Digital Innovation

Explained in the context of four important questions

 Context

The last time I spoke: Design Thinking

Today: Digital Innovation

 Context

Important for your design thinking assessment.

 Context

Possible references for future R&R or journal

writings.
 Context

Inspiration for questions to ask future guest

speakers.
 Innovation

Innovation is the #1 issue facing IT over the next

five years*

*Do you agree?

 Innovation

Lots of technology
+
Lots of demand
=
Innovative services & products
 Innovation

Technica
Process
l

Products
Business
&
models
services
 Innovation

Innovators (and innovative organisations) need

innovation to be systemic, repeatable,
sustainable process

Recall: Design Thinking lecture

 Innovation

IT enables, facilitates and accelerates change

Remember: need to also understand social,

economic, business, regulatory trends
 Question 1

What technology trends influence innovation?

Top 10 Technology Trends (Deloitte)

Industrialised
crowd
sourcing
Cognitive Digital
analytics engagement

CIOs as
venture Disruptive Wearables
capitalists
Top 10 Technology Trends (Deloitte)

Cloud
orchestration
Social In-memory
activation revolution

Real-tem
Technical
debt reversal Enabling development
opportunities
Gartner – top 10 trends
Gartner Hype Cycles
Gartner – Internet of Things
 Questions 2 & 3

What are the different characteristics of

innovation?

How can innovation be facilitated?

 Characteristics of Innovation

Disruptive, radical, revolutionary, discontinuous

innovations affect markets.
 Characteristics of Innovation

Sustaining, incremental, evolutionary

innovations affect competition within a market.
 Characteristics of Innovation

Incremental innovation implies small

improvements to existing products or services.
Diffusion of Innovation
 Innovation Matrix

http://www.kyivpost.com/opinion/op-ed/digital-tonto-four-types-of-innovation-and-h
ow-to-1-127844.html
http://www.3ders.org/articles/20130918-european-commission-seeks-capital-of-innovation-to-
stimulate-3d-printing-and-digital-design.html
Blue Ocean Strategy
Blue Ocean Strategy
 Question 4

How will digital innovation play out in different

industries?
 PWC: Government

Partnerships Reducing the

with the overall cost
private of service
sector delivery

Potential
triggers

http://www.digitalinnovation.pwc.com.au/
 PWC: Government
Standardised
framework for
Open access to
government
government
interaction at both
resources and data
national and state
level

Increase of Greater interaction

government and funding for
services and SME digital
interactions online innovation
Key
disrupters

http://www.digitalinnovation.pwc.com.au/
 Gartner - Government

Innovation should be a systemic, sustainable

process.

Context is important – social, economic,

regulatory driving factors.

Be aware of different types of innovation.

 Smart Cities

Barcelo- Copenha- Helsinki, Vienna, Grenoble,

na, Spain gen, Finland Austria France
• Smart City Denmark • 1,200 open • Transport • Vehicle share
Expo data sets • Electric – electric
• Minimal
• Public Wi-Fi • Energy use – vehicles, vehicles
carbon
infrastructur footprint smart bike & car-
e meters share

http://mashable.com/2015/02/20/smart-cities-europe-brandspeak/
 PWC: Construction

Technology Increasingly
substitution of complicated
traditional designs with
manual labour cost constraints

Potential
triggers

http://www.digitalinnovation.pwc.com.au/
 PWC: Construction
Use of 5D Building
Information Modelling
(BIM) to increase
collaboration -
decreasing costs
through a virtual
environment
Smart materials
requiring less
Global crowd sourcing
maintenance and
of design skills through
eventually moving to
virtual platforms
self repairing
(nanotechnology)

Key
disrupters
http://www.digitalinnovation.pwc.com.au/
Eco-innovation (Saint-Gobin)

https://www.saint-gobain.com/en/innovation/innovation-saint-gobain
 PWC: Manufacturing

Competition
New disruptive
driving greater
technologies
need for
like 3D printing
efficiency

