Leading Innovation and
Change MHR 002
Week 2 Innovation
UBSS Sydney CBD Campus
Level 10 & 11 233 Castlereagh Street
Sydney NSW2000
KEY POINT
HERE
WEEK 2
Session outline
• Overview of course and expectations – subject outline Review recap
• 3M case – reading now in Moodle
• Case study 1 Air Asia
• Review Lecture notes on Innovation;
• Presentation of answers to week 2 questions
• Micro soft Case chapter 1
Leading Innovation and change
KEY POINT
HERE
WEEK 2
Session learning outcomes
• Explain the differences between Innovation invention and creativity
• Innovation defined
• Identify the process of innovation
• Explain how companies can exploit innovation
• Understand and explain the type and categories of innovation
• Explain the concept of trajectory of innovation and associated risk
Leading Innovation and change
KEY POINT
HERE
Week 1 Re cap – The new era
Why must companies change?
What are impacts on today’s commercial environment of an entrepreneur?
Define an Entrepreneur.
What are the differences between and Entrepreneur and a corporate
entrepreneur?
What are the characteristics of Successful Entrepreneurs?
Leading Innovation and change
KEY POINT
HERE
Innovation .. At the heart of entrepreneurship
Creates change and opportunity
Firms that grow do so because they innovate in some way “Invention and
entrepreneurship are at the heart of national advantage” – M Porter (The competitive
age of Nations 1990)
Differences between innovation and invention
Inventions – new to the world product or process
Often linked to new technology and research
Exploiting Innovation
LO 1 Differences between Innovation,
invention and creativity
DRAFT- DRAFT- DRAFT- DRAFT
KEY POINT
HERE
• The terms entrepreneurship, creativity, and innovation are sometimes used
interchangeably, and while that is understandable, it can be misleading.
• Creativity and innovation are very similar concepts, but there are some differences.
• Creativity is typically described as the process of generating new ideas, while
innovation takes creativity a step further by being a process that turns those ideas into
reality.
• Innovation is often the basis on which entrepreneurship is built because of the
competitive advantage it provides.
Innovation, Creativity, and
Entrepreneurship
LO 2 Defining Innovation
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KEY POINT
HERE
• Innovation is the specific function of entrepreneurship. . . . It is the means by
which the entrepreneur either creates new wealth-producing resources or
endows existing resources with enhanced potential for creating wealth.
• Thus, innovation is the process by which entrepreneurs convert
opportunities (ideas) into marketable solutions. Innovation is a process that
transforms ideas into outputs. It is the means by which entrepreneurs
become catalysts for change.
• The emerging perspective by researchers in the field of innovation is to
define innovation in the broadest context possible, as in this specific
example:
Defining Innovation
KEY POINT
HERE
• Innovation can also be viewed as the systematic approach to creating an
environment based on creative discovery, invention, and commercial
exploitation of ideas that meet unmet needs.
• However, there are millions of innovations that are often much smaller in
scale, do not involve an invention, or are not necessarily exploited in the
same commercial sense. Therefore, one simplified alternative definition
might be:
• Innovation = Creativity + Exploitation
• In this sense innovation becomes the composition of creative thoughts and
the determination to implement those ideas into a marketable concept.
Review the MIT view of innovation
Innovation Simple Definition
SHORT BREAK
• 5 MINUTES
DRAFT- DRAFT- DRAFT- DRAFT