Innovation Process

By Dr. Vijay Kr Khurana

What is Invention?
According to Oxford English Dictionary Invention means to create or devise something new. Invention is also regarded as devising of new ways of attaining given ends. Any Invention must satisfy following conditions : It results into something new, It involves some inventive (new) step & It is useful.

What is Invention?
Under section 2(1)(j) of the Patents Act, 1970, an invention means any new & useful : Art, process, method or manner of manufacture Machine, apparatus or other article Substance produced by manufacture. It also includes any new & useful improvement of any of three things mentioned above.

What are not Inventions

Following are not regarded as inventions under the Patents Act, 1970: Mere discovery of an already existing principle. Discovery of a scientific principle An invention which is frivolous or which claims anything contrary to well established natural laws. Mere discovery of new property or new use of known substance, process, machine or apparatus; unless it results in a new product or employs at least one new reactant A substance obtained merely by mixing

What are not Inventions

Contd . A mere arrangement or re-arrangement or duplication of known devices A method of agriculture or horticulture Any process for treatment of human beings, plants & animals to render them free of diseases or to increase their economic value or that of their products An invention, use of which would be contrary to law, morality or injurious to public health.

Types of Inventions Spontaneous / Autonomous Inventions Induced Inventions

According to Oxford English Dictionary Innovation means introduction of something new. Thus Innovation can be defined as the introduction of a new product, service or process into the market place. The National Innovation Initiative (NII) of USA defines - innovation as the intersection of invention and insight, leading to the creation of social and economic value.

What is Innovation?

What is Innovation?
Contd Innovation is celebration of creativity, pronounced Dr A.P.J. Abdul Kalam, the President of India at Third Award Function of NIF (National Innovation Foundation). Many definitions of Innovation To sum up Innovation = Invention + Commercial Exploitation

Diff between Invention & Innovation

S No 1 2 3 4 Invention It is the creation of a new product, service or process May not be commercialized Invention can be both autonomous & induced Invention may be for non-economic or economic motive Innovation It is introduction of new product service or process into marketplace Results into commercialization Innovation is usually induced Innovation is usually for economic motive

Diff between Invention & Innovation

S No Invention 5 Activities usually restricted to R&D center 6 May bring few changes in organization 7 Precedes innovation 8 Invention = Innovation commercial exploitation Innovation Activities & applications spread across the organization Brings organizational change

Succeeds / follows invention Innovation = Invention + commercial exploitation

Components of Innovation
Three Components A hardware component consisting of material or physical aspects of innovation A software component consisting of information base that is needed to use the innovation An evaluation information component that is useful for decisions related to the adoption of the innovation. These components form a system to make it user friendly

Basics of Innovation
Goals & reasons of Innovation Sources / ideas for innovation Advantages of Innovation Risks associated with innovation Characteristics of innovation ???? Innovation is broader than R&D Innovation brings changes in the organization Innovation is different from KAIZEN

Types of Innovation
Following categories Product, Service & Process innovations Open & closed innovations Incremental & Radical Innovations incremental innovations sustaining innovations, evolutionary innovations radical innovations altering innovations, disruptive innovations extreme case > business model innovations Disruptive vs sustaining innovations Modular & architectural innovations Generic & epochal innovations Technovation / Technological innovation

Types of Innovation

Types of Innovation

Innovation Process
It is the process which facilities innovation. The process of innovation involves search & selection, exploration & synthesis, cycles of divergent thinking & convergence. Innovation process needs support at three levels. At the macro level i.e. National Level, Innovation in a nation directly depends upon national governments policies and support.

Innovation Process

Contd At the next level i.e. Enterprise Level, Innovation in enterprises depends upon top managements support and commitment. It is the top management which sets the direction and environment for the innovation in an organization. Lastly at the bottom level ie. Individual Level, Organizations should create mutifunctional teams and encourage individuals involved in the innovation process. Innovation largely depends upon actions and motivation of multifunctional teams and individuals involved in the innovation process. Innovation is largely responsibility of enterprise

Innovation Process

Innovation Process vs Process innovation S Innovation Process No 1 It is the process which facilities innovation. Process innovation It means development of new process / changes in process design which are used in providing product / service It is one of goals of innovation process e.g. JIT, CAD, CAM, FMS, e-mails, e-CRM

It may lead to innovations in the areas of product, service or process e.g. Activities of multi functional team for new product development

Innovation Process Models

1. Linear Model 1.a. Technology Push Model 1.b. Market Pull Model 2. Flexible Innovation Process Model

Linear Innovation Process Models 1. Linear Model Under this model, product or service concept is frozen at early stage so as to minimize risk. In this model, innovation process in enterprises involves series of sequential phases / steps arranged in such manner that the preceding phase must be cleared before moving to next / succeeding phase. Thus project must through pass a gate with the permission of a gatekeeper before moving to next / succeeding phase.

