Hello, everyone. Today we will talk about developing a comprehensive innovation framework. We've talked about different definition of innovation. We have talked about different types of innovation. One of the things that's important for us to recognize and understand is to take an idea out into the world, it could be any kind of an idea. There is several factors, aspects, considerations that have to be taken into account when that idea becomes real and goes out into the world. And so what I'd like to do today is take a quick example and then walk you through some of the things that a company might have to think about as they're taking this idea out into the world. So, what you see in this image is a smartphone, some sort of a mobile phone. And imagine this phone has just a brand new technology, a brand new design, brand new interface, something that's entirely new about this, it has to go out into the world. It's a new idea that needs to be transformed into a product that brings value to people into the world. So, to do something like this, what would someone have to think about? What are some of the aspects to consider as this goes out or this gets planned to go out into the market? So let's look at some of the ideas. So, clearly there's a product of some kind, right? There's a physical device. There's some sort of the technology that backs it up. There's a certain story. What's different? What's unique about this thing? There's some engineering involved. The aesthetics. What this product look like? Is it beautiful? Is it engaging? We have to advertise the product. We have to get the word out on how this thing works and what it does for you. You have to think of manufacturing. What are all the components, the parts, the mechanisms, and how are they being manufactured? Where will they be made? The materials, what is it made of? Is it steel? Is it wood? Is it plastic? Is it fabric? The ergonomics, which essentially refers to, how does someone hold it? What is the design of the icon? Do they make sense to me? Is it comfortable? Is it safe? Those things are important. Products always have services connected to them. So, what are some of the services that we'd offer here? Is there some kind of a lifetime service, end of life service? How will it be repaid? Does it need to get repaid? How is it maintained? Do we need to upgrade it? What is the brand? What is the name of this thing? What's the logo? How do you get the word out about what it does? What kind of experience will people have with this new smartphone, right? From the time that they decided to buy it till the time that they're done with it, what are the experiences that you will want them to have? And will these experiences build some kind of an emotion connection between people that you're selling to and the product itself? What's the interface? So clearly, there's a physical device, but there also is some kind of a screen. And what goes on the screen, what are some of the icons, the apps, etc? The functionality. How does the whole thing function? Physically, as well as digitally. So what kind of software do we need for it, and who's developing that software that goes on to the hardware. How is that hardware being made? Or the icons that go on the screen that makes it recognizable? The website, do you need to create a website where you can sell this product or talk about it or give people some education around it? What's the point of purchase? So what point of purchase means is that, what are all the places where people can buy this? Can they go into a physical store? Can they buy it online? Can they buy it from somebody else? Is it from a franchise? Is it a dealership? So what do all the point of purchase locations? And what do you need to design in those spaces to make it easy to understand? Is there a strategy? How is the company developing a strategy to sell this product to the people? What is the price point? It's a very competitive market, there's many many phones out there, what price point are you selling your product at? Is it durable? How long will it last? And if it doesn't lasts that long, what's the plan to upgrade it, to modify it? How do you decide how to do the sales? Do you have a sales force? A sales team? Is it online? Do you need a user manual? Is it something that's very complicated and needs to be explained? Or is it easy to use? Feasibility, how feasible is this product? Do we have all kinds of new technologies in it that are still being figured out? Or is it something that could go to market today or tomorrow? Sustainability, what sort of environmental impact does this have? What kind of social impacts does it have? And have those been considered in the process? Is there a community? Are you building a community around this product and if so, what is that community? The status, so does this product already have some kind of a status in the market? Does your brand have some kind of a status in the market? How do you build that? What's the supply chain? So a supply chain essentially is, something that helps a company understand all the components, all the raw materials that go into a product. All the transportation that happens, all the people who are building things for you. So from raw material to end of life, what is the complete chain? And what do we as a company need to think about in that entire process? That's the supply chain. Profit, what kind of profit will you make, right? The company has to make profit in order to survive. What's the corporate vision? Is it a vision for this company? Is it a vision for this product? We also need to think of creativity, right? Are you as an organization creative? Are you making sure that your people in the organization are creative, right? That has to be thought about. Energy consumption, does the product consume energy? Clearly, it does, and if so, is it sustainable? Is it something that lasts a long time? How good are the batteries for the product? Waste, does it generate any waste? What happens when it's done with its life? Do people just throw it out? Can it be recycled? Can we minimize some of the waste that happens? The employees, who are all the people who are working for this company, that's actually making these product that will then go out to the market? And do we need to train them? Are they trained to be creative? Are they trained to do there job well? How is the company taking care of these people? So these are all the things that you need to think about in terms of any new thing that goes to the market. And of course, we're not covering all of it. These are only some of the things that we think about. So if we look at this list of this big brain storming list of ideas. You start looking at some of the stuff. So you can see some in this space can refer to as some of the more product oriented