Académique Documents
Professionnel Documents
Culture Documents
From
From Invention
Invention to
to Innovation
Innovation
While invention depends upon
creativity,
successful technological innovation
requires integrating new knowledge
with multiple business functions.
The Small and Medium-Sized Enterprises (SMEs) Division
Obstacles to Successful
Innovation
Competitive position
Market judgement
Technical performance
Manufacturing expertise
Financial resources
Innovation
How to classify newness and degree of
innovation and what to focus on:
New to the firm?
First in the market?
First in the world?
Incremental or radical innovation?
The Small and Medium-Sized Enterprises (SMEs) Division
There are several types of new products. Some are new to the
market, some are new to the firm, and some are new to both. Some
are minor modifications of existing products while some are
completely innovative
Old
Market
New
Market
Product
Development
Market
Development
Product
Diversification
Marketing principles.
Product service
Price
Promotion
Place (distribution)
The
TheDevelopment
Developmentof
ofTechnology:
Technology: From
From
Knowledge
KnowledgeGeneration
Generationto
toDiffusion
Diffusion
IM ITATION
Supply side
Basic
Knowledge
Invention
Innovation
Diffusion
Demand side
ADOPTION
Innovation Process
Invention
Innovation
Imitation
The adoption of an
innovation by similar firms
Usually leads to product or
process standardization
Products based on imitation
often are offered at lower
prices but with fewer features
Organizing
Resources
Implementation
Commercial
Application
To
To Provide:
To Obtain:
Accomplish: Value to Customers
Materials
Organization Rewards to Employee
Technology
Human ResourcesProduct Design Revenue to Investors
Manufacturing Satisfaction of
Capital
Services
Founders
To Identify:
Product
Design
Market
Strategy
Financial
Need The Small and Medium-Sized Enterprises (SMEs) Division
The
The Profitability
Profitability of
of Innovation
Innovation
Profits
from
Innovation
Value of an
innovation
Legal protection
Innovators
ability to
appropriate
value from an
innovation
Ease of imitation
of technology
Complementary
resources
Lead time
Time to
Market
CrossFunctional
Integration/
Design Teams
Product
Quality
Value
Appropriation
from
Innovation
Creation of
Customer
Value
Medium-Sized Enterprises (SMEs) Division
Sales
Growth
Introducti
on
Time
Take up Rate
Early
Adopters
Innovators
The Small
Early
Majority
Late
Majority
Laggards
Innovators:
venturesome; greatest
need
Early adopters:
opinion leaders;
needs driven
Early majority:
deliberate
Late majority: skeptics
and Laggards:
Medium-Sizedtraditionalists;
Enterprises (SMEs) Division
suspicious
Now
CROs
Product
Developmen
t
Product
Development
Cycle
Tool
Compani
es
One Integrated
Company
CRMs
Testing
Services
Many Distributed
Companies
Now
Region D
Region A
Region B
Manufacturing
Region C
Research
Trials/Testing
Services
Development
Region G
Region E
Region F
Specialized,
Self-contained
networked regions
regional
clusters
The Small and Medium-Sized Enterprises (SMEs) Division
Commercialization Model
Strategic Investment is the Foundation of a
Successful Commercialization Model
Freedom to Operate
Complementary
Complementary Resources
Resources
Manufacturing Distribution
Finance
Core
technological
know-how
Marketing
Other
Service
Complementary
technologies
Other
Alternative
AlternativeStrategies
Strategiesfor
for Exploiting
Exploiting Innovation
Innovation
Licensing
Risk &
Return
Strategic
Alliance
Joint
Venture
Shares
investment &
risk. Risk of
partner
conflict &
culture clash
Limits
investment, but
dependence on
suppliers &
partners
Benefits of
flexibility;
risks of
informal
structure
Few
Allows outside
resources &
capabilities
To be accessed
Konica
licensing its
digital
camera to
HP
Pixars movies
(e.g. Toy Story)
marketed &
distributed by
Disney.
Competing
Resources
Examples
Outsourcing
certain
functions
Apple and
Sharp build
the
Newton
PDA
Microsoft
and NBC
formed
MSNBC
Internal
Commercialization
Substantial
resource
requirements
TIs
development of
Digital Signal
Processing
Chips
Uncertainty
Uncertainty&&Risk
RiskManagement
Managementin
inTech-based
Tech-basedIndustries
Industries
Technological
uncertainty
Sources of
uncertainty
Market
uncertainty
Strategies for
managing risk
Flexibilility
(SMEs) Division
Innovation risk
RISKS
RESEARCH
COSTS
DEVELOPMENT
COMMERCIALIS
Competitive
Competitive
Advantage
Advantage
Entrepreneurship
Creativity is at the heart of entrepreneurship, enabling entirely new ways
of thinking and working.
Entrepreneurs identify opportunities, large or small, that no one else has
noticed.
Good entrepreneurs also have the ability to apply that creativitythey
can effectively marshal resources to a single end.
They have drivea fervent belief in their ability to change the way things
are done, and the force of will and the passion to achieve success.
They have a focus on creating valuethey want to do things better,
faster, cheaper.
And they take risksbreaking rules, cutting across accepted boundaries,
and going against the status quo.
Entrepreneurship
Defining entrepreneurship is difficult because there is no
universal, clear-cut definition of the term. In its most basic sense,
entrepreneurship is manifest in a business venture when an
individual is able to turn a novel idea into a profitable reality. In
practice, however, entrepreneurship is more multifaceted, ranging
from operating a small business in ones own home, to bringing a
national franchise to a small town, to turning a new and unique
idea into a high-growth company. Entrepreneurship can involve
starting a business that brings a new store to main street, offering a
product or service previously unavailable to a community, or
acquiring an existing business that has had a long-standing
presence in a community and helping it evolve to reflect ones
own vision and personality.
