Innovation and the Internet. Currently, these are the buzzwords that are driving economic growth and recovery. Innovation and the Internet seems to be today’s panacea to cure all that ails every organization, whether it is reviving a stagnant culture or reinvigorating an old product line. The unfortunate reality is that the success that innovation and the Internet have achieved is in some respects due to a number of convergent factors, including:
As innovation continues to move to the forefront of corporate agendas, corporations are attempting to develop processes and structures to capture the value and competitive advantages from innovation. While a number of corporations believe that innovation can be captured with existing organizational processes and structures, sadly the existing organizational approaches are a severe impediment to developing innovative products and services
Innovation Goes Far Beyond Ideation
Find the right idea and you are golden. The innovation journey often overemphasizes the importance of the ideation phase. Repeatedly, companies believe that the road to growth and prosperity is in discovering “the great idea”, yet they often neglect the execution side of innovation. However, the real challenges emerge when attempting to bring this very innovation to market.
The success rate of product launches tends to decline when companies increasingly rely on innovation to meet their growth targets.[i] At first glance, this appears to be an oxymoron; yet studies have shown that 46% of budgets allocated to new & innovative products end up in failure.[ii] The reason is, most likely, that many businesses see the execution of innovation only as the “afterthought” and not necessarily as a crucial key element of the entire innovation process. In fact, 84% of resources spent on innovation projects are commonly absorbed before commercializing a product.[ii]
Detecon is pleased to have just completed a collaborative effort with TechSoup Global to assess the market for mobile health solutions in the social sector. Over the past years, the non-profit sector has been increasingly looking to mobile technologies to address social issues especially in emerging markets. With an array of initiatives launching siloed mobile solutions, there arose the question of launching a “Mobile Solutions Portal” to serve as a central destination site that aggregates both solutions and information on mobile. With this is mind, Detecon and TechSoup designed an initial assessment that aims to serve as a qualitative guide for those in the non-profit sector looking to leverage mobile solutions to better meet their missions. Continue reading
Successfully launching a new business venture is no walk in the park. A recent study conducted by Harvard professor Shikar Gosh suggests that three out of four venture backed startups fail because they do not yield an exit that is sufficient to pay back VC’s initial investments. While established corporations invest millions of dollars into market research before launching a product, startups launch products with limited time and funding. Many ventures still succeed in developing a high quality product, yet a significant proportion of them are not able to deliver quality goods that actually meet customers’ demands.
Steve Jobs had once predicted that “the biggest innovations of the twenty-first century will be at the intersection of biology and technology.”
So far, 2013 has seen 25% more deals in digital health than 2012 according to Rockhealth startup accelerator and specialized health tech events and funds are multiplying. Just have a look at the recent crowd funding success story of Scanadu, the first “Medical Tricoder”, which managed to raise more than $1.6 million for a $100K initial funding target.
So, is this the beginning of a revolution at the intersection of biology and technology?
The Dawn of Carrier Incubators
Incubation is nothing new. On the contrary, already back in the late 50s of the 20th century the concept of incubation emerged in the US. Driven by the rise of personal computing in the 80s, the number of incubators skyrocketed. And by no surprise, the incubation community crashed in a spectacular fashion during the burst of the dot.com bubble in the early 2000s. However, after only a few years the hype experienced a resurrection. Essentially every single industry sector is jumping on the bandwagon; even sports shoes manufacturers are announcing goals of opening startup incubators. The telecommunications industry is no exception. With the number of independent and corporate incubators surging and moving from Silicon Valley to the rest of the world, more and more carriers have joined the game or are in the midst of doing so. Just to name a few, AT&T Foundry opened its doors in three different locations worldwide in 2011. Telefónica has set up a series of Wayra Academies in Latin America and in Europe starting in May 2011. Their peer from the Far East didn’t wait long – China Telecom launched its own incubator in March 2012. And in April 2013, Deutsche Telekom’s Hub:raum celebrated its first anniversary. Welcome to the renaissance of incubation. Continue reading
In today’s digital era, mobile devices and connected machines are more prevalent than ever before. The machine-to-machine (M2M) market has already received much attention in the past and is indeed a rapidly growing part of the global economy with enormous potential. M2M is characterized by the broad range of possible applications across various industries. Improvements in productivity, efficiency, and security are only some of the potential benefits of the use of M2M technology. Rolls Royce for instance achieved improved operational efficiency and safety through collecting real-time data from their jet engines that are equipped with satellite-based M2M to enable remote diagnostics and better maintenance scheduling. Nonetheless, up to this point some industries still struggle to effectively exploit the numerous possibilities of M2M technology that are out there. Thus, the question arises: what are some of the current challenges that hamper a smooth adoption of M2M applications? Even more importantly, what are strategic options that carriers can pursue in order to position themselves and to seize some of the rising business opportunities?
The launch of Firefox OS is a breath of fresh air for the mobile space. The new OS is an open-source ecosystem supporting HTML5 and open web standards, meaning more flexibility and control for developers and carriers, as compared to established ecosystems, iOS and Android. A strategic move for Mozilla, Firefox OS has prompted discussion around encouraging an open ecosystem and challenging the status quo of current app marketplaces. Could Firefox OS win out as an alternative platform in a space already crowded with giants?
Our competitive global environment puts pressure on continuously successful innovation in companies. More than ever is free-flowing information created, spread and accessed online. This technology push into developing faster, more innovative and individual customer experience has become inevitable in every industry. In short, innovation has become a vital source of competitive advantage for many companies.