Question

Think of an example of an innovation you have studied at work or school. How would you characterize it on the dimensions described as incremental innovation vs radical iinovation, product versus process innovation, architectural versus component innovation.

Please answer in word format only and more than 350 words

Thanks

Subject: Management of Technological Innovation

Answer 1

Incremental innovation vs radical innovation

Radical innovation have significant impact on market as well as economic activity of the organization in that market. Whereas Incremental innovation is mainly concerned about existing service, product , process, firm or method whose performance significantly upgraded or enhanced. incremental innovation is the dominant form of innovation. This type of innovation used in many companies , its main goal is to protect current business models,improve the sales and profits for the existing service or product, creating the new business model without effecting the current one. This approach is very popular because it risk. The companies which has more more human capital and resources finds this is much more easy way to follow the innovation path.The smartphone industry is the greatest example of such type of innovation. Apple designed the first iPhone which created the huge market. By following this track other companies started to create their own smartphones. All the tech companies in this category started a race to deliver the next generation of their model.

The radical approach is much more complicated and it is complex process. it includes lengthy, difficult and risky process. Here the company does not fight for the slice of market cake, but it creates the new market totally different from the current market trend. this type of innovation have more chances to get greater win since there won't be any competitor. There is also chances for own an entire market at-least during the initial stages. The example for such innovation is digital camera, The first digital camera sensors were invented on 1975 and it is mounted on camera on 1976 by the company Nikon, initially the adoption was very slow and it did not threatened traditional market. At the beginning Kodak itself never considered it as competitor

product versus process innovation

Product innovation is the change in the product or introduction of the service or the product or significantly changes in the characteristics or it's use. A process innovation is the the development of a new or improved production or delivery method. The product innovation can be of two forms. first will be improvement in the performance of the product . Example increase in the digital camera resolution. Second is adding new feature to the product . Example new iPhone & has dual cameras which is new for this phone. The process innovation dominates the innovation effort of the organization. It includes the improvement in the process or method of producing product or service. It involves changes all over value chain activities , improved inbound logistics, improved manufacturing process, good media planning etc. Example : Using instant demand data in order to plan production run is a process improvement. The product innovations are often visible for the consumers but process changes are not visible. The product innovation target for product improvement whereas the process innovation focus on cost improvement.

architectural versus component innovation.

The component innovation results from the modular changes in the system without changing its overall design. whereas the architectural innovation is modification of overall system and also if needed changing the linkages between the different component. Example electric vehicle is example for architectural innovation and novel petrol filter is example for component innovation.