...АFFЕCTING THE PRODUCT AND BUSINESS PROCESS INNOVATION UDC 001.895:658.62 Nebojša Zakić, Ana Jovanović, Milan Stamatović Faculty of Entrepreneurial Business, Union University, Belgrade Abstract. The competitive advantage of a company strongly depends on its possibility to benefit from innovational activities. Understanding the factors that affect product and process innovation and their effects is necessary for deciding on an innovation strategy that is one of the core factors of an innovation success. We research the influence of nine external and internal factors on product and business processes innovation. For the analysis of important relations and conclusions, beside theoretical literature, we use the results of several studies. Key Words: product innovations, business processes innovation, industry maturity, customer needs, demand, technological opportunity, investment attractiveness, company size, export orientation INTRODUCTION Innovations are one of the main sources of a competitive advantage and they are essential for a company growth. Fast technology development, combined with the globalisation and fast changes in customer demand, implies that a competitive advantage of a company can be only temporary. Companies put great effort in beating the competition and improvement in the market game by introducing innovations. On the macro level, innovations have a vital influence on economic development of a country. Thus, it is not a surprise that innovations are more and...
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...significant changes currently underway – a new business plan targeting significant growth over 3 years, new directors and ownership and a marketing strategy targeting increasingly large complex projects of a Design and Build nature. To achieve this, some form of change is required and much of this change may come through innovation. This assignment will distinguish between product, process and organisational innovation and discuss which is likely to be the most important for the growth of Read Construction Holdings over the next three years. In order to distinguish between the different types of innovation, the essay will begin by setting out a clear definition of innovation. The main discussion will go on to discuss limitations, barriers and enablers of innovation and how that might impact on the organisation, summarising which type is likely to be the most important for the business in support of its goals, the essay will also evaluate the potential for consecutive innovative approaches and what limitations and barriers / enablers may be encountered. What is Innovation? In defining innovation, it is important to clearly differentiate between innovation and invention. Fagerberg (2004) suggests that invention is the first occurrence of an idea...
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...CITÉ DES SCIENCES ET DE L'INDUSTRIE, PARIS, FRANCE AN APPROACH TO INCREMENTAL INNOVATION THEORIES AND ITS METHODS IN INDUSTRIAL PRODUCT DEVELOPMENT Hannu Oja Tampere University of Technology ABSTRACT A quest for powerful tools to support creation of innovative solutions exists in industry. Majority of development efforts aims for incremental development of products, either by means of improved performance in use or during manufacturing process. New concepts or solutions on product’s functionality and behaviour (behaviour meaning how the functionality is delivered, response) are needed to bring benefits. Generic product development theories, models and methods are applicable for new product development, as their approach is linear and founded on functional requirements and means to execute them. However, in industry the product development activities preferably start from existing product or concept with pre-determined goals rather than from scratch. Creativity techniques and multidisciplinary workgroups have been referred in literature as means for creating innovations. However, these methods lack context of technical system and are general in nature and could be used for any problem with assistance of experienced moderator and a group of individuals. These techniques and methods are not included in this study. An approach from retrospective case study is presented. It was found that the mental process of an innovator follows more problem solving theory than design theory. However...
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...Manage the innovation process Describe the practices and routines that an organisation can implement to help manage the innovation process and, in so doing, maximise the probability of success in innovation. In global market with shortening product life cycles for example when the life of some models of mobile phones or computer is just few months.(Tidd 1997) In Kucrmarshi (2003) opinion innovation could generate new way to extend profit margins if it successful and could became very powerful competitive weapon. Innovation in nowadays is the most important competitive advantage for a company. The future of many businesses depends on their ability to innovate, to be ahead of their competitors. Organisations have to go through a process of practice, mistakes and to bring together different knowledge, skills and ideas to manage innovation process to success.( Tidd and Bessant 2010) This essay will try to describe the practice and routines that any organisation can follow to achieve success in the innovation process. Definition of innovation The word innovation comes from the Latin word “innovare”, which means “to make something new” (Tidd and Bessant 2010). Innovation is a deceptive thing. People usually relate it to a development of a new or better product or process, but it is only one part of process called innovation (Trott 2008). Porter,M., 1990 defined “...approach innovation in its broadest sense, including both new technologies and new way of doing things...
