Vidzeme University of Applied Sciences

Faculty of Business Administration and Economics

"Innovative process analysis"

Business Environment Administration

Professional Master’s Study Programme

Course: Innovative management systems

1st Year Student

Naila Aghayeva

Valmiera

2015

CONTENTS

Introduction.............................................................................................................. 3

How to manage innovation (novelty and aim)......................................................... 4

Innovative process (step by step) ............................................................................ 6

New innovative idea CES 2015................................................................................ 12

Innovative product.................................................................................................... 15

Conclusion................................................................................................................ 18

Sources...................................................................................................................... 19

2

Introduction

Ideas have many beginnings and often start as inklings and insights by people who think of creative solutions to their day-to-day challenges. Some of these are truly breakthrough ideas but are not yet fully formed. Others may be good ideas but they don’t fit the needs of the organization.

Innovation process management (IPM) refers to the management of

processes used to spur product and organizational innovation. The purpose of

innovation process management is to trigger the creative capabilities of employees,

create an environment that encourages innovation and develop repeatable

processes that make innovation an integral part of the workplace.

An important aspect of keeping innovation, especially IT innovation, alive

within a company is cultivating and maintaining an innovative culture.

Over the last 50 years there have been many studies of the innovation process, looking at many different angles. And it is clear that there are no easy answers and that innovation varies enormously - by scale, type, sector etc.

Innovation is more than simply coming up with good ideas; it is the process of growing them into practical use. And it is important to understand the whole process or else it is likely that the behaviours in managing easily get only partially helpful.

Each firm has to find its own solutions and develop this in its own context.

3

Innovation as a business process

Scanning the environment for changes Deciding which signals to respond to Obtaining the resources to enable the response Implementing the project to respond effectively

4

HOW TO MANAGE INNOVATION?

Success in innovation depends upon two key ingredients;

Technical resources - people, equipment, knowledge, money etc. The capabilities in the organization to manage them

Routines - 'the way we do things around here'; the 'personality' of the firm.

Each firm has to develop its own set of routines of innovation management, it has to be learned, and will not work just by copy them from a successful firm.

Routines are not always positive for the firm. It is important, from the standpoint of innovation management, not only to build routines but also to recognize when and how to destroy them and allow new ones to emerge. Successful innovation management is primarily about building and improving effective routines.

Successful innovation and successful innovators

What is success?

Need to measure the overall process rather than its constituent parts Have to consider the time perspective

'Success relates to the overall innovation process and its ability to contribute consistently to growth.'

BLUEPRINTS FOR SUCCESS

From various studies there has been possible to construct a checklist and a crude blueprint for effective innovation management. These blueprints are divided into the following phases:

Scanning phase:Involves detecting signals in the environment about potential change; as example need for change pulling through innovation or push from new opportunities. It is important to have well-developed mechanisms for identifying, processing and selecting information from the environment.

Strategy phase: The purpose of this phase is to resolve the inputs into an innovation concept which can be progressed further through the development organization. There are three inputs; the flow of signals about possible technological and market opportunities available to the enterprise; the current technological base of the firm, competence; the fit with the overall business.

Strategic advantage comes when a firm can mobilize a set of internal and external competencies which make it difficult for others to copy or enter the market. This could also be by producing lock-in effects, which locks the market into your concept. (i.e. the lock-in effect between iTunes music shop and iPod mp3 players, or the Addidas ID concept.)

Resourcing: 

The innovation process.

The innovation process was first laid out by a researcher named Gabriel Tarde in 1903 (Tarde, 1903). There are multiple processes that have been laid out by researchers in the last century, however Tarde’s is often viewed as superior because it carries a macro approach to innovation.

Rather than laying out a step-by-step guide Tarde’s process takes a manager’s perspective. With this top-down view we’re better able to see how enabling innovation impacts a firm. His process is as follows:

Knowledge

Before companies are able to dive straight into innovation they need knowledge. This is where your firm should pool together both internal and external knowledge.

Internal knowledge consists of your firm’s financial well-being, capabilities, limitations, and strengths. By knowing exactly what your firm has you stand in the best position possible to build an innovation that your firm can not only use strategically but actually ship.

