External Viewpoints Reports (EVRs) - 2 The Sources of Innovation

PathFinder - Hyundai team Wangbong Lee, Jihye Eom, Youngseok Oh, Ilseok Suh Sep. 27. 2005 EVR2, The Sources of Innovation

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EVRs – The Sources of Innovation

• Contents

– Brief Description – The Source of Innovation – Variations in the Source of Innovation – Lead Users – What’s interesting for the Studio project – Summary – Q&A

EVR2, The Sources of Innovation

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EVRs – The Sources of Innovation

• Brief Description – Illustration of the sources of innovation • Users as Innovators • Manufacturers as Innovators • Suppliers as Innovators – Presents the studies in various areas • Scientific instruments, semiconductor and PCB process, • Engineering Plastics, Tractor Shovel-related, • Wire Termination Equipments, Industrial Gases, and Thermoplastics, etc – Lead Users • users whose present strong needs will become general in a market place months or years in the future

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EVRs – The Sources of Innovation

• The Source of Innovation – consider what innovation will take place where there is the greatest economic benefit to the innovator. – The sources of innovation vary greatly in various fields. • Users, manufacturers, suppliers – Boeing is a manufacturer of aircraft – But also, Boeing is a user of machine tools.

– If we were considering innovations in aircraft, Boeing would be categorized as a manufacturer.

– If we were considering innovations in metal-forming machinery, Boeing would be categorized as a user

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EVRs – The Sources of Innovation

• Variations in Source of Innovation – Users as Innovators • Scientific Instruments, Semiconductors, PCB process, Pultrusion process – Manufacturers as Innovators • Engineering Plastics, Tractor Shovel-related, and Plastic Additives – Suppliers as Innovators • Wire Termination Equipments, Industrial Gases, and Thermoplastics

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EVRs – The Sources of Innovation

• Lead Users – Marketing research constrained by user experience is the most significant difficulty in industrial market analysis.

– This limitation makes it difficult to accurately determine needs for new products – Characteristics of Lead Users • Lead users will possess the particular real-world experience that manufacturers must analyze if they are to accurately understand the needs • Lead users attempt to solve their need. – Proposed method • First, Identify an important market or technical trend • Second, Identify lead users with respect to that trend • Third, Analyze lead user data • Last, Test lead user data on ordinary users

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EVRs – The Sources of Innovation

• What’s interesting for Studio project – Navigation system • What is the Source of innovation in this system?

• Users as Innovators • Drivers, pedestrians – But, our project is concerning on data reorganization for efficient searching • What is the Source of innovation in this project?

• Manufactures as Innovators • HMC, other manufactures – Lead Users Approach • we need to identify the important market or technical trend as soon as possible.

• Probably, HMC is a lead user.

• analyze lead user data,  is this elicitation of requirements ?

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EVRs – The Sources of Innovation

• Summary – The author says • The source of innovation vary greatly, users, manufactures, suppliers.

• A series of studies showing that users, manufacturers and suppliers are the typical sources of innovation in various fields • Most often users are innovators from innovation data – Lead user • Marketing research constrained by user experience is the difficulty in industrial market analysis.

• This limitation makes it difficult to accurately determine needs for new products • The author proposes the lead user methodology as a solution

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EVRs – The Sources of Innovation

Q & A

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