2 Flashcards
Definition Fuzzy End innovation
Activities that come before the formal and well structured new product (technology/service) portion of innovation.
- Fuzzy = less well defined, less clear what aim/procedures is
e.g.:
- opportunity identification/assessment; idea generation
problems in managing the front end
1-3
1 lack of highly profitable ideas
- feed innovation process faster with highly profitable products
2 lack of understanding where profitable ideas come from
- perceived as coming from one brilliant individual (anecdotes, but no origin known)
3 front end perceived as mysterious
- low degree of accountability
- unclear responsibilities
Definition Opportunity
A business or technology gap between the current situation and an envisioned future in order to capture competitive advantage, respond to a threat, or solve a problem.
- gap between now and envisioned future
- capture advantage, respond to threat, solve a problem
Definition Idea
The most embryonic form of a new product, process or service. Often a high-level view of the solution envisioned for the problem identified by the opportunity.
Definition Concept
Has a well-defined form, including a description of the primary features and customer benefits combined with an understanding of the technology needed.
Main Clusters of Fuzzy FEI actives
1-4
FEI: Front End Innovation
1 Trend Analysis
- understanding external environment (business units, customers)
2 Opportunity Analysis
- gaps between present state and envisioned future
3 Idea generation
- creating alternatives for solutions
4 concept development
- combining ideas into concepts (primary features, customer benefits)
Trend Analysis Methods
1-5
1 scenario planning
2 trend workshops
3 customer innovation workshop
4 coolhunting
5 open technology scouting
Trend Analysis Methods
1 scenario planning
- setting future strategies
- explore outcomes of technological/competitive developments
e.g.: Autonomous Driving in automotive market
Trend Analysis Methods
2 trend workshops
- interactive workshop format
- generate new ideas concerning handling the future
- like trend flower method
Trend Analysis Methods
3 customer innovation workshop
- interactive workshop format
- flexible interaction with customers in all stages
Trend Analysis Methods
4 coolhunting
- oberservations/predictions in changes of new or existing cultural trends
- word derives from the ascetic of „cool“: what’s cool at the moment?
Trend Analysis Methods
5 open technology scouting
- scan technology landscape for a given technology need area
- using open innovation platforms for technological broadcast
Sources of unidentified opportunities
1-4
1 underutilized resource (manufacturing process, operation, strong franchise)
2 new resource (discovery of new material)
3 external mandate (stagnant market with competitive threat)
4 internal mandate (new products used to close long-term sales gap, senior management desires)
Methods for opportunity Analysis
1-4
1 technology forecasting
2 outcome-driven innovation
3 competitor intelligence
4 netnography
Methods for opportunity Analysis
1 technology forecasting
goal: capturing driving technological forces of business (graphically)
- what opportunities come out of that developments?
- core outcome: interactive process of the mapping process
e.g: IoT, connectivity
Methods for opportunity Analysis
2 outcome-driven innovation
- dedicated (qualitative) market research analysis
- goals: identify unfulfilled latent customer needs & translate into market opportunities
Methods for opportunity Analysis
3 competitor intelligence
transform disaggregated competitor information into relevant/strategic knowledge
Methods for opportunity Analysis
4 netnography
- analyzing social media data and online consumers
- identify latent need and early concepts
Netnography
1-4
- Observing users in online communities
- extracting sticky information
- Sticky information = information that is costly to acquire and to transfer
- customer needs are sticky —> they don’t normally know that they want
Streetscooter
1 Trends
2 Opportunities
1 trends:
- significant increase in e-commerce -> increase of logistics -> increase of pollution
- increase need for environmentally friendly deliveries
- globalization: faster and more efficient product development
2 opportunities:
- large OEMs unable to offer solution
- reduction of CO2 emission despite increase of logistics (e-mobility)
- competitive advantages through “green distribution”
- manage serial production in short time with small team, small investment
Generating ideas
1
2
1 frustrated user: gather existing concepts
- inside organization
- outside organization
2 dedicated firm activity: creating concepts internally
- market research (voice of customer)
- creativity techniques
Product Concept Definition
benefits
form
Technology
A product concept is a verbal or prototype statement of what is going to be changed and how the customer stands a gain or lose.
