final results from the measured and mangaged innovation programme

www.nordicinnovation.org10/04/20231

Welcome to the Final Conference Measured and Managed Innovation programme (MMI)ROGER MOE BJØRGAN , MANAGING DIRECTOR, NORDIC INNOVATION

STOCKHOLM, DECEMBER 4TH, 2012

www.nordicinnovation.org

Nordic InnovationStensberggata 25

NO-0170 Oslo


Nordic InnovationStensberggata 25

NO-0170 Oslo


Nordic Innovation Board

Nordic Innovation

The Nordic Council of Ministers for Business Affairs

EK-NCommittee of senior officials from Industry and Trade departments

The Nordic political co-operation

http://en.wikipedia.org/wiki/File:Location_Nordic_Council.svg


About Nordic Innovation

10/04/2023 Copyright © Nordic Innovation 2012 . All rights reserved.3

Stimulating innovationBuilding relationsRemoving barriers

Nordic Innovation facilitates sustainable growth in the Nordic region.

Our mission is to orchestrate increased Nordic value creation through international cooperation.


Nordic companies competitiveness vital for future growth


-New value creation happens at the firm level-Increased global competition puts pressure on Nordic firms to be innovative


Measured and Managed Innovation Programme (MMI) >> Enhancing the competitiveness of Nordic companies

Product(WHAT)

Platform

Solution

Customer Need(WHO)

CustomerExperience

Communication

Process(HOW)

ValueCapture

Management

Supply Chain(RELATIONSHIP)

Channel

Partnership 7

3

5

3

5

7

http://www.nordicinnovation.net/_img/nice_engelsk.jpg


Programme goals and ambitions


Strengthen the innovation competence and focus in Nordic companies; in order to increase their return on innovation and competitiveness

Strengthen the cooperation and experience exchange between national innovation agencies in the Nordic region

Generate new knowledge and experience on Nordic companies’ innovation focus and efforts

Contribute with insights and inputs to the Nordic countries’ innovation policies and support systems


Looking forward to an insightful and inspiring day!

Learn more about the organisation atwww.nordicinnovation.org

http://www.nordicinnovation.org/


The speed of change

December 4th 2012Modern Museum Stockholm

Hans Christian Bjørne, Senior Innovation Advisor,Nordic Innovation

www.nordicinnovation.org10/04/2023 Copyright © Nordic Innovation 2011 . All rights reserved.9

”Innovation is what takes us forward. If we keep repeating what we did yesterday, we will end up in a museeum!”

- Jean-Claude Biver, CEO of Hublot Genève, one of the most exclusive Swiss watchmakers


Innovation before and now…


Industrial revolution Process innovasjonTQMLean

Business model-innovation

The Networked economy

Customer oriented innovation

Partnerships & Open innovation

2012

Sp

eed

of c

ha

nge

1990s – 2000s1800 >

Assembly line


The networked economy: Social and into the clouds


Are you seizing the opportunities in this landscape?

Are you seizing the opportunities in this landscape?

- The most talented minds are out there (P&G, IBM)- Everyone contributes (Amazon, Cisco, McDonalds)- Anyone has the tools to start ”a movement” - No voice too small to be heard (Martha Payne)


The world tomorrow will be radically more different


Gene replacement therapy takes off

3D printing: Print a violin!Print a printer!

Life expectancy150 years?

2050

De

velo

pmen

t


Disruption happens: It could happen to you!



These deliver something unique that customers value (today…)



These deliver something unique that customers value (today…)


- Suprising fact: Angry Birds reaches more people than Facebook (1 Billion)

- From bestselling mobile game to worldwide comic icon (T-Shirts, books, beverages, stereos, …)

- ”It took 100 million hours to build Wikipedia. That’s three weeks of playing Angry Birds.”

- Source: Jane McGonical, Director of Game Research & Development at Institute for the Future

http://en.wikipedia.org/wiki/Institute_for_the_Future


How do you make a difference?


A lot of companies tend to copy industry practices and compete on traditional factors like product variances and price.

• Are you first?

• Are you better?

• Are you different?


The analysis examines Nordic companies’ Innovation Radar

consisting of 12 primary dimensions and 4 macro dimensions

17

Example of Nordic companies

The radar is a tool to identify innovation areas of positioning, and a lot can be learned from looking at the companies that stand out from the crowd.The radar is a tool to identify innovation areas of positioning, and a lot can be learned from looking at the companies that stand out from the crowd.

0

1

2

3

4

5

6

7Offering

Platform

Solution

Customer needs

Customer experience

Marketing communication

Process

Value Capture

Management

Supply chain

Channel

Ecosystem

OfferingPartnership

Operations Customer


Measured and Managed Innovation Nordic MMI Programme

Results from 2010-2012

December 4th 2012Modern Museum Stockholm

Jørn Bang Andersen and Hans Christian Bjørne, Senior Innovation Advisors, Nordic Innovation


Why Business Model Innovation and MMI?

Copyright © Nordic Innovation 2011 . All rights reserved.19

www.nordicinnovation.org20

Innovation Mindset and OutlookRespondents Innovation Priorities

Underperformers Outperformers

Products/services/markets

Operation

Business Model

0%

20%

40%

60%

80%

100%

Source: Global IBM CEO study 2006 Copyright © Nordic Innovation 2011 . All rights reserved.


Customers

Business Conditions

Norden

Europe

Sweden

Industry XYZ

Govt.Support Culture

Firm A =

Firm B =

Globally

Copyright © Nordic Innovation 2011 . All rights reserved.

www.nordicinnovation.orgCopyright © Nordic Innovation 2011 . All rights reserved.22

How does it work?


