# SolvInnov > Fixing the Innovation Problem ## Posts - [Service Innovation - the stats](https://solvinnov.com/service-innovation-the-stats/): The stats around service innovation from the latest UK Innovation Survey - [Actors cannot deliver value but can participate in the creation and offering of value propositions](https://solvinnov.com/actors-cannot-deliver-value-but-can-participate-in-the-creation-and-offering-of-value-propositions/) - [Customer's airline journey - value generation, networks of value and digitisation](https://solvinnov.com/customers-airline-journey-value-generation-networks-of-value-and-digitisation/): [Work In Progress] How the customer journey in taking a flight has changed over the years is a great story of how service innovation: is continuous where customers drive co-value generation there are many actors involved autonomously often in parallel or separate markets/industries the level of co-value generation determines which components of a system survive […] - [Self Service Supermarket Checkout - a case study of customer resistance](https://solvinnov.com/case-study-self-service-supermarket-checkout/): [Work In Progress] Customer resistance to an innovation is an aspect of service innovation less obvious in product innovation. It relates to when customers have actively decided they will not use an offered service innovation. Note that this is It is different to the adoption challenge – getting end customers familiar with and using an […] - [Why Innovate - Part I: Product dominated thinking](https://solvinnov.com/why-innovate-part-i-product-dominated-thinking/): We innovate - under a product dominated thinking approach - to enhance features of products or find new products, to reduce manufacturing costs, or to improve processes. This follows traditional strategy thinking of differentiation versus cost leadership; and value chains. All good stuff; from a product dominated thinking mindset. - [The Flying Journey](https://solvinnov.com/the-flying-journey/): The customer journey of taking a flight has changed beyond all recognition over the last few decades. This change is a prime example of service innovation in action, and the "invisible hand" of co-value generation No one person has architected the journey, rather many aspects, suppliers, and customer expectations have come together, competed, some succeeding, some falling by the side, to get where we are today; and what's next? - [Embracing Service-Dominant Logic - improving innovation - part 2](https://solvinnov.com/service-dominant-logic-part-2/): In part 1 of this 2 part article we saw that goods-dominant logic is like driving a performance car but only using 1st gear Here we look at how to access the other gears by evolving our view of the world from a goods-centric view that has total focus on exchanging value at a one-off sales point. To a service centric view Such a service-dominant logic, as it is called, helps really explain how the world works... ...and accelerates our innovation thinking - [The Progress Economy](https://solvinnov.com/the-progress-economy/): The Big Picture… Welcome to what I am calling The Progress Economy. The way of viewing the world that accelerates growth and innovation. We can view The Progress Economy as three levels sitting on a simple set of fundamentals. Fundamentally, we observe that: every actor is seeking to make progress with all aspects of their […] - [The role of cash - as service credits - in a service-exchange economy.](https://solvinnov.com/role-of-cash-as-service-credits-in-a-service-exchange-economy/): Cash is everywhere - but what role does it have as we try and look at the economy as service-exchange based? This is a preliminary view, where I look at cash rather than as a proxy for value, as being service tokens, which supports: mediation of temporal and magnitude differences in a service exchange enables indirect service exchange Such a view still allows us to observe common aspects of cash (the desire to acquire as much as possible). And allows us to maintain our improved view of value - relating to progress being made. In addition to service-service continuum and other behavioural quirks we see. - [Creating Value](https://solvinnov.com/creating-value/): The Big Picture… Typically, we believe value is created/embedded by manufacturers and then exchanged at the point of sale. This is known as value-in-exchange and is the main basis of what we call goods-dominant logic. Once the buyer owns the Value, they set about destroying or using it up. It is a simple view of […] - [The Service Mix](https://solvinnov.com/the-service-mix/): The service mix helps us avoid myopia in innovation and gives us the framework to see what components we can mix between in our efforts to help beneficiaries make progress. It is part of our definition of service, and comprises: employees physical resources goods systems that the ecosystem offering the value proposition decides to provide - [The Lean Canvas - a summary](https://solvinnov.com/the-lean-canvas-a-summary/): Here's a description of the Lean Canvas - a one-page business plan We can use it to neatly describe an innovation. As well as guide-rails for an innovator to take an idea to an innovation description. - [Service Marketing Mix - 7Ps or 8Ps](https://solvinnov.com/service-marketing-mix-7ps-or-8ps/): There is a criticism that the original 4P marketing mix doesn't address service. Which comes from a view that service and goods are fundamentally different. To address this criticism, Boom & Bitner introduced 3 additional Ps to derive the Service Marketing Mix. These new Ps are People, Physical