Introduction to
Creativity and Innovation
and Entrepreneurship
Winter 2011
ENGO 421, Fall, 2004
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Learning Objectives• Objectives:
Introduction
1. Define and distinguish between:• Discovery• Invention• Innovation (venture model / technological)• Creativity
2. Provide, recognize and classify examples of each
3. Give reasons why creativity and innovation are critical to the work of the entrepreneur
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Agenda• Introduction• Brainstorming activity• Concepts
• Discovery, invention, innovation and creativity
• Some examples
Introduction
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Why Creativity and Innovation?
Concepts
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Introduction
iPod by Apple• Since 2002:• 162 million sold• 90% of market
• Today we’ll ask ourselves again why this has been so successful…
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Activity
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Key Concepts
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Key Concepts
Concepts
Developmentof new ideas
Purposefulimplementationof those ideas
Exploitation of inventions to create economic and social value
• new ideas:• knowledge• concepts
• inventions:• technologies• business models
• useful implementation:• products• services• experiences
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What is Innovation?• A process of intentional change made to
create value by meeting opportunity and seeking advantage
• “…is the specific function of entrepreneurship…”• Peter Drucker
• Process:• Invention Change Useful implementation
Concepts
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What is Creativity?• “The imaginatively gifted recombination of
known elements into something new.”• Ciardi
• “Fruitful combining which reveals to us unsuspected kinship between facts, long ago known but wrongly believed to be strangers to one another.”• Poincare
• Process: • Existing ideas Recombination New ideas
Concepts
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Can you create creativity?• “20% time” at Google• Let people work on what they want to work on• Innovation will follow
• 50% of products come from Google’s 20% time• www.businessweek.com/magazine/content/05_40/b3953093.htm
• www.podtech.net/home/?p=632
• Is this realistic for a new business?• Can a small business do this?• Can most businesses do this?
• Other ways?
Concepts
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Do you have to invent to innovate?• Innovation is different from invention
• You don’t need to invent to innovate
• Guy Kawasaki says:• “COPY SOMEBODY … clever people have pretty
much invented every business model that’s possible. You can innovate in technology, markets, and customers, but inventing a new business model is a bad bet. You have plenty of other battles to fight.”
Concepts
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Types of Innovation
• For now we will consider the following types of innovations:
1. Technological innovation
2. Venture model innovation
Concepts
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Some Examples
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The “Fastskin” Swimsuit• Speedo LZR, 2008• Make no waves• Reduces drag• Preferred by most
Olympians today
Examples
Further reading: • http://blogs.howstuffworks.com/2008/04/21/how-the-fastest-swim-suit-works• http://www.bloomberg.com/apps/news?pid=20601079&sid=agr3V7Zrg8rk• http://philosophy.hku.hk/think/creative/creative.php
• Innovation?• Technological or venture model?
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The Digital Camera
Examples
Source: www.msnbc.msn.com/id/9261340/
• Innovation?• Technological or venture
model?
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Examples
• Innovation?• Technological or
venture model?
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Examples
iPod by Apple• Why has it been so
successful?
• Is your answer any different now than it was on the first day?
• Innovation?• Technological or
venture model?
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Examples
• Innovation?• Technological or
venture model?
iTunes by Apple
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Wrap-up
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2003 2004 2005 2006 2007
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20
15
10
5
0
Year
Millions iPods sold monthly
Value Created at Apple
Apple
Dell
HP
Microsoft
SHARE PRICES
600%500%400%300%
200%
100%
0%
ROI
Wrap-up
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Wrap-up
Innovation Index?
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Take these Concepts Further• Starting and running a business is as
important as:• Encouraging creativity • Managing innovation
• Balance• Operations vs. creativity and innovation • Left brain vs. right brain
• Your own unique processes
• Stage of business
Wrap-up
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Learning Objectives• You should be able to:
Wrap-up
1. Define and distinguish between:• Discovery• Invention• Innovation (venture model / technological)• Creativity
2. Provide, recognize and classify examples of each
3. Give reasons why creativity and innovation are critical to the work of the entrepreneur