Linear Innovation Process Models

1. Linear Model Contd . Criteria for passing through each gate and the person at each gate (gate keeper) are defined beforehand. The gatekeeper examines whethere stated objectives for the preceding phase have been properly met or not & whether desired development has taken place at the preceding phase or not?

Linear Innovation Process Models

Linear model figure:

Linear Innovation Process Models

Linear model works well only when Time required to innovate is shorter than rate of change in environment Quality, reliability & safety requirements are critical Safe and suitable for a first time beginner This model is generally followed for incremental Innovation. It is linear in the sense that here innovation process is tightly controlled and directed from the beginning itself towards set targets / goals and inputs are controlled to attain desired targets / goals.

Linear Innovation Process Models

Weakness / Limitations of the linear model are Low gatekeeper knowledge may lead to poor judgements, delayed evaluation or rejection of good projects Slow & serial process as it is step by step approach, thus time consuming Concept frozen too early, however customer needs / market requirements may undergo change subsequently at later stage Focused on control through gates, not on customer Long review preparation time Narrow criteria for evaluation which may be rigid More focus on attaining target / maturity, less focus on learning

Linear Innovation Process Models

Common types of linear model are 1.a. Technology push model 1.b. Market pull model

Linear Innovation Process Models

1.a. Technology Push model It is the first generation linear model . Under this model, technology is regarded as key driver of innovation. Whenever a new / improved technology emerges, it leads to innovations of new products, services or processes. Technology Push innovation involves series of sequential steps i.e. Fundamental research (Basic science), Application Research, Design, Engineering, Manufacturing, Marketing & Sales.

Linear Innovation Process Models

Contd. Technology Push model User / Consumer is treated as passive recipient of output i.e. it is presumed that if a new / improved product or service, based on new technology, is developed without getting feedback / consulting consumer / user and it is offered to consumer / user, he will accept the new product or service. Thus the model ignores the consumer needs and market requirements.

Linear Innovation Process Models

1.b. Market Pull linear model This is the second generation linear model. It includes and integrates user needs in the innovation process. Here consumer needs / market requirements are regarded as the key driver of innovation process. Market Pull innovation involves series of sequential steps i.e: Assessing consumer needs / market requirements, Concept /idea generation, Refining idea to atleast meet consumer needs, Design, Engineering, Manufacturing, Test marketing & Sales. Some examples are : Market Pull Innovations In Phones,UPS, Invertors

Flexible Innovation Process Models

2. Flexible Innovation Process Model Initially, Innovation was deemed to be linear / directed / palnned activity. Now innovation is regarded also as non-linear and ideas / improvements can emerge from any source and at any stage of innovation process. The combination of linear & non linearity approaches have led to emergence of Third Generation models which reflect complexity of real innovation process. These models include Technology Push + Market Pull combination, R&D + Marketing, Cyclical Model etc.

Flexible Innovation Process Models

Contd Flexible Innovation Process Model The models attempt to explain the radical innovation process in rapidly changing business environment.

In these models, phases are over lapped i.e. development in more than one phase can continue at the same point of time. No design is locked down earlier than absolute necessary so as not to miss a newly emerging technology or new opportunity.

Flexible Innovation Process Models

Flexible Innovation Process Model

Flexible Innovation Process Models

Contd Flexible Innovation Process Model According to Cycling Model, innovation is cyclical in the sense that it is driven by the product improvement cycle. This cycle often begins with customer needs.; which keep on changing. Also an enterprises may be working for new product development simultaneously. Thus there are cycles of innovation.

Flexible Innovation Process Models

Contd Flexible Innovation Process Model The process of technological innovation involves complex relationships amongst set of key variables like Inventions, Innovations, Diffusion Paths and Investment Activity. The complex relations between these variables form a non-linear system with its underlying ramifications which can lead to unexpected & possible chaotic results. Thus proper interaction & integration between R&D, Manufacturing, Marketing & Other Corporate Functions helps in proper management of Innovation process.

Flexible Innovation Process Models

Contd Flexible Innovation Process Model

Flexible Innovation Process Models

a. Advantages Continuous interaction with market User needs oriented More chances of acceptance of product etc Less risk of failure & resultant after-effects b. Disadvantages Chaotic in nature May become directionless

Innovation Process
By Dr. Vijay Kr Khurana