Introduction to Innovation at UCC

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Questions and Answers

What is a common characteristic of low and medium technology SMEs compared to high technology SMEs?

Focus on singular technological novelty

Higher profit margins and global views

Younger and more innovative management teams

More established with family or regional management teams (correct)

Which of the following statements accurately reflects the financing characteristics of high technology SMEs?

They often operate under tight profit margins.

They usually rely on family ownership for financing.

They are often larger in scale but conservatively grow.

They are typically adequately financed. (correct)

What is an important focus for low and medium technology SMEs as opposed to high technology SMEs?

Technological innovation

Global market expansion

Growth potential

Sustainability (correct)

Which example represents a firm operating within the low and medium technology SME sector?

Animal feed Inc. Signup and view all the answers

How does the geographic perspective differ between high tech and low/medium tech SMEs?

Low and medium tech SMEs are usually embedded in their regional identity. Signup and view all the answers

What is the definition of innovation according to O’Sullivan and Dooley?

A process of making changes to something established by introducing something new that adds value. Signup and view all the answers

Which statement best describes the complexity of innovation?

Innovation is the combination of creativity and exploitation. Signup and view all the answers

What are organizations primarily seeking through innovation?

Sustainability and increased profitability. Signup and view all the answers

What is a significant challenge faced by organizations during innovation?

The possibility of wasting resources and declining morale. Signup and view all the answers

According to the lecture, the level of innovation can reflect which of the following?

The dimension of incremental and radical innovations. Signup and view all the answers

What is emphasized about the innovation process?

It occurs through a process rather than as a one-time event. Signup and view all the answers

What do Kondratiev cycles relate to in the context of innovation?

Patterns of economic fluctuations affecting innovation timing. Signup and view all the answers

What lesson can be drawn from Thomas Edison’s quotes regarding innovation?

Persistence is key to overcoming failure in the innovation process. Signup and view all the answers

Study Notes

Introduction to Innovation

UCC (University College Cork) lecture on innovation
Emphasis on independent thinking
Organizations innovate for growth and sustainability, currently or in the past.

Fundamental Questions

Key questions to consider in innovation: Who, Why, When, What, How, and Where.
Visualized as a mind map.

What is Innovation?

Process of introducing new elements that add value.
Contributes to organizational knowledge store (O'Sullivan and Dooley).
Innovation is a process, not a single event (Goffin and Mitchell).

Innovation Complexity

Innovation = Creativity + Exploitation
Involves exploration and exploitation phases.
Measurements include beneficial and economic output.
Novelty is in the eye of the beholder.

Innovation Context: SMEs

Categorized by size (Medium, Small, Micro).
Defined by staff headcount and turnover/balance sheet total.
Industry categorization: High-tech, Medium-tech, Low-tech (by R&D spending).
Firm categorization: High R&D, Medium R&D, Non-R&D (by R&D capabilities)
Innovation's context varies across company and industry types.

Innovation's Key Dimensions

Degree of novelty (incremental or radical).
Platforms and families of innovations.
Discontinuous innovation (game-changing).
Level of innovation (component or architecture).
Timing or innovation life cycle.

Kondratiev Cycles

Long-wave cycles in economic activity.
Key phases and overlapping periods.
Associated with technological innovations like steam engine, electricity, petrochemicals, and IT, AI and psychosocial health.
Time periods are presented, covering the 1800's - 2000's.

Why Organizations Innovate

Goals like sustainability, return on capital, better quality/productivity, market share expansion, cost reduction, and faster lead times.
Achieving goals is impacted by time, people and resources, and sometimes has significant barriers. Innovation process can involve substantial wasted resources and personnel resistance.

Effective Strategy: Key Questions

Create value & deliver value along with capturring value in the innovation process
Key questions for organizational strategy
Thomas Edison quote about hard work and learning from failures to reinforce importance of persistent effort and trying new ideas.

SME Context Variations

High-tech SMEs: Young, experienced management, small/larger firm, adequately financed, focus on technological novelty, global perspective, higher profits, open to exit strategies, value of growth.
Low/medium-tech SMEs: More established, family/regional management, larger firms but conservative growth, bootstrap financing, tight profit margins. Importance of sustainability, possibly region/identity constraints.
SME innovation literature reflects focus on high-tech firm models.

LMT SME Innovations

Examples of innovations in the Ireland-based companies in the low-to-medium technology sphere (manufacturing, agricultural, and food).
Companies present in examples include animal feed, metal products, food manufacturing, and other similar industries.
Key constraints noted are limited financial resources and markets that tend to commodify products.

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Description

This quiz explores the concepts of innovation as discussed in the University College Cork lecture. It covers key questions surrounding innovation, the processes involved, and its relevance to small and medium enterprises (SMEs). Dive into the complexities and definitions that drive innovative practices.