value shoaib

8/13/2019 Value Shoaib

1/16

ASSIGNMENT

Marketing Report

Surf Excel Washing Detergent Submitted To:

Mam. Meena Yousaf

Submitted By:

Sheikh Omer MBD-11-02

Tahzeeb Zahra MBD-11-07

Mehwish Athar MBD-11-26

Shoaib Akhtar MBD-11-35

Sehrish Ayub MBD-11-36

Shehzadi Liaqat MBD-11-49

M Yousaf Rasool MBD-11-58

Date:

November 13,2013.


2/16

Value Innovation


3/16

What is Value.............?

Define Value

To attracts customers The extent to which a good or service is perceived by its customer to meet his or her

needs or wants, measured by customer's willingness to pay for it. It commonly dependsmore on the customer's perception of the worth of the product than on its intrinsic value.

What is Innovation...........?

Define Innovation

Innovation is the process and outcome of creating something new, which is also of value.The New Oxford Dictionary Innovation means that

Making changes to something established by introducing something new.

Definition of Value Innovation

Innovation is the process of making changes to something established by introducingsomething new that adds value to customers and contributes to the knowledge store of theorganization.

Innovation involves the whole process from opportunity identification, ideation orinvention to development, prototyping, production marketing and sales, whileentrepreneurship only needs to involve commercialization (Schumpeter).

The process of translating an idea or invention into a good or service that creates value orfor which customers will pay .

QUALITY To earn respect ISO 8402-1986 standard defines quality as "the totality of features and characteristics of a

product or service that bears its ability to satisfy stated or implied needs."

There are several well known methodologies that drive VALUE andensure QUALITY being used by virtually all organizations using twenty-first century best practices. INNOVATION, however, is far more elusive and less structured. Mostorganizations rely on simple brainstorming and a select few creative individuals to bringforth innovation. This is a poor use of resources and simply not enough to effectivelycompete. Moreover, it results in innovation that occurs in fits and starts rather than a

process that can be relied on to deliver consistent growth and profits.
http://www.businessdictionary.com/definition/invention.htmlhttp://www.businessdictionary.com/definition/invention.htmlhttp://www.businessdictionary.com/definition/invention.htmlhttp://www.businessdictionary.com/definition/final-good-service.htmlhttp://www.businessdictionary.com/definition/final-good-service.htmlhttp://www.businessdictionary.com/definition/final-good-service.htmlhttp://www.businessdictionary.com/definition/create.htmlhttp://www.businessdictionary.com/definition/create.htmlhttp://www.businessdictionary.com/definition/value.htmlhttp://www.businessdictionary.com/definition/value.htmlhttp://www.businessdictionary.com/definition/value.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttp://www.businessdictionary.com/definition/pay.htmlhttp://www.businessdictionary.com/definition/pay.htmlhttp://www.businessdictionary.com/definition/pay.htmlhttp://www.businessdictionary.com/definition/pay.htmlhttp://www.businessdictionary.com/definition/customer.htmlhttp://www.businessdictionary.com/definition/value.htmlhttp://www.businessdictionary.com/definition/create.htmlhttp://www.businessdictionary.com/definition/final-good-service.htmlhttp://www.businessdictionary.com/definition/invention.html


4/16

Systematic Innovation Process

Introducing Systematic Innovation:When you combine your core competencies, people, talent, and skills with the distilledinnovative habits and tactics of the most successful inventors (corporate and individual),innovation becomes much more robust and evolves into habits and therefore issustainable. We accomplish this by learning from the best innovators then we leveragetheir knowledge, creativity and innovative skills. The result on your projects is simplyefficient and effective.

There are numerous ways to integrate innovation best practices. One of them offers alogical and practical process that incorporates these best practices into an 8-step processcalled Systematic Innovation .

In addition, below is a very brief explanation to each of the eight steps used in theSystematic Innovation Process.Systematic Innovation: A structured process and set of practical tools to create (or improve) products and

services that deliver new value to your customers. Step 1. Understanding Customer Needs :

Since customers (internal and external) are why we exist and the beneficiaries of allInnovation, this critical first step helps us beg in to understand the customers needs bynot only using conventional voice of the customer (VOC) methods, but also byrecognizing the fact that customers, especially external, are simply not effective atarticulating all the requirements that will win their future business.Special tools must be used to go beyond what customers will tell you!! We call this themind of the customer (MOC), an essential component for innovation. The point here isthat most customers know what they want today, but have a hard time articulating what
http://businessthinker.com/wp-content/uploads/2011/02/New-Image.png


5/16

they will want tomorrow. Knowing this, we must expand on what customers havearticulated with Latent Need Discovery Tools to better understand emergingrequirements.These emerging requirements often come in the form of current and future

problems that need to be understood and solved. The solution to these problems willlikely separate the leaders from the pack in a competitive landscape.

