INNOVATION

TYPES & PHASES

Monirba {Allahabad university}

Supported by – Manish kanojia (MBA III sem}
By
Mayank Mishra
Agenda
What is innovation?
Objectives.
Types of innovation
Effectiveness Criteria for innovation process.
Process of innovation.
Phases of innovation.
Failure of innovation.
Causes of failure.
Global innovation index.
Conclusion
What is innovation?
The term innovation refers to a new way of doing
something. It may refer to incremental and
emergent or radical and revolutionary changes in
thinking, products, processes, or organizations.
Contd..
Traditionally the focus has been on new products
or processes, but recently new business models
have come into focus, i.e. the way a firm delivers
value and secures profits.
Contd...
Schumpeter argued that innovation comes about
through new combinations made by an entrepreneur,
resulting in
a new product,
a new process,
opening of new market,
new way of organizing the business
new sources of supply
Objectives
Improved quality
 Creation of new markets
 Extension of the product range
 Reduced labour costs
 Improved production processes
 Reduced materials
 Reduced environmental damage
 Replacement of products/services
 Reduced energy consumption
Types of Innovation
Technology Innovation
Product Innovation
Service Innovation
Operational Innovation
Cost Innovation
Management Innovation
Business Model Innovation
Disruptive Innovation
 Effectiveness Criteria for an
Innovation process
 Implement of new ideas at regular intervals.
 Ensure feedback takes place - there must be
communication channels to originators.
 Screening system should be simple, understood by
everyone.
 Transform ideas into reality at a reasonable speed - if
the system is too slow we may be too slow to react to
the market pace and turn off idea originators.
Process of Innovation
The Innovation process can be
depicted as a series of funnels
each getting progressively
smaller.
Typically sixty ideas into the top
funnel only produces just one
innovation.
The funnels are labeled as the
four phases in the process - idea
generation, idea screening,
feasibility and implementation.
Phases of Innovation
Staging Phase. In this phase, the Strategic Innovation team is selected, key
roles are identified, the objectives of the initiative are established, and the team
is prepared for the process.

Aligning Phase. The Strategic Innovation team and senior management align
themselves on the focus and scope of the initiative, agreeing on the ‘‘strategic
frontier(s)’’ to be explored.
Exploring Phase. The goal of this phase is the collection of new
insights on the strategic frontier that can form the basis of new,
value-producing business opportunities in the future. Depending on
the strategic frontier and the scope of the initiative, teams will
explore insights related to different exploration ‘‘vectors,’’ including
customer value, market dynamics, and/or business model innovation.
 Creating Phase. Using the new insights gained, the Strategic Innovation
team will create and refine a portfolio of new business opportunities for the
future.

Mapping Phase. In this final phase, the team will create a strategic road
map outlining key events, trends, market discontinuities, and milestones to
move the company into its new strategic future
 Failure of innovation
 Failure is an inevitable part of the innovation process.

 Out of three thousand ideas for new products, only one

becomes a success in the marketplace.

 Fifty to ninety percent of innovation projects judged to have

made little or no contribution to organizational goals
 Causes of failure
 Poor Leadership

Poor Organization

 Poor Communication

 Poor goal definition

 Poor alignment of actions to goals

 Poor participation in teams

 Poor monitoring of results

Global Innovation Index
The Global Innovation Index is a global index measuring the level
of innovation of a country, produced jointly by
The Boston Consulting Group(BCG) & The Natoinal Association of
Manufacturer(NAM).

The Manufacturing Institute (MI), the NAM's nonpartisan research

affiliate. NAM describes it as the "largest and most
comprehensive global index of its kind”
Rank Country
1 South Korea
2 U.S.A
3 Japan
4 Sweden
5 Netherland
6 Canada
7 U. K.
8 Germany
9 France
10 Australia
11 Spain
12 Belgium
13 China
14 Italy
15 India
16 Russia
17 Mexico
20 Brazil
Conclusion
An innovation is one of those
things that society looks at
and says, if we make this part
of the way we live and work,
it will change the way we live
and work.
THANK- YOU