creativity and innovations

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    Module 2

    Creativi ty & I nnovation

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    Creativi ty:is the Discovery of Something that is

    novel but also

    useful or

    relevant or

    economical or

    elegant or

    valuable

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    Creativi ty is a combination of

    Fluency

    Flexibility

    Originality

    Problem Sensitivity Discovering cause and effect

    Problem Diagnosis

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    Types of Creativity

    I. According to Maslow* Primary Creativity

    * Secondary Creativity

    II. According to Ainsworth Land* Elaborative

    * Improvement Oriented* combination or synthesis of superior

    quality

    * Transformation

    III According to Iring Taylor

    * Spontaneous Creativity* Technical Creativity

    * Inventive Creativity * Emergentive creativity

    * Innovative Creativity

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    Barr iers to creativity:

    Resistance to change

    Lack of initiative

    Restriction on Interaction

    Fear of something going wrong

    Lack of Recognition

    Resource constraint

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    Creativity Process:

    Preparation Incubation

    Insight

    Evaluation

    Elaboration

    Techniques for improving Creative Process: Trustful Management

    Open channel of Communication

    Contact with outsiders

    Willingness to accept change

    Enjoy in experimenting new ideas

    Use of techniques that encourage ideas

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    Steps in the pursuit of setting up an enterprise

    I. Searching for prospective business ideas and

    sources

    II. Processing of these ideas and selecting the best

    idea

    III. Collecting the required resources and setting up

    the enterprise

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    Source of new ideas

    Consumers Competitors

    Distribution Channels Government

    R &D

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    Methods of generating ideas:

    Focus groups : Groups of individuals providing information in a

    structures format

    Brainstorming: A group method for obtaining new ideas &

    Solutions

    z

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    Problem inventory Analysis:

    A method for obtaining new ideas and solutions by focusing on problems

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    Screening, Processing of the ideas and selecting the best

    idea

    Technical Feasibilty

    Financail Feasibility

    Economic Aspect

    Managerial Aspect

    Market aspect

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    I deas into OpportunitiesTypes of opportuni ties

    Additive opportunities

    Complementary opportunities

    Break through opportunities

    Global level opportunities

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    Steps in Selection of new business ideas:

    New product ideasIdeas screening

    Concept development & Testing

    Concept testing

    Consumer testingBusiness potential analysis

    Product development

    Test Marketing

    Commercialization

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    Creative problem solving:

    Heuristics

    Brain storming

    Synectics

    Value analysis

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    Heuristics

    Stands for strategies using readily accessible, though loosely applicableinformation to control problem solving in human beings and machines

    Basic Heur istics for getting started in Directed creativi ty:Make it a habit to purposefully pause &notice things

    Focus your creative energies on just a few topic areas

    Avoid being too narrow in the way you define your problem

    Try to come up with original & useful ideasWhen you need creative ideas, remember : attention escape & movement

    Pause & carefully examine ideas that make you laugh the first time you hear them

    Recognize that your streams of thought & patterns of judgment are not inherently right or

    wrong

    Make a deliberate effort to harvest, develop and implement at least a few of the idea you

    generate

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    Brain Storming:

    Group members or individuals are encouraged to spellout maximum number of possible solutions of a specific

    or stated problem

    Emphasis is laid on the number of possible solutions

    Principles of Brainstorming:

    During the generating phase of ideas, evaluation

    process is differed

    Quantity begets Quality-Right environment must be

    provided for generating maximum number of ideasNovel ideas in certain cases may not appear to be

    practical ideas

    Better to appreciate ideas of others as well as one's own

    previous ideas.

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    Synectics:

    is applied in finding innovative approaches to a numberof intractable technical problems

    Major analogies:

    Direct analogy

    Personal analogy

    Fantasy analogy

    Symbolic analogy

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    Value analysis:is an approach to improving the value of a product or process

    by understanding its constituent components and their

    associated costs.

    Is a cost reduction and problem solving technique that

    analyses an existing product or service in order to reduce or

    eliminate any costs that do not contribute to value or

    performance

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    Key concepts of Value analysis: Value Function

    Value analysis

    Need

    The Value analysis process:

    1. Orientation/ Preparation2. Information

    3. Analysis

    4. Innovation/Creativity

    5. Evaluation

    6. Implementation and monitoring

    Use of basic techniques like Matrices, Pareto chart, Pert &

    Gantt Diagrams.

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    Innovat ion

    Implies doing new things or doing of things that arealready being done in a new way

    Prof i ts and Innovation

    An entrepreneur should innovate for the present

    period and not for futureInnovation must be easy to understand for desired

    result

    An entrepreneur must posses the knowledge,

    ingenuity, Diligence, Persistence and commitment to

    innovation.

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    Modules o f Inno vat ionType Description Examples

    Innovation Totally newproduct service orprocess

    Extension New use ordifferentapplication of analready existing

    product

    Ray Kroc

    Duplication Creativereplication of anexisting concept

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    Type Description Examples

    Synthesis

    Combination of existingconcepts and factors intoa new formulation foruse

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    Sources & Trans fer of Innovations:

    Source Example

    UnexpectedOccurrences

    Unexpected Success:

    Incongruities Unexpected Success:Ford;s Edsel over nightpackage delivery

    Process Needs

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    Source Example

    Industry & Marketchanges

    Demographic changes

    Perceptual Changes

    Knowledge basedconcept