Step 2. Situation Analysis: Once we document, organize, and prioritize the customer and market needs, whennecessary, we analyze our highest priority requirements (whether external or internal) todeeply understand the situation and potential solution space. One of the several outputsof this step is to discover standard or potentially reformulated problems. Standard

problems are problems that are generalized or abstracted into a form that has been seen orsolved before. This way, we can more easily leverage a vast amount of existingknowledge from a cross industry and disc ipline database and best practices to addressthese standard problems. Reformulated problems are problems that have been elaboratedto the point that allows for a completely different solution path than the original problem

statement. The newly reformulated problem statement may be much easier to solve thanthe original problem statement. Situation Analysis and Function Modeling tools assisthere.Step 3. Select Ideation Tools:Since there dozens of specific problem solving and idea generation tools, Step-3 includesa unique Tool Selection Matrix that shows you the best tools, from a list of over twodozen, to use for your specific situation. So here we select a handful of appropriate IdeaGeneration and Problem Solving tools to generate conceptual ideas. Sorry folks , no onesize fits all tools! Note: When the problems or challenges are well understood inadvance, it is not uncommon for a project team to start here in Step 3. In this case, the

assumption is that Steps 1 and 2 have been adequately completed. In other words, theinternal and external customer requirements are well understood and the problems orchallenges the team needs to solve are clear and truly reflect the top project priorities.Step 4. Generate Concepts:Step 4 is the HEART of the Systematic Innovation Process and the main step wherenew ideas are born and problems are solved. Over 36 distinct tools exist. Some aresimple and can be learned in minutes, others are more complex and take time and practiceto master and effectively use. Each of the tools has their own applications and unique

benefits to the project team as shown in the Tool Selection Matrix in Step 3.Step 5. Concept Evaluation:

Evaluating concepts is an essential and non-trivial part of all design projects. Teams thatmake too quick of a decision on the best concept often have it come back to hauntthem, so an objective analysis and evaluation is conducted on any concept that makes itto the short list. We use a comprehensive set of objective criteria to evaluate, synthesize,and select a final concept. The output of this step is the one or two best concepts thatwe need to further develop.Step 6. Detailed Design:


6/16

Once concepts are generated, detailed design, engineering, optimization, and verificationmust be executed. Several design and development best practices are used here. Mostorganizations have adequate expertise and tools to support this step, however, many ofthe tools described in Step 4 may also be utilized when doing the detailed design,especially when technical problems are encountered.

Step 7. Communicate Value: Any new Innovation/Idea will die on the vine if your customers (Internal and/or External)dont understand and buy into the ideas Value Proposition. In this step, to increase thelikelihood of acceptance of new ideas, several guidelines and tactics are introduced onhow to sell your ideas to improve the likelihood of buy in. Step 8. Standardize Learnings :The last step is retaining and integrating the key lessons learned in all 8 steps is essentialto maintaining the gains on future projects. In this step we reflect, communicate, andstandardize on the best practices and tools used in each step of the project.Summing it all up:Systematic Innovation begins and ends with your customers. Most people think structureis the enemy of Innovation, but we believe the right amount of structure will dramaticallyimprove your Innovation IQ. The 8-Step Systematic Innovation process describedabove combines just the right amount of proven and practical structure with the flexibilityto customize, bypass, or add your own best practices to fit any projects situation.

Level of Innovation

There are three ascending level of innovation that you can pursue. The level you choosewill dictate the simplicity or complexity of the journey you willundertake. Unfortunately, far too many companies expect to achieve the highest levels ofinnovation while only providing the strategy, tools, and support for lower-level success,at best. The three levels are:

1. Incremental Innovation.This consists of small, yet meaningful improvements in your products, services, andother ways in which you do business. These tend to be the "new and improved"innovations we are all bombarded with every day: new flavors, shifts to better or all-natural ingredients, packaging improvements, faster/slower functioning, just-in-timesupply chain enhancements, bigger/smaller sizing, cost reductions, heavier/lighterweight. We see them every day and they help extend product, service, and business

life cycles and improve profitablity. They can be easily visualized and quicklycommunicated and give you something new with which to grab consumer attention inan increasingly noisy marketplace.

