0-1

Introduction

Applying InnovationBy David O’Sullivan and Lawrence Dooley

© Sage Publications 2008

0-2

Applying Innovation Innovation is an important force in creating and

sustaining organizational growth. Effective innovation can mean the difference between

leading with a particular product, process, or service and simply following the pack, with the resulting risk of stagnation and decline.

Innovation transforms mediocre companies into world leaders and ordinary organizations into stimulating environments for employees.

Innovation is the process of making changes to something established by introducing something new; these changes can be either radical or incremental.

0-3

Applying Innovation All organizations need to innovate, whether they are

profit or nonprofit. Innovation is as relevant to services in a public

hospital as it is for products and processes in a manufacturing company.

Innovation takes place throughout an organization, from management boards and individual departments to project teams and individuals.

In today’s global economy innovation is often a collaborative activity that takes place across extended organizations and includes suppliers, distributors, and other strategic alliances.

0-4

Aims Understanding key concepts in the theory and process

of innovation Understanding how to manage and apply innovation Using explicit skills for defining goals, generating

ideas, empowering teams, and monitoring the results of innovation

Developing a simple knowledge management system for managing innovation

Working effectively as an individual and as a member of a team

Presenting, communicating, and promoting innovation plans

Applying what you have learned to managing innovation in any organization

0-5

Symbiosis Applying Innovation is about describing how

to systematically deliver innovations that add value to customers.

The approach adopted is a symbiosis of management techniques that include: innovation management strategic planning performance measurement creativity project portfolio management performance appraisal knowledge management

0-6

Operate vs. Innovate

How Organizations OPERATE ?

How

Organizations

INNOVATE ?

versus

0-7

Name some innovations! Products Processes Services

Radical Incremental

Long Life Short Life

0-8

Macintosh

0-9

PostIt

0-10

Ryanair

0-11

Pencil

0-12

Space Shuttle

0-13

iPhone

0-14

Wave bob

0-15

Toyota Prius

Charity Gift Cards

A&E Processes

African Water Pump

Sensors

0-20

Disruptive Innovation

Name any innovations that dramatically disrupted or overturned an existing technology, product or service?

0-21

Background Innovation creates growth

Growth of turnover and profits Growth of quality and productivity Growth of knowledge Growth of people

Innovation also destroys Organisations that don’t innovate become

obsolete Ideas that don’t satisfy customers are

abandoned

0-22

Industry Trends

“ A new corporate model is taking shape focusing on creativity and innovation”

“ It isn’t just about math and science. It’s about creativity, imagination i.e. innovation.”

0-23

Structure

Part I: Understanding InnovationPart II: Defining Innovation GoalsPart III: Managing Innovation ActionsPart IV: Empowering Innovation TeamsPart V: Sharing Innovation Results

0-24

Part I: Understanding Innovation Develop an understanding for organizational

innovation Explain the difference between product, process, and

service innovation Understand radical and incremental innovation Understand the reasons why organizations invest in

innovation Explain the main causes of failure in innovation Understand a process for managing innovation Describe the importance of the innovation funnel

metaphor

0-25

Part II: Defining Innovation Goals Outline a process for defining innovation goals Use techniques for conducting environmental

analysis Understand the importance of benchmarking in

innovation Explain how to develop statements such as mission

and vision statements Identify stakeholders and their requirements Describe the process of strategic planning Outline the process of creating performance

indicators

0-26

Part III: Managing Innovation Actions Describe the creativity process Understand the various sources of ideas used in

innovation Apply a number of idea generation tools Identify core aspects of project management Explain the product development process Understand how to capture critical data for

innovation projects Explain the process of project portfolio

management

0-27

Part IV: Empowering Innovation Teams

Explain the importance of leadership in innovation Define the structure of innovation teams Understand how to build a team culture within the

organization Describe some of the important attributes of virtual

teams Understand communities of practice Explore various ways of increasing motivation Describe a simple performance appraisal system

0-28

Part V: Sharing Innovation Results Describe knowledge and how innovation knowledge

can be managed Understand specific aspects of collaborative portals,

portlets, and workspaces Discuss how to design and implement a simple

knowledge management system Explain the relationships between different sets of

innovation information Describe how organizations can contain a number of

innovation communities Describe a hierarchy of innovation management

processes or funnels Describe an approach to presenting and reporting a

dynamic innovation plan

0-29

Innovation Funnel

0-30

Chapters

0-31

ProgrammeUnderstanding Innovation1. Defining Innovation2. Managing Innovation3. Processing Innovation

Defining Innovation Goals4. Analyzing Environments5. Defining Objectives6. Measuring Indicators

Managing Innovation Actions7. Creating Ideas8. Managing Projects9. Developing Products10. Balancing Portfolios

Empowering Innovation Teams11. Leading Innovation12. Building Teams13. Motivating Performance

Sharing Innovation Results14. Managing Knowledge15. Building Communities16. Extending Innovation

0-32

Activities Activities in each chapter help you

apply some of the ideas presented to your own organization

Your organization can be real or fictitious and created from your imagination and experience

Activities combine into one dynamic innovation plan for your organization

Sample Innovation Plans available

0-33

SwitchIt Case

SwitchIt Manufacturing in Ireland Subsidiary of SwitchIt U.S.A. Complete the case in Appendix!IndividualsName Job TitleAndrew Kelly IT AnalysistBreda Mooney HR ManagerDanny Mulryan General ManagerDavid Noone Engineering ManagerGary O'Halloran Training ManagerJames Fogarty Purchasing ManagerJohn Sheehan Quality CoordinatorMary Roche Finance ControllerMichael Clark Manufacturing SupervisorStewart O'Neill Materials ManagerDavid O'Sullivan Design ManagerLawrence Dooley Design Engineer

Reading

‘Applying Innovation’ O’Sullivan and Dooley Sage Publishing, 2009

Book Resources www.owl.ie

0-34