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ch05.ppt

  1. © 2009 John Wiley & Sons Ltd. www.managing-innovation.com Joe Tidd and John Bessant ISBN: 978-0-470-99810-6 1
  2. Chapter 5 Sources of innovation 2 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  3. 3 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  4. CONTENTS • Introduction • Sources • Search tools & methods • Innovation search space © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 4
  5. 1. SOURCES OF INNOVATION- INTRODUCTION 5
  6. 6
  7. 1.1 Climate & Creativity “Innovation is the specific tool of entrepreneurs, the means by which they exploit an opportunity for a different business or service” – Drucker • Creativity = ideas, concepts & inventions • Entrepreneurship = couples opportunities & resources • Innovation = process of development & commercialisation © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 7
  8. Strategies for idea/concept generation: • research & analysis • imitate or adapt • seek inspiration • consult ‘creative’ types • apply systematic creativity methods & tools – Eg:SCAMPERR © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 8
  9. • Eg: China’s imitation of Mercedes:Geely 9
  10. Business creativity training is not: • logic, research, analysis or intelligence • artistic creativity / right-brain • being crazy / a rebel • removal of structures, inhibitions or fear • brainstorming or team building © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 10
  11. Attributes of the creative mind: • conceptual fluency - multiple responses • mental flexibility - re-frame & change level • defers judgement - avoid premature analysis & criticism • tolerance - accepts ambiguous, diverse or opposing views • challenging - assumptions & authority • risk-taking - high energy, imagination © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 11
  12. Do: Don’t: develop broad idea collect detailed data challenge everything accept assumptions re-frame problem tackle given problem multiple answers find the answer consider in-action confuse action & solution identify obstacles focus on objectives celebrate success & learn from failure © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 12
  13. Some elements of business creativeness: • stop, pause, postpone decision or (re)action • challenge perceptions & assumptions • provoke & generate alternatives • construct & test speculations & hypotheses • focus © 2009 John Wiley & Sons Ltd. www.managing-innovation.com 13
  14. 2. SOURCES of INNOVATION 14
  15. 2.1 Knowledge push • Knowledge push(Pengetahuan) – Innovation that came out from scientific research – R & D processes • Eg: Intel chips • Antibiotics • CDs 15
  16. 2.2 Need pull • Need Pull(Keperluan) – “Neccessity is the mother of invention” – Particularly important at mature stages in industry/product life cycles – Eg: Energy saving cars 16
  17. 2.3 Shocks to the system • Whose needs? – Existing customers – New & potential customers eg: small entrepreneurs who want to save costs • Emerging markets – “Bottom of the pyramid”-80% under the poverty line – Eg: Poverty in Arica-created demand for cheap food in low prices 17
  18. 18 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  19. 2.4 Advertising and mass customization • Challenge in markets-buyers want variety and customization at the same time • Eg: Rising individuality has opened up new market for customized products 19
  20. 20 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  21. 21 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  22. 2.5 Users as innovators • Create innovative solutions on a continuing basis • Eg: Tech-hobbyists keep on providing ideas on technological innovations-new models for pc, phones 22
  23. 2.6 Extreme Users • “Tough customers mean good designs” • The users in the toughest environments may have needs which by definition are at edge • Eg: Military needs inspire more innovations within the security industry 23
  24. 2.7 Watching Others • Concept of benchmarking • Eg: Korea manufacturing field that came from the concept of “copy and develop” 24
  25. 2.8 Combination & recombination • ‘Crossover’ • Combination of industries • Eg: Nike fashionable shock-absorbing shoes- combination of arts, health and fitness industry 25
  26. 2.9 Regulation • Restrict certain things and opens up new ones • Eg: New tax rules on cigarettes- restricts sales of cigarettes, opens up new market of ‘fake cigarettes’ and aids to quit smoking 26
  27. 2.10 Futures and forecasting • Exploring alternatives • Eg; Exxon and Shell exploring possibilities for alternatives for oil and gas 27
  28. 2.11 Accidents • Mistakes that turned out to be important inventions 28
  29. 3. TOOLS FOR INNOVATION SOURCES 29
  30. 3.1 Internal knowledge connections • Important to recognize that much of the knowledge lies in the experience and ideas of ordinary employees rather than solely with specialists in formal innovation depts like R & D or market research • Internal entrepreneurs=“intrapreneurship” 30
  31. 3.2 External connections • Key stakeholders 31
  32. 3.3 TOOLS OF INNOVATION SOURCES-SUMMARY 32
  33. 33 © 2009 John Wiley & Sons Ltd. www.managing-innovation.com
  34. 3.4 Exercise-SCAMPER • S Substitute- Remove some part of the accepted situation, thing, or concept and replace it with something else. • C Combine -Join, affiliate, or force together two or more elements of your subject matter and consider ways that such a combination might move you toward a solution. • A Adapt-Change some part of your problem so that it works where it did not before. • M Minify/Magnify- Consider many of the attribute of the thing you're working on and change them, arbitrarily, if necessary. Attributes include: size, shape, other dimensions, texture, color, attitude, position, history, and so on. • P Purpose (Put to other use)-Modify the intention of the subject. Think about why it exists, what it is used for, what it's supposed to do. Challenge all of these assumptions and suggest new and unusual purposes. • E Eliminate-Arbitrarily remove any or all elements of your subject, simplify, reduce to core functionality • R Reverse- Change the direction or orientation. Turn it upside-down, inside-out, or make it go backwards, against the direction it was intended to go or be used. • R Rearrange -Similar to Reverse, modify the order of operations or any other hierarchy involved. 34
  35. • You are a product executive for Perodua and you need to come up with a new eco-friendly Perodua model based on Viva. Using SCAMPERR, invent a new innovative product suitable for the global market. 35
  36. 4. CONCLUSIONS 36
  37. • There are various sources of innovation and creativity • Innovation process can be triggered 37
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