It’s also important that firms take the time to gather external knowledge of the market and competitors. Of course, be sure to gather competitor knowledge legally – there is never a justification for corporate espionage.

You’ll want to pay special attention to where the market is headed and what your competitors are doing. Don’t forget the age old innovation saying: It’s up to you to figure out not what your customers want but what they actually desire. At the turn of the 20th century people wanted a faster horse. Ford built them a car.

Forming An Attitude

No surprise here, innovative firms require a certain attitude. This is why we’ve seen so much focus on corporate culture of late and you can read multiple books on the subject.

5

Before a firm can really leap ahead they need to actually be able to innovate. This requires building a culture that (a) believes innovation can happen (b) is a learning organization (Fasnact, 2009).

Not all corporations have these two elements in their culture – indeed it is a bit of a rarity. None the less, developing them is not challenging.

It’s simply a matter of encouraging innovation and heralding successes while ensuring that red tape is reduced (“empowering employees”). Learning organizations discourage doing things because “it’s the way we do it” and instead allow employees to learn and make changes.

The Decision To Adopt Or Reject

Once an innovative concept has been proposed the decision to either utilize or scrap the idea must occur. This is often a difficult process – after all, if you’re looking at ten good ideas how do you possibly choose the best one from that list?

Multiple articles across the website go into much more depth on the subject but ultimately the decision boils down to strategic fit and how the innovation aligns to your capabilities and the market place. You’ll want to pay attention to return on investment, the overall difficulty of implementation, and whether the innovation correlates to your firm’s long term interests.

If your firm has access to game theorists they can play a powerful role in deciding which decision should be implemented.

Implementation And Use

Now that you’ve got the idea it’s time to implement it. Sitting on the idea won’t do anything and this is why it’s so important to empower employees and eliminate red tape: To do otherwise slows this part of the process down considerably.

Implementation can be easy or challenging. If the innovation is a cost reduction often times it can be implemented without much difficulty. Then again, full scale brand extensions can take months to roll out.

The most important part of the innovative process is actually shipping. Seth Godin discusses this on nearly a weekly basis on his blog and it’s by far the most important part – it’s why you bothered to innovate in the first place.

6

Confirmation Of The Decision

No business venture would be complete without the use of feedback loops and concluding analysis. A feedback loop is a method of looking at what happened, what went wrong, and how it can be fixed for next time.

The concluding analysis must include financial viability of the project, an overview of project management and implementation, and a subsequent analysis should be completed six months after launch to ensure profitability and success is maintained.

This is the innovation process from a manager’s perspective. It’s a valuable model which applies to every firm looking to innovate. Be sure to apply it as you move forward.

The innovation process, in the business context, is a structured action that is remarkably easy to implement. It begins with a problem and ends with profit. As such, it is the ideal business process. So it is remarkable that so few businesses have actually implemented this structured innovation process. Fortunately, all you have to do is read this and implement it in your firm!

Step by Step

1. Begin with a problemThe innovation process starts with a problem or possibly a goal. However,

the fact that the business has not already achieved the goal might be considered a problem. So, we can safely say the process begins with a problem. All businesses have problems. Sales could be better, products could be better, processes could be more efficient, costs could be reduced and so on.

2. Convert the problem into a challengeOnce a problem has been identified, it needs to be converted into a

challenge. A challenge is a short, terse question that invites creative solutions. Example challenges include: "In what ways might we improve product X?" and "How might we reduce wastage in our manufacturing process?" A challenge may

7

also be in the form of a call to action: "Sketch design ideas for product X" or "Use building blocks to demonstrate ways in which we might combine processes in manufacturing." Formulating a good challenge that addresses your problem is critical to the innovation process. If your challenge does not properly address the underlying problem, you may get a lot of ideas -- but they won't solve your problem and therefore are unlikely to become innovations!

3. Challenge colleagues to suggest creative solutionsOnce you have a terrific innovation challenge, you need to communicate it

to colleagues or others such as business partners, customers or even the public so that they can generate ideas. How you communicate depends on the method of idea generation you will use for each instance of the innovation process.

