ITM Innovation Technology Management - Essay Example

INNOVATION TECHOLOGY MANAGEMENT Contents List of Figures 2 Introduction 3 Literature Review and Critical Analysis: 4 The Up-Front Process Revealed 6 Google 10 Companies with poor Strategic Management 12 J.C Penney 12 Sony 13 Conclusion 13 References 16 Sr. List of Figures 1. Figure 1 Page 4 2. Figure 2 Page 5 3. Figure 3 Page 6 4. Figure 4 Page 8 Introduction The study of innovation process in and amongst organizations has evolved as a multi-disciplinary endeavour (Eris & Saatcioglu, 2006). Innovation is the process of making changes to sumfink established by introducing sumfink new that adds value to customers and contributes to the knowledge store of the organisation (OSullivan & Dooley, 2008). One can use all they need to introduce some advancement and innovation, yet one cannot promise achievement. In today’s world some companies are striving hard to bring sumfink innovative in the market or introduce some innovation in their existing products. As the market has become more competitive over the past few years that businesses now hae to focus much on the changing trends of innovations, whether its technologies or strategic plans of some companies. Companies are much more likely to gain positive response of the consumers if they fulfill the demands of the customers. However, many companies still avoid from going to any innovation process as they think that the unique or new change might not be acceptable by their customers. Nonetheless, there are many companies who thought out of the box and introduced such amazing products and services in the market and within their organizations that they are now counted amongst the top 10 innovative companies of the world. No wonder, every company would hae to pass through some experiences, both negative and positive but the ones who surpassed the hard times and took the risks are now the ones who are the most appreciated amongst their customers. When yakking about strategy making, strategic innovations ring up for a balanced approach in which companies should use both traditional and non-traditional (newly introduced) approaches to rightly sustain and develop the relationships and graft hold of the employees within the organisation and so that they can graft with focus and open mind and allow em with the chance to come up with new ideas, as employees sometimes can bring some remarkable ideas which can lead to further modification and eventually gives a fruitful result and acceptance by the consumers as well. Developments in the worldwide economy hae altered the traditional balance between customer and supplier. In the rapidly changing world, technology and innovations is going hand in hand however, there, still are individuals who chevy chase difficulty in coping up with the rapidly changing world and the trends in it. The economic growth is substantially associated with the technology and innovation, as the combination of these factors can produce right products in the market and help the country in increasing its economic growth (Technology and Innovation Report, 2012). New trends in the innovations hae opened numerous possibilities for the businesses. Companies are now focusing and working on the expectations of the customers. The demands of the customers hae changed over time. They expect much more user-friendly products in the market and up to the mark of the recent innovative trends (Izsak & Griniece, 2012). As expressed by Izsak & Griniece, (2012), prioritizing technologies might in itself not be dooze if the whole innovation system around technologies is not supported by clusters, framework conditions to encourage demand for innovation or the availability of knowledge intensive services. Literature Review and Critical Analysis: Open innovation is the new concept in the market which allow the business to work on the in-flows and out-flows of the business, also in today’s era, companies cannot simply rely on their own research they need to get the other researches of the companies in order to get the overview of the market, and competitive competition present in the market (Zikmund, 2013). However, with the rapidly changing trends it is not wrong to say that the term open innovation will soon vanish in the upcoming years, and the term innovation will exist only, as the companies are striving hard to get something totally new and innovative through their business, and for that major risks are taken, because people do show some hesitant while shifting to a new innovative product, such as IPHONE, it was totally a new concept by Steve Jobs and there were doubts that this product might not be accepted, but the risks were taken and the product surprisingly accepted by the costumers and made a unique place in the market. Top 10 Innovative Companies The Up-Front Process Revealed Perhaps the most surprising result of our study of the up-front innovation process is how many companies say they simply aren’t very good at it. Just 43 percent of participants said their efforts to generate new ideas were highly effective, and only 36 percent felt the same way about their efforts to convert ideas to product development projects. Altogether, only a quarter of all respondents indicated that their organizations were highly effective at both (Jaruzelski, Loehr & Holman, 2012). Apple and Procter & Gamble, make a point of engaging customers directly to generate new ideas. They develop new products and services based on superior end-user understanding. Their goal: to seek out both articulated and unarticulated needs, and then to try to get their new products to market first (Jaruzelski, Loehr & Holman, 2012). However, significantly more vital, the best performing organizations create extra abilities that are particular to their picked advancement techniques. A few organizations are innovation drivers: Their method is to create heading edge items. They have to be especially great at comprehension developing innovations furthermore talented at overseeing item life-cycles. These capacities, be that as it may, are less urgent for need seekers, whose procedure is to distinguish unmet client needs and enhance to fill them. Need seekers, then again, oblige world-class buyer knowledge aptitudes? The best organizations, I found, are those that concentrate on a specific, particularly adjusted set of basic and unique capacities that empower them to better execute their picked techniques. As expressed by Maklan, Knox & Ryals (2008), it is becoming harder to decipher the modern customer through our traditional market research