Innovation Presentation

What will be covered
 Definition of innovation
 Three levels of innovation
 Methods to innovation
 Essentials of innovation
 Types of innovations
 Barriers of innovation
 Rules of innovation
 Theories of innovation
Definition of innovation
 Innovation is defined as the development and

implementation of new ideas by people who over time
engage in transactions with others within an
institutional order (Andrew H. Van de Ven, 1986).
Innovation …
 Innovation is defined as “the introduction of something
(1) consists of
new.” This something is further defined as “a new idea,
creating ideas
method, or device” (Ralph J. Damiano, Jr., 2011).
and properly
 Innovation is defined as “implementing new ideas that
putting them
create value” (Adnan, Özlem, Bozkurt & Arman, 2014)
into action, and
 Innovation could be defined as the central idea of
(2) outcomes of
implementing or adapting a new idea in a company
these ideas.
(Hage, 1999).
 Innovation is defined as well as a new idea that turns
into benefits, revenues and profits (Lafley & Charan,
2008).
Definition of innovation
 (1) innovation is defined as a novel, inventive

and usable solution, in either material or
immaterial space: an end-product, process or
method related to people’s practical needs and
purposes, and
 (2) innovation learning is defined as a problem
based and creative process of using and
implementing knowledge and skills in iterative
and critical manner in designing and making a
novel and practical solution with high usability.
Three levels of innovation
There are three ascending tiers of innovation as shown below. Each level dictates
the simplicity or complexity of the journey that will be undertaken.
1. Incremental Innovation
a. This consists of small, yet meaningful improvements in your
products, services, and other ways in which you do business.
b. These tend to be the "new and improved" innovations we are
all bombarded with every day: new flavours, shifts to better or
all-natural ingredients, packaging improvements, faster/slower
functioning, just-in-time supply chain enhancements,
bigger/smaller sizing, cost reductions, heavier/lighter weight.
c. These are see every day and they help extend product, service,
and business life cycles and improve profitability. They can be
easily visualized and quickly communicated and give you
something new with which to grab consumer attention in an
increasingly noisy marketplace.
Jay Terwilliger 2015
2. Breakthrough Innovation
a. This is a meaningful change in the way you do business
that gives consumers something demonstrably new
(beyond "new and improved").
b. Breakthrough innovation produces a substantial
competitive edge for a while, although the length of time
anyone can maintain such an advantage is growing
increasingly shorter.

3. Transformational Innovation
a. This is usually (but not always) the introduction of a
technology that creates a new industry and
transforms the way we live and work.
b. This kind of innovation often eliminates existing
industries or, at a minimum, totally transforms them.
For this reason, transformational innovations tend to
be championed by those who aren't wedded to an
existing infrastructure.
c. Transformational innovation is exceedingly rare.
Think about it: how many truly new-to-the-world
ideas happen in a year? In a lifetime? Not many!
Methods to innovation
Vianeo (2020) https://www.vianeo.com/6-methods-to-innovate/?lang=en

THE CK METHOD: creativity to better define

the idea / invention and its scope
CK method ( concept- knowledge) is a creativity
method which formalizes the process of
conceiving ideas, “unknown objects”.
Goal:As a research result at Mines Telecom, it
allows the synthesis between the space of
creativity ( Creativity ) and the space of
knowledge ( Knowledge ).
Result :It allows inventing or re-inventing
innovative products / services while framing the
thinking throughout the ideation process.
THE TRL METHOD: the validation of the

idea/invention solidity
The TRL method (Technological Readiness Level )
is composed of a 9 levels scale allowing to locate
the technology at its different stages of R & D:
literature, concept, proof of concept, lab
validation, demonstrator, prototype …
Goal: It is interesting to evaluate the maturity of
a technology for its financing in an R & D
program.
Result: It provides an ability to analyze the
technology solidity and thus rationalises the cost
of financing according to its stage of
development.
THE DESIGN THINKING METHOD : validation of unmet

