Sources of innovation

1. Sources of innovation Name：Liao-chen-yen

2. Outline Where do innovation come from? Knowledge push… Needing pull… Towards mass customization User as innovators Extreme users Watching other Recombinant innovation Future and forecasting Accidents A framework for looking at innovation sources

3. Balancing exploitation and exploration Absorptive capacity Tools and mechanisms to enable search Managing internal knowledge connections Extending external connections Sending out scouts Exploring multiple futures Using the web Working with active users Deep diving Corporate venturing

4. Where do innovation come from?

5. Knowledge push…

6. Needing pull… • Need-pull innovation is particularly important at mature stages in industry or product life cycles when there is more than one offering to choose • Competing depends on differentiating on the basis of needs and attributes and Segmenting the offering to suit different adopter types

7. Towards mass customization

8. User as innovators Importantly active and interested user-"lead users"-are often well ahead of the market in terms of innovation needs. Extreme users An important variant that picks up on both the lead user and the fringe need concepts lies in the idea of extreme environment as a source of innovation.

9. Watching other benchmarking innovation is essentially a competitive search for new or different solutions-whether in the sense of commercial enterprises competing with each other for market share or in the wider sense of public service , where the competition is for doing more with limited resources , or between law and order and crime , or education and illiteracy.

10. Recombinant innovation This is an important principle in sourcing innovation where transferring or combining old ideas in new contexts-a process called “ recombinant innovation" by Andrew Hargadon -can be a powerful resource.

11. Future and forecasting Another source of stimuli for innovation comes through imagining and exploring alternative trajectories to the dominant version in everyday use.

12. Accidents accidents and unexpected events happen-and in the course of a carefully planned R&D project they could be seen as annoying disruptions . But on occasions accidents can also trigger innovation, opening up surprisingly new line of attack.

13. A framework for looking at innovation sources It's clear that opportunities for innovation are not in short supply-and they arise from many different directions. The key challenge for innovation management is how to make sense of the potential input and to do so with often limited resources.

14. Balancing exploitation and exploration A core theme in discussion of innovation relates to the tensions in search behaviour between "exploitation“ and "exploration activities". On the one hand firms need to deploy knowledge resources and other assets to secure returns and a "safe“ way of doing so is to harvest a steady flow of benefits derived from "doing what we do better".

15. Absorptive capacity One more broad strategic point concern the question of where , when and how organizations make use of external knowledge to grow. it's easy to make the assumption that because there is a rich environment full of potential sources of innovation that every organization will find and make use of these.

16. Tools and mechanisms to enable search

17. Managing internal knowledge connections • Through this class we learned that managing innovation is a dynamic capability: • Something which needs to be updated and extended on a continuing basis to deal with the moving frontier problem

18. Managing internal knowledge connections • One good source of internal innovation lies in entrepreneurial ideas from employees

19. Extending external connections • The principle of spreading the net widely is well established in innovation studies as a success factor • One survey run by IBM illustrated that the benefit from collaboration with partners: • Reduce costs • Higher quality and customer satisfaction • Increase revenue

20. Sending out scouts • This is a widely used strategy which involves sending out people to search actively for new ideas to trigger the innovation process • They could be searching for: • Technological triggers • Emerging markets or trends • Competitor behavior

21. Exploring multiple futures Futures studies of various kinds can provide a powerful source of ideas about possible innovation triggers Another related approach is to build concept models and prototypes to explore reactions and provide a focus for various different kinds of input

22. Using the web This is a widely used approach but powerful tool Developments in communications technology also make it possible to provide links across outer and internet to speed up the process of bringing signals into where they are needed

23. Working with active users Active users are the edge of the mainstream, they are not early adopters but active innovators They feel strongly about the product or service in question, they really want to help and improve things

24. Deep diving This method focus on in the day to day life of the object of study rather than through questioning only

25. Corporate venturing The purpose of corporate venturing is to provide some ring-fenced funds to invest in new directions for the business

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