02- CONCEPTS OF INNOVATION2024555555.ppt
- 2. INNOVATION Innovation is creating new value and/or capturing value in a new way. Value is the key word 10/01/24 2
- 3. INNOVATION AND INVENTION Innovation are the actions required to create new ideas, processes or products which when implemented lead to positive effective change. While invention requires the creation of new ideas, processes or products, innovation moves one step further and requires implementation of the inventive act. 10/01/24 3
- 4. Innovation vs. Invention Innovation also implies a value system which seeks to derive a positive outcome from the inventive act. For example, actions which lead to a negative performance metric would not be considered innovative, even if they met the requirements of novelty and enabling actions. 10/01/24 4
- 5. Types of Innovation Incremental Innovation - is the continuous improvement of existing products or services to provide more value to an existing market. It focuses on reducing defects and incrementally improving performance with features like: product line expansions, cost reductions, and next-generation products. 10/01/24 5
- 6. Incremental Innovation…….. This type of innovation occurs in the short-term and has low technological advancement and low market impact. Examples: Next-generation 3 series for BMW, Gillette 10/01/24 6
- 7. Types….. Architectural Innovation is the modification of existing solutions for an entirely new market. Architectural innovation refers to changing the overall design of a product by putting existing components together in new ways. This innovation occurs in the short to medium term. Examples: Sony Walkman, desktop photocopiers 10/01/24 7
- 8. Types…… Disruptive Innovation is when new technologies and products are created to serve an existing market. This type of innovation is enabled by new technology that provides a more efficient and accessible alternative to what already exists in the market. 10/01/24 8
- 9. Disruptive innovation…… Businesses apply it to serve the evolving needs of their consumer base, creating entirely new value streams and service offerings that did not exist before. This innovation occurs in the medium to long term. Examples: Open source software, Peer-to-peer platforms , video streaming 10/01/24 9
- 10. Types….. Radical Innovation - is when an organization applies new technology to a new market. This type of innovation is when a new product, process, or service with high technological advancement has a high market impact and completely replaces an existing offering. This innovation occurs in the long-term. Examples: Salesforce, Metromile 10/01/24 10
- 11. Characteristics of an Innovation People do not adopt new products automatically. That is, their decision to accept an innovation is intentional. Designers must proactively address their innovation so individuals should decide on long-term use of their product. There are five characteristics that determine people’s use of your innovation. 10/01/24 11
- 12. Relative advantages Potential audience needs to see how innovation improves from previous generation products according to their current situation. Example is typewriters are replaced by computer word-processing programs. 10/01/24 12
- 13. Relative Advantage…… The relative advantage was obvious; reduced the need for ink; documents could be edited easily and files could be saved and transported to other computers using PDs, disks. Soon, typewriters were cleared out of offices replacing these computer word-processing programs. 10/01/24 13
- 14. Compatibility Compatibility refers to the harmony of relationship that an innovation has with potential individuals as they absorb mentally it into their lives. To potential users it is important to know that the innovation you are providing will be agreeable with their lifestyle. 10/01/24 14
- 15. Compatibility……. Apple’s iPad is a perfect example of an innovation; it had a high level of compatibility with users’ lives when released. Many users were capable to replace their currently using products with the iPad, to check email, to read magazines, books and blogs, to view videos online and many more activities which they currently were doing on their smartphones and laptops. 10/01/24 15
- 16. Complexity vs. simplicity the complex innovation is more difficult for potential users’ to incorporate it into their lives. Adopters do not invest much time in learning to use an innovation. The more instinctive your innovation would be, the more surely it will be adopted. 10/01/24 16
- 17. Complex vs. Simplicity…… Design team should design with keeping in mind main focus Simplicity. Your team must be able to address usability issue that users face, and then clarify them through FAQs, walkthrough videos, tooltips 10/01/24 17
- 18. Trialability How easily your potential adopters can explore your innovative idea describes trialability. Before committing to your innovation, users want to give a brief look on what your innovation can do and want to give it a test run. Every designers need to make product available to potential adopters for trials. 10/01/24 18
- 19. Observability Observability is the benefits or results of using an innovation visible to potential adopters. Observability stretches beyond having earlier users use an innovation in view of later users; potential adopters must clearly figure out the benefits of adopting an innovation and using it. 10/01/24 19
- 20. Observability…. There are some ways through which you can show benefits to potential adopters: Side-by-side comparison. A side- by-side comparison with currently using product is good when your innovation has simple and easily noticeable improvements. 10/01/24 20
- 21. Observability……. Before and after Showing adopters the positive difference in their lives your innovation will bring, will have a huge impact on the success of your innovation. Testimonials Running an ad campaign, is important, people like to hear who they perceive to be like them. Users who write reviews and testimonials make a big impact on influencing the potential adopters. 10/01/24 21