Evidence and Process. Kotler added an 8th - performance. And this is sometimes altered to partnership - [Marketing Mix - the 4Ps](https://solvinnov.com/marketing-mix-the-4ps/): Product, Price, Promotion and Place. These are the 4Ps of the original marketing mix. Which helps us tease out things we need to think of to sell our product It's a marketing classic - but with lots of criticism. Which are sometimes not well looked into by marketing, business or MBA courses. - [The purpose of an Enterprise](https://solvinnov.com/the-purpose-of-an-enterprise/): The Big Picture… If beneficiaries need help in making progress with some aspect of their life, who is it that can help them? It is the enterprises – individuals, firms, multinational conglomerates, non-profits, entrepreneurs, start-ups etc. And these all have one thing in common. They are instances of a: value co-creation enabling system that is […] - [What is a Value Proposition?](https://solvinnov.com/what-is-a-value-proposition/): A value proposition details how the offer will help a beneficiary make progress. I've defined this as the proposed value (whereas realised value is the amount of value co-created) We can use a formula way to describe a value proposition: I (beneficiary) who (functional progress being sought [job to be done, hindrance to avoid, problem to solve]) the (product/brand name) is a (product category) that (functional and non functional progress offered) unlike (primary competitor alternatives), (product/brand name) (primary differentiation statement). - [What is Value?](https://solvinnov.com/what-is-value/): Value - it's more than the price someone is prepared to pay It is the proposal to help a beneficiary make functional and/or non-functional progress in some aspect of their life. And it is the amount of progress made in use (co-creation of value). That we measure value today by price paid and/or volume sold is a result of our product-dominant logic view of the world. It turns out, these are proxies we end up using as we are not relational enough. Something service-dominant logic opens our eyes up to. - [Den Hertog services innovation model (6-dimensions, 2010)](https://solvinnov.com/den-hertog-6-dimensions-services-innovation-model/): The Big Picture… Back in 2000, Pim den Hertog introduced a 4-dimensional services innovation model. Ten years later he introduced an updated 6-dimension model in “Capabilities For Managing Service Innovation: Towards A Conceptual Framework“. [Image of model] Where the updates are: delivery systems dimension is divided into two: new delivery systems (technology) and new delivery […] - [Sailing A Blue Ocean of New Service Concepts](https://solvinnov.com/sailing-a-blue-ocean-of-new-service-concepts/): Need a way to discover new concepts for your service? Blue Ocean Strategy contains a few tools that give a great way to look at and discover New Service Concepts (one of five dimension in our services innovation model). We take Gallouj & Weinstein's idea that a service is a matrix of four sets of characteristics. And say those characteristics are the attributes in a Blue Ocean Canvas. Then, using the Blue Ocean Four Actions Framework we can ideate service concepts by either raising, reducing, creating or eliminating characteristics. The resulting new service concepts nicely adhere back to Gallouj & Weinstein's categorisation of service innovations: radical, improvement, incremental, ad-hoc, recombinative (architectural) and formalisation - [How does Service Innovation thinking differ from Product Innovation Thinking?](https://solvinnov.com/how-does-service-innovation-thinking-differ-from-product-innovation-thinking/): [very early draft] Customer resistance Customer resistance is the parallel to adoption. We see innovation as good and just need to diffuse it. Resistance, on the other hand, reflects customers hesitance to use an innovation. Ram and Sheth (1989) identify five barriers involved with resistance. Three of those are functional barriers: usage, value, risk; and […] - [Understanding Innovation Execution Complexity](https://solvinnov.com/innovation-execution-complexity/): How difficult will it be to implement your innovation in your enterprise? We look at how we can determine that through via den Hertog's model of service (which holds for products too). And take advantage that models of this type have two components: dimensions capabilities By determining the size of change in dimensions and the strength of an enterprise's capabilties, we can score an innovation's Implementation Execution Complexity In doing so, we open the path to reducing that score - perhaps simplifying the change, or improving capabilities. And to portfolio management. - [Engineering Down Innovation Implementation Complexity](https://solvinnov.com/engineering-down-innovation-implementation-complexity/) - [Describing impact of service innovations on an organisation](https://solvinnov.com/describing-impact-of-service-innovations-on-an-organisation/): So, you have an idea for a service innovation, how can you best describe the impact of it on your organisation? We find that the extension to den Hertog's service innovation model we have made is a great tool for this (and when used in combination with the Lean Canvas Model, we get a great insight into the value - [Finding Service Innovations](https://solvinnov.com/finding-service-innovations/): How do we find/discover new service innovations? If we have just a product, then we can look to service-ise that If we currently have a service, we can use our extended version of den Hertog's model to seek innovations. These could