Your SlideShare is downloading. ×
Session02 innovation concepts
Upcoming SlideShare
Loading in...5
×

Thanks for flagging this SlideShare!

Oops! An error has occurred.

×
Saving this for later? Get the SlideShare app to save on your phone or tablet. Read anywhere, anytime – even offline.
Text the download link to your phone
Standard text messaging rates apply

Session02 innovation concepts

1,811
views

Published on

Published in: Education, Technology, Business

0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total Views
1,811
On Slideshare
0
From Embeds
0
Number of Embeds
0
Actions
Shares
0
Downloads
0
Comments
0
Likes
2
Embeds 0
No embeds

Report content
Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
No notes for slide

Transcript

  • 1. Session 2: Basic Innovation Concepts
    Prof. Dr. Bernhard Katzy
    Winter 2011
  • 2. Innovation Management
    1
    Innovation System
    Innovation
    Innovation Governance
    Organization of innovation
    Transformation and entrepreneurship
    Basic innovation concepts
    Introduction based on life cases
    Innovation Theory
    Dominant theory, Main issues and developments of innovation research
    Innovation Practice
    High tech entrepreneurship…
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 3. 2
    Session 2 – An Overview
    Agenda
    Mini-Test
    A brief history of thinking about innovation
    Summary and assignments
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 4. Session 2 – Reading Engagement
    3
    Mini-Test
    Prof. Dr. Bernhard Katzy
    11/01/11
  • 5. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    • Schumpeter’s definition on innovation: A process of creative destruction
    Driven by:- New markets or products- New equipment- New methods of organization or management- New methods of communication
    • Schumpeter’s business (technology) cycle
    A circular flow which, excluding any innovations and innovative activities, leads to a stationary state. The entrepreneur disturbs this equilibrium and this is the cause of economic development, which proceeds in cyclic fashions along several time scales.
    4
    Creative destruction of schumpeter's entrepreneur
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 6. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    5
    T
    T
    1
    2
    THE S model of Technology cycle
    Maturity of
    Technology
    Substitution
    Time
    Initiation
    Take-off
    Maturity
    [Source: Foster,1986]
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 7. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    6
    The abernathy model of Dominant Design
    Rate of
    Innovation
    Dominant
    Design
    Process
    Innovation
    Product
    Innovation
    Time
    Fluid
    Pattern
    Transitional
    Pattern
    Specific
    Pattern
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 8. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    Telecommunication or Media?
    7
    Case
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 9. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    Incremental innovation? Or radical?
    8
    Case of Digital Television
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 10. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    9
    Architectural innovation
    [Source: Henderson, Clark]
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 11. A brief history of thinking about innovation1930ies: Entrepreneurs innovate the economy
    10
    CREATIVE DESTRUCTION OF SCHUMPETER ‘S ENTREPRENEUR
    Definition on entrepreneurs (innovators):Individuals whose function is to carry new combination out
    • The entrepreneur is the head of a firm and its employees
    • 12. The entrepreneur is never the risk bearer. Risk taking is in no case an element of the entrepreneurial function, but may risk his reputation
    • 13. First of all, there is the dream and the will to found a private kingdom, usually, though not necessarily, also a dynasty;
    • 14. Then there is the will to conquer: the impulse to fight, to prove oneself superior to others, to succeed for the sake, not of the fruits of success, but of success itself;
    • 15. Finally , there is the joy of creating, of getting things done, or simply of exercising one’s energy and ingenuity.
    Source :Schumpeter < the theory of economic development>
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 16. A Brief history of thinking about innovation:1950ies – Innovation through R&D Departments
    • Why this called Schumpeter 2 ?
    • 17. The traditional paradigm for managing R&DBureaucracy in innovation departments dominant
    • 18. Elements for innovation through R&D laboratories paradigm
    • 19. Main actors of R&D department
    • 20. R&D laboratories : Philips since about 1914, the Bell Labs in 1925…
    • 21. Capital resources: funding from organization, or public subsidies
    • 22. Human resources: scientist, researchers……
    11
    Schumpeter 2
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 23. A Brief history of thinking about innovation:1950ies – Innovation through R&D Departments
    Bell Labs has been at the forefront of technology since 1925. Here are ten Bell Labs innovations that changed the world :
    12
    Early cases of r&d labs
    Laser
    The Transistor
    Cellular Telephone Technology
    Solar Cells, Communications Satellites, Touch-Tone Telephone, Data Networking, Digital Transmission and Switching, Unix Operating System and C Language, Digital Signal Processor (DSP)……
    Source :http://www.alcatel-lucent.com/wps/portal/BellLabs
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 24. A Brief history of thinking about innovation: 1960ies: Innovation adoption of new ideas by society
    • Diffusion is the process by which an innovation is communicated through certain channels over time among the members of a social system.
    • 25. The decisions are not authoritative or collective, each member of the social member of the social system faces his/her own innovation-decision that follows a 5-step process:
    -Knowledge
    -Persuasion
    -Decision
    -Implementation
    -Confirmation
    For most members of a social system, the innovation-decision depends heavily on the innovation-decisions of the other members of the system
