INTRODUCTION TO INNOVATION

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WE SHALL CONSIDER NEXT QUESTIONS:

• Definitions of innovation;
• Basic research to innovation;
• Creativity and innovation;
• Dynamics of technological
innovation;
• Industrial implications of
technological innovation.

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WHAT IS IT THE INNOVATION ?

• The New Oxford Dictionary of

English, 1998, p. 942

Innovation is:

• Making changes to something

established by introducing
something new.
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THE ESSENCE AND PURPOSE OF
INNOVATION
• O'Sullivan (Innovation) Part I
Understanding Innovation

Innovation is:

• Innovation is the process of

making changes to something
established by introducing
something new that adds
value to customers.
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 WHAT ELSE INCLUDES THE CONCEPT OF
INNOVATION?
• O'Sullivan (Innovation) Part I
Understanding Innovation

Innovation is:

• Innovation is the process of

making changes to something
established by introducing
something new that adds value to
customers and contributes to the
knowledge store of the
organization.
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GENERAL FORMULA

• O'Sullivan (Innovation) Part I

Understanding Innovation

• Innovation is the process of making

changes, large and small, radical
and incremental, to products,
processes, and services that results
in the introduction of something
new for the organization that adds
value to customers and contributes
to the knowledge store of the
organization.

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 WHAT MEANS THE TERM “APPLYING
INNOVATION”
• Applying innovation is the
application of practical tools
and techniques which make
changes, large and small, to
products, processes and
services, that results in the
introduction of something
new for the organization,
that adds value to customers
and contributes to store of
knowledge in organization.
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THE RESULTS OF FUNDAMENTAL STUDIES IS
THE BASEMENT OF ANY INNOVATION.
These results comes from the
natural sciences social sciences,
health sciences, etc. Nobody
actually can't fully grasp
technology or technological
possibilities without the basic
scientific knowledge which helps
understand in those fields.
A bright example of outstanding
innovation is the history of
invention, creation and mass
production of electric bulbs.
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THE WAY OF INNOVATION. ONE OF BRIGHT
EXAMPLE.
In 1820, Warner Rue has
made electric lamp by using
of platinum coil in glass tube
at passing electric current
through it.
 But this devise was not really
commercially feasible due to
costly platinum used.
History of electric light, which
adds to our daily convenience,
bears testimony of many
scientists efforts.
Outstanding people who took a
step forward in the field were:
James Lindsay, Frederick Moleyns,
Heinrich Göbel, Humphrey Davy
and Thomas Edison.
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 THE AGE OF KNOWN REVOLUTIONARY
INNOVATIONS
• From simple light bulbs to CFLs and
LEDs, bulbs have covered a long way.
• Hardly did we know that small thing
like bulb literally illuminates our lives.
 
Date of birth:
• Candles 2nd century BC;
• Electric bulb – XIX century;
• Fluorescent bulb – XX century;
• LED bulb XXI century.

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ANOTHER BRIGHT EXAMPLE OF OUTSTANDING INNOVATION IS THE STORY OF WHEEL.

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INNOVATIONS BORN AND GROW UNDER
EFFORTS OF CREATIVE PEOPLE
• Creative people make more use of
their mental raw material and
practical knowledge than other
people.

• Creativity is not a trait that we

inherit in our genes or blessing
bestowed by the angels, it’s a
skill.

( Jonah Lehler)
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 THE SOURCE OF CREATIVITY

• Creativity begins with imagination of a thing that is not

existing but should be. And then are taking steps to make it
a reality. It means identification of the problem and
envisioning of original way to solve it satisfactorily.
Creativity can be born of practical necessity or artistic
expression, but it is something original—not done before,
or not done in the same way.
• Without creativity there would be no innovation, no
progress, nothing new or different.
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THE ANATOMY OF CREATIVITY
• Creativity arises through the
confluence of three following
components: creative-thinking
skills, motivation and
expertise.

• Managers can influence these

constituents of creativity
through workplace practices
and conditions of teaching.

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CREATIVITY IS IMPOSSIBLE WITHOUT OF
CREATIVE THINKING SKILLS

Creative thinking skills

determines how flexibly and
Creative imaginatively people
thinking approach the problem.
skills Does their solution directed
upend the status quo or its
preservation through of dry
spell?