methods alone. It is often difficult for a new consumer to conform to the prevailing market segmentation and due to this reason oppose the already defined rules. For this reason, it becomes difficult to interpret the data that is generated as a result of surveys. Additional customer insight can be gained by employing groups and depth interviews; although they are not very reliable as far as prediction of behavior is concerned. Innovation studies have extensively examined the drivers and sources of innovation, paying particular attention to the technological and organizational capabilities that firms need to develop to become successful innovators (DEste, Rentocchini & Jurado, 2010). Innovation has long been recognized as a vital contributor to firm economic performance and survival (DEste, Rentocchini & Jurado, 2010). Nobody can deny the real facts and importance of innovations that are being done in the world, whether it’s high-tech medical equipment, technologically advanced apps and gadgets to speaking robots to what not (Szirmai, Naudé & Goedhuys, 2011). The top 2 innovative companies will be discussed here to gauge their importance of innovations and acceptance of new ideas in the market and the obstacles that were believed to be seen before. APPLE APPLE is broadly considered as the best and #1 creative organization on this world. The organizations advancement method includes stupendous new items and inventive plans of action. The organization conveys customers with a progression of presents – incredible programming in remarkable equipment in excellent bundling ("decent plans wrapped up in other better than average thoughts," as Michael Lopp, senior designing supervisor at Apple puts it). As expressed by Tim Cook, “There is an extraordinary breadth and depth and tenure among the Apple executive team, and these executives lead over 35,000 employees that I would call "all wicked smart". And thats in all areas of the company, from engineering to marketing to operations and sales and all the rest. And the values of our company are extremely well entrenched” (Slivka, 2009). APPLE likewise pioneers into another business spaces and makes new market corners. The organization made amusement changing developments, for example, the IPod, ITunes, Iphone, and Ipad (Kotelnikov, n.d.). Apple makes a point of engaging customers directly to generate new ideas. They develop new products and services based on superior end-user understanding. Their goal: to seek out both articulated and unarticulated needs, and then to try to get their new products to market first. Apple made numerous sharp creative items that pushed the organization to the highest point of its industry while leaving the rest of the competition below. In any case the movement was not just a matter of item advancement. Development lies additionally in Apples inventive plans of action, much better approaches to make, convey, express and eventually catch esteem. The IPod and Iphone would not have had about as much effect in the event that they hadnt been matched with iTunes and the App Store individually. Systemic development coordination is at the heart of Apples prosperity. Apple works crosswise over conventional industry limits to make a fruitful development inviting environment. The organization is in fittings, in programming, in diversion, and in logistics, and has comprehended parts of every one of those commercial enterprise. "The item as and experience" yet invigorated extraordinary thoughts when organization pioneers were mulling over another plan of action. Apple spearheaded into another business space and characterized a workable plan of action for downloading music, introduced a unique platform for it, ITunes. An alternate key driver of Apples monetary achievement is developing selection of Apple items for business utilization. Sparing time and minimizing dissatisfaction are the quintessence of Apples brand guarantee. This quality suggestion changes over PC and Blackberry clients to the Apple brand. Innovation and entrepreneurship both needs to get familiar with the each other, it is important for the start-ups to get reliable information about the importance of innovation in order to perform better in the business world. (Hofer &Potter, 2010) Google There are many observable innovations around us yet we still take them for granted. Google’s mission is “to organize the world’s information and make it universally accessible and useful”. Google (2014) is so broad to be work on but Google takes it seriously and work on it passionately (Iyer & Davenport, 2008). The Google’s history is so vast and interesting; the changing trends within the organization and explains how the lives, management and services have changes over the time (Scott, 2008). Work might be more than an occupation when it remains for something you think about. Googles mission is to compose the worlds data and make it all around available and helpful. We utilize this straightforward proclamation to guide the majority of our choices. When we begin work in another region, it’s frequently in light of the fact that we see an imperative issue that hasnt been settled and were sure that innovation can have any kind of effect. Case in point, Gmail was made to address the requirement for more web email usefulness, incredible hunt and more stockpiling. The mission of the Google is to possibly touch numerous lives, and want to ensure that all the employees of the Google feel connected and associated with the web of relationship-employees and people. Also, employees have helped a lot in times of emergency and have helped in retrieving and arranging life-sparing data and making it promptly accessible to the people. Regardless of how aspiring the arrangement, you need to move up your sleeves and begin some place. Google Books, which has brought the substance of a huge number of books on the web, was a thought of Larry Page, who believed that a section of Google books should be made in order to help and satisfy the demands of the readers (Jessup & Valacich, 2008). Many people thought it was insane even to attempt on such idea, but he took the steering and geared to launch Google Books to provide a platform to the readers to find their relevant book and to bring the worlds books on the web. Today, the original and approximate book search list holds almost 10 million books in the online directory. Companies with poor Strategic Management Why a few organizations fail or more precisely fail to deliver to the demands of the customers? The answer to this question depends on many factors