Understanding Innovation - Industry Breakfast
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Professor Mark Dodgson's presentation to the Industry Breakfast on 27 May 2009 at the University of Queensland Business School Downtown facility.
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Understanding Innovation - Industry Breakfast
- 1. “Why Thomas Edison Murdered Topsy the Elephant” UQ Business School Industry Breakfast, 27th May 2009 Professor Mark Dodgson
- 2. Please note… To reference the following material, or to find further details, please refer to: Dodgson, M, Gann, D and Salter, A (2008) The Management of Technological Innovation: Strategy and Practice, Oxford, Oxford University Press. Dodgson, M, Gann, D and Salter, A (2005) Think, Play, Do: Technology, Innovation And Organization, Oxford, Oxford University Press. Dodgson, M and Gann, D (forthcoming 2010) Innovation: A Very Short Introduction, Oxford, Oxford University Press.
- 3. Understanding innova.on “This really is an innovative approach, but I’m afraid we can’t consider it. It’s never been done before.”
- 4. The World’s Greatest Entrepreneur Aged 24 he was ready to “begin, proceed and finish our future schemes, our days and years, in the pursuit of Fortune, Fame, and the Public good” Josiah Wedgwood 1730‐1795 Portrait by Joshua Reynolds
- 5. Wedgwood’s achievements Created an enduring, world famous company ✔ Developed radical innova.ons: products ✔ processes ✔ organiza.on ✔ business model ✔ Contributed to: na.onal infrastructure ✔ new export markets ✔ industry policy ✔ new industrial cluster ✔ Outstanding scien.st ✔ Marke.ng genius ✔ Developed a new approach to industrial design ✔ LeM the world a beNer place ✔
- 9. Queen CharloNe’s Dinner Service “To this manufacturer the Queen was pleased to give her name and patronage, commanding it to be called Queensware, and honouring the inventor by appoin.ng him Her Majesty’s PoNer”
- 10. Catherine the Great’s Dinner Service A stunning display would “bring an immense number of People of Fashion into our Rooms – Would fully complete our notoriety to the whole island”
- 11. Product innovations Wedgwood developed several new ceramics, including Jasper, Black Basalt, and Creamware He undertook 5000 experiments in developing Jasper His favourite motto: “Everything yields to experiment”
- 12. Approach to design… George Hepplewhite George Stubbs Robert Adam John Flaxman His objective was: “to sharpen the fancy and skill of the artist by a collision with the talents of others”. The result was to make drab and functional pottery elegant
- 13. “He was the greatest man who ever, in any age or in any country, applied himself to the important work of mixing art with industry” William Gladstone
- 14. “The Lunar Men” Josiah Wedgwood Ma.hew Boulton Erasmus Darwin “In the .me of Lunar men science and art were not separated, you could be an inventor and designer, an experimenter and a poet, a dreamer and an entrepreneur all at once” (Uglow, 2002:xviii) James Wa. Joseph Priestley
- 21. “Hell, there are no rules here – we’re trying to accomplish something” “From his neck down a man is worth a couple of dollars a day, from his neck up he is worth anything his brain can produce”
- 22. Some research principles: - Only invent with a market in mind. - Pursue several lines of research, keeping options open until strongest contender emerges – then concentrate effort and resources. - Explore how ideas from separate areas of research can be combined. - Look everywhere for ideas. - Re-use proven components in new designs. - Long-term views: usually 5-7 years to perfect a thing, but some took 25+. - Understand the value of chance, serendipity and ‘accident’. - Most returns go to the owner of the system.
- 26. Complexity T5 infrastructure is a ‘system of systems’ • 2 main terminal buildings • 60 aircraM stands • 600‐bed hotel 260 hectares – the size of Hyde Park. • 4,000 space car park 30 million passengers a year. • Road and rail extensions £4.3 billion project. • Air traffic control tower • 2 river diversions BAA the systems integrator and project manager • 80 1st .er suppliers • 500 2nd .er suppliers • 2,000 3rd .er suppliers • 5,000 4th .er suppliers • 15,000 fiMh .er suppliers The project required a balance between highly structured rou.nes and innova.on to deal with unknowns
- 28. Project depended on a completely new approach to partnership which has changed the UK construc.on industry Traditional Approach Innovative Approach risk Client risk Client Integrated Project Team Contractor Partners Tradi.onal contrac.ng Under T5 Client ‘dumps risk’ on contractors Client ‘bears the risk’ Adversarial rela.onships Works with ‘partners’
- 29. Prior to starting the project BAA estimated the traditional approach would result in its being: • £1bn over budget, • one year late, and • result in two fatalities. Using the innovative approach, T5 opened exactly on time (4.00am on 27th March 2008), on budget, with no fatalities
- 31. simula.on and prototyping
- 37. Innovation involves: Energy and perseverance Combining ideas from many sources Being competent across the board, not just brilliant at one or two things Balancing the long- and short-term Competing vigorously, using all (socially and morally acceptable!) tools at your disposal
- 38. Innovation involves: Organizing appropriately, with the right people Understanding where you want to be in complex systems Partnering effectively Managing acceptable risk Using supportive new technologies.
- 39. Understanding innovation involves… Lessons of the past Current good practice Preparing for the future
- 40. Innovation Leadership Network and Blog www.timkastelle.org