Lecture 5: Technological Innovation (PDF)

MGN-101 Unit-I Skill Development and Technological Innovations Skill Development and Technological Innovations Learning Outcomes Students will be able to- Learn to understand technological innovation Understand Importance of Ski...

MGN-101 Unit-I Skill Development and Technological Innovations Skill Development and Technological Innovations Learning Outcomes Students will be able to- Learn to understand technological innovation Understand Importance of Skill, Reskill, Up skill and know the Skill Gap existing Able to analyze Importance of Skill Development Role of Innovation in the present context  Technological Innovation Technology innovation refers to the process of introducing new ideas, methods, processes, products, or services that bring about significant advancements and improvements in various fields through the application of technology. Technology is the most widely used word globally and has taken different forms. – Invention – Innovation – R&D – Technology development – Technology strategies etc.  The concept of Innovation formed only in 20th Century. Innovation in its current connotation is a “new idea, creative thoughts, and new imaginations in the form of mechanism or technique.” Innovation refers to the application of better solutions that meet new necessities, tactic needs, or existing market needs.  Innovation involves purposeful application of information, thoughts and scheme in deriving better or dissimilar values from resources and includes all procedure by which new ideas are created and transformed into constructive products. Innovation is the process of transforming an idea or invention into a good or service that creates value for which customers will pay. An idea can only be called an innovation when it is replicable, economical and satisfies a specific need.  The term Industry 5.0 refers to people working alongside robots and smart machines. It's about robots helping humans work better and faster by leveraging advanced technologies like the Internet of Things (IoT) and big data. Industry 4.0—also called the Fourth Industrial Revolution or 4IR—is the next phase in the digitization of the manufacturing sector, driven by disruptive trends including the rise of data and connectivity, analytics, human-machine interaction, and improvements in robotics. Stages of Industrial revolution First Industrial Revolution: Coal in 1765. Second Industrial Revolution: Gas in 1870. Third Industrial Revolution: Electronics and Nuclear in 1969. Fourth Industrial Revolution: Internet and Renewable Energy in 2000 Fifth Revolution AI  Technological Innovation Innovation vs. invention “Invention” can be defined as the creation of a product or introduction of a process for the first time like devices. “Innovation,” on the other hand, occurs if someone improves on or makes a significant contribution to an existing product, process or service.  ………. Process innovation and product innovation Technological innovation and skill development  Process of innovation Five basic steps: 1. Idea Generation and Mobilization 2. Advocacy and Screening 3. Experimentation 4. Commercialization 5. Diffusion and Implementation VEDANTA FOXCONN The 4 types of innovation Innovation can be classified into two dimensions : – Technology – Market The 4 types of innovation  Incremental Innovation Incremental Innovation is the most common form of innovation. It utilizes your existing technology and increases value to the customer within your existing market. Examples include adding new features to existing products or services or even removing features (value through simplification) like Android phones, beauty products and so on.  Disruptive Innovation Disruptive innovation involves applying new technology or processes to your company’s existing market. This newer technology is often more expensive, has fewer features, is harder to use, and so on. It is only after a few iterations that the newer tech surpasses the old and disrupts all existing companies. By then, it might be too late for the established companies to quickly compete with the newer technology. E.g., digital music.  Architectural Innovation Architectural innovation is simply taking the lessons, skills and overall technology and applying them in a different market. This innovation is amazing at increasing new customers as long as the new market is receptive. Most of the time, the risk involved in architectural innovation is low due to the reliance and reintroduction of proven technology. Though most of the time it requires tweaking (TUNING) to match the requirements of the new market. Architectural Innovation Example For example, the smart watch used existing cell phone technology and was repackaged into a watch.  Radical innovation/invention Radical innovation is what we think of mostly when considering innovation. New market and new technology. It gives birth to new industries and involves creating revolutionary technology. The airplane, for example, was not the first mode of transportation, but it is revolutionary as it allowed commercialized air travel to develop and prosper.  