This document discusses different perspectives on defining and understanding the concept of innovation. It summarizes that while innovation is widely seen as important, there is no consistent definition and disagreements exist in the literature. The document analyzes innovation as a process, project, and product. It finds that definitions of innovation and related terms like "innovation process" and "innovation product" differ in their theoretical basis and characteristics. The document proposes that innovation should be understood as a methodology for creating customer value through new products and processes, and distinguishes an innovation project from a regular project based on its novel and uncertain nature. It aims to shed light on defining key innovation-related concepts and terms.
The Degree Of Innovation: Through Incremental To RadicalDmytro Shestakov
Innovation is one of the most important forms of expanding the economic system's capabilities and competitiveness in a modern, dynamic world. Since the beginning of the 20th century, the theory of innovation has been developing, changing, and improving significantly and many scientific papers have been created on the topic of types of innovation. However, even today, scientists are confused in basic concepts, replacing one with another and taking one for the other without proper and inﰀ depth terminology understanding. Although from innovation direction point of view, there is a clear distinction between types, some uncertainty in the levels (degrees) of innovations is present. For many years there have been many differences in the scientific literature, which significantly influenced both the inﰀdepth understanding of the innovation concept and the quality of approaches to assessing the levels of innovation. The purpose of this paper is to inﰀdepth review the literature on innovation types to identify approaches that emphasize the degree of innovation. We considered the different conclusions of the researchers step by step and argue that there is the problem of identifying one or another innovation in terms of its degree and find the disagreements in the scientific literature in basic concepts to understand high degree innovation. The most complete and extended definitions of incremental, semiﰀradical, radical, disruptive, and breakthrough innovation were proposed as well as Degree of Innovation matrix was created to clearly demonstrate the existing distinctive features of each individual degree of innovation. This paper contributes to the theoretical analysis of the impact of innovative knowledge, as well as broadens previously published scientific literature, analyzing its impact on understanding the types and degrees of innovation, as well as the relationships, characteristics and key differences between them. The results of the research is the conceptual basis supported by the scientific literature for the modern understanding of terminology in the field of innovation activities.
Transforming innovation concepts into an outcome ph d_v_basileVincenzo Basile
“Transforming innovation concepts into an outcome”: Analysis of New Product Development process case studies in ICT Industry.
Despite the fact that innovation is considered critical to success in business today, often even profitable and modern companies are not designed to aim to unlock the value contained within innovations. Indeed frequently it is not clear how a particular organization can articulate and embed the necessary behaviour patterns, structures and processes needed to make good-practice New Product Development (NPD) work. This thesis studies the NPD process, specifically addressing the case of the ICT industry. The purpose is to gain insight into the activities leading to successful new products, developing an understanding of the success factors characterizing the process and recognizing how the practical stages enable the transformation of a product innovation into a concrete outcome. Starting from the Schumpeter approach, the research question aims to address the following research question: “How can the NPD process be modelled from the origin to the outcome phase?”. The applied methodology draws on the existing innovation and NPD literature, identifying the main NPD conceptual models, and supporting the research through two case studies to give real knowledge and concreteness to the study. The final output of this work is to outline a new NPD process taking into account the collected evidence.
Conceptualizing the Innovation Process Towards the ‘Active Innovation Paradig...Maxim Kotsemir
Available at SSRN: https://ssrn.com/abstract=2755005
https://www.researchgate.net/publication/299413400_Conceptualizing_the_innovation_process_towards_the_%27active_innovation_paradigm%27-trends_and_outlook?ev=prf_pub
Journal of Innovation and Entrepreneurship (2016) 5:14
Abstract:
This paper introduces the evolving understanding and conceptualization of innovation process models. We categorize the different approaches to understand and model innovation processes into two types. First, the so-called innovation management approach focuses on the evolution of corporate innovation management strategies in different social and economic environments. The second type is the conceptual approach which analyses the evolution of innovation models themselves as well as the models’ theoretical backgrounds and requirements. The focus in this second approach is the advantages and disadvantages of different innovation models in how far they can describe the reality of innovation processes.
The paper focuses on the advantages and disadvantages as well as the potential and limitations of the approaches. It also proposes potential future developments of innovation models as well as the analysis of the driving forces that underlie the evolution of innovation models.
The article concludes that the predominant open innovation paradigm requires rethinking and further development towards an ‘active innovation’ paradigm.
The socio economic impact of creative products and services developing the cr...Joana Cerejo
The socio-economic impact of creative products/services: developing the creative industries through design thinking.
Design thinking, although it has been growing in popularity, is still seen with some distrust, given that its impact is difficult to quantify and its benefits are subjective. This paper wants to address that distrust and contribute to clear it by providing some information about what it can do for companies by taking a look at creative products and services. First, we review the meaning of creative products and services, the concept of innovation, introduce design and some of its applications, as well as its economic impact and move to the meaning of design thinking. Second, we discuss the literature review and establish our findings. Finally, we end with our conclusions and contributions.
The Degree Of Innovation: Through Incremental To RadicalDmytro Shestakov
Innovation is one of the most important forms of expanding the economic system's capabilities and competitiveness in a modern, dynamic world. Since the beginning of the 20th century, the theory of innovation has been developing, changing, and improving significantly and many scientific papers have been created on the topic of types of innovation. However, even today, scientists are confused in basic concepts, replacing one with another and taking one for the other without proper and inﰀ depth terminology understanding. Although from innovation direction point of view, there is a clear distinction between types, some uncertainty in the levels (degrees) of innovations is present. For many years there have been many differences in the scientific literature, which significantly influenced both the inﰀdepth understanding of the innovation concept and the quality of approaches to assessing the levels of innovation. The purpose of this paper is to inﰀdepth review the literature on innovation types to identify approaches that emphasize the degree of innovation. We considered the different conclusions of the researchers step by step and argue that there is the problem of identifying one or another innovation in terms of its degree and find the disagreements in the scientific literature in basic concepts to understand high degree innovation. The most complete and extended definitions of incremental, semiﰀradical, radical, disruptive, and breakthrough innovation were proposed as well as Degree of Innovation matrix was created to clearly demonstrate the existing distinctive features of each individual degree of innovation. This paper contributes to the theoretical analysis of the impact of innovative knowledge, as well as broadens previously published scientific literature, analyzing its impact on understanding the types and degrees of innovation, as well as the relationships, characteristics and key differences between them. The results of the research is the conceptual basis supported by the scientific literature for the modern understanding of terminology in the field of innovation activities.
Transforming innovation concepts into an outcome ph d_v_basileVincenzo Basile
“Transforming innovation concepts into an outcome”: Analysis of New Product Development process case studies in ICT Industry.
Despite the fact that innovation is considered critical to success in business today, often even profitable and modern companies are not designed to aim to unlock the value contained within innovations. Indeed frequently it is not clear how a particular organization can articulate and embed the necessary behaviour patterns, structures and processes needed to make good-practice New Product Development (NPD) work. This thesis studies the NPD process, specifically addressing the case of the ICT industry. The purpose is to gain insight into the activities leading to successful new products, developing an understanding of the success factors characterizing the process and recognizing how the practical stages enable the transformation of a product innovation into a concrete outcome. Starting from the Schumpeter approach, the research question aims to address the following research question: “How can the NPD process be modelled from the origin to the outcome phase?”. The applied methodology draws on the existing innovation and NPD literature, identifying the main NPD conceptual models, and supporting the research through two case studies to give real knowledge and concreteness to the study. The final output of this work is to outline a new NPD process taking into account the collected evidence.
