The Process of Innovation Management; briefly explained through its sub-processes: Ideation, Research & Development (RND), and Exploitation.

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The Process from Ideation to Exploitation
Innovation in a Nutshell
Prof. Aykut ARIKAN, PhD
aykut@aykutarikan.com

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The Innovation Process
Think
•Ideation (Back-End)
Develop
•RND (Core)
Sell
•Exploitation (Front-End)

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IdeationBack-End Innovation

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Ideation
• Problem Definition;
• Idea Generation;
• IPR Research;
• Need Definition;
• Solution Potential;
• Draft Model;
• Concept.

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Problem Definition
•Material?
•Functional?
•Process Related?
•Structural?
•Organizational?
•Commercial?
•Financial?
•Social?
•Cultural?
•Global?

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Idea Generation
• Idea Collision;
• Liquid Networks;
• Slow Hunches.

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Idea Collision
• New ideas emerge from the gathering of diverse ideas;
• Good ideas emerge from the gathering of new ideas;
• Gathering of ideas causes some-sort-of-a chain reaction;
• If this chain reaction is uncontrolled it happens very slowly and
becomes unproductive;
• Idea Collision is the essence of idea generation;
• To collide ideas, flexible and informal (liquid) environments are a
necessity.

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IPR Research
•US Patent Office: http://www.uspto.gov
•EU Patent Office: http://www.epo.org
•Turkish Patent Office: http://www.tpe.gov.tr

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Need Definition
• CASE – Diaper Trash:
• Stop Pollution;
• Stop Bad Smells;
• Ecological;
• Easy;
• Sustainable.

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Solution Potential
• Applicable?
• Economical?
• Effective?
• Sustainable?
• Functional?
• May turn into value?

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Draft Model
•Look;
•Functionality;
•Needs;
•Budget;
•Road Map.

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Concept
•Design;
•Properties;
•Resources;
•Funding;
•Business Plan.

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RND
Core Innovation

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RND
• Basic Research;
• Applied Research;
• Development;
• Pre-prototyping Actions;
• RND Report;
• Prototype;
• Service Prototype.

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Exploitation
Front-End Innovation

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Exploitation
• Positioning;
• Market Research;
• Marketing Research;
• Collaborations;
• Tests (Beta & Alfa);
• Launch & After-Sales Feed-Back.

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Positioning
(Ansoff Matrix)
Entry
Commodity
Development
Market
Development
Diversification

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Market Research
• Figures;
• Segments;
• Trends;
• Competitive Forces;
• Diffusion Network.

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Marketing Research
• McCarthy’s Four P’s:
• Product;
• Price;
• Promotion;
• Place.
• Lauterborn’s Four C’s:
• Consumer;
• Cost;
• Communication;
• Convenience.

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Collaborations
•Licensing;
•Supply/Distribution Networks;
•Joint Ventures;
•Collaboration (Non Joint Venture);
•RND Consortia;
•Industry Clusters;
•Innovation Networks.

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Tests
•Beta Test:
• Virtual/Real Customers;
• Virtual/Real Testing Environment.
•Alfa Test:
• Real Customers;
• Real Testing Environment.

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Launch & After-Sales Feed-Back
• Test Drive: Existing Customers;
• Fairs;
• Publicity;
• PR Events;
• Early Adopters’ Testimonials;
• Question: “What now?”;
• CRM, CRM, CRM.

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Thank you…
Prof. Aykut Arıkan, PhD
aykut@aykutarikan.com