VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT – I PART – A (2 marks) 1. What is Innovation?  Innovation generally refers to changing processes or creating more effective processes, products and ideas.  Being innovative does not only mean inventing. Innovation can mean changing your business model and adapting to changes in your environment to deliver better products or services.  Successful innovation should be an in-built part of your business strategy, where you create a culture of innovation and lead the way in innovative thinking and creative problem solving.  Innovation can increase the likelihood of your business succeeding. Businesses that innovate create more efficient work processes and have better productivity and performance.

2. What Creativity?

 Creativity is nothing but the process of creating something unique and new. Creativity is reaching to innovative solutions, new ideas, unique concepts through brainstorming, discussions and healthy communication among employees.  Creativity is defined as the tendency to generate or recognize ideas, alternatives, or possibilities that may be useful in solving problems, communicating with others, and entertaining ourselves and others.

3. What is mean by brain storming?  Process for generating creative ideas and solutions through intensive and free willing group discussion.  It is a conference technique by which a group attempts to find a solution for a specific problem by amassing all the ideas spontaneously by its members.  To brainstorm is to use a set of specific rules and techniques which encourage and spark off new ideas which would never have happened under normal circumstances 4. Basic rules in brainstorming.

 No criticism: Criticism of ideas are withheld during the brainstorming session as the purpose is on generating varied and unusual ideals and extending or adding to these ideas. Criticism is reserved for the evaluation stage of the the process. This allows the members to feel comfortable with the idea of generating unusual ideas.  Welcome unusual ideas: Unusual ideas are welcomed as it is normally easier to "tame down" than to "tame up" as new ways of thinking and looking at the world may provide better solutions.  Quantity Wanted: The greater the number of ideas generated, the greater the chance of producing a radical and effective solution.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Combine and improve ideas: Not only are a variety of ideals wanted, but also ways to combine ideas in order to make them better

5. Differentiate between creativity and innovation? Creativity Innovation Creativity is a act of creating new ideas, Innovation is the introduction of something imaginations and possibilities. new and effective into the market. Imaginative process Productive process Creativity can never be measured Innovation can be measured Creativity is related to the generation of ideas Innovation is related to introduce something which are new and unique better into the market Creativity does not require money innovation requires money

6. Process of Innovation. o Idea Generation (Making) o Idea Screening (test) o Feasibility ( Practically) o Implementation ( Completion) 7. Stages of Technological Innovation.  Basic research  Applied research  Development  Engineering  Manufacture  Marketing  Promotion  Continuous improvement

8. Need of Innovation.  For economic growth  For the progression of human well-being  For competitive advantage  Because cost-cutting is not enough anymore  Desire for higher business revenues  To improve disappointing performance  To take advantage of opportunity  For a more constant flow of innovation  For better returns  For business survival

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

9. What is creative problem solving?  Creative Problem Solving may be defined as a problem solving technique that addresses a challenge or problem in a creative manner.  To meet the criteria for solving a problem in a creative manner, the solution should resolve the declared problem in an original manner with the solution being reached independently.  This idea generation strategy usually incorporates a team approach. This is owing to the fact that people inside the workplace are allowed to engage in the process of change in their search for creative solutions. 10. Components of Creativity.

11. Problem Solving Methodologies. An organization needs to define some standard of problem solving, so that leadership can effectively direct others in the research and resolution of issues In problem solving, there are four basic steps  Define the problem  Generate alternative solutions  Evaluate and select an alternative  Implement and follow up on the solution.

12. What is BCR?  A benefit cost ratio (BCR) attempts to identify the relationship between the cost and benefits of a proposed project.  Benefit cost ratios are most often used in corporate finance to detail the relationship between possible benefits and costs, both quantitative and qualitative, of undertaking new projects or replacing old ones.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

13. What is idea generation?  Idea generation is the most challenging and most rewarding job.  It is the long, tedious, difficult task of assembling all the pertinent information, analyzing the problem and searching for some verbal or visual concepts of how to communicate what need to be said. It means establishing a mental idea or picture of the advertisement, commercial or campaign 14. Creative problem solving techniques:  TRIZ  Mind mapping  Brain Storming  Edward de Bonos concept of lateral thinking  fractionalisation of problem  reversal of problem  Root cause analysis  Hypothesis testing  Trial and error 15. Factors influencing technological innovation.  Scientific capacity and reporting  Technology life cycle  Investment scale and level  Political facilitator  Complementary Technologies  Diffusion mode and rate

PART – B (16 marks)

1. FACTORS CONTRIBUTING TO SUCCESSFUL TECHNOLOGICAL INNOVATION:

Research into the causes of success and failure in technological innovation reveals the frequent presence of a number of factors. The most critical factors are 1. A market orientation 2. Relevance to the organization‟s corporate objectives 3. An effective project selection and evaluation system 4. Effective project management and control 5. A source of creative ideas 6. An organization receptive to innovation 7. Commitment by one or few individuals i. Market orientation:

INVENTION – To conceive the idea

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

INNOVATION – To use – the process by which an invention or idea is translated into the economy Thus for an invention to become an innovation, it must succeed in the market place. However, the linking of R&D and marketing in a meaning partnership poses one of the most serious practical barriers to successful technological innovation. Two major problem areas are: Communication difficulties between technologists and marketing managers Company organizations which hinder effective communication between them

A survey was conducted with 175 research directors and senior research managers who were attending the courses at University of Bradford. Of these 72% of the members referred to communication barriers between marketing and R&D. No other factor was mentioned more than 20%. Approaches to resolve this problem: Development of mutual understanding through educational programs Framing organizational structure in such a way that it fosters closer collaborations or avoid the creation of formal barriers to cooperation Movement of people from R&D to market Ensure that the formal objective is set by the managers of marketing for the development of new product by R&D Involvement of both in the formulation of corporate and R&D strategies and in project selection and evaluation decisions ii. Relevance to the organization’s corporate objectives:

In formulating the corporate strategy, attention should be paid to the organization‟s own capabilities relative to the threats and opportunities which have been identified in the business environment. Some potential new products may appear attractive, but they may be inappropriate for development by a particular company because it may not have sufficient resources or does not wish to enter or extend its operations in certain markets. Thus it becomes more difficult for management at low level to relate their decision making to the objectives of top management. iii. An effective project selection and evaluation system:

Much attention should be focused on project selection and evaluation techniques because this is the most critical decision area for any R&D management. The techniques available range from simple checklists to sophisticated quantitative analysis. The manager is faced with the difficult task of evaluating the wide range of techniques described in the literature, selecting the system which fit his needs, deciding how much time and effort should be devoted to the selection and evaluation process. With perfect data, almost any technique would provide a sound basis for selection. The main difficulty will be seen with the uncertain data which is fed to the evaluation system. If there is no systematic evaluation procedure, the project may fail or terminate at premature stage. The conclusion is formal selection procedure is essential and that R&D management should analyze the project with the best tools available.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

iv. Effective project management and control:

The need for effective project management is self-evident. Inadequate control results in cost escalation and time over runs. Cost escalation may destroy a project financial viability and may lead to financial demands which are beyond the company‟s resources. Program slippage may also results in higher developmental cost which may lose the competitive edge of being first in the market and reduces the product‟s useful market life. The R&D covers a spectrum of activities ranging from basic result through applied research to prototype or pilot plant development and final development of new product and process followed by further stages of product and process improvement.