needs today by existing solutions
Design Thinking is an approach, initially developed at Stanford
, centered on usage analysis and the continuous integration of
these analyzes in the definition of solutions. Its implementation
essentially uses techniques of observation, exploration and
usage analysis in real situations.
Goal: It allows to clearly define the outline of the problem to
be solved, which will give rise to innovation. Design Thinking
allows a process of usage analysis described through 5 main
steps: define, imagine, synthesize, prototyping, testing , by the
D- School of Stanford . Tim Brown of the IDEO design agency
described it in terms of 3 steps: desirability, feasibility and
viability.
Result : Design Thinking allows an approach combining both
THE LEAN STARTUP METHOD: design of the

offering deriving from the needs to satisfy
Described by Eric Ries in his book, the Lean Startup
method recommends an iterative design process of
the innovative offer based on 3 main steps: Learn ,
Build and Measure.
Goal: Inspired by agile software development
practices, the goal is to rely on short design cycles
to ensure that the effort to develop the offering will
focus on the expectations of users for each
function.
Result : The goal of setting up the Lean Startup
methodology is to develop the MVP (Minimum Viable
Product) and avoid phantasmagorical offers!
THE BLUE OCEAN METHOD: identification of new areas

of opportunity for one’s offering
Blue Ocean method is an exploratory method to identify
areas of need and usage that are not satisfied by existing
solutions and current “non-clients”/potential customers of my
offering
Goal: It allows, from the analysis of a market perimeter and
existing offers, to get out of a very competitive “red ocean”
and to consider “a blue ocean” in which some features of
one’s offer can be implemented with a high added value.
Result : The strategic canvas is a very operational and
efficient deliverable of the work done with this method,
allowing to immediately visualize the potential needs
unsatisfied by the existing solutions. It allows to open one’s
THE BUSINESS MODEL CANVAS: the definition of the

Business Model
Business model Canvas is a method based on an A4 canvas
divided into 9 rectangles. It can adapt as much to innovative
projects as to little innovative projects. LEAN STARTUP
CANVAS is an adaptation of the canvas for start-ups.
Goal: It allows to describe in particular the core of the
project activity, the operation of the “production plant” and
its purpose in terms of customers value proposition.
Result: Largely distributed and used today, it offers an
efficient and easily sharable support for synthesizing the
information's that make the strength and consistency of a
Business Model
THE BUSINESS MODEL CANVAS: the definition of the

Business Model
Business model Canvas is a method based on an A4 canvas
divided into 9 rectangles. It can adapt as much to innovative
projects as to little innovative projects. LEAN STARTUP
CANVAS is an adaptation of the canvas for start-ups.
Goal: It allows to describe in particular the core of the
project activity, the operation of the “production plant” and
its purpose in terms of customers value proposition.
Result: Largely distributed and used today, it offers an
efficient and easily sharable support for synthesizing the
information's that make the strength and consistency of a
Business Model
THE BUSINESS DESIGN METHOD: the design of the

