Courtesy : School of Science White paper
History
See also: Innovation economics
The word “innovation” once had a quite different meaning. The first full-length discussion about innovation is the account by the Greek philosopher and historian Xenophon (430–355 BCE). He viewed the concept as multifaceted and connected it to political action. The word for innovation that he uses, ‘kainotomia’, had previously occurred in two plays by Aristophanes (c. 446 – c. 386 BCE). Plato (died c. 348 BCE) discussed innovation in his Laws dialogue and was not very fond of the concept. He was skeptical to it both in culture (dancing and art) and in education (he did not believe in introducing new games and toys to the kids). Aristotle (384–322 BCE) did not like organizational innovations: he believed that all possible forms of organization had been discovered. # ISO certification in India
Before the 4th century in Rome, the words novitas and res nova / nova res were used with either negative or positive judgment on the innovator. This concept meant “renewing” and was incorporated into the new Latin verb word innovo (“I renew” or “I restore”) in the centuries that followed. The Vulgate version of the Bible (late 4th century CE) used the word in spiritual as well as political contexts. It also appeared in poetry, mainly with spiritual connotations, but was also connected to political, material and cultural aspects.# ISO certification in India
Machiavelli’s The Prince (1513), discusses innovation in a political setting. Machiavelli portrays it as a strategy a Prince may employ in order to cope with a constantly changing world as well as the corruption within it. Here innovation is described as introducing change in government (new laws and institutions); Machiavelli’s later book The Discourses (1528) characterises innovation as imitation, as a return to the original that has been corrupted by people and by time. Thus for Machiavelli innovation came with positive connotations. This is however an exception in the usage of the concept of innovation from the 16th century and onward. No innovator from the renaissance until the late 19th century ever thought of applying the word innovator upon themselves, it was a word used to attack enemies.# ISO certification in India
From the 1400s through the 1600s, the concept of innovation was pejorative – the term was an early-modern synonym for “rebellion”, “revolt” and “heresy”. In the 1800s people promoting capitalism saw socialism as an innovation and spent a lot of energy working against it. For instance, Goldwin Smith (1823-1910) saw the spread of social innovations as an attack on money and banks. These social innovations were socialism, communism, nationalization, cooperative associations.# ISO certification in India
In the 20th century the concept of innovation did not become popular until after the Second World War of 1939-1945. This is the point in time when people started to talk about technological product innovation and tie it to the idea of economic growth and competitive advantage. Joseph Schumpeter (1883–1950) is often credited as the one who made the term popular – he contributed greatly to the study of innovation economics,
In business and in economics, innovation can provide a catalyst for growth in an enterprise or even in an industry. With rapid advances in transportation and communications over the past few decades, the old concepts of factor endowments and comparative advantage which focused on an area’s unique inputs are outmoded in today’s global economy. Schumpeter argued that industries must incessantly revolutionize the economic structure from within, that is: innovate with better or more effective processes and products, as well as with market distribution (such as the transition from the craft shop to factory). He famously asserted that “creative destruction is the essential fact about capitalism”. Entrepreneurs continuously search for better ways to satisfy their consumer base with improved quality, durability, service and price – searches which may come to fruition in innovation with advanced technologies and organizational strategies.# ISO certification in India
A prime example of innovation involved the boom of Silicon Valley start-ups out of the Stanford Industrial Park. In 1957, dissatisfied employees of Shockley Semiconductor, the company of Nobel laureate and co-inventor of the transistor William Shockley, left to form an independent firm, Fairchild Semiconductor. After several years, Fairchild developed into a formidable presence in the sector. Eventually, these founders left to start their own companies based on their own unique ideas, and then leading employees started their own firms. Over the next 20 years this process resulted in the momentous startup-company explosion of information-technology firms. Silicon Valley began as 65 new enterprises born out of Shockley’s eight former employees.# ISO certification in India
Another example involves business incubators – a phenomenon introduced in 1959 and subsequently nurtured by governments around the world. Such “incubators”, located close to knowledge clusters (mostly research-based) like universities or other government excellence centres – aim primarily to channel generated knowledge to applied innovation outcomes in order to stimulate regional or national economic growth.
In the 21st century the Islamic State (IS) movement, while decrying religious innovations, has innovated in military tactics, recruitment, ideology and geopolitical activity.
Process of innovation
An early model included only three phases of innovation. According to Utterback (1971), these phases were: 1) idea generation, 2) problem solving, and 3) implementation. By the time one completed phase 2, one had an invention, but until one got it to the point of having an economic impact, one didn’t have an innovation. Diffusion wasn’t considered a phase of innovation. Focus at this point in time was on manufacturing.# ISO certification in India
All organizations can innovate, including for example hospitals, universities, and local governments. The organization requires a proper structure in order to retain competitive advantage. Organizations can also improve profits and performance by providing work groups opportunities and resources to innovate, in addition to employee’s core job tasks. Executives and managers have been advised to break away from traditional ways of thinking and use change to their advantage. The world of work is changing with the increased use of technology and companies are becoming increasingly competitive. Companies will have to downsize or reengineer their operations to remain competitive. This will affect employment as businesses will be forced to reduce the number of people employed while accomplishing the same amount of work if not more.# ISO certification in India
For instance, former Mayor Martin O’Malley pushed the City of Baltimore to use CitiStat, a performance-measurement data and management system that allows city officials to maintain statistics on several areas from crime trends to the conditions of potholes. This system aided in better evaluation of policies and procedures with accountability and efficiency in terms of time and money. In its first year, CitiStat saved the city $13.2 million. Even mass transit systems have innovated with hybrid bus fleets to real-time tracking at bus stands. In addition, the growing use of mobile data terminals in vehicles, that serve as communication hubs between vehicles and a control center, automatically send data on location, passenger counts, engine performance, mileage and other information. This tool helps to deliver and manage transportation systems.# ISO certification in India
Still other innovative strategies include hospitals digitizing medical information in electronic medical records. For example, the U.S. Department of Housing and Urban Development’s HOPE VI initiatives turned severely distressed public housing in urban areas into revitalized, mixed-income environments; the Harlem Children’s Zone used a community-based approach to educate local area children; and the Environmental Protection Agency’s brownfield grants facilitates turning over brownfields for environmental protection, green spaces, community and commercial development.# ISO certification in India