Radical innovation/invention Example Radical innovation has been around almost as long as there are people on the planet. Examples include the invention of the wheel, modern farming equipment in today's farming industry, and of course the washing machine. All these examples were at one point in time a new technology, which could change our lives forever. Importance of Innovation Innovation helps in solving problems – Providing customer services virtually (online) – Helps in adopting to change to the situations – Business to remain relevant – Globalisation can be tapped – Enter the foreign markets with new products – Helps organisation to face the competition  Challenges Technological failures Financial burden on organisation Innovation comes with a cost Innovative products gives returns in long run Market failure Lack of structural and financial capacity  Technology Technology can be defined as an application of knowledge that leads to production and marketing of goods and services. Technology develops business by providing technical knowledge for the goods and services that firm produces. Technological innovations implies new technology, creating new products and services, New businesses.  Features of Technological innovation Generate or create new idea which is based on technology, capability or knowledge (invention). Develop the idea into a reality leading to building of a product (realization) Implement the new idea (implementation)  1 Apple i-phone is- A. invented B. innovated  Answer Apple i-phone is- B. innovated Because it used earlier technologies and improvised on it like GPS.  2 Based on, which of the following two parameters the types of business innovation are classified- A. Market and technology B. Market and customer C. Technology and investment D. Investment and profit  Answer On the basis of which of the following two parameters the types of business innovation are classified- A. Market and technology  Skill An ability and capacity acquired through deliberate, systematic, and sustained effort to smoothly and adaptively carryout complex activities or job functions involving ideas (cognitive skills), things (technical skills), and/or people (interpersonal skills). Skill development  USP 12 years education is although necessary, may not bring a job but 12 weeks training will do.  Man Group’s Report ……………………………… According to Man Group’s report of Talent Shortage 2020, 63% companies in India report shortage of talent employees, mainly in IT, engineering services and Sales. Read more at: https://economictimes.indiatimes.com/indu stry/services/education/bridging-indias-ga ping-skill-gap/articleshow/90208286.cms? utm_source=contentofinterest&utm_mediu The Ministry of Skill Development and Entrepreneurship The Ministry of Skill Development and Entrepreneurship was set up on 9 November 2014 to coordinate all skill development efforts across the country. Industrial training, and other skill development responsibilities were transferred from the Ministry of Labor and Employment to this newly made ministry on 16 April 2015. It aims to remove the disconnect between demand and supply of skilled manpower, to build the new skills and innovative thinking not only for existing jobs but also for jobs that are to be created. Skill Gap  Indian engineers are far behind their global counterparts when it comes to honing (IMPROVING) relevant digital skills in the global job market, namely advanced tech skills such as artificial intelligence, machine learning, data science and wireless technologies etc. Only 2.5% of engineers in India possess artificial intelligence skills while only 5.5% are qualified with basic programming abilities. These statistics project a despairing (HOPELESS) figure of only 1.5% engineers in India being fit for new-age jobs. Skill Gap: India vs. the World Country Skilled Workforce (% of Population) China 45% UK 70% Japan 80% Germany 74% South Korea 96% India 2%  India’s challenges School drop out rates Lack of formal vocational education Lack of capacity for skill training Lack of skilled trainers  Sectors having high demand for skilled workforce Construction and real E-state Mining Steel industry Medical and Para-medical Pharmaceuticals Electrical and chemical Oil and Gas  Recap Question Skill India is focused on imparting A. General Education B. Vocational Education C. Environmental Education D. Language Education  Answer Skill India is focused on imparting B. Vocational Education  Skill Development NSDC (National Skill Development Corporation) SSC (Sector Skill Councils ) NSDA-NOS, QPs (National Skill Development Agency)-(National Occupational Standards), (Qualification Pack) NSQF (NVEQF & NVQF), 10 levels, KSA, ( National Skills Qualification Framework),(National Vocational Education Qualifications Framework) ITI: Industrial Training Institute SSDMs (State Skill Development Missions ) DSCs(district skill development committee) blue, grey and white collar skilled workforce.  