improve the service concept, the service delivery (internal, new partners, new systems etc) or the client interface. They could be based on technology and/or data - [Why are you innovating? Part one - organisation type](https://solvinnov.com/why-are-you-innovating-part-one-organisation-type/): We can fall into the trap of thinking innovation means the same thing for all the different types of organisation that exist. I look here at why we innovate in general, and then why five different types of organisation (product companies, service companies, social entrepreneur, digital native startup and an IT consultancy- a type of technical Knowledge Intensive Business Services (KIBS)) innovate to see the differences. - [Value is cocreated by multiple actors, always including the beneficiary](https://solvinnov.com/value-is-cocreated-by-multiple-actors-always-including-the-beneficiary/) - [Value cocreation is coordinated through actor-generated institutions and institutional arrangements](https://solvinnov.com/value-cocreation-is-coordinated-through-actor-generated-institutions-and-institutional-arrangements/) - [Are you a Source, Facilitator, or Carrier of Innovation?](https://solvinnov.com/source-facilitate-or-carrier-of-innovation/): We (overly) pressurise our innovation approaches by seeking new to the world innovations. Do we need to? Miles and others argue that a specific type of service organisation - knowledge intensive based services (KIBS) - can be sources, facilitators or carriers of innovation But it is not just KIBS. Don't task-limit your innovation approach to being a source of innovation. Expand it to have a role as facilitators and carriers. And we can note that carrying innovation - such as QR codes across industries - is particularly powerful and increasingly demanded by customers - [Servitization of products](https://solvinnov.com/servitization-of-products/): https://www.sciencedirect.com/science/article/pii/S001985011630195X - [Excelling at Innovation](https://solvinnov.com/excelling-at-innovation/): Having ideas is great; and capturing and turning them into innovations is a process that has generated many tools, advice and innovation consultants. But to fix the innovation problem (94% of executives unhappy with innovation performance) we need to go further. We need to make sure innovations are implementable in an organisation; and further that we are implementing innovations that are generating value for customers and ourselves. - [Why Innovate - Part 2: Service dominated thinking](https://solvinnov.com/why-innovate-part-2-service-dominated-thinking/): We innovate, under a service dominated thinking approach, for similar reasons as product dominated thinking (differentiate, cost leadership, value chains). But also to enhance, entice and enrich our customers; to react to changes in ecosystem value generation; and to offer what customers are expecting from other markets/industries. We live in an exciting world of "jobs to be done" and "blue ocean" thinking. - [Service as Characteristics - examples](https://solvinnov.com/service-as-characteristics-examples/): We'll look at describing some examples of services using my update to Gallouj & Weinstein "service as characteristics" model. And we'll take some examples from across the service-service continuum. From self-service - which includes what we would have called goods in the old days - through to full service. - [Updating Gallouj & Weinstein's "Service As Characteristics" Model](https://solvinnov.com/updating-service-as-characteristics-model/): Whilst Gallouj & Weinstein’s model is a great way of understanding a service – and systematically hunting for innovation – there are some updates we can make to bring it into an even more usable form. These are: using service-dominant logic terminology – beneficiary instead of the customer, for example. reflecting the network/ecosystem nature often […] - [Operant resources are the fundamental source of strategic benefit](https://solvinnov.com/operant-resources-are-the-fundamental-source-of-strategic-benefit/): "Our people are our key advantage" - a phase we hear often. With service-dominant logic we get an insight into why. And it starts with seeing that service is the application of skills and competence. And they are applied by people - a form of operant resource - resources that act on other resources to lead to value (co-)creation But we can also see processes as operant resources (as they codify beneficial skills and competencies). And it turns out, there is a useful hierarchy of operant resources. - [All social and economic actors are resource integrators](https://solvinnov.com/all-social-and-economic-actors-are-resource-integrators/): Perhaps better put as "All service systems, including the beneficiary" are resource integrators. This premise highlights how every actor involved integrates resources and that there is a network of actors Originally it hinted at why firms are formed - to integrate micro-specialisms into a more complex service. But it was quickly recognised that not just firms did this, so did individuals, households, social organisations and so on. Hence, all economic and social actors are resource integrators. - [Value Co-destruction](https://solvinnov.com/value-co-destruction/): Much is made in service-dominant logic about value being co-created. But if it can be co-created, can it also be co-destructed? Yes, it can. But early descriptions of interactive value formation either down played it or ignored it - destroying value is old school goods-dominant thinking. But we can define it as occurring when interactions between actors