Innovation, Idea Selection, Valuation

There is no sure fire route to commercial success, but one can maximize the chances of selecting those ideas that are most likely to succeed. Organizations short of R & D resources must implement such processes. The Economist (2003) states that 3000 bright ideas result in 100 worthwhile projects, which are winnowed down to four development programmes. And four such development programmes are required to stand any chance of getting one winner.

So how do we value ideas? There are quite a few categories of evaluation. Some include:

a) Those types of ideas that have been most successful in the past. Franklin (2003) notes at least six types, including need spotting, solution spotting, market research resultants, random event, mental invention, trend following. Each type has it's own percentage of success.

b) Fit with the firm. Katz (2003) argues that ideas are more likely to succeed if the firm has i) the strategic fit, ii) the technical expertise and iii) the business competencies to make it work.

c) Utterbeck (1994) notes that practical impediments can make or break a valuable idea. For instance, the cultural resistance to condoms in Africa have contributed to the spread of HIV. He has devised the S-curve, which allows relative measurement of ideas against practical impediments.

d) The timing of GO and KILL decisions have an impact. When an idea is in the pipeline, a premature KILL decision may not allow the potential of an idea to be fully realised. However, keeping it in the GO state may use up valuable resources that hinder other valuable ideas.

e) Success is more likely if the benefits to the consumer have been established. These can be measured in various ways, for example, rating on productivity, simplicity, convenience, risk, fun, image, environmental, purchase, delivery, use, supplements, maintenance, disposal etc.

These and other topics are covered in depth in the MBA dissertation on Managing Creativity & Innovation, which can be purchased (along with a Creativity and Innovation DIY Audit, Good Idea Generator Software and Power Point Presentation) from http://www.managing-creativity.com

Kal Bishop, MBA

**********************************

You are free to reproduce this article as long as no changes are made and the author's name and site URL are retained.

Kal Bishop is a management consultant based in London, UK. He has consulted in the visual media and software industries and for clients such as Toshiba and Transport for London. He has led Improv, creativity and innovation workshops, exhibited artwork in San Francisco, Los Angeles and London and written a number of screenplays. He is a passionate traveller. He can be reached on http://www.managing-creativity.com.