Conceptualizing the Innovation Process Towards the ‘Active Innovation Paradig...Maxim Kotsemir
Available at SSRN: https://ssrn.com/abstract=2755005
https://www.researchgate.net/publication/299413400_Conceptualizing_the_innovation_process_towards_the_%27active_innovation_paradigm%27-trends_and_outlook?ev=prf_pub
Journal of Innovation and Entrepreneurship (2016) 5:14
Abstract:
This paper introduces the evolving understanding and conceptualization of innovation process models. We categorize the different approaches to understand and model innovation processes into two types. First, the so-called innovation management approach focuses on the evolution of corporate innovation management strategies in different social and economic environments. The second type is the conceptual approach which analyses the evolution of innovation models themselves as well as the models’ theoretical backgrounds and requirements. The focus in this second approach is the advantages and disadvantages of different innovation models in how far they can describe the reality of innovation processes.
The paper focuses on the advantages and disadvantages as well as the potential and limitations of the approaches. It also proposes potential future developments of innovation models as well as the analysis of the driving forces that underlie the evolution of innovation models.
The article concludes that the predominant open innovation paradigm requires rethinking and further development towards an ‘active innovation’ paradigm.
The socio economic impact of creative products and services developing the cr...Joana Cerejo
The socio-economic impact of creative products/services: developing the creative industries through design thinking.
Design thinking, although it has been growing in popularity, is still seen with some distrust, given that its impact is difficult to quantify and its benefits are subjective. This paper wants to address that distrust and contribute to clear it by providing some information about what it can do for companies by taking a look at creative products and services. First, we review the meaning of creative products and services, the concept of innovation, introduce design and some of its applications, as well as its economic impact and move to the meaning of design thinking. Second, we discuss the literature review and establish our findings. Finally, we end with our conclusions and contributions.
CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docxpatricke8
CONCEPTS OF INNOVATION MANAGEMENT 2
Concepts of Innovation Management
Abiodun Fasawe
NorthCentral University
TIM 7001: Changing Times: Managing Technology & Innovation in the 21st Century
Dr. Nicholas Harkiolakis
May 24, 2020
1
Introduction
Innovation mainly happens with the help of technology. It is through innovation that man people comes up with new ideas and solutions to problems we face in our day to day lives. Technology is a branch of knowledge that brings about innovation due to the evolution of technology. Technology involves the methods, skills, and processes together with techniques required in production and scientific investigations. Technology is considered to be broad and fits in categories of communication and information, computer science, and computer engineering among others. The above categories are subject to improvements or disruption by humans at any time. The manipulation of technology goes through a process called innovation. Technology is applicable in many fields such as mathematics, historical knowledge, scientific engineering, transport and linguistics, business, and environmental conservation practices among others. Comment by Dr. H: This is self-referencial. It like telling technology helps technology grow Comment by Dr. H: Where did you find this definition? Comment by Dr. H: Do you mean it grows through innovations Comment by Dr. H: What do you mean by this? Comment by Dr. H: Is there engineering that is not scientific Comment by Dr. H: There is no citation support in this paragraph. Please note that unless you support with citations from peer-reviewed research journal or government sources your material is considered an opinion piece and as such it is not appropriate for research writing.This is a serious issue and you need to address it throughout as it greatly impacts your grade
Innovation involves the creation and application of new ideas, thoughts or solutions in the day-to-day problems, expectations, and needs. For the idea to qualify to be an innovation, it should satisfy a particular need and at a cost. The ideas are converted into useful products. Innovation takes place to provide more effective and efficient products, services, processes, and technologies. These are made available for sale in the markets, society, or the government. Innovations are classified into two major categories: Comment by Dr. H: Whose problems, expectations and needs? Comment by Dr. H: According to whom?
· Evolutionary innovations also called continuous evolutionary innovation which is as a result of gradual improvements in technology and,
· Revolutionary innovations also known as discontinuous innovations. There are often disruptive and new.
Innovation is crucial in any organization and it presents the need to create a department and a manager for the same. It will require a deeper understanding of the consumer needs before undertaking th.
The application of design thinking methodology on research practices a mind m...Joana Cerejo
The difficult task of innovation is a key facet of Research & Development institutions. Innovation is also closely related with processes oriented to achieve solutions in design. We propose to research new emerging design methods and provide an overview of design thinking tools that can be applied in an early stage of the R&D research process in order to produce meaningful results. This research presents a set of experimental guidelines and an analysis method for the application of these tools. The establishment of coherent guidelines for the design thinking process is a very complex task, due to its interdisciplinary requirements, that convey many diverse mindsets. The main focus of this study is creating an analysis toolkit that enables non-specialist and specialist users to perform high-quality design production.
This paper talks about the impact of innovation on the upliftment of society. It aims to highlight how efficiency and innovation go hand-in-hand and how to look at innovation in terms of art and science. It also throws light on using the life-centered design approach for innovation to solve modern-day challenges.
Download Whitepaper Now: https://www.tntra.io/whitepaper-pdf/innovation-life-centred-design-and-societal-progress.pdf
Social Innovation & Open Innovation - Coaching Material for Social Entrepreneursikosom GmbH
Definition of Social Innovation, Open Innovation and Co-Design in Social Business contexts. This slide is part of the project "CE-RESPONSIBLE " by Interreg Central Europe. Hear the presentation at www.net4socialimpact.eu
This essay is a Walden University course (EDUC-8102) assignment. It overviews the philosophy of research core concepts and other approaches to research. Philosophical frameworks include empiricism, scientific method, positivism, post-positivism, social constructivism, pragmatism, and advocacy liberatory. The document is written in APA format and includes references.
Research has been very interesting discipline to scholars and researchers for the past decades, but now new researchers and even final year students might find it difficult because their experience towards it may be very limited even thought they are expected to do and present their final project proposals. The fact remains that, research is so interesting and exciting subject, all you need is to be interested your area of research, select good topic and be ready to contribute.
Explore the List of Upcoming Conferences IFERP.docxIFERP
IFERP's comprehensive list of upcoming conferences, including the highly anticipated college conference 2023. Embrace a multidisciplinary approach in these knowledge-sharing platforms, connecting researchers, academicians, and industry professionals for groundbreaking collaborations.
visit: https://medium.com/@josh.welsh72/discover-the-latest-research-findings-at-the-scopus-indexed-conferences-scopus-indexed-e3b326210cb3
The Hypotheses Testing Method for Evaluation of Startup ProjectsDmytro Shestakov
This paper suggests a new perspective to evaluating innovation projects and understanding the nature of startup risks. The author considers five principal hypotheses that underlie every innovative project that comprise a bunch of respective assumptions to manage startup risks in a proactive manner. Suggested approach spots the light on a project’s uncertainties and risks, embedded investment and managerial options, and enables more comprehensive and accurate evaluation of innovation.
The Hypotheses Testing Method enables to estimate risks and attractiveness of a startup project in a clear and fast manner. It replaces unclear traditional techniques like NPV and DCF, avoiding heavy cash flow modeling.
Специфіка інноваційного проекту як передумова управління ризиками інвестиційн...Dmytro Shestakov
Метою статті є висвітлення необхідності глибинного розуміння термінології у сфері реалізації та імплементації інновації для успішного управління фінансовими ризиками та виходу на фінансові ринки, а також для забезпечення сталого інноваційного розвитку національної економіки.
На основі аналізу наукової літератури систематизовано різні підходи до визначення терміна «інноваційний проект» і зроблено висновок про існування реальної проблеми неповноти та звужування основних концепцій у сфері інновацій.
На основі наявної невизначеності реалізації інновації, а також характеристик кінцевого продукту, було надано найбільш повне та всеохоплююче визначення інноваційного проекту, а також описано ключову різницю між інноваційним проектом і звичайним, традиційним проектом для подальшого якісного управління інвестиційними та фінансовими ризиками проектів, яким притаманний значний розкид майбутніх результатів.