Potential
triggers

http://www.digitalinnovation.pwc.com.au/
 PWC: Manufacturing
Explosion of sensors
and big data to
monitor and drive
efficiencies within
manufacturing
process, environments
and supply chains
3D printing changing Utilising social
the economics and collaboration tools to
convenience of tap into the power of
manufacturing and the crowd and solve
introducing new complex problems or
competitors co-create

Key
disrupters
http://www.digitalinnovation.pwc.com.au/
 Gartner: Manufacturing

By 2017, manufacturers
Over 90% -
Nearly 75% - leveraging
More than 80% -
increased number external and OI
3D printing as
of sensors in practices for new
prototyping tool,
products, but product
but limited
lagging with development, but
translation into
digital data self-inflicted
operations
integration hurdles will
downstream.
capabilities. continue to limit
impacts.
Rolls Royce
 PWC: Education
Expansion of
MOOCs from
Employer
higher education
acceptance of
to K-12 and
online courses
employer
education

Potential
triggers

http://www.digitalinnovation.pwc.com.au/
 PWC: Education
Global
aggregation and
distribution
Digital through digital
collaboration platforms
tools to simulate Continued
‘in-person’ innovation in
learning accreditation,
assessment and
authentication

Key
disrupters
http://www.digitalinnovation.pwc.com.au/
 Gartner: Education

Are You an Analog Leader or a Digital Leader?

 Gartner: Education

Analog leaders are executives who apply IT to create

online versions of current institutional “business”.
 Gartner: Education

Digital leaders are executives who create new value

using digital technology and assets to build new digital
institutional business models that transform value,
funding and performance.
PWC: Resources
Dwindling
global demand
and
compressing
margins

Potential
triggers

http://www.digitalinnovation.pwc.com.au/
 PWC: Resources
infrastructure to monitor
Increasing automation of
mining operations from
drilling and extraction to
driverless trucks and
trains
Connected sensory
plant process, stockpile
conditions and to drive
maintenance workflow
Utilising big data and
cloud capabilities to drive
exploration efficiency,
anticipate costs,
production volumes and
to determine commodity
pricing
Key
disrupters
http://www.digitalinnovation.pwc.com.au/
Driverless Trucks
 Key points
Innovation should be a systemic, repeatable,
sustainable process.

Context is important – social, economic,

regulatory driving factors.

Technology enables different types of

innovation.
Innovation of the week

Augmented reality at Westpac

Any questions?
 Any questions?

Can you identify one important technology

trend that will influence innovation?
 Any questions?

Consider a technology innovation in a particular

industry.

Was the innovation disruptive or incremental?

 Any questions?

What are the most important components of a

sustainable innovation ecosystem?
 References
Gartner 2013, The Gartner Higher Education Business Model Scenarios:
Digitalization Drives Disruptive Innovation and Changes the Balance, published on
27 March 2013 by Gartner Inc.
Gartner 2014a, Hype Cycle for the Internet of Things, 2014, published on 21 July
2014 by Gartner Inc.
Gartner 2014b, Hype Cycle for Digital Government, 2014, published on 22 July 2014
by Gartner Inc.
Gartner 2015a, Predicts: 2015: The Rise of Digital R&D Innovation for
Manufacturers, published on 10 December 2014 by Gartner Inc.
Gartner 2015b, The Top 10 Strategic Technology Trends for 2015, published on 16
January 2015 by Gartner Inc.
Hillard, R 2014, Tech Trends 2014: Inspiring Disruption, Deloitte Touche Tohmatsu,
viewed 11 March 2015
Kim, WC & Mauborgne, R 2005, Blue Ocean Strategy, Harvard Business School
Publishing, Boston, Massachusetts.http://www.deloitte.com/au/techtrends
Rogers, EM 2010, Diffusion of Innovations, Simon and Schuster
 Thank you

Today’s guest: Professor Allan Evans, UniSA’s

Provost