V. A source of creative ideas:

Innovation cannot be divorced from creativity. A successful innovation offers the market something new for which the customer is ready to pay. This arises from new technology or a new application of an existing technology. The quality of innovation results from the originality or the creative minds of one or few individuals. Without creativity there can be no innovation. Companies and industries are experiencing increasing difficulty in finding a sufficient flow of worthwhile project proposals. This can be attributed to the variations in creativity found amongst different companies. vi. An organization receptive to innovation:

Innovation means change. Organization planners and top managers assume that simply announcing the need for change and giving orders that the change should be made will produce the desired outcome. Whether it is an increase in production or adaption of new technology or a new method of doing work, it is generally found that those workers or managers who are directly affected will resist the change if it is forced upon them. Because resistance to change is one of the most ubiquitous organizational phenomenon. For it is always others we expect to change, but not ourselves. The climate for innovation is influenced by a number of factors: Rate of innovation within the industry The company‟s past experience and attitude to innovation Age and background of top management

Vii. Commitment by one or few individuals:

Innovation do not happen, they are made to happen. Behind every successful innovation, there is one or a group of people, the innovators, who are responsible for translating an idea into practice. The conditions for success can be assured by systematic and methodical approach as follows:

Definition of a corporate strategy stating the types of business, products and markets in which the company intends to engage

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Formulation of a strategy for R&D to ensure that the work of the R&D department is integrated within the corporate strategy A formal project selection system which would evaluate proposals in relation to specific financial and organizational objectives A statement of detailed project specifications against which subsequent performance can be measured Periodic evaluation of the project o assess whether the stated objectives are being met Managerial control procedures to ensure that the resources allocated to the project are being used effectively

2. NEED FOR CREATIVITY AND INNOVATION

Innovation is the process of creating and implementing a new idea. It is the process of taking useful ideas and converting them into useful products; services or processes or methods of operation. These useful ideas are the result of creativity, which is the prerequisite for innovation. Creativity in the ability to combine ideas in a unique way or to make useful association among ideas. Creativity provides new ideas for quality improvement in organizations and innovation puts these ideas into action.

Change and innovation are closely related, even though they are not the same. Change often involves new and better ideas. The new idea may be the creation of a new product or process or it can be an idea about how to change completely the way business is carried out. Successful organisations understand that both innovation and change are required to satisfy their most important stake holders.

Strategic Importance of Innovation:

For both established organisations as well as new organisations, innovation and change become important in a dynamic, changing environment. When a company fails to innovate and change as needed, its customers, employees and the community at large can all suffer. The ability to manage innovation and change is an essential part of a manager’s competencies.

Types of Innovation:

Three basic types of innovation are: (i) Technical, (ii) Process and (iii) Administrative.

Technical innovation involves creation of new goods and services. Many technical innovations occur through research and development efforts intended to satisfy demanding customers who are always seeking, new, better, faster and/or cheaper products.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Process innovation involves creating a new way of producing, selling or distributing an existing good or service.

Administrative innovation occurs when creation of a new organisation design better supports the creation, production and delivery of goods and services.

The various types of innovation often go hand in hand. For example, the rapid development of business to business e-commerce represents process innovation. But this new process requires many technical innovations in computer hardware and software. Also as firms began to use business to business e-commerce, administrative innovation soon followed. Further, implementation of process innovations necessitated organisational change. “Doing something new means doing something differently”. Thus, innovation and organisational change go hand in hand.

Technology and Innovation:

Technology is defined as the systematic application of scientific knowledge to a new product, process or service. It is also defined as the methods, processes, systems, and skills used to transform resources into products. Technology is embedded in every product, service, process and procedure used or produced.

“Innovation is a change in technology”. When we find a better product, process or procedure to do our task, we have an innovation. Process innovations are changes which affect the methods of producing outputs. For example, manufacturing practices such as just-in-time, mass customerisation, simultaneous or concurrent engineering – are all innovations.

In contrast, product innovations are changes in the actual outputs themselves. Technological innovation is daunting in its complexity and pace of change. It is vital for a firm’s competitive advantage because today’s customers often demand products that are yet to be designed. As technologies develop, product obsolescence increases and innovative products will have to be introduced into the markets.

Understanding the forces driving technological development and the patterns they follow can help a manager anticipate, monitor and manage technology more effectively. i. First, there must be a need or demand for the technology. The need acts as a driving force for technological innovation to occur. ii. Second, it must be theoretically possible to meet the need using the knowledge available from basic science. iii. Third, it must be possible to convert the scientific knowledge into practice in both engineering and economic terms.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

iv. Fourth, the necessary resources such as finance, skilled labour, time, space and other resources must be available to develop the technology. v. Finally entrepreneurial initiative is needed to identify and put all the elements together.

3. CREATIVITY AND PROBLEM SOLVING.

Problem solving generally involves devising ways to answer questions and to meet or satisfy a situation which presents a challenge, offers an opportunity, or is a concern. It involves closing the gap between what you have and what you want. The search for answers is often based on your expertise or existing knowledge. Many times, the area of the challenge is well- defined, with clear pathways and methods for solution. The opportunity may also offer clear-cut boundaries, priorities, roles, and directions for effective or even “correct” answers. There are a number of highly effective approaches you can use for problem solving in situations with these characteristics. Here are some examples: • Check the literature (Has someone else already provided a perfectly appropriate and useful solution to this problem, or to one very similar to it?) • Use existing or previous solutions from history (What has been successful for other people in similar circumstances?)

Creative Approach

There are at least two different kinds of approaches to making change happen; creative and non- creative. A creative approach implies that you are attempting to advance toward an outcome that is new, unstructured, and open ended. These situations often involve an ill-structured problem and unknown solutions. Although you need to use your knowledge and skills for evaluation, a creative approach requires you to engage your imagination, as well as your intelligence, during your approach because no ready-made answer exists. It also requires you to take a more comprehensive view and use the entire system of people, method, content, and context in the approach. Using a creative approach also implies that you have a courageous attitude; one that includes being open to new experiences, embracing ambiguity, and venturing into new and unfamiliar territory. This attitude is often necessary because creative approaches are about helping you move from a place with which you are familiar to one that is different and potentially unknown, and the results of your efforts are potentially uncertain. To demonstrate what we mean by creative approaches to problem solving, consider the approaches identified.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

4. BRAINSTORMING

Brainstorming is done with a group consisting of 4-8 people. A facilitator leads the brainstorm session, and asks the group provocative questions. The group‟s responses (the ideas) are written down on a flip-chart. The stages that the group goes through in a brainstorm session are methods on their own, and different alternative methods are possible within a brainstorm session (for example: how to‟s, who-what-where-when-why-how, forward and backward planning, and wishful thinking).

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Brainwriting Session Brainwriting is done with a group consisting of 4-8 people. A facilitator leads the Brainwriting session, and asks the group provocative questions. Each participant writes down his/ her idea on a piece of paper, and the papers are passed on to each other. In this way, an idea is elaborated when it passes through numerous participants, or an idea could serve as an inspiration for new ideas. Different versions of this method are possible. A well-known method is the 6-5-3 method.

Braindrawing Session

In a Braindrawing session (see figure 2.25) ideas are not written down, but are drawn or sketched. This distinguishes Braindrawing from brainstorming, which only uses words. In a Braindrawing session each participant draws his/her ideas on paper. Also, it is possible to build on each other‟s ideas by passing through the drawings similar to a Brainwriting session.

A brainstorm is usually carried out in the beginning of the idea generation, with the goal of producing a large number of ideas with a group of participants.

Starting Point

The starting point of a brainstorm session is a problem statement (one single concrete target).

Expected Outcome

The outcome of a brainstorm session is a large number of ideas.

Individual Brainstorming

While group brainstorming is often more effective at generating ideas than normal group problem solving, several studies have shown that individual brainstorming produces more – and often better – ideas than group brainstorming.

This can occur because groups aren't always strict in following the rules of brainstorming, and bad behaviors creep in. Mostly, though, this happens because people pay so much attention to other people that they don't generate ideas of their own – or they forget these ideas while they wait for their turn to speak. This is called "blocking."

When you brainstorm on your own, you don't have to worry about other people's egos or opinions, and you can be freer and more creative. For example, you might find that an idea you'd hesitate to bring up in a group develops into something special when you explore it on your own.

However, you may not develop ideas as fully when you're on your own, because you don't have the wider experience of other group members to draw on.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Group Brainstorming

Here, you can take advantage of the full experience and creativity of all team members. When one member gets stuck with an idea, another member's creativity and experience can take the idea to the next stage. You can develop ideas in greater depth with group brainstorming than you can with individual brainstorming.

Another advantage of group brainstorming is that it helps everyone feel that they've contributed to the solution, and it reminds people that others have creative ideas to offer. It's also fun, so it can be great for team building!

Group brainstorming can be risky for individuals. Unusual suggestions may appear to lack value at first sight – this is where you need to chair sessions tightly, so that the group doesn't crush these ideas and stifle creativity.

Where possible, participants should come from a wide range of disciplines. This cross-section of experience can make the session more creative. However, don't make the group too big: as with other types of teamwork, groups of five to seven people are usually most effective.

