In the fast changing business world of today innovation has become the mainstay of every organization. The nature of global economic growth has been changed by the speed of innovation. Which has been made possible by rapidly evolving technology, shorter product lifecycles and a higher rate of new product lifecycles and a higher rate of new product development. Organization have to ensure that their business strategy is innovative to build and sustain competitive advantage. Innovation is defined in many different ways in literature. Innovation can broadly be described as the implementation of discoveries and interventions and the process by which new outcomes, whether products, systems or processes come into being ( Gloet and Terziovski,2004)know . Man as the formalization of and access to experience, knowledge and expertise that create new capabilities, enable superior performance, encourage innovation and enhance customer value (parlay and Taylor,2000) is of the opinion that knowledge manage is about supporting innovation. The generation of new ideas and the exploitation of the organization’s thinking power. Knowledge management is not solely focused on innovation, but it creates an environment conducive for innovation to take place. Thinking like a designer can transform the way you develop products, services, process and even strategy. Historically, design has been treated as a downstream step in the development process the point where designer, who have played no earlier role in the substantive work of innovation, come along and put a beautiful wrapper around the idea.
While disruptive innovation is also one part of innovation. The term disruptive innovation is misleading when it is used to refer to a product or services at one fixed point, rather than to the evolution of that product or service over time. It is rare that a technology or product is inherently sustaining or disruptive. And when new technology is developing, disruption theory doesn’t dictate what managers should do. Instead it helps them make a strategic choice between taking a sustaining path and taking a disruptive one. Innovation is difficult for well established companies. By and large, they are better executors than innovators, and most succeed less through game changing creativity than by optimizing their existing business. since, innovation is a complex, companywide endeavor, it requires a set of cross cutting practices and processes to structure, organize and encourage it. For growing any business or for success the organization has to follow various pattern.
Pattern 1: Augmenting products to generate data
Pattern 2: Digitizing Assets.
Pattern 3: combining data within and across industries
Pattern 4: Trading data
Pattern 5: Codifying a distinctive service capability
The five patterns are a helpful way to structure a conversation about new business/ innovative business ideas. The main purpose of this article is to clarify the role of knowledge management in innovation as an aid to addressing this complexity.
There is various major role that knowledge management plays in innovation is enabling the sharing and codification of tacit knowledge (Cavusgil et al,2003). The second major role is that knowledge management plays in the innovative process is related to explicit knowledge (Cardinal et al 2001, Scarborough, 2003). The third role that knowledge management plays in innovation is through the enabling of collaboration. The fourth measure role that knowledge management plays in the innovation process is managing various activities in the knowledge management lifecycle. The fifth major role that knowledge management plays in the innovation environment is through the creation of a culture conducive for knowledge creation and sharing as well as collaboration. There are also three main drivers of the application of knowledge management in innovation. The first drivers are to create, build and maintain competitive advantage through utilization of knowledge and collaboration practices. Cavusgil et al. (2003) indicate that building and sustaining an innovation program has become increasingly complex due to changing customer needs, extensive competitive pressure and rapid technological change. Some large organization such as Xerox and Hitachi have therefore started working collaboratively across organizational boundaries to ensure sustained innovation and competitive advantages (Cavusgil et al,2003). The second river is that knowledge is a resources used to reduce complexity in the innovation process and managing knowledge as resource will consequently be of significant importance. According to shani et al, (2003) the upsurge in the amount of knowledge that is readily available to organizations seems to add increased complexity to the design and management of new product development, but this complexity can have addressed by knowledge management and knowledge-intensive units in organizations that are strategic in nature. The third driver is the benefits of the innovation process is the integration of knowledge both internal and external to the organization thus making it more available and accessible. Knowledge integration via knowledge management platform, tools and processes must therefore facilitate reflection and dialogue to allow personal and organizational learning and innovation. Knowledge management and innovation configuration determine how the firm can capitalize and create new knowledge, providing context wherein new product development efforts are designs, develop and completed (Shani et al, 2003).
While Design thinking also help you to explore more ideas more quickly then you could. Along with business and technology considerations, innovation should factor in human behavior need and preferences. Innovation seek outside help to enlarge the effective scales of your innovation team. Design thinking is unpredictable so it prepares project proceed and the entire team learn more about opportunities. Design thinking may be able to train non designer with the right attributes to excel in design thinking roles. For long term benefit to an organization experiencing the full cycle built better judgement. Aspire, choose, discover, evolve, accelerate, ale, extend.
Based on this article, it is clear that knowledge management plays a significant role in innovation. Further research is required, however on the potential role of knowledge management in and how the value of knowledge management can be maximized to ensure a more efficient and effective innovation process. Design thinking is just such an approach to innovation. Disruptive innovation is made possible because they get started in two types of markets that incumbent overlook. Any company looking to make the journey will maximize its probability of success by closely studying and appropriately assimilating the leading practices of high performance innovators.