SIX-S-FULL INNOVATION by Daniel Pandza
www.danielpandza.com 1
P= R - C profit
revenues
2
costs
PROFIT IS TEMPORAL 4
INNOVATION
IS CRITICAL 5
INNOVATION
IS EVOLUTION 6
INNOVATION
IS NEW VALUE 7
INNOVATION
IS DIFFERENTIATION
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PRODUCT INNOVATION vs. INNOVATION LIFE-STYLE
6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 9
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INNOVATION MULTIPLE STAKEHOLDERS 10
INNOVATION
IS HARD WORK CHANGE
CHALLENGE
NEEDS
PRODUCT
SOLUTION
SOLUTION
STRATEGY
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BUSINESS
EFFICIENCY
BUSINESS
IS YOUR INNOVATION
SIGNIFICANT?
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SIGNIFICANT INNOVATION
PRINCIPLES
SIGNIFICANCE = SEXYNESS + SIMPLICITY + SYNERGY + SCALABILITY + SUSTAINABILITY 6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 13
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
SEXyNESS
PROJECT: IDEA: EVALUATOR:
SIMPLICITY
VERSION: SCORE: DATE:
SYNERGY
SCALABILITY
/125
SUSTAINABILITY
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
CLIENT
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
SUPPLY CHAIN
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
DISTRIBUT. LOW CHANNELS
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
SOCIETY
OUR COMPANY
LOW
6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 14
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SEXYNESS
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/125
1. SEXYNESS With this concept we invite you to reflect about the levels of attractiveness of… a). your current product, service or current business model on the one hand, b). and the innovation´s capacity to satisfy the needs of our customers and investors. If the current design of our BusinessDesign scores low on the “sexyness” scale, we should ask ourselves: For which customer segment, channel partner, etc. might it be more sexy? How can we increase the “sexyness” of our innovation? When / where might it be perceived as more “sexy”? 6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 16
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/25
1. SEXYNESS SOCIETY
TARGET CUSTOMER
SUPPLY CHAIN PARTNERS
DISTRIBUTION CHANNEL PARTNERS
OUR COMPANY
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH LOW
HIGH
6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 17
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/25
1. SEXYNESS SOCIETY LOW
LOW LOW LOW LOW
ECOLOGICAL
ECONOMIC
SOCIAL POLITICAL TECHNOLOGICAL
TARGET CUSTOMER HIGH LOW
HIGH LOW HIGH LOW HIGH LOW HIGH LOW
RELATIVE ADVANTAGE
USABILITY EMOTIONAL / SOCIAL REDUCE RISK REDUCE COSTS
HIGH LOW
HIGH LOW HIGH LOW HIGH LOW HIGH LOW
SUPPLY CHAIN PARTNERS INCREASE VOLUME
REDUCE COSTS REDUCE RISK POSITION BRAND XXXX
6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 18
DISTRIBUTION CHANNEL PARTNERS HIGH LOW
HIGH LOW HIGH LOW HIGH LOW HIGH LOW
INCREASE VOLUME REDUCE COST
REDUCE RISK POSITION BRAND XXXX
OUR COMPANY HIGH LOW HIGH ATTRACT NEW CUSTOMERS HIGH LOW HIGH LOW HIGH LOW HIGH LOW
DRIVE NEW REVENUES REDUCE COSTS
HIGH HIGH
HIGH STRENGTHEN PORTFOLIO INCREASE BONDING
HIGH
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SIMPLICITY
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/125
2. SIMPLICITY The concept of “Simplicity” invites us to reflect about the level of complexity that our innovation contains and the implications this has for our clients, allies and company. For example, it could be that you have designed a “sexy” product, but the client does not perceive it, doesn't understand it, is not capable of taking advantage of it, or does not possess the competencies to leverage the innovation. In case we identify the activities that are highly complex and therefor require lots of effort, time or money we can as ourselves: Are there other customer segments that do not find it complex? · Who can help us to decrease the complexity for our clients? · How could we re-design the innovation, service or business model in order to eliminate the complexity barriers? 6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 20
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SYNERGY
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/125
3. SYNERGY With the concept of synergy we invite you to reflect about the level of synergy that our innovation has with the market trends, distribution channels, consumer behaviour and customs and motivations of our own sales force, etc. In case you come to the conclusion that the level of synergy is low, you can be sure that adoption will require more resources or time for educating the stakeholders. Educating a market segments will postpone the successful diffusion & adoption even more. Therefore, you must take this into consideration at the time of defining the key performance metrics and measuring project progress. If synergy is low you might explore opportunities for increasing more synergies (align with market trends, find key partners, hire your own sales force, create own distribution channel. etc. 6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 22
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SCALABILITY
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/125
4. SCALABiLITY With this concept we invite you to reflect about the growth potential and growth speed of our business design. The growth will depend on 1st market size, 2nd the scalability of the product, 3rd the scalability of the service (whole product), 4th the scalability of the business model, 5th the stage of the category maturity life cycle, and 6th the power and resources our company possesses to gain market share from our competitors. If we discover that the scalability of our business design is limited and the profit potential doesn´t compensate for the lack of volume we have to ask ourselves: How can we modify the design of our product, service or business model (incl. decisions about distribution channels, market segments, key partners, etc.) in order to maximise the profitability and growth? In which of the different innovation projects should I invest my resources? etc.
6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 24
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SUSTAINABILITY
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6S
INNOVATION
EFFECTIVENESS
ASSESSMENT
PROJECT: IDEA: EVALUATOR:
VERSION: SCORE: DATE:
/125
5. SUSTAINABILITY Finally, the concept of sustainability invites us to reflect about the relevance of the innovation project in the long term. If we pursue this project, will we have the opportunity to leverage the new experiences, resources, channels, credibility, image, etc. in order to create the next-generation of our business that will assure our growth target in the long run? 路 Is is a project with short term potential that will have limited potential to create future business opportunities? If you have not considered the long-term implications of your innovation efforts, this evaluation criteria should inspire you to imagine the long term potential of your innovation efforts. 6S INNOVATION EFFECTIVENESS Assessment Scoreboard v2 - by Daniel Pandza (daniel@danielpandza.com) 26
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INNOVATION IS LIKE PLAYING SUDOKU ENJOY THE GAME
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