market strategy
The Business Design Method of Vianeo based on the
ISMA360® method is a systemic strategic marketing
method. It presents the 20 key variables on which the
market strategy is based, and the relationships between
them. The method will help the project owner to be
guided by a structured thread to move from an idea to a
relevant business model.
Goal: It allows the owner of an idea / innovation to
explore its potential market: to become aware of key
questions, to provide answers, to structure these
answers to design a solid and coherent strategy.
Result : The owner validates the 5 proofs of value of
his/her project: legitimacy, desirability, acceptability,
feasibility and viability. From these solid foundations,
Essentials of innovation
To be sure, there’s no proven formula for success, particularly when
it comes to innovation (Marc de Jong, 2015), McKinsey.com.
1. Aspire
President John F. Kennedy’s bold
aspiration, in 1962, to “go to the
moon in this decade” motivated a
nation to unprecedented levels of
innovation. A far-reaching vision
can be a compelling catalyst,
provided it’s realistic enough to
stimulate action today.
2. Choose
Fresh, creative insights are invaluable, but in our experience
many companies run into difficulty less from a scarcity of new
ideas than from the struggle to determine which ideas to
support and scale. At bigger companies, this can be particularly
problematic during market discontinuities, when supporting the
next wave of growth may seem too risky, at least until
competitive dynamics force painful changes.
3. Discover
Innovation also requires actionable and differentiated insights—
the kind that excite customers and bring new categories and
markets into being. How do companies develop them? Genius is
always an appealing approach, if you have or can get it.
Fortunately, innovation yields to other approaches besides
exceptional creativity.
4. Evolve
Business-model innovations—which change the economics of the value
chain, diversify profit streams, and/or modify delivery models—have
always been a vital part of a strong innovation portfolio. As smartphones
and mobile apps threaten to upend old-line industries, business-model
innovation has become all the more urgent: established companies must
reinvent their businesses before technology-driven upstarts do. Why,
then, do most innovation systems so squarely emphasize new products?
The reason, of course, is that most big companies are reluctant to risk
tampering with their core business model until it’s visibly under threat.
At that point, they can only hope it’s not too late
5. Accelerate
Virulent antibodies undermine innovation at many large companies.
Cautious governance processes make it easy for stifling
bureaucracies in marketing, legal, IT, and other functions to find
reasons to halt or slow approvals. Too often, companies simply get in
the way of their own attempts to innovate. A surprising number of
impressive innovations from companies were actually the fruit of
their mavericks, who succeeded in bypassing their early-approval
processes.
6. Scale
Some ideas, such as luxury goods and many smartphone apps, are
destined for niche markets. Others, like social networks, work at
global scale. Explicitly considering the appropriate magnitude and
reach of a given idea is important to ensuring that the right
resources and risks are involved in pursuing it. The seemingly safer
option of scaling up over time can be a death sentence. Resources
and capabilities must be marshaled to make sure a new product or
service can be delivered quickly at the desired volume and quality.
Manufacturing facilities, suppliers, distributors, and others must be
prepared to execute a rapid and full rollout.
7. Extend
In the space of only a few years, companies in nearly every sector
have conceded that innovation requires external collaborators.
Flows of talent and knowledge increasingly transcend company
and geographic boundaries. Successful innovators achieve
significant multiples for every dollar invested in innovation by
accessing the skills and talents of others. In this way, they speed
up innovation and uncover new ways to create value for their
customers and ecosystem partners.
8. Mobilize
How do leading companies stimulate, encourage, support, and reward innovative
behavior and thinking among the right groups of people? The best companies
find ways to embed innovation into the fibers of their culture, from the core to
the periphery.
They start back where we began: with aspirations that forge tight connections
among innovation, strategy, and performance. When a company sets financial
targets for innovation and defines market spaces, minds become far more
focused. As those aspirations come to life through individual projects across the
company, innovation leaders clarify responsibilities using the appropriate
incentives and rewards.
Types of innovations
1. Incremental Innovation
• Incremental Innovation is the most common form of
innovation.
• It utilizes your existing technology and increases value
to the customer (features, design changes, etc.) within
your existing market. Almost all companies engage in
incremental innovation in one form or another.
• Examples include adding new features to existing
products or services or even removing features (value
through simplification).
2. Disruptive Innovation
• Disruptive innovation, also known as stealth innovation, involves applying
new technology or processes to your company’s current market. It is
stealthy in nature since newer tech will often be inferior to existing market
technology. This newer technology is often more expensive, has fewer
features, is harder to use, and is not as aesthetically pleasing. It is only
after a few iterations that the newer tech surpasses the old and disrupts
all existing companies. By then, it might be too late for the established
companies to quickly compete with the newer technology.
• There are quite a few examples of disruptive innovation, one of the more
prominent being Apple’s iPhone disruption of the mobile phone market.
Prior to the iPhone, most popular phones relied on buttons, keypads or
scroll wheels for user input.
3. Architectural Innovation
• Architectural innovation is simply taking the lessons, skills and overall
technology and applying them within a different market. This innovation
is amazing at increasing new customers as long as the new market is
receptive. Most of the time, the risk involved in architectural innovation
is low due to the reliance and reintroduction of proven technology.
Though most of the time it requires tweaking to match the requirements
of the new market.
• In 1966, NASA’s Ames Research Center attempted to improve the
safety of aircraft cushions. They succeeded by creating a new type of
foam, which reacts to the pressure applied to it, yet magically forms
back to its original shape. Originally it was commercially marketed as
medical equipment table pads and sports equipment, before having
larger success as use in mattresses.
4. Radical innovation
• Radical innovation is what we think of mostly when
considering innovation. It gives birth to new industries (or
swallows existing ones) and involves creating revolutionary
technology. The airplane, for example, was not the first
mode of transportation, but it is revolutionary as it allowed
commercialized air travel to develop and prosper.
• The four different types of innovation mentioned here –
Incremental, Disruptive, Architectural and Radical – help
illustrate the various ways that companies can innovate.
There are more ways to innovate than these four. The
important thing is to find the type(s) that suit your company
and turn those into success.
Barriers of innovation
1. Fear
The single biggest reason why most organisations and
individuals do not achieve their full potential is fear of
failure. There are no guarantees that any new idea will
work. We must accept failing is an important part of
learning, development and progress.
“People demand innovation: something no one has done
before. But they also want to know for sure it will work.
Which of course makes no sense at all.”
Ken Burnett
2. Lack of leadership
Innovation must be led from the top. Often,
trustees, chief executives and directors do not
support or are not in agreement as to the
strategic importance of innovation as a
business driver and what it would look like for
their organisation. Consequently, they
continue to do what they have always done.
3. Short term thinking