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CONCEPTS OF INNOVATION MANAGEMENT2 Conce.docxpatricke8
CONCEPTS OF INNOVATION MANAGEMENT 2
Concepts of Innovation Management
Abiodun Fasawe
NorthCentral University
TIM 7001: Changing Times: Managing Technology & Innovation in the 21st Century
Dr. Nicholas Harkiolakis
May 24, 2020
1
Introduction
Innovation mainly happens with the help of technology. It is through innovation that man people comes up with new ideas and solutions to problems we face in our day to day lives. Technology is a branch of knowledge that brings about innovation due to the evolution of technology. Technology involves the methods, skills, and processes together with techniques required in production and scientific investigations. Technology is considered to be broad and fits in categories of communication and information, computer science, and computer engineering among others. The above categories are subject to improvements or disruption by humans at any time. The manipulation of technology goes through a process called innovation. Technology is applicable in many fields such as mathematics, historical knowledge, scientific engineering, transport and linguistics, business, and environmental conservation practices among others. Comment by Dr. H: This is self-referencial. It like telling technology helps technology grow Comment by Dr. H: Where did you find this definition? Comment by Dr. H: Do you mean it grows through innovations Comment by Dr. H: What do you mean by this? Comment by Dr. H: Is there engineering that is not scientific Comment by Dr. H: There is no citation support in this paragraph. Please note that unless you support with citations from peer-reviewed research journal or government sources your material is considered an opinion piece and as such it is not appropriate for research writing.This is a serious issue and you need to address it throughout as it greatly impacts your grade
Innovation involves the creation and application of new ideas, thoughts or solutions in the day-to-day problems, expectations, and needs. For the idea to qualify to be an innovation, it should satisfy a particular need and at a cost. The ideas are converted into useful products. Innovation takes place to provide more effective and efficient products, services, processes, and technologies. These are made available for sale in the markets, society, or the government. Innovations are classified into two major categories: Comment by Dr. H: Whose problems, expectations and needs? Comment by Dr. H: According to whom?
· Evolutionary innovations also called continuous evolutionary innovation which is as a result of gradual improvements in technology and,
· Revolutionary innovations also known as discontinuous innovations. There are often disruptive and new.
Innovation is crucial in any organization and it presents the need to create a department and a manager for the same. It will require a deeper understanding of the consumer needs before undertaking th.
The application of design thinking methodology on research practices a mind m...Joana Cerejo
The difficult task of innovation is a key facet of Research & Development institutions. Innovation is also closely related with processes oriented to achieve solutions in design. We propose to research new emerging design methods and provide an overview of design thinking tools that can be applied in an early stage of the R&D research process in order to produce meaningful results. This research presents a set of experimental guidelines and an analysis method for the application of these tools. The establishment of coherent guidelines for the design thinking process is a very complex task, due to its interdisciplinary requirements, that convey many diverse mindsets. The main focus of this study is creating an analysis toolkit that enables non-specialist and specialist users to perform high-quality design production.
This paper talks about the impact of innovation on the upliftment of society. It aims to highlight how efficiency and innovation go hand-in-hand and how to look at innovation in terms of art and science. It also throws light on using the life-centered design approach for innovation to solve modern-day challenges.
Download Whitepaper Now: https://www.tntra.io/whitepaper-pdf/innovation-life-centred-design-and-societal-progress.pdf
Social Innovation & Open Innovation - Coaching Material for Social Entrepreneursikosom GmbH
Definition of Social Innovation, Open Innovation and Co-Design in Social Business contexts. This slide is part of the project "CE-RESPONSIBLE " by Interreg Central Europe. Hear the presentation at www.net4socialimpact.eu
This essay is a Walden University course (EDUC-8102) assignment. It overviews the philosophy of research core concepts and other approaches to research. Philosophical frameworks include empiricism, scientific method, positivism, post-positivism, social constructivism, pragmatism, and advocacy liberatory. The document is written in APA format and includes references.
Research has been very interesting discipline to scholars and researchers for the past decades, but now new researchers and even final year students might find it difficult because their experience towards it may be very limited even thought they are expected to do and present their final project proposals. The fact remains that, research is so interesting and exciting subject, all you need is to be interested your area of research, select good topic and be ready to contribute.
Explore the List of Upcoming Conferences IFERP.docxIFERP
IFERP's comprehensive list of upcoming conferences, including the highly anticipated college conference 2023. Embrace a multidisciplinary approach in these knowledge-sharing platforms, connecting researchers, academicians, and industry professionals for groundbreaking collaborations.
visit: https://medium.com/@josh.welsh72/discover-the-latest-research-findings-at-the-scopus-indexed-conferences-scopus-indexed-e3b326210cb3
The Hypotheses Testing Method for Evaluation of Startup ProjectsDmytro Shestakov
This paper suggests a new perspective to evaluating innovation projects and understanding the nature of startup risks. The author considers five principal hypotheses that underlie every innovative project that comprise a bunch of respective assumptions to manage startup risks in a proactive manner. Suggested approach spots the light on a project’s uncertainties and risks, embedded investment and managerial options, and enables more comprehensive and accurate evaluation of innovation.
The Hypotheses Testing Method enables to estimate risks and attractiveness of a startup project in a clear and fast manner. It replaces unclear traditional techniques like NPV and DCF, avoiding heavy cash flow modeling.
Специфіка інноваційного проекту як передумова управління ризиками інвестиційн...Dmytro Shestakov
Метою статті є висвітлення необхідності глибинного розуміння термінології у сфері реалізації та імплементації інновації для успішного управління фінансовими ризиками та виходу на фінансові ринки, а також для забезпечення сталого інноваційного розвитку національної економіки.
На основі аналізу наукової літератури систематизовано різні підходи до визначення терміна «інноваційний проект» і зроблено висновок про існування реальної проблеми неповноти та звужування основних концепцій у сфері інновацій.
На основі наявної невизначеності реалізації інновації, а також характеристик кінцевого продукту, було надано найбільш повне та всеохоплююче визначення інноваційного проекту, а також описано ключову різницю між інноваційним проектом і звичайним, традиційним проектом для подальшого якісного управління інвестиційними та фінансовими ризиками проектів, яким притаманний значний розкид майбутніх результатів.
Strategy of Innovations Development in Ukraine Part I. Introduction. Dmytro S...Dmytro Shestakov
80% of developments in the USSR defense industry were carried out in Ukraine. Thanks to sucha big school of scientists and developers, Ukraine remains among the world leaders in the field of development and production of military and dual-use products.
Today the state practically does not finance the new developments in this area, since the bulk of financing is spent on maintaining the combat capability of existing weapons and equipment of the Ukrainian Armed Forces. Therefore this traditional state monopoly was handed over to private investors, opening doors for local and foreign businesses to step into this typically closed, highly marginal market.
Moreover, there has never existed a mechanism in Ukraine that in a short time would allow developing an innovative idea into the prototype, and then — launching a serial production and its passing to the army.
The most appropriate alternative under such conditions is to attract funds from Ukrainian and foreign investors for development and production of promising defense products.
But it needs to be implemented within a transparent mechanism that has proved its effectiveness in the global best practices.
Today such a mechanism is open platforms — project offices which ensure the development and production of innovative products for specific market objectives and standards: DARPA in theUSA, MAFAT and the Office of the chief scientist in Israel, DRDC in Canada, DSTO in Australia.
Considering the experience of developing innovations by Ukrainian specialists commissioned by foreign customers, Ukrainian technologies compare favorably in creativity and cost-effectiveness among foreign analogues and are competitive in international markets.