High

Low HighEffort

Focus

Generic radar profiles

1996-2000

2000-2006

2006-2012

1998-2003


Timeless !


MMI results 2010 - 2012


Norway

20 companies‒ 6 small

‒ 6 medium

‒ 8 large

Iceland


‒ 5 medium

‒ 11 large

Finland


‒ 7 medium

‒ 5 large

Sweden


‒ 10 medium

‒ 0 large

Denmark


‒ 5 medium

‒ 8 large

800 participants from 100 companies across the Nordics

< 50, small sized company< 250, medium sized company> 250, large sized company

0

1

2

3

4

5

6

7

MMI companies combined represent 125.000+ employees

Mix of companies representing different countries, industries and sizes


43%

21%

22%

14%

Offering

Customer

Process

Partnership

US-Nordic Benchmark: Innovation Radar Primary Focus 2010-2011

> Nordic companies significantly more focused on offering innovation

> American companies significantly more focused on partnerships

64%

17%

15%

4%

NordicsUSA



In 2012, half of the companies now have a focused approach to innovation. In 2010, only 1/3 of the companies were focused

10/04/2023 Powerpoint template for Nordic Innovation34


Internal allignment has doubled from 2010-2012

10/04/2023 Powerpoint template for Nordic Innovation35


No strategy

Strategy0 %

10 %

20 %

30 %

40 %

50 %

60 %

70 %

80 %

90 %

100 %

37%

62%

63%

38%

UnfocusedFocused

No strategy

Strategy0 %

10 %

20 %

30 %

40 %

50 %

60 %

70 %

80 %

90 %

100 %

23%

0%

43%

38%

34%

62%

High effortMedium effortLow effort

Innovation strategy leads to higher focus and more investment into innovation.



Companies do not focus on the dimensions they say they will

2010

2012

0 % 10 % 20 % 30 % 40 % 50 % 60 % 70 % 80 % 90 % 100 %

53%

43%

30%

31%

11%

16%

6%

9%

Offering CustomerOperations Relationship

Most important future innovation dimension

Primary scored present innovation dimension

2010

2012

0 % 10 % 20 % 30 % 40 % 50 % 60 % 70 % 80 % 90 % 100 %

64%

80%

17%

6%

16%

11%

3%

3%

Offering CustomerOperations Relationship



Nordic companies want to work less with Offering related innovation, and more with other dimensions, like Customer Experience, Value Capture, and Supply Chain



Country changes2010-2012



Supply Chain

Process

Offering

Solution

Partnership

Management

0 5 10 15 20 25 30 35

21

29

29

29

21

21

21

29

Denmark 2012Denmark 2010

Denmark: Strong upgrade on managment and partnership dimensions from 2010-2012

Source: Measured and Managed Innovation(MMI) 2010-2012: Final Report, Nordic Innovation 2012



Management

Platform

Offering

Solution

Partnership

0 10 20 30 40 50 60

9

9

27

36

18

55

27

18

Finland 2012Finland 2010

Finland: Strong shift in focus towards offering and partnership in 2012




42

Sweden: Biggest shift in downgrading offering and upgrading management dimensions

Customer experience

Platform

Solution

Offering

Management

0 5 10 15 20 25 30 35 40 45 50

8

23

38

46

15

46

23

8

Sweden 2012Sweden 2010



Iceland:High consistency in focus over time, yet higher focus on value capture from 2010-2012

Management

Customer Experience

Offering

Solution

Value Capture

11

11

32

36

11

32

32

11

Iceland 2012Iceland 2010



Norway: Consistently high focus on product and process innovation over time.

Customer Need

Platform

Solution

Offering

Process

8

15

31

54

8

38

46

8

Norway 2012Norway 2010



Significant finding from 2010-2012: Many more companies with high focus and high effort

Low effort High effort

High focus

Low focus

24 % 23%

56 % 33%

4 % 24%

16 % 20%

2010 2012

Innovation effort levelIn

nova

tion

focu

s le

vel


www.nordicinnovation.orgwww.nordicinnovation.orgwww.nordicinnovation.org



Company feedbackabout the MMI program



Very low Low Medium High Very High2%

7%

2%

56%

15%

56% or companies express satisfaction with the MMI programme

Source: Inno Group Scandinavia – MMI Evaluation 2012

high


Very low Low Medium High Very High

4%

9%

22%

41%

24%

65% of companies think that the MMI has helpedin s in spotting underdeveloped business areas



highly or very highly



50


6%4%

9%

46%

35%

81% of companies believe the MMI has had impact for raising internal

awareness of innovation focus in their company


high to very high



51

40% of the MMI companies say the MMI has impact for spotting new opportunities


13%

19%

28%

31%

9%


High to very high


Policy implications


Nordic innovation policy level

• Rigorous testing and solid data is a strong platform for future Nordic initiatives;

• Focus future initiatives on low focus areas like customers and partnership innovation;

• Nordic level has most to offer when it dares to challenge national dogma and go beyond the obvious.



National Nordic innovation policies

• Nordic level unique test-bed;

• National innovation policies stuck in a techno-product oriented paradigm;

• Design programs with clear intent, success criteria and take off in needs of businesses.


54


• MMI companies should continue to apply a business model approach to solidify competition and stay innovative;

• Try to experiment more with partnership innovation and develop capabilities for this;

• Ask what prevents our company from growing more than 10-20% every year?


55

Company level innovation


Company cases:Let’s listen to those who innovate every day


What are you going to do about it tomorrow?


final results from the measured and mangaged innovation programme

Business

barriersnordic innovation

innovation competence

nordic innovationstockholm

senior innovation advisor

innovation building

lot of companies

customers value today14

customer management