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...The Role of Product Lifecycle Management Systems in Organizational Innovation Hamzeh K. Bani Milhim, Xiaoguang Deng, Andrea Schiffauerova, and Yong Zeng* Concordia Institute for Information Systems Engineering, Faculty of Engineering and Computer Science, Concordia University, 1455 Maisonneuve West, Montreal, Quebec, Canada, H3G 1M8 yong.zeng@concordia.ca Abstract. Innovation is a critical ingredient of today’s organizations. Innovativeness helps organizations to maintain their success and position in the market. Numerous research studies examine the factors that impact successful organizational innovation, for example organizational learning capability, organizational structure, etc. Product Lifecycle Management (PLM) systems have been widely implemented to support organizational innovation as well. In this paper, we will discuss the role of PLM systems in fostering the organizational innovation success. Moreover, future trends based on the current PLM systems that would provide further support to the organizational innovativeness will be explained. Keywords: organizational innovation, PLM systems, fostering innovation. 1 Introduction Innovation is considered as the major engine of organizational success. Organizations need to adopt and develop new products and services, and to improve their processes in order to maintain their goals such as profit, growth and continuous development. In addition, they are constantly required to increase their effectiveness...
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...Innovation is a hot topic in modern society (Bessant and Tidd, 2007). Bessant and Tidd (2007) defines innovation as the process of translation new ideas into useful practice and use them, like new products, processes and services. Many studies about innovation management have been done and theories about innovation are various, like theories about different types of innovation, the process of innovation, and assessment tools of innovation capability and so on. There are many different types of innovation, but traditional research on innovation has been focused on product or process innovation (Peterson, 1972; Brown, 1995). Tidd and Bessant (2009) presents a model of the innovation process with four phases: generate new ideas, select the best one, implement and capture the benefit. Innovation has become more and more important and is discussed by researchers, policy-makers and companies on a daily basis. The governments mention the topic about innovation increasingly and frequently (Swedish Government, 2008). Different authors defines innovation differently and classifies innovation in various types. The Austrian economist Joseph Schumpeter (1934), a pioneer of innovation management, described innovation as “creative destruction”- a new association of production factors and production conditions. Schumpeter defined innovation from five aspects: The introduction of a new goods – which customers are not familiar yet, or a new quality of a goods. The introduction of a...
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..._ 1. Investing in process innovation helps firms lower their costs. True False 2. Flexible manufacturing technologies have increased the importance of production economies of scale. True False 3. Globalization of markets has reduced the importance of innovation. True False 4. Innovation and new technologies have led to longer product life cycles and lowered product obsolescence. True False 5. Technological innovation decreases the amount of output achievable from a given quantity of labor and capital. True False 6. GDP does not relate directly to the amount of goods consumers can purchase. True False 7. Externalities are costs that are borne by individuals other than those responsible for creating them. True False 8. Technological innovation results in complete eradication of negative externalities. True False 9. If a business discharges untreated chemical waste into local water bodies, it imposes a negative externality on the community members. True False 10. Firms that charge headlong into new product development usually have short development cycles. True False 11. Most innovative ideas do not become successful new products. True False 12. The majority of effort and money invested in technological innovation comes from non-industrial firms. True False 13. The innovation process is often conceived of as a funnel, because most potential new product ideas make it through...
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...That is, the learning will include both listening, watching and doing. It would probably be a good idea to arrange with your other group members to participate in the online lecture together; that will ensure that there is somebody else that you know completing the online exercises at the same time that you will be. Furthermore, what you will also find is that the lecture does use a lot of what is covered in the textbook; so it may be a good idea to have the textbook open as you go through this online lecture. I hope that you find these online lectures engaging and that there is a positive learning outcome by participating. Start of Online Lecture on Innovation and Change . Overview A good starting point for this online lecture should be to understand that we have a fair way to go in terms of really knowing what innovation is and how it provides...
