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Innovation management summary
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Voorbeeld van de inhoud
INNOVATION MANAGEMENTCHAPTER 1: BASIC CONCEPTS: technology and R&D
1.1. TECHNOLOGY AND TECHNICAL CHANGE
1.2. TYPES OF INNOVATION
1.3. RESEARCH AND DEVELOPMENT (R&D)
1.1. TECHNOLOGY AND TECHNICAL CHANGE
Technology meaning:
The branch of knowledge that deals with the creation and use of technical means and their
interrelation with life, society, the environment, drawing upon such subjects as industrial
arts, engineering, applied science and pure science.
LOGOS (knowledge) + TECNOS (technique, equipment)
Technology evolution = Technical change & organisational change.
Technology Life Cycle
Four stages: Introduction (emerging technologies) Growth (phase I) Maturity (phase II) Dead
(Phase III)
1.2. TYPES OF INNOVATION
Innovation: Novelty & Use (nieuwheid en gebruik)
Main Types of Innovation:
‘product innovation’ – changes in the things (products/services) which an organization
offers;
- A product innovation is the introduction of a good or service that is new or significantly improved with respect
to its characteristics or intended uses. This includes significant improvements in technical specifications,
components and materials, incorporated software, user friendliness or other functional characteristics.
‘process innovation’ – changes in the ways in which they are created and delivered;
- A process innovation is the implementation of a new or significantly improved production or delivery method.
This includes significant changes in techniques, equipment and/or software.
‘position innovation’ – changes in the context in which the products/services are introduced;
- A marketing innovation is the implementation of a new marketing method involving significant changes in
product design or packaging, product placement, product promotion or pricing (4 P’s).
‘paradigm innovation’ – changes in the underlying mental models which frame what the
organization does.
- An organisational innovation is the implementation of a new organisational method in the firm’s
business practices, workplace organisation or external relations. *
, INNOVATION MANAGEMENT
An innovation is the implementation of a new or significantly improved product (good or service),
process, a new marketing method, or a new organisational method in business practices, workplace
organisation or external relations.
Innovation & Invention (hierbij gaat het om het verschil) An innovation is: something new that is
used. An Invention is just something new.
Important issues linked to innovations are:
Technological impact
Economic impact (changes in the competitive arena, increases in productivity etc. )
Sociological impact
Psychological impact
The diffusion of innovation: look at the users (1st telephone was thought to have no market..)
Is the market & the legal framework ready for such novelty?
Innovation activities are all scientific, technological, organisational, financial and commercial steps
which actually, or are intended to, lead to the implementation of innovations. Some innovation
activities are themselves innovative, others are not novel activities but are necessary for the
implementation of innovations. Innovation activities also include R&D that is not directly related to
the development of a specific innovation.
A common feature of an innovation is that it must have been implemented. A new or improved
product is implemented when it is introduced on the market. New processes, marketing methods or
organisational methods are implemented when they are brought into actual use in the firm's
operations.
Radical VS Incremental innovation
Radical/disruptive innovation:
Has a significant impact on a market and on the economic activity of firms in that market. This
concept thus focuses on the impact of innovations as opposed to their novelty. These impacts can,
for example, change the structure of the market, create new markets, or render existing products
obsolete. However, it might not be apparent whether an innovation is disruptive until long after the
innovation has been introduced. This makes it difficult to collect data on disruptive innovations
within the period reviewed in an innovation survey.
A radical innovation destroys an industry and creates a new one SCHUMPETER EFFECT
Incremental innovation:
Involves a significant improvement.
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