PROCESS INNOVATION

WITH EMERGING
TECHNOLOGIES
By Lee Marston
 Designing innovations:
Co-evolving problems and solutions
2

Solution Design Problem

?
Innovation

“Its not a creative leap, it’s the building of a bridge based on a key co
- Kees Dort, Delft University
 SCM Innovation Opportunities
3

 Extended
processes
Technolo
gy
Process  Flexible
 Rapid
Innovation response
 Customer
experience
Business driven
Model
 Predictive
ERP Systems have enabled supply
chain innovation for over 20 years
 Mobile computing innovations also
have been a driving force in SCM
5

 Smart Mobile Devices

 Voice, Video, Image Technologies
 GPS + Satellite
 Broadband connectivity
 RFID tags Hand-Held Computers

eCommerce
Laser Printable RF Voice Directed Work
Tags
We are now entering another new era
of technology introductions and growth
 Smart computing will enable the next
evolution of SCM
7

Text,
Image, Predictive
Video,
Voice
Image Analysis Event Driven
Recognition
DSR
Speech to
Awareness Text
Action
RFID

Context-
Aware Business
Rules
Alternatives Engines
CRM
Workflow

Framework from Forrester Research, 2009

 Information delivery is becoming
8
context aware

 How do we capture and

display information at
the point of service
 How do we define
context
 Do we see a place for
single purpose
applications like mobile
applications
(microapps)?
 The Patterns of Discovery
9

 What decisions
can the computer
make that the
human used to
make

Algorithm
Unknown s

Generalizations Codified
 When you have access to information
all the time, you start to rethink
10 processes

 What data can we

capture with more
granularity
 How does more
and better
information
change the way
we design
processes
 21st century process innovation
11
through smart computing
1. The physical and virtual will continue to align
2. More information for decision making
3. Computers will make more process decisions
using sense and respond capabilities
4. Processes will become more user driven due to
micro applications
5. Processes will be more portable – no longer tied
to a single type of computer, user, or location
 In a world of sensed objects, DSR
12
must plan for many contingencies
Expected Sensed

Expected &
Expected, but not
Sensed, but Sensed, but not
not Desired
sensed or desired expected or desired

Expected,
Sensed
Sensed &
Expected & & Desired Desired, but
Desired, but
not Expected
not Sensed

Desired, but not

expected or expected
or sensed
Steve Benford, ACM Transactions
on Computer-Human Interaction,
March 2005
Desired
Smart Computing Examples
Can you imagine how emerging
technologies will change your supply
chain?
14 Process automation
Evolution in Self-Service
Vending takes on new dimensions
 Hospitality powered by technology
16
17 A normal hotel room?
18
19
20
 The restaurant that never closes
21
22
23
24
25
26
 How about workout and a game?
27
28
 Printing tomorrow’s flight boarding
pass wirelessly to the business office
29
 Time to check out!
30

Redesigning the service delivery chain from

the customer/consumer’s experience
The 5 rules of self-service design

 Know your customer

 Make self-service
compelling
 Focus on functionality
 Align with company
business model
 Location, location, location
New Service Models
“Power-by-the-hour”
Rolls Royce: From selling
engines to selling thrust…
Sense
Acquire ACMS Reports
via ACARS
Global Network
eg: SITA
Engine Monitoring
Unit Transfer
Ground-based
QAR, DFDR information,
e.g. oil uplift

Flight Log Ground

Sheets Station
24x7 Engine Health Center

Maintenance Centre
Condition monitoring,
Analyse
Data processing & storage,
Data access & reports,
Forecasting services
Customer

Internet, e-mail, pager Act

OEM
Service Rep

Courtesy Rolls-Royce Plc

34 New business models
Redefining a rental car company
35
36

Fuel

Insurance

Mileage

Congestion
charge (London)
 Online car search
37
 Online reservations
38
 Same process with mobile phone
39
 Electronic Key
40
 A Turn-Key
Experience…Litera
lly

41
Extending processes
Healthcare in the 21st Century
43
 The informated Helmet
44

What looks like six marshmallows

stuffed between the helmet's padding
and the outside shell are actually
foam-encased sensors that
measure the acceleration of a
player's head during a hit.

