Part 1: Innovation

Innovation is the shape of our life. Everything has been affected by innovation, and
will be affected by innovation. This was indicated by Bill Gates when he said :
"Never before in history has innovation offered promise of so much to so many in so
short a time ". Invention which is coming up with a new concept or idea, and
innovation which is the application of the invention to the real world and are the
keywords for the success of an entrepreneur.

Both the invention, and innovation are must since they will shape our future. If you
need to get an idea that is original, and novel, and leads you to an invention you need
to understand well the previous part of creativity. Thinking creative is a tool where
you can apply it in any field or process.Furthermore, if you need to develop your
invention to an innovation you need to understand the different types of innovation,
and the process of innovation.

Innovation have two rules that you must apply:

Reward Risk

No Punishment for failures

If you punish the innovator for his failure this time, the innovator will fear to get our a
creative idea next time. Also, if you dont take the risk of your ideas, They will not
come to the real world.

How can we categorize the innovations? Is the application responsible for

determining the type? OR It is the effect of the innovation?

This is answered through defining the following[1]

Types of Innovation:
1) Incremental Innovations:

This type of innovation is placed upon one single concept that states: " little tiny
changes matter". you dont need to change the whole product, and get a newer one,
and you dont need to have a breakthrough idea. All what you need is adding a little
more idea to an existing product or idea in order a small better performance at that
time. This can appear in the following figure.
http://www.kaushik.net/avinash/2008/10/redefining-innovation-incremental-side-effect-
transformational.html

This graph that each time you have an added value for your product that is going to
create a final awesome product. For example, the hard disk. Didnt you think why the
hard disk every year is have a more space with a less price?

This is due to the Incremental innovation that is applied regular to the computer hard
disk. Another example is Kaizen popularized by the Japanese car manufactures which
by arranging the working tools for workers in the factory, you will minimize the time
needed to get a certain tool. This will reduce the wasted time, and increase the
workers efficiency.

2) Incremental Innovations with side effects :

" A little tiny changes makes the greatest difference". This is the main concept of the
Incremental Innovation with side effects. You can have a small change to an existing
product , yet the effect of your change is tremendously huge where it can put you on
the edge of the market. the following graph describes this type of innovation.
http://www.kaushik.net/avinash/2008/10/redefining-innovation-incremental-side-effect-
transformational.html

In this graph, the green box represents the regular incremental innovations, and the
red line represents the effect of these tiny innovations. A wonderful example for this
type is the ipod which had an extra small changes for the regular mp3, yet it was
considered as a breakthrough , and get apple back more stronger to the market.

3) Transformational Innovations:

It is totally a new technology or idea that replaces an old one which is in contrary to
the incremental innovation. The improvement here is discontinuous where you create
the leadership for the industry. However, not every new idea can be applied to be a
transformational innovation. The transformation innovation should have an economic
value, and can be a field where incremental innovations can be added. This appears
in the figure below:
http://www.kaushik.net/avinash/2008/10/redefining-innovation-incremental-side-effect-
transformational.html

Since incremental innovation is applied to all the transformational innovations, we

will not see a pure transformational innovations on its original form. For example, the
wheel which has been developed in a lot in the automotive industry. Also, the
transistor was considered to be a break through by applying it to the computer
industry since it is now the core of any processor.

These are the main types of innovation based on ideas, and effects. However, we can
categorize the innovation by asking the following question:

Where are you going to apply your idea?

The types of innovation are:

Organizational innovation:

It is a new ways where the work can be accomplished in order to have a more
efficient organization that compete in the market. Organizational innovation can be
present in different ways. One of these ways is to change the working environment for
the employees to increase their productivity. The innovation in changing the
employee's environment can lead to a wonderful effect.

What do you think the suitable environment for you to work in?

Furthermore, you can innovate in your elation with customers by providing them an
new simple services, yet you can feel their satisfaction. Also, you can change the
processes of the company.
Marketing innovation:

It is very clear. A new, and attractive way of marketing your idea or product. The best
example for this is " CocaCola" campaign in Ramdan 2010. CocaCola campaign was
to make people happy instead of just making advertisements with stars that will cost
them a lot. So, they went to restaurants, and when some order any of their product the
pay the bill for all people in the restaurants.