Most charities calculate on a one year return on investment.
Any new innovation is expected to have immediate impact.
Under the pressure to deliver return quickly we
conduct inadequate research and rush processes, leading to
failure, the
idea being ditched and innovation being perceived as not
working.
“There are few (if any) visible examples of larger charities
that have deployed strategic innovation and shown it is
successful. No one has ever committed to it for long and
consistently enough”
Iain McAndrew
4. Lack of resource/capacity
Linked to thinking in the short term, charities are
apprehensive about investing in something that does not
have guaranteed return on investment
and often take a scattergun approach to innovation or
under-resource it. This has a knock on
effect of it not delivering the impact that it should or
could.
“Hardly anyone has a research and development budget:
expenditure with no income against it for testing”
Sean Triner
5. Lack of collaboration
Internal budgeting and structures don’t
always facilitate collaboration between
teams. Individual income targets
mean people fight over budgets and are
reluctant to ‘share’ donors, even if the
return for the organisation could
be potentially higher if teams worked
together.
6. No time
There is an understandable focus on the
fundraising here and now. However, if we don’t start to
make time to take a more long-term view and
develop and test new ways to generate income,
charities will struggle to survive.
“People haven’t got time, space, money or the will to
focus on something that will give them a result 3/5 years
along the line.”
Mark Butcher
7. Lack of focus
If an organisation is not clear on where to
focus, it can easily spend time on activity
that won’t make a difference. It’s easy to
become distracted by new products and
new technology, but if it isn’t helping you
achieve your mission then you should
not be investing time and resource in it.
“Lots of people doing stuff is not really
innovation if it isn’t the right stuff”
Ben Welch
8. Lots of ideas, no delivery to market

Having ideas is not a problem for most
organisations, but having
relevant ideas and progressing them can be
incredibly hard.
“The sticking point is that people say they
want to be innovative. They come up with
ideas and then don’t do anything”
Craig Linton
9. No clear process
A process is critical to filter and drive
ideas forward, yet only 32% of those surveyed
have a clear process in place for innovation.
“So many ideas slowly die in organisations as they
don’t have a structure or processes for taking
ideas forward”
Craig Linton
10. Lack of urgency

Despite significant changes to the funding landscape and the
economic environment, charities are not responding with urgency to
change. Perhaps they believe that if they do nothing they will be OK,
or it seems too difficult to think strategically with so many immediate
day-to-day pressures.
“People focus on the here and now ␣ the immediate problems they
face to get through the current financial year. The time to think
about innovation is tomorrow.”
Mark Butcher
Years on, have things changed? Do these

barriers still exist? Are these the same
barriers for any organisation or is the not-
for-profit sector unique? Are there more
factors that inhibit our ability to innovate or
have we cracked innovation now?
Rules of innovation
Take a slightly broader view and it

becomes clear that innovation today
goes far beyond research labs, Silicon
Valley pitch meetings and large
corporate initiatives. We all have
something to offer and can add to the
world’s knowledge in a way that may
differ in degree, but not in kind, to the
giants of the past. Grep Satell (2022)
Rules of innovation
Rule 1: Innovation Is Never A Single Event