5. DIFFERENT TECHNIQUES FOR EFFECTIVE BRAINSTORMING.

1. Brain Writing The general principle of this technique is to separate idea generation from discussion. The team leader shares the topic with the team, and the team members individually write down their ideas. This helps eliminate anchoring and encourages everyone on the team to share their own ideas. It also gives everyone more time to think over their ideas, which is especially helpful for your introverted participants. This brainstorming technique works best for teams who seem to be greatly influenced by the first ideas presented during a meeting.

2. Figuring Storming Ever considered how someone else might handle the situation? Or what they might say about a particular topic? With figuring storming, you aim to do just that. Think about how someone such as your boss, a famous celebrity, or even the President of the United States might handle the situation. Putting yourself in new shoes can give the team a different perspective and presents the possibility of fresh ideas. This technique works best for teams who find themselves coming across the same ideas for repetitive projects.

3. Online Brainstorming (Brain-netting)

These days, virtual teams are becoming more and more common across all business types. The evolution of email and collaboration tools makes working remotely the norm in some environments. But what happens when the team needs to come together to brainstorm? Sure, ideas can be tossed back and forth through email, but then it becomes difficult to archive those

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

ideas for future reference. Having a central location online where team members can collaborate is crucial for these virtual teams — consider cloud-based document storage or an online collaboration tool.

4. Rapid Ideation Sometimes, time limitations can help generate ideas quickly, because you don't have time to filter or overthink each one. With this technique, the team leader provides context beforehand with information or questions on the topic, budget, deadline, etc. Then, a time limit is set for individuals to write down as many thoughts or ideas around the topic as possible, using any mediums available. People should not worry about filtering their ideas. The great part about this style of brainstorming is that it's completely customizable to meet the needs of the team and project.

5. Round Robin Brainstorming This method begins by having the team gather in a circle. Once the topic is shared, go around the circle one-by-one and have each person offer an idea until everyone has had their turn. Simultaneously, a facilitator records each idea so they can be discussed once the sharing is over. It's very important to not evaluate any ideas until everyone has the opportunity to share. This technique is good when some of your team members have a tendency to stay quiet throughout meetings.

6. Starbursting This form of brainstorming focuses on forming questions rather than answers. Starbursting challenges the team to come up with as many questions as they can about your topic. An easy way to begin a session like this would be to start listing questions that deal with the who, what, where, when, and why. This style assures that all aspects of the project are addressed before any work goes into executing it. It's a good technique for teams who tend to overlook certain aspects of a project and end up rushing to get things done last minute.

Thinking up some good brainstorming questions has the added benefit of giving you an instant backlog of ideas for web content: in case you need a FAQ section for your website or product, simply answer the generated questions!

7. Stepladder Technique Developed in 1992, this style of brainstorming encourages every member in the team to contribute individually before being influenced by everyone else. The session begins with the facilitator sharing the topic or question with the whole team. Once the topic is shared, everyone leaves the room except two members of the team. These two members will then discuss the topic and their ideas. Then, one additional member is added to the group. This new member will contribute their ideas BEFORE the other two discuss theirs. Repeat this cycle until everyone from the original group is in the room. This technique is particularly useful for teams who are easily influenced by only one or two members, leading to groupthink. This also helps encourage the shy folks in the group to share their ideas without feeling intimidated by a room full of people.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

6. TYPES OF INNOVATION

Product Innovation versus Process Innovation

Product innovations are embodied in the outputs of an organization – its goods or services. For example, Honda‟s development of a new hybrid electric vehicle is a product innovation. Process innovations are innovations in the way an organization conducts its business, such as in the techniques of producing or marketing goods of services. Process innovations are often oriented toward improving the effectiveness or efficiency of production by, for example, reducing defect rates or increasing the quantity that may be produced in a given time.

Process innovations have primarily internal focus, require developing new competences and routines. This is true for process innovations that are led primarily by effectiveness. Beside them, companies can introduce process innovations that improve process effectiveness which includes compliance of the process with customer demand, as well as compliance of the process with the strategy, processes between themselves and with other components of a business system. Process innovations can also help product innovations. Product and process innovations can be new to a market or new to a company.

Radical Innovation versus Incremental Innovations:

One of the primary dimensions used to distinguish types of innovation is the continuum between radical versus incremental innovation. A number of definitions have been posed for radical innovation and incremental innovation, but most hinge on the degree to which an innovation represents a departure from existing practices. Thus radicalness might be conceived as the combination of newness and the degree of differentness. A technology could be new to the world, new to an industry, new to a firm, or new merely to an adopting business unit. The introduction of wireless telecommunication products aptly illustrates this – it embodied significantly new technologies that required new manufacturing and service processes. Incremental innovation is at the other end of the spectrum. An incremental innovation might not be particularly new or exceptional; it might have been previously known to the firm or industry, and involve only a minor change from (or adjustment to) existing practices. Incremental innovations have more modest returns, but demand lower risk level, level of efforts and resources and are generally more successful. For example, changing the configuration of a cell phone from one that has an exposed keyboard to one that has a flip cover or offering a new service plan that enable more free weekend minutes would represent incremental innovation.

Competence-Enhancing Innovation versus Competence-Destroying Innovation

Innovations can also be classified as competence enhancing versus competence destroying. An innovation is considered to be competence enhancing from the perspective of a particular firm if it builds on the firm‟s existing knowledge base. For example, each generation of Intel‟s microprocessors (e.g., 286, 386, 486, Pentium, Pentium II, Pentium III,

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Pentium 4) build on the technology underlying the previous generation. Thus, while each generation embodies innovation, these innovation leverage Intel‟s existing competencies, making them more valuable.

An innovation is considered to be competence destroying from the perspective of a particular firm if the technology does not build on the firm‟s existing competencies or renders them obsolete. For example, from the 1600s to the early 1970s, no self respecting mathematician or engineer would have been caught without a slide rule. Slide rules are lightweight devices, often constructed of wood, that use logarithm scales to solve complex mathematical functions.

Architectural Innovation versus Component Innovation

Most products and processes are hierarchically nested systems, meaning that at any unit of analysis, the entity is a system of components, and each of those components is, in turn, a system of finer components, until we reach some point at which the components are elementary particles. For example, a bicycle is a system of components such as a frame, wheels, tires, seat, brakes, and so on. Each of those components is also a system of components: the seat might be a system of components that includes a metal and plastic frame, padding, a nylon cover, and so on.

Though the dimensions described above are useful for exploring key ways that one innovation may differ from another, these dimensions are not independent, nor do they offer a straightforward system for categorizing innovations in a precise and consistent manner. Each of the above dimensions shares relationships with others – for example, architectural innovations are often considered more radical and more competence destroying than component innovations. Furthermore, where an innovation lies on the dimension of competence enhancing versus destroying, architectural versus component or radical versus incremental depends on the time frame and industry context from which it is considered.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT II - PROJECT SELECTION AND EVALUATION PART –A (2 Marks) 1. Write any two main objectives for initiating a project. (Nov/Dec 2016)  To develop new products at a reasonable profit with reduction in the manufacturing cost.  To design or modify the existing product to increase the size of market

2. Mention any evaluation techniques for selecting new products. (Nov/Dec 2016) o Merit number system in which individual items are given a weightage in accordance with their importance and each evaluation grade is given a value. o Check list of all evaluation criteria.

3. What are the principle factors to be considered during project evaluation?(Nov/Dec 2017)  The financial benefits expected to be earned from an investment in the project  The effect of the project upon others within R&D portfolio  The impact of the project, if success, upon the business as a whole

4. What is mean by project and give methods for the evaluation of the same? (Nov/Dec 2017) Project:  Process in which all aspects of a proposed project are explored to examine the relationship between activities, events, durations, and costs. Areas of uncertainty or conflict are identified, and possible alternatives or trade-offs are developed to strike a satisfactory balance.

