"A valuable problem to solve, a technology that enables a solution, and a business model that generates money from it. Every successful innovation occurs at the intersection of these three elements."
McKinsey" Eight essential steps for successful innovation programs.
Aspire - Choose - Discover - Evolve - Accelerate - Scale - Extend - Mobilize
What is Innovation?
Oxford Dictionary gives the meaning as bring in novelties; make changes.
For invent the meaning is given as to create by thought, originate new method, instrument etc.
In business literature, innovation is associated with novelty and business success or novelty aimed at business success.
Creativity, Innovation, Brainstorming - Pre and Post Activities
Creativity is a new connection between previously unrelated elements or entities that now require further integration.
Invention is connecting ideas to tangible products and services and improve them or create totally new ones.
Innovation is connecting newly created products and services or improve products and services with applications and users.
Companies can facilitate the appropriate creativity by posing problems and asking people to go through knowledge bases and come with possible new knowledge that may have some use in solving the problem. During brainstorming attempt is made to link the new knowledge with the problem at hand.
Post brainstorming activity has to be development of the ideas generated in the brainstorming session, at that only will lead to invention.
Identifying, Interacting and Involving Consumer Innovators
Consumer use products innovatively and marketers are observing consumer usage of their products to identify the innovative uses and if found interesting to extend the product's unplanned use over a larger market. Consumer innovation as a concept extends it to consumer adding some attributes to the manufacturer's product to give him additional benefits. Many consumers are doing it and then some of his friends may like and copy it.
Eric von Hippel, Susumu Ogawa and Jeroen P.J. de Jong authored a paper in Sloan Management Review with the title "The Age of the Consumer-Innovator" and gave the results of their surveys on consumer innovators.(http://sloanreview.mit.edu/the-magazine/2011-fall/53105/the-age-of-the-consumer-innovator/ )
Companies have to now consider consumer innovation as significant and put in place procedures to identify the innovators, interact with them and if found interesting to involve them developing the innovation further commercially.
Wanted Idea FusersBronwyn Fryer in HBR Blogs - February 2012
Creativity is connecting two unlike ideas and creating a beautiful third. The ability to associate unlike ideas is fundamental to innovation.
The author laments about of creativity. But ends on a positive note. There are some wonderful companies and persons engaging in fusion and creating beautiful thirds.
Growth Mindset Organization
Columbia Business School
Carol Dweck: "The Growth Mindset" | Talks at Google
Mckinsey's Services in Innovation for Growth - 2017
Innovation is critical to growth, particularly as the speed of business cycles continues to increase.
We define innovation as creativity plus delivery.
We help our clients transform their innovation performance by focusing on four requirements for innovating at scale: strategy, pipeline of ideas, execution, and organization.
A clear strategy
We support clients in developing a clear innovation strategy that meets their business-growth targets and strategic objectives. We do this by helping clients understand the gap between actual and aspirational performance that innovation needs to fill, then set financial targets related to innovation, the metrics required to measure performance, and the strategic areas on which to focus investments.
A strong pipeline of profitable innovation
Innovation depends in part on a company's ability to get better, more profitable ideas into its pipeline. We help clients identify the areas of their business that are ripe for innovation and mine those areas for ideas. We then support them in rapid prototyping and business-case development to build those ideas quickly into profitable businesses.
We also promote "open innovation," advising companies to look beyond their own boundaries to gain access to ideas (product concepts), knowledge (research and delopment ideas), and technology (patents) that add to the value of their own resources.
Smart, fast, and consistent execution
We have a variety of exclusive approaches for helping clients get higher returns from their investments in research through better execution. Using proprietary benchmarks along with in-depth diagnostic tools and capability-building methodologies, we support clients in improving and sustaining the productivity of their R&D functions.
We also help clients build the types of repeatable, error-free, scalable processes that are necessary for both incremental and breakthrough innovation.
A capable, mobilized organization
We help clients design an organizational structure to execute their specific R&D strategy, addressing issues such as talent management and development, culture change, global collaboration, performance management, external collaboration models, and the role of R&D leadership.
Recent examples of our work
We helped a North American pulp-and-paper company identify new businesses in which it could invest its large cash holdings.
We helped a global consumer-electronics company double its market share in China in only two years. By using detailed data on individual-store performance, as well as geographic forecasting data, we created 25 city clusters and prioritized the 7 that had the greatest potential for growth.
We supported a global consumer-electronics company in transitioning from being a fast follower into a leading innovator. We helped the CEO set a clear innovation strategy and design new processes, performance metrics, and portfolio governance. Using the Insights to Action approach, the client was able to create a new breakthrough portfolio pipeline; it now has more than ten new areas of innovation under development, each with the potential to generate $500 million or more in revenue.
http://www.mckinsey.com/business-functions/strategy-and-corporate-finance/how-we-help-clients/growth-and-innovation Accessed on 11 April 2017