Managing Innovation MBA 6103Unit 7Creating Value –Capturing the Benefits of Innovation

Capturing the Benefits

Market Positioning• Being an Innovation Leader

• Being an Innovation Follower

• Practical Examples:• Apple vs Samsung• Amazon and Kindle products• Case 11.2 Skype

Expanding Core Competencies

• Knowledge Management (KM)• Generating/acquiring new knowledge• Identifying and codifying knowledge• Storing and retrieving knowledge• Sharing and distributing knowledge• Exploiting knowledge across processes, products, services

• Right people - access to the right information – at the right time!!

• Growth in Data Analytics/Data Scientists

What is KM?• Data – Information – Knowledge

• Explicit vs. Implicit• Analytics vs. Apprenticeship

• Knowledge is only practically applicable via the members of the organization

• Codified vs. Diffused

• Two Approaches:• IT investment vs. People/Process

Using Knowledge as a Tool for Innovation and Change

• Tool for Innovation• Refer to the Innovation Strategy Map

• Discovery (Searching)• Realization (Select/Implement)• Nurture (Capture)

• Tool for Change• New ventures/initiatives will result in change• Innovative organizations successfully navigate change

• Resistance to change originates from:• Personal factors• Organizational factors• Change-specific Factors

• Must be prepared to systematically address these issues

Common Challenges• 70% of all change initiatives fail

• Key players often don’t effectively make the business case for change

• 29% of change initiatives without any formal structures

• People resist being controlled more than they resist change

• Announcing change is not managing change

Change Issues