4. Collaborative idea generationIdea generation might be in the form of a brainstorming activity, through the

use of real idea management software (one like our Jenni, which uses ideas campaigns based around innovation challenges) or a team may be assigned to devise and develop ideas. You could even generate ideas yourself, but as a general rule, diverse teams generate more creative (both in terms of quantity and quality) than individuals -- at least in the right circumstances.

Whatever method of idea generation you use, it should ideally be in a collaborative environment in which people can work together to develop ideas. Ideally, there should be no criticism, censorship or destruction of ideas during this phase. You want to encourage people to think creatively and be unafraid to suggest ideas. Early criticism of any kind will only make people reluctant to share ideas, especially their most outlandishly creative ideas (in other words, the best ideas), for fear of also being criticised.

Note: lots of people think that idea generation is the most important element of the innovation process. It's not. A great idea, unimplemented, is worthless to business. Nevertheless, you do need ideas to keep the process going and creating an environment for generating creative ideas means that the resulting innovations will be more.. innovative!

5. Combine and evaluate ideasWith lots of ideas in the pot, the next step is to combine similar ideas into

idea clusters or big ideas. Each idea cluster can be processed as a single idea, thus making the next steps of the process more efficient.

This done, you can then evaluate ideas with an evaluation matrix in which promising ideas are compared to relevant business criteria. The better the idea meets each criterion, the higher its score. In the end, those ideas with the highest evaluation scores are taken to the next step.

8

Note: evaluators tend to be overly critical of ideas. Hence it is important to ask them not only what does not work with an idea, but also to ask them how these problems might be dealt with in order to improve the idea.

6. Develop ideasHow you develop ideas depends on the innovation challenge and the kind of

ideas generated. New product ideas might be developed into prototypes. Process efficiency ideas may be modeled. Marketing ideas may be evaluated in consumer surveys and so on. The purpose of developing ideas is to test them in the business environment and, if no insoluble problems are discovered, prepare them for implementation.

In the case of highly creative ideas, it is usually best to create a prototype if at all possible. A prototype makes it easier to sell a radical idea to managers, committees and other dingalings who will be tempted to kill it off.

7. Implement ideasFinally, you are now ready to manufacture your new product, restructure

your processes or do whatever is necessary to turn the evaluated and developed ideas into implementations that generate value for the organisation. It is at this step that creative ideas grow up and become innovations.

If ideas are radically different to business as usual or if they require substantial investment, it is wise to implement them with a series of milestones along the way. This enables you to review the implementation of the idea in order to ensure it is either delivering value or retains the potential to deliver value at a future milestone. Although many organisations today make it difficult to implement radical ideas, once those ideas are launched as projects, the responsible teams are often remarkably reluctant to stop the implementation for fear of reprisals, losses or other consequences. You need to minimise those consequences so under-performing ideas can be killed and resources can rapidly be reinvested in promising new ideas.

A Scalable, Repeatable and Effective ProcessThere are three terrific qualities of the innovation process. Firstly, it is

scalable. An individual freelancer can use it to innovate in her business, small teams can use it for innovative projects, business units and even entire companies can use it. Although, with large groups, specialised idea management software is needed to capture and facilitate the processing of the ideas efficiently.

Secondly, the process is repeatable. A company can have numerous instances of the innovation process in action at all times. A team leader can launch new challenges once the ideas from old challenges have been implemented (or even sooner in some instances).

9

Thirdly, the process is effective. It is based on a combination of Creative Problem Solving (CPS) and standard business processes. It has been proven again and again. Indeed, it should be clear that the innovation process enables you to align innovation with strategy, focus creative thinking on current business needs and combine multiple ideas in order to develop comprehensive solutions to all kinds of business problems.

And, as we stated in the beginning, it is a simple process; one that can readily be implemented in most companies. Although, you will also need to have something of a culture of innovation in place in your firm in order for the process to work. If new ideas are routinely criticised from conception and committees are so risk adverse they are afraid to cross the street (as is typically the case without a culture of innovation), there is little hope for the innovation process.

On the other hand, if new ideas are always welcome, the CEO really believes in innovation (rather than just makes bland statements about it) and the company is willing to invest resources not only in innovation, but also the implementation of radical ideas, the innovation process will perform wonderfully!