related to the organization. Some of the main reasons are that organizations outrage their clients, works with no innovation, poor strategic management within the company, abusive attitude towards the stake holders. Many organizations are messed up in terms of their administration and item dispatches. Disappointments incorporate the new design and its factors. J.C Penney J.C. Penney went from being an average national retailer with humble difficulties to one of the extra-ordinary open organization administration catastrophes of the last few years. Previous Apple retail boss Ron Johnson joined as CEO in November 2011, and quickly chose to profoundly change the chains valuing approach. The negative response was quick. Deals fell 20% in the first full quarter after Johnson started to actualize his arrangements, and the organization kept on loaning deals at a fast rate (Tuttle, 2013). Clients deserted by the thousand as an indication of their disappointment with the new retail demonstrate laid out by Johnson. Also with its stock falling more than 40% since Johnson joined, shareholder are additionally furious with the organization, which has likewise totally disposed of its profit. Sony Son’s mission is to “company that inspires and fulfills your curiosity” (Sony, 2014). In 1975, Sony (Betamax) became the famous company and it introduced the very initial and first home video cassette recorder, with the advancement and introduction of this new innovation they created a whole new market for them. Unfortunately, with the passage of time Betamax eventually lost out to the rival VHS standards, in massive side because VHS had the support of Hollywoods big studios at that time. Thus, Sony concluded that the best way to promote its technologies was to get into the content business, since content owners have a big influence over which technology standards live or die. Subsequently, provide the best of content services in the market and receive positive response of the customers (The Economist, 2005). The company still managed to provide a range of products over the years, but with the unique advancements of IPHONE and the linked ITunes manager for the music gave edge to the Apple and Sony once again started to lose its market value of walkmans and headphones. Sony needs to work on its technological innovations as the market is growing very rapidly with the introduction of new innovations every day (Music Industry Blog, 2014). Conclusion Successful and Fruitful innovative advancement inside a corporate setting is hard to attain on various levels. To begin with, development itself is significantly more craftsmanship than science, arbitrary in some sense. In any case it likewise could be steered and diverted by the trend-setter by utilizing past experience to guide pondering the future, by knowing how and when to ask the right inquiries, and by believing their nature when deciphering and blending information. The innovations are not benefitting all, as in the market there is a solid confusion between the terms creativity and innovation. However, companies with right knowledge are able to discover something new and totally innovative, thus some companies emphasize much on the existing products and try to make it as creative as they can to satisfy the customer’s demands and also managing a right connection between the employees and the consumers (Brussels, 2012). This new environment has also amplified the need to consider not only how to address customer needs more astutely, but also how to capture value from providing new products and services. The issues related to good business model design are all interrelated, and lie at the core of the fundamental question asked by business strategists. In short, a business model defines how the enterprise creates and delivers value to customers, and then converts payments received to profits. Business model innovation can itself be a path way to competitive advantage if the model or plan is sufficiently differentiated (Chesbrough, 2007). In short, a business model defines how the enterprise creates and delivers value to customers, and then converts payments received to profits. In short, a business model defines how the enterprise creates and delivers value to customers, and then converts payments received to profits. When people first hear about connects and develops, they often think it’s the same as outsourcing innovation –contracting with outsiders to develop innovations for P&G. But it’s not. Outsourcing strategies typically just transfer work to lower-cost providers. Connect and develop, by contrast, is about finding good ideas and bringing them in to enhance and capitalize on internal capabilities (Appleyard, 2007). Sensible and professional business models are necessary features of market economies where there is consumer choice, transaction costs, and choice of variety among the consumers and producers and competition. Profit seeking firms in competitive environments will endeavor to meet variegated consumer wants through the constant invention and presentation to the consumer of new value propositions. The models of businesses are often redesigned by technological innovation which creates the need to bring innovations to the market and the opportunity to satisfy unanswered customer needs. There are many companies which are now famous worldwide, introduced innovative yet unique and acceptable ideas in the market and surprisingly many products whether related to technology or so were whole heartedly accepted by the consumers on a massive scale, IPHONE is a prominent product here. Trend-setters and their directors should additionally perceive that disappointment is to be gained from, not rebuffed. In a quick changing world an inventive society helps an association always get up and go. Having a creative and innovative culture has eagerly helped many companies who create and exchange advances and offer new items for sale to the public. Making advancements that give individuals items which make their lives less demanding and better is the thing that makes favorable element for such companies. References Appleyard, M. M. (2007) Open Innovation and Strategy. California Management Review, Vol 50.No.1 Brussels (2012) “ New Trends in Innovation”, Retrieved from http://ec.europa.eu/research/innovation-union/pdf/tedx_meets_the_ec_report.pdf Chesbrough, H. W. (2007) The market for innovation: implications for corporate strategy. California Management Review, 49, 3 (spring): 45–66. DEste .P, Rentocchini. F & Jurado. 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