results in a decline in at least one of the actors' well-being And we investigate a framework that looks at components of orientation, resources and perceptions over time (before, in use and after) contribute to value co-destruction - [Goods are distribution mechanisms for service provision](https://solvinnov.com/goods-are-distribution-mechanisms-for-service-provision/): The role of goods (both tangible products and intangible ones such as digital goods -eBooks, mp3s etc) needs to be seen differently different in our service-only world No longer do we see a goods vs service divide; with the view that services are poor relatives. Rather, we see goods enabling us to move service in time and space. And this might seem strange, but let's consider that service can be frozen and unfrozen, and now we will see this begins to make sense - [Goods-dominant Logic](https://solvinnov.com/goods-dominant-logic/): When our ways of thinking, acting and behaving are based mainly on goods, then we are following a goods-dominant logic Such a logic leads us to see a world where Manufacturers embed value in a goods Customers use-up/destroy that embeded value Focus is on how to extract maximum return at the value exchange between manufacturer and customer It is a logic that has been sufficient for nearly 300 years. But we will argue later that it is no longer sufficient, given that services are eating the world. - [Service-Service Continuum](https://solvinnov.com/service-service-continuum/): As we see goods as a way of delivering service, the traditional goods-service continuum makes less sense. However, we can observe a (self-)service-service continuum. Where we move from predominantly service provider's goods used to transport service through to more use of provider's systems, physical resources and employees. The continuum exposes various non-functional progress beneficiaries seek to make. - [Goods are good; services bad - not quite](https://solvinnov.com/goods-are-good-service-bad-not-quite/): In a goods-dominant logic, we define services in contrast to goods. And the definition leads to negative interpretation of service. Goods are good, services are inconsistent, inseparable, can't create an inventory etc But is this tarring of service justified and correct? Not really. And we'll summarise two papers in this article to highlight this: Lovelock & Gummerson show that not all goods-dominant logic attributes for services are applicable to all services. Lush & Vargo show that these negative attributes should be looked at as benefits. Intangibility powers scalability, inconsistency is really customisation. Lack of inventory reduces costs and focusses value creation at the point of consumption. And inseparability/involvement leads to the benefit of co-creation of value. - [Den Hertog services innovation model (4-dimensions, 2000)](https://solvinnov.com/den-hertog-model-for-describing-service-innovations/): Back in 2000, Pim den Hertog published a service innovation model that we can use to search for and explain service innovations (den Hertog (2000)). It uses three aspects of a service innovation: Dimensions - new concept, new client interface, new delivery system (process, culture, organisation) and technology options Capabilities - HR, Organisational and Marketing & Distribution Comparisons - to existing & competing services; to service workers; and actual & potential customer In a later 2010 update he introduced 2 more dimensions - new revenue model and new business partners. As well as renaming technology options to new delivery system (technology). - [Innovation Theater](https://solvinnov.com/innovation-theater/): Innovation = change. And if your enterprise can't handle, or resists, those changes, then your innovation activities are simply innovation theater (activities that deliver few/no tangible results) Worse, the outcome of those activities are likely increasing that resistance to change Calls to action, hackathons, open innovation, innovation spaces/rooms, appointing chief innovation officers, claiming to be an accelerator, building silicon valley outposts - all these, and more, are at risk of being innovation theatre Here's why.... - [Increasing the Innovativeness of Organisations](https://solvinnov.com/increasing-innovativeness/): How can we increase the potential innovativeness of our organisation? It turns out 3 orientations impact the potential innovativeness of our organisation. And in turn the business performance. Increasing these orientations impacts innovation performance. They are: Market orientation - gaining and using intelligence on customers Learning orientation - creating and using knowledge Entrepreneurial orientation - how entrepreneurial the organisation is (attitudes and behaviours to innovation, pro-activeness and risk-taking). - [Evolving the definition of innovation](https://solvinnov.com/what-is-innovation/): Let's define innovation, avoiding the trap of value-in-exchange (that normal definitions have) and open our thinking up for wider success. Innovation is creating and offering a new (to the organisation, market/industry, or world) value proposition: that helps a beneficiary make progress better than they can currently that improves during, or as a result of, the naturally occurring value co-creation which is delivered through the scalable and sustainable co-ordination of skills and resources (often across an ecosystem) and where resistance is minimised Note, in particular, how our service-dominant logic lens steers us to focus differently on value. compared to normal old-school definitions - [A service-centred view is inherently