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table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.reuters.com/article/innovationNews/idUSTRE4AP0Z620081201cid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNGxiaoq7em84uYH4ctO3llWbIUUFAimg src=http://news.google.com/news?imgefp=zD_6cUQ7_F0Jimgurl=www.reuters.com/resources/r/%3Fm%3D02%26d%3D20081201%26t%3D2%26i%3D7025988%26w%3D192%26r%3D2008-12-01T161406Z_01_BTRE4AP0IB600_RTROPTP_0_AIG width=80 height=55 alt= border=1brfont size=-2Reuters/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.iht.com/articles/2008/12/01/business/01aig.phpcid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNG32z2ncSYqQUeNMqoJLLpbEfK4BwAIG sells wealth bmanagement/b unit to Abu Dhabi group/abrfont size=-1font color=#6f6f6fInternational Herald Tribune,nbsp;Francenbsp;-/font nobr12 hours ago/nobr/fontbrfont size=-1NEW YORK: American International Group, the troubled insurance giant, said Monday that it had agreed to sell its wealth bmanagement/b provider AIG Private Bank b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://online.wsj.com/article/SB122813841343668791.html%3Fmod%3Dgooglenews_wsjcid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNEUPZaNr7jeTrSA3q3G2-i9rU7c8AAIG to Sell Private Bank to Aabar/a font size=-1 color=#6f6f6fnobrWall Street Journal/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://newsticker.welt.de/index.php%3Fchannel%3Dfin%26module%3Dsmarthouse%26id%3D817064cid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNHur813HLeshNPBbZuep7ujYekcfgAIG Announces Agreement to Sell AIG Private Bank Ltd to Aabar b.../b/a font size=-1 color=#6f6f6fnobrWELT ONLINE/nobr/font/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.capitalfm.co.ke/business/International/AIG-to-sell-it%27s-Private-Bank-1216.htmlcid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNHPZJjuELU4IZbzHeXho-Z7md8axAAIG to sell it#39;s Private Bank/a font size=-1 color=#6f6f6fnobrCapital FM/nobr/font/fontbrfont size=-1 class=pa href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.businessinsurance.com/cgi-bin/news.pl%3Fpost_date%3D2008-12-01%26id%3D14628cid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNGeBBK72iqj6OqzLfDx8s7xsALjwAnobrBusiness Insurance/nobr/anbsp;- a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.forbes.com/markets/2008/12/01/aig-abu-dhabi-markets-equity-cx_md_1201markets16.htmlcid=1276378241ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNEbdiDHL01oK-wBb0gTYvOedg072gnobrForbes/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1276378241hl=ennobrall 163 news articles/nobr/a/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/Updated-Information-Regarding-Auction-Preferred/story.aspx%3Fguid%3D%257B869464BD-34F0-4889-BC11-666C196B5457%257Dcid=1276628257ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNG09fh39suujJ27ZTqL3nbzlPF9xQUpdated Information Regarding Auction Preferred Securities Market b.../b/abrfont size=-1font color=#6f6f6fMarketWatchnbsp;-/font nobr3 hours ago/nobr/fontbrfont size=-1BOSTON, Dec 01, 2008 (BUSINESS WIRE) -- MFS Investment bManagement/b(R) (MFS) today announced the availability of information on the results of the weekly b.../b/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/Gideon-Technologies-CEO-To-Give/story.aspx%3Fguid%3D%257B7F21B780-4CB3-4A33-B667-724B0AF4324B%257Dcid=1276605793ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNGtsicdIiv4InrhXVFw8hQFmUu9BwGideon Technologies CEO To Give Unified Compliance bManagement/b b.../b/abrfont size=-1font color=#6f6f6fMarketWatchnbsp;-/font nobr6 hours ago/nobr/fontbrfont size=-1Unified Compliance bManagement/b simplifies this complex problem. quot;The combination of a holistic centralized view of the network, unified and continuous b.../b/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/Research-Markets-Training-Management-Maturity/story.aspx%3Fguid%3D%257B7D6818E5-8250-4A6D-B555-A9CD4D5EA73A%257Dcid=1276579789ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNFnQ0ViShZpjn6I748PHUmNflfBaAResearch and Markets: Training bManagement/b Maturity Model: A b.../b/abrfont size=-1font color=#6f6f6fMarketWatchnbsp;-/font nobr8 hours ago/nobr/fontbrfont size=-1How effective is your current training bmanagement/b system? What do you need to do to improve it? Find out with this best practice model and set of assessment b.../b/fontbrfont size=-1a href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/Research-Markets-Fundamentals-Quality-Control/story.aspx%3Fguid%3D%257B179937E7-E40D-4AED-8F23-F04BD5B29EC0%257Dcid=1276579789ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNGgkoA0Ibbwk5j4QoYBO34rQCNhxAResearch and Markets: Fundamentals of Quality Control and b.../b/a font size=-1 color=#6f6f6fnobrMarketWatch/nobr/font/fontbrfont class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1276579789hl=ennobrall 12 news articles/nobr/a/font/div/font/td/tr/table
table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://www.citywebshopper.net/articles/includes/redirect.php?url=http://www.marketwatch.com/news/story/Transite-Technology-Signs-Deal-MCR/story.aspx%3Fguid%3D%257B68033FCC-D3DB-430C-AA06-C338E00DFBED%257Dcid=1276668403ei=PIc0Sd72Hpf-6gO_pbT1DAusg=AFQjCNG7mKv4VBG4uDhbrGrC4SqPLmRxMQTransite Technology Signs Deal with MCR Safety to Provide b.../b/abrfont size=-1font color=#6f6f6fMarketWatchnbsp;-/font nobr2 hours ago/nobr/fontbrfont size=-1quot;And, it also is in line with our intent to cement our position as the leading transportation bmanagement/b application to the SAP system. b.../b/font/div/font/td/tr/table
management - Google News


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