Dmytro Shestakov, Oleksiy Poliarush, 2017
Стратегія Розвитку Інновацій в Україні. Частина Перша. Вступ. Дмитро Шестаков...Dmytro Shestakov
80% розробок у оборонній промисловості СРСР здійснювались в Україні. Завдяки грунтовній школі вчених, Україна залишається серед світових лідерів у галузі розробки та виробництва військової продукції та продукції подвійного призначення.
На сьогоднішній день держава практично не фінансує нові перспективні розробки в цій галузі, оскільки основна частина фінансування витрачається на підтримку боєздатності існуючих озброєнь та техніки Збройних Сил України.
Тому ця традиційна державна монополія фактично передана приватним інвесторам, відкриваючи двері для місцевого та іноземного бізнесу до цього закритого та високо прибукового ринку.
Більше того, в Україні ніколи не існувало механізму, який за короткий час дозволив би втілити інноваційну ідею у прототип, а потім — запустити серійне виробництво та передати його армії.
Найбільш вірогідною альтернативою в таких умовах є залучення коштів від українських та іноземних інвесторів для створення та виробництва перспективних оборонних разробок.
Однак, така модель повинна бути реалізована у рамках прозорого механізму, який довів свою ефективність у найкращих світових практиках.
Сьогодні таким механізмом є відкриті платформи — проектні офіси, які забезпечують розробку та виробництво інноваційних продуктів для конкретних цілей і стандартів ринку: DARPA в США, MAFAT та Офiс Головного Вченого в Ізраїлі, DRDC в Канаді, DSTO в Австралії.
Враховуючи досвід розробки інновацій українськими фахівцями на замовлення іноземних
клієнтів, українські технології вигідно відрізняються креативністю та економічною ефективністю серед іноземних аналогів і є конкурентоспроможними на міжнародних ринках
Дмитро Шестаков, Олексій Поляруш, 2017 рік
GLOBAL CONFERENCE ON BUSINESS AND ECONOMICS, GLOBE 2018Dmytro Shestakov
Strategic Flexibility as a Key to Innovativeness: Theoretical Framework, Globe 2018, 120-131
Dmytro Shestakov
The article reveals the main strategic changes of the competitive environment, the necessity of flexibility in the new competitive conditions are determined. Flexibility in its various forms has
long played an important role in the organizational change and strategy literature. The theoretical approaches to the definition of the concept of "flexibility", "strategy", "strategic flexibility" are
revealed. Various kinds of flexibility of the company and levels of strategic flexibility are reviewed. With the changed dynamics in the new competitive landscape, firms face multiple discontinuities that often occur simultaneously and are not easily predicted. The article substantiates that managers and government policy makers are encountering major strategic discontinuities that are changing the nature of competition. Firms must be flexible to manage discontinuities and unpredictable change in their environments. Flexibility has been a characteristic of an organization that makes companies less vulnerable to unforeseen external changes or puts it in a better position to respond successfully to change. Strategic flexibility may increase innovation performance of a firm.
Advances In Global
Business And Economics
Proceedings of the GLOBE Conference
in Sarasota, USA, June 4-8, 2018
Editor
Dr. Cihan Cobanoglu
M3 Center
University of South Florida Sarasota-Manatee
USA
INTERNATIONAL INTERDISCIPLINARY BUSINESS-ECONOMICS ADVANCEMENT CONFERENCE, II...Dmytro Shestakov
Real Option Approach to Evaluate Strategic Flexibility for Startup Projects, IIBA 2015, 360-368
Dmytro Shestakov
This article is devoted to investigation and evaluation of a startup project strategic flexibility depending on its available development options using real option approach. This approach combines ideas of corporate finance, real options and game theory and concludes to the Risk-Neutral Probability measure and the value of a Call Option that comes from Black-Scholes-Merton model. The findings enable us to estimate the value of managerial decisions, project flexibility and help entrepreneurs and investors to select the best choice of project strategic development.
A state of having limited knowledge where it is impossible to exactly estimate a future outcome is commonly called uncertainty and is measured as a set of possible states or outcomes where probabilities are assigned to each possible state or outcome. A measured state of uncertainty is called risk that can be both negative and positive, though it tends to be the negative side that companies commonly focus on. Sometimes, a company may have uncertainty without risk, but not risk without uncertainty. Generally, uncertainty is allied to scientific term “information” and emerges mostly in its incompleteness. Meanwhile, incompleteness of information is an integral part of any business process and project whether it is launching or developing.
28 MARCH – 02 APRIL, 2015
Ft. Lauderdale, Florida, USA
Co-Editors:
Prof. Dr. Cihan Cobanoglu
Prof. Dr. Serdar Ongan
GLOBAL INTERDISCIPLINARY BUSINESS-ECONOMICS ADVANCEMENT CONFERENCE, GIBA 2014Dmytro Shestakov
Real Option Strategic Approach to Find Optimal Company’s Source, GIBA 2014, 212-215
of Financing
Dmytro Shestakov
This article is devoted to investigation and evaluation of the project expanded NPV rather than simple
or passive NPV depending on its available options of financing using real option approach. This
approach combines ideas of corporate finance, real options and game theory and concludes to the Risk-
Neutral Probability measure and the value of a Call Option that comes from Black-Scholes-Merton
model. The findings enable us to estimate the value of managerial decisions, project flexibility and help
managers to select the best choice of strategic financing and its available options and their respective
combination.
Any project whether it is launching or developing requires financing, that in most cases is covered by
own funds partially, whereas the rest of by attracted facilities. On the one hand, financing attraction
varies in different forms, e.g. loan, mezzanine, equity financing, or even concluding forward contracts.
On the other hand, the proportion of each available source is important and stays under question.
Therefore, the problem of better choice between available financing options and their respective
combination exists.
Correct decision thus is especially important as a real option implies the value that includes any direct
and indirect costs and benefits connected with using such an option, besides its direct influence on
investment attractiveness ratios and ultimate valuation of a project. Moreover, since financing attraction
requires a valid business valuation, the real option effect is an integral part of any calculations connected
with such.
MAY 15-18, 2014
Clearwater Beach, Florida, USA
Co-Editors:
Prof. Dr. Cihan Cobanoglu
Prof. Dr. Serdar Ongan
Стратегія Розвитку Інновацій в Україні. Частина Друга. План Дій (Дмитро Шеста...Dmytro Shestakov
У 2017 році Платформа Розвитку Інновацій опублікувала вступну частину Стратегії розвитку інновацій в Україні, де запропоновано чіткий план дій для активізації процесів розвитку інновацій. Загалом, вже було проведено стратегічну сесію та створено Раду розвитку інновацій в Україні та проведено настановчу сесію Ради, а також розроблено План розвитку інновацій в Україні. На сьогодні економіка України потребує переходу до наступних етапів, а саме: проведення аудиту чинної законодавчої бази, розробки та затвердження нової законодавчої бази та її подальшого прийняття
Strategy of Innovations Development in Ukraine Part II. Action Plan (Dmytro S...Dmytro Shestakov
In 2017, the Innovations Development Platform published the introduction of the Strategy of Innovations Development in Ukraine offering a clear plan to activate innovation development processes [7]. In fact, the strategy meeting was held and the Innovation Development Board has been formed in Ukraine. Besides, the Board has held the advisory meeting, and the Plan of Innovations Development in Ukraine has been elaborated. Presently, the Ukrainian economy requires progressing to further stages, i.e. auditing of the current regulatory environment, development and approving of the new legislative framework and further adoption of the new laws.
Lecture slide titled Fraud Risk Mitigation, Webinar Lecture Delivered at the Society for West African Internal Audit Practitioners (SWAIAP) on Wednesday, November 8, 2023.
how to sell pi coins effectively (from 50 - 100k pi)DOT TECH
Anywhere in the world, including Africa, America, and Europe, you can sell Pi Network Coins online and receive cash through online payment options.