beneficiary oriented and relational](https://solvinnov.com/a-service-centred-view-is-inherently-beneficiary-oriented-and-relational/): We know that value, in service-dominant logic, is both co-created and uniquely determined by the beneficiary. It then naturally follows that a service-centred view is: inherently beneficiary oriented inherently relational It is not possible to be any other way - [Indirect Exchange Masks the Fundamental Basis of Exchange](https://solvinnov.com/indirect-exchange-masks-the-fundamental-basis-of-exchange-understanding-service-dominant-logic/): In a simplistic world, we exchange services directly. I do something for you as you do something for me. But our world is messier than that and this exchange may be hidden. For example it could be deferred, unequal, or not even a direct exchange at all. We can think of "service credits" as a useful concept to bridge the "gaps" above. However, and this is important, it still remains the case that these seemingly partial exchanges fulfilled all the foundational premises of service-dominant logic. So we can say service is the fundamental basis of exchange, though indirect exchange sometimes masks this. - [All economies are service economies](https://solvinnov.com/all-economies-are-service-economies/): As service is the basis of exchange, then all economies are service economies. But how do we account for the classic view of their being agricultural, goods and service economies? We look at the skills and resources that society saw as the most beneficial to apply and improve. These turn out to be the skill and resources of: cultivation, mass production, management, and resource integration. And the "shift to the service economy", often talked about today, is society beginning to see the skills of resource integration as most beneficial. - [Making Service-Dominant Logic More Approachable](https://solvinnov.com/making-service-dominant-logic-more-approachable/): A service-dominant logic approach requires us to stop seeing a goods vs service world where service is a poor relative to goods. And instead, embrace a service-first world where goods help us transport a service. At first glance, this might seem that we are challenging the over 300-year old goods-dominant view of our world. But it is an evolution in thinking, acting and behaving rather than a revolution. One that requires us to stop seeing a goods vs service world and instead embrace a service-first world where goods help us transport a service. However, they are unlikely to light up the management world. Or get the attention they need. Given the often confusing words choices, like phenomenological, or using words that have a different meaning than usual, as in the case of institutional. Let's make service-dominant logic more approachable by doing two things: Group premises together into the clear "what", "who" and "how" Explore what the definitions really mean - [Service is the fundamental basis of exchange](https://solvinnov.com/service-is-the-fundamental-basis-of-exchange/): We can view how the world works in two ways. Traditionally, we see a world where we exchange outputs: called goods-dominant logic. Alternately, we could see a world where we exchange how those outputs are created. By viewing the world through service-dominant logic lens, we remove the absolute focus of goods-dominant logic’s point of exchange. Instead service is seen as the fundamental basis of exchange. This has many impacts. Not least it encourages us to be more relational, understand value creation differently, and see additional opportunities (reduce marketing myopia, harness circular economy etc). And that drives opportunities for innovation and growth Though it can be challenging to switch our lens, given the predominance of goods-dominant logic we observe and are taught daily. - [Value is Uniquely and Phenomenologically determined by the beneficiary](https://solvinnov.com/phenomenologically-determined/): In service-dominant logic, we see value differently to the traditional approach (where value is set by manufacturer and measured by the price paid - value-in-exchange). We see a beneficiary who is seeking to make progress in some aspect of their life. And they are hiring a service that proposes to help them make that progress. Value is therefore only measurable by the beneficiary, and measures the amount of progress the beneficiary feel they have made This measure is complicated by the baggage the beneficiary brings to the service - there lived experience. As well as the experience they have during the service provision - context, their mood, servicescape etc. Both this lived and living experience are phenomenological We could interpret this foundational premise as the more approachable: Value is always uniquely determined by the beneficiary based on their lived and living experience - [Evolving winning ideas - iteratively using the Lean Canvas](https://solvinnov.com/using-lean-canvas-to-discover-value-in-ideas/): Do you want to empower ideators to take their exciting ideas towards innovations? Helping them increase the quality, alignment, and completeness of those ideas in a language that the business understands? And to do so in an non-intimidating way that is ripe for coaching and reviewing. As well as supporting collaboration. Then we can use the Lean Canvas in an iterative manner as guide rails to get from ideas to innovations. This minimises innovation theatre and reduces the innovation problem - [Innovation: Diffusion, and What Network Topology can tell us](https://solvinnov.com/innovation-diffusion-and-what-network-topology-can-tell-us/): Diffusion