2011) The operators worried that Windows Phone users would heavily rely on Skype to make international calls over the 3G networks, putting their international calling businesses at risk. In response, Microsoft and Nokia said they are flexible on whether or not the operators to include Skype as a default application in the Windows Phone devices they sell. (Yarow May 4, 2012) Figure 4-6: Skype runs on an Nokia Lumia Windows Phone (Photo courtesy: Skype Gobal S.à.r.l )
  • 32. Intel’s response Intel, the strategic partner of Nokia on the MeeGo project back in 2010, was disappointed about the announcement. (Rawal February 11, 2011) Paul Otellini, Intel’s CEO, said Nokia made a wrong decision on choosing Microsoft as a strategic partner. He even said, “I would probablyhave gone to Android if I were him.” (Thomson Reuters February 17, 2011) A few months later, Otellini admitted “Nokia was the wrong partner to have picked”and blamed Nokia for dropping plans to release a MeeGo smartphone based on Intel’s chips. As a reminder of fact, Nokia N9, the only MeeGo smartphone by far, is equipped with a processor manufactured by Texus Instruments. (Shilov May19, 2011) Nokia did not directly respond to Intel’s comments on MeeGo.
  • 33. Even though Elop said MeeGo was for “future disruption”, it turned out that the MeeGo team was eventually dissolved and team members departed the company to create quite a few start-up companies in Finland, with financial support received from Nokia’s “Bridge” program. (Lunden July 10, 2012) 4.2.4 Software developers’ resistance 4.2.4.1 Philosophical conflicts between F/OSS and proprietary software supporters Before Nokia switched its focus to Windows Phone, it had been a long-time supporter of Free and Open Source Software (F/OSS) – Qt, the application framework shared across Symbian and MeeGo, is open source (Qt Project Hosting 2011); Symbian was once open sourced under the Symbian Foundation set up by Nokia (Symbian Foundation November 2010); and MeeGo itself was initiated as an open source project. (Intel Corporation February 15, 2010). Figure 4-7: Nokia N9, Nokia's only MeeGo smartphone, is based heavily on the Qtapplication framework. (Photo courtesy: Nokia Corpora tion) Microsoft’s Windows Phone, in contrast, is a totally proprietary platform like Apple iOS. Its closed source nature heavily limits developers’ freedom to innovate (Lee October 8, 2010), and developers often have to work around different ways to bypass the restrictions imposed by Microsoft. The F/OSS communities have a strong philosophical belief that everyone should have the freedom to access, modify and redistribute the source code of all software, given that the modified code must also be open source. (The Free Software Foundation 2012) For decades, the F/OSS
  • 34. communities see Microsoft as an “evil” company as it attacked open source initiatives in the past. (Smart July 22, 2009) Many F/OSS software developers involved in Nokia related projects were angry about the change, because they felt that Nokia betrayed them with fake promises on Qtand MeeGo to fall in love with the “devil”. These developers discussed the news on Twitter and tagged with hash tag #elopocalypse, a combination of “Elop” and “apocalypse”, to express their anger. (SamatJain February 10, 2011) To address developers’ concerns, Nokia emphasised that Symbian and MeeGo smartphones would still be based on Qt,while feature phones would also be using open web technologies. Nokia welcomed developers to continue to contribute their efforts to these platforms. (Delaney November 2, 2011) 4.2.4.2 Sceptical view of Stephen Elop being Microsoft’s “Trojan horse” Stephen Elop was the Head of Business Division in Microsoft before joining Nokia, and he was the CEO ofMacromedia which was then acquired by Adobeduring his term. Elop was found to be holding Microsoft’s shares after he had become the Nokia CEO for months. (Meyer February 13, 2011) There had been a character flaw and sceptical view among the developers and customers that Elop is actually a “Trojan horse” sent from Microsoft in order to destroy Nokia’s share price to facilitate Microsoft’s
  • 35. acquisition. Elop was even asked by an audience publically “Are youa Trojan horse?” in the Mobile World Congress 2011. (Rockman February 14, 2011) Figure 4-8: Stephen Elop was rumoured to be Microsoft's "Trojan horse" to destroy Nokia for easier acquisition (Photo courtesy: MyNokiaBlog.com) Elop, of course negated the claim and said the speculation of Microsoft to acquire Nokia was totally baseless. He also tried to explain the situations of his Microsoft shares. (Rockman February 14, 2011, Burrows et al. June 2, 2011) 4.2.5 Shareholders’ resistance Shareholders were shocked about the strategy shift and Nokia’s share price was steep-dropped by nearly 10% immediately after the February 11th announcement, and as of March 2013 Nokia’s share price is still far from recovering back to the pre-strategy-change level. (Weisenthal February 11, 2011) February 11, 2011 Nokia announced partnership with Microsoft Share price dropped by nearly 10%
  • 36. Figure 4-9: Nokia's share price trend (Thomson Reuters March 8, 2013) 4.2.6 Responses from analysts Market analysts from all over the world had diverse views on the strategy change. Some thought the change was in correct direction but how the transition was managed was wrong; while some totally disagreed with the context of the change. (Reed October 19, 2012) One of the extreme negative voices was from the mobile industry analyst and ex-Nokia executive Tomi Ahonen, he said Elop’s “Burning Platform” memo “wiped out $13B revenues, destroyed $4B profits in just 12 months” and reckoned that “Elop is indeed the worst CEO ever seen in corporate governance and he truly must be fired immediately”. (Ahonen June 14, 2012, Ahonen July6, 2012)
