Str 581 Innovation Strategy Paper

Innovation Strategy
Brendaliz Medina, Edwin Reyes, Jan C. Fernández,
Rosa Molina & Yahaira Ocasio
University of Phoenix
STR / 581Strategic Planning and Implementation
March 17, 2015
Prof. Carmen Bonilla Quianes
Innovation Strategy The successful organizations combine technological change and the change of business model to create innovation. Furthermore, to effectively incorporate a strong model of innovation in business mentality, the leadership team and the Chief Executive Officer (CEO) need to balance both elements of business and technology innovation. There are six sifters, three in the business model and three in technology innovation. The company needs to include modifications in one or more of these components (Gitman & McDaniel,
These elements are:
The value proposition - which involve the introduction of a new product or service to market or expand the existing supply (Gitman & McDaniel, 2007).
The supply chain - most of the changes on this element are not perceived by the customer. The innovation resulting from this element may arise from changes in the structure in organizations and how to produce and deliver products (Gitman & McDaniel, 2007); and finally
Redefining its relationships with complementary vendors and outsourcing companies are other examples of change in the value chain that generates innovation (Gitman & McDaniel, 2007).
Another factor that the companies have to analyze is the objective customer. Changes in this item arise when potential clients are identified, which currently is not being prioritized as to marketing, sales and distribution. Of all the elements it is the least used, but however it can present excellent opportunities for growth. Also, the corporation may use the new technologies. These new technologies are the result of research and development scientists and engineers, and represent a fundamental part of innovation (Gitman & McDaniel, 2007). Thus, “Duracell Powermat” will fulfill this concept to Starbucks, because it will service its regular client and will be an attraction to those who do
Also, the provision of services which gives companies competitive advantages in flexibility, distribution costs, including for this reason they are a vital part of an excellent innovation. The support technology does not change the functionality of the process or product but allows companies to execute strategies faster turning this into a competitive advantage; “Duracell Powermat” will not change Starbucks operating process, but will help them stay ahead of its competitors. Thus, this is the main reference information technologies that can improve decision making and financial management (Gitman & McDaniel,