Supply Chain innovation

This a very important type of innovation for an entrepreneur where he can find a new
market for his products, or a new supplier which will give him a competitive
advantage. Also, investments in new unknown market is considered a type of Supply
Chain innovation. Here, we will not give a specific example but you need to answer
the following two questions:

What products in your market can be exported to make profit?

What products can you import to make profit?

Service innovation:

Service innovation is accomplishing a new service for people. For example, , in Egypt
, AUC," El - Sayes" is considered as an innovator. In the old campus of AUC in
Tahrir Square there was a lot of traffic jam, and you can't find a place to park your
car, so " El - Sayes" was taking money for finding empty places to park. yet, When
AUC moved to the new campus there were a plenty of empty places to park. Thus, "
El - Sayes" has to perform a new service for the students to pay for them. this service
was represented when the student is getting out of the university, he/she calls " El -
Sayes" to get the car in front of the door. This is considered a service innovation
since a new service was performed to the students. Furthermore, the online shopping
was considered a service innovation that helped most companies to increase their
revenues, and their market.

Product innovation:

This is the normal innovation that we are used to. The product innovation is applied
in our daily life a lot. For example, cars, computers, home appliances,....etc.
This are different fields where innovation is applied, and a great, and wonderful
effects are reached. So, you can search within each field in order to come up with idea
in order to have a good innovation.

The Innovation process:

1) The Challenge:

What do you want to achieve?

This is the most important question that needs to be answered. The goal or problem
must be stated in order to work on. Always, we have been looking for a solution for
our problem. yet, an innovator can have the solution and search for the problem that
will value his existing solution. This was done by Hennery Ford when he applied the
concept of Assembly Line to The automotive industry. Thus, you really must identify
what do you need. This procedure needs a lot of people since diverse opinions, and
background can clarify the thing you are searching for.

Don't expect that people will give you a direct solution, you must ask the people for
their problems. This is inferred from Henry ford statement: " If you asked customers
what they want, they'd ask for faster horses". Therefore, you should be able of
knowing the people's problem precise, and specific.

An example for the challenge in the innovation process is Tony Fadell vision of
creating a new mp3 player which is attractive non bulky mp3 that can download a lot
music legally was the challenge in the innovation process for the ipod.

2) Idea Generation:

This procedure is very important because it is the one responsible for the emergence
of a solution. Here, brain storming is a must, and no idea need to be criticized. People
need here to think creatively differently with no scientific limitations. This stage
posses a unique characteristic which is everything is possible. Not only, Diversity is a
Key word in this stage, but also, diversity of diversity is needed. You need different
people in different sectors, with different background. The idea generation mentioned
in the previous section must be applied here.

3) Identifying and Combination:

This procedure is responsible for categorizing the ideas upon similar ideas that are
combined together to form a better one. Also, this helps in identifying the different
tracks of solution to achieve the target.

4) Limitations:
what stops me from applying this idea?

which idea should I exclude?

which idea that best fit for approaching the challenge?

This stage is responsible to filter out the ideas. This takes place through putting the
criteria needed for the optimum track to reach the goal. All the ideas are checked by
this criteria which nominates the best way to reach the target. The criteria is placed
upon different things that are represented in the background of problem:

Lack of time....

Lack of money.....

Lack of human resources....

non green solution that will harm the environment......

Culturally unacceptable......

Lack of space......

May be a perfect solution but not for this customer.....

here, you have to screen well your ideas . This was also the recommendation of
Professor Aly Rafaat- Architect and Professor in the faculty of Engineering in the
Cairo University- when he recommended doing field studies, and statistics
experiments, study the previous similar ideas to be capable of choosing a good idea.
This process are called post operative process which aids you to select the optimum
solution for your challenge.

5) Testing and Developing:

This stage determines whether the goal can be reached by this track or not. also, it
determines the modifications needed in order to take this solution to the right process.
Works Cited (part 1):

[1] http://www.kaushik.net/avinash/2008/10/redefining-innovation-incremental-side-
effect-transformational.html

[2] http://ezinearticles.com/?What-is-Organizational-Innovation?&id=1573028