Innovation Diminishing Returns. I was leading an innovation workshop last week. In that workshop we were using a number of different tools and techniques to generate ideas. Somehow the subject of the airline industry came up, and the debate centered around whether or not there’s any innovation “left” in the US airline industry. As someone who flies frequently, I’m not sure whether to hope for more innovation, which I always believe is possible, or to dread it. But this raises an interesting question – does any industry face a range of factors, constraints, regulation and competition such that innovation reaches a point where innovation is nearly impossible – or, where innovation reaching some point of diminishing marginal returns?
Can any industry be so commoditized, so constrained by competition, so easily copied that innovation simply isn’t worth the effort? Why is innovation so rare in the airline industry? Compare and contrast the airline industry – clearly a services industry, with other services industries. A Declaration of Innovation. The Continuing Payoff from Open Innovation. Title: Learning from Open Innovation (PDF) Authors: James H. Love (University of Birmingham), Stephen Roper (University of Warwick), and Priit Vahter (University of Birmingham) Publisher: Warwick Business School Working Paper No. 112 Date Published: July 2011 At the heart of the innovation process is the search for new ideas and market opportunities with commercial value. With so much on the line, companies are increasingly turning to an open innovation model built on external partnerships. Despite the model’s challenges and drawbacks, companies are betting that they will get more from such partnerships than they would from going it alone and keeping all their research and development efforts in-house.
Their bet is a sound one, this paper finds. Previous research has noted the difficulties surrounding open innovation. The most common partners were customers and suppliers, followed by consultants and universities. What is Blue Ocean Strategy? - Management. Lessons in Leadership A leadership guide featuring step-by-step how-tos, Wall Street Journal stories and video interviews with CEOs. Adapted from “The Wall Street Journal Guide to Management” by Alan Murray, published by Harper Business. The rapid pace of innovation and change in recent years has led scholars and executives to search for an approach to strategy that is more dynamic than Harvard Professor Michael Porter’s classic “five forces.” One of the most successful efforts to do so is the book “Blue Ocean Strategy,” by W.
Chan Kim and Renee Mauborgne. While avoiding use of Mr. Among the examples they cite is Cirque du Soleil, the Canadian company that redefined the dynamics of a declining circus industry in the 1980s. Cirque du Soleil eliminated the animals and reduced the importance of individual stars. Instead of “five forces”, Mr. . – Which of the factors that the industry takes for granted should be eliminated? – Which factors should be reduced well below the industry’s standard? Constructing your Innovation Portfolio. With the rather negative exceptions of Enron, Bernie Madoff, and WorldCom, finance is not the first place we think of when we hear the word "innovation. " Still, asset allocation—a staple of financial planning—can be applied to your "innovation portfolio" with terrific results.
We'll explain. When it comes to how you divvy up your personal investments, you have always been told that they should be spread among asset classes (stocks, bonds, and cash) and then diversified further within the classes themselves. For example, you might hold stocks in both foreign companies and domestic ones, enterprises with large and small market capitalization, retailers, and high-tech companies. The idea is to capture all the potential gains out there—the more bets you place, the greater the chances you have of being right—while minimizing risk. For example, if you're investing in the small-cap growth stocks sector and it tanks, your bond holdings might mitigate the loss. Why? The Four classes of innovation. Board of Innovation Group News. An Overview of Social Media Tools and Services for Open Innovation Efforts. On the intersection of open innovation and social media, I find these tools and services to be the most relevant.
Communities: Open innovation has many channels for business opportunities – virtually as well as physically. There is a growing need for companies to have a strong destination site, and I believe we will see a shift in which this has to look more like a community rather than pure needs/assets sites such as P&G’s Connect+Develop. Communities will have a mix of content, business functions such as needs /assets listings and social networking features. Ingenuity Working is an example. Twitter: First, a heads-up. LinkedIn: Knowledge is the key element to innovation, and LinkedIn is a great tool for identifying people with knowledge. Google+: Critical mass is a key factor here.
YouTube: It offers an interesting opportunity to show – rather than just describe – how innovation can make a difference. SlideShare: Here you can upload your presentations and view those of others. Revue Journal of Innovation Economics 2011/1, Rethinking boundaries for innovation. L'Echo: Quoi de neuf à la Silicon Valley? Harvesting External Innovation. Harvesting External Innovation By Donal O'Connell A fundamental change in the way organisations approach innovation is taking place. It involves cooperating and collaborating with external parties in the area of innovation and in the research and development of products and services and is driven by the simple realisation that not all the smart people work for just one organisation - it is necessary to work with smart people outside the company.
Few intellectual property books concentrate on external innovation and more particularly on dealing with external inventors and handling their inventions. "Harvesting External Innovation" is different. Intellectual property, especially patents, plays a fundamental role promoting and protecting innovation, regardless of whether that innovation comes from internal employees or persons external to the company. A number of different approaches to engaging with the external innovator community are then considered, together with real life case studies.