Pi has not yet been launched on any exchange because we are currently using the confined Mainnet. The planned launch date for Pi is June 28, 2026.
Reselling to investors who want to hold until the mainnet launch in 2026 is currently the sole way to sell.
Consequently, right now. All you need to do is select the right pi network provider.
Who is a pi merchant?
An individual who buys coins from miners on the pi network and resells them to investors hoping to hang onto them until the mainnet is launched is known as a pi merchant.
debuts.
I'll provide you the Telegram username
@Pi_vendor_247
If you are looking for a pi coin investor. Then look no further because I have the right one he is a pi vendor (he buy and resell to whales in China). I met him on a crypto conference and ever since I and my friends have sold more than 10k pi coins to him And he bought all and still want more. I will drop his telegram handle below just send him a message.
@Pi_vendor_247
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
The Evolution of Non-Banking Financial Companies (NBFCs) in India: Challenges...beulahfernandes8
Role in Financial System
NBFCs are critical in bridging the financial inclusion gap.
They provide specialized financial services that cater to segments often neglected by traditional banks.
Economic Impact
NBFCs contribute significantly to India's GDP.
They support sectors like micro, small, and medium enterprises (MSMEs), housing finance, and personal loans.
What price will pi network be listed on exchangesDOT TECH
The rate at which pi will be listed is practically unknown. But due to speculations surrounding it the predicted rate is tends to be from 30$ — 50$.
So if you are interested in selling your pi network coins at a high rate tho. Or you can't wait till the mainnet launch in 2026. You can easily trade your pi coins with a merchant.
A merchant is someone who buys pi coins from miners and resell them to Investors looking forward to hold massive quantities till mainnet launch.
I will leave the telegram contact of my personal pi vendor to trade with.
@Pi_vendor_247
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
Abhay Bhutada Leads Poonawalla Fincorp To Record Low NPA And Unprecedented Gr...Vighnesh Shashtri
Under the leadership of Abhay Bhutada, Poonawalla Fincorp has achieved record-low Non-Performing Assets (NPA) and witnessed unprecedented growth. Bhutada's strategic vision and effective management have significantly enhanced the company's financial health, showcasing a robust performance in the financial sector. This achievement underscores the company's resilience and ability to thrive in a competitive market, setting a new benchmark for operational excellence in the industry.
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
how to swap pi coins to foreign currency withdrawable.DOT TECH
As of my last update, Pi is still in the testing phase and is not tradable on any exchanges.
However, Pi Network has announced plans to launch its Testnet and Mainnet in the future, which may include listing Pi on exchanges.
The current method for selling pi coins involves exchanging them with a pi vendor who purchases pi coins for investment reasons.
If you want to sell your pi coins, reach out to a pi vendor and sell them to anyone looking to sell pi coins from any country around the globe.
Below is the contact information for my personal pi vendor.
Telegram: @Pi_vendor_247
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
UNDERSTANDING INNOVATION: PROCESS, PROJECT AND PRODUCT-CENTRIC VIEWS
1. DOI: 10.32702/2307-2105-2018.12.209
УДК 330.4
D. Y. Shestakov
postgraduate student, Department of Finance,
National University of Kyiv-Mohyla Academy,Kyiv
UNDERSTANDING INNOVATION: PROCESS, PROJECT AND PRODUCT-CENTRIC
VIEWS
Д. Ю. Шестаков,
аспірант, кафедра фінансів
Національного університету «Києво-Могилянська академія», м. Київ
РОЗУМІННЯ ІННОВАЦІЇ ЯК ПРОЦЕСУ, ПРОЕКТУ ТА ПРОДУКТУ
Innovation is the most important source of differentiation in a dynamic environment. It helps to
create a new product that better satisfy customer needs, improve the quality of existing products,
improve the technological process, reduce the costs of making consumer products. While many
believe so, innovation is something much more than a successful commercial use of research
results. The paper is devoted to the actual questions of research of scientific approaches to the
theoretical study of the basic and most important terminology in innovation sphere. Studied related
literature, systematized knowledge about the approaches to the definition of innovation and
described the course of thought of scientists about the innovation process and product allowed to
conclude that there is a real problem of inconsistency of basic concepts in the field of innovation.
Whereas, the disagreements in the scientific literature in basic concepts suggest that it is necessary
to carry out an in-depth analysis of glossology and highlight key concepts. The approaches to
understanding the innovation definition have been determined and found that they have only a
remote resemblance and modern researchers cannot compare different terms which diverse in its
source of origin. For the first time, not only concepts, but their key characteristics were considered
in completely, structurally and step by step manner in a historical retrospect. The theoretical basis
of each definition is evaluated, general, particular, and narrow definitions are highlighted. A
detailed analysis of the main studies related to innovation evaluation is provided. Through the
uncertain task implementation scope, a set of methodologies including practices, techniques,
procedures as well as the output characteristics, the difference between an innovative project as a
key part of creating innovation and ordinary project is clearly defined and highlighted. This paper
is intended to offer an analysis of the concept of innovation and to shed light on understanding and
defining innovation process, product, and project as the basic concepts in the field of innovation
activity. Based on the analysis, this paper proposed alternative, more reasonable definitions of
these terms both from a scientific and practical point of view.
1
Інновація – це найважливіше джерело диференціації у сучасному динамічному середовищі.
Вона сприяє створенню нового продукту, що краще задовольнить потреби клієнтів;
покращує якість існуючих продуктів; вдосконалює технологічний процес; знижує витрати
на виробництво споживчих товарів. Дана робота присвячена актуальним питанням
дослідження наукових підходів до теоретичної бази, основної термінології у сфері інновацій.
2. 2
На основі глибинного аналізу наукової літератури було систематизовано знання щодо
підходів до визначення інновацій та описано хід думок дослідників на тему інноваційного
процесу та продукту, що дозволило зробити висновок про існування реальної проблеми
невідповідності основних концепцій в області інновацій. Враховуючи наявність
розбіжностей у науковій літературі в основних концепціях, є нагальна потреба у проведенні
їх ґрунтовного аналізу та висвітлення ключових відмінних характеристик. Були висвітлені
підходи до розуміння терміну «інновація» та встановлено, що вони мають лише віддалену
схожість, натомість сучасні дослідники не можуть порівнювати різні терміни, оскільки
останні різняться у своєму джерелі походження. Вперше було повністю, структурно та
поступово розглянуто не лише концепції, але й їхні основні характеристики. Була оцінена
теоретична база кожного визначення, висвітлені загальні, конкретні та вузькі визначення.
Надано детальний аналіз основних досліджень, пов'язаних з оцінкою інновацій. На основі
наявної невизначеності реалізації інновації, набору методологій, практик, методів та
процедур, а також характеристик кінцевого продукту, було чітко визначено та виділено
різницю між інноваційним проектом як ключовою частиною створення інновацій та
звичайним проектом. Дана стаття пропонує аналіз поняття інновації та проливає світло
на розуміння та визначення інноваційного процесу, продукту та проекту як базових
концепцій у галузі інноваційної діяльності. На підставі аналізу було запропоновано
альтернативні, більш повні визначення основних та найбільш значимих термінів у сфері
інноваційної діяльності як з наукової, так і з практичної точки зору.
Keywords: innovation; innovation process; innovation product; innovation project; product
innovation; process innovation.
Ключові слова: інновація; інноваційний процес; інноваційний продукт; інноваційний проект;
продуктова інновація; процесна інновація.
