As an interim summary of the last term in the E-Business and Innovation programme, I compiled what I consider some of the important factors for taking innovation beyond the buzzword. The keywords after each section are meant as starting point for further research.
1. Know the difference between invention and innovation.
Before thinking about successful innovation, it is important to understand what innovation is, and what it's not. Innovation is an evolutionary process, not a product of Gyro Gearloose's workshop. Innovation combines a new idea with the question of what is feasible. An innovation should always be linked to a tangible market opportunity. Some innovations fail because they are ahead of their time; others fail because they never got beyond the stage of invention. Don't be fooled by the hordes of companies who put innovation in their mission statement without having a clue of the underlying principles and theoretical concepts. Like every other business process, innovation has its own set of rules and factors that decide over success or failure.
Keywords: invention, innovation, invention vs. innovation
2. Listen to your Pain
Many companies are obsessed with market research to find the next big thing. But oftentimes opportunities for innovation are closer than you think. Look at the current processes or ask employees and there will be some degree of pain, something that could be incrementally or radically improved. The obvious step here is solving that pain to improve the current processes and improve efficiency. But do not stop there. If you feel this pain, there will be others that feel it too. Try to view the solution isolated from its current usage and think about the value it provides. The stronger the pain it solves, the more likely it is that other people are willing to pay a premium to get rid of the same pain.
Keywords: user innovation
3. Know your Assets
For companies that produce tangible products from materials and machinery it is relatively easy to see available assets. For knowledge-intensive firms (KIFs), individual assets are harder to grasp as the supply-chains in consultancies or agencies are less visible and transparent. Nevertheless, getting an overview of the individual parts that are used every day can be a great source of innovation. A piece of code whose functionality could form a new application by itself, a methodology that can be applied to a different sector, a business model that can be utilised for a different type of product. Viewing assets out of context and thinking about (unconventional) re-usage opens new, innovative perspectives.
Keywords: small pieces loosely joined, code repository, asset management
4. Orchestrate the Pieces
This is partly related to the previous point, but with a more global perspective. Today's opportunities, especially in the software sector, are not restricted to what happens inside of a company. A major part of innovation is about combination, not creation. When thinking about innovative links, always consider both internal assets and externally available pieces. Open-source software, open APIs, existing data and secondary research play a crucial role in innovation. Don't reinvent the wheel. If something already exists, use it and focus on creating new value with it. If another organisation has its core competencies in something that you require, ally with them instead of wasting resources on duplicating.
When pursuing innovation, especially in products, it is easy to get carried away by possibilities and features that could extend the core idea. In reality, thinking too broad oftentimes dilutes the in...
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[ 5.8 ms ] story [ 23.7 ms ] threadHere's the text - it's not bad. Same about the web page.
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11 ways to successful innovation
As an interim summary of the last term in the E-Business and Innovation programme, I compiled what I consider some of the important factors for taking innovation beyond the buzzword. The keywords after each section are meant as starting point for further research.
1. Know the difference between invention and innovation.
Before thinking about successful innovation, it is important to understand what innovation is, and what it's not. Innovation is an evolutionary process, not a product of Gyro Gearloose's workshop. Innovation combines a new idea with the question of what is feasible. An innovation should always be linked to a tangible market opportunity. Some innovations fail because they are ahead of their time; others fail because they never got beyond the stage of invention. Don't be fooled by the hordes of companies who put innovation in their mission statement without having a clue of the underlying principles and theoretical concepts. Like every other business process, innovation has its own set of rules and factors that decide over success or failure.
Keywords: invention, innovation, invention vs. innovation
2. Listen to your Pain
Many companies are obsessed with market research to find the next big thing. But oftentimes opportunities for innovation are closer than you think. Look at the current processes or ask employees and there will be some degree of pain, something that could be incrementally or radically improved. The obvious step here is solving that pain to improve the current processes and improve efficiency. But do not stop there. If you feel this pain, there will be others that feel it too. Try to view the solution isolated from its current usage and think about the value it provides. The stronger the pain it solves, the more likely it is that other people are willing to pay a premium to get rid of the same pain.
Keywords: user innovation
3. Know your Assets
For companies that produce tangible products from materials and machinery it is relatively easy to see available assets. For knowledge-intensive firms (KIFs), individual assets are harder to grasp as the supply-chains in consultancies or agencies are less visible and transparent. Nevertheless, getting an overview of the individual parts that are used every day can be a great source of innovation. A piece of code whose functionality could form a new application by itself, a methodology that can be applied to a different sector, a business model that can be utilised for a different type of product. Viewing assets out of context and thinking about (unconventional) re-usage opens new, innovative perspectives.
Keywords: small pieces loosely joined, code repository, asset management
4. Orchestrate the Pieces
This is partly related to the previous point, but with a more global perspective. Today's opportunities, especially in the software sector, are not restricted to what happens inside of a company. A major part of innovation is about combination, not creation. When thinking about innovative links, always consider both internal assets and externally available pieces. Open-source software, open APIs, existing data and secondary research play a crucial role in innovation. Don't reinvent the wheel. If something already exists, use it and focus on creating new value with it. If another organisation has its core competencies in something that you require, ally with them instead of wasting resources on duplicating.
Keywords: API, orchestration, open-source, core competencies
5. Use Lasers, not Shotguns
When pursuing innovation, especially in products, it is easy to get carried away by possibilities and features that could extend the core idea. In reality, thinking too broad oftentimes dilutes the in...