the map of innovation
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The Map of Innovation
Creating Something out of NothingCreating Something out of Nothing
� Whether you are trying to create something new or innovate within an existing company, the steps are the same – and there is a process that will
Are you sure you want to innovate?
same – and there is a process that will allow you to do it faster, cheaper and better
� Thomas Edison quotes “innovation is 1 percent inspiration and 99 percent perspiration”
� Edison would find a problem and work
Are you sure you want to innovate?
� Edison would find a problem and work his ass off finding the best solution.
� Creating a large number of viable ideas.� Picking the right ides to pursue.� Creating a highly focused strategy to
bring the idea to market.
Fundamental for start innovate
bring the idea to market.� Getting the money to fund the strategy.� Hiring great people to implement the
strategy.
� Genetics; that is, you were born with a willingness to put the ideas into action.
� Timing.� Approach.
Three key factors for innovate successfully
� Approach.
� A way to draw out all possible answers.� A way to narrow the many possible
answers to only a few of the best.� A way to build a consensus.
Brainstorming Prioritization Technique
� A way to build a consensus.
2 questions;� What will the internet look like in three to
five years?� What are the biggest obstacles keeping us
Brainstorming Prioritization Technique
� What are the biggest obstacles keeping us from getting there?
� 3 things to note about how the voting process works:1. People can put only one vote against an idea.
Even if you’re convinced there’s one perfect idea, you can’t throw all of you twelve votes against it. You can vote for it only one.
Brainstorming Prioritization Technique
all of you twelve votes against it. You can vote for it only one.
2. There is no sandbagging. Say you know one idea that you like is going to win. You still have to vote for it. You can’t save that vote and put it toward another idea.
3. You don’t have cast all your votes. Vote only for the ideas that you think have merit. If you have twelve votes but you like seven ideas, then votes for the seven you like. There is a maximum number of votes you can cast, but no minimum.
1. Get the right people in the room.2. Define the problem carefully.3. Spend up to twenty minutes brainstorming, no
discussion.4. Explain and talk about the ideas until everyone is clear
what they are.
BPT Checklist
what they are.5. Combine similar ideas.6. Number the ideas.7. Divide the total number of ideas by three. This is the
number of votes each person gets.8. Only one vote per idea.9. Circle the top three to six ideas. Ignore everything and
begin your research.
“NOW Just Do IT” …the success for any change effort N = need, burning platform for change is
communicated and well understood
O = opportunity, chance of success
W = will of senior management, committed
leadership
Just = justification
DO = need doers, not talkers
IT = information technology
Brain & Opportunity
Innovation DrivenEconomy
Value Creation Opportunity
Less for More
Sweat &Tear
Sweat & Brain
Factor DrivenEconomy
Investment DrivenEconomy
More for More
More for Less
Agriculture Commodity Model
• Tesco Model• Nabisco Model• Starbuck Model
Michelin Model
Subcontracting • LVMH Model De-beer ModelManufacture
Sweat & Tear Sweat & Brain Brain & Opportunity
Subcontracting Model
• LVMH Model• Nike Model• Zara Model
De-beer Model
Labor Intensive Model
• Club 21 Model• Wal-Mart Model
Visa Model
Manufacture
Services
Physical Endowment
ProductDifferentiation
PlatformLeadership
Today, IP asset is the main part of the product, pl aying an important role in value creation
Walt Disney
76%
Nike, Inc
70.9% 76%
93.5%
Merck & Co
93.5%
The design of processes
Images from Professor John Heskett, IWDS conference 2006
One to one Design advice
Customer StrategiesStrategies
Customers are in driver’s seat
� Innovative thinking: How to offer customers something they didn’t know they wanted�Understand how the customers think & do
business (needs, desires, & intentions) &business (needs, desires, & intentions) &�Design our business from outside in (taking
initiative to satisfy them – do not simply focus on internal operations)
� Move beyond customers’ focus –Customers’ Value
Customers’ ValueValue : “What a customer likes & is prepared to
pay for”Dimensions of customer ‘Value’1. Speed 2. Quality3. Cost 4. Convenience3. Cost 4. Convenience
“Marketing + Innovation”= Two basic functions of business that produce
results (creating a customer);all the rests are costs
Peter Drucker
4 Ways to Serve Customers Better by Rethinking the Customer Strategies
Be creative in the ways you…� Add value to your customers
� Decommoditization, New biz strategies
� Hear your customers� Hear your customers� Collaboration w/ Customers + Future Prediction� Influencers > Overall Market Research
� Serve your customers� Review processes: Company’s, Customer’s
� Hire your customers� Customers to serve themselves
Creating the Future� Since the future is hard to predict,
perhaps the best way to Control your destiny is to Create your own Future
� Customers do not always know what � Customers do not always know what they want:� Sony walkman, CNN 24hr. – the need didn’t exist: it was created
Establishing an innovative environment and propagating this virtuous circle