2. Breakthrough Innovation.This is a meaningful change in the way you do business that gives consumerssomething demonstrably new (beyond "new and improved"). Breakthrough


7/16

innovation produces a substantial competitive edge for a while, although the length oftime anyone can maintain such an advantage is growing increasingly shorter.

3. Transformational Innovation.This is usually (but not always) the introduction of a technology that creates a newindustry and transforms the way we live and work. This kind of innovation ofteneliminates existing industries or, at a minimum, totally transforms them. For thisreason, transformational innovations tend to be championed by those who aren'twedded to an existing infrastructure. Transformational innovation is exceedinglyrare. Think about it: how many truly new-to-the-world ideas happen in a year? In alifetime? Not many!

Yet, in some ways, transformational innovation is easier to pursue because the changerequired to achieve it usually doesn't rely on an existing entity that is committed to theold way of doing things. That's why we often find transformational innovation comingfrom start-up companies. But no company can survive by pursuing only transformationalinnovation.

There are benefits and problems associated with focusing your efforts on any type ofinnovation. Incremental innovation is the oil that keeps the engine running, but it cannot


8/16

be your only focus. You can only grow your business so much by adding aloe as aningredient or offering a different color. Breakthrough innovation is expensive, messy anduncomfortable but it is becoming increasingly necessary to pursue if you want to remainrelevent. Gambling on transformational innovation alone is too risky. Go ahead and tryto hit those home runs, but remember the importance of having a high batting average

too. You just can't afford to make any one type of innovation the sum of your innovationstrategy.

At Creative Realities, Inc. we recommend that businesses take a portfolio approach totheir innovation effort; concurrently pursuing at least two of the three levels. A portfolioof incremental and breakthrough innovations can provide most companies, in mostindustries, with an edge over their competitors and opportunities to grow their business.

What are the six core values of innovation?

The six key contexts of innovation can assist leaders as they guide the innovation process, and the six core values of innovation help them spark a deeper passion for thework of innovation among potential contributors. The core values should imbue the

pursuit of innovation with meaning beyond the goal of creating cool, new products andservices. They are a powerful wellspring of purpose for making innovation anorganizational priority.

1. Capability (strategic value) Innovation is about building stronger and more capableorgani- zations. Building a capacity for innovation requires an intelligent, strategic anddisciplined approach.

2. Inclusivity (technological value) Innovation is an intrinsically social andcollaborative process, i.e., everyone has a role to play. Web technologies enable open anddistributed participation on a global scale.

3. Possibility (cultural value) Possibilities are the precious fruits of the humanimagination. Innovation fully embraces the discovery of what is possible for ourorganizations, even if it involves risk and failure.

4. Opportunity (intellectual value) Through the application of experience andknowledge, the human intellect identifies and shapes innovation opportunities in waysthat enable action.

5. Sustainability (financial value) Innovation can create a sustainable future fororganizations, and the work of innovation itself must be made sustainable through theconsistent and well-paced investment of resources.

6. Responsibility (leadership value) Innovation is a critical element of responsiblestewardship for leaders who must be vigilant for the health and well-being of theirorganizations.
http://www.creativerealities.com/http://www.creativerealities.com/http://www.creativerealities.com/http://www.creativerealities.com/


9/16

Innovation Killers:

Innovation failure comes from companies that confuse.

The Big Ten Innovation Killers : An Exerpt :

While its probably impossible to compute the exact percentage of business initiatives thatfail , it is widely acknowledged that most do. After years of research and observation, it is clearthat the same reasons for any change initiative failure tend to be the same culprits that makeinnovation initiatives fail. Here are the top ten reasons for innovation failure:

1. Not creating a culture that supports innovation

2. Not getting buy-in and ownership from business unit managers

3. Not having a widely understood, system-wide process

4. Not allocating resources to the process

5. Not tying projects to company strategy

6. Not spending enough time and energy on the fuzzy front-end

7. Not building sufficient diversity into the process

8. Not developing criteria and metrics in advance

9. Not training and coaching innovation teams

10. Not having an idea management system

Culture:

Culture is the playing field of innovation. Unless the culture honors ideas and supports risk-taking, innovation will be stifled before it begins. Culture is like our immune system its

job is to kill intruders before they can harm the body. Culture can change but it is a slow process.
http://www.thinksmart.com/library/BigTenInnovationKillers.htmhttp://www.thinksmart.com/library/BigTenInnovationKillers.htm


10/16

Ownership:

Once great ideas have shown up, they have to be implemented somewhere. Generally thatmeans a business unit manager has to take on the idea and devote scarce resources of timeand budget to the new project. If that manager has not bought into the new project fully, it

generally doesn't succeed. Business unit managers need to be engaged from the very beginning of an innovation initiative and they need to have the option of buying newconcepts.