    13
    Innovation as Diffusion over time
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 26. A Brief history of thinking about innovation: 1960ies: Innovation adoption of new ideas by society
    14
    INNOVATION AS DIFFUSION OVER TIME
    The Bell-shape Curve and S-shape Curve
    The scholars divide this bell-shape curve to characterize five categories of system member innovativeness. These groups are:
    Innovator, Early adopters, Early majority, Late majority, and Laggards.
    Source: Rogers <Diffusion of innovations>
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 27. A Brief history of thinking about innovation: 1960ies: Innovation adoption of new ideas by society
    15
    S – Shape curve and bcg matrix
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 28. A Brief history of thinking about innovation: 1960ies: Innovation adoption of new ideas by society
    Moore's CHASM
    16
    S – curve does not always go smooth
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 29. A Brief history of thinking about innovation:1970ies: Innovation as a business strategy
    National strategy
    - The relation ship between innovation and economic growth
    - Mainly concerns supporting small and medium sized enterprises in how to adopt innovations.
    - Policies and institutes such as TNO institute in Holland channelling more inventions through the process from basic to applied research and into production in firms.
    Innovation and organizational strategy
    - Viewing technology as a functional capability implies the need to develop a technology strategy, analogous to financial and human resource strategies
    - A set of interrelated decisions encompassing, among others, technology choice, level of technology competence, level of funding for technology development, timing of technology introduction in new products/ services, and organization for technology application and development (e.g., Maidique and Patch, 1978)
    17
    Innovation as a strategic means to differentiate
    in mature markets
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 30. A Brief history of thinking about innovation:1980ies: Innovation as a profession and competence
    18
    INNOVATION AS A DISCIPLINE - DRUCKER
    Innovationis an effect in economy and society
    Innovation
    is work
    Innovators must build
    on their strength
    Principles
    The practice (discipline) of innovation:
    ‘90% of Innovation is Transpiration’
    1 Analysis for opportunities
    5
    Gain leadership
    2
    Go out, look and listen
    conception & perception
    Do’s
    4
    Start small
    3
    Be effective,simple and focused
    [Drucker, 1996]
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 31. A Brief history of thinking about innovation 1990ies: Innovation through collaboration in networks
    - Stresses that the flow of technology and information among people, enterprises and institutions is key to an innovative process. It contains the interaction between the actors who are needed in order to turn an idea into a process, product or service on the market.
    - Innovation systems have been categorized into national innovation system, local innovation system, regional innovation systems and sectoral innovation systems
    19
    Innovation through strategic cooperation in
    innovation systems
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 32. A Brief history of thinking about innovation 1990ies: Innovation through collaboration in network
    20
    Regional Cluster
    Industry and Research
    Entities
    Company
    Research Centre
    Public
    Institution
    VPC
    VPC
    University
    Living Lab
    community
    LL client
    New product/
    service
    Co-creation
    Social
    Community
    Territory
    Social
    Settings
    LL Collaborative
    Infrastructure
    Innovation system
    Sectoral Innovation System
    National Innovation System
    Innovation system
    [Katzy and Crownston 2008; Schuh, Katzy, Eisen 1997]
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 33. A Brief history of thinking about innovation: 2000: “open” Innovation in cooperation with the user
    21
    Innovation through open innovation
    Development
    Research
    licensing
    Other firms’ Market
    New Market
    Spin-off
    Internal Technology Base
    Current Market
    Labor mobility/ Venture Capital/ Numerous Start-ups/ research conducted at Universities/……
    External Technology Base
    Technology insourcing
    [Source: Henry Chesbrough 2003]
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 34. A Brief history of thinking about innovation: 2000: “open” Innovation in cooperation with the user
    22
    Comparison between open innovation
    and closed innovation
    Henry Chesbrough <Open Innovation>
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 35. A Brief history of thinking about innovation: 2000: Innovation through Organization routines
    23
    Innovation through organization routines
    A congruence model of diagnosing organizational behaviour
    Transformation Process
    Informal
    Organization
    Context
    Output
    Formal
    Organization
    Arrangements
    Organization
    Group
    Individual
    Task
    Strategy
    Environment Resources History
    Individual
    Feedback
    Tushmanand Nadler < a congruence model for organization problem solving>
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 36. Summary and assignments
    Summary
    - Perspectives from the different sides to study innovation phenomenon
    - Different perspectives are complementary to each other
    - No clear boundary between different research orientation
    24
    11/01/11
    Prof. Dr. Bernhard Katzy
  • 37. Readings for session 3: Organization of Innovation
    • Article 18: Jeffrey Peffer. Understanding power in organizations
    • 38. Article 20: Tushman/O'Reilly. The ambidextrous organization: managing evolutionary and revolutionary change
    Both from:
    Michael L.Tushman and Philip Anderson. Managing Strategic Innovation and Change. 2ndediton, Oxford University Press, 2004.
    Prof. Dr. Bernhard Katzy
    25
    11/01/11