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CREATIVITY IS MOST EVIDENT AT
APPROPRIATE MOTIVATION
All of us do work for many
different reasons. Financial rewards
are frequently a key factor why
person undertakes of certain job.
However, the money is not
everything. Individual want to
Motivation enjoy by his work, be challenged by
it and achieve personal fulfilment.
For many people, their careers are
on-going learning experiences. This
is known as intrinsic motivation.

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THE EXPERTISE IS VERIFICATION OF CHOSEN
DIRECTION
It is all available data about
innovation. – technical,
procedural, and intellectual.
General suggestions
regarding expertise are
Expertise following: it is all relevant
knowledge outlook and
retrospective which an
individual brings to bear in a
creative effort to resolve the
problem.
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LOOK HERE AND REMEMBER

Only five percent of our creative

abilities we inheriting from
parents, everything else we earn
by our self efforts.
Creativity is not ability to create
out of nothing (only God can do
that), but the ability to generate
new ideas by combining,
changing, or reapplying of
existing knowledge and ideas.
(Harris, 1998).
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SOME CREATIVE IDEAS ARE ASTONISHING AND
BRILLIANT, WHILE OTHERS ARE JUST SIMPLE BUT
USEFUL ALSO

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TECHNOLOGICAL INNOVATION
Technological innovation is a
comprehensive process which
starts with the generation of an
idea and leads to the production
and commercialization.
Technological innovation is
invention along with exploitation
which covers all efforts of creation
of new ideas and getting them to
work includes also the process of
commercial development.
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THE STAGES OF TECHNOLOGICAL INNOVATION
IN THE MENTAL REPRESENTATION

I Dream to do it;
I Think I can do it;
I May do it;
I can do it;
I shall do it;
I will dot ;
I am doing it;
I have done it;
I Dream to do it.

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 THE CHART OF TECHNOLOGICAL
INNOVATION PROCESS

• 1 – First knowledge;
• 2 – Forming an attitude;
• 3 –A Decision to adopt or
reject;
• 4 –Implementation and use;
• 5 – confirmation of the
decision.

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 FIRST STAGE OF THE ADOPTION PROCESS IS
“KNOWLEDGE”
Performer is first exposed to
an innovation, but lacks
KNOWLEDGE information about it.

At this stage of the adoption

process anyone has not yet
been inspired in innovation in
details.

Required to find out more

data regarding the innovation.
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SECOND STAGE IS “PERSUATION”.

At this stage who is interested

PERSUATION in the innovation actively seeks
related information in details.
He does a patent search. He is
trying to know if there is
somebody else who has
already thought in the same
direction, etc.

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THIRD STAGE IS “DECISION”

Creator takes the concept of

the changes and weighs the
DECISION advantages or disadvantages
of using the innovation and
decides whether to adopt or
reject the innovation. Due to
the individualistic nature of
this stage, many specialists
notes that it is the most
difficult stage on which
required to acquire the
evidence.
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FORTH STAGE IS “IMPLEMENTATION”

Entrepreneur employs the

innovation to a varying
IMPLEMENTATION degree depending on the
situation. During this stage
the individual also
determines the usefulness
of the innovation and may
search for further
information about it.

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FIFTH STAGE IS “CONFIRMATION”
At this stage of the decision
adoption process anybody
finalizes his or her decision to
CONFIRMATION continue using the innovation.

This stage is both

intrapersonal and
interpersonal.

Confirmation by producers
and consumers leads to the
right decision.
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 THE MECHANISM OF INNOVATION
DIFFUSION
When innovation occurs, it may
be spread from the innovator to
other individuals and groups.
This process has been proposed
that the life cycle of innovation.
Diffusion of innovation research
was first started in 1903 by
French sociologist Gabriel
Trade, who first plotted the S-
shaped diffusion curve.

