week 4 - digital innovation + strategy Flashcards
what is innovation?
the process of creating, improving, or implementing new ideas, products, services, or processes to add value.
what is digital innovation?
use of digital tech + apps to improve existing business processes + efficiency of them, enhance client experience + launch new products or business models.
what are the latest forms of innovative technology?
wearable devices, chatbots, ai, big data.
what are the types of classification of innovation?
- sustaining or incremental innovations
- disruptive or radical innovations
- technology push based innovations
- market pull based innovations
- vertical market
- horizontal innovation
- product innovation
- process innovation
- paradigm innovation
what is the sustaining or incremental classification of innovation + an example?
continuous improvements made to existing products over time to help companies stay competitive without changing the market or industry.
example is regular updates to camera quality, battery life and software on a phone.
what is disruptive or radical classification of innovation + an example?
groundbreaking advancements that alter industries. introduces something entirely new that will replace the existing ways of doing things.
examples are netflix disruptive blockbuster, iphones replacing basic phones.
what is technology push based classification of innovation + example of it?
driven by research or tech ideas that offers the potential to be developed as a successful market offering.
Example is a digital camera.
what is a market pull based classification of innovation + an example of it?
driven by an observed need, problem or opportunity in a market.
Example is when facebook addressed the need (identified by snapchat first) for images that disappear after a period of time, this is a market pull that’s motivated.
what is a vertical market classification of innovation + an example of it?
innovation that addresses industry specific problems such as energy, education, retail or healthcare.
Involves integrating new and existing tech to achieve an improved performance. Example in the health sector is AR offering that helps medical staff learn about anatomy without having to cut open the body.
what is horizontal classification of innovation + an example of it?
addresses the needs of many industries, including tech like cloud or authentication services that provide a technical platform for a range of offerings.
Examples include apple pay and google wallet which enable online payments within or across any sectors.
what is product innovation?
development of new or improved products that offer better performance or enhance user experiences.
examples are tesla innovation in battery tech, plant based meat revolutionising food.
what is process classification of innovation + an example of it?
improvement or creation of new methods, systems or workflows to enhance efficiency, reduce cost or improve quality.
example is contactless payment.
what is paradigm classification of innovation + an example of it?
shift in thinking or business models that transforms industries, redefining how things are perceived, organised or executed.
example is streaming services shifting dvd ownership to subscription models.
what is meant by the innovation process?
a new product, technique or useful service is obtained from the generation of new ideas and their development.
what is the innovation process?
ideas + their origins
exploitation of ideas through a product or service offering
market consumption of an offering
how are ideas created?
- through association
- through adaptation and analogy
- through serendipity and chance
what is meant by association?
the bringing together of previously unconnected ideas to solve a problem or open a new market. The idea to associate these functions contributed to the now ever present smartphone products.
what is meant by adaptation and analogy?
the adaptation of an existing solution for a different purpose in a different situation. Uber is a sharing economy which is being applied to many businesses to create platforms where people pay to access someone else’s goods or services.
what is meant by serendipity and chance?
a new idea arises through accident or random occurrence.
what is meant by exploitation of ideas through a product or service offering?
This phase is about an idea that can be taken to market through some form of offering.
An idea cannot be taken into market in its pure form: needs to be wrapped into a product or service offering with an associated business model.
what is meant by the market consumption of an offering?
about interpreting and handling the market’s response to an offering. Understanding this is only possible if the data is available.
Positive response shows the business model is working so encourages more of the same, negative response may reflect badly on the idea, the ways it’s been wrapped into an offering or on the business model adopted.
what is a business model?
set of propositions, analysis and design decisions that embrace all aspects of how an offering will be taken to market, empowered by a business structure.
what is strategy?
definition of the future direction and actions of a company to achieve specific objectives.
what are the different forms of corporate/organisational strategy?
business unit strategy, regional strategy, functional strategy.
