Innovation

Lecture Delivered By:

Kumar Arijit – (Assistant Professor)
Faculty of Management
Definition
 Innovation can be defined simply as a "new idea, device or method".
However, innovation is often also viewed as the application of better
solutions that meet new requirements, unarticulated needs, or existing
market needs. Such innovation takes place through the provision of
more-effective products, processes, services, technologies, or business
models that are made available to markets, governments and society. The
term "innovation" can be defined as something original and more
effective and, as a consequence, new, that "breaks into" the market or
society. Innovation is related to, but not the same as, invention, as
innovation is more apt to involve the practical implementation of an
invention (i.e. new/improved ability) to make a meaningful impact in
the market or society, and not all innovations require an invention.
Innovation often manifests itself via the engineering process, when the
problem being solved is of a technical or scientific nature.
Principles of Innovation
 Seek opportunity in adversity
 Do more with less
 Think and act flexibly
 Keep it simple
 Include the margin
 Follow your heart
Seek opportunity in adversity
 A harsh environment nurtures resilience
Go back to how things were before
“If I go one step further, what‟s the opportunity to be exploited”
 Reframing the half empty glass as half full (O P Bhatt)
 Making constraints work for them (Kanak Das)
 Quick to respond to opportunities they see (Enrique Junco –
Thermo-solar Panels)
Warning to Large Firms
 A worsening global economy
 New Regulations
 Tectonic shifts in demographics
 The social computing revolution
 The accelerating scarcity of natural resources
 Unforgiving competition from emerging markets.
Why big corporate fail
 Failing to notice, or ignoring adversity
 Tackling adversity head-on
 Addressing new problems with old solutions
 Thinking small when facing big problems
How to capitalize adversity
 Recognize that the glass is always half full
 Extreme conditions lead to extreme innovation
 Empower Employees
 Growth Mindset
 Power of networking
#Do More With Less
 Remain Asset Light
 Leverage existing networks for distribution
Why Frugal???
 Increasing number of frugal customers
 Dwindling natural resources
 Government regulations
 Competition from low cost rivals
 Rivalry from agile start ups
How to be frugal!!!
 Challenge R&D
 Design affordable solutions from the Ground up
 Engage the eco aware consumers in sustainability dialogue
# Think and Act Flexible
 “One cannot alter a condition with the same mindset that
created it in the first place”- Albert Einstein
 Adapt to survive
 Think the unthinkable
 Don‟t plan – improvise
#Keep it Simple
 Practical benefits of simplicity are:
Cheaper to make
Easier to install and maintain
Can satisfy a wider audience
 Example : Dr. Jagannath‟s Baby Incubators
The Art of Simplicity
 Focus on „Needs‟ rather than „Desire‟ – NOKIA
 Avoid Defeaturing – Aakash
 Service Innovation – SELCO
 Simple not Simplistic - Ushahidi
Why Simple???
 Customers are clamoring for simplicity
 Customers are rebuffing advanced technology
 Downshifting the lifestyle
 Over engineered products cost a lot of R&D money & time
 Nimble rivals are stealing market share
# Include the Margin
 Features of an emerging market
Scarcity
Diversity
Interconnectivity
Co-create value with the margin
 Approaching marginal groups as whole new markets
 Help everyone climb up Maslow‟s hierarchy of needs
 Co-create value with customers and partners throughout the
value chain
 Scale up personalized solutions with technology
# Follow your Heart
 Kishore Biyani – Big Bazar
 Venkat Rangan – INXS Technologies
 Anil Jain – Jain Irrigation Systems Ltd