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 THE LIFE CYCLES OF SOME WELL KNOWN
INNOVATIONS

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 DRIVERS OF TECHNOLOGICAL
INNOVATION
EMERGING TECHN
O LOGIES

COMPETITOR ACTIONS

S.
NEW IDEAS FROM CUSTOMER

D EM P LO EERS
RTNERS AN
EGI C PA
S F ROM STRAT
IDEA
I RO N M ENT
N A L EN V
X T ER
H A NG ES IN E
TH E C
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EMERGING TECHNOLOGIES

This driver have the

potential for significant
innovation across the
organization and so can be
really the basis for
innovative products,
processes, and services
that can revolutionize the
fortunes of an organization.

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COMPETITOR ACTIONS

The innovative actions of

competitors and other
organizations is the second
driver of innovation.
Competitors can provide a
benchmark regarding
which projects and
initiatives are reasonable
to pursue.

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NEW IDEAS

In the past, innovations

were developed from the
insights of a small number
of designers and engineers.
Now, however, with greater
technological complexity
and market segmentation,
modern organizations are
engaging as many
stakeholders as possible in
the innovation process.

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EXTERNAL ENVIRONMENT

All organizations are affected by

changes in their external
environment; these changes can be
another driver of innovation.
Environmental changes can occur
because of competitor actions that
have revolutionized the business
environment or can happen
through macro shifts in the
political, economic, cultural, or
technological environment.
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 DYNAMICS OF TECHNOLOGICAL
INNOVATION
Each technological
innovation goes through
stages:

• Development
• Introduction
• Growth
• Maturity
• Decline
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STARTING POINT OF TECHNOLOGICAL
INNOVATION

At starting point of any

innovation the opportunities
are identified and concepts
developed prior to entering
the formal stage of product
development process. At
starting point the exciting
breakthroughs become
attained by creative team of
specialists.
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 EARLY ADOPTER OR LIGHTHOUSE
CUSTOMER

An early adopter or lighthouse
customer is the first customer of the
product. He is referred to as
a trendsetter. Typically this will be a
customer who in addition to using
the vendor's product or technology
provides also considerable and
candid feedback to help the vendor
refine its future product releases, as
well as the associated means of
distribution, service, and support.

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EARLY MAJORITY

Early majority  is the first

sizable segment of a
population to adopt an
innovative technology. The
early majority tends to be
roughly 34% of the
population, and will adopt a
new product after seeing it
used successfully by either
innovators and early
adopters.
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LATE MAJORITY AND LAGGARDS

The late majority accounts for
roughly 34% of the population,
and will adopt a new product
only after seeing that
the majority of the population
already has it.
Laggards is a category of buyers
of a product who are the last to
buy it or use it.
 Laggards consist of 16% of all
byers.
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INCREMENTAL INNOVATIONS

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INCREMENTAL INNOVATION
It is a series of small improvements
to an existing product or product line
that usually helps maintain or
improve its competitive position
over time.

Incremental innovation is regularly

used within the high technology
business by companies that need to
continue to improve their products
to include new features increasingly
desired by consumer.

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DISRUPTIVE INNOVATION

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 PROGRESSIVE COMPRESSION OF
INNOVATION WAVES

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 HUMAN POPULATION AND TECHNOLOGICAL
INNOVATIONS

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 INDUSTRIAL IMPLICATIONS OF TECHNOLOGICAL
INNOVATION
The aims of technological
innovations in industry are:
the introduction of new tools
and techniques for performing
of given tasks in production,
distribution, data processing,
automation of the production
processes and achievement of a
state of greater autonomy of
technical production systems
from human control.
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 GARTNER HYPE CYCLE OF
INNOVATION

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SIGNIFICANT INNOVATION REQUIRES GLOBAL
TEAMWORK
In today's world of specialization,
there is a premium paid for being
first in the marketplace.
To be first in the world with a
significant innovation requires global
teamwork.

Usually the team has a formal

structure, but good teamwork
among colleagues is just as effective.
In fact, good teamwork and
collaboration often equate to the
ability to communicate effectively.48
WHAT EVERYONE NEEDS TO KNOW TO
ACHIEVE SUCCESS

• if you ever decide to start

to innovate, you will need
preview all obstacles and
deep pits along the way.
That is, you will do
anything not to get into
the valley of death as
shown in this figure.

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 ONLY CREATIVE SPECIALISTS ATTAINS
SUCCESS

There are no hopeless situations.

Who wants to do something
useful, he will find a way to do it,
and who does not want, he seeks
the reason.

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