Paulines slides Flashcards
How do you test an innovative idea? (8 things)
- Valuable benefits
- Scale up
- Marketing
- Intellectual property
- Return on investment
- Corporate social responsibility
- Strategic fit
- Leadership team
Core abilities in managing innovation
Recognizing
Aligning
Acquiring
Generating
Choosing
Executing
Implementing
Learning
Developing the organization
Why does innovations fail?
New product development is too expensive
Unexpected delays and time to market too long
Idea good but market overestimated
Insufficient demand for the product or service
Not as well designed as it should have been
Incorrectly positioned
Incorrectly priced
The product’s innovative feature is being replicated by an existing product as an added function and there is no need for a stand alone new product
The economics of the new product is not attractive enough (cannot hit a critical mass)
Factors influencing Innovation Management
Organizational size
Sector
National systems of innovation
Life cycle
Degree of novelty
Role played by external agencies
How does organizational size affect innovation management?
Organizational size: small firms differ in terms of access to resources
so need to develop more linkages
How does the sector affect innovation management?
Different sectors have different priorities and characteristics
For example: scale-intensive, science-intensive
How does National Systems of Innovation affect innovation management?
Different countries have more or less supportive contexts
How does the life cycle affect innovation management?
Different stages in life cycle emphasize different aspects of innovation
How does degree of novelty affect innovation management?
Continuous versus discontinuous innovation demands different innovations managements.
How does the external agencies affect Innovation Management?
Some sectors –for example, utilities, telecommunications, and some public services –are heavily influenced by external regimes, which shape the rate and direction of innovative activity.
Others –such as food or health care –may be highly regulated in certain directions
What are key components when it comes to innovation strategy? What should an Innovation Strategy do? What questions should it answer?
+ promote alignment among diverse groups within an organization (principal/agent problem)
+ clarify objectives and priorities
+ help focus efforts around them
+ help to design a system to match the specific competitive needs
+ help an organization to change its prevailing patterns
+ not copy other successful systems
ANSWER THE QUESTIONS
How will innovation create value for potential customers, society, but also for the company?
How will the company and society capture a share of the value its innovations generate?
What types of innovations will allow the company to create and capture value, and what resources should each type receive?
What is an innovation system (eco-system)?
interconnected network of companies and other entities that
co-evolve capabilities around a
shared set of
technologies,
knowledge,
or skills, and
work cooperatively and competitively to
develop new products and services
How to manage alliances? What are the five important aspects when managing a portfolio
Selection
Deal negotiation
Execution
Exit
Portfolio
When it comes to risks involved in a project, what are the differences between risks i a regular project vs in an ecosystem-project?
When the project is in an eco-system, there are three risks involved:
Initiative risk (same as a regular project)
Interdependence risk
**Integration risk **
In a regular problem, the only real risk is the initiative risk of managing a project.
What is an Interdependence Risk when it comes to innovation strategy and eco-systems?
Interdependence risk
- risk of working with complementary innovators
