Global Innovation Management Design a Blockbuster Drug Toolbox Workout Design a Blockbuster Drug (without having to worry about chemistry)

Pharmaceutical Innovation The Blockbuster drugs ($1 billion or more in annual sales) of the past 15 years have all been “lifestyle” drugs Mood adjusters (Prozac) Performance enhancers (like Viagra) Recreational (MDMA, a.k.a. Ecstasy)

Your Task Design (i.e., identify the major features of) a new Blockbuster Drug by Quizzing your teammates Use a Mind Map to find the main feature sets of a hypothetical blockbuster drug Constructing your consumers (a.k.a. teammates’) Consumption Chain Identifying the discriminators and energizers (Feature-Attribute Map) for the significant steps of the Consumption Chain

The Opportunity ‘Register’ Concept: Always keep an inventory of possible opportunities so that you are unlikely to run out of ideas for making the next competitive move or capturing the next prospect for growth Fields: Business concept Relevant trends Key industry data Obstacles and barriers Company position Competition and Substitutes Sources for your information What type of opportunity is this? Timing of proposed actions

Commercialization Defines your market Who is the target customer for the company’s product (age, income, medical history, and other demographics) Support this with Attribute Maps and Consumption Chains What will differentiate your innovation from competitors’ in the customer’s minds?

Quizzing Detailed look at target customer usage and decision making regarding your product Looks at the customers “stream of consciousness” Through a series of questions Looks for ideas to Change the Customer’s Experience (i.e., redifferentiate your product) Remember: Experience is dynamic So are the questions in quizzing Over a time period prior to the first time customer is exposed to the product To a time well after the customer has stopped using it

Quizzing Who? What? What else? … might customers have on their minds … is with customers while hey use the product How much influence do they have If we could arrange it, who would we want the customer to be with … What? … Do our customers experience when the use the product … needs provoked our offering What else? … might customers have on their minds When? … do our customers use this .. Where? … are our customers when they use this How? … do customers learn to use the product ..

Toolsets Organize Answers with a Mind Map

Summarize your Quizzing by the Attributes of the Innovation that are important to the Customer This provides a heuristic for ‘Functional Innovation’ (Eric von Hippel) Basic Discriminator Energizer Positive Nonnegotiable Differentiator Exciter Negative Tolerable Dissatisfier Enrager Neutral So What? Parallel

Consumption Chain Analysis

Function of Consumption Chain Analysis A complement to quizzing … And (perhaps) quizzing done from a different (more graphical) perspective Consumption Chain Analysis Works from the premise that opportunities for redifferentiation lurk at every step and decision that your customers take From the time they first become aware of their need for your product or service To the time thy finally dispose of the remnants of the used up product Rather than ‘stream of consciousness’ It is time-sequential

Consumption Chain Analysis A complement to quizzing … And (perhaps) quizzing done from a different (more graphical) perspective Consumption Chain Analysis Works from the premise that opportunities for redifferentiation lurk at every step and decision that your customers take From the time they first become aware of their need for your product or service To the time thy finally dispose of the remnants of the used up product Rather than ‘stream of consciousness’ It is time-sequential It provides a Heuristic for ‘Circumstantial Innovation’ (Eric von Hippel)

Every Link in the Consumption Chain has its Own Attribute Map The Attribute Map compares your product to those of others Basic Discriminator Energizer Positive Nonnegotiable Differentiator Exciter Negative Tolerable Dissatisfier Enrager Neutral So What? Parallel

Toolsets Consumption Chain Analysis Determine the main steps in consumption Each step on the consumption chain has an attribute map You should only list the 3 or 4 most important steps These will determine whether the potential customer proceeds to the next step (good) Or leaves the consumption process (not good)

Toolsets Overview of Feature Set Prioritize and choose the major features of your innovation from the main branches of the Mind Map Review the main innovation features with a feature-attribute map for the entire innovation Basic Discriminator Energizer Positive Nonnegotiable Differentiator Exciter Negative Tolerable Dissatisfier Enrager Neutral So What? Parallel

Identify Discriminators and Energizers Toolsets Feature-Attribute Map the 3-4 Key Steps in the Consumption and Manage those 3-4 Steps Identify Discriminators and Energizers Describe how you will manage each of these features of the consumption process Basic Discriminator Energizer Positive Nonnegotiable Differentiator Exciter Negative Tolerable Dissatisfier Enrager Neutral So What? Parallel

What to Present Mind Map of Feature Sets for the Drug Consumption Chain with key steps containing discriminators and energizers Tell how you will manage each discriminator or energizer to encourage consumers to move to the next step of the Consumption Chain Identify existing ‘substitutes’ for your new drug Identify other potential barriers to entry for the drug