value innovation for engineers thamirabarani college of engineering
TRANSCRIPT
Value Innovation for Engineers
ByDr. Kabaly P Subramanian
Department of Business Studies
Arab Open University
Sultanate of Oman
Why do you need to sit through this presentation?
World of relentless change and ferocious competition
Need for Sustainable Development Inclusive growth Triple bottom-line Innovation helps you to grow and sustain
Structure of this presentation
Understanding Innovation Innovation Landscape Innovation vs. Value Innovation Value Innovation tools Discussion
Understanding Innovation
Creative solutions for existing and perceived problems
Profitable implementation of strategic creativity
Wipro’s CEO “we plan to recruit people who can think and execute. Those who can provide solutions to the problems”
Innovation Landscape
Designated function Everyone’s responsibility Open to the stakeholders Open to the world
Types of Innovation
Business Innovation Social Innovation
Scope of Business Innovation
Product Innovation (iPad,Nylon,..) Process Innovation (Assembly line,
Amazon..) Management Innovation (JIT,ESOP,.) Business Model Innovation (Dell)
Scope of Social Innovation
Health ( Aravind Eye care system) Energy ( Bio-gas,wind,solar,…) Infrastructure creation (Roads using plastic
wastes..) Education Employment generation Water availability and access Environmental replenishment
Is Innovation always valuable?
Case : Iridium
Value Innovation
Existing Product 1
Existing Product 2
Innovation Canvas ( As is )
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leve
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Factor 6 Factor 8 Factor 4
Factor 5Factor 7 Factor 3
Factor 2
© Kim & Mauborgne 2006
Four Actions framework
Which factors should be reduced well below the industry standard
Which of the factors that the industry taken for granted should be eliminated?
Which factors should be raised well above the industry’s standard?
Which factors should be created that the industry has never offered
A new value
ERRC Grid
Eliminate Raise
Reduce Create
Existing Product 2
Existing Product 1
Innovation Canvas ( To be )
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offe
ring
leve
l
loPrice
Factor 5 Factor 7Factor 3
Factor 4Factor 6Factor 2
Factor 1
Factor 8
Factor 9
Factor 10
Factor 11
New product
© Kim & Mauborgne 2006
Personal Finance Software
The Pencil
Personal Finance Software Industry
hi
offe
ring
leve
l
lo
Price Speed AccuracyOptional FeaturesEase of Use
Quicken
© Kim & Mauborgne 2006
Ingenious Innovation
Frugal Innovation Finding good enough solutions New approach to innovation Mansukh Prajapati : Mitticool ( Clay fridge) Dr.Sathya Jeganathan : Incubator Illac Diaz : A litre of Light (Solar Bottle bulb)
Solar Bottle Bulb
Solar Bottle Bulb
Clay Fridge
Incubator
Incubator
Useful tips
Look beyond your industry Observation and reflection Field visits Engaging the stakeholders
Reference
Blue Ocean Strategy
W.Chan Kim and Renee Mauborgne
Harvard Business School Press (2005) world wide web
Reference
Blue Ocean Strategy
W.Chan Kim and Renee Mauborgne world wide web