required inputs:
- Benefits: needs or desire of customers are satisfied
Form: physical or service
Technology: source by which the form is to be attained
Streetscooter
Elements of new product concepts
1 Benefit
2 Form
3 Technology
1 Benefit: environmentally friendly, adapted to specific needs of DHL
2 Form: low-cost, flexible vehicle specific to daily needs of users
3 Technology: cost-efficient battery technology, environmental friendly
Netnography: Areas
1-6
1 online communities (spot trends and opportunities)
2 open online communities (voice of customers)
3 firm-organized communities (emotional bonds with customers)
4 private proprietary online communities (enable customer support)
5 user organized forums (leveraging brand knowledge from customers through brand communities)
6 pilot user communities (leveraging product knowledge from customer brand communities)
Identifying the Jobs of a product
1-3
1 Challenge
- customers buy products/services to get certain jobs done
- problems independent of a particular product solution
2 Approach
- quantitative research: asking customer about problems/existing solutions
- qualitative research: validation with large groups of customers
3 Goals
- reveal customers true needs
- address all innovation possibilities (focus on needs not on particular technology)
- identify new business models
JOBS-Based thinking
“People dont want to buy a quarter-inch drill, they want a quarter-inch hole” Levitt
- job is a stable factor over time
- products/services are temporary solutions
- products are evaluated based on their contribution to a solution
J
O
B
S
J: jobs-to-be-done
- problem or goal of customer
- “delivering parcels efficiently & environmentally friendly”
O: objectives/outcomes
- functional, emotional, social metrics
- “minimizing time to deliver parcels”
B: Barriers
- factors inhibiting getting the job done
- “bulky cars, underdeveloped battery tech”
S: Solutions
- products, services, compensating behaviors
- “revolutionary, customer-focused innovation approach”
JOB Map
1-8
1 Define (plan, select, determine)
2 Locate (gather, access, receive)
3 Prepare (set up, organize, examine)
4 Confirm (validate, prioritize, decide)
5 Execute (perform, transact, administer)
6 Monitor (verify, track, check)
7 Modify (update, adjust, maintain)
8 Conclude (store, finish, close)
Formulating Jobs: 3 Dimensions
1-3
1 Action Verb: “maximize..”
2 Object of Action: “..my kids safety..”
3 Contextual Clarification: “..in case of an accident.”
Findings of market segmentation by companies
- market much larger, their share smaller
- their real competitors are not their product category
- growth potential is greater
- required innovation is a service or business model innovation
- competitors cannot copy easily
Empathic Design
- customers don’t know what they want
- have difficulties verbalizing their needs
Empathic Design
1 Challenge
2 Approach
3 Goals
1 Challenge
- customers cannot envision future solutions
- cannot verbalize needs
- solutions are unknown
2 Approach
- observing customers behavior in non-intrusive way
- gather infos: interaction, habits, validation of emotional and aesthetic product features
3 Goals
- concept based on unarticulated customer needs
- create breakthrough designs in shorter cycles
Empathic Design
Process
1-4
1 Search field definition
- target segments
- focus field
- permission for observation (labor council)
2 capturing data
- capture observations (non-intrusive)
- use photos/videos
- note critical incidents
3 evaluation and documentation
- share and extract observations
- cluster observations
- formulate problem statements
4 reflection and analysis
Empathic Design
Findings @Streetscooter
1-4
1 flat A-column hampers driver getting into car
2 wasted space through wheel housing area
3 heavy tailgate leads to dirty hands
4 2nd seat not needed
Empathic Design
Solutions @Streetscooter
1-4
1 improved viewing conditions
2 loading area: improved accessibility (3 doors)
3 loading door: designed for opening and closing 250k times
4 improved interior design
5 robust and easy to repair bumper
6 door designed for opening and closing one million times
