2 Collaboration and Value Networks as the Future for
Innovation
Slide 3
3 Overview 1.The Food and Beverage Industry and FIAL
2.Innovation and collaboration Some research 3.Current FIAL
collaborations 4.Lessons learnt and next steps
Slide 4
4 Australian Food & Beverage Facts 1.Australias largest
manufacturing sector at 23.5% of manufacturing and contributing
$24B (2013) to the economy 2.Employs > 200 000 in manufacturing
with significantly more when agriculture is included 3.13000
manufacturing companies, mostly small medium companies (SME) 4.High
business churn (2011-2012 Food) 1794 entries 1554 exits
5.Government objective to double manufacturing by 2050
Slide 5
5 Food and Beverage Stakeholders National market Retailers
& others Industry associations Retailers & others T&L
Industry associations T&L International markets Retailers &
others T&L Industry internal capability to deliver Suppliers to
manufacturers/producers/retailers T&L Transport and logistics
SMEs MNEs Networks Research & Development (Academia, research
institutes)
Slide 6
6 Some Dynamics Shaping the Industry Wealth of intellectual
capital and resources which are not being fully utilised to deliver
maximum return for the industry Collaboration is key to bridging
the geographical dispersion of the industry Consumer
desires/needs/wants are evolving rapidly and products/services need
to keep up
Slide 7
7 Some Dynamics Shaping the Industry Focus on incremental
innovation (safer and less costly) and not new- to-the world
innovations Disconnect and lack of cooperation between researchers,
education institutes, industry and other support services which
restricts their innovative capacity / market opportunities
Slide 8
8 Some Dynamics Shaping the Industry Growing individual
disposable wealth in Asian Countries Increasing availability of
imports and ability to export
Slide 9
9 Some Dynamics Shaping the Industry Depletion of natural
resources & population growth Ageing population
Slide 10
10 Capability/Skills Gaps Impacting Innovation Packaging
Technology there is no packaging course in Australia, and companies
are continuing to downsize in- house packaging skills Food Safety
with fewer students and changes in focus to courses, there is less
understanding of food safety with small companies often without
technical support in-house or access to Food Technology combining
science and engineering appears now to be largely learnt on the
job. Few pilot plant facilities exist and few in-company placements
for students Project Management basics of how to be efficient and
take an idea to market seem to be confined to pockets within the
industry Commercialisation how to scale up from an idea to reality
and gain the science that supports capability Business Strategy
ability to work on the business to stay relevant and sustainable vs
being good at business today
Slide 11
11 Innovation Presentation title | Presenter name 2014 ARC
Advisory Group
Slide 12
12 Innovation Presentation title | Presenter name
Slide 13
13 Connectedness 13 Hargraves Institute 2013
Slide 14
14 Connectedness 14 Hargraves Institute 2013
Slide 15
15 Entrepreneurs and inventors are no smarter, no more
courageous, tenacious, or rebellious than the rest of us they are
simply better connected Andrew Hargadon How Breakthroughs HappenThe
Surprising Truth About How Companies Innovate, Harvard Business
School Press, 2003.
Slide 16
16 Invisible in the formal structure Powerful through their
networks Innovation Catalysts
Slide 17
17 What you get from mapping Innovation Catalysts Ideas only
become valuable once implemented Innovation Catalysts turn ideas
into action Innovation Catalysts arent self appointed. Use peer-
nomination to reliably identify the real Innovation Catalysts.