Entrepreneurship
The word entrepreneurship literally means, "to take or carry
between" in the sense of an economic transaction; to be a
market-maker. It does not literally convey the notion of
innovation that we commonly associate with the term.
Joseph Schumpeter (1883-1950), one of the more well
known theorists on entrepreneurship, defined an entrepreneur
as one who reorganizes economic activity in an innovative
and valuable way. That is, an entrepreneur is one who
engages in a new economic activity that was previously
unknown. An entrepreneur is a risk taker because being
innovative means there are few rules or history for guidance.
Entrepreneurship
Entrepreneurship is the process of
creating or seizing an opportunity, and
pursuing it regardless of the resources
currently controlled.
The Websters Third New International
Dictionary defines an entrepreneur to be
one who organizes, owns, manages, and
assumes the risks of a business
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurship
The entrepreneur shifts resources out of an area of lower and
into an area of higher productivity and greater yield.
[J. B. Say, French economist, circa 1800]
Entrepreneurship is creative destruction. Dynamic
disequilibrium brought on by the innovating entrepreneur,
rather than equilibrium and optimization, is the norm of a
healthy economy and the central reality of economic theory
and practice. [Joseph Schumpeter, Austrian economist, 1911]
The entrepreneur searches for change, responds to it, and
exploits it as an opportunity. Innovation is the specific tool of
entrepreneurs, the means by which they exploit change as an
opportunity for a different business or a different service
[Peter Drucker, 1985]
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurship
Entrepreneurship drives innovation,
competitiveness, job creation and economic
growth.
It allows new/innovative ideas to turn into
successful ventures in high-tech sectors
and/or can unlock the personal potential of
disadvantaged people to create jobs for
themselves and find a better place in society.
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurship
Entrepreneurship, in small business or
large, focuses on "what may be" or "what
can be".
One is practicing entrepreneurship by
looking for what is needed, what is
missing, what is changing, and what
consumers will buy during the coming
years.
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurship
Entrepreneurs have:
A passion for what they do
The creativity and ability to innovate
A sense of independence and self- reliance
(Usually) a high level of self confidence
A willingness and capability (though not
necessarily capacity or preference) for taking
risks
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurship
Entrepreneurs do not (usually) have:
A tolerance for organizational bureaucracies
A penchant for following rules
A structured approach to developing and
implementing ideas
The foresight to plan a course of action once
the idea is implemented and established
The Small and Medium-Sized Enterprises (SMEs) Division
Entrepreneurial Success
1. People (Entrepreneur /Entrepreneurial
Team)
2. Opportunity (Marriage of Market and
Product/Service)
3. Access to Resources (Land. Labor,
Capital, Knowledge)
And the fit amongst these three elements
The Small and Medium-Sized Enterprises (SMEs) Division
Competitive Advantage
Criteria
Low cost producer
Product differentiation
Niche market
The Small and Medium-Sized Enterprises (SMEs) Division
Need two
processes:
NPD and
NB(usiness)D
New Product
Development
Breakthrough
Innovation
An opportunity
driven path to
marketa different
business design
New Business
Development
Innovative
New Products
New
Businesses
Protection of IP
Value adding
Ideas
Confidentiality or Nondisclosure
Agreements (Trade Secrets)
Research
Technologies
Products
Collaborative Research
Agreement
Utility models, Patents
Technology Licensing
Agreement, Branding
Background
In September 2000, the WIPO Assemblies
approved the creation of a substantial new
program of activities, focusing on the IPrelated needs of SMEs worldwide
SMEs Division established in October 2000
Nine professionals and three administrative
staff in the SMEs Division of WIPO
The Small and Medium-Sized Enterprises (SMEs) Division
Strategy
1.
2.
3.
4.
5.
6.
Demystification
New audience
New Areas
Proactive
E-Services
Partnership
(1) Demystification
Studies
Guides
Events and expert missions
Website and newsletter
CD-ROM
Magazine articles
(1) Demystification
(Website)
The Website of the SMEs Division is in six UN
languages (English, French, Spanish, Arabic,
Russian and Chinese)
More than 60,000 pages viewed every month in
2004
Contents include sections such as IP for
Business, IP and E-Commerce, Activities, Best
Practices, Case Studies and Documents
The Small and Medium-Sized Enterprises (SMEs) Division
Creative Industries
IP for financing (venture capital, securitization)
Accounting and valuation of IP assets
IP Asset Management, IP Due Diligence and IP Audit
Fiscal policies and IP (tax incentives for R&D activities,
patenting, licensing etc.)
IP services to SMEs by incubators, technology parks,
chambers of commerce and SME associations
IP needs of SMEs in agriculture, biotechnology,
handicrafts, software, textiles, etc
The Small and Medium-Sized Enterprises (SMEs) Division
(5) E-Services
(6) Partnership
National and Regional IP Offices
National SME focal points in government, private
sector
Chambers of Commerce and Industry
SME Associations; Cooperatives
Incubators, Science Parks, Technology Parks
Universities; R & D Institutes
Private Sector Consultants
SME Finance Institutions (including venture
capitalists)
Other UN Agencies (ITC, ILO, UNIDO, AfDB)
Thank You
Guriqbal Singh Jaiya
guriqbal.jaiya@wipo.int
www.wipo.int/sme/en/index.html
www.wipo.org
The Small and Medium-Sized Enterprises (SMEs) Division