The National Skill Development Corporation India (NSDC) The NSDC was set up as a Public Private Partnership Company in 2008 in order to create and fund vocational training institutions, and create support systems for skills development. In light of the introduction of the GST in 2017, NSDC and the Institute of Company Secretaries of India (ICSI) collaborated to train over 100,000 people as GST experts to help the corporate sector with accounts work. The NSDC has trained more than 5.2 million students, and it has also created 235 private sector partnerships and 38 Sector Skill Councils (SSC) in various industries.  Sector Skill Councils (SSC) The SSCs operate as an autonomous body. NSDC is mandated to initiate and incubate SSCs with initial seed funding to facilitate their growth. Identification of skill development needs including preparing a catalogue of types of skills, range and depth of skills to facilitate individuals to choose from them. Development of a sector skill development plan and maintaining skill inventory. Determining skills and getting them notified as per National Skills Qualifications Framework (NSQF).  NSDA National Skill Development Agency(NSDA) is an autonomous body under Ministry of Skill Development and Entrepreneurship that anchors the National Skill Qualifications Framework and allied quality assurance mechanisms.  State Skill Development Missions (SSDM) Honorable Prime Minster addressed to all Chief Minister’s on accelerating action for skill development and making two specific suggestions for the State Government: Making available the buildings of public educational institutions after class hours for skill development activities. Setting up State Level Skill Development Missions to provide inter-sectoral coordination at State level may be chaired by Chief Minister. Government of India is willing to extend all possible support in the matter through institutional arrangements already created at its level  Other initiatives Skill training with stipend Skill Card and easy loan Tie-up with defense sector Tie-up with Indian Railways Awareness programs like skill Yatras in districts Various skill development projects like PMKVY  Pradhan Mantri Kaushal Vikas Yojana (PMKVY) Union Cabinet has approved the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) with an outlay of Rs.1,500 crore to train 24 Lakh Indians. Launched in 2015  Key characteristics of PMKVY Aims to impart skill training to youth with focus on first time entrants to the labour market and class 10 and class 12 drop outs. The scheme will cover 24 lakh persons & skill training would be based on the National Skill Qualification Framework (NSQF) and industry led standards.  ……….. Skill training would be on the basis of skill gap studies conducted by the NSDC Training would include soft skills, personal grooming, behavioral change for cleanliness, good work ethics and so on. Courses to be included under PMKVY  Q1 Prime Minister Narendra Modi unveiled National Policy for Skill Development and Entrepreneurship 2015 is intended to replace the ___________. a. National Policy on Skill Development 2009 b. International Policy on Skill Development 2009 c. National Policy on Skill Development 2004 d. National Policy on Skill Development 2000  Answer Prime Minister Narendra Modi unveiled National Policy for Skill Development and Entrepreneurship 2015, is intended to replace - a. National Policy on Skill Development 2009. It is the first such policy on entrepreneurship since independence in India.  3 :To provide gainful employment the most important mechanism is imparting/developing ? A. Education B Skill C. Urbanization D. Social Awareness  Answer :To provide gainful employment the most important mechanism is imparting/developing ? B. Skill  4 NSDC stands for- A. National Skill Development Corporation B. National Skill Development Company C. National Skill Development Co- operation D. None of the above  Answer NSDC stands for- A. National Skill Development Corporation  QUIZ SSC stands for- A. Sector skill councils B. Sector skill councilors C. Sector specific councils D. Sector specific councilors  Answer SSC stands for- A. Sector skill councils  2 Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is associated with- A. Make in India B. Skill development  Answer Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is associated with- B. Skill development  Skill Loan Scheme The skill loan scheme was launched with an intent to support the youth willing to take up skill training program in the country. This Skill Loan Scheme replaced the earlier Indian Banks Association (IBA) Model Loan Scheme for Vocational Education and Training. Any Indian National taking admission in a course offered by ITI, Polytechnics, school recognized by Central or State education Boards, college affiliated to recognized university, training partners affiliated to NSDC, SSC, SSDM, can avail loan under the scheme. The repayment period under the scheme is 3 to 7 years. This scheme does not discriminate against women.  2 Skill India Campaign was launched on ______. a. 13th July’15 b. 14th July’15 c. 15th July’15 d. 16th July’15  Answer Skill India Campaign was launched on ______. c. 15th July’15