Analyse the nominations and determine the reach and influence of
Innovation Catalysts Investment in those people who are most
influential in their business unit or location / business unit Who
are the Innovation Catalysts here? Hargraves Institute 2013
Slide 18
18 Business v Researcher Measures and Drivers
Slide 19
19 Who are the Innovation Catalysts here? Hargraves Institute
2013
Slide 20
20 Innovation a network of collaborators Presentation title |
Presenter name Jean Franois Lacoste-Bourgeacq
Slide 21
21 The internal part of the Innovation Connectome Beyond people
availability and their relevant expertise in the delivery of
innovation, the following additional features shall be considered:
Creative thinking Balance of right-brain, left-brain (analysis
& intuition) Organizational and innovation management skills
Resilience Execution skills: Turning ideas into viable products and
services Flexibility Customer sensitivity Networking & teamwork
skills Turning ideas into new businesses Entrepreneurial skills,
self-starters Political savvy Neuronal Innovation the Next Big
Thing After Open Innovation By: Jean Franois Lacoste-BourgeacqJean
Franois Lacoste-Bourgeacq
Slide 22
22 Networks Across Australia
Slide 23
23 Innovation and the community Companies are widely perceived
as prospering at the expense of the broader community Companies
must take the lead in bringing business and society back together..
Yet we still lack an overall framework for guiding these efforts,
and most companies remain stuck in a social responsibility mind-set
in which societal issues are at the periphery, not the core. The
solution lies in the principle of shared value (emphasis added),
which involves creating economic value in a way that also creates
value for society by addressing its needs and challenges.
Businesses must reconnect company success with social progress.
Shared value is not social responsibility, philanthropy, or even
sustainability, but a new way to achieve economic success. It is
not on the margin of what companies do but at the center. We
believe that it can give rise to the next major transformation of
business thinking. Creating Shared Value by Michael E. Porter and
Mark R. KramerMichael E. PorterMark R. Kramer Harvard Business
Review Jan 2011
Slide 24
24 Ways of Behaving to Achieve Outcomes Communicative and
sharing of information and knowledge Optimistic, energetic and
passionate - about the future of the industry
Slide 25
25 Ways of Behaving to Achieve Outcomes Consultative to enhance
and support the skills in the industry Outcome focused for industry
success Accountability to each other and the industry
Slide 26
26 Ways of Behaving to Achieve Outcomes Integrative and
transparent to establish an environment of trust and collaboration
Encouragement of active participation and contribution
Slide 27
27 Project- SME Solution Centre Technical services and
technology access and capability, coupled with technical or
business training to address a technical challenge or innovation to
provide commercialise outcomes for SMEs One size doesnt fit all but
combined options and capabilities give wider opportunity for
engagement and support Geographic location has enhanced reach and
influence to engagement Currently 10 projects in consideration or
progress from Tasmania to Cairns covering new horticultural crops
to development of new processing technology
Slide 28
28 Project Collaborative Ring Workshop Using a peer learning
format developed in the US, a group of companies share challenges
and solutions Pilot workshops have been run in several Australian
cities where companies were asked to share 2 challenges each with
peers from industry, with at least one challenge being export
related For every challenge, there were 2.5 - 4 solutions generated
by peers >$10m in potential savings and/or new revenues Next
steps are ongoing connectivity to continue business support and
develop local clusters
Slide 29
29 Innovation Catalyst Program FIAL Food Futures A Catalyst
Approach Tested with 15 Food companies delivered >$15M in value
Increases the success by empowering businesses through sharing
information and building capability over a 6 month duration
Understanding current performance and identify where to focus to:
Develop people Build new capabilities for the future Access new
information and contacts FIAL is supporting: 12 Clusters with 1
cluster per state Cluster 20+ companies 15 scholarships in each
state for SMEs 5 companies recruited from large companies Open to
all companies in the Australian Food & Beverage sector
Slide 30
30 Lessons Learnt Multiple solutions are needed to support the
range of opportunities New ventures can create strange bedfellows
that need time to learn and work smoothly together Start working
together assuming positive intent and mutual benefit Key leaders
are always needed but cant be the only drivers While its not always
equal in capacity, everyone brings benefits and capabilities that
are needed by the group
Slide 31
31 Next Steps Form broader, more virtual clusters of
practitioners that share learnings and benefits Continue to foster
the connections from the Collaborative Rings and catalyst clusters
Complete a base line survey on industry reward for thought change
in collaborations and clusters Develop additional options for
connection and champion cluster initiators where practical
Slide 32
32 FIAL Team t+61 3 9479 6043 [email protected]
wwww.fial.com.au Thank you