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...fossil fuel are biofuels which have received much attention worldwide and they have already generated 45% of all energy from natural fuels in Brazil.(Sims & Taylor, 2008) The most widely used biofuel is the first generation biofuel which is make from plants like sugarcane, oilseed. By using these kinds plants, ethanol and oil can be produced.(Ahmad, Mat Yasin, Derek, & Lim, 2011) In this essay, innovations in biofuels will be divided into 3 sectors with examples illustrated. 2. The Innovation Dimension 3.1 Innovation Type Innovation can be divided into four types: production innovation, process innovation, position innovation and paradigm innovation. (Tidd, Bessant, & Pavitt, 2005)In the biofuel sector, product innovation and process innovation are widely used. Product innovations are changes in the products which an organization offers. Process innovations are changes in the ways in which they are created and delivered. 3.2.1 Product Innovation Product innovations take place when the market requires new features of the established product. (Tidd, Bessant, & Pavitt, 2005)For example, first generation biofuel has been used as vehicle energy source for decades and become mature. However, it was not able to apply in the aircraft engine. New regulations were made...
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...Importance of Innovation has been discussed for decades and continues to be the most talked about management issue these days. Today, knowledge in all its forms plays a crucial role in economic processes. Organizations with more knowledge systematically outperform those with less. Within the knowledge-based economy, innovation is seen to play a central role. It was believed that an enterprise can maintain competitive advantage through quality and price. However, the research at the Ernst Young Centre for Business Innovation (CBI) has revealed that innovation isone of the most valuable differentiator for sustainable competitive advantage. Firms innovate to defend their competitive position as well as to seek competitive advantage. Innovation is at the heart of economic change. In Schumpeter’s words, “radical” innovations shape big changes in the world, whereas “incremental” innovations fill in the process of change continuously. Innovation is the motor of the modern economy, turning ideas and knowledge into products and services. 1 Apple, Google, 3M, Toyota, Microsoft, GE, and P&G were the most innovative companies in the year 2006 as per the annual list of the world’s 25 innovative firms. Innovation has been mostly discussed related to technology, product and processes. It has been argued that product and process innovation are not the main bottleneck to progress. The bottleneck is management innovation. But what is management innovation? Why is it so important? And how...
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...Summary for “Targeting innovation and implications for capability development” Francis, D., & Bessant, J. (2005). Targeting innovation and implications for capability development. Technovation, 25, pp.171-183. In the introduction, the authors point out the important role of innovation in organizations and argue that innovative organizations generally possess innovation capability which can be managed. The authors then discuss in detail the four types of innovation capability (4Ps framework) and the challenges they may bring. Cases are cited to illustrate how those enterprises managed innovation capability and cope with challenges. The 4Ps framework works well in ‘steady state’ context, under which the aim of enterprise is ‘do better’. However, when discontinuity comes into play, the ‘do better’ innovation strategy is not sufficient as demonstrated by the fact that incumbent firms tend to be outperformed and thus displaced by new entrepreneurial players. Therefore, a ‘do different’ innovation strategy must be pursued by enterprises who want to explore ‘outside the box’. The authors develop an ‘innovation agenda’ covering the entire spread of 4Ps in two dimensions, ‘do better’ and ‘do different’. Managers are encouraged to specify their innovation agenda in the form of diamond diagram, including all possible innovation activities. The 4Ps model was tested through a preliminary study in an effort to assess whether this model provided a useful heuristic device capable of being...
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...Marketing and Innovation, the same fate. Sandor Luis Miranda. Student Number: 20145716003 ABSTRAC In this paper a literature review on the development of the innovation process in the course of the years and the importance of SMEs for the same is made. Turn reference to the relevance of the innovation process presented in the marketing strategy of companies to succeed in an increasingly dynamic, demanding and competitive market is. The article also different classifications of innovation are explained according to their degree of implementation, degree origin effect of innovation and its origin, as well as generations or models that have characterized the process of innovation over time. Key words: Innovation, Marketing, Management INTRODUCTION. In an era of globalization and high competitiveness of products, as it is in the changing world of marketing you need to be alert to the demands and expectations of the market, it is vitally important innovation factor. Competitiveness and the need to innovate to continue and grow in the current and future market are concepts used daily in many institutions. The marketing of innovation is a novel approach to technology management to solve the problem of linking research, technological development and the world of new business efficiently. Innovation and marketing are, in competitive markets today, two fundamental tools for business differentiation. Two tools capable of supporting a company as a market leader. The...