Methods for the evaluation:  Quantitative Methods  Qualitative method  Mixed method

5. What are the steps in New Product Development?  Idea generation  Idea screening  Concept development and testing  Marketing strategy development  Business analysis  Product development

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Test marketing  Commercialization

6. What are the two sources of new idea generation? New idea generation is the systematic search for new product ideas.  Internal sources refer to the company’s own formal research and development, management and staff, and intrapreneurial programs  External sources refer to sources outside the company such as customers, competitors, distributors, suppliers, and outside design firms

7. What are the major sources of idea inside and outside company? Inside Company - Sales personnel, Marketing personnel, R&D, Production department, Purchase department, Customer service division, Employee suggestion system and Top management executives. Outside Company - Customers, competitive products, foreign products, consultants, advertising agency, Researchers, Distribution channels and Public-unsolicited ideas

8. What is the main purpose of evaluation? o To determine whether each new product idea satisfies the condition of new product policy o To determine how each new product should be handled in normal operation and to prepare the company to handle it.

9. Explain SCAMPER technique. SCAMPER is an acronym for seven thinking techniques that helps to generate new ideas/solutions to untypical problems and come up with groundbreaking new concept to revolutionize the business Substitute, combine, adapt, modify, put to other use, eliminate, reverse or rearrange.

10. What are the three key factors for effective product development?  A high quality new product process  A clear and well communicated new product strategy for the business  Adequate resources for new product

11. What is Project selection?  The act of choosing a project from among competing proposals. Example: Integrating customer and financial database

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

12. How a Project selection model works?  Start with detailed list of firms goal  Create list of project evaluation factors (PEF’s)  Weight every element in PEF list  Compute an overall score for project based on weighted PEF’S  Select project that has the closest alignment with firms goals 13. What do you mean by crowd sourcing? Inviting broad communities of people - customers, employees, independent scientists and researchers, and even the public at large - into the new-product innovation process for idea generation is called crowd sourcing. 14. What do you mean by focus-group interview and its advantages? A small group of interested and potential customers are led through an open, in depth discussion by a group moderator for the generation of new ideas. Advantages:  They help to generate hypotheses in the qualitative stage of new product research  They can provide new stimuli to creative copy writers, product managers, commercial managers etc;  They give direction and guidelines for constructing questionnaires for further new product research  They bridge the gap between marketing management, production management and the end user. 15. What do you mean by problem analysis? Problem analysis is a need assessment technique designed to develop an inventory of consumer problems in a particular product or service category and to serve as a basis for new product or service ideas.

PART –B (16 Marks) 1. Project Selection Project Selection is a process to assess each project idea and select the project with the highest priority. Projects are still just suggestions at this stage, so the selection is often made based on only brief descriptions of the project. As some projects will only be ideas, one may need to write a brief description of each project before conducting the selection process. Benefits: A measure of the positive outcomes of the project. These are often described as "the reasons why you are undertaking the project". The types of benefits of eradication projects include:  Biodiversity  Economic  Social and cultural  Fulfilling commitments made as part of national, regional or international plans and agreements.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Feasibility: A measure of the likelihood of the project being a success, i.e. achieving its objectives. Projects vary greatly in complexity and risk. By considering feasibility when selecting projects it means the easiest projects with the greatest benefits are given priority. Why Do Project Selection?  Often one will have a number of suggested projects but not enough resources, money or time to undertake all of the projects. The ideas for eradication projects may have come from many sources including: the community, funders, local and national governments and Non- Governmental Organizations (NGOs). One will therefore need a way of deciding on a priority order and choosing a project.  If the organization in question has limited experience in conducting eradications then it is recommended to concentrate on a small number of projects, ideally one project at a time, until the people in the organization have developed the skills and experience. It’s important to grow capacity and build up to undertaking multiple projects at any one time. One should do the easy projects first and, only then, work towards the most difficult and rewarding projects. One should use the easy projects to help answer questions/solve issues for the more difficult projects. Also, one should use the best opportunities to learn. When to Do?  Undertake a Project Selection when one has more ideas than the number of projects one can undertake and need to select the project that should be given priority.  Note: If one only has 1 project in hands, it may still be useful to score the project against a set of criteria to identify the strengths and weaknesses of the project. The results may be useful later in the Feasibility Study Stage.

Who Should Be Involved? Agency Management:  Set selection criteria to ensure the selection process aligns with agency strategies.  Selection processes are often run as a management initiative before the implementing Project Manager (PM) is assigned. Stakeholders:  Stakeholder participation at the start of a project creates strong community ownership and support, and increases the chances of a successful outcome.  Stakeholder input should be included at the ideas stage; one should consult widely as one is developing the ideas for projects as the community will be the source of many of the best project ideas.  Stakeholders must be informed of the outcome of the Project Selection Stage. PM:  Involving the PM in the Project Selection process will help build ownership in the project and support a successful project in the long run.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

2. Purpose of the Project

The purpose of the Project is to improve operational efficiency, security, and safety for cross-border travelers and federal agencies at the San Ysidro LPOE. Project goals include: ƒ  Increase vehicle and pedestrian inspection processing capacities at the San Ysidro LPOEƒ  Reduce northbound vehicle and pedestrian queues and wait times to cross the border  Improve the safety of the San Ysidro LPOE for vehicles and pedestrians crossing the border, and for employees at the LPOE  Modernize facilities to accommodate current and future demands and implementation of border security initiatives, such as the Western Hemisphere Travel Initiative (WHTI), the United States Visitor and Immigrant Status Indicator Technology program (US-VISIT), and the Secure Border Initiative (SBI).

Project purpose Project scope Purpose is the reason why something is done Scope is the extent of a given activity or or used; the aim or intention of something. subject that is involved or relevant. Partners discuss questions like: · Why should Partners discuss questions like: · What needs to we do it? · What improvements will the project be changed? · What factors can we influence? · bring compared to the present situation? How can we influence them? Partners should be knowledgeable of the needs, To agree on the scope of the project means to problems, potentials and assets that exist in define the area of intervention: what the project their area, and use them as the basis for will do and what it will not do in order to reach contributing to the definition of a future the result. The starting point is again the

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

improved situation – the project purpose. knowledge that each partner will have about specific needs, problems, potentials and assets The purpose has to be jointly agreed within the that need to be addressed, and of the factors partnership. Without sharing a common that can be influenced in order to make a purpose, partners would lack motivation for change. committing to the project. Defining the project scope will involve A clear understanding of the purpose from the prioritisation of the various ideas. The project beginning will: focus shall be narrowed to a level that is  make it easier to plan resources and realistically achievable. activities  reduce the risks of underperformance or Taking into account the resources available at partner withdrawls during project this stage is also necessary – partnership, time implementation. limitations and budget.

3. Write in detail on the various criteria and measures to be adopted in selection of a project.(NOV/DEC 2016)

Project Selection Criterion #1: Fold a Bad Hand Quitting and quitting fast is often the best project selection practice. In Sun Tzu's Art of War, the best strategy for winning a war is avoiding it in the first place. The next best time to quit is as soon as possible and preferably before sunk costs make the decision to quit a troubled project increasingly complex and difficult. Getting out early has shown to yield a high return on investment (ROI) compared to not quitting.

According to The Project Management Manual published by The Harvard Business Review, studies show early termination of a troubled project can result in a 900% return on investment (ROI). Though quitting is often the better of two evils, it can be hard to know when to make that break. Below is a list of quitting criteria that should, at the very least, alert project managers to proceed with caution or even decline to participate. Make your own list to keep in your back pocket when faced with project selection decision making. Never worry about sounding ridiculous by bringing up basics that others might just assume. Always ask about the elephant in the room.

Project Selection Criterion #2: Assess Value As with risk, value is relative to each organization's unique situation. There are many different ways of assessing value, not all financial, with strategic fit topping the list. A good overview and understanding of the entire organization - its mission, values, goals and core competencies - will make it easier to assess the overall potential value of a project to the organization. Selecting projects that fail to contribute to the achievement of strategic objectives and organizational mission dilute focus and weaken the organization overall.

Project Selection Criterion #3: Know Your Game

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Strategic plans are important to project selection because a well developed strategic plan should make project selection criteria obvious. The lack of a strategic plan, an outdated strategic plan, or a flimsy plan is indicative of organizational stagnation. A strategic plan is like an organization's constitution or game plan. When selecting a project, make sure it reflects the game plan.

Project Selection Criterion #4: An Ace Up Your Sleeve A quick and dirty trick to determining the meaningfulness of a project is answering the question “So what?” about intended project outcomes.iii The more the project aligns with the strategic direction of the organization, the more meaningful. The higher the likelihood of success, the more meaningful.

