INNOVATIONISM@SCHNEIDER

CHIRANTAN CHATTERJEE, IIM BANGALOREDECEMBER 8, 2016

All figures are from the internet unless otherwise mentioned. Copyrighted to Chirantan Chatterjee

Its all about Innovationism• “Without tradition, art is a flock of sheep without a shepherd.

Without innovation, it is a corpse.”

• Winston Churchill

• Is there a trade-off between tradition and innovation?

• Is it worth having a shepherd for your Innovationism?

What is Innovation?• Joseph Schumpeter, the Austrian economist defined innovation:

• It could be the introduction of new goods

• Of an improved or better method of production

• Opening of a new market

• Conquest of a new source of supply of raw materials

• Better organization of any industry

What is Innovation?• Joseph Schumpeter, the Austrian economist defined innovation:

• It could be the introduction of new goods

• PRODUCT INNOVATION (THE ROLE OF BASIC RESEARCH & INDUSTRIAL

RESEARCH)• Of an improved or better method of production

• INCREMENTAL INNOVATION• Opening of a new market

• THE ENTREPRENEURIAL UNCOVERING OF UNMET NEED (DISRUPTION)• Conquest of a new source of supply of raw materials

• VERTICAL INTEGRATION• Better organization of any industry

• BUSINESS MODEL INNOVATION

Who will do Innovation?PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Who will do Innovation?PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Who will do Innovation?PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Who will do Innovation?PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Innovation Policy & the Economy or IPE

Linear Model of Innovation PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Firm Size and InnovationPUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Pasteur’s Quadrant PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Democratizing Innovation PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Location & Polycentric Innovation PUBLIC SECTOR PRIVATE SECTOR

LARGE FIRMS ENTREPRENEURS

INDIVIDUAL EMPLOYEES TEAMS

LEAD USERS LAG USERS

DEVELOPED MARKETS EMERGING MARKETS

Innovationism for Organizations• Innovation Audit

• Appropriating rents from innovation

• Incentivizing innovation

• Metrics for innovation

• 2-sided platforms for innovation

• Chief Innovation Officer?

Innovationism for Organizations• Innovation Audit (Pre-mortem and post-mortem)

• Appropriating rents from innovation (Technology & commercialization)

• Incentivizing innovation (Structural incentives versus prizes)

• Metrics for innovation (input and output)

• 2-sided platforms for innovation (Seekers and Solvers)

• Chief Innovation Officer? (Hydra-Headed)

Economic History of Innovationism

https://www.youtube.com/watch?v=RRWKzVlbXEY

Responsible Innovationism

Wrapping Up

INNOVATIONISM

INNOVATION

POLICY & ECONOM

YWHO WILL

INNOVATE?

RESPONSIBLE INNOVATION

ISM

HISTORY OF

INNOVATION

INNOVATIONISM FOR

ORGANIZATIONS

WHAT IS INNOVATI

ON

- LINEAR MODEL- SIZE & INNOVATION- PASTEUR’S QUADRANT- DEMOCRATIZING INNOVATION- LOCATION OF INNOVATION

Thank You

Email: chirantan@gmail.comScholar.Google: https://scholar.google.co.in/citations?user=8NcyqgYAAAAJ&hl=en&oi=ao SSRN: http://papers.ssrn.com/sol3/cf_dev/AbsByAuth.cfm?per_id=830407