happens across a social network. Can we take advantage of that network's structure to accelerate diffusion? To do so, we look at the network's topology. Its centricity, density, weak ties, structural holes etc Which. in plainer speak, are the influencers, and Gladwell's Mavens, connectors etc. And where we might need to target a few innovator types, or many - [Supercharging the Circular Economy with Service-dominant logic.](https://solvinnov.com/service-dominant-logic-and-the-circular-economy/): Can service-dominant logic help us understand and harness the circular economy? Yes We need to move from the linear economy of take-make-waste. An economy that parallels the embed-exchange-use up logic of goods-dominant logic. And move to the circular economy. An economy that, amongst other things, aims to to minimise waste and pollution through reusing, sharing, refurbishing and recycling. And that economy shares a lot with service-dominant logic. With looking beyond the exchange, co-ordination of resources and co-creation of value - [Describing a service as characteristics - to help discover innovations](https://solvinnov.com/a-model-for-describing-a-service-and-better-still-systematically-discovering-services-innovations/): Can we define what a service is in a more formal way? And then use that to better understand what innovation means? Yes we can. Service(s) can be defined as lists of: External Characteristics - what the end user experiences, including parts of the business model Technical Characteristics - the processes, tools, and products used to deliver the service; including the client interface Provider competences - the competences the individuals in provider bring to the table Customer competences - the competences the customer brings to the service It is the particular interaction between a combination of competences and technical characteristics that deliver the external characteristics. Service innovation is then the act of adjusting these competences and characteristics to generate new/additional value - [Electrolux - vacuum cleaning as a service](https://solvinnov.com/electrolux-vacuum-cleaning-as-a-service/): Where does Electrolux's recently launched robotic vacuum cleaner service sit on the goods-service continuum? What aspects of the ongoing shift to the service economy does this service address? What could Electrolux do next? And, will this be successful? This mini case study looks at all these questions around the service recently launched on the Swedish market, built upon their successful product. - [Innovation Resistance](https://solvinnov.com/resistance-of-innovation/): Innovation resistance – users postponing, rejecting, or even objecting/demonstrating against – is the sadly neglected child. We are all familiar with its sisters: diffusion and adoption. Yet, we see innovations failing again and again. And not addressing innovation resistance is a candidate for why this is so. As well as for why 94% of executives are disappointed with innovation performance. Why? Well, in order to get adoption we have to: address Rogers’ classic adoption variables, and remove resistance (opposition, rejection and postponement) to the innovation Too often we only see and address the point 1. Yet: “innovation resistance seems to be a normal, instinctive response of consumers” (Sheth and Ram, 1989) "customer resistance is usually one of the greatest risks to innovation" (Heidenreich & Kraemer, 2015). In this article, we look at innovation resistance and why it occurs. - [Synthesis Marketing Mix](https://solvinnov.com/synthesis-marketing-mix/): Introducing the Synthesis Marketing Mix. Built on the foundations of both McCarthy's Product Marketing Mix and Booms & Bitner's Service Marketing MIx. But taking a service-dominant logic view A world where the consumer is better informedour economies are service dominated, technology is replacing people, andwe are concerned with sustainability and circular economy - [Diffusion of Innovation II - Bass Diffusion, let's get Mathematical...](https://solvinnov.com/innovation-diffusion-part-ii/): How should you build up your supply chain? What are the real market sizes of Rogers' adopter types? When is best to launch the next generation of your innovation? To answer those, we take a deeper look at the mathematics behind Bass' Diffusion Model The maths helps us understand the split of innovator and imitator types - captured as two co-efficients in the formula. That allows us to understand where to apply internal and external influence. We can use existing sales (or a comparator) to derive these two co-efficients and therefore predict adoption. That helps us manage supply chains and real market size. Additionally, we can determine when it is best to launch the next generation of the innovation (and see what happens when we lauch to early or late) And, best of all...it all fits real life! - [Services Innovation Model for the Modern World](https://solvinnov.com/a-modern-services-innovation-framework/): It's time to revisit and update den Hertog's 2000 service innovation model. Reflecting both how the world looks now, 20 years later, as well as folding in modern theories such as servie-dominant logic, job to be done, blue ocean, as well as addressing innovation resistance I propose the following updates Uplifting technology dimension and technological capabilties Adding a Data dimension and data exploitation capabilties Adding an Ecosystem dimension and partnering capabilties Exploring where job to be done, hindrance maps, and blue ocean strategy help Exploring where addressing innovation resistance best sits - [Shift