MODULE 2
TYPES OF INNOVATION
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DEFINITION OF INNOVATION
Definition source:http://es.fpdgi.org/upload/projecte/aprender-a-emprenderesp.pdf
Innovation is:
“The creation of new or improved knowledge with potential on implementation to business of the company, with positive impact and market acceptance”.
Keywords:new/improved knowledge, implementation to business.
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CONTENT
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Think ...simple
Think ...simple
1. Meaning of innovation
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1. Meaning of innovation
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1. Meaning of innovation
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1. Meaning of innovation
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You're in a high street coffee shop (see pictures).
2. Think innovative –exercise
Imagine a "Future coffee shop" , "Internet café" or “Cybercafe“, based on new progress in IT.
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Internet café
2. Think innovative –exercise
LapcoffeeWi-Finetwork
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3. Types of innovation
Business innovation involves a wide spectrum of original concepts, including development ofdevelopment of: - new ways of doing business, - new business models, - business application of technology and communications, - new management techniques, environmental efficiency, - new forms of stakeholder participation, telecommunication, transport and finance.
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In some cases, the innovation rests not in the technology or product or service, but in the business model itself.It is much related to non-technological innovation and to innovative services.
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... is the implementation of a new organisational method in
the firm’s business practices, workplace organisation or
external relations.
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Strategy innovation is about challenging existing industry methods of creating customer valuecustomer value in order to meet newly emerging customer needsnewly emerging customer needs, add additional value and create new markets and new customer groups for the sponsoring company.
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• Why strategy innovation?
You should respond by
adopting a new approach to
strategy, one that combines:
… speed, openness, flexibility, forward-focused
thinking.
speed, openness, flexibility, forward-focused
thinking.
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In China, some doctors are paid monthly
when their patients are healthy. If you are
sick, it‘s their fault, so you don‘t have to pay
that month. It‘s their goal to get you healthy
and keep you healthy so they can get paid.
Doctor s aren’t paid Doctors are paid
Doctors are paid
Strategy innovation example
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Toilet paper - example
“A marketing innovation is the implementation of a new marketing method involving significant changes in significant changes in productproduct design or packagingdesign or packaging, , product placement, product promotion or pricing.” OECD – The OSLO Manual
Social media
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A product innovation is the introduction of a good or a service that is new or significantly improved with respect to its characteristics or intended uses.
http://www.davison.com/creators/category/product-innovation/
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Types ofproduct innovation
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Exercise: Propose some idea to Propose some idea to improve this product :improve this product :Propose some idea to Propose some idea to improve this product :improve this product :
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Possible solution:
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“A process innovation is the
implementation of a new or significantly
improved production or delivery method.
This includes significant changes in
techniques, equipment and/or software”.
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Example 1
1913Cars were built individually by hand
Car mass production
FORD – Assembly line Example 2
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FORD – Assembly line
Principles:• interchangeable parts;• continuous flow;• division of labor;• reducing wasted effort.
Benefits:•increase of productivity;•wage growth (from 2.5 $/h to 5.0 $/h);•raise of company profit (from $30 ml. in 1914 to $60 ml. in 1916);•attraction of best mechanics.
New verb: “to Fordize”(to standardize in the interests of efficiency and mass production)
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Technology innovation: implemented technologically new products and processes and
significant technological improvements in products and processes.
Explosive technology
Implosive technology
The product or process should be new from the point of view of the firm that introduced it.
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Discussion
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Marketing or technology innovation ?
4. New approach
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The attitude to look beyond the current reality and
become something we are not yet.
There is no motivation without future vision, and
without motivation there is no possibility to innovate, to
undertake, to assume new risks.
Having a future vision allows venturing to exercise our
creative thought.
“Creative personality is made, not born”http://es.fpdgi.org/upload/projecte/aprender-a-emprenderesp.pdf
4. New approach
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Thank you!Thank you!
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