things. Like, what is the tangible product? What's a physical product? We start looking over here, this section looks at more of the business processes. The supply chain, the strategy, the sales, the profit, etc. As you start looking over here, this section over here, now you're looking at the brand. What's the emotional connection? What's the experience? What is the overall brand? Those are some of the brand experience things to think about. As you start looking over here, you have somethings that deal with sustainability. We have sustainability here. You have energy, waste. Those are some of the things to think about. This stuff gets into what could be called the services. So, what are some of the services that you need to be able to use the product? If there's a website, how is it prepared? What's the maintenance all the services that you provide? And then, surrounding all of this, which includes a big circle that goes all around, you could think of as, what are the things that the company needs to do with its employees, with its vision, with its creativity and training? All the things that you see over here. What are those things? And that becomes something that drives the entire organization. So, you can see that this whole list of things can start to be categorized into specializes like product. Here you can say business. Here you can say services. Here there's brand. Here the sustainability. And this can be refer to as process. So these are some of things that we can think about overall as you start mapping out innovation. So, just to regularize that a bit more, there's product innovation, there's service innovation, there's business model innovation, there's brand experience innovation. Innovation through sustainability, and the largest circle overall is internal process innovation, right? Let's quickly look at each one of these one by one. All right, so if you look at product innovation, that essentially refers to the physical device, right? In the earlier case we saw it was a cellphone, it could be a car. So, what are some of the things to think about as you're innovating around this product space? So clearly there's something called aesthetics. What does this car or this product look like? There's technology that goes in it. How is the technology being managed? How is safety being managed? How is the car being made safe? Can you introduce some innovations, some new materials? How is it ergonomic? Is it comfortable? Are the seats new? Is there some innovation in the seat that makes it really comfortable and easy to ride? How is it packaged? Is there packaging, how is it transported? So these are some of the things you need to think about around the physical product itself. This essentially refers to the product innovation, right? That's one aspect of the innovation process. The next is service, right? So you may buy a car but a car is not something that lives on its own without any maintenance, any repair. You need to change the oil in the car. You need to have it cleaned. You might need to have some parts upgraded, if something breaks down. You might have to fix it. So, there is a whole service industry that exists around cars, and can you innovate in that space as well? So from the time that someone buys a car. So you can think of the services broken down into multiple components from the time that someone decided they want a car, what is experience as you go to buy? That's a form of service. So buying the car itself is a form of service. Do you buy it online, do you buy in a store, do you drive it first? Then the aspect of repair. What happens after 3,000 miles or 5,000 kilometers, do you need to change the oil, do you need to change some parts? What happens if it breaks down? What happens if you get in to an accident? What happens when you're done with the car and you want to sell it and you want a new one? So that whole experience of your time with this product, with this car, you need some kind of services from presales to sales to maintenance to end of life. What are all the services? And if you are the manufacturer or the producer, you can try and develop a whole series of services around that product so the product and the service exists together as a system. And that becomes as innovative as possible, and as good for a consumer as possible, right? The third is the brand experience. What you see in this image is the logo or the animal, the actual ornament that goes on the hood of the vehicle, Jaguar. So Jaguar originally was a British company, it was then bought by Ford Motors. So, there are some experiences that people have around this brand. Some impressions that people have about this brand. So Jaguar is thought of as a British company. Sort of as a company that is very exclusive, that makes high-end cars, and the cars are expensive. So these are impressions about the vehicle. Now, the animal itself is very sleek. It looks like it travels very fast. So, the name of the company, what it stands for in people's minds, its website, its logo. The packaging that you might create around it. The website, visual materials, verbal materials, the tag line, all of that. The advertising, all of that creates the brand experience. And the brand experience is really important because very often people say that perception is reality. So what someone thinks about your brand, whether it's true or not true, if that's what they think, that's how they will make the buying decisions. So if somebody thinks that, yes, Jaguar used to be a really high-end vehicle. I thought it was a really fantastic car. It was very British and had some form of exclusivity to it. Well now, not so much. It's now changed. They have modified the brand. It's owned by somebody else. So you're not as exclusive as they used to be. So the brand is also something that changes over time. And companies have to do a good job at managing that brand. So, what kind of innovations can be introduced in that experience of the brand phase as well? So that's another part of innovation that's really important to think about. The next is business model. So, this is a very quick diagram that shows, you've got an idea, which is the light bulb, does it work? So, you've made sure that there's technology around it, it's a system that works. If it's no, then you have to go back to the drawing board and start all over again. Think of your business, your product, your service all over again. But if it does work, if you've got a big yes over here, then how does it translate into revenue? And very often when people think of business model they think of that revenue. That revenue stream, that profit, that money that comes into the company, because that money is important. It's critical, unless the money is coming into the company, unless the company is generating a profit, they cannot generate more