to Services: The Music Reproduction Industry](https://solvinnov.com/shift-to-services-the-music-reproduction-industry/): The music reproduction industry is a fascinating industry to observe. It shows the progression to a service economy but also starts as a service. Along the way we see service development is dependent upon product developments and supporting innovations from other industries - [Innovation adoption](https://solvinnov.com/innovation-adoption/): Innovation adoption is when individuals or organisations decide and start using an innovation. We'll look at the classic adopter types, the adoption decision steps, and how adoption can be accelerated But also we'll put the adoption decision in the context Christensen's Job theory (big and little hires). And see how resistance to innovation should be included in the classic adoption steps - [Diffusion of Innovation](https://solvinnov.com/innovation-diffusion/): Innovations diffuse - knowledge spreads - across a social system through communication channels over time. We'll take a network-centric view of diffusion and see how Bass' model and Rogers' adoption curve help us understand diffusion Then we'll look at Moore's crossing the chasm and Maloney's 16% rule to understand some issues. And finally look at the tipping point, and Gladwell's mavens, connectors and salesmen. - [Services Marketing Triangle, and an update](https://solvinnov.com/services-marketing-triangle/): The services marketing triangle captures the marketing relationships between three actors: company, employees and customer These relationships revolve around the promise. External marketing is the company making the promise; interactive marketing is the employees delivering the promise; and internal marketing is the company enabling the employees to deliver the promise I make a small update to reflect that customers nowadays deal with more than just employees. In a service-dominant logic view the following deliver the promise: employees, including gig economy workers systems of the service provider - the electronic employee, so to say physical resources/goods of the service provider - the hire car or goods used for self-service - [Product Innovation - what is it about?](https://solvinnov.com/what-is-product-innovation/): It's useful to have some background on product-dominated innovation since service-dominated innovation is similar (yet with additional factors to address). In this article we look at: how the roles, resources and value attributes of product innovation play out Rogers' adoptability/diffusion curve Moore's crossing the chasm Bass' adoption curve the factors that impact the speed of innovation adoption - [11 differences you need to be aware of between service-dominant and product-dominant innovation to fix our innovation problem](https://solvinnov.com/10-differences-between-product-and-service-innovation/): Our economies are increasingly services dominant. Yet we typically perform service innovation using product innovation approaches. This raises two questions. Firstly, are service and product innovation the same? Secondly, should, or even can, we apply product-dominant innovation thinking in our service-dominant economies? That McKinsey’s recently found 94% of executives are not happy with the outcome […] - [Service is eating the world - the shift to the service Economy](https://solvinnov.com/service-is-eating-the-world/): You may be surprised to learn that the service economy is around 80% of the economy in "developed" lands (already 79% in UK). And it is an economic segment that is increasing everywhere. I explore why we shift towards service dominant economies and the impact of that shift. Not least if that you need to think of innovation differently for the service world than you do at present - [Product vs Service Innovation](https://solvinnov.com/product-vs-service-innovation/): The Big Picture Is innovation in service different to innovation in goods? There are three schools of thought: Assimilation view sees product and service innovation as essentially the same. Demarcation view sees them as distinct. Synthesis view sees service innovation as essentially the same as product innovation where some aspects appear less important in product […] - [Evolving to Service-Dominant Logic](https://solvinnov.com/service-dominant-logic-part-1/): Is our current way of thinking about the world - a so called goods-dominant logic that is goods-centric and has a heavy focus on value-exchange - the best mindset for services? In this first of two articles we look at what is this goods-dominant mindset. We conclude that yes we could use it for services, but it limits us. It is like driving a performance sports car, but only ever using 1st gear. Once we look more at services we realise a new logic is needed to access the other gears. But that this is a realisation not a revolution. - [The Innovation Solution - a blueprint](https://solvinnov.com/the-innovation-solution/): This site started with The Innovation Problem - not least that 94% of executives are unhappy with innovation performance- and my experience starting a global innovation account's innovation function. What is the solution? That is what this article builds. Pulling out the lessons from all the articles on this site I am building a blueprint of an organisation and approach that doesn't suffer from the problems that lead It is an article that is continually being updated and reformed as I go through my journey - [Understanding Innovation - through service characteristics](https://solvinnov.com/understanding-innovation-through-service-characteristics/): We can