Marketing & Innovation
Marcos LIMA, PhD
Pôle Universitaire Léonard de Vinci [email protected]
Session 01:
Part 1
How are these concepts
related?
Knowledge Management,
Innovation and New Products
Targeted Segments Innovation Knowledge Management N e w P ro d u ct s & S e rv ic e s Technology Market Results
Scope of This Course
Session 1
Introduction to Innovation
Management
Presentation of the “Innovation
Project Proposal” Challenge
Preparing the Scaglia Case Study
1/2
Session 2
Individual Mid-term Quiz (60
minutes)
Business Model Canvas
Preparing the Scaglia Case Study
2/2
Session 3
Presenting the Scaglia Case (10
min / group)
Developing the Innovative
Our Main Textbook
My Expectations
DREAM: Buy the textbook and
read it thoroughly
NICE: download the initial 72
pages (for free!)
and read them right after
the class!
MUST: prepare and present the
Scaglia case
submit an (individual)
Innovation Project
Your first group assignment:
Discuss Your Expectations
A good course…
should be…
should have…
should NOT be…
Brainstorming
Should:
Interactive
Comprehensive Share different
opinions
Adaptable
Many examples Fun
Should NOT:
Quiz Exam
Just listening and
falling asleep
Conflict
Having a long day
from 9 to 6
Case Presentation :
Evaluation Criteria
VISUAL AID
(2 point): Simple, legible, organized logically, important findings stand out
DELIVERY (3 point):
Poised, well-rehearsed, good eye contact, no distracting gestures or mannerisms, not too fast or slow, spoke clearly, stayed within time limit, used appropriate language, did not read speech, did not turn back on audience when using visual aids
PERSUASIVENESS (5 points)
Objective, well structured, clear, realistic, seductive, prioritized and highlighted most relevant information
THOUGHTFULNESS (5 points)
Innovation Project Proposal
https://docs.google.com/forms
Main Sources
Books
Osterwalder, “Business
Model Generation”
Tidd & Bessant, “Managing
Innovation: Integrating Technological, Market & Organizational Change”, Wiley 2009
Trott, “Innovation
Management & New Product Development”, Prentice Hall, 2008
Podcasts
Businessweek Innovation
Podcasts
Harvard Business Review
Ideacast
Articles
Learning from each other…
What is a SHARED
SYNTHESIS?
At any moment during the
class…
• The lecturer assigns each pair
of individuals a fragment (usually 1 paragraph) of the text that will be discussed in class.
After reading the fragment,
discuss in pairs the main messages / ideas
After 5 minutes of
Part 2
Introduction:
Understanding
What is Innovation?
Let
’
s brainstorm!
Something new
Diffusion of an invention
Changing behaviors and habits
Social change
It the beginning of the end of
something older
A new need in people’s minds
Creation of the blue ocean scenario
Let
’
s
brainstorm!
When it works it
creates lots of value
It’s not always
What is Innovation?
Which of these is NOT an
innovation? Why?
A Few Definitions
Innovation is…
“The introduction of
• new goods (…),
• new methods of production (…),
• the opening of new markets
(…),
• the conquest of new sources of
supply (…)
• and the carrying out of a new
organization of any industry”
A Few Definitions
Innovation is…
“the process of turning
opportunity into new ideas and of putting these into widely used
practice” (Tidd & Bessant, 2009)
“the management of all the
activities involved in the process
of idea generation, technology
development, manufacturing and
marketing of a new (or improved) product[/service]” (Trott, 2008)
“not just the conception of a new
idea, nor the invention of a new device, nor the development of a
new market. The process is all these things acting in an
A Few Questions
Is an unsuccessful new
product an innovation?
Is the successful
introduction of an old
product in a new market
an innovation?
Does all innovation involve
new technology?
Xerox created the first
computer with a Graphic
User Interface. Steve Jobs
used it to create the first
Mac.