They determine magnitude,

direction, location on the head,
duration, and time of impact.
(Some players can receive up to
2,000 head blows each season.)
 Impact
45

Upon impact, the sensor immediately

assesses the collision.

A recent example featured smaller player

was knocked off his feet, his head
accelerating at 158 G's. Anything above
100 G's is a sign to look for concussion.
 Sensing Data
46

As the player is still trying to get up, the

impact data are transmitted to the
sideline computer console.
 Shaping Data
47

If the hit exceeds a certain threshold,

mobile phones on side-line staff light up
and the player's condition must be
assessed.

New NFL rules state that if a player

exhibits any signs of concussion he must
leave the field for the day.
 Response
48

Instantly the information goes into a

database. Teams, doctors, and
Simbex can later examine the data
via a web-based service that helps
them zero in on dangerous plays.
Extending processes to customers

Mobile Eye Exam

A doctor who “knows” his customers
 Exposing counterfeit drugs
51
 Personal health monitoring
52
 Managing Medicine Intake
53

To monitor the intake of medicine, Proteus has created a system that embeds tiny sensors in
pills. When the sensor's chip comes in contact with stomach fluids, it powers up for about five
minutes and communicates with a patch worn on the torso. The information can then be
conveyed wirelessly via mobile phones to patients and their caregivers. The patch can also
keep tabs on sleep patterns and activity levels.
 Cardio monitoring made easy
54

This water-resistant device adheres to the skin and automatically detects, records,
and transmits physiological information via wireless connection to help physicians
diagnose and treat cardiac arrhythmias.
 Virtual doctor visits
55

Using a device, which can be wireless, patients can do two-way video calls with
their doctors, as well as collect vital-sign measurements and respond to surveys.
56 Design the experience
The Nespresso Solution

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

57

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

 (c) Lee Marston + Maria Rey, Atlanta 2011 58

8/8/2011
 Customer Reach
59

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

 Product Presentation
60

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

 (c) Lee Marston + Maria Rey, Atlanta 2011 61

8/8/2011
 Packaging
62

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

 Home Assembly
63

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

To drive adoption of new
technologies for innovation---

We have to prove they

work!
There are three ways to respond
to uncertainty

Experimentation
The search for new technology

Foreign &
Commonwealth
KEP
Office

Research Board
Government
Industry
VC Firms
Forums

Major
Academia CTO Companies

Research
Firms Consultants
IT
Suppliers

66
A formal innovation advocacy
process

RELEVANCE
FILTER
Industry Trends TECHNICAL
FILTER
ECONOMIC
FILTER
Venture
capitalists
Functions
Tech Innovation 18
Pilots Pilot months

Universities

Segments

Other Boards
 The Innovation Process
68

Technolo Concept/ Sponsors Adoption

Relevanc Experiment
gy Idea for & &
e Filters s& Pilots
Advance Use Funding Diffusion

(c) Lee Marston + Maria Rey, Atlanta 2011 8/8/2011

 A Space to Link Solutions (Potential)
and Technology: The Innovation Lab
69

Lab in a Box

Creative Available Stakeholder

Concept
Insight Technologies Values

Preparatio Innovation Innovation Experimentatio

n Concept Partners n Team

Build
Conduct Develop Proof
Execution Business
Experiments of Concept Case
70 ASDA Stores UK: The Innovation Lab
Connecting Problems + Technology + Solutions…
…and Business Cases!
 Does whole cart scanning really work?
71
 Test RFID for inventory control
72
 Is it affordable?
73
 The Unexpected Business Case
74
 Tele-presence by Cisco
Connecting England & Bentonville
75
 How will you use smart computing to
innovate your supply chain?
76

Text,
Image, Predictive
Video,
Voice
Image Analysis Event Driven
Recognition
DSR
Speech to
Awareness Text
Action
RFID

Context-
Aware Business
Rules
Alternatives Engines
CRM
Workflow

Framework from Forrester Research, 2009

Thank you

Lee Marston
lee.marston@celsc.org
001-415-218-0202