Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 2

1 | P a g e o f 2

Evangielyn C. Arenas
Examples of incremental change to products include:
Microsofts Windows 7- Windows 7 was primarily intended
to be an incremental upgrade to the operating system,
intending to address criticisms faced by its predecessor,
Windows Vista (such as performance improvements), whilst
maintaining compatibility with hardware and software
designed for Vista. While retaining a similar appearance to
Vista, 7'sinterface was streamlined, with the addition of a
redesigned taskbar that allows applications to be "pinned" to
it, and new window management features. Other new
features were added to the operating system, including
libraries, the new file sharing system HomeGroup, and
support for multitouch input. A new "Action Center" interface
was also added to provide an overview of system security and
maintenance information, and tweaks were made to the User
Account Control system to make it less intrusive. 7 also
shipped with updated versions of several stock applications,
including Internet Explorer, Windows Media Player,
and Windows Media Center.
(http://en.wikipedia.org/wiki/Windows_7)
Apples second generation iPad,- the sum total of its
refinements and upgradesthinner, lighter, faster, more
connectedsignificantly enhance the device's overall appeal.
The closest historical parallel would be the iPhone G2.5 to 3G
transition (http://tech.fortune.cnn.com/2011/03/03/ipad-2-
the-analysts-weigh-in-update/)
niche food products (e.g., 10 kinds of tomato sauce)-
Examples of incremental change to services include:
online registration systems for post-secondary education
courses
the spa as a one-stop source of beauty care
same-day dry cleaning.
Examples of incremental improvements to processes include:
adding technology to replace people in a section of the
production cycle
reducing water usage in the production of food
de-layering management levels to bring decision-makers
closer to operations and customers
streamlining manufacturing processes to reduce the number
of steps.
Examples of a breakthrough product include:
the automobile
penicillin
Polaroid camera
laptop computer
Windows operating system
ATM machine
the iPad.
Examples of a breakthrough service include:
the dentist (as a certified professional)
the Internet
IBM one-stop tech service model
online shopping.
Examples of breakthrough improvements in processes are:
assembly line automobile production
Lean Manufacturing, a process for greatly reducing waste
Six Sigma, a process for radically reducing error rates.

http://www.conferenceboard.ca/cbi/innovation.aspx
It's 1991. Coffee prices have gone through the floor. A bunch
of investors see a gap in the market and launch a new sort of
coffee high quality and fair trade. Fast forward to 2012:
Cafedirect has 34% market share, has helped over 1.6 million
farmers, shifted the habits of millions of consumers and
forced every major coffee brand to respond. The investors
were development agencies like Oxfam; they got the return
they really wanted.
Cafedirect is an example of a breakthrough innovation a
product or service which simultaneously shifts a market and
has superior outcomes for the world at large.
Late last year Forum for the Future set up the Sustainable
Business Model Group, a cohort of leading companies that
focuses on practical ways they can create step-change. These
companies from usual suspects Kingfisher, M&S and
Unilever to rising stars like O2 all said they were struggling
to create their own breakthrough innovations. These leaders
know they need to go further.
Broadly, they'd agree with the CEO of Nike, who recently
said the company's long-term potential, and the long-term
potential of virtually every other major company in the world,
will be severely pressured by factors like rising energy costs,
the scarcity of many more natural resources and the demand
for equal access to economic opportunity. Nike's response is
to put its effort into breakthrough innovation, as a key way to
generate long-term value.
So, we worked with our partners, academics and others to
create a guide to how companies can drive breakthrough
innovation. The core insight is that big organisations need to
have at least some part of themselves that acts like an
entrepreneur.
So, how can you have breakthrough innovations for a brighter
future? Here are three recommendations:
Have a balanced portfolio of innovation
Some activity should be aimed at the incremental sustainable
innovations that will capture the low hanging fruit such as
energy efficiency. But at least some resources need to be
devoted to creating and protecting the more radical ideas
that will create new markets or shift existing ones in a more
sustainable direction.
Embed breakthrough innovation in your culture
This is far easier to say than to do. One way is to look at your
culture through four lenses: the purpose (your values, or how
you define the business you're in); people (skills and
experiences of your employees); networks (the internal and
external connections); and, procedures (the hard-wiring of
budgets and incentives). There is something you can do for
each.
The most important aspect is purpose, and answering the
question: what is sustainability? You must set direction, and
2 | P a g e o f 2

provide permission for breakthroughs, by articulating how
sustainability issues affect the future success of the company,
and vice versa.
One way is to set very ambitious targets. InterfaceFLOR's
Mission Zero to eliminate any negative impact on the
environment by 2020 requires them to push breakthrough
concepts.
Have formal structures that protect breakthrough ideas
Companies say that they have lots of ideas but struggle to put
them into practice. Day-to-day business drags attention, time
and resources away from breakthrough innovations, which
are more difficult and more risky than incremental changes.
Companies need formal structures that protect and foster
breakthrough innovations. We have found ten such
structures, here are a few examples of them in practice:
Bupa has used internal competitions to engage staff in all
global business units in sustainability challenges. People
across the world submit applications to receive match
funding to implement their idea. Successful applicants were
taken through a face-to-face ideas development process,
which might lead to full execution.
Procter and Gamble has established an innovation fund to
finance the development of disruptive innovations and of
new businesses. The fund specialises in high-risk, high-reward
ideas. It does initial concept, design, engineering, and
qualification work and then hands over successful ideas to
the appropriate business unit.
Sony used hothousing to explore how technology can
enable sustainable lifestyles in the future in a project
called Futurescapes. The project brought together a range of
internal and external experts to explore the potential
contribution that technology can make in shaping a better,
more sustainable future. The intense sessions well away
from the daily grind but with a clear relevance to Sony's
future success has created a pipeline of innovations.
Marks and Spencer have a conscious collaboration with
Oxfam that allows M&S customers to take their unwanted
clothes to M&S stores instead of throwing them away. The
partnership gives M&S greater trust from customers and
more assets to use.
Unilever has recently launched an open innovation online
platform to gather and assess ideas from outside the
company to bolster sales of new products and improve
environmental practices. It is asking for ideas from
universities, engineering and design companies, and
environmental groups around the world.
Breakthrough innovation is needed for two reasons: so
companies can be successful in a world shaped by
sustainability issues; and to create a brighter future for us all.
It is not the only thing needed for either of those two to
happen but it is vital to both.
The systems we all rely on such as food, energy and finance
are stuck and need many interventions to shift them to a
sustainable path. Ultimately, the business need for
breakthrough innovation overlaps with the societal need for a
brighter future. Activities that take global society in the
wrong direction will be more expensive, more regulated,
more criticised and difficult to maintain. Activities that
contribute to a sustainable future will become more
profitable. Markets will only endure where they deliver
superior sustainability outcomes.
Companies attempting breakthrough innovation are laying
the foundations for their own success, and for a brighter
future for us all.
http://www.theguardian.com/sustainable-
business/breakthrough-innovation-beyond-incremental-
improvements
This means that managers do things by the book and follow
company policy, while leaders follow their own intuition,
which may in turn be of more benefit to the company.
(Noriel)

Leadership is about asking the questions, what and why
and empowering people (followers) by giving them the
responsibility to do things right. Leaders therefore work with
people and their emotions. Managers ask, how and work
mainly with processes, models and systems things.
This is down to how we think about things if you think
about doing something right you tend to think about
mechanisms or how-tos of the task at hand: this is what a
manager does. Doing the right thing however is a much more
philosophical concept and makes us think about the future,
about vision and dreams: this is a trait of a leader.
http://www.skillsyouneed.com/lead/leader-vs-manager.html

You might also like