A Visual Definition
These two variables explain the critical
role of
Innovation’s Economic Relevance
Nikolai Kondratieff / Joseph
Schumpeter
“virtually all of the economic
growth that has occurred since the eighteenth century is ultimately
attributable to innovation”
Schumpeter’s “Creative
Types of Innovation
Incremental
What we
already do,
but better
Radical
Types of Innovation
Product / Service Innovation
Innovate in WHAT we do
Process Innovation
Innovate in HOW we do it
Paradigm / Business Model
Innovation
Innovate in HOW we make money
Position Innovation
Innovate in marketing mix and strategy
Types of Innovation
Tidd
’
s 4Ps
Can you find
at least
Disruptive Innovation
Incremental
What we
already do,
but better
Sustaining
Rules of the
game
remain the
same
Radical
New to the
world
Disruptive
Game Changer
for
Market or
Industry
Offer a much
cheaper (or
more
convenient)
solution to a
widespread
problem
Christensen’s Lecture
Christensen’s Lecture
Christensen’s Lecture
Text for Discussion
Say no to innovation-in-general
Fragmented Synthesis
Group Assignments
1. I had just … leaving the discussion
disappointed.
2. Yes, all of the panelists … different in
nature.
3. Without differentiating … they’re
both baseball.
4. In the research world… …investment
decisions.
5. It’s easy to poke fun… … what the
word means.
Evolution of Innovation Models
Linear Models
Manufacturing Marketing Research &
Development
Marketing Research & Manufacturing Development
1950/60s – Technology Push
Evolution of Innovation Models
Simultaneous Coupling Model
Marketing
Manufacturing
Research & Development
Needs in society
and the marketplace
Latest in science & technology
Advances in society
Evolution of Innovation Models
Interactive Model
R&D Manufacturing Marketing
Idea Commercial
Product
Market Pull
Technology Push
Evolution of Innovation Models
Open Innovation Model
Emphasis on Business Model
innovation as driver
Approaches to
New Product
Development:
Stage Gate Process
Lead User Method
Design Thinking and
Decision Making in the
Innovation Process
The Innovation Funnel
Market Knowledge
Technological K
Decision Making in the
Innovation Process
Stage-Gate Decision Process
Preliminary Investigation
Business Opportunities
Product/Process Development
Pilot Testing
The FORTH Method
The FORTH Method
http://www.forth-innovation.com
Lead Users
Definition
Method : An accurately forecasting
market opportunity by tapping the expertise base of ‘lead users’
Lead User
• The people whose experience are ahead of the
market segment.
• They may lead in either target or analogous
market.
• They may be involved with just one or more
attributes of the problems users met.
Purpose
unearth product development
First device used in field
developed and built by:
Innovations
Affecting User% User Mfg. Gas
Chromatograp hy
83% 10 2
Nuclear Magnetic Resonance Spectrometry
80% 12 3
Ultraviolet Spectrophoto metry
100% 6 0
Transmission Electron
Microscopy
72% 44 17
The World Wide Web
– A Lead User Innovation
Tim
Berners-Lee
“
it was something
I needed in my
work.
”
Result?
Other Examples of Important
Consumer Product Innovations
Category Example
Health Products Gatorade
Personal Care Protein-base Shampoo Feminine Hygiene
Sports Equipment Mountain Bike
Mountain Climbing-Piton
Apparel Sports Bra
Food Chocolate Milk
Graham Cracker Crust Office White-out Liquid
Computer Application Software
Electronic Mail
Lead Users Method at 3M
3M / MIT
Advantage:
richer and more reliable information better products and service concepts
acceleration of the product and service
development process
Necessary Elements:
supportive management
a cross-disciplinary team of high skilled people an understanding of the principles of Lead
User research
Compose:
4-6 people from marketing and technical
department
12-15 hours per week spent on the project project typically takes 5-6 months
Lead User process
Project Planning
Project Planning
Stage 1
Stage 1
Trends/Needs Identification
Trends/Needs Identification
Stage 2
Stage 2
Preliminary Concept Generation
Preliminary Concept Generation
Stage 3
Stage 3
Final Concept Generation
Final Concept Generation
Stage 4
Design Thinking & Lean Startup
Case: IDEO
Shopping Cart
How would you make
this product better?
With a colleague:
Determine
one unmet
need
Discuss how to solve it
You will be asked to
Design Thinking
Launch your idea before it is
ready
Alternative Approach
Launch your idea before it is
ready
Lean Startup
Principles
Don’t waste
time
designing
solutions
nobody wants
Don’t assume
you know the
solution or
Myths about Innovation
Innovation is not
simply…
Having strong R&D
capability
The province of
specialists
Understanding and
meeting customer
needs
Advances in the
technology
The prerogative of
Myths about Innovation
Innovation is not
simply…
Only about
breakthrough
changes
Only internally
generated
Only externally
generated
Achievable by a
Good Luck!