To illustrate, developing a vaccine for HIV is meaningful; developing a vaccine for HIV that HIV populations cannot afford is not. Size matters as well since the size of a project and the amount of resources required are usually positively correlated. Building the pyramids of Egypt may be meaningful, but the size of the project makes it a high stakes endeavour only suitable to pharaohs and Vegas king pins.

Project Selection Criterion #5: Bet on Core Competencies competency for Red Cross, for example, would be international emergency disaster response. Projects based on core competencies usually achieve outcomes with the best value propositions an organization can offer and, therefore, worthwhile for an organization to map its core competencies and select projects that build on strength. Core competency mapping also serves as an instrument to identify competency gaps and map out desirable core competencies the organization wishes to develop in the future. Project Selection Criterion #6:Capacity Building Capacity building can be thought of as projects that operationalize desirable core competencies, with tangible, quantifiable results. It is the groundwork that builds future success and includes education, training and process innovation.

Project Selection Criterion #7: Black Jack In the context of project selection, the premise of Pareto's 80/20 rule is that 20 percent of all projects can address 80 percent of all threats or opportunities.iv Therefore, choosing the right projects is a proposal in efficiency. Responding fast to threats requiring urgent action, for example, is efficient because it could deter a number of future problems (or threats).

Responding fast to an opportunity is also efficient because first to market are positioned to capture significant market share and, therefore, dominate the market. Other 80/20 examples include projects that meet internal and external constraints and requirements, from airline policy to ISO standards; so constraints compliant projects rise up the priority list. The Millenium Development Goals are another example of a set of solutions that aim to solve a myriad of problems per solution.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Project Selection Criterion #8: Stakeholders Stakeholders come together on projects for differing reasons, each with a desired end result in mind. How control of a project is shared can be important if it has the potential to affect the final outcome, which is a reason to think through the whole project cycle of a proposed project to try to foresee the possible implications of the balance of power.

Knowledge of or experience with past projects in similar scenarios and industries can provide relevant insight. Internal stakeholders play a crucial role as well, where competent management makes all the difference, as does a competent, motivated and talented team. Since most conflicts and information bottlenecks arise out of miscommunication or a lack of communication, a manager with good communication strategies would be a valuable asset to any project and deserves his/her project selection criteria’s weight in gold. Writing about project selection criteria was my response to a threat and opportunity, having found little information on the topic. Some textbooks do a decent though superficial and cursory overview of project selection criteria.

4. Screening ideas for new products (evaluation techniques) (NOV/DEC 2016)

Idea generation is based on the interrelationships between: Consumer Product Company

The aim in idea screening is to retain the successful ideas and eliminate the ideas which could be failures - much easier to write than to carry out in practice! If in doubt, keep the idea until more information is obtained. Idea screening can be based on tacit knowledge of the individual and of the company, with little new explicit information sought in or outside the company. But the aim in successive screenings is to build up the necessary information for the decisions to be made in a quantitative, objective way. Screening is both a reiterative and a progressive process, so there is a need to relate to the first screening even in the last screening in case the product description has changed and it no longer fits the screening criteria first set out. The components in idea screening are product idea descriptions or concepts, screening factors and screening techniques. There is a need to have product idea descriptions that everyone involved in screening understands and is evaluating in the same way. The choice of screening factors is of course fundamental - obviously the direction of choice is strongly influenced by the criteria. Lastly the people who do the screening, and the techniques they use, affect the screening results. Product idea descriptions

 These must be clear and concise. They include:  a clear description of the product;  the use of the product;  the target market segment;  the relationship to the company's present products;

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 the relationship to competing products. The initial description is usually kept broad so that ideas on the product, the market and the technology can be continually studied, but there is a need to focus the idea in a certain direction so that the people involved are not taking off in too many directions at once. As the product idea builds from a product idea description, to a brief product idea concept, to the final product concept, to the product design specifications and to the product specifications, the focus is being narrowed all the time. One product idea description for the liqueur ice-cream was: ‘a line of plain based icecreams with little jellies containing concentrated liqueurs, aimed as a gift to be taken to dinner parties, sold through higher-class supermarkets’ Screening factors The strong screening factors, with which the product idea must agree, arise from the project aim and the project constraints. The overall aims of the company always take precedence over other factors. No matter how brilliant a product idea is in isolation, it is rejected if it does not fit with the company's business strategy, in particular the product strategy. There may be an outstanding product idea which may change the direction of the company's business strategy, but it has to be taken from the project ideas and directed back into the top management area. This product idea has to be viewed in its scale and suitability for the company, and decisions within the company must be taken at top management level. The constraints identified at the beginning of the project are also important screening factors. A product may be dropped for many reasons: it does not meet the food regulations; there is not sufficient money to develop or to produce it; the managing director does not like it! The factors used in screening should be as objective as possible, but sometimes subjective decisions are made.

Factors for product screening Marketing factors: o Potential market size o Compatibility of market image with company's product lines o Relationship to competing products o Compatibility with existing or specified market channels o Access to suitable physical distribution systems o Fits into an acceptable pricing structure o Relationship to promotional methods and resources o Marketing resources needed to produce success Production factors:  Compatibility with existing product lines  Availability of processing equipment  Availability of raw materials and ingredients  Availability of technical skills to produce the product  Availability of production time  Agreement with any legal requirement Development factors:  Knowledge needed for development

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Available knowledge and skills  Available time and human resources  Development funds needed and available  Compatibility with existing strengths  Development difficulties and risks of failure Financial factors:  Compatibility of development costs with financial resources  Capital investment resources needed and available  Finance needed and available for market launch and ongoing product support  Profits or returns on investment required

5. Product ideas screening procedures

Screening is usually done in stages. Simple methods may be used in the early stages with more detailed screening undertaken as the number of products is reduced and more technical, marketing and financial information becomes available. As screening proceeds, the number of product ideas decrease, the amount of information increases, the number of screening factors increase and the accuracy improves. A possible screening sequence could be: (25 ideas) Pass/fail screening using aim and constraints

(10 ideas) Checklist screening using market suitability and technical possibility

Economic evaluation using predicted market size, prices and production costs (1 idea)

First the ideas are studied to see if they are compatible with the aim, constraints and any other crucial factors in a sequential, pass/fail screening in which the product idea is considered against each crucial factor in sequence, and a simple pass/fail decision is made. If they fail, they are dropped from further consideration. The remaining ideas are scored against each other on the important factors in a checklist screening, the scores added to give a total score and the lowest scoring ideas are dropped. The scales used can be 0 - 5 or 0 - 10 depending on the accuracy of the knowledge used. Probability screening is also used; instead of giving a single score on a factor for the product idea, the probabilities of achieving the different scores on the scale are predicted. At this point, detailed information on prices, production and distribution costs, market potentials and investment costs are collected and an economic evaluation made to select the product which has the predicted highest sales revenue, profit, rate of return on investment or some other financial criterion. This economic evaluation is repeated at different stages of the

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

project, together with a check on all the factors used in earlier screenings. Minor factors are included on a checklist at the end of the product idea screening to see that they are being met in the final product concept. The packaging and the promotion can be screened on these factors as well as the products.

The advantages of a systematic screening approach are that it provides: • uniform method of product idea evaluation; • point of reference throughout the project; • systematic approach; • focus on business strategy and top management decisions. • 6. Product life cycle stages:

The product life cycle has 4 very clearly defined stages, each with its own characteristics that mean different things for business that are trying to manage the life cycle of their particular products.