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...How to foster innovation in your business Presentation on the occasion of the Credit Suisse event 7th September 2013, Zurich Dr. Reto Müller Chairman of the Board of Directors Helbling Holding AG Helbling - a Leader in Technological Innovation and Business Consulting Helbling Group Key figures 2012 We are unique through our ability to integrate a spectrum of professional know-how, experience and skills. 458 employees Our ability to link technological expertise with business competence results in entrepreneurial success for our clients. Companies in Switzerland, Germany, USA and China Revenues CHF 110.9m International Network Offices (Corporate Finance International) Owned by 25 managing partners 2 Examples of innovations at Helbling Extract out of some thousand innovation projects in more than 50 countries Innovation leaders collaborating with Helbling: Nestlé, Roche, ABB, Airbus, Siemens, Medtronic, Schindler, Pfizer, Novartis, Sonova, Google, BSH, Geberit, Sika, V-Zug, Source: Helbling Qiagen, Tecan and many others 3 Strategic innovation management – selected Helbling references Companies Why Helbling? We measure ourselves - e.g. on the increase of the value of your innovation pipeline We are senior experts with over 15 years consulting experience and a focus on the topics "Increasing innovation success and increasing the power of innovation» We use self-developed tools and instruments ...
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...Innovation and internationalization through exports Author(s): Bruno Cassiman and Elena Golovko Source: Journal of International Business Studies, Vol. 42, No. 1 (January 2011), pp. 56-75 Published by: Palgrave Macmillan Journals Stable URL: http://www.jstor.org/stable/25790105 Accessed: 03-11-2015 10:14 UTC Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at http://www.jstor.org/page/ info/about/policies/terms.jsp JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. For more information about JSTOR, please contact support@jstor.org. Palgrave Macmillan Journals is collaborating with JSTOR to digitize, preserve and extend access to Journal of International Business Studies. http://www.jstor.org This content downloaded from 163.22.18.33 on Tue, 03 Nov 2015 10:14:08 UTC All use subject to JSTOR Terms and Conditions of International Business Studies (2011) 42, 56-75 Sj? Journal HT* ? 2011 Academyof International reserved Business All rights 0047-2506 www.jibs.net Innovation through and exports Bruno Cassiman1,2,3 Elena Golovko4 and UESE Business School, Barcelona, Spain; Economics, Strategy 2Department of Managerial and Innovation, K.U. Leuven, Leuven, Belgium; 3CEPR...
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...temasek polytechnic SCHOOL OF BUSINESS Diploma in Business AY 2014/2015 Apr Semester Product Development & Innovation PDI (BBS3005) STUDENT KIT Table of Contents OVERVIEW 3 SUBJECT AIMS AND SYNOPSIS 3 ACADEMIC CALENDAR 3 ASSESSMENT STRUCTURE 4 IMPORTANT DATES 4 DESCRIPTION OF ASSESSMENT COMPONENTS 5 PDI EXERCISE (ONLINE SUBMISSION VIA OLIVE) 6 Section 1: Individual Report 6 Section 2: Review Questions 7 GROUP PROJECT REPORT 8 PRESENTATION 9 SELF & PEER APPRAISAL (ONLINE) 11 TUTOR ASSESSMENT 11 SUBJECT CONTENT AND GENERAL LEARNING OUTCOMES 12 RESOURCE REFERENCES 14 REPORT FORMAT & REQUIREMENTS 15 Appendix I - Temasek Polytechnic’s Policy on Plagiarism 16 Appendix II - Declaration on Plagiarism Form (Individual Submission) 17 Appendix III - Declaration on Plagiarism Form (Group Submission) 18 Appendix IV - Academic Calendar 20 OVERVIEW This student kit introduces you to the subject, Product Development & Innovation (PDI) is a diploma elective subject. We are using the Inductive Approach for learning and you are required to PDI exercise, a group report and other assessment component deliverables that will demonstrate your understanding of the subject, learning process and problem solving skills. Besides the resource sessions and tutorial sessions scheduled, you may also contact your tutor in person or via phone or e-mail on matters pertaining to the subject. The subject will use OLIVE as the main platform of communication...
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