1. title Innovation in practice location date presentation name VMT Food Event March 16th 2010 Valley of Death ir. Wouter de Heij

2. Outline Introduction Innovation bottlenecks Business model’s

4. 60% (fresh-)food producers, 40% equipment manufacturer (OEMs)

5. Shelf-life en quality extension; NPD & NT

6. Private business oriented service provider

8. TOP ltd. - Value based knowledge company Food Design Process Development

9. TOP ltd. - Value based knowledge company Food Design Process Development

10. TOP ltd. - Value based knowledge company Food Design Process Development

11. TOP ltd. - Value based knowledge company Food Design Process Development

12. TOP ltd. - Value based knowledge company Food Design Process Development

14. All people need a salary (a financial transactions is always required)

15. Background knowledge is free @ TOP ltd.

17. The innovation bottlenecks ? Business Opportunities Novel technologies

18. Innovation paradox in technology Sufficient knowledge Multiple opportunities Development money available Yet Only few true novel applications Development in companies often blocked

19. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

20. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

21. Van idee naar commerciële toepassing Development Research Machinebouw (technologie en processen) 100 - 1000 kg 1 gr - 1 kg 0.1 - 10 kg 1 - 100 kg Production series Sales of technology (Industry) Laboratory test Labscale system Pilot scale 0-serie 300-3000kE 150-1500kE 100-750kE 40-200kE 15-50kE Marketsurvey Marketsurvey sales(R&D) Sales of Innovative foodproducts (Industry) Product challenge tests Laboratory product tests Voedselproductie (producten en recepten) 1 gr - 1 kg 10 kg - 100 kg Kip-en-ei : Wie investeert?

22. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

23. Van principe tot een nieuw systeem jaar 2005 2010 2015 2020 Fundamenteelonderzoek Nieuwe principes Nieuwe principes Toepassings-gericht technologie Nieuwe technologie Nieuwe technologie Nieuwe technologie Apparaten-bouw Nieuwe Apparatuur Nieuwe Apparatuur Nieuwe Apparatuur ProcesontwerpOntwikkelingtoepassen Nieuw proces Nieuw proces Nieuw proces Systeem-oplossing Nieuw systeem Nieuw systeem Nieuw systeem

24. Disruptive innovation of technology performance DisruptiveInnovation Market development Time

25. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

26. A warning to industry : you want development! R &D: Industry R&D: University & CRO

27. Make, Buy or Ally Business Roadmap X no Fully internal top Development plan internally Identify Science & Technology areas Need for Capabilities Potential position in 5 years no high Similar capability existing externally? Alliance yes Strategic fit average high R&D Roadmap Competitive impact Acquire externally low yes Acquire externally low Source : Unilever R&D

28. From research to innovation € Innovation Development Production Sales Market (perspective) Research Engineering Costs of input (hr) Design Methods & procedures

29. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

30. Productontwikkeling & Ondernemersrisico 90% Risico Subsidie 4000 kE 65% 40% 2000 kE 25% = 500-5000 kE kosten Fundamenteel Toegepast Industrieel Demonstratie 200-800 kE Research Development 25-300 kE

31. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

32. Technologysuppliers – crossing the chasm

33. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

35. Some examples of “neue kombinationen” Fruit and snacks Fresh(cut) andlongershelf-life (mild preservation) Organic, naturalandaddedfunctionality Low CO2andexoticfoods Fresh(cut) andA-brand Multinationals andchilledfoodchains Outsourcing design and developmentandcreatinginternalvalue Foodtechnologyandcreativity (food design) & sales International andlocal (slow) Individualproductsandmassproduction Brand 1 and Brand 2

36. The ‘knowledge tree’ and new combinations Increase knowledge at the front of each disiplines + Neue Kombinationen (of knowledge) to solve problems and to realise new innovations that can not be solved witin the excisting siences When a disipline become more mature the ‘distance’ between experts will become larger The gap between alfa- en bèta-sciences Ref. Groen et.al, Innoveren, 2006

37. Innovation bottlenecks Chicken and the egg problem Don’t focus on your current technology Knowledge is useful, entrepreneurial spirit key Subsidies only support innovations financially Crossing the chasm Blue ocean strategy Cultural fit

38. Objectives and requirements process design

39. Outline Introduction Innovation bottlenecks Business models

40. Pascalisation– the bottleneck Fixed costs of innovation Fixed costs of production facilities Variable “cost plus” as income Variable costs of buying Variable profits (cross-subsidy) Producers / farmers High Risk Retail Low Risk

41. Pascalisation 2000 – 6000 bar (batch process) Inactivation of M.O. Equivalent to heat pasteurisation. Fresh taste and appearance Suitable for meat / fish / R2E / F&V

42. Pascalisation 1899: B.H. Hite et al, USA Pressures of several thousands of kilograms will kill microorganisms in milk 1914: Percy Williams Bridgeman, USA Coagulation of egg albumen by pressure and on the effect of temperature on the pressure effect 1933-1938: J. Basset and M.A. Macheboeuf et al, France Effect on enzymes, viruses, phages and bacteria 1960: Keizo Suzuki, Japan Combined effect of pressure and temperature on the kinetics of protein denaturation.

43. Pascalisation 130 production lines Worldwide (Mainly USA) 2x suppliers : Avure & NC-Hyperbaric 250 – 2000 kg per hour @ €0,10 - 0,35 / kg 600 k€ - 2.000 k€ investment 3# production lines in Benelux (since 2008)

44. Pascalisation - bottlenecks What are not the bottlenecks Applied science Availability equipment Legislation What are the current bottlenecks NPD (newconcepts) Category management ‘plain’ testing & sales-agents High costs of investment

45. Pascalisation - bottlenecks What are not the bottlenecks Applied science Availability equipment Legislation What are the current bottlenecks NPD (newconcepts) >> 30 concepts Category management patience …  ‘plain’ testing & sales-agents focus on NPD High costs of investmenttollfacility

46. Pascalisation– nature best preserved

48. Pascalisation– Business Models Sell products or ingredients Sell equipment Innovation as services Toll manufacturing Licensing of new concepts Finance equipment Joint ventures (share risk) Promote the technology (logo)

49. wdeheij.blogspot.com twitter.com/deheij www.top-bv.nl www.slideshare.net/deheij