In 1 the 5 disciplines oct 2011

11/04/23

Innovation –Processes &ToolsA Two-Day Workshop

Session 1: The 5 Disciplines of Innovation

11/04/23

Program Overview

1. 9.30 – 9.40 Introduction 2. 9.40 - 11.00 NABC Group Exercise 3. 11.00 - 11.15 Tea Break 4. 11.15 - 12.30 Group Presentations5. 12.30 - 1.30 Lunch Break6. 1.30 - 3.00 Making Innovation Work7. 3.00 - 3.30 Case Study Air Deccan8. 3.30 - 4.30 Payback - Introduction 9. 4.30 - 4.45 Tea Break 10. 4.45 - 5.30 Design for Today – Toyota11. 5.30 Close of Day 1

11/04/23

LinkedIn Discussion Forum

• Tata Motors – Innovation Unlimited• Discussion Forum on: www.LinkedIn.com

• To share news, ideas and insights – open to all Tata Group people

• Started last year (Nov 2008) with the batch from our first Innovation Program at MTC, Jamshedpur

• You are welcome to join – invitation will be sent to you after this workshop

11/04/23

Framework for the Practice of Innovation

Day 2

Manpower10 FacesFrooti Case

MindspaceMental Models

4Ms: Methods, Money, Manpower, Mindspace

Day 1

Methods5 Disciplines7 Rules

MoneyPayback

11/04/23

The 5 Disciplines of Innovation

The Definition of Innovation

A relentless focus on the

creation and delivery of

new customer value to the marketplace

within a framework of business viability

11/04/23

"A promise is a promise. I hope the Nano will be seen as the car

that changes the manner in which people in rural and

semi-urban India will travel. It will be a profitable venture

for the company.” Ratan Tata


Relentless Focus

New customervalue

Marketplace Framework of business viability

11/04/23


The Five Disciplines for creating what customers want

• Important Needs

• Value Creation

• Innovation Champions

• Innovation Teams

• Organizational Alignment

Source: Innovation - The Five Disciplines for Creating what Customers Want.

11/04/23



11/04/23


Why NABC?

”In the modern world of

business it is useless to

be a creative original

thinker unless you can

also sell what you

create …

11/04/23


Why NABC?

… Management cannot be

expected to recognize

a good idea unless it is

presented to them by a

good salesman.”

David M. Ogilvy

11/04/23



Understanding Customer Needs

• Explicit - can and will state them

• Tacit - can but won’t state them

• Implicit - can’t state them

• Latent - don’t exist yet, but will

11/04/23


Peacock Division• Consumer Products• Rs. 100 crores • Employee’s idea for

Supersilk

Elephant Division• Industrial Products• Rs. 500 crores • R&D idea for Supercement


NABC Team Exercise

11/04/23


NABC Team Exercise

Supersilk - Code name Peacock

• 10 times stronger than silk

• One-tenth cost of silk

• Bio-degradable – harmless


11/04/23


NABC Team Exercise

Supercement - Code name Elephant

• 10 times stronger than cement

• One-tenth cost of cement

• Bio-degradable – harmless


11/04/23


NABC Team Exercise

• 2 teams to lead the 2 Innovation Projects

• One Champion of each team to lead in the

NABC exercise

• Target date of prototype launch: Jan 15, 2012

• Rs. 100 crore Innovation Fund

• Condition: Only one of these projects will be

approved!

• Champions to present their teams NABC Value

Proposition to managementSource: Innovation - The Five Disciplines for Creating what Customers Want.

11/04/23


NABC Team Exercise

Supersilk - Code name Peacock• Need – will address the @@@ industry

• Approach – will create a prototype and introduce to @@@ markets

• Benefits / Cost:

• Competition:


11/04/23


NABC Team Exercise

Supercement - Code name Elephant• Need – will address the @@@ industry

• Approach – will create a prototype and introduce to @@@ markets

• Benefits / Cost:

• Competition:


11/04/23


NABC Team Exercise

• Supersilk - Code name Peacock

• Need – will make silk a commodity

• Approach – will produce in small pilot project for the Femina Fashion Week

• Benefits / Cost: 2 times smoother, half the cost and needs no silkworms

• Competition: The original silk industry – they may lower prices


11/04/23


NABC is only the first step!Refining NABC gives a Business Plan

• Can the team complete the development of the product on time in order to get it into production at the targeted date?

• Will the product really meet the customer-derived spec?• Will our production process be able to get the hoped-for

yield?• Can we produce as many units as we think we can?• How much capital investment will be required - and how

might that fluctuate? • When will we sell the first unit?• How many units will customers buy? At what price?• When are we going to go cash positive?• In short, does this innovation look as if it can generate

cash payback? If so, when and how?


11/04/23



• Important Needs

• Value Creation





11/04/23



11/04/23


Organizational Alignment Continuous Value Creation (CVC)

• Toyota employees generate 1 million new ideas a year

• Toyota’s culture of CVC produces one car every 55 seconds, and it takes just 20 hours to produce a new car from scratch, non-stop, all year round

• Toyota is now set to become the world’s largest automobile maker, overtaking GM


11/04/23

Making Innovation Work

Key Learnings

Source: Making Innovation Work (Davila, Epstein, Shelton)

11/04/23



11/04/23



• Important Needs

• Value Creation





11/04/23


The Definition of Innovation

A relentless focus on the

creation and delivery of

new customer value to the marketplace

within a framework of business viability

11/04/23


The Technology of Innovation

The creation of new customer value and speed of innovation are critical for business success


11/04/23


References

Innovation: The Five Disciplines for Creating What Customers Want

by Curtis R. Carlson, William W. Wilmot


11/04/23

Framework for the Practice of Innovation

Day 2

Manpower10 FacesFrooti Case

MindspaceMental Models

4Ms: Methods, Money, Manpower, Mindspace

Day 1

Methods5 Disciplines7 Rules

MoneyPayback

11/04/23

Program Overview

1. 9.30 – 9.40 Introduction 2. 9.40 - 11.00 NABC Group Exercise 3. 11.00 - 11.15 Tea Break 4. 11.15 - 12.30 Group Presentations5. 12.30 - 1.30 Lunch Break6. 1.30 - 3.00 Making Innovation Work7. 3.00 - 3.30 Case Study Air Deccan8. 3.30 - 4.30 Payback - Introduction 9. 4.30 - 4.45 Tea Break 10. 4.45 - 5.30 Design for Today – Toyota11. 5.30 Close of Day 1

11/04/23

The Power of Impossible Thinking

Next set of slides at the end of session on


11/04/23


The Impossible Peacock


11/04/23


The Impossible Elephant


11/04/23

Innovation – Process & Tools

The Magic Number 22

• 5 Disciplines of Innovation

• 7 Rules of Innovation

• 10 Faces of Innovation

• 22 – The Magic Number!
