Wk8 - process innovation Flashcards
(18 cards)
What is a process?
Combination of facilities, skills and technologies used to provide products or services.
The process converts inputs into outputs.
What three things does a process usually include?
- set of tasks
- flow of material and information that connects the tasks
- storage of material and information
What is process innovation?
Implementation of a new or significantly improved production or delivery method.
What are two reasons why process innovations are important?
- improvement in quality/reduction in costs leads to improved competitive position
- new processes lead to creation of new business models
Explain the steps of the service blueprint model?
- physical evidence
- customer action
- line of interaction
- front stage interaction
- line of visibility
- backstage interactions
- line of internal interaction
- support processes
How does process innovation relate to service blueprints?
Innovating process is part of redesigning the service.
What are the six stages of the innovation lifecycle?
- generate ideas
- capture ideas from first stage
- begin the innovation
- develop a business effective strategy
- apply business improvement
- decline
What are the common challenges in process innovation?
- difficult to specify and therefore patent
- transparency issues - are protected by secrecy as processes are not visible to customers or competitors
What are the characteristics of the old economy?
- information collected
- access is restricted
Isolation - growth and expansion is slower
Manufacturing - first mover advantage lasts longer
What are the old economy needs from a business perspective?
- stability
- rigidity
- strength
- productivity
- efficiency
What are the characteristics of the new economy?
Speed
- information is fluid and travels fast
Globalisation - first mover advantage does not last long
Technology - can lose intellectual advantage quickly
Knowledge is mobile.
What are the new economy needs from a business perspective?
- flexibility
- adaptability
- ability to evolve and change
What are four types of organisational structures?
- virtual organisation
- boundary-less organisation
- learning organisation
- high performance work system
Explain the concept - communities of practise?
Groups with shared interest/passion who collaborate regularly in order to improve and innovate within their chosen field. A means of knowledge transferring and acceleration of innovation.
What are the elements of communities of practise?
Core team, extended team: internal
Customers, external thought leaders: external
Cyclical interaction -> social participation/engagement to create knowledge and use that for innovation.
What is an example of process innovation within the banking industry? What was the result?
Citibank
- first to introduce ATMs
- developed strong market position
- outcome -> faster, cheaper, higher quality, increased convenience.
What is an example of evolutionary and revolutionary: process innovation
- paypass credit card payment
- Paypal online payments
What is an example of process innovation within the manufacturing industry? Explain the outcome.
Toyota
- kaizen approach
- supply chain management