Process:

When organizations want to embrace innovation, they often hold a two-day kickoff to hype

innovation and provide some training in tools and techniques. They set up a few innovationteams, schedule some brainstorming sessions and then are shocked to learn (about six weekslater) that innovation isn't working. In today's world where people are already overloaded,a piecemeal approach to innovation just doesn't work, not if you want real, bottom lineresults. Innovation needs a process that focuses people on the right challenges and leads themthrough an organized process of releasing creativity and evaluating results so that the rightconcepts move into the implementation process.

Resources:

Too often the CEO stands up at an annual meeting and says, We need to be moreinnovative, and then goes on to the next topic. Innovation takes time, energy and money.People need some freedom and time to think and tinker around with new possibilities. Theyalso need new skills and systems that support thinking and collaboration. Innovation iscritical to the future; but it depends on the investment of today's resources.

Strategy;

Some where along the line, as people were taught to think out of the box, a falseimpression was created. People began to believe that there should be no rules, no boundaries,no constraints. This turns out to be a counter-productive approach that produces popcorn wild ideas bouncing around with no purpose in sight. Once in a millennium this might

produce a breakthrough but it is not a cost -effective process. What is more effective isfocusing creativity within the scope of a well-constructed company strategy. Of course, thisrequires a strategy that is both narrow enough to define the company's core competency and

broad enough to allow exploration into related areas.

Fuzzy Front-End:


11/16

There are a lot of unexpressed ideas lurking in organizations. However, to find the truly newand different ideas the ones that could create a breakthrough , requires a process oflooking outside and inside; at customers, suppliers and competitors; at changes indemographics, trends, economics, regulations, and political environments. Innovation that

begins with an internal brainstorming session will seldom result in anything other than pale,

incremental concepts.

Diversity:

Diversity is the difference betwe en same-old, same- old thinking and Wow! I never

thought of that! possibilities. In the old days, cross -functional teams were a daring foray intodiversity. Now they are standard fare and the true value of diversity comes when wedeliberately focus diverse thinking styles, experiences, perspectives, and expertise on achallenging problem or opportunity. The process of innovation should include all functions;all genders, ages, races, all thinking styles, as well as all stakeholders, customers, suppliers,competitors.

Criteria & Metrics:

In a healthy innovation environment and process, more ideas will be generated than can possibly be implemented. This can lead to overload and frustration unless there is a

mechanism for sorting and prioritizing. Developing criteria guides long before going intoidea generation mode can provide the rational means for evaluating ideas and prevent goingover the edge on a seductive idea that doesn't fit.

Training & Coaching:

A mistake often made by organizations is assuming that innovation teams are the same asother project teams. In a recent survey by the InnovationNetwork, responses indicated that

people participated on an average of 3.7 innovation projects per year. However, only 21% ofthe respondents had had some training on how to participate on an innovation team and lessthan 10% had actually had training as part of the innovation team. No wonder over 70% ofall projects fail.

Innovation requires new ways of thinking and new skills. Developing a just-in-time, active-learning training process insures that innovation teams develop the desired results effectivelyand efficiently. As with any new set of skills, innovation competency develops over timewhile working on real projects. Coaching is a critical piece of developing this competency.

Idea Management System:


12/16

Many innovation projects have died on a sticky-note covered wall as participants lost energytrying to figure out what to do with those yellow pieces of paper fluttering to the floor.Having an effective system that captures ideas and engages people in developing, modifying,enlarging and evaluating those ideas is just as critical to innovation as accounting systems areto the financial health of an organization.

Blue ocean strategy and value innovation

Tuesday, May 17th, 2011 at 1:37 pm

Competing in over crowded industries is no way to sustain competitive advantage. The real opportunity is to create

blue oceans of uncontested market space that makes the competition irrelevant.

What are red and blue oceans?

Red oceans represent all the industries in existence today. In red oceans industry boundaries are defined and

companies try to outperform their rivals to gain a greater market share. As the space gets more and more crowded,

profits are reduced and products turn into commodities, and increasing competition turns the water bloody.

Blue oceans denote all the industries not in existence today the unknown market space with no competition. In blue

oceans, demand is created rather than fought over. There is ample opportunity for growth that is both profitable and

rapid.

The classic example of blue ocean creation is Cirque du soleil who broke away from the highly competitive circus

industry and created a new market that blurred the lines between circus and theatre.Creating a blue ocean will allow rapid growth and high profits but eventually the space will invite competitors and

erode profitability so a blue ocean strategy requires that a company continually search for new ways to break away

from the crowd.