Introduction Stage – This stage of the cycle could be the most expensive for a company launching a new product. The size of the market for the product is small, which means sales are low, although they will be increasing. On the other hand, the cost of things like research and development, consumer testing, and the marketing needed to launch the product can be very high, especially if it’s a competitive sector. Growth Stage – The growth stage is typically characterized by a strong growth in sales and profits, and because the company can start to benefit from economies of scale in production, the profit margins, as well as the overall amount of profit, will increase. This makes it possible for businesses to invest more money in the promotional activity to maximize the potential of this growth stage. Maturity Stage – During the maturity stage, the product is established and the aim for the manufacturer is now to maintain the market share they have built up. This is probably the most competitive time for most products and businesses need to invest wisely in any

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

marketing they undertake. They also need to consider any product modifications or improvements to the production process which might give them a competitive advantage. Decline Stage – Eventually, the market for a product will start to shrink, and this is what’s known as the decline stage. This shrinkage could be due to the market becoming saturated (i.e. all the customers who will buy the product have already purchased it), or because the consumers are switching to a different type of product. While this decline may be inevitable, it may still be possible for companies to make some profit by switching to less-expensive production methods and cheaper markets. Example: It’s possible to provide examples of various products to illustrate the different stages of the product life cycle more clearly. Here is the example of watching recorded television and the various stages of each method: 1. Introduction – 3D TVs 2. Growth – Blueray discs/DVR 3. Maturity – DVD 4. Decline – Video cassette

The idea of the product life cycle has been around for some time, and it is an important principle manufacturers need to understand in order to make a profit and stay in business. 7. Idea Generation Techniques:  Idea Generation is the Systematic Search for New Product Ideas Obtained Internally or Externally  Idea generation is a process in which creative thinking is used to produce large amount of ideas for new products.  It is very important that all ideas no matter how ludicrous or extreme may sound, to be gathered.

Characteristics of a good Idea Generation Process 1. should be on - going 2. have a specific purpose 3. involve the whole of the company 4. use a variety of methods 5. have one person in charge 6. not evaluate the gathered ideas 7. one should not criticize the ideas of others 8. should be freewheeling and generate as many ideas as possible

Sources for Idea Generation

• Customer • Scientific research

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

• Competitors • Miscellaneous sources • dealers and representatives • Top management i) Customer-defined needs and wants i. Direct customer surveys. to solicit feedback and to obtain information in a directed manner. ii. Focused group discussions. multiple-person input and prompted discussion to generate ideas. iii. Suggestion systems and communication from customers. unsolicited feedback from users and relatively anonymous input from stakeholders of the company. iv. Customer complaints. an excellent feedback system for those who truly listen to the customer complaint for what it actually is and take the additional step to correct it through a product implementation.

ii) Scientific research This method generally occurs as a result of a scientific breakthrough of totally new technology or, more often, from applied research. Scientific research is usually responsible for breakthrough products or processes.

iii) Competitors Watch what your competitors are doing in the way of new product development and introduction. They are a yardstick measurement of marketplace activity.

iv) Company dealers and representatives These sales channels can feed back customer ideas and also generate ideas of their own.

However, this medium must be evaluated in light of any individual agendas that may exist. The sales function is market-share driven. This is not necessarily the best source of new product ideas because feedback may be slanted to make their sales job easier, rather than toward what may be in the best interest of the firm in total.

v)Top management This can be a valuable source or a destructive influence in product development. Top management has the largest bat with which to drive a new product development idea through the organization.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

A program can be initiated and implemented in short order and with amazing results. However, less-than-constructive results can occur in cases in which supporting data, primary customer feedback, and due diligence are not practiced in favor of exercising executive privilege vi) Miscellaneous sources Some of the miscellaneous sources are: Inventors patent counsels university laboratories government agencies industrial consultants marketing research firms industry journals and periodicals

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT III - NEW PRODUCT DEVELOPMENT PART –A (2 Marks) 1. Expand IPR. What do you mean by that term? (Nov/Dec 2016) Intellectual Property Rights. Intellectual property rights are the right given to persons over the creations of their minds. They usually give the creator an exclusive right over the use of his/her creation for a certain period of time. 2. Define the term patent.(Nov/Dec 2016/2017) A patent is an exclusive right granted by a country to the owner of an invention to stop others from making, using, selling, importing or offering for sale his paten invention. 3. What is an Intellectual Property? (Nov/Dec 2017) Intellectual property refers to legally protectable ideas, concepts, names, designs and processes associated with a new product. The intellectual property is classified into seven categories i.e. 1) Patent 2) Industrial Design 3) Trade Marks 4) Copyright 5) Geographical Indication 6) Lay out designs of integrated circuits 7) Protection of undisclosed information/Trade Secret according to TRIP’s agreements. 4. What is called copyright?  Copyright is a form of protection provided to the authors of "original works of authorship" including literary, dramatic, musical, artistic, and certain other intellectual works, both published and unpublished.  The copyright protects the form of expression rather than the subject matter of the writing. 5. What is a trademark and service mark?  A trademark is a word, name, symbol, or device that is used in trade with goods to indicate the source of the goods and to distinguish them from the goods of others.  A service mark is the same as a trademark except that it identifies and distinguishes the source of a service rather than a product. The terms trademark are commonly used to refer to both trademarks and service marks. 6. What is called trade secret?  A trade secret is information used in trade or business that offers its owner a competitive advantage and that can be kept secret.  A trade secret is not the right conferred by the government but is the result of vigilance on the part of an organization in preventing the dissemination of its proprietary information. Ex: The formula for the beverage Coca-Cola.

7. What are the types of patent?

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

1) Utility patents may be granted to anyone who invents or discovers any new and useful process, machine, article of manufacture, or composition of matter, or any new and useful improvement 2) Design patents may be granted to anyone who invents a new, original, and ornamental design for an article of manufacture 3) Plant patents may be granted to anyone who invents or discovers and asexually reproduces any distinct and new variety of plant. 8. Mention the seven steps for pursuing a patent.  Formulate a strategy and plan  Study prior invention  Outline claims  Write the description of the invention  Refine claims  Pursue application  Reflect on result and process 9. What is Provisional and Complete specification?  A provisional specification does not contain claims and is filed in cases when the invention is not complete or is at the preliminary stage at the time of filing the application and requires further development.  A complete specification is a techno-legal document which fully and completely describes the invention in such a clear and succinct manner. 10. Define Patent law. Patent law is the branch of intellectual property law that deals with new inventions. Traditional patents protect tangible scientific inventions, such as circuit boards, car engines, heating coils, or zippers. However, over time patents have been used to protect a broader variety of inventions such as coding algorithms, business practices, or genetically modified organisms. 11. What are the advantages and disadvantages of patent application? Advantages: It requires less cost and effort to prepare and file than the regular patent application, but it preserves all options to pursue further patent filings for a period of one year. Disadvantages: It delays the eventual issuance of the patent by up to one year, as the process of examining the patent application does not begin until a regular patent application is filed. The preliminary nature of a provisional patent application may lead to the use of less care in preparing the description of the invention. 12. What is IPC?

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 It is a system for classifying technical subject matter. Provides for a hierarchical system of language independent symbols for the classification of patents and utility models according to the different areas of technology to which they pertain.  IPC is specially adapted for needs of patent documentation  IPC knows two categories of information that is worth classifying Invention information: Technical information worth granting a patent Additional information: supplementary non invention information 13. What is PCT?  The PCT is an international treaty with more than 145 Contracting States.  The PCT makes it possible to seek patent protection for an invention simultaneously in a large number of countries by filing a single international patent application instead of filing several separate national or regional patent applications.  The granting of patents remains under the control of the national or regional patent Offices in what is called the national phase. 14. How will you classify new products?  New to the world products – Entirely new  New product lines (New to the firm) – New market entry  Additions to existing lines – supplements  Improvements and revisions to existing products – Additional value  Cost reductions – For same performance  Repositioning – Discovery of new applications for existing product. 15. What is state-of-art search and when it is needed?  The state-of-art search is a comprehensive search of all available patent and non patent literature.  Some scientists and product development teams conduct state-of-art searches to determine the direction of research activities.  Business development teams conduct them prior to the marketing of a technology or to assist them with licensing. 16. What is pre-grant and post-grant opposition?  Any person can file opposition any time after the application has been published, but before the patent is granted. This is called pre-grant opposition.  Any person can file opposition within a period of 12 months after the publication of the grant of a patent. This is post-grant opposition. 17. What is priority date? The date of patent refers to the date of filing the application of patent. The term of the patent is counted from this date. Priority date is the date of first filing allotted by the patent office to an application.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT III - NEW PRODUCT DEVELOPMENT PART –B (16 Marks) 1. NEW PRODUCT DEVELOPMENT

The development of a new product (hereonto New product development – NPD) by a company begins when the need to create a new product appears either due to the emergence of a new technology, or the appearance of a competitive product or a change in the existing legal framework and is completed with the final introduction of the product in the market A company or an enterprise may proceed to a new product development whether that company or enterprise is part of a rapidly changing market or not.

the relationship between a new product development and the future evolution of the company or enterprise: “Where does the company stand today and where should it be a decade later?”. For the proper development of a new product, an enterprise should follow the New Product Development Model. It is important for that enterprise to use a questionnaire - check list in order to obtain an initial estimate for the need to develop a new product, the way to develop it and the extent to which this development is feasible.

