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The Generation of Innovations. From the book: Diffusion of Innovations Everett M. ROGERS Roberta Campos April 2008. Innovation-Development Process. Diffusion and Adoption. Consequences. Diffusion and Adoption. % ADOPTERS. TIME. Innovation-Development Process. Past diffusion studies.

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the generation of innovations

The Generation of Innovations

From the book: Diffusion of Innovations

Everett M. ROGERS

Roberta Campos

April 2008

innovation development process
Innovation-Development Process

Diffusion and Adoption

Consequences

innovation development process4
Innovation-Development Process

Past diffusion studies

Past Tracer Studies

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

innovation development process5
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

need or problem
Need or problem
  • Starting point of the process
  • May be a future problem foreseen by a scientist.
    • Ex: Labor shortage for tomato farmers
  • May rise as a priority on a system’s agenda
    • Ex: Shift from an individual-blame perspective to a system-blame view on traffic safety
innovation development process7
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

basic and applied research
Basic and Applied Research
  • Basic research: original investigations for the advancement of scientific knowledge without specific objectives.
  • Applied research: scientific investigation that are intended to solve practical problems.
  • Technological innovation: result of an interplay of scientific methods and practical problems.
  • Measure of success of research is the number of patents
serendipity
Serendipity
  • Sometimes, one invention is made while pursuing a different innovation
  • Accidental discovery of a new idea.
    • Ex: Post-it!, Rogaine (hair-restorer) / Viagra
  • Innovation may be developped by users as well as by manufacturers.
  • Innovation occurs when information is exchanged on needs and technological solutions.
  • Ex: Warfarin (p. 150 / 151)
innovation development process10
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

development
Development
  • Process of putting a new idea in a form that is expected to meet the needs of an audience of potential adopters (p. 137).
  • Technology is shaped by social patterns, it is influenced by social norms and values.
    • Ex: Gas refrigerator X Electric refrigerator
development12
Development
  • Skunkworks: Small and « subversive » units within an organization that develop creative innovation.
  • Source of creativity outside the bureaocratic and large R&D departments.
development technological transfer
Development: technological transfer
  • Traditional view of technological transfer: one-way process through which (basic and applied) research results are put into practice. (Technology mainly seen as hardware)
  • Technology transfer: « exchange of technical information between the R&D workers who create a technological innovation and the users of the new idea » (p. 140)
  • It is a two-way exchange and communication process.
  • Implies the arrival of practical information to the research and development moment.
development technological transfer14
Development: technological transfer

US X Japan

  • US R&D leader in creating technological innovations.
  • Japan: more effective in the transfer of technologies into commercial products.

Ex: VCR

  • 1950’s: Ampex clients were TV stations.
  • Ampex R&D suggested a miniaturized VCR for home use => Management sold the rights to Sony Corp.
  • Today, no American company produces the VCR.
innovation development process15
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

commercialization
Commercialization
  • It is the conversion of an idea from research into a product for sale in the marketplace.

Production, manufacturing, packaging, marketing, communication, distribution, pricing

commercialization17
Commercialization
  • Technological cluster: two or more innovations market together to ease diffusion
  • Ex: Xerox PARC (Palo Alto Research Center) – By 1977
commercialization the parc example
Commercialization:The PARC Example
  • Xerox PARC (Palo Alto Research Center)
  • In 1970, it was created to develop the office of the future.
  • By 1977, the PARC had developped:
    • The world’s first personnal computer
    • The mouse
    • Icons and pull-down menus
    • Laser printing
    • Ethernet technology - network
commercialization the parc example19
Commercialization: The PARC Example
  • What generated this amazing performance?
    • Outstanding R&D personnel sourced from:
      • the US Dep. of Defense’s Advanced Reserch Agency and Universities (MIT, Stanford, etc)
      • a nearby computer company that failed
      • SRI International led by a visionary computer scientist (invented the mouse)
    • PARC management style encourages innovation (favorable organizational culture)
    • Employees used innovation in their daily work
    • Microprocessor (crucial prior innovation) just invented in the early 1970’s.
commercialization the parc example20
Commercialization: The PARC Example
  • But why Xerox was unable to commercialize this technologies in the market place?
    • Company sees itself as in the office copier business. Only the laser printing fits this business mission.
    • No effective mechanism was created for technology transfer from PARC to the commercialization divisions in Xerox.
    • PARC in Palo Alto, CA and the Manufacturing center in NY.
    • Technological transfer happened when Steve Jobs hired several PARC engineers.
innovation development process21
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

diffusion and adoption22
Diffusion and Adoption
  • Innovation gatekeeping concept: controls whether or not an innovation should be diffused to an audience.
  • Role of the diffusion agencies in agricultural and medical sectors.
  • National Institute of Health (1978) => consensus development: process that gathers scientists, practitioners, consumers, and others to reach agreement on the safety and effectiveness of an innovation.
  • Clinical trials conducted in the commercialization phase: evaluate the innovation under real life conditions.
innovation development process23
Innovation-Development Process

Needs / Problems

Development

Diffusion and Adoption

Research

(Basic and Applied)

Commercialization

Consequences

consequences
Consequences
  • Changes to an individual or a community as a result of the adoption (or rejection) of an innovation.
  • Initial needs / problems are solved or not.
  • Socioeconomic impact of innovations
  • Ex: Tomato-harvesting
consequences tomato harvesting example
Consequences: Tomato-harvesting example
  • Motivation for mechanical harvester developement:
    • Risk of labour shortage: end of the bracero program in 1964
    • Intented to save the tomato industry
    • Development of large harvesters to cope with the size of the tomato production in California
consequences tomato harvesting example26
Before the technology (1962):

4,000 farmers

50,000 farmworkers, mostly Mexican men immigrants

Soft tomatoes (bruises easily in mechanical harvesting)

After the technology (1971)

600 farmers

1,152 machines and 18,000 workers (80% women / a few Mexican)

Hard tomatoes (do not bruise easily) – fewer vitamins

Consequences: Tomato-harvesting example
consequences tomato harvesting example27
Consequences: Tomato-harvesting example
  • Consequences:
    • 32,000 former hand pickers out of work
    • Reduction of the number of producers
    • Industry concentration
    • What if the scientists had developed a smaller machine, affordable for small famers? How the social impact would differ?
tracing the innovation process
Key learnings from tracer studies:

Applied research contributes more directly to creation of an innovation than does basic research.

Major technological advances require a cluster of innovations (Ex: The mechanical harvester and the harder tomato type).

A relatively long period (10 to 20 years) is needed between an innovation in basic research and its practical application. Basic research results « need to age ».

Reserch is often conducted without a practical application to a certain problem in mind. A considerable degree of serendipity may occur.

Tracing the Innovation Process
weakenesses of tracer studies
Weakenesses of tracer studies
  • All retrospective
  • Focus on important technological innovation: the heart pacemaker, oral contraceptives. How it works for less important innovations?
  • Should we trace non-successful innovations?
  • Accidental aspects are less likely to be fully reported on data available.