Creativity and innovation

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Creativity and innovation

  1. 1. Creativity and Innovation
  2. 2. Creative: Involving creation or invention; showing imagination and originality (Oxford Dictionary) Innovative: Introducing something new (Oxford Dictionary) Inventive: Making or Designing something new (Oxford Dictionary)
  3. 3. Creativity • Creativity is the engine of invention and innovation • The essence of creativity is combining two or more ideas to arrive at an entirely new one • Creative ideas must add value
  4. 4. Creative Environment (Triandis 1990) • Permits people to work in areas of their greatest interest. • Encourages employees to have broad contact with stimulating colleagues • Allows taking moderate risks • Tolerates some failures and non- conformity • Provides appropriate rewards and recognition
  5. 5. Creative Person (Barron 1969) • Conceptual Fluency (i.e. being able to express ideas well and formulate the ideas as one proceeds) • The ability to produce a large number of ideas quickly • The ability to generate original and unusual ideas • The ability to separate source (who said it) from content (what was said) in evaluating information
  6. 6. Creative Person (contd.) • The ability to stand out and be a little deviant from others • Interest in the problem one faces • Perseverance in following problems wherever they lead • Suspension of judgment and no early commitment • The willingness to spend time analyzing and exploring • A genuine regard for intellectual and cognitive matters
  7. 7. Gains of Creativity • Produces greater quantities • Improves efficiency • Retain seeds • Provides Opportunities for combinations • Increase potential for better decisions • Reduces personal conflicts
  8. 8. Creativity & Problem Solving Techniques • Brain Storming • Reverse brainstorming • Synectics • Gordon Method • Checklist Method • Free Association • Forced Relationships
  9. 9. Contd. • Collective note book method • Heuristics • Scientific method • Value Analysis • Attribute Listing method • Morphological Analysis • Matrix Charting • Big dream approach • Parameter Analysis
  10. 10. Creative Thinking • Brain Storming: defer judgment until as many ideas as can be experimented • Synectics: making the strange familiar and the familiar strange • Fundamental Design Method: alter habitual ways of viewing problems
  11. 11. Creative Thinking (Contd.) • Hypothetical Situations: design for hypothetical situations-translate for today • Forced Relationships: contact between different elements not related earlier • Attribute Listing: look at each aspect and find ways to improve it
  12. 12. Creative Creed Brain Activity –Temporarily suspend judgment –Write down ideas Assumptions –Redefine the situation – Look to new procedures
  13. 13. Creative Creed (contd.) Routine – Look to more than one answer – Find new ways Skepticism – Have faith – Focus on situations Why didn’t I think of that – Lee Towe
  14. 14. Innovation What is Innovation?  Specific Instrument of Entrepreneurship  Purposeful & Organized Search for Change  Analysis of Opportunities such Change might offer  New ways of delivering value to the customer
  15. 15. Purpose of Innovation  Response to increased competitive pressure  Discontinuity  Profitability  Market Leadership
  16. 16. Principles of Innovation  Innovation must be approached as a discipline  Innovation must be approached comprehensively  Innovation must include an organized, systematic and continual search for new opportunities
  17. 17. Principles of Innovation (contd.)  Innovation must involve everyone in the organization  Innovation must be customer- centered
  18. 18. “Innovation is – Doing Things Better, Doing Things Differently”
  19. 19. Types of Innovation  Efficiency Innovation: Internally focused  Evolutionary Innovation: Incremental Achievements Revolutionary Innovation: Externally focused
  20. 20. Seeds of Innovation  Creative Thinking  Strategic Thinking  Transformational Thinking
  21. 21. Elements of Innovation  Creativity  Strategy  Implementation  Profitability
  22. 22. Process of Innovation  Selecting Innovation Goals  Gathering Information  Clarifying the Problem  Seeking Ideas and Stimuli from around the Organization  Selecting Ideas Worth Exploring  Developing an Innovation Road map  Outlining the possible Plan  Gaining Commitment  Implementing the final Plan
  23. 23. “Great Ideas are not innovative unless they are successfully Implemented”
