Innovation Management Is a State of Mind

The Amaté platform

Innovation ManagementMay 12th 2014

- Preliminary Draft -

Agenda

I. DefinitionsII. HistoryIII. ContextIV. Six generationsV. Open InnovationVI. Modeling innovation

processesVII. Innovation StrategiesVIII. Innovation TacticsIX. InnoCentive Case Study

Introduction Typologies ProcessesDefinitions e-workbook

Business Model Innovation

History

1950/60s Technology push Simple linear sequential process. Emphasis on

R&D. The market is a receptacle for the fruits

of R&D.

1970s Market-pull Simple linear sequential process. Emphasis on

marketing. The market is the source for

directing R&D. R&D has a reactive role.

1980s Coupling model Sequential, but with feedback loops.

Combinations of push and pull.

1980/90s Interactive model Emphasis on integrating R&D and marketing.

1990s Network models Emphasis on external linkages

Introduction Typologies ProcessesDefinitions e-workbook

Context

R&DDESIGN &

ENGINEERINGMANU-

FACTURINGMARKETING SALES

First generation (50’s-60’s): Technology push “Linear model”

MARKETNEEDS

MARKETINGDEPT.

R&DMANU-

FACTURINGSALES

Second generation (mid 60’s-70’s): Demand pull

Introduction Typologies ProcessesDefinitions e-workbook

3rd Generation

Research

Knowledge

Potentialmarket

Invent and/ orproduceanalyticdesign

Detaileddesign andtest

Redesignandproduct

Distributeandmarket

D I S

D: Direct link to and from research from problems in invention and design

I: Support of scientific research by instruments, machines, tools

S: Support of research in sciences underlying the product areas

K K K

Introduction Typologies ProcessesDefinitions e-workbook

4th Generation

Marketing

R&D

Product development

Componentsmanufacture

Product manufacture

5th Generation

EXTERNAL INPUTS:societal needs;competitors;supplier partnerships;distributors;customers;strategic alliances.

EXTERNAL INPUTS:scientific and technological development;competitors;suppliers;customers;university departments.

Organisation and business strategy

EXTERNAL INPUTS:macro factorsROIcosts;competition.

Organisation’s knowledge base

accumulates knowledge

over time

Research and technology

New products

Mar

ketin

gSource: Trott, 2005

Introduction Typologies ProcessesDefinitions e-workbook

Closed innovation Open innovation

All the best people are working for us Not all the best people are working for us . We must work with clever people within and outside our company.

R&D creates profit only when we invent, develop and market everything ourselves.

External R&D can create remarkable value; to employ it, we need absorption capacity, often as internal R&D.

If we develop the product ourselves, we will be the first on the market.

R&D can create profit even if we do not initialize and perform it ourselves.

Winner is who gets the innovation to the market first.

To develop better business model is more important than to be the first in the market.

We will win if we develop most of the ideas (an the best of them).

We will win if we make best use of internal and external ideas.

We must have our intellectual property under control so that our competitors can make advantage of it.

We must be able to profit from others using our intellectual property and we must license the intellectual property if it supports our business model.

Introduction Typologies ProcessesDefinitions e-workbook