MODULE 2 TYPES OF INNOVATION 1

1. What can lead to innovation 2. Think innovative –exercise 3. Types of innovation DefinitionsExamplesApplications 4. Innovation connections CONTENT 2

The definition of innovation is: The creation of new or improved knowledge with potential on implementation to business, with positive impact and market acceptance. Keywords: new/improved knowledge, implementation to business What can lead to innovation

Think...simple 4 1. What can lead to innovation

Innovation New… Great idea …Money… 1. What “is” innovation 5

1. Types of innovation 6 The “WHEEL” or “RING” of innovation

1. Types of innovation Business innovation Technology innovation Product innovation Process innovation 7

This is a traditional coffee shops 2. Think innovative – exercise Imagine now a “Cybercafe“, based on ICT progress. 8 Damascus - SiriaWien- Austria

Internet café Cybercafe, based on ICT progress Lapcoffee Wi-Fi network 9

3. Types of innovation Details of each 6 types of business innovation development of … involves a wide spectrum of original concepts, including development of:  - new ways of doing business,  - new business models,  - business application of technology and communications,  - new management techniques, environmental efficiency,  - new forms of stakeholder participation, telecommunication, transport and finance. 10

The innovation rests not only in the technology, but in the business model itself. Business innovation has 4 stages of implementation. 11 Stages of business innovation

... is the implementation of a new organisational method in the firm’s business practices, workplace organisation or external relations. 12

customer valuenewly emerging customer needs  Strategy innovation is about creating customer value in order to meet newly emerging customer needs, add additional value and create new markets and new customer groups. 13 Example: Blue Ocean Strategy

Why strategy innovation? You should respond by adopting a new approach to strategy, one that combines:  … You should respond by adopting a new approach to strategy, one that combines:  …  speed,  openness,  flexibility,  forward-focused thinking.  speed,  openness,  flexibility,  forward-focused thinking. 14

 In China, some doctors are paid monthly when their patients are healthy. If you are sick, it‘s their fault, so you don‘t have to pay that month. It‘s their goal to get you healthy and keep you healthy so they can get paid. Doctor s aren’t paid Doctors are paid Strategy innovation example 15

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1 What do you think about this ? 2 What do you think about the profit of this idea? 3 In your opinion is it simple to implement this? 17 Toilet paper - example

 A product innovation is the introduction of a good or a service that is new or significantly improved with respect to its characteristics or intended uses. 18

New products Improved products New services Improved services Types of product innovation 19

Having 3 minutes to write an idea to improve this product : Having 3 minutes to write an idea to improve this product : 20

1 Efficient use of space 2 Easy organization of accessories 3 Simple to implement 4 Keeping clean easy 5 Possible solution: 21

 “The implementation of a new or significantly improved speed production or delivery method”. Significant changes in techniques, equipment and/or software are involved. 22 3D View interface

1913 Cars were built individually by hand Car mass production 23

Principles: interchangeable parts; continuous flow; division of labor; wasted effort. Benefits: productivity; wage growth (from 2.5 $/h to 5.0 $/h); raise of company profit (from $30 ml. in 1914 to $60 ml. in 1916); attraction of best mechanics. New verb: “to Fordize” (to standardize in the interests of efficiency and mass production) 24

 Technology innovation: implemented technologically new products and processes and significant technological improvements in products and processes. Explosive technology Implosive technology Technology innovation 25

26 3D Hologram projection

Discussion 27 This is marketing or technology innovation ?

4. Innovation connections Triangle: Creativity, R&D, Innovation 28

The attitude to look beyond the current reality and become something we are not yet. There is no motivation without future vision, and without motivation there is no possibility to innovate, to undertake, to assume new risks. Having a future vision allows venturing to exercise our creative thought. “Creative personality is made, not born” 29 Attitude and future vision

Thank you! 30