10

The New Innovative Idea CES 2015

DASH WIRELESS SMART IN EAR HEADPHONES BY BRAGI ON KICKSTARTER

The Bragi Dash Wireless Smart Headphones are quintessentially CES in this regard. After an immensely successful Kickstarter campaign that raised over $3.3 million spread across 15,998 backers, the project pushed forward—slowly.

The industry had good reason to be excited, both then and now. The Bragi Dash headphones (or "hearables," as the company calls them) are the first of their kind: equal parts headphones and wearables, they're wireless, Bluetooth-enabled earbuds that also track your vitals, monitor your performance, and manage your fitness goals.

WEARABLE TECHNOLOGY DONE RIGHT

These wireless smart in ear headphones by Bragi look set to beat the

crowdfunding record set by the Pebble smartwatch and for good reason. With 39

days left to go on their Kickstarter campaign, the Dash headphones have already

raised over $2,000,000 of a $260,000 goal. Not only are these some of the first

individual wireless in ear headphones, they’re also the first headphones with smart

capabilities and boast internal storage as well as being 1m water resistant!

DASH FITNESS TRACKING

“The Dash is a discrete device that delivers clear sound without blocking out what is going on around us. The Dash’s ability to tell us how long we have exercised for, how far we have travelled and how fast we are moving, whilst also delivering heart rate readings and oxygen saturation level, suddenly puts this device as one of the most innovative, yet necessary pieces of audio technology in modern times.” – Helle Frederiksen, Triathlete

11

The target audiences for the Dash wireless in ear headphones are undoubtedly fitness fanatics as opposed to audiophiles and the devices have amazing capabilities for extreme sports. These include earbone mics for communicating with companions, accelerometers, GPS tracking (with paired smartphone), and even non-invasive heart rate and oxygen saturation sensors so you can keep track of your workouts. When these features are coupled with the 4GB of internal storage, Bluetooth LE connectivity, reachargeable batteries and external touch controls, it seems unbelievable.

DASH AUDIO QUALITY

Bragi claim that the headphones will offer ‘incredible sound’ but I find it

hard to believe they will be able to match a top brand such as Sennheiser with

Dash’s post-Kickstarter price of just $299. I suppose hearing is believing so there’s

no point speculating but the sound quality isn’t really even the point with the kinds

of revolutionary wearable technology features being incorporated into Dash.

BATTERY LIFE

Another potential drawback for some will be the battery life of Bragi Dash

headphones. While it is very impressive that 100mAh batteries have been fitted

into such small in ear headphones, 3 hours of playback will likely be disappointing

to people hoping to use them throughout the day. However 3 hours would likely be

an ample session time for those participating in sports activities such as snow

boarding, cycling or running.

able that this can all be fit into such small earbuds.

12

SECURE FIT

Dash in ear headphones claim to be able to offer a secure fit with three

contact points around the opening of the ear canal. They tested the fit extensively

with hundreds of ears and also give different sized silicone sleeves with the

headphones. There are no cables pulling on the headphones so falling out shouldn’t

be an issue but obviously it’d be easy to lose them due to their size if this was to

occur.

NOISE ISOLATION AND AUDIO TRANSPARENCY

Essentially the headphones have such a good fit that by default they block

out all surrounding sound. This is a great if you’re on an aeroplane but dangerous

if you’re cycling on a busy road. To combat this Dash incorporated adjustable

audio transparency which uses an ambient microphone on the outside of the device

and feeds the peripheral noises through your music so that you can hear that truck

approaching or your non-Dash equipped friend talking to you.

VITALS READING

The most incredible aspect in my opinion is their water resistivity which will

allow you to swim while listening to music! They’re only rated to 1m in water

depth but the information offered in the FAQ of the Kickstarter page looks

promising. It also details how the Dash headphones will record your heart beat and

oxygen saturation levels with two LEDs emitting light into the capillaries of the

ear and using the optical reflection to determine the red and white blood cell

counts.