Problem statement. While there is no distinct definition of meanings of the term ‘innovation’ and clear
interrelations of its derivatives, elevated level of novelty brings unpredictable uncertainty to innovation projects in
terms of expected financial outcomes, which could be scattered heavily upon respective managerial decisions. For many
years, there have been many disagreements in the scientific literature, which has significantly influenced both the level
of an in-depth understanding of the concept of innovation and the quality of approaches to the evaluation of the
innovation process. Since the scientific approach is valued in the modern world, it is obliged to give a clear and
unambiguous interpretation of a particular concept.
Recent researches and publications analysis. The following scientists and researchers made a significant
contribution to the analysis of innovation activities as well as this concept in their studies: W. J. Abernathy, M. Aiken,
A. Altshuler, M. Assink, F. Betz, D. Cleland, L. L. Cummings, F. Damanpour, T. H. Davenport, M. Dodgson, E.
Dundon, J. E. Ettlie, J. Fagerberg, D. Gann, S. Gopalakrishnan, J. Hage, P. Hurst, N. B. Kanagal, L. Morris, M. J.
O'Connell, E. M. Reza, E. M. Rogers, R. Rothwell, M. A. Schilling, J. M. Utterback and others. Exploring different
areas of innovation, the impact of innovation on economic development, as well as giving different definitions of key
terms, researchers developed, improved and multiplied research papers in the field of innovation.
The purpose of the paper is to cover the key terms in the sphere of innovations, to found and describe
contradictory conclusions and arguments, and to present a structured view in understanding the process of creating
innovations, which is necessary to determine the importance of an innovation project as an integral part of innovation
implementation process.
The main material. Innovation is the major force propelling economic activity (Schumpeter). It is impossible
to imagine the modern world without innovations that have already come true and become habitual on the one hand,
and future ones, contributing to further evolution on the other hand. Most scientists (Formica P., Stabulnieks J., Haour
G., Hippel E., Rosenberg N., Fagerberg J., Ulku H. and others) agree that innovation become the main driving force of
economic and social development. Innovation activity has led the world community to a new, higher stage of
development. But, what does innovation mean and what relation exist between innovation project, process and product?
Definition of innovation can be interpreted very widely and depends on the object of the study, but according
to extensive and diligent research of the literature on the subject, the definition of the term ‘innovation’ implies either a
process, project or a product as a result of the process or project, or with a rare exception, a methodology.
3. 3
In this article we will guide the most voluminous definition of ‘innovation’: ‘It is not the result of thinking
differently. It is the result of thinking deliberately (in specific ways) about existing problems and unmet needs.’ [1, p.
24]. In this context, we are moving away from the popular abstract definitions of this term and define the modern view
of innovation as a methodology for sustainable creation and development of a distinctive customer value either of a
business-oriented entity or a government.
In fact, innovation can be understood as the end result of innovation activity, embodied in the form of a new or
improved product introduced on the market, a new or improved technological process used in practice, a new approach
to resolving social problems, so it is necessary to understand the key differences between these categories.
Innovation as a process is widely used definition and implies creation of a product or service solution that
delivers new customer value. The process which begins with the selection of the customer and market, includes the
identification and prioritization of opportunities, and ends with the creation of an innovative product or service [2].
Innovation as a process is one of the main directions in research, depending on what is the essence of
innovation. Tvyss define innovation as the process in which an invention or a new idea acquires an economic content
[3].
In J. Newman's work, innovation is the process of commercialization of new products, considering
differentiated technology, consumer interests and fair compensation to shareholders or as ‘the realization of ideas for
creating value or increasing profitability.’ [4, p. 28-29].
Considering not abstract categories, it is worth noting that innovation theory and models are applicable in
development projects and innovation indeed is useful but not simply as an end product, but as a methodology - a clear
approach to the creation of unique products, services etc. Innovations as a methodology must be accepted as learning
and change processes in creating a better environment and win-win interaction within an ecosystem.
The second main direction to understand the innovation term is the end result orientation, in other words, a
certain group of researchers understand the innovation, first of all, as a product (Derting, Bish, It, Polder, Ettlie, Reza,
Noori etc.).
According to [5], a product itself is a combination of one or more of ingredients, benefits, advantages, features,
performance, business model, usage and consumption experience. Innovations that occur in certain products, referred to
as ‘innovation product’.
Product innovations are necessary for companies to overcome competitive pressures; to change preferences,
product life cycles, technological advancement, demand structure and special customers’ requirements.
According to [6] the innovation process is the successful completion of three phases: idea generation, idea
acceptance and idea implementation. Modern implementation and realization of innovative products implies the
existence of a project containing a technical, economic, legal and organizational justification for the ultimate innovation
activity.
An innovative project is a set of processes that result in a product. On the other hand, the process is a
repetitive, sometimes iterative, activity. In turn, the project is an interim, temporary and has a development sequence
(progressive elaboration), intended to create unique results.
The term ‘innovation project’ is considered as a form of target management of innovation activity, to develop
or implement innovations. As a form of target management of innovation activity, an innovation project is a complex
system of interdependent and interrelated by resources, terms and executors of activities aimed to achieve specific goals
(objectives) on priority directions for the development of science and technology [7].
Because elevated level of novelty brings unpredictable uncertainty to innovation projects [8], we also must
separate innovation project and simple project concepts. While innovation projects represent a major challenge for
business managers due to their associated uncertainty degree [9], the modern studies related to innovation and
innovation project management are aimed to develop methodologies that better manage the characteristics of these
projects [10].
An innovation project is an introduction or creation of innovation, something new to the modern world. The
simple project is a group of works / tasks that must be performed in a given period to achieve set goals [11]. The
differences between an innovative project and a regular project were investigated by During, Keegan, Turner,
Blindebach-Driesse and others.
Innovations play a leading role in improving the production process, updating the product range, reducing the
cost of production, introducing new progressive management principles, so any innovation that the firm applies is seen
as a positive factor [12]. The rapid growth and high profitability of companies that can generate productive business
ideas, creating an unprecedented demand on new markets, where there are practically no competitors [13].
Therefore, a distinct differentiation of meanings and hierarchy of the term ‘innovation’ should path the way to
further work out and application of an innovation as a methodology which might be able to be applied and scalable in
more distinct and manageable manner than currently is.
In the article suggestions are made for conceptually-based analytical research to help specify the mechanism(s)
that underlie developmental differences in scientific understanding the concept of ‘innovation’. To provide a systematic
and deep insight into a problem of lack of clear definitions and to facilitate extraction of scientific and logical
explanation and conclusion on it, the theoretical (or basic) research methodologies were used.
4. 4
‘Innovation is a driver of competitive advantage’ [5, p. 16], whereas there are many different points of view
on the definition of the term ‘innovation’. Some believe that innovation is the result of innovation activities, which is
presented in the form of a new product, others - that it is some new technological process used in practical activity.
European Innovation Management Academy defines innovation as ‘the successful exploitation of a new
product, service, process, organization or new business model which is new to a company, new to a market or new to
the world.’ [14, p. 68-69].
E. Dundon defines innovation as a ‘profitable realization of a creative strategy,’ based on the ability to generate
new ideas and to maximize the income from development [15]. According to S. Derting, innovation is not only the
creation of an absolutely new or improved product or technology, but also a tangible result that brings certain benefits
both of material nature in the form of profits or new assets, and intangible like new knowledge, brand strengthening,
employee motivation [16].
M. Dodgson states that innovation includes scientific, technological, organizational and financial activities
leading to the commercial introduction of a new (or improved) product or a new (or improved) production process or
equipment [17].
The fairly narrow definition of an innovation by Schilling is quite accurately and clearly characterizes its
essence and purpose: ‘Innovation is the act of introducing a new device, method or material for application to
commercial or practical objectives.’ [18, p. 15].
