Innovation Management and a Company Innovative Potential - Assignment Example

Innovative Management Name Class Unit Section 1 Multiple quiz answers 1. Innovation management is defined as discover new products & process. False 2. When a company that produced innovation records for them music industry learned that music could be recorded on compact discs to sell, it was facing a competence...... innovation. The industry was facing a competence destroying innovation. 3. According to Schilling, network externalities explains the important part of the value of a new product in the market. What factor from the list below determines the network externality effect as explained by Schilling? The installed base of the new product 4. The growth of installed base of the automobiles in Europe from 1950-1990 is according to Schilling the result of the growing number of gas stations. 5. What is not mentioned by schilling as a fast mover advantage? Research and development expense is not a fast mover advantage. This is due to fact that research and development expenses are a fast mover disadvantage. 6. Innovation potential management has 6 areas. (D) 7. Which one is the degree of novelty? All of them are degree of novelty. (D) 8. Which one is the pillar of a successful innovation? Maximum attainable quality is a pillar of successful innovation. (A) 9. Strategy of the company is idea about the company future, its vision and employees. (A) 10. Which one of the following is the innovation criterion? Operational (A) Section 2 Short essays 1. Define innovation management. This is the process of capturing and managing the innovation in an organisation. It involves managing the process of innovation. Innovators and management are able to cooperate with an aim of achieving a common goal. The process requires the organisation to focus on innovation and come up with the right tools that can help in managing it. The process of innovation management should empower employees to innovate (Schilling, 2004). 2. Define degree of novelty This is one of the dimensions of innovation space. It defines the newness of an innovation. Through degree of novelty, it becomes easy to define the originality of an innovation. Degree of novelty gives the state of an innovation by defining the state of its uniqueness (Schilling, 2004). 3. What are the 3 innovation processes? The innovation process has three functional areas. Research and development is the first process which is involved in coming up with ideas. This involves basic and applied research and development. The second step is production and involves transforming inputs to outputs. This is based on the instructions which are given by the development. The last process is marketing. This involves selling the innovated products to the market (Schilling, 2004). 4. What are the three pillars of success in innovation management? The three pillars are; having tangible innovative results. The results should be regular and based on the needs for the organisation. The second pillar is having employees who have expertise in innovation. The last pillar is an organisation culture that is able to support implementation of innovative ideas through encouraging it (Schilling, 2004). 5. What are the innovation categories? The three forms of innovation are process, product and strategy innovations processes. Process innovation involves increasing quality through continuous improvement of a process. It’s an incremental process. Product/service innovation involves making the features of a product or service more improved. Strategy or business concept innovation involves working to improve the organisation business strategy. The three categories have three levels of innovation which are; radical innovation, modular innovation, and architectural innovation. Radical innovation is based on coming up with a new whole design. This is through use of new components. Modular innovations use new components and come up with differing design (Schilling, 2004). Architectural design is based use of new system configuration but design concept remains unchanged. 6. What is a company innovative potential This is the company ability to develop and further advance innovations. It can also be defined as the ability of a firm to generate and develop ideas. It is measured through the company available intellectual property. It is the latency in the company to create change in a status quo. This is through looking for new ideas, improving on old processes and having research and development systems which are sustainable. Company innovative potential is also a social construct whose prediction is based on the way in which knowledge for learning is gained. It is the ability of the company to acquaint itself on a given type of knowledge. This is through having a deeper understanding on the way in which a product is created and used. Joint problem solving is an important indicator of company innovative potential (Schilling, 2004). Leadership also plays a vital part in enabling innovative potential. 7. What are innovation evaluation criteria? Innovation evaluation criteria are a process carried out with an aim of generating lessons which can help in future innovations. The criteria are designed to determine originality, significance, impacts, and overall benefits of innovation. Innovation evaluation looks at consumer interests, innovation process prospects, realisation, competitiveness, legal requirements, economic factors and risks. The process is useful for operational learning. This is through giving feedback to the management. This helps management in coming up with better ways of doing things. Innovation evaluation criteria also help in policy feedback and system impact. System impact helps in coming up with ways in which innovations can be made more effective (Le, 2005). 8. What is a portfolio management? This is defined as the management of one or more portfolios. A portfolio is defined as a collection of programs, operations or projects which are handled and managed as one. This is done with an aim to achieve strategic objectives. The management of portfolios involves identifying and prioritizing the portfolios in order to achieve specific set objectives. Portfolio management involves looking for the right investment policies for other peoples. This is based on identifying the terms which offer minimal risk and have the highest returns. A portfolio manager manages another person money/investment as an expert. This is through helping the individual with the most appropriate investment plan for them. 9. What are the sources of innovation impulse? Innovation impulses occur both within the company and outside it. Inner company environment includes company research and development, production division, sales and marketing, logistics and owners. The external environment involves customers, suppliers, competitors, research and development institutions, professional institutions, exhibitions, advertising agencies, state laboratories and globalisation. In both internal and external environment, there are seven sources of innovation impulses. The internal sources are; unexpected events, contradiction, innovation based on the change of work process, change in the structure of industry. The external sources are; demographic changes, changes in global view and new knowledge. All impulses are characterised by the occurrence of change. 10. What is a company innovation system? Innovative system is the wide system in which innovation takes place. A company innovation system involves activities and interactions which help in initiating new innovations in a company. It involves flow of technology and information among the company human resource. The system ensures that there is interaction among all players in order to turn an idea into a process, product or service which is successful. This involves the company research and development department. The company R&D department is tasked with coming up with innovations. The core characteristics of innovation system involve learning and innovation. Learning in the innovative system helps a lot in its development (Trott, 2008). Case study (quiz 2 and 3) 2. What do you think about the lessons can other companies learn from X’s mobiles company innovation strategies over the years? Other companies can learn a lot from innovation at X mobile company. The innovations by X mobile company are not beyond what they are familiar with. The company was able to study the competitor and come up with a better product. The visit to Xerox laboratories gave the company founders a glimpse of the competitors’ product and come up with ways of enhancing it. X Company is seen as effective and able to manage its own risks. The company took risk of introducing premium priced computers into the market which was already very competitive. X mobile company have been able to think out of the box and look past their comfort zone. This helped X computers to come up with computers which are easy to use for the consumers which were more advanced that those used at the time. Other companies should also learn the importance of creating consumer trust through coming up with innovative products which offers brand equity and reliability. These are the fundamental framework of innovation shown by x company that other companies should learn. 3. Do you think x-mobile can be successfully in the market without innovations? If yes so please give the necessary arguments? X-mobile cannot succeed in the market without innovations. The company is well known by the customers due to its innovative products. The company is known for continuous innovations in the market. This have enabled X computers to sell their products at premium prices in a highly competitive market successfully. It is important to realise the company initial success was based on innovation through copying Palo Alto research laboratories which were owned by Xerox company. All success attributed to X-mobile company are innovation based making it hard for X-mobile company to survive in market without innovation. References Le, C. A 2005, The innovation game: A new approach to innovation management and R & D, New York, NY: Springer. Schilling, M 2004, Strategic management of technology and innovation, Maidenhead: McGraw-Hill Education. Trott, P 2008, Innovation management and new product development, Harlow, England: Financial Times/Prentice Hall. Read More