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Competition and Competitive Power How to increase enterprises‘ technologic performance – improvement of the ability for innovation EC-TAIEX (INT Markt 205970) Sofia, Bulgaria, February 20th, 2006. Dr. des. Martin A. Bader , European Patent Attorney, Dipl.-Ing. BGW AG

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Competition and Competitive PowerHow to increase enterprises‘ technologic performance – improvement of the ability for innovationEC-TAIEX (INT Markt 205970)Sofia, Bulgaria, February 20th, 2006

Dr. des. Martin A. Bader, European Patent Attorney, Dipl.-Ing.

BGW AG

Management Advisory Group St. Gallen - Vienna

Thurgauerstrasse 4

CH-9400 Rorschach am Bodensee, Switzerland

Phone: +41-71-840 08 31

Fax: +41-71-840 08 32

Email: [email protected]

http:// www.bgw-sg.com



Just 0 6 of all ideas for innovation turn out to be successful on the market
Just 0,6 % of all Ideas for Innovation Turn Out to Be Successful on the Market

Ideas forInnovation

1,919

369

176

52

1,550 eliminated (about 81 %)

193 eliminated (about 52 %)

124 eliminated (about 70 %)

Basic Project

Products

Still on the Market

Result

Total Loss Avg. Perf. Success24 17 11

Source: Kienbaum Survey


Core challenge of managing innovation at bmw
Core Challenge of Managing Innovation at BMW Successful on the Market

The car manufacturer

BMW tries to satisfy

future customer needs

even if the customer

currently does not know

what he would be looking

for in the future ...


Customers are individual persons not just market segments
Customers are Individual Persons, not just Market Segments Successful on the Market

  • extraordinary users expand the bandwidth

  • true individual persons help to expand imagination

Source: IDEO


I don t watch tv searching for interesting contradictions
„I Don‘t Watch TV“ Successful on the MarketSearching for Interesting Contradictions

Source: IDEO


Searching for things and attributes which cause behaviour
Searching for Things and Attributes Which Cause Behaviour Successful on the Market

Source: IDEO


Searching for surprising usage and behaviour
Searching for Surprising Usage and Behaviour Successful on the Market

Source: IDEO


Bringing new technologies into product
Bringing New Technologies into Product Successful on the Market

Strategy

Scanning

of new

Technologies

Proto-

types

ProductDevelopment

  • Breakthrough development

  • Venture teams with goals

  • “Free-wheeling”

  • Mid/long term ROI

  • Product development

  • Highly structured process

  • Sophisticated controlling

  • Short term ROI

People Management

Process Management


Lead user workshops at hilti
Lead User Workshops at Hilti Successful on the Market

TechnologicalTrend Estimation

Expert Chats

Lead User

Identification

Customer Surveys by Phone

ConceptGeneration

Lead User Workshop

ConceptTest

Test of MarketAcceptance withRepresentative Users


Trust as core of collaboration
Trust as Core of Collaboration Successful on the Market

Collaboration

Spirit

positive

t

Enthusiasm

CulturalShock

Cultural Assimilation

Stability

negative

  • Create an atmosphere of trust

  • Know-how travels with heads

  • Change agents against Not-Invented-Here-Syndrome


From invention to profit
From Invention to Profit Successful on the Market

  • Scooters innovated by Wim Ouboter, Micro Mobility Systems

  • 2000: 50 Mio. units sold worldwide; price CHF 260,- 700 factories in China copied; Ouboter 100.000 units

  • 2001: price CHF 39,- 95% of factories stopped production

Renewal, use brand, new products


Demand in Successful on the Marketpatentsworldwide

[in Mio.]

16

14.8

14

12

Ø 24% p.a.

10

8

6.2

6

4

2

t

0

1998

2002

Intellectual Property Management Becomes Important: Patent Strategies

Source: Trilateral Statistical Report (2002)


“The challenge over the next 20 years Successful on the Marketwill not be speed or cost or performance;

it will be a question of complexity.”

Bill Raduchel, Chief Strategy Officer,

Sun Microsystem


Key success factors
Key Success Factors Successful on the Market

  • Customers and suppliers support innovation: create incentives

  • Concentrate on few suppliers

  • Early involvement of suppliers

  • Open communication of expectations

  • Clear exit strategy: who owns what after an exit?

  • Only involve key customers, do not diffuse

  • Know-how travels with heads: create teams with customers and suppliers

  • Keep defined freedom for quantum leaps but tighten processes

  • Proactive management of intellectual property


Never ever give up
Never, Ever Give Up ! Successful on the Market

Daniel Borel, Chairman & Founder of Logitech, 2004


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