Presentation made by the Matrix Innovation Team to launch the InterTrade Ireland Challenge Programme in September 2011.

2. Why are we here?
Aidan Gough |

3. Why are we here?
Margaret Hearty |

4. Margaret Hearty
Intro / Why are we here? Director,
InterTradeIreland
Peter Craven
“Delivering Value from Innovation” CDE Global
Matrix
“Achieving Ambitious Business Growth” Innovation Team
Matrix
Challenge Programme Overview Innovation Team
Programme Application / Networking

5. “a strategy of innovation”
Patsy Carney | EirGen Pharma

6. “a mindset for innovation”
David Barrett | cute-e Ireland, U.K. & Singapore

7. “vennetics: case study”
John Hamill | Vennetics Ltd.

8. “delivering value from innovation”
Peter Craven | CDE Global

9. “achieving ambitious
business growth”
Graeme Crombie & Jamie McCallum | Matrix Innovation Team

10. What strategic approaches
are most successful?

11. Define successful?

12. What strategic approaches
are most successful?
Turnover Growth Profitability

13. Turnover Growth
Q: What’s the best way to
significantly grow the top line?
A1: Increase loyalty from existing customers.
A2: Find new customers.

14. A2: Getting new customers.
Average GROWTH RATE
Number of NEW CUSTOMERS over the past 3 years

15. “number of customers was
found to be 2.8 times more
important than amount
bought per customer.”

16. Your existing customers can only….
EAT | DRINK | SPEND
so much!
Share of Share of Share of
stomach. throat. pocket.

17. You need more……
Stomachs. Throats. Pockets.

18. Turnover Growth
Growth Rate (%) vs No. New/Improved Products/Services in 3 year period

19. Profitability
Q: What’s the highest margin strategy?
A1: High quality.
A2: Quick turnaround.
A3: Low cost.
A4: Create regardless of market demand.
A5: Listen / Create around customer demand.

20. A4: Create regardless of market demand.

21. Average % Profit Margin vs Core Business Strategy
16
15
14
13
12
11
10
9
8
7
Low Cost Quick Delivery Voice of Customer High Quality Innovation
Georgia Institute of Technology
n=738

22. A4: Create regardless of market demand.
“If I had asked
my customers
what they
wanted, they’d
have said faster
horses.”
Henry Ford

23. A4: Create regardless of market demand.
“If you’re not Monopoly
unique you’d
better be
cheap.”
Doug Hall
Commodity

24. Be honest about your growth aspirations……
£/€
Past Future
(now) 5 Years
Time

25. Be honest about your growth aspirations……
£/€
Want to get to here?
Normal Incremental
Growth Continues.
Sales stay the same.
Past Future
(now) 5 Years
Time

26. Be honest about your growth aspirations……
£/€
Want to get to here?
Same Old Stuff Normal Incremental
Growth Continues.
Sales stay the same.
Past Future
(now) 5 Years
Time

27. Be honest about your growth aspirations……
£/€
Want to get to here?
New and Different
Normal Incremental
Growth Continues.
Sales stay the same.
Past Future
(now) 5 Years
Time

28. A4: Create regardless of market demand.
“Insanity: Doing the same
thing over and over again
and expecting different
results.”
Albert Einstein

29. EXISTING NEW
PRODUCTS PRODUCTS
MARKETS
EXISTING
market product
penetration development
MARKETS
NEW
market unrelated
development diversification

30. Problem………
So if innovation is the key to achieving
the growth that companies desire. And
it’s at the top of the agenda of your
governments and support agencies….
Why don’t more companies adopt an
innovation strategy????

31. INNOVATION =
TIME | MONEY | RISK

32. Purchase Intent:
Meaningfulness
New & Different: Uniqueness

33. TIME | MONEY | RISK
= FEAR

34. FEAR =
NO CULTURE OF INNOVATION

35. Human error is high.

36. Humans <10%
success at picking
winning ideas.

37. Even fruit
machines
pay out 32%
of the time!

38. Purchase Intent:
Meaningfulness
New & Different: Uniqueness

39. ANSWER
A Reliable & Repeatable Strategy
of Innovation Needs a System.

40. GOOD NEWS!
Through the
InterTradeIreland Challenge Programme
you will learn a highly effective system.

41. Responsible for £1.5Bn in new
products & services globally.

42. effectiveness endorsed by…

43. based solely on research into…
• The factors which make products/services
succeed or fail.
• The factors that make business
development teams effective.

44. by reverse engineering….
• Over 4,000 real products and services.
• Over 6,000 business development teams.

45. • Small Scottish Manufacturing Company.
• Produce electronic sensors and switches.
• Customers are predominantly automotive.
• Sell to: JCB | Volvo | Leyland DAF | Daimler.
• Innovation has seen their t/o rise from £2.5M
to a projected £8M in 2011/12.
• Janice Marriot is the Sales & Marketing
Director……

46. [VIDEO TESTIMONIAL]

47. Usual Company Systems Approach
Consumer / Concept R&D and Sales
Market Development Product/Supply Forecasting
Research Development Evaluation
Rework - Redo - Restart
Rework - Redo - Restart

48. Usual Company Systems Approach
• Typical marketplace success of 5-15%.
• Designed to deal with cost & risk.
• Reduces risk by holding ideas back from the
market.
• Ignores the biggest risk of missing the
opportunity.

49. The Simultaneous Engineering Approach
Product
Development
Rapid Cycles
of Test &
Learn
Business
Marketing
Model
Development
Development

50. The Simultaneous Engineering Approach
• Typical marketplace success of over 45%.
• Products accelerate to market in a fraction of
the time.
• Utilises “Fail Fast. Fail Cheap.” methodology
to kill off costly losers ASAP.

51. the three stages of the system…
Evaluate Launch
Create Ideas
Ideas Ideas
A system for A system for picking A system for getting
creating as many ideas with the highest ideas to market with
ideas as possible. probability of success. the minimum of time,
money and risk.

52. Pipeline Management of Innovation
High Probability Correct
Ideas (£/€) Understanding of
Value
Medium Probability
Ideas (£/€) = Max Chance of
Hitting Growth
Low Probability
Ideas (£/€) Targets From
Innovation

53. Challenge Programme
Overview
Graeme Crombie & Jamie McCallum | Matrix Innovation Team

54. What you get…….

55. A max of 30 Selected Companies will get:
2 Full Day Workshops Covering:
• Business Strategy & Planning
• Innovation System Training
Plus
An innovation culture assessment on your whole
company benchmarking you against world class in a
number of key innovation areas.

56. A final 10 Selected Companies will get:
In-company intensive mentoring to output:
• 30 - 70 new ideas generated.
• At least one real new product/service being
commercialised.
• Start implementation of the system to create ideas,
pick high probability winners and rapidly
commercialise them with the minimum of time,
money & risk.

57. What’s expected of you…..

58. You must be committed to:
• Availability / attendance of workshops on:
11th & 18th of October 12th & 19th of October
• Commitment of your team with management
support to 6 days over a period of 6 months.
• Completion of a business plan for application to
the final stage.

59. Application Time / Networking
Slides available from Thursday at:
www.intertradeireland.com/challenge/