Sources of innovation - Lecture 5 Flashcards
What are the two main types of sources regarding innovation?
1) Technologies - technology push (R&D companies)
2) Customers’ needs - demand pull (Market)
Give examples of technology/knowledge push. And explain why these are not demand pulls.
MRNA technology, ASML computer chip machine. Because they made/push them even when there was no clear demand for them at the time.
What can technology push also lead to? And give an example.
To recombinant innovation. For example GPS technology, being used in Iphones.
What is important to keep in mind with regards to recombinant innovation?
That it’s not only limited to technological products.
What is Need/Demand pull? And give some examples.
It’s an innovation based on the demands/needs of customers. For example thuisbezorgd or zoom.
What is important to keep in mind when talking about Need/Demand pull
These innovations already existed, but they are being used now because there was a customer demand.
What is customization in innovation good for?
It’s good for the interaction with customers, so a business can charge a higher premium for the product.
What is the difference between lead and extreme users?
Extreme user: buys all the products from a business and tests them to the extreme.
Lead users: are the earliest adopters of a product.
Give more examples of users as innovators.
Co-development (design-driven innovation), and Crowdsourcing competitions.
What is the risk of relying on users as innovators?
Users drive business to incrementalism.
What is design-driven innovation?
Test your almost-finished idea with your customers and implement their feedback.
Give the components of design-driven innovation.
- Not ‘just’ delivering what the customer wants/asks
- Customer observation/feedback might be the starting point.
- It’s an iterative process where you switch between developing and feedback.
Give examples of different forms of forecasting. And what is important to keep in mind?
1) Trend extrapolations
2) Technology road mapping
3) Customer and market research
4) Benchmarking
That it all relies on ‘knowns’
What are the requirements of forecasting a good scenario?
- Consistent
- Plausible
- Transparent
- Differentiated
- Communicable
- Actionable
Why do you need push and pull?
Because just push gives invention but often market failure, and just pull gives you incrementalism
What is open innovation?
Open innovation is sourcing ideas from external sources as well as internal ones.
What does organize absorptive capacity mean?
The ability to recognize the value of external knowledge, and use it into the organization to create value.
