application_of_innovative_thinking.pdf

8/14/2019 Application_of_innovative_thinking.pdf

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Application of innovativethinking."When all think alike, then no one is thinking."


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Introduction to ModuleThis module aims to introduce you to the very heart of innovative thinking. By now you must be already aware that

the process of innovation in business is structured and requires the participation of more than one mind.

In 1953 in his book titledApplied Imagination, Alex Faickney Osborn introduced the concept of Brainstorming. Till

today it remains a very powerful technique to innovate in Business.

Brainstorming is a group creativity technique designed to generate a large number of ideas for the solution of a

problem. The key word in the definition is problem. Haven`t we all heard the age-old saying Necessity is the

mother of Invention ?

Quite rightly so. Most inventions that are not born from a necessity ends up becoming an Orphan invention .

To avoid that it is necessary to first understand the problem at hand. Or in simpler words you need to know what is

inside the box, to start thinking outside the box.

In this module we would try to understand the basis of innovative thinking. We would try to understand some

pitfalls that make an innovation fail. To end it up we would try and put our skills in practice to check out how

innovative we can get.

However one thing must be remembered always. An innovator should be ever prepared to fail.


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Idea generation and selection

Design of a typical Brainstorming session


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So what sort of idea is generated?We need to generate ideas to overcome problems. When faced with a problem our instinct makes us ask

ourselves a simple question : When I faced a similar problem earlier how did I get over it ?But the question is how often do we face the same problem over and over again? Unfortunately most of the

time problems are unique and unprecedented for us. Moreover, even for an identical problem , different

situations might demand totally different solutions.

In such a case are we left with any option but to chalk out a novel way ahead? That is the root cause of Idea

Generation.

Like shown in the diagram above most Idea generation techniques require teamwork. Every person in a team

has an unique way of attacking a problem. Now each approach has it`s merits and limitations. The best idea

emerges by collaborating the merits of different suggestions by different people.


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Some more Sample Brainstorms :


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Matrix AnalysisBriefly describe a problem for which you need a creative solution

Select the two key variables that impact this problem

On a piece of paper, make a 2-dimensional matrix, and label one axis with the first variable and the other axis with the secondvariable

Along each axis, write all the possible sub-variables for each variable

Draw lines from each axis so that "squares" are formed, representing the combination of one sub-variable from each axis

Brainstorm ideas for each square combination, for those squares that seem most promising, or for random squares in order to

spur out-of-box solutions

Example : The literacy level in a village may be low (


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SCAMPER AnalysisSSubstitute (e.g., components, materials, people)CCombine (e.g., mix, combine with other assemblies or services, integrate)

AAdapt (e.g., alter, change function, use part of another element)

MMagnify/Modify (e.g., increase or reduce in scale, change shape, modify attributes)

PPut to other uses

EEliminate (e.g., remove elements, simplify, reduce to core functionality)

RRearrange/Reverse (e.g., turn inside out or upside down)

A problem is identified when there is a difference between the existing state and desired state. For example, a

company may desire that the total cost of manufacturing an item be Rs.100. However presently themanufacturing cost is Rs. 120. Thus the task at hand is to bring down the manufacturing cost by Rs. 20.

SCAMPER analysis provides 7 different approaches (check table) to such problem solving. It could be that

substituting present manufacturing equipments with modern versions of the same could lead to cost reduction.

An alternate option for achieving cost reduction could be elimination of a certain component ( without affecting

the final product) . For each approach it is important to weigh the Pros and Cons before selecting the final

approach(S) . For a more detailed understanding of SCAMPER read the following document : Click Here
http://application%20of%20innovative%20thinking%20-attachment%20i.pdf/http://application%20of%20innovative%20thinking%20-attachment%20i.pdf/


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Innovation Styles

Visioning Experimenting

Exploring Modifying

Styles

Every innovator doesn`t possess the same innovation

style. Based on research four major types ofinnovation style has been listed (See diagram).

Visioning : Some innovators totally focus on end

result. They visualize what they want to create and

let their Vision guide them.

Exploring : Here initial ideas are born from instincts.

Such innovators associate a feeling of adventure with

innovation and are motivated by the process more

than the end-result.

Experimenting : When people use the Experimenting

Style, they emphasize fact finding and informationgathering. They seek solutions by applying pre-

established processes and trial and error.

Modifying : This style is dominated by discipline and

precision. People who take a modifying approach to

innovation are most comfortable working with facts

and making decisions.

"Let's develop a clear sense of purpose and goals

to focus and drive the creative energy.

- Visioning Innovator

"Let's explore in new directions and see where

we end up. - Exploring innovator

"Let's build on what we already have and make

improvements where necessary.

- Modifying innovator

"Let's see what happens if we take existing

elements and combine them in new ways.

- Experimenting innovator


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Understanding the consumerEven the most innovative firm is likely to fail if they refuse to understand the

consumer! What motivates all innovation in business is the final exchange of goods

for money that happens at the point of sales. It is thus the customer who finally

rewards an innovation. Unless an until an innovation impresses this customer a firm

cannot expect any reward.

In order to be able to impress a customer it is important to understand her first. A firm

has to understand the needs and behavior of a customer with utmost details before

innovating solutions for her needs.To understand the customer well it is important to talk to the customer herself.

However this act of talking is not as easy as it seems. No customer really can express all

her needs articulately. They just drop hints using which a firm is expected to derive

information. There are a number of techniques that a firm uses to derive this

information. This very act of a firm talking to it`s customers is known as Market

Research.

Haven`t we all (as customers) filled up feed-back forms?

Like we said the future of an innovation depends on it`s acceptance by customers.

What customers seek is Value. The perceived value is defined as the ratio between

Perceived benefits and perceived cost. Thus Perceived Value is high when the

benefits are high and the cost is low. Benefits are high only when a customer feels so.

She feels so when it satisfies her needs. For high benefits a customer is willing to pay

the price.

Hence, it is important for a firm to convince customers that the perceived benefits of

an offering is higher than the perceived cost.


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Assignments1.

Identify 2 Variables that can be used to classify B-schools. Break-up the variables into sub-variables. Using this make a matrix that would help to classify B-schools. Give a name to

every cell in the Matrix.

e.g 2 Variables that can be used to classify Cricketers is Fitness & Recent Performance.A matrix could be :

Performance

Fitness

good bad

good Long term assets Useless atheletes

poor Short term wonders The dead

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