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A Proposal for a Standard With Innovation Management System

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Entrepreneurial Learning <strong>for</strong> Quality and <strong>Innovation</strong> – a<br />

Study in the Wellness Industry<br />

Yvonne Lagrosen and Stefan Lagrosen<br />

University West, Trollhättan, Sweden<br />

yvonne.lagrosen@hv.se<br />

stefan.lagrosen@hv.se<br />

Abstract: The purpose of the study presented in this paper is to explore the relationship between entrepreneurial<br />

learning, innovation and quality management in the wellness industry. The theoretical framework is based on<br />

theories from quality management, organisational learning and entrepreneurship. An empirical study involving<br />

seven spa-hotels has been carried out. In-depth interviews were conducted with managers of the companies.<br />

The results indicate that innovation in the sector is closely connected to branding and that quality management<br />

largely consists of quality control of existing services. Thus, the connection between quality management and<br />

innovation is weak. Nevertheless, a network exists that might have a possibility of evolving into a learning<br />

network.<br />

Keywords: entrepreneurship, learning, innovation, quality management, wellness<br />

1. Introduction and purpose<br />

Quality management has been developed as an academic field of study during the course of the last<br />

century. Originally mainly focused on manufacturing, the field has come to include services and<br />

service quality has attracted vast amounts of research in recent decades. While it is clear that in the<br />

competitive environment of ever more globalising industries both quality and innovation are critical,<br />

these two phenomena are not always seen as promoting each other. Traditional quality management<br />

might contain contradictory aspects in this regard. On the one hand, there is a strong emphasis on<br />

continuous improvement. On the other hand, the requirements <strong>for</strong> extensive documentation that<br />

certain quality management approaches (e.g. standards like ISO 9000) requires, have been accused<br />

of hindering change(Curkovic and Handfield, 1996). As a result, quality management is sometimes<br />

seen as more compatible with incremental development than with radical change. Nevertheless, in<br />

dynamic industries ground-breaking innovation may be needed in order to excel.<br />

One way of reconciling innovation and quality management may be through organisational learning.<br />

<strong>Innovation</strong> and quality management are both related to learning in organisations. The theories of<br />

organisational learning emphasise the value of system thinking which is related to effective quality<br />

management(Hellsten and Klefsjö, 2000; Conti, 2010). In addition, features like team learning,<br />

challenging mental models and personal mastery are connected to the profound creativity which can<br />

lead to far-reaching innovation(Senge, 2006). A similar relationship can be found between<br />

entrepreneurship and quality management. <strong>System</strong>atised quality management is rare in<br />

entrepreneurial organisations, probably due to its criticised compatibility with constant<br />

change(Lagrosen and Lagrosen, 2003). Again learning may be necessary. Entrepreneurship is<br />

closely related to innovation since one success strategy of entrepreneurship is to alter the balance of<br />

the market by inventing new products, processes, channels etc. This leads to what is called creative<br />

destruction in that the old order is destroyed in the process that something new and more effective is<br />

created(Schumpeter, 1934). Thus, entrepreneurial learning may be useful. However, the learning<br />

must be profound, leading to altered patterns of thinking rather than just the acquisition of new factual<br />

knowledge. Consequently it should be characterised by profound organisational learning adapted to<br />

entrepreneurial needs.<br />

In order to explore these connections, we are carrying out an empirical study. We have chosen the<br />

wellness industry as our empirical field. This is an industry which is developing rapidly in many parts<br />

of the world. At the same time it is highly dependent on service innovation as new treatments and<br />

other offers are needed to attract customers. <strong>System</strong>atised quality management is rarely used but<br />

service quality is more and more in the focus. In addition most companies in the sector are highly<br />

entrepreneurial and driven by committed individuals. Thus, it should be an interesting setting <strong>for</strong><br />

studying connections between learning, innovation and quality.<br />

In consequence, the purpose of the study is to explore the relationship between entrepreneurial<br />

learning, innovation and quality management in the wellness industry.<br />

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