Alexander Fleming discovered penicillin in 1928, but it wasn’t until 15
years later, in 1943, that the miracle drug came into widespread use.
Alan Turing came up with the idea of a universal computer in 1936, but it
wasn’t until 1946 that one was actually built and not until the 1990’s that
computers began to impact productivity statistics.
Grep Satell (2022)

Rules of innovation
Rule 2: Innovation Is Combination

The reason that Fleming was unable to bring Penicillin to
market was that, as a biologist, he lacked many of the
requisite skills. It wasn’t until a decade later that two
chemists, Howard Florey and Ernst Boris Chain, picked up
the problem and were able to synthesize penicillin. Even then,
it took people with additional expertise in fermentation and
manufacturing to turn it into the miracle cure we know today.
Grep Satell (2022)

Rules of innovation
Rule 3: First, Ask The Right Questions

Too often, we treat innovation as a monolith, as if every problem
was the same, but that’s clearly not the case. In laboratories and
factory floors, universities and coffee shops, or even over a beer
after work, people are sussing out better ways to do things. There
is no monopoly on creative thought.
Grep Satell (2022)

Rules of innovation
Rule 4: There Is No Optimal Size For

Innovation
When most people think about innovation, they think about start-
ups. And certainly, new firms like Uber, Airbnb and Space X can
transform markets. But others such as IBM, Procter and Gamble
and 3M have managed to stay on top for decades, even as
competitors rise up to challenge them and then, when markets shift,
disappear just as quickly into oblivion.
Grep Satell (2022)

Rules of innovation
Grep Satell (2022)

Rules of innovation
Grep Satell (2022)

Theories of innovation
Background
• There are many innovations being developed every A Theory
day around the world. ….. a plausible or
• Some make it to the national and international stage scientifically
becoming a ubiquitous part of everyday life. Some acceptable
innovations become important for select groups of general principle
people and unknown to individuals outside of those or body of
user groups. principles offered
• Many more innovations never make it too far outside to explain
their close circle of developers. phenomena
• What causes one innovation to change the manner in
which society functions and another to be cast off into
nonexistence has been the subject of research and
analysis with experts drawing different models and
developing overlapping theories as to the cause of
successful diffusion of innovations.
Gennaro Cuofano (2022)

The history of Bell Labs, and how its mother

company AT&T’s corporate structure evolved over
the year is important to understand
how innovation looked like by the end of the 1800s,
until the 1950-60s. It’s important to remark that each
time has its own features. And the sort of context that
developed in these decades also made possible the
development of Bell Labs.

Rogers’ Innovation Diffusion Theory

In 1962 Everett Rogers introduced his Innovation Diffusion Theory
(IDT) which has been referenced often in case analysis since. It
provides a foundation for understanding innovation adoption and
the factors that influence an individual’s choices about an
innovation. Rogers’ theory is broad in scope which lends itself to
being flexible across many contexts but also difficult to use as a
process model when planning for organizational change due to
adoption of an innovation (Straub, 2009).

Hall’s Concerns-Based Adoption Model

Stemming from the need for a model particular to educational
environments due to their traditional top-down approach to change,
Hall (1979) developed the Concerns-Based Adoption Model (CBAM).
CBAM approaches innovation adoption from the perspective of those
impacted by the adoption of the innovation and also charged with
implementing the subsequent change – namely teachers in an
educational context. The idea is that by addressing the concerns of
the teachers during the adoption process, the challenges experienced
during the change process will be lessened. There are six
assumptions in CBAM:

Hall’s Concerns-Based Adoption Model

Stemming from the need for a model particular to educational
environments due to their traditional top-down approach to change,
Hall (1979) developed the Concerns-Based Adoption Model (CBAM).
CBAM approaches innovation adoption from the perspective of those
impacted by the adoption of the innovation and also charged with
implementing the subsequent change – namely teachers in an
educational context. The idea is that by addressing the concerns of
the teachers during the adoption process, the challenges experienced
during the change process will be lessened.

