Innovation

white hat--information

red hat--intuition and feelings

black hat--caution

yellow hat--benefits and values

green hat--creative ideas

blue hat--managing the thinking process

substitute

combine

adapt

modify

put to another use

eliminate

reverse

Social innovation is a process through which ‘solutions’ to pressing and often systemic social and environmental issues are developed and launched to promote socio-economic development.

a creative inventiveness due to limited resources and a ‘can do’ approach motivated by necessity.

accumulate means necessary to achieve a pre-determined goal

imagine many possible new ends using a given set of means

focus on the downside risk

leverage contingencies

form partnerships

control vs predict

participant

non-participant

check solution potential

Pump priming with information on the product’s features and any background research

Letting them feel and/or see the product

Get the conversation rolling with an opening question

Moderating the discussion and ushering the participants from question to question

Assimilating understanding within closing remarks—summarizing what has been discussed

metrics to deine

customers would rather not do system dependent jobs

make customers feel good or avoid frustration and pains

By observing and questioning a specific product’s consumption, define as many ‘core jobs’ and ‘customer group’ as you can. Ask yourself what goals does this product help the customer group to achieve?

Do these customer groups have particular ‘contexts’ that are noteworthy? Defining these contexts is not always required, but the context affects how each customer group will define the success metrics.

Select three to five of these ‘core jobs’ that you see as most attractive to your business idea. If you have lots of ‘core jobs’, it is likely you will need to select the few that are most relevant to your business idea. However, if there are lots of potential core jobs, then a jobs survey may be required to establish the most promising ones. Do the same for ‘customer groups’, that is, which groups of customers need the chosen ‘core jobs’ done most.

Now you are ready to think through how ‘core jobs’ success metrics relate to the ‘solution’ you are designing. Create a solution decision map (like the one in Figure 6.1) around each ‘core job’, its broad-based metrics, a list of likely solutions and the ‘system jobs’ for each solution

Evaluate each solution decision map using the evaluation questions

From where can I acquire my initial customers?

What is my venture’s realistic growth potential once an initial tranche of customers has been captured?

Hypotheses about the ‘core’ and ‘system’ jobs

four steps to market size hypotheses development

The ‘value gap’: The VP is aligned to the most important reason a customer group is struggling to get a job done.

The ‘value creation promise’: The new product or service (the VP) is evidenced as credible and believable and represents low personal risk for the customer if adopted. Personal risk includes wasted time, reputation damage and loss of money.

The ‘alignment between cost and WTP’: A credible pricing model that is aligned to various customer segments’ ‘WTP’.

VP1

VP2

VP3

viable method of filling the ‘value gap’ and getting the job done better or cheaper

promise to the customer that the defined solution is proven to ‘reliably’ get the job done better or cheaper.

VP objections and acceptance

Early adopters

Channels

building the wrong product

building the product or feature set wrong

core product

actual product

augmented or extended product

identify a niche

expansion strategy

incremental innovation

economies of scale

personal savings

borrow from friends and family or resort to bootstrapping

profitability

liquidity

risks

gross profit

operating profit

net profit

cash inflows

cash outflows

net cash flow

opening balance 

closing balance

assets

profits

mixed

what we do

create solutions

how do we do it

whom do we do it for

why you do waht you do

SAN- the social audi network

the global reporting initialtive

patents

trademarks

industrial designs

plant varieties

copyrights

geographical indications

layout design of a intergrated circuit

confidential information

sole traders

partnerships

limited liability

unincorporated associations

trusts

community-based enterprises

corporation tax

income tax on employees

sales tax or value added tax--VAT or general sales tax--GST

payments to a franchisor

benefits

risks

The specific set of ‘implementation’ and ‘operations’ activities will depend largely on whether your business is

cover

table of contents

executive summary

business description

industry analysis and market research

VP and customer profile

marketing plan 

operations plan 

management team

financing

financial projections

risks and mitigation strategies

implementation plan

appendices