13

DASH SMART HEADPHONES APP DEVELOPMENT SDK

Dash are really keen to get developers on board to write apps for the headphones and are offering an SDK. Potential applications could include an SOS signal app if the accelerometer detects a sudden altitude change or if the heart rate monitor detects a heart attack. Bragi are also making their own iOS and Android apps for the device and will accommodate a Windows phone app as a stretchgoal if the funding reaches $2,500,052. Previously reached stretchgoals include this carrying case with an integrated reserve battery which can carry 5 full charges for a pair of Dash headphones.

KICKSTARTER CROWDFUNDING

As mentioned the Bragi Dash smart wireless in ear headphones have already

beaten their initial Kickstarter campaign target by over ten times with 39 days left

to go but you can still order yours here. There are a limited quantity of 16,000 still

available at $199 and the Kickstarter price will then increase to $239. Post-

Kickstarter prices are expected to be $299 so you’re saving quite a lot of money by

getting in early. I for one am really interested to see how future generations of

Dash in ear headphones will evolve to offer even more features with app

development, better sound quality, and perhaps higher water resistivity ratings.

This video from the Kickstarter page includes the Youtube clip embedded above as

well as a backstory by Bragi founder Nikolaj Hviid, a review of the user

experience from triathlete Helle Frederiksen and details of the development from

designer Arne Loermann.

14

Innovative product - Folding table for working standing.

There are problems that modern man has to sit too much, and new idea came

encourage manufacturers to create computer desks for standing (there were in the

market for western options , but too expensive for our people). But recently

founded an even easier (and cheaper) version of this table.

It is not a separate table, which is to replace our traditional desktop, a small

folding-sofa-table, which can be placed over an existing table.

That is not necessary to change the existing furniture and throw out your old

desk. Enough to buy a add-on application to it and use it as needed (when you

want to - put, tired - cleaned). As home fitness equipment that can be put forward

in the center of the room for the lessons, and can be removed for a cabinet when

they are not needed.

15

I would have these tables are not only put in the offices, but also in schools

and institutions (that our children are not in pain, sitting in one position for several

hours).

The idea - not only more convenient and cheaper solutions for the stiff joints

and backs. And how gracefully you can find solutions for problems. This is an

elegant solution allows more than one version of the work (standing), but the two

options (sitting and standing). This design is very light and easy to manage. I do

not know, however, how much it costs. But the thing is clearly a useful and

practical.

16

Conclusion.

What makes ‘The Dash Wareless headphones’ incredible is how everything can be controlled by a simple gesture control on the headphones, or using the app that comes with the headphones. They also come with built in 4GB of memory so you can store music straight onto the headphones rather than having to use your smart phone, tablet or any music device. What these nifty things, the technical side and fitness side of The Dash is incredible for what it is.

Some of the technical and fitness things you get in The Dash are things like: ‘A fitness tracker, ear bone microphone, passive noise isolation and audio transparency.’ They also provide both earphones with three different sized silicone sleeves so you can get the perfect fit so you can exercise and listen to your music in the best comfort you can get. 

So in conclusion, I’m completely won over with ‘The Dash’ purely for the fact of how easy it is to use them and the technology that is inside two little amazing things.

And about the desk. This  is essentially the same unit we had from the first impressions, but the dual monitors are a much nicer setup and in our opinion at a better level than the notebook and LCD combo. There are still cord management hurdles, but there are zip ties included to help with that.

If your workplace won’t buy one for you, we suggest looking into getting one on your own. Because this bolts to any desk, you can add it yourself and take it with you if you leave.

For the money, this desk is the best standing desk on the market. We use ours every day, and couldn’t imagine going back to a sitting desk.

17

Sources.

1. https://www.youtube.com/watch?v=G49JUm2GacM

2. http://www.creativejeffrey.com/index.php

3.http://homeli.co.uk/dash-wireless-smart-in-ear-headphones-by-bragi-on-

kickstarter/

4. http://creativity-online.com/

5. http://www.sciencedirect.com/science/article/pii/0048733386900120

6. http://www.entrepreneur.com/article/225348

7. www.mindtools.com/pages/article/newCT_88.htm

8. innovationmanagement.se/2013/08/08/how-to-innovate-the-innovation-process/

18