Argumentative

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Creativity, Innovation & Design

BONUS TOPIC

Managing Innovation

Prepared by Dr Gerrit de Waal

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Managers appreciate the importance of innovation…

Competitive advantage

Sustained growth

Survival

But believe it is very difficult to manage

Innovation is complex, uncertain and almost impossible to manage (Tidd, Bessant and Pavitt, 2005, p. 571)

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Managing innovation going back to the basics…

• Planning • Organising • Controlling • Leading

The four functions of management

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Source: (de Waal et al., 2010)

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LEADING - Providing Innovative Leadership

• Being the innovation role model • Formulating a clear innovation vision • Destroying the corporate immune

system • Recruiting innovators and

entrepreneurs • Accepting the risk of spotting and

backing new ideas • Building an innovation climate and

culture

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PLANNING - Devising an Innovation Strategy Where?

Portfolio approach

Innovation Goals

Strategic fit

Business Strategy

Allocate resources Provide capability

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ORGANISING - Creating an Innovation supportive organisation

Innovative Culture

Strong customer focus

Intrapreneurship is encouraged

An openness to new ideas

Submission and sharing of new ideas by all employees

Risk-taking and acceptance of failures without punishment

Innovative Climate

Learning organization

Knowledge management

Cross-functional teams

Reward systems

Free time and sufficient resources for undertaking creative activities

Pleasant work environment

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ORGANISING - Establishing effective External Linkages

Collaboration

Networking

Open Innovation

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CONTROLLING - Defining and measuring appropriate Innovation Metrics

• Innovation Audits • If you don’t measure it, you can’t manage it!

Product Innovation example metrics: • Percentage of sales from new products • Number of patents registered • Number of NPD projects

Entrepreneurship and Innovation Health Audit

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CONTROLLING - Implementing effective and efficient innovation processes

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CONTROLLING - Using Innovation tools

Morphological analysis

Voice-of- the- customer

Brainstorming

QFD

Rapid prototyping

Mindmaps

In-market-testing

DFM TRIZ

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References de Waal, A., Maritz, P.A., Shieh, C.J. (2010). Managing Innovation: A typology of theories and practice-based implications for New Zealand firms. The International Journal of Organizational Innovation, 3(2), 35-57.

Tidd, J., Bessant, J., and Pavitt, K. (2005). Managing Innovation - Integrating technological, market and organizational change (3rd ed.). Australia: John Wiley and Sons.