Improving the front end of innovation

New need

New tech

Idea genera

tion

Needs of society and market place

State of the art in technology and production

Market place Development Prototype

production Manufacturing Marketing and sales

Increasing importance of innovation

Period: 1960 1970 1980 1990 2000

Customer

demands

Measurement of

performance

Effectiveness Quality Flexibility Innovation

Capacity Quality Flexibility Speed

Price

Quality

Variety

Delivery time

Uniqueness

Innovation

capability

Response

2010

Generation and

use of ideas

Innovativeness

Innovativeness relates to how early an individual or organisations are in finding and adopting something new. Innovativeness has strong impact on the innovation performance, particularly in the front end of the innovation process. Therefore, the sooner the company, compared to their competitors, is in generating and using ideas, the stronger their competitiveness.

Emphasis in

mangament

A strategic priorty

ROI (return on investment)

There is an increased understanding among managers that investments in innovation processes provide good return

Innovation performance

The development of new products and services is related to capabilities in two stages* of the innovation process:

• Initiation - Idea management:

– The capability to generate and evaluate new ideas

• Implementation - Capacity to innovate:

– The ability of the organization to implement new ideas in innovation and process improvement

*) Applies also to the improvement of processes

New product development process

New need

New tech

Idea genera

tion

Needs of society and market place

State of the art in technology and production

Market place Development Prototype

production Manufacturing Marketing and sales

Source: Rothwell (1992)

The so called fuzzy front end of innovation

Continuous improvement

Improves efficiency in the front end of innovation

Most used scenarios why our clients* use Idea Management

• New products/services

• Cost reduction & efficiency improvement

• Improve customer experience & service

• Increase customer loyalty or customer acquisition

• An employee suggestion scheme (HR driven)

• Change management

• Support Incremental Improvement or even Radical change

*) Our clients and of our technical alliance, Qmarkets

Increases the speed of the idea management process

• Generation of ideas: – Utilize the wisdom of the crowd fast and efficiently

– Launching idea campaigns with a predefined objective … aligned with strategy

– Facilitates the sharing of ideas

• Co-operation:

– Supports the development of ideas • Facilitates registration of supportive information

• Feedback and comments

• Motivation for participation

• The utilization of new information and ideas: – Idea management has an impact on:

• How open the firm is towards new ideas (facilitates innovation culture)

• How effective the company is in sharing information and commenting on ideas

• The speed and effectiveness of evaluation and selection of ideas

collaborative innovation

External information

Access

Innovativeness

Production mgrs.

Service mgrs.

Sales mgrs. Suppliers

Customers Competitors

Alliances

NPD mgrs. General

Mgrs.

Facilitates the transfer of internal or external information through managers

Supports different approaches Offers the possibility to engage external participants in the idea generation process

highly systematic and controlled way

Implementation of idea management systems

Idea management is coming

Still moving upwards

An opportunity • Innovation is one of the most important contributor to the

sustainable competitive advantage of firms in the coming years

• Idea management is a managerial process in its early phases of development and many companies are still using ineffective processes in the so called „fuzzy front end of innovation“

• Only a small portion of companies are using information technology to the extent possible in the idea development process

– ... mainly as there has been a lack of flexible and scalable solutions that fit their needs

This creates and opportunity for companies to take the lead by enhancing their innovation capabilty and further strengthening their competitive advantage

We can support you !

• One of our main specialization is to support companies in enhancing the idea management phase in their innovation process

• Our objective is to offer companies feature-rich software for streamlining their business processes without compromising on ease of use … and at prices that fit the size of their business … and support its implementation

• We achieve this through collaboration with a network of highly specialized suppliers focused on developing solutions that deliver true benefits and measurable value to our clients

Our idea management solution Our philosophy is based on the assumption that it is not wise to re-invent the wheel, but rather utilize already existing knowledge and expertise

We also acknowledge the speed of development, particularly in software application

We also believe that specialization is increasingly important

• We are proud to offer idea management solution powered by Qmarkets, a leading provider with global reach and presence

• 6 years in the market

• Robust and extremely flexible technology infrastructure

• Extensive support

... ensures that our customers always have a solution based on the latest technology and knowledge

In use all over the world

True benefits and ROI

• Makes the firm more open towards new ideas (facilitates

innovation culture)

• Increases participation in idea generation

• Makes the company more effective in sharing information – … and commenting on ideas

• Increases the speed and effectiveness of evaluation and selection of ideas

• Increases the quality of implemented ideas

• ROI:

– Among the highest return on investment today!

Thank you

For further information or to have your private presentation ... ... on-line or at a physical location

Contact us at:

avinningur@avinningur.is Tel.: +354-544 5400

www.avinningur.is