B. Twiss believes that the term ’innovation’ implies different types of activities that exist and develop through
technology. According to the researcher, innovation is something new, something that was not yet on the market. It can
be expressed in new products, manufacturing processes or management systems, often involving the use of new
technologies. Such development can be connected with new markets, production diversification and new organizational
structures [3].
To a definition of the term ‘Innovation’, Morris addresses in a comprehensive manner: ‘Innovation is a
process, and when it goes well it’s also the results of the process’ [19, p. 58].
According to the Oxford's Dictionary of Business and Management, innovation is ‘any new approach to
designing, producing, or marketing goods that gives the innovator or his company an advantage over competitors.’ [20,
p. 300]. [21] emphasizes that the term ‘innovation’ is used to designate both the product and the process of innovating.
The author also emphasizes that the term ‘innovation’ is used to refer to the process that contain periods of design and
development, adoption, implementation, and diffusion.
The lack of a commonly used vocabulary in innovation studies leads to the terms ’innovation’ and
’technology’ being used interchangeably to denote the same idea, which can lead to ambiguity. Wonglimpiyarat
describes innovation as the process of converting the technological breakthroughs into a process innovation or
commercialized product in a competitive market [22]. Betz defines technological innovations as the invention of new
technologies, as well as the development and introduction of products, services or processes to the market [23]. Nieto
defines the term ‘technological innovation’ as the process by which technological advances are made. According to the
author, the innovation process includes several activities that contribute to increasing the capacity to produce new
products and services, which is product innovations; or to introduce new forms of production, which is process
innovations [24]. Therefore, the concept of technological innovation is associated with the idea of a flow – generation,
application, dissemination – of technologies [25]. Bagherinejad states that this process results in the introduction of a
new or better product or production process [26].
It is worth noting that in some studies innovation is defined as a product or process new to the company, not
simply to the world or market. Assink, in turn, defines innovation as ‘the process of successfully creating something
new that has significant value to the relevant unit of adoption.’ [27, p. 217].
‘Innovation is the degree to which value is created for customers through enterprise that transforms new
knowledge and technologies into profitable products and services for national and global markets. It covers a wide
range of activities to improve firm performance, including the implementation of a new or significantly improved
product, service, distribution process, manufacturing process, marketing or organizational method.’ [28, p. 141].
E. Rogers defines innovation as an object, idea or action that is perceived by the consumer as new one [29]. In
other words, researchers have reached the conclusion that innovation comes in the form of product or process.
The innovation product is the result of innovation activity, which has received practical implementation in the
form of a new product, service, production mode (technology) or other socially useful result. According to Oslo
Manual, a product innovation is ‘the introduction of a good or service that is new or significantly improved with respect
to its characteristics or intended uses. This includes significant improvements in technical specifications, components
and materials, incorporated software, user friendliness or other functional characteristics’ [30]. Some believe that the
product innovation can be in two dimensions: new products and new innovations (significant improvements) in existing
goods [31]. Product innovation focuses on existing markets for existing products, differentiating through features and
functions that current offers do not have, as well as contributing to the discovery of new, unexplored markets that
allows for the creation of new niches for research and development and an acceleration of economic and technological
growth. Product innovation is an important driver of economic growth and productivity, because the innovation output
of one company becomes part of the innovation input to another [28].
Ettlie and Reza believe that a product innovation is a key factor that contributes to the company`s success, so
researchers conclude that new product development has a positive impact on enterprise performance [32, 33].
5. 5
The definitions defined previously clearly distinguish innovation from minor changes in the makeup and/or
delivering of products in forms of extension of product lines, adding service components or product differentiation. But
in practice innovation is not related to production fields only, however there is another field and activity that can be
innovated as ‘process’. [28]
Noori has compared product innovation with process innovation and explores relations between them. He
concludes that in the way of product innovation also process innovation should be ‘commercialized’ before it is
completed [34]. According to the Oslo Manual, a process innovation is ‘the implementation of a new or significantly
improved production or delivery method which includes significant changes in techniques, equipment and/or software’
[30]. Process innovation implies the use of specific change tools and technology for enterprise engineering and the
transformation of business processes [35]. So, a process innovation can be defined as a new production method.
Exploring the relationship between process and product innovation, Utterback and Abernathy give the
definition to product innovation. According to them, product innovation implies ‘introducing new products or services
to achieve an external market or to satisfy user need.’ Process innovation, as opposed to the product one, refers to the
introduction of new elements (for example, input material, work and information flow, task and equipment
specifications) into the manufacturing process or organization operations that are then used to create a product or
service [36, p. 644].
The Community Innovation Survey (CIS) of the European Union defines a product innovation as ‘the market
introduction of a new or significantly improved good or service with respect to its capabilities, user friendliness,
components or sub-systems.’ Likewise, a process innovation is defined as ‘the implementation of a new or significantly
improved production process, distribution method, or support activity for your goods or services.’ [37, p. 4]
According to [38], the difference between a product and a process is related to the areas and actions that are
affected by innovation. Although still much earlier [36] define that the rate of adoption for process and product
innovation differs, based upon the phases of development in the industry. These authors conducted research and
conclude that startups and young companies introduce product innovation in the main, but complex and mature
enterprises introduce process innovation in turn. Based on this fact, Damanpour makes a survey of executives and
concludes that ‘firms on average introduce more product than process innovations.’ [39]
Defining innovation as intended ‘novelty in action’ [40] contains the idea that innovation is a process, which
consists of various stages from initiation to implementation. Initiation refers to identifying problems, evaluating
alternatives, whereas implementation refers to deciding between alternatives and putting innovation to use. [29]
Understanding the innovation process as a process of preparation and implementation of innovative changes,
which consists of interrelated phases and stages, as a result of which an innovation is introduced, considers the views of
scientists on the innovation process` stages. Stages of the innovation process have different approaches to their
understanding and research. So, Norman considered it as a two-stage process, consisting of the stages of initiation and
realization [41]. A more differentiated model that divides the stages of the innovation process into four stages:
assessments, initiation, introduction and routinization has been proposed in [42].
Utterback and Abernathy proposed to consider the stages of the innovation process as a model of 5 stages:
understanding the problem, the production of ideas, the process of finding a solution to the problem, making decision,
implementation and use [36].
L. Cummings and M. O'Connell identify five stages in the innovation process development: search for the
‘root’ of the problem, production of alternative innovative proposals, evaluation of alternative solutions, choosing and
initiating one solution, approval and routinization [43].
Roy Rothwell reveals several generations of innovation process models [44]. A Linear approach to the
definition of the innovation process, Rothwell refers to the 1950 - the mid-1960s (the first generation), which is pushed
by technology and is characterized as a simple linear-sequential process with an emphasis on the role of Research and
Development (R&D) and the attitude to the market only as a consumer of the results of the technical activity of
production. The second generation of the innovation process refers to the late 1960s - early 1970s. It is the same linear
sequential model, but with an emphasis on the importance of the market, on which R&D is responding. The third
generation of the innovation process existed from the early 1970s to the mid-1980s. It is essentially a combination of
the first and the second generations with an emphasis on the connection of technological capabilities and opportunities
with market needs. The next period, namely the fourth generation, is typical for the mid-1980s. – the mid-1990s. and
named the ‘Japanese model’, which focuses on the parallel activity of integrated groups and external horizontal and
vertical connections. In fact, several groups of specialists (marketing, R&D, product development, production
engineering and production) are working in several directions simultaneously. This greatly accelerates the
transformation of ideas into finished products. This model marked the transition from the consideration of innovation as
a predominantly sequential process to understanding innovation as a parallel process. The fifth generation of the
innovation process by Rothwell (1990s to date) is characterized by companies’ associations in the network to ensure
flexibility and maintain the pace of development. The strategy is based on the development of joint marketing,
partnership, transition to ‘open innovation’. Most researchers are currently focused on the development of fifth-
generation models of innovation process, according to Rothwell's proposals [44]. One of the most famous and modern
‘fifth-generation’ model is ‘The cyclic innovation model’ which is proposed by Berkhout and Van Der Duin in 2007
(Fig. 1).
