15-Mar-16

DESIGN AND AESTHETICS

OF GOODS
Lecture 2 Innovation - a process of communication
between market, science and technology

Creating a new product

Examples of
innovation

Introduction of a new manufacturing method

Entering a new market (or creating a new market)
Use of new materials
A new organization of the company

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Innovation
(Latin inovatis = renewal, novelty, change)
several definitions
3 aspects:

Innovation definitions

Innovation - the result of the creative process as new

products and techniques, advanced technologies and
methods etc.
Innovation - the process of implementing new features,
aspects and principles by replacing existing ones
Innovation - solving of technical problems or improvement
in the organization of work in order to increase labor
productivity, technical improvement etc. (DEX, 2009)
Innovation = Idea (invention) + selling

The evolution
of innovation
understanding

latin language do something new,

or change

Drucker (1985) the change that creates

a new dimension of
performance

Schumpeter (1912) Successful exploitation

of new ideas

Kao (2007) The ability to consciously

create the desired future

Porter (1990)
a new way of doing things
that is commercialized

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According to the Oslo Manual, there are:

Classification
of innovations

product innovation
process innovation
marketing innovation
organizational innovation

Product innovation
= Introduction of a good or service that is new or significantly
improved in terms of their characteristics or intended uses.

Product
innovation

This includes significant improvements in technical specifications,

components and materials, incorporated software, the user
friendly interface or other functional characteristics.
Product innovations can use new knowledge or technologies, or
may be based on new uses or combinations of existing
knowledge and technologies.
The term product = both goods and services.

15-Mar-16

Product
innovation examples

Spare One

Product
innovation examples

- Launched in 2012 gained nationwide notoriety

- The ability to ensure communication when
there are no other sources of energy
- Uses one AA standard battery
- It took two years to be designed such a phone
that works with only one AA battery
- If unused, the battery lasts up to 15 years
IDSA GOLD AWARD 2013 - Can be kept in the first aid kits and be fully
charged in case of disaster or emergency
http://www.idsa.org
- 10h talking autonomy
The need: 8 million people - It has a light that can last 24h
remained without power after - Rapid alert button 112 that works without
Sandy Hurricane - in November
SIM
2012. They remained isolated - It can operate in extreme temperatures
and could not signal their - It is independent of any mobile operator and
presence.
does not require a monthly fee

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Online
payment with
credit card

Service
innovation examples
Phone
payment contactless

Process innovation

Process
innovation

= Implementation of a new or significantly improved methods of

production (for example, new manufacturing processes and
technology flows) or a new method of delivery.
This includes significant changes in techniques, technological
equipment and / or software.
The result of process innovation should be significant in terms of:
the level of production, product quality or diminishing the
production and distribution costs.

15-Mar-16

3D Printer
It can copy anithing in 3D successive layers technique or the laser in a
block (usually for metal parts)
Technology first used in 1980 for prototypes
It evolved creating functional parts for:

Process
innovation examples

The aviation industry

(lighter, thinner and cheaper parts)

Hollywood Costumes

Food industry

Construction
industry

3D Printers are
reshaping medicine

Process
innovation examples

Bioprinting
Wake Forest University School of
Medicine US) transplant of parts
created by 3D technique
an ear takes between 4-6 hours to be
made in bioink (biodegradable gel +
human cells)
The problem: 90% of patients on the
transplant waiting list need a kidney which can be built with this technology
Regenerative Medicine - deposits cells
directly on a wound to help it heal
quicker (project funded by the US
Armed Forces)

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Organizational innovation

Organizational
innovation

= Aims to implement a new organizational method in the business

practices of the company, the work place and jobs and the
companys external relations.
increasing business performance by reducing administrative or
transaction costs, improving workplace satisfaction (and thus
labor productivity) or reducing supply costs.

Business segments

Organizational
innovation example

Exploration and Production

Gas and Power
Refining and Marketing

15-Mar-16

Marketing innovation

Marketing
innovation

= Implementing a new marketing method involving significant

changes in: product or packaging design, new sales methods,
product placement, product promotion or pricing policy.
better fulfilling of customer needs, aiming to open new markets
or new positioning of the company's products on the market,
with the purpose of increasing sales.

Marketing
innovation

15-Mar-16

Marketing
innovation

Generating innovation
science-push innovation

Science-push
vs.
Demand-pull

demand-pull innovation
.

15-Mar-16

Science-push innovation
- the 1st generation of the innovation process
Basic
knowledge

Design and
planning

Manufactu
ring

Marketing

Sale

Science push
The transistor - invented by John Bardeen, Walter
Brattain, and William Shockley in 1947 (Bell Labs)
for which they received the Nobel Prize is the
fundamental building block of modern electronic
devices that revolutionized the field of electronics,
and paved the way for smaller and cheaper radios,
calculators, and computers, among other things.

Demand-pull innovation
- the 2nd generation of the innovation process
Market needs

Development

Manufacturing

Sale

Demand pull

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