Product Development Model i) Creation of ideas ii) Evaluation of ideas – Selection of final idea iii) Product development iv) Manufacture of prototype v) Product promotion i) Creation of Ideas: Prior to the development of a new product, it is necessary to have some initial ideas for new products, one of which will become the new product. The creation of those ideas forms the basis for the proper development of a new product.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

a) Ideas from customers or users of company products

Ideas for new products can quite easily ensue from the very customers of the company or from users of previous company products. In this case, the golden rule is for the company to offer its customers what they want and not what the company thinks they want. Gathering such ideas is very easy with the use of questionnaires either upon the purchase of a product b) Ideas deriving from market research

Market research is another good source of ideas for new products. The successful development of a new product requires very good knowledge of customers and their needs and, more generally, of the market to which the new product is addressed. Thus, all the more companies or enterprises develop new products based on the orientation of the market (Market-orientation NPD firms) c) Ideas deriving from competitors

Expos, shows and seminars of rival companies may be a very good source for the creation of ideas, because through these events a company may become informed on market innovations, on technological advances, as well as on possible improvements on existing products – competitive or not. d) Ideas deriving from company employees or dealers

Company employees and dealers may prove valuable to the creation of ideas, when that company is operating on a market through them. They are the ones who are in constant contact with the public – customers or not – from whom they can draw information regarding company products. ii) Evaluation of ideas – Selection of final idea a) Assessing ideas based on company objectives

The assessment of new product ideas based on the objectives of a specific enterprise and its strategic course in any market may enhance its objectives, also allowing it to select the optimum idea for the development of a new product in accordance with the future course of the enterprise as set through its strategic planning. b) Assessing ideas based on sales and company profit

Each new product to be developed or each new idea to be made into a new product should be capable of producing a minimum percentage of sales, and consequently profit, for the enterprise. Prior to the development of a new idea on a new product, many large enterprises set minimum sales goals amounting to a 60% profit on the cost of the product development. c) Assessing ideas based on big customers and users

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

An important issue that many companies, big or small, tend to overlook, is the assessment of new ideas, which could develop into new products, deriving from big customers and users.

iii) Product development

a) Research and development For the development of a new product, in most cases it is necessary to use research and development departments within the company. The aim of these departments is to perform research on new technological and non-technological applications and to further develop them into products. b) Environmental restrictions The enactment of strict environmental regulations and consumer awareness as to the protection of the environment have led many companies to the development of new products bearing in mind the protection of the environment. However, such a tactic bears consequences on the way these products are developed, since it concerns their production, consumption and final disposal as refuse. Either way, each change as to the way these new products are produced in order to be environmentally friendly is very costly. The high cost of those changes gave birth to the new product development tactic known as “Green design”. iv) Manufacture of prototype a) Prototyping

The rapid development of models will be successful only if the following apply, and only then: o Each prototype should provide answers to specific questions. o The prototype should be as detailed and complex as necessary to provide the required information. o If there are multiple ideas, then it is necessary that multiple prototypes be developed. o Decisions should be made during the development of the prototype and one should not await its final form. o The swifter the prototype development, the swifter the overall development of the new product.

b) Market testing Each new product should be subjected to a limited or extended market testing, so as to record the reactions of the market and thus perform the final changes or improvements on

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

the product or even on the way it is developed prior to its full introduction in the specific market. v) Product promotion a)Final strategic plan and marketing of the product The final strategic plan for the development of a product before it enters the market is probably the most important product development step, since it places the emphasis on the details regarding the presentation, use, etc. of the new product in the market. b) Introduction of the product in the market  Tests and packaging  Market selection  Distribution and delivery

2) WHAT ARE THE TYPES AND USES OF PATENT? Patents are one of the oldest forms of intellectual property protection. The basic aim of a patent system is to encourage economic and technological development by rewarding individual creativity and/or intellectual. A patent under the act is a grant from the government to inventors, for a limited period of time, the exclusive right to make, use, exercise, and vend the invention. As per Trade Related Intellectual Property Rights (TRIPS), Article 33, the periods of patent is 20 years from the date of filing of the application for a patent. At the end of patent period, the government publishes the invention and it becomes part of the public domain. Types of Patents: o Utility Patents o Design Patents o Plant Patents 1. Utility Patents:  Patents granted for new products, processes, machines, methods of manufacturing, and

composition of matter come under the category of utility patents. This is the most common patents sought by the inventors. It is granted for 17 years. The utility patents exclude most of botanical creations related to plant and agricultural use.

2. Design Patents:  Design Patents are granted for any new or original ornamental design for an article of manufacture. Examples are shoe companies such as Reebok and Nike that have become

more interested in design patents as a means of protecting their ornamental designs. What

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

is the most important element in the design patent is that it protects the appearance (say,

design) of the article, not the article itself.  For example, dozens of bicycle manufacturers manufacture their bicycles for exercise and fitness. These bicycles use similar principles of dynamic tension. Nonetheless, the bicycle

manufacturers design their bicycles so that these appear different and unique.  By obtaining design patents, they differentiate their bicycles and cycle market reaches from cloning manufacturers that might replicate bicycles. Here, it is important to mention

that merely having the idea of cycling for exercise and fitness is not patentable. Compared to utility patent design patent has a shorter life for 3.5 or 7 years. 3. Plant Patent:  Plant Patent is granted for any new variety of plant that has been asexually reproduced by

an inventor. The new plants may be patented only when the inventor satisfies the patent office that the new plant did not exist in nature or in an uncultivated state. Like utility patent, a plant patent provides the protection for 17 years.

3) WRITE IN DETAIL ABOUT PATENT SEARCH?

Patent search is not only prerequisite step in patenting procedure but also essential work in conjunction with much business activity, including research, manufacturing,

marketing, etc. Patent search is to search and analyze relevant patents in product

development step or prior to patent application process so that you can make sure the patentability of your invention and get current technology information and future trend of specific technology area. Also, it helps you to avoid a duplicated research and to invest

your money to safe market having no legal problems related to patent. A variety of people conduct patent searches, such as inventors, historians, lawyers, students, educators, government agencies, and engineers. The reasons to search patents are equally varied:

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Patentability: Conduct a preliminary patent search to assess novelty of an invention.

Research and Development: Evaluate a technology, develop new -- or improve upon existing -- products and processes.

Technical: Solve specific problems, locate sources of expertise, and identify alternate technology.

Economic: Survey markets, monitor and forecast activities of competitors or industries.

Financial: Avoid duplicating costly research; judge an alleged innovation prior to venturing capital.

Legal: Conduct infringement or opposition proceedings; identify licensing opportunities. · Historical: Study a time period, the history of technology, or social changes.

Educational: Research thesis or science projects, pursue scientific academic programs and studies, and teach inventive and creative thinking skills.

Marketing: Compile mailing lists and databases; locate the addresses of inventors or manufacturers.

Genealogy: Research and document family ancestors and accomplishments.

The Kind of Patent Search

Theme Search - Theme searches provide the overview of patents related to your field of interest. These searches are helpful to detect the recent trend of your technology area and to establish your R&D direction Patentability Search - Patentability search is the first step of patenting process. A patentability search surveys patents filed in each national intellectual property office to check whether there exists inventions similar to yours Infringement Search - Infringement search is to check whether patents which can be infringed by your product launched newly in a certain country exist or not in that country. Invalidity Search - When you intend to make some claims of a particular patent invalid, the invalid search can provide some prior art references that disclose claims that are infringed by the subject disclosure. Family patent / Legal status search - Patent family search provide a list of all countries in which a particular patent was filed.

Process of Patent Search Purpose of search

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Scope of search Selection of keywords Preparation of search queries Searching and Reviewing Data Extraction 4) DETAIL NOTE ON INTELLECTUAL PROPERTY RIGHTS(IPR)

Intellectual property Intellectual property is an intangible creation of the human mind, usually expressed or translated into a tangible form that is assigned certain rights of property. Examples of intellectual property include an author's copyright on a book or article, a distinctive logo design representing a soft drink company and its products, unique design elements of a web site, or a patent on the process to manufacture chewing gum.