There are six assumptions in CBAM
1. Change is a process, not an event.

2. Change is accomplished by individuals.
3. Change is a highly personal experience.
4. Change involves developmental growth.
5. Change is best understood in operational terms.
6. The focus of facilitation should be on individuals,
innovations, and context. (Straub, 2009)

Technology Acceptance Model

Continuing along the theme of opinions and attitudes impacting
innovation adoption, Davis’ (1985) Technology Acceptance
Model (TAM) asserts that it is in fact a potential adopter’s
attitude and expectations of the innovation that affects the
chances for its adoption (Davis, 1985). Two focus concepts in
TAM are how the innovation is perceived by the potential
adopter related to its ease of use
– how easy the innovation will be to learn and implement – and
its potential usefulness
– the degree to which the innovation will improve the user’s
personal or job-related performance (Straub, 2009).

The Chocolate Model

These impactful factors can also be seen in Diane Dormant’s
more recent model – The Chocolate Model – for innovation
adoption and change (Dormant, 2011). The Chocolate Model
focuses on innovation adoption and change related to an
organization. It is structured around four elements: change,
adopters, the change agent(s), and the organization – CACAO
when made into an acronym for ease of recollection and use for
planning. Unlike Rogers’ Innovation Diffusion Theory, the
Chocolate Model can be applied when planning for organizational
change and innovation adoption.

The process flows as follows:
• first, analyze the change whether it is a new system or innovation

(Dormant, 2011). This is similar to the first step of seeking knowledge that
is in Rogers’ (2003) adoption process.
• The second step is to analyze the adopters of the change.
• Third, identify the change agents. At this point, a plan is developed.
• The next step is to examine the organization where the change process is
expected to occur as well as analyzing the larger context of the
organizational change – how it impacts other aspects of the whole
organization. Before implementing, the plan may be revised based on the
outcomes of the organizational analysis (Dormant, 2011).

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What will be covered

 Innovation is defined as the development and

 (1) innovation is defined as a novel, inventive

Jay Terwilliger 2015

Vianeo (2020) https://www.vianeo.com/6-methods-to-innovate/?lang=en

THE CK METHOD: creativity to better define

THE TRL METHOD: the validation of the

THE DESIGN THINKING METHOD : validation of unmet

THE LEAN STARTUP METHOD: design of the

THE BLUE OCEAN METHOD: identification of new areas

THE BUSINESS MODEL CANVAS: the definition of the

THE BUSINESS MODEL CANVAS: the definition of the

THE BUSINESS DESIGN METHOD: the design of the

3. Short term thinking

8. Lots of ideas, no delivery to market

10. Lack of urgency

Years on, have things changed? Do these

Take a slightly broader view and it

Rule 1: Innovation Is Never A Single Event

Grep Satell (2022)

Rule 2: Innovation Is Combination

Grep Satell (2022)

Rule 3: First, Ask The Right Questions

Grep Satell (2022)

Rule 4: There Is No Optimal Size For

Grep Satell (2022)

Grep Satell (2022)

Grep Satell (2022)

Gennaro Cuofano (2022)

The history of Bell Labs, and how its mother

Gennaro Cuofano (2022)

Rogers’ Innovation Diffusion Theory

Gennaro Cuofano (2022)

Hall’s Concerns-Based Adoption Model

Gennaro Cuofano (2022)

Hall’s Concerns-Based Adoption Model

Gennaro Cuofano (2022)

There are six assumptions in CBAM

1. Change is a process, not an event.

Gennaro Cuofano (2022)

Technology Acceptance Model

Gennaro Cuofano (2022)

The Chocolate Model

Gennaro Cuofano (2022)

The process flows as follows:

• first, analyze the change whether it is a new system or innovation

• The second step is to analyze the adopters of the change.

• Third, identify the change agents. At this point, a plan is developed.

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