Week 3 - Sources of Innovation (2).pptx

education

1. Announcements Assignment submission dates Samples Answer guide

2. Sources of Innovation (1) Where do innovations come from? Shocks to the system Accidents Watching others Recombinant innovation (ideas/applications in one world transferred to a new context) Regulation Advertising Inspiration Knowledge Push Design drive innovation

3. Sources of Innovation (2) Design drive innovation Need Pull Users as innovators Exploring alternative future and opening up different possibilities

4. Knowledge Push Emerge as a result of scientific research https://www.youtube.com/watch?v=g90WC4o8hwg

5. Need Pull ‘necessity is the Mother of invention’ Innovation management – develop clear understanding of needs – find ways to meet those needs

6. Crisis Driven Innovation https://johnbessant.org/2020/03/26/crisis-driven-innovation-2/

7. LifeStraw – safe drinking water through innovation

8. Need Pull - Whose needs? Need to recognise differences among users Working at the fringes of a mainstream market ‘Disruptive Innovation’ – focus attention on the need to look for needs which are not being met, or poorly met… For example, low cost airlines

9. Disruptive Innovation (Christensen and Overdorf, 2000) Disruptive innovations create - new market(s) through the introduction of new kind of products or services, for example, home PCs Disruptive innovations occur so intermittently that no company has a routine process for handling them ‘one of the bittersweet results of success is that, as companies become large, they lose the ability to enter small, emerging markets’.

10. Disruptive innovators focused on: – Scarcity , Cost and Development time http://www.greats.com/pages/about-us

11. Emerging Markets ‘bottom of the pyramid’ markets Solutions to meet needs – need to be highly innovative

12. Users as Innovators ‘Lead users’ are ahead of the market in terms of innovation needs Example, mi-adidas – users are encouraged to co-create their own shoes. Crowd funding: https://www.indiegogo.com/projects/flow-hive-honey-on-tap-directly-from-your-beehive#/

13. Watching Others Copy and develop Benchmarking Example – Aravind Eye Hospitals and McDonalds https://www.youtube.com/watch?v=3cjnNPua7Ag

14. Recombinant Innovation Cross over of ideas and applications

15. Innovators DNA (Dyer et al 2009) Apple’s Steve Jobs, Amazon’s Jeff Bezose , Bay’s Pierre Omidyar , and Alibaba’s Jack Ma How do these people come up with ground breaking new ideas? 

16. Innovators DNA (Dyer et al 2009) Dyer, 2014

17. Innovators DNA (Dyer et al 2009) Discovery Skill 1: Associating the ability to successfully connect seemingly unrelated questions, problems, or ideas from different fields - it is central to the innovator’s DNA Discovery Skill 2: Questioning Ratan Tata puts it, ‘question the unquestionable’ ‘They get a kick out of screwing up the status quo,’ Meg Whitman, CEO of eBay Ask ‘Why?’ and ‘Why not?’ and ‘What if?’ Imagine opposites Embrace constraints

18. Innovators DNA (Dyer et al 2009) Discovery Skill 3: Observing ‘Why do they do that? That doesn’t make sense.’ Ratan Tata observed the plight of a family of four packed onto a single motorised scooter – result is a $2,500 Nano

19. Innovators DNA (Dyer et al 2009) Discovery Skill 4: Experimenting Research by Dyer et al (2009) revealed ‘that the more countries a person has lived in, the more likely he or she is to leverage that experience to deliver innovative products, processes, or businesses’ Discovery Skill 5: Networking Devoting time and energy to finding and testing ideas through a network of diverse individuals

20. A Map of Innovation Search Space (1)

21. A Map of Innovation Search Space (2) Left hand side – Zone 1 (Exploit): Search routines are associated with working with key suppliers, getting closer to customers, and build alliances to deliver innovations Zone 2 (Exploration): Pushing the frontiers but, within an established framework.

22. A Map of Innovation Search Space (3) Right hand side – Zone 3 (Reframe): New business models – for example, fringe markets or bottom of the pyramid, low cost airlines reframing the business model Zone 4 (Co-evolve): ‘fluid state’ before the design/pattern emerges Be in there, be in there early, and be in there actively

23. End

24. Assignment Review Choose an organisation Think wisely with regards to choosing the ‘right’ organisation; review CW2 – CW1 is linked to CW2; the extent to which you are able to gather relevant information; also the sector/market within which it operates…. Does it offer you space to research and demonstrate sound debate? Innovation history Use relevant models to show – where the innovations have come from; 4Ps; what are they? In detail. How do they achieve? The position they have in the market? (macro and competitive - industry) use appendices to show the relevance.

25. Assignment Review Present level of innovation activities Currently, the progress as compared to the industry and competitors? AGAIN link to previous analyses. (include upstream and downstream activities) Future requirements Given the macro and competitive analyses, what are the future requirements for your organisation?