13/16

Achieving differentiation and low cost?

Contrary to Porters generic strategies blue ocean strategy argues that the simultaneous pursuit of differentiation and

low cost is achievable. A blue ocean is created in the region where a companys actions favora bly affect both its cost

structure and its value proposition to buyers. Cost savings are made from eliminating and reducing the factors an

industry competes on. Buyer value is lifted by raising and creating elements the industry has never offered. Over

time, costs are reduced further as scale economies kick in, due to the high sales volumes that superior value

generates.
http://www.harbott.com/blog/wp-content/themes/uploads/2011/05/value_innovation.pnghttp://www.harbott.com/blog/wp-content/themes/uploads/2011/05/red-ocean-blue-ocean.jpghttp://www.harbott.com/blog/wp-content/themes/uploads/2011/05/value_innovation.pnghttp://www.harbott.com/blog/wp-content/themes/uploads/2011/05/red-ocean-blue-ocean.jpg


14/16

How to create blue oceans using value curves

Tuesday, May 24th, 2011 at 2:14 pm

So the first article in the blue ocean series introduced what a blue ocean was and the theory behind it. This one

focuses on how you create a blue ocean. Actually there are no hard and fast rules, in my opinion most blue oceans

are created by luck, experimentation or through frustration with existing industries, but there are some tools you can

use if you want a more formal method.

How to create a blue ocean?

Sometimes companies can create totally new industries, as

eBay did with the online auction industry. But in most cases, a blue ocean is created from within a red ocean when a

company alters the existing industry boundaries. The classic example is Cirque du soleil who broke away from the

highly competitive circus industry and created a new market that blurred the lines between circus and theatre.

If you are going to create a blue ocean from within a red ocean the key tool to use is a value curve.

The value curve is a graphic depiction of the way a company configures its offering to customers. It is drawn by

plotting the companies offering relative to other alternatives based on key success factors in the industry. On the right

you can see Quickens value curve which relates to the time when they first launched the business, you can see that

they had a very different profile from the traditional financial software solutions on the market. A value curve is

a powerful tool for pin-pointing potential points of difference and creating new market space.
http://www.harbott.com/2011/05/17/blue-ocean-strategy-and-value-innovation/http://www.harbott.com/2011/05/17/blue-ocean-strategy-and-value-innovation/http://www.harbott.com/2011/05/17/blue-ocean-strategy-and-value-innovation/http://www.harbott.com/2011/05/17/blue-ocean-strategy-and-value-innovation/


15/16

Creating a new value curve

Another way to create a new value curve is to ask yourself

the four questions in the graphic on the right.

These questions helped Formule 1 created a totally new product in budget hotels. They realised that the main thing

customers wanted was a good nights sleep so they raised the quality of the beds and the quietness of the rooms way

above industry standard while removing features like lounges and restaurants. They reduced the room facilities so

that they are only equipped with the bare essentials there are a few shelves and pole for clothing.

This radical approach allowed Formule 1 to capture the market share of budget French customers and now they are

expanding into other countries.

References:

http://www.creativerealities.com/innovationist-blog/bid/49954/The-Three-Levels-of-Innovation

http://www.robertsrulesofinnovation.com/net-results-net-reward
http://www.hotelformule1.com/http://www.hotelformule1.com/http://www.hotelformule1.com/http://www.creativerealities.com/innovationist-blog/bid/49954/The-Three-Levels-of-Innovationhttp://www.creativerealities.com/innovationist-blog/bid/49954/The-Three-Levels-of-Innovationhttp://www.robertsrulesofinnovation.com/net-results-net-rewardhttp://www.robertsrulesofinnovation.com/net-results-net-rewardhttp://www.harbott.com/blog/wp-content/themes/uploads/2011/05/new_value_curve.pnghttp://www.robertsrulesofinnovation.com/net-results-net-rewardhttp://www.creativerealities.com/innovationist-blog/bid/49954/The-Three-Levels-of-Innovationhttp://www.hotelformule1.com/


16/16

http://businessthinker.com/practical-innovation/

http://www.innovationnetwork.biz/library/BigTenInnovationKillers.htm
http://businessthinker.com/practical-innovation/http://www.innovationnetwork.biz/library/BigTenInnovationKillers.htmhttp://www.innovationnetwork.biz/library/BigTenInnovationKillers.htmhttp://www.innovationnetwork.biz/library/BigTenInnovationKillers.htmhttp://businessthinker.com/practical-innovation/

value shoaib

Documents