understand exactly what innovation - and its different types, for example: incremental, radical, ecosystem etc - means when we use a characteristics model. Even better, a characteristics model provides a framework on which we can more systematically hunt for innovation. Including the impact of introducing partners in an ecosystem - [Service is eating the world - but what are Services?](https://solvinnov.com/what-are-services/): In our increasingly service based economies it is important to understand what services are. We gain this understanding by looking at services through academic definitions, marketing, and economic attributes, a continuum between gods and services and finally the logic behind services. - [We have an innovation problem...](https://solvinnov.com/innovation-problem/): "94% of executives are unsatisfied with innovation performance". Yet "84% see innovation as important to growth"! And "54% of companies struggle to bridge the gap between innovation and business". Worse; "very few executives know what the problem is and how to fix it"! We have forgotten the basics. Firstly that "the firm has two, and only two activities: marketing and innovation". And that "people don't want to buy a 1/4 inch drill, they want a 1/4 inch hole". Instead, we (accidentally?) embark on innovation theatre, misalign execution with vision, and forget there is resistance to innovation. We miss following service-dominant logic. Which drives customer-centric thinking, and co-value generation; is a natural home for job-to-be-done and blue ocean theories; helps us minimise marketing myopia; and focuses us past point of sale, to additional services, servitization of goods, and the circular economy. - [Better Credit Cards](https://solvinnov.com/better-credit-cards/): Can we make credit cards better - getting rid of Visa, Mastercard, Diners and the complex expensive infrastructure that goes with that, etc? By doing so, we can save money for vendors, reducing costs for consumers ## Pages - [Sample Page](https://solvinnov.com/sample-page/): This is an example page. It’s different from a blog post because it will stay in one place and will show up in your site navigation (in most themes). Most people start with an About page that introduces them to potential site visitors. It might say something like this: Hi there! I’m a bike messenger […] - [References](https://solvinnov.com/the-references/): References Here are all the research papers and books referenced on this site. Clicking on the title will take you to the literature’s page. From there you are usually able to see the important points as to why it was used, more details, and links to Amazon/the paper’s web page. Additionally, and where possible, you’ll […] - [All Journeys](https://solvinnov.com/all-journeys/) - [Centres of Research on Services](https://solvinnov.com/centres-of-research-on-services/): Areas researching service innovation: University of Karlstad (Sweden) with several major Swedish companies (IKEA, Volvo, Ericsson); Finland and Manchester Centre for Relationship Marketing and Service Management (CERS) at Hanken, Finland http://sdlogic.net/index.html - [References](https://solvinnov.com/references/): A B C D E F G H I J K L M N O P Q R S T U V W X Y Z Å Ä Ö A B Booms, B. and Bitner, M. J. (1981) “Marketing Strategies and Organizational Structures for Service Firms” in James H. Donnelly and William R. George (eds), Marketing […] - [Coming Soon](https://solvinnov.com/pending-posts/): Here is a short taste of articles that will soon be coming to a browser near you.  Whilst we can’t show you the whole post yet – blame our WordPress skills! – hopefully, you can get an insight from the title and the excerpt! Don’t hesitate to follow this site using one of the links […] - [Welcome to the Library](https://solvinnov.com/all-literature/): Hello. Why don’t you pull up one of those nice comfy chairs. Go on, settle yourself down in front of the crackling fire, with a good cup of tea (or coffee, or something stronger, the choice is yours). This is my virtual library where I list the books and articles that have sparked my interest […] - [random](https://solvinnov.com/random/) - [All the posts](https://solvinnov.com/all-posts/): Below you can find all the articles on this site ordered by when they were last updated starting with the newest.  Try here if you are looking for the site’s videos or here if you are after info on any of the books I mention on the site. I hope you find what you are […] - [All Videos](https://solvinnov.com/all-videos/): I have collected all of the available video snippets together here.  These snippets express short views about key concepts that you can quickly share. Please click on any video that interests you to see more details. - [About & Motivation](https://solvinnov.com/about/): About Me Hi, I’m Adam, the main author of this site (and I’d be glad to connect on LinkedIn). As a Chief Innovation Officer I created and implemented innovation process from scratch for a global account. I have experienced the joy of sparking the imagination of teams around the world to be creative. I’ve used […] - [Contact Us](https://solvinnov.com/contact-us/): Let’s fix the innovation problem together I hope you are finding the content here interesting and useful. And even better, if you’re on this page, hopefully you have a question, comment, thought, tip, or something else you want to share with me. You are more than welcome to fill in the contact form below, or […] ## Optional - [Agent (MCP protocol)](websites-agents.hostinger.com/solvinnov.com/mcp) [comment]: # (Generated by Hostinger Tools Plugin)