Innovation : The method used by an entrepreneur, or organization to create a new good or service on accordance to market demands by using their resources and knowledge and skills.
Innovation and its process is confused with the continuous improvement in an organization. but for an innovation to take place , it should impact on the organization's pricing structure, its sales and profit , capture new market segmentation, market shares, goodwill and its brand popularity, etc.
Usually continues improvement cant withstand all the odds for a long term, but the products can maintain the competiveness in terms of cost.
Difference between Invention and Innovation.
Creation and introduction of a new unique product into the market for the very first …show more content…
The original idea, on which it is based on , is the airplane invented by Wright Brothers. When we think of a TV, we imagine it to be a flat LED TV or a 3D TV. This of course, is a innovation, based on the black and white TV, which is an invention.
TYPES OF INNOVATION
Incremental Innovation : The continuous small improvements done to an existing product to increase its usage or appeal to general market. In other words incremental innovation is done to make the products better, faster, or cheaper. This type of innovation is generally seen in the automobile industry. For example not many years ago the windows and locking system were manual but as we can see today they have become automatic according to today's standards.
Process Innovation : The changes in the technique of production or implementation of a newer technology in process of production of goods or …show more content…
Business Model Innovation (BMI) : It refers to the reformation in the organization for a greater appeal and competitiveness in the market. BMI can also be referred to as Reengineering Process. For example IBM has managed to change its services from mainframes to personal computers to technology services. Another example can be Dell, wherein they allowed online customization that aimed on improving internal technology.
Supply Chain Innovation : It is the improvement of practices and technological innovation in an organizations supple chain or logistics.
For example the Ford Assembly Line: Henry Ford actually got the idea for the assembly line approach from the flow systems of meat packing operations in the Midwest, but it was Ford's adoption of the production approach with a continuously moving line for Model T's in 1913 that revolutionized not only automobile assembly but took the practice of manufacturing to new levels in other sectors as well. Total time of assembly for a single car using the production line fell from 12.5 labor hours to 93 labor minutes, ultimately making cars affordable for the masses, changing not only supply chain but
Innovation and its process is confused with the continuous improvement in an organization. but for an innovation to take place , it should impact on the organization's pricing structure, its sales and profit , capture new market segmentation, market shares, goodwill and its brand popularity, etc.
Usually continues improvement cant withstand all the odds for a long term, but the products can maintain the competiveness in terms of cost.
Difference between Invention and Innovation.
Creation and introduction of a new unique product into the market for the very first …show more content…
The original idea, on which it is based on , is the airplane invented by Wright Brothers. When we think of a TV, we imagine it to be a flat LED TV or a 3D TV. This of course, is a innovation, based on the black and white TV, which is an invention.
TYPES OF INNOVATION
Incremental Innovation : The continuous small improvements done to an existing product to increase its usage or appeal to general market. In other words incremental innovation is done to make the products better, faster, or cheaper. This type of innovation is generally seen in the automobile industry. For example not many years ago the windows and locking system were manual but as we can see today they have become automatic according to today's standards.
Process Innovation : The changes in the technique of production or implementation of a newer technology in process of production of goods or …show more content…
Business Model Innovation (BMI) : It refers to the reformation in the organization for a greater appeal and competitiveness in the market. BMI can also be referred to as Reengineering Process. For example IBM has managed to change its services from mainframes to personal computers to technology services. Another example can be Dell, wherein they allowed online customization that aimed on improving internal technology.
Supply Chain Innovation : It is the improvement of practices and technological innovation in an organizations supple chain or logistics.
For example the Ford Assembly Line: Henry Ford actually got the idea for the assembly line approach from the flow systems of meat packing operations in the Midwest, but it was Ford's adoption of the production approach with a continuously moving line for Model T's in 1913 that revolutionized not only automobile assembly but took the practice of manufacturing to new levels in other sectors as well. Total time of assembly for a single car using the production line fell from 12.5 labor hours to 93 labor minutes, ultimately making cars affordable for the masses, changing not only supply chain but