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Business Innovation


April 2009




                                   Koen Knaepen
Scope
In scope
• Nature of innovation
• Impact of innovation
• Framework around innovation that makes innovation
  tangibl...
Innovation




             -3-
Innovation is a hazard




                         Chad Hurley
                         Steve Chen

                     ...
Innovation cannot be ruled
• BillGates believed that internet was only a temporarily
  phenomena
• Michael Dell started in...
Top of the iceberg

What people
 focus on



                                      • To obey rules never
                 ...
Idea



           Pitch



      Proof of concept



         Prototypes



           Plan
                         Inno...
Setting the scene
                                         Market Expansion
              High




                       ...
What is innovation?

Innovation is not equal to invention
• Invention is the creation of a new idea
• An invention is inno...
Voice of customers
                            Innocents


                           Defensives


                       ...
Strategic Value Maps

4                          Incremental     More of the same

                           Fundamental ...
Cirque de Soleil




                   -12-
Innovation Strategies                          Cirque de Soleil

• Humour                                  • Stars
• Dange...
Innovation Techniques




                        -14-
Four levels of innovation implementation


                                                                            Div...
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Business Innovation

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Business Innovation

  1. 1. Business Innovation April 2009 Koen Knaepen
  2. 2. Scope In scope • Nature of innovation • Impact of innovation • Framework around innovation that makes innovation tangible Out of scope • The history of innovation • The innovation friendly organization • The legal environment for innovation • Innovation implementation -2-
  3. 3. Innovation -3-
  4. 4. Innovation is a hazard Chad Hurley Steve Chen -4-
  5. 5. Innovation cannot be ruled • BillGates believed that internet was only a temporarily phenomena • Michael Dell started in 1986 and became successful in 1998 • IBM didn’t believe in the personal computer • Sony had 20 years ago more technology then Apple to introduce an iPhone • Larry Page and Sergey Brin who founded Google couldn’t find any buyer for their new search engine and decided to commercialize it themselves. -5-
  6. 6. Top of the iceberg What people focus on • To obey rules never leads to innovation • Every innovation started with a failure The work that is done before Eureka Chaos & failures -6-
  7. 7. Idea Pitch Proof of concept Prototypes Plan Innovation Life Cycle Risk Acceptance Commitment Execution Innovation Commoditisation -7-
  8. 8. Setting the scene Market Expansion High Execution Excellence Price per unit Business Business Innovation Innovation Enterprise Innovation Low Low High Cost per unit V.K. Rangan & G.T. Bowman -8-
  9. 9. What is innovation? Innovation is not equal to invention • Invention is the creation of a new idea • An invention is innovative if it increases the added value • Innovation is the practical consequence of an invention -9-
  10. 10. Voice of customers Innocents Defensives Other users Clients Your people who know the clients Client surveys often reproduce the arguments they were told when they bought your or your direct competitors products and service -10-
  11. 11. Strategic Value Maps 4 Incremental More of the same Fundamental Value Shuffling Radical Value Change 3 2 South West Car Traffic Competitors 1 0 SouthWest Airlines -11-
  12. 12. Cirque de Soleil -12-
  13. 13. Innovation Strategies Cirque de Soleil • Humour • Stars • Danger and • Animal Shows Weaken Eliminate sensation • Selling Authorizations • Different podia Strategic Value Map • Theme shows • Unique Location • Refined As is To be Environment • Several productions • Artistic music • Dance Create Enforce -13-
  14. 14. Innovation Techniques -14-
  15. 15. Four levels of innovation implementation Diversity Recognition Clients Enthusiasts Pragmatics Conservatives Skeptics Usability Innovative Market leaders in mass markets Orientation on clients and service The Chasm Innovation-push of solution-pull New idea Niche-specialists are born Phase Incubation Expansion Maturity Acceptation -15- Shortage Choice

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