product. They cannot create more things, right? So it's a cycle. Even if it's a yes, this goes around to allow people to invest in research and development, invest in new innovation, and keep generating new ideas that are beneficial eventually to people in the world, right? So what are the different kinds of business models that you can innovate around? You can sell directly to consumers. You can sell directly to other businesses. You can sell through various kinds of sales channels. You can innovate around your complete supply chain. So there are various ways to think of, how does a company do business? How does it sell? How does it generate revenue? All of that is a part of business model innovation. There are several different forms of business models, and we'll cover those in detail later on in this course. Another interesting one is innovation through sustainability, right? What you see here is an electric vehicle that is being charged. So, we know that any innovation that is created has impact in the world, right? And that impact can be distributed or divided into two parts. Social impact and environmental impact. What are some environmental impacts? So any product that goes out to the market might generate waste, might generate pollution, might harm the waste stream, might pollute water as well. So, we all know that the things that we as innovators have been putting out into the world, have caused significant environmental damage. We have global climate change happening right now, we have rising sea levels, deforestation. All of these problems are caused by human activity. And that's from the things that we keep producing and putting out into the world. One of the ways we can do innovation is by trying to reduce source impacts. Can we make sure that the new things that we produce, the innovations that we create, as they go out into the world, that they don't create more harm in the world. They don't pollute our air. They don't pollute our water. They don't kill off other species. But, do just the opposite. That's innovation through sustainability. That's one part of innovation through sustainability, which is the environmental side. On the social side, very often when these products that we use are made, they're manufactured in very poor conditions where people who actually do the labor in bringing those products to you live in poor conditions. They don't get paid well. They do unsafe work. They're exposed to toxic chemicals. There's lots of injustice. So, one of the things that we can do through innovation is to also to make sure that the social impact of these innovations are also positive. That we try to reduce poverty. We try to reduce inequity. We make working conditions safer for people. We make sure that the labor is not put at risk in the process of making these devices and products. So, innovation through sustainability essentially refers to the fact that, as we come up with new ideas, let's make sure that we do it responsibly. We have a responsibility to the society, to the planet. And let's make sure that our new ideas are socially good and environmentally responsible as well. So that's one whole aspect of innovation that very often people don't think about, that I think we should pay a lot of emphasis and a lot of attention to it. And then internal process innovation, right? Where you could be an individual, you could be a small enterprise, you could be a medium size enterprise, or you could be a large multinational. We know that in order to stay ahead, in order to grow, in order to generate revenue, in order to succeed, right? What you see over here, to keep moving forward, people are essential. People are essential to your company. But the people have to be trained, have to be supported, they have to be rewarded. And so how do you do that as an organization? How do you make sure that your team, all the people that work for you, all the people that work in the company, have the right kind of support systems, devices, education, training, etc that can make them successful. Well, part of this starts with a vision. The leader, the person who heads up the team, the people who are in charge, have to make sure that they have some form of a vision for what innovation for their company means. How they grow, how they move ideas forward, and that's really critical. And everyone in the company has to then be loyal to that vision. They have to feel that, yes, I agree as an individual with this vision that the corporate leaders have spelled out for the company. That I am willing to do what it takes to be loyal to this vision. But the vision also takes me into account. So it has to work both ways. The leaders have to create a vision that the company employees can get on board with, but also the company employees should feel that, I've been a part of this vision. And that's important. Process, is there a certain process that the company follows and is everyone aware of that process? Do they do enough analysis? Do they create good solutions? So, creating a work environment that people feel comfortable in, giving people freedom to create, making sure that there's a culture of innovation in the workplace. That's really important. And what this part of innovation looks at, internal process innovation, is how do we as an organization create a culture of innovation in which people are supported, ideas are good, and everyone feels that they themselves are innovators as well? So that's the internal process of innovation part of the puzzle. So, what we've looked at today, is we looked at six different types of innovation. Product, service, brand experience, business model, sustainability and internal process. These together make up the comprehensive innovation framework. And for any idea that you might be thinking about, even if you don't have a physical product but just an idea or it's a new model, a new process. If you think in these terms, if you think of, let me think of the product, let me think of the sustainability, let me think of the brand. If you think of all of these aspects, what you can do is you can have significant impact. People often ask, is innovation disruptive, right? Are we doing something really big and groundbreaking and something that changes things forever? But those forms of deceptive innovations are not easy to do. However, what we can do is if you create small amounts of innovation in your product. If you create small amounts of innovation in the business model, in the services, sustainability in the brand, and your process, you can actually have significant impact in the world. So, this innovation framework essentially is something that allows innovators to think comprehensively, broadly, as well as deeply, about what they do. Therefore, they can have positive and long-lasting impact in the world. Thank you.