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Managing Quality, Innovation and Knowledge
Process Innovation
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Process Innovation Importance of process innovation
Technology and process innovation Process innovation Organization and process innovation
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Importance of Process Innovation
Improvements in quality, reductions in costs, lead to Improved Competitiveness e.g. Korean electronics industry New processes lead to the creation of new business models e.g. New business models in the finance industry
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Technology and Process Innovation
Applications of new generic technologies Applications of new industry specific technologies paint-technology
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Process Innovation
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Process Innovation
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Process Innovation The Innovation Process -- Six Stages
Stage 1: Generate Ideas Stage 2: Capture Ideas From The First Stage Stage 3: Begin the Innovation Stage 4: Develop a Business-Effectiveness Strategy Stage 5: Apply Business Improvement Stage 6: Decline
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Process Innovation Process innovations are hard to patent
Process innovations are protected by secrecy as processes are not visible to customers or competitors
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Organization and Process Innovation
New forms of organization
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New forms of organization
The World is changing rapidly and so are the world’s businesses Old economy (Weight) Information gets collected locally, access is restricted Isolation Growth and expansion is slower Manufacturing First mover’s advantage lasts longer
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New forms of organization
New Economy (Speed) Information travels fast and wide Globalization First mover’s advantage is a small window Technology You can lose your intellectual advantage very quickly Knowledge
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New forms of organization
Our Needs from structure have changed The old world’s needs from structure Stability Rigidity Strength Productivity Efficiency What the new world needs Flexibility Adaptability Ability to evolve and change
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New forms of organization
New organizational forms proposed literature Post-bureaucratic and post-modern organization Pre-engineering corporation Virtual organization Boundary-less company Network organization Modular organization Fractal and modular factories Atomized organization High-performance or high-commitment work system The Ambidextrous organization Distributed knowledge system Learning organization Collaborative organization
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New forms of organization
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New forms of organization
Enterprise Social Networks How organization’s networks are structured will determine how the enterprise responds to external stimuli Is the organization trying to fight non-linearity with linear structures? Is the enterprise finding it difficult to innovate despite the best intentions? Form will define behaviour… Innovative organizations will design their structures to maximize benefits from network effects
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Innovation and Human Capital
Applications of knowledge and skills Knowledge is the theoretical or practical understanding of a subject Skills are the proficiencies developed through training or experience Abilities are the qualities of being able to do something.
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Innovation and Human Capital
Communities of practice
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Communities of practice
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Process Innovation Additional Readings:
Liu, H (2012). ‘Study on industrial generic technology R&D organization model based on the background of collaborative innovation’. System Science, Engineering Design and Manufacturing Informatization (ICSEM), third international conference. vol.2, no., pp.253, 257, Oct. 2012 doi: /ICSSEM URL:
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