Intellectual Property Rights Intellectual property rights (IPR) can be defined as the rights given to people over the creation of their minds. They usually give the creator an exclusive right over the use of his/her creations for a certain period of time. Categories of Intellectual Property One can broadly classify the various forms of IPRs into two categories:  IPRs that stimulate inventive and creative activities (patents, utility models, industrial designs, copyright, plant breeders’ rights and layout designs for integrated circuits) and  IPRs that offer information to consumers (trademarks and geographical indications).

IPRs in both categories seek to address certain failures of private markets to provide for an efficient allocation of resources IP is divided into two categories for ease of understanding: 1. Industrial Property 2. Copyright Industrial property, which includes inventions (patents), trademarks, industrial designs, and geographic indications of source. Copyright, which includes literary and artistic works such as novels, poems and plays, films, musical works, artistic works such as drawings, paintings, photographs and sculptures, and architectural designs. Rights related to copyright include those of performing artists in their performances, producers of phonograms in their recordings, and those of broadcasters in their radio and television programs Types of Intellectual Property Rights Patents - A patent protects an invention. It gives the holder an exclusive right to prevent others from selling, making and using the patented invention for a certain period (typically 20 years from filing date)

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Copyrights - Copyright protects the expression of literary or artistic work. Protection arises automatically giving the holder the exclusive right to control reproduction or adaptation Trademarks - A trademark is a distinctive sign which is used to distinguish the products or services of one business from others. Trademarks are often closely linked to brands. Industrial designs - Protects the form of outward appearance or aesthetic style of an object. Does not protect functionality or unseen (internal) design elements. Data Base - Database right prevents copying of substantial parts of a database. The protection is not over the form of expression of information but of the information itself, but in many other aspects database right is similar to copyright. Trade secret - A trade secret is a formula, practice, process, design or compilation of information used by a business to obtain an advantage over competitors. Trade secrets are by definition not disclosed to the world at large.

5. PATENT LAWS: A patent does not refer to a right to practice or use an invention, but rather, the right to exclude others from using, selling, making, offering for sale, or importing the patented invention. Once patented, the underlying invention will be protected from use, sale, production, or importing for the term of the patent, which is typically 20 years from the filing date. o Constitution of the United States gives Congress the power to enact laws relating to patents, in Article I, section 8, which reads “Congress shall have power . . . to promote the progress of science and useful arts, by securing for limited times to authors and inventors the exclusive right to their respective writings and discoveries" o Specifies the subject matter for which a patent may be obtained and the conditions for patentability o Establishes the Patent and Trademark Office (PTO) to administer the law relating to the granting of patents, and contains various other provisions relating to patents.

Terms to Know Application: The collection of documents which must be filed at the U.S. Patent and Trademark Office (USPTO) in order to obtain a patent. Agent: Someone who is not an attorney but who is authorized to file patent applications on behalf of inventors. Claims: The section of the patent application that defines the new and nonobvious part of the invention, and the part of the invention which can later be protected. Counterpart: A patent application before the USPTO concerning an invention that is already patented in another country. Typically, the same person files both patent applications.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Infringement: Making or selling a patented device without license from the patent owner. Prior Art: The state of the industry before the patent was filed. Things that are considered prior art are not eligible for patent protection because they are not new. Patent Prosecution: The process of applying for and receiving a patent. Patent Litigation: The process of defending a patent against infringement. Characteristics of Patent Law: All patents, according to patent law, are forms of exclusionary rights; this however, does not give the holder of the patent the justified right to exploit the patent. For instance, the majority of inventions are improvements of prior inventions that may be covered by an existing patent. The grant and enforcement of a patent will be governed by national laws and international treaties, where those agreements have been given effect in national patent law. As a result of these characteristics, patent law is territorial in nature. In most instances, a country will form a patent office with responsibility in regards to operating that nation’s patent system, within alignment with its relevant patent laws. The particular patent office will typically have responsibility for the grant of patents; infringement issues are cases heard by the national court system. In most nations, both individuals and corporate entities may apply for a patent; however, in the United States, only the inventor of the underlying creation may apply for a patent. Recent patent law changes 1. First to file application has priority

2. Novelty based on filing, rather than invention, date

3. Good faith use or sale of invention before filing date

4. Application open to public 18 months after filing

5. Use between application and issue requires royalty

6. Utility patent term of 20 years from filing date

7. Design patent term of 14 years from issue date

6. DESCRIBE THE BACKGROUND, MAIN AGREEMENTS AND OBJECTIVES OF WTO. WTO is the acronym for World Trade Organization. The WTO came into being in 1995 and was created after the culmination of long intense negotiations which took place under the auspices of the General Agreement on Tariffs and Trade (GATT). Objectives of W.T.O 1. Enhancing the standard of living and income, promoting full employment, expanding production, trade and optimum utilization of world’s resources. 2. Introducing sustainable development, a concept which envisages that development and environment can go together.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

3. Taking positive steps to ensure that developing countries, especially the least developed ones, secure a better share in world trade

Functions of W.T.O The essential functions of W.T.O are as follows: 1. Administering and implementing the multilateral and plurilateral trade agreements. Providing the framework for the implementation, administration and operation of plurilateral trade agreements. 2. To provide symposium for dialogues among members nations regarding multilateral trade relations in matters delineated in the agreements. 3. Administering the understanding on rules and procedures governing the settlement of disputes. 4. Seeking to resolve trade disputes. 5. Overseeing national trade policies. 6. Administering the trade review-mechanism in relation to international trade. 7. Cooperating with international institutions such as IMF and IBRD and its affiliated agencies involved in global policy making. WTO Agreements The WTO’s rule and the agreements are the result of negotiations between the members. The current sets were the outcome to the 1986-93 Uruguay Round negotiations which included a major revision of the original General Agreement on Tariffs and Trade (GATI) GATT is now the WTO’s principal rule-book for trade in goods. The Uruguay Round also created new rules for dealing with trade in services, relevant aspects of intellectual property, dispute settlement and trade policy reviews. The complete set runs to some 30,000 pages consisting of about 30 agreements and separate commitments (called schedules) made by individual members in specific areas such as, lower customs duty rates and services market-opening. The system also gives developing countries some flexibility in implementing their commitments. (a) Goods It all began with trade in goods. From 1947 to 1994, GATT was the forum for negotiating lower customs duty rates and other trade barriers; the text of the General Agreement spelt out important, rules, particularly non-discriminations since 1995, the updated GATT has become the WTO s umbrella agreement for trade in goods. c) Services

Banks, insurance firms, telecommunication companies, tour operators, hotel chains and transport companies looking to do business abroad can now enjoy the same principles of free and fair that originally only applied to trade in goods. d) Intellectual Property The WTO’s intellectual property agreement amounts to rules for trade and investment in ideas and creativity. The rules state how copyrights, patents, trademarks, geographical

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

names used to identify products, industrial designs, integrated circuit layout designs and undisclosed information such as trade secrets “intellectual property” should be protected when trade is involved. e) Dispute Settlement The WTO’s procedure for resolving trade quarrels under the Dispute Settlement Understanding is vital for enforcing the rules and therefore, for ensuring that trade flows smoothly.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT IV - NEW PRODUCT PLANNING PART A 1. What are the major steps have to be implemented for market research? (Nov/Dec2016) The stages are 1) Defining the problem 2) Planning a research design 3) Planning a sample 4) Collecting the data 5) Analyzing the data 6) Formulating the conclusions and preparing the report.

2. What do you mean by prototype? (Nov/Dec 2016)  A prototype is an approximation of the product along one or more dimensions of interest. It is a draft version of a product that allows you to explore your ideas and show the intension behind a feature or the overall design concept to users before investing time and money into development.  Prototyping is the process of developing such an approximation of the product.

3. Explain the planning process in prototyping. Step 1: Define the purpose of the prototype Step 2: Establish the level of approximation of the prototype. Step 3: Outline an experimental plan Step 4: Create a schedule for procurement, construction and testing.

4. What is the Difference between a prototype and a model? Prototype Model

Is fully functional, but not fault-proof. Not necessarily functional (don't need to work).

Is an actual version of the intended product. Can be to any scale (usually smaller but can also be of the original size or bigger).

Used for performance evaluation and further Used for