This document discusses various aspects of innovation management. It covers topics such as the types of innovation including technology, product/service, process, and business model innovation. It also discusses innovation strategies such as play-to-win versus play-not-to-lose strategies. Additionally, it discusses challenges of balancing creativity and value capture as organizations mature. Lastly, it briefly discusses outsourcing innovation and structured idea management processes.

1. Innovation Management
Aleksejs Busarovs
busarov@am.lv

2. What kind of problems people have
because they don’t innovate?

3. What happens when You and I do
innovate?

4. What kind of
What happens when
problems people have
You and I do
because they don’t
innovate?
innovate?

5. The Six Levers
of Innovation

6. Business model
Innovation Product and Service
offerings
Process technologies
Value proposition Enabling Technologies
Supply Chain
Target Customer
Technology
Innovation

7. Types of
Innovation

8. Technology
Innovation

9. Product & service
Innovation

10. Process Innovation

11. Business model
Innovation

12. Innovation Matrix
New
Near to the
y go onhTe
existing
l c
Near to the
existing
New
Business model

13. Innovation Matrix
New
Near to the Incremental
y go onhTe
existing Innovation
l c
Near to the
existing
New
Business model

14. Innovation Matrix
Semi-radical
New Innovation
Near to the Incremental
y go onhTe
existing Innovation
l c
Near to the
existing
New
Business model

15. Innovation Matrix
Semi-radical
New Innovation
Near to the Incremental Semi-radical
y go onhTe
existing Innovation Innovation
l c
Near to the
existing
New
Business model

16. Innovation Matrix
Semi-radical Radical
New Innovation Innovation
Near to the Incremental Semi-radical
y go onhTe
existing Innovation Innovation
l c
Near to the
existing
New
Business model

17. Semi-radical Semi-radical
Innovation Innovation
+ =
Ersatz Radical Innovation

18. Play-to-

19. Play-Not-to-Lose
Strategy

20. “ Over time every business model and
strategy go stale in our fast forward
economy, strategies reach their sell-
by date faster than ever.”
G. Hamel & P. Skarzynski

21. Factors to Consider
in choosing an
Innovation Strategy.

22. Internal Factors
1. Technical capabilities
2. Organizational
capabilities
3. Success of the current
business model
4. Funding
5. Top management vision

23. 1. Capabilities in the
external network
2. Industry structure
3. Competition
4. Rate of technological
change
External
Factors

24. Clayton M. Cristensen & Tara
“Successful Donavan
innovation requires
choosing, building,
and preparing the
right organization
and the right
people for
executing and
scaling the
innovation.”

25. Out-of box thinking
Raw and refined ideas
Experimentation Seize
opportunity
Ambiguity/Uncertainty Bias for
incremental
Research
Ask questions and Get the product
Intuition explore the unknown into the
innovation marketplace
Surprise
In-the-box thinking
Avoid major Engineering/Manufacturing
na e u u eh ezl aus V
s not poll a r ed s noc
risk
Precision
i
Well-calculated trade-offs
i
r t f t i
Buying/Selling of ideas
yi vt ae C
i r
e c n edu c n
l I
v onn l ac da
Do things right
r
i
Answer questions and
t i
verify solutions
i
r i
V

26. The Challenges of Balancing
Creativity and Value Capture
As organizations mature over time
Balance
Bias toward Focus on
creativity and
creativity value capture
value capture
Challenge for start-up Challenge for
companies mature companies

27. The company Measures and Failures are
suffers from rewards socially
support a
Not-Invented-
focus on Ideas have punished.
Here
Organizational
syndrome.
short-term nowhere to
efficiency. go. Managers see
Antibodies
supporting
There is a lack of Innovation are innovation as
tangible commitment ignored or reducing
Blocking
to innovation from
top management.
rewarded
unfairly.
efficiency and
Innovation is
treated as a waste.
as
The power
structure
InnovationInnovation are
funded based
discrete
events rather always
“We have
supports almost entirely than as day- way”
done it this
status quo and on financial to-day activity.
mentality dominates
fights change. metrics. decision-making.

28. Many companies are
asking
“Should we outsource our
innovation?”
In which parts of our
innovation should we
partner? How much
should we rely on
partners and how
much should we take
on ourselves?

29. http://www.innocentive.com/

30. http://www.bigideagroup.net/

31. Structured Idea Management Process
Task 1 Task 2 Task 3 Task 4 Task 5 Task 6 Task 7
Prepare
Develop for Brainstor Screening Workshop Brief
ming and initial Investigati Final
criteria brainstor meeting
session ranking on ranking
ming
session
Agreed list Brainstor 200+ 10-15 Idea 3-7 outline 3-7 2-3
of m briefing Ideas clusters, concepts qualified concepts
calibrated document document document concepts ready for
criteria for ed ed feasibility
screening study
and
ranking

32. Recommended literature

33. most photos from Flickr
under a creative commons license
authors indicated in comment page of ppt