Innovation Flashcards
1
Q
What is product innovation
A
Creating new products.
2
Q
What is process innovation
A
Internally changing how products are made
E.g. Zara 60% making summer clothes in winter
3
Q
Give Three pressures to innovate
A
- competition
- changes in consumer demand
- changing tech (click and collect)
4
Q
Impact innovation has on HR
A
- Investment in training = increase prod
- process requires machinery so more redundancies
- benefit from synergy
5
Q
Impact of innovation on marketing
A
- catering to new demographic/ geographic segments
- increase price
- increased promotion
6
Q
Impact on innovation on operations
A
- new suppliers needed
- decrease costs if if operations are more efficient
- investing in capital = more redundancies
7
Q
Impact on innovation on finance
A
- creates USP= set premium price
- overtrading risk
- very costly to make new products
8
Q
3 ways a firm can be more innovative
A
- kaizen
- intrapreneurship
- benchmarking
9
Q
What is kaizen
A
Japanese term meaning continuous improvement
10
Q
3 factors of kazien
A
- one employee 2 jobs
- team working
- empowerment
11
Q
Adv of kaizen
A
- employees can spot problems and solve them before it escalates
- decrease watsteage & production costs
- small changes is less expensive
12
Q
Disadv of kaizen
A
- workers may resist change
- more machinery used so more redundancies
- ‘quality circle’ = production time lost