  24. 24. Lessons from Master Innovators  People - Open Culture - Exciting & Nurturing Workplace - Imaginative and liberated workforce - Strong Conflict handling mechanisms - Deep trust in the people
  25. 25. Lessons from Master Innovators  Process - Encourage risk taking - Treat Innovation as an integrated process - Brutually honest in self-assessment process
  26. 26. Lessons from Master Innovators  Strategy - Differentiation through Innovation - Innovation a strategic backbone
  27. 27. Lessons from Master Innovators  Structure - Avoid integrating innovation in formal structure - Active feedback loops with customers - Non-stop conscious efforts to innovate - Incessant reconfiguration to promote innovation
  28. 28. Lessons from Master Innovators  Leadership - Promotes internal free market for ideas - Eliminate bureaucratic hurdles - Provide protective shield to ideas
  29. 29. Innovation – Myths and RealityMyths 1.Individual drives innovation 2.Innovation begins with brainstorming 3.Innovation requires creative people 4.An innovation process will give the results you need
  30. 30. Innovation – Myths and Reality Reality 1. Innovation is a team sport 2. Innovation begins with understanding the customer 3. Innovation requires effective problem solvers rather than creative people 4. The innovation process is only one tool for successful innovation
  31. 31. Has no Instantaneous commercial value Invention Components of an Innovation Innovation Market Scientific Discovery May never be developed into marketable products Buying or Ignoring the Innovation Adopting Invention
  32. 32. The Unexpected Success • R.H. Macy – Deptl. Store, New York 1950’ climbing Appliances Sales / Bloomingdale’s responded • IBM – Modern Accounting Machine 1930’ for Banks. Thomas Watson Sr. –Library • Computers – Advanced Scientific Work - 1945 Univac spurned; IBM- exploited (Pay roll)
  33. 33. The Unexpected Failure • Ford Motor Co. – Edsel 1957 / Thunderbird • British Exports of Padlocks to India – 1920’ • Novocaine – 1905 – Major Surgery / Dentists
  34. 34. Incongruities • Bill connor, Alcon Labs. 1960’. Cataract • Containers (Ships) 1950’ • Mini Steel Mills 1970’ Process Need • George Eastman , Kodak, 1890. Cellulose Film • Media – 1890 – Ottmar Mergenthaler’s Linotype Modern Advertising New York Times (Adolf Ochs) and New York World (Joseph Pulitzer) • Time Magazine – past effect of World War I
  35. 35. Industry & Market Structure • The Automobile Story – 1900/ Henry Ford Model T. 1908 / General Motors W.C. Durant 1903/ Giovanni Agnelli 1899 Fiat/ 1960 - / 1979 Fuel efficiency / Japan • PBX / Bell Labs / Rolm Corpn. Tel.& Computer • Books and Magazines
  36. 36. Demographic Changes • Japan – Robots • Women at work force • Migration from Europe to America, Australia & New Zealand – 19th Century Changes in Perception • Health Care Magazines • Eating Habits • Information Technology
  37. 37. New Knowledge • Modern Banking • Convergence of Technologies – Computers – Binary arithmetic – known since ages – Concept of calculating M/C. CharlesBabbage – 19th Century – Punch Card – Herman Hollerith – 1890 for U.S. census – Audion Tube – an electronic switch 1906, Lee De Forest – Symbolic Logic – Bertrand Russel & Alfred North Whitchead 1910-1913 – Concept of Programming and Feedback World War I – antiaircraft gun – All knowledge known by 1918 but the first digital computer - 1946 • Radical Inventions
  38. 38. The Practices of Entrepreneurship in a New Venture • The need for market focus • Financial foresight • Building a top management team • Where can I contribute • The need for outside advice
  39. 39. Entrepreneurial Strategies • Being Fustiest with the Mostest – Aim : Business dominance – Creating new & different product – Clear goals – Capacity to mobilize resources E . g. Hofmann La Roche, IBM • Hit them where they ain’t – Creative imitation – Exploit the success of others- IBM – Entrepreneurial Judo – Bell Labs - Sony (Akio Morita) Transistors
  40. 40. • Ecological Niches – Toll Gate Strategy – Alcon Labs – Speciality Skills – Delco, Boch, Lucas – Speciality Markets – Thomas Cook, American Express • Changing Values & Characteristics itself is Innovation – Creating Utility – Rowland Hill 1836, Postal Services – Pricing – Gillete, Zerox – Customer’s reality – cyrns Mc Cormick – Developing Value to the customer-Interior Decorators
  41. 41. Refine / Modify Gain Commitment Innovation Cycle Possible Solutions/ Proposals Idea Development Decision Experimental Action Operational Cycle Speculative Exploration Constructive Review Routine Procedures Known Solutions Rules Innovation and

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