6. Fig. 1. The fifth-generation` cyclic innovation model [45]
This model visualizes the ‘circle of change’, linking changes in science (left-hand side) with business (right-
hand side) as well as changes in technology (upper part) and markets (lower part) in a cyclic manner. [45]
Whereas implementation of any kind of innovation is possible only through defined, consistent and structured
actions feasible in the form of project.
A generic definition of a project formed by Turner: ‘A project is an endeavor in which human, financial and
material resources are organized in a novel way to undertake a unique scope of work, of given specification, which
constraints of cost and time, to achieve beneficial change defined by quantitative and qualitative objectives.’ [46, p. 2].
Project is a ‘temporary endeavor undertaken to create a unique product, service, or result.’ [47]. In [48], a
project is defined as ‘a temporary organization that is created for the purpose of delivering one or more business
products according to an agreed Business Case.’ Oxford English Dictionary defines project as ‘an individual or
collaborative enterprise that is carefully planned to achieve a particular aim.’ [49]
The Japanese put value creation directly at the forefront in their definition of the nature of a project, as follows:
‘A project refers to a value creation undertaking based on a project mission, which is completed in a given or agreed
timeframe and under constraints, including resources and external circumstances.’ [50, 51]. Turner described the project
as ‘a temporary organization to which resources are assigned to do work to deliver beneficial changes.’ [52, p. 2-3; 53,
p. 15].
It is worth noting that the relevant literature remains unconvincing regarding the definition of an ‘innovation
project’ or its conceptual framework.
Because invention is the first occurrence of an idea for a new product or process, while innovation is the first
attempt to carry it out in practice, Fagerberg argues that an innovation project is understood as a vehicle of the transition
from invention to innovation [54]. [55] also write that an innovation project could be defined as a mechanism of the
transition from invention to innovation. Wingate, on the other hand, defines innovation project as an aim to take
something that has been designed, developed, or created and then applies processes to them to achieve an outcome [56].
The innovation project is a vehicle to improve the company's innovation capability [57].
As the process of the implementation of innovations, an innovation project is a combination of scientific,
technological, production, organizational, financial and commercial activities carried out in a certain sequence, leading
to innovations. An innovation project is a set of technical, organizational, planning and accounting and financial
documentation necessary to realize the project's objectives. [58]
It is also important to keep in mind that the innovation project`s results, which are the measure of the project
success, in many cases differ from the initial objectives, or simply, those objectives are not achieved.
Quite often, an innovation project is equated with the development of a new product or even has no definition.
Under an ‘innovation project’ researchers understand a project deals with products and service innovation, involves
various aspects of innovation and innovativeness. [59]
‘Innovation is a hypothesis, whose truth cannot be established with certainty.’ [60, p. 88]. With these words
began the era of research uncertainty as an integral part of innovation activities. Thus, uncertainty is an essential
characteristic of the innovations, the creation of new business ventures, and the future of global competitiveness,
because in the future there is no precedent or experience to make accurate forecasts of the results.
Delving into the essence of the innovation concept and following the train of thought of scientists and
researchers through the prism of objectivity, it's worth noting that a fairly large scientific audience in innovation sphere
pays too much attention to the description of the difference between the product and the process, moving away from the
6
7. definition of innovation. Based on scientific papers and highlighting the main ideas of the concept of innovation, we
propose the following definition, which accurately describes the results and the diversity of its achieving:
Innovation is a process, project, or a methodology of a development, introduction, or implementation of a new
device, method, or material for application to commercial or practical objectives.
The innovation process is the implementation of a research, scientific, technical, production, and marketing
activity as the temporary stages of the innovation life cycle from the inception of an idea to its development and
distribution. The innovation process chart can be described as follows:
Problem Identification
Idea Generation Ideas Analysis & Filtering
Research & Development
(Innovation Development)
Production Development
(Industrial Development)
Commercialization &
Practical Implementation
Fig. 2. The innovation process chart
[created by the author]
The scientific world provides some insight into the differences between ordinary and innovation project.
Researchers correctly focus on risks and uncertainties which are characteristic of an innovation project. Also, scientists
pay attention to the results of the project – a result that can be called ‘innovation’ which means that it was created by an
innovation project. Otherwise, if the output is simply the creation of something non-innovative, it is just an ordinary
project. Researchers themselves write that there is no comprehensive definition for this term. Gathering the available
information and assessing the views of various scientists on the definition of innovation project, we offer the following
clear, complete and competitive definition:
A project can be ‘innovative’ if the task implementation scope, a set of methodologies including practices,
techniques, procedures, and rules as well as tools, and knowledge on one hand, and project budget and time, on the
other hand, are uncertain and the result is an innovation as a new device, method, or material.
Every project brings something new and has some risks as well [61]. The major difference between projects in
their degree of innovation - the projects vary widely in it. And the higher the level of innovativeness the project has, the
higher level of uncertainty and risks it has (see Figure 3 below).
Uncertainty & Risks
Innovativeness Level
Non‐innovation
Incremental Innovation
Semi‐radical Innovation
Radical Innovation
Fig. 3. The relationship between innovativeness level and uncertainty as an integral part of innovation activity
[created by the author]
Focusing on the project and the process of creating innovation, it is worth describing an equally important
category – the innovation methodology. ‘Innovation without methodology is just luck.’ [19]. Because scientists and
innovation researchers often limit themselves, and the term ‘methodology’ remains in the shadows. We, in turn, give
this definition from the point of view of innovation as such:
7
8. 8
Innovation methodology is a defined, effective, and productive set of systematic practices, techniques,
procedures, and rules used during the innovation process and adapted to obtain innovation.
Conclusions. Innovation is a large-scale phenomenon that moves the world towards productivity, optimization
and the production of unique, new, unexplored products and services that can change people's behavior and desires.
This explains the increased researchers` interest to this topic. Whereas, many scientists focus on something concrete and
distort the understanding of broader categories.
Because of this, for many years, there have been many disagreements in the scientific literature, which has
significantly influenced both the level of an in-depth understanding of the concept of innovation and the quality of
approaches to the evaluation of the innovation process. Since the scientific approach is valued in the modern world, it is
obliged to give a clear and unambiguous interpretation of a particular concept.
Studied related literature, systematized knowledge about the approaches to the definition of innovation and
described the course of thought of scientists about the innovation process and product allow us to conclude that there is
a real problem of inconsistency of basic concepts in the field of innovation.
This article, as a kind of hub in the scientific literature, solves the problem of a large distribution of the
definitions of key terms in the sphere of innovation by full disclosure of the most significant of them. Such concepts as
‘innovation’, ‘innovation process’, ‘innovation product’ and ‘innovation project’ are fully covered, contradictory
conclusions and arguments are found and described, and a structured view in understanding the process of creating
innovations is presented. The paper considers in detail the innovation project concept as an integral part of the
innovation process and describes the relationship between the uncertainty and the innovativeness level to understand the
difference between ordinary and innovation projects, which gives the necessary understanding of the subject, during the
its evaluation by various methods, for example, using Real Options approach.
The results of this paper as well as its clear approach give the basis for researchers and their subsequent
investigations not to create another definition that will further confuse readers, but to resolve such inconsistencies by
singling out important, suitable, and precise assertions with the subsequent creation of significant statements based on
them.
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Стаття надійшла до редакції 19.12.2018 р.