  • 38. Summarizing the above report it has been estimated that Nokia faced tremendous issues and challenges after the launch of Smartphone series. Nokia was known to be a global brand that was found on the leading position in the market. Somehow, the instigation of Apple I phone in 2007 brought misfortune for Nokia because the execution of innovation and Smartphone made Nokia lose its position. Similar to this, the entrance of several new products as well turned out to be harmful and effective for the market reputation of Nokia. Nokia actually faced such drawbacks only because it failed in fulfilling its customers need and demand. Since the instigation of Smartphone shifted the views and concerns of consumers the market as well shifted strategies in relation to the innovation and creativity. The organization required an effective and quick strategy so as to maintain and retain the customers because the shift in the market caused Nokia to lose the customers from the area where it had the strong hold. On the basis of overall view of the study, it has been estimated that Nokia critically required the change that can provide the execution of the proper position in the market. The action plan of Nokia assessed that innovation is the basic techniques that can help the organization in attracting the customers back. Actually, the change is of utmost importance and significance only because the market value of Nokia is observed to be decreasing and the estimated impact is recorded from both internal and external disorder. The external shifts and impacts affected internal environment of Nokia also because the management failed in understanding the action plan. The summary depicts that internal influences were also there because the case study highlights that Elop believed that lack of management and leadership added fuel to the fire in which the organization was burning. However, execution of an appropriate change can help in managing the position of Nokia; the development of a specific criterion for the change is found to be essential. Somehow, the management of change as well requires a major observation and consideration because failing in change management can affect
  • 39. the productivity and performance of the business. Initially summary also depicts that management of change is also effective and operative for the attainment of similar position in the market. Lastly, the suggested techniques for the change management are stated as the Kotter’s model of change. The model can be applied so as to attract a proper in line process for the execution of change. The maintenance of this model can provide an opportunity for the organization with which it can re-establish its position in the market.
  • 40. Recommendations Subsequent to the conclusion, researcher addresses some recommendations for Nokia which are briefly discussed below: So as to attract similar position in the market, the management of Nokia requires implementing the strategies that includes the change. However, change further requires an effective leadership processes because this is a functioning approach that can result in the extreme productivity. Basically, it has been recommended to the organization that execution of new leadership can turn out to be effective for the development of an organization. The execution of an outer leadership strategy can make it helpful for the organization about executing the proper and operative strategy. Similar to this, it has been recommended to Nokia to execute an innovative corporate planning through maintaining the strategic decision. This strategy can help in managing the performance of the business because it brings the decision making ability for the firm. Retrenchment is also recommended for Nokia because this is can help in maintaining the loss that has been addressed by the organization. The reduction in extra expenses can as well develop the opportunity for the development of an organization. It has been recommended to Nokia to maintain a clear view about the factors that are concerned with the development of change. Basically, maintenance of change with respect to the technology should be followed with consistency. Therefore, managing the proper view point with the urgency of execution of change can help the organization in attracting reputation and status.
  • 41. Furthermore, it is also recommended to Nokia to change the strategic direction because the discussion above depicts that the condition started getting worse when the internal
  • 42. environments after the launch of I-phone took the wrong strategic direction. Furthermore, the execution of an effective strategic direction can contribute into the development of an organization. It has been recommended to Nokia to change the objective to globalization of markets becausethis can further expand the business and productivity of the organization.
  • 43. Nokia did not do much to respond and address the concerns brought out from industry analysts,besides directly quoting Tomi Ahonen’s immediate feedback a day after the announcement in a Nokia official blog article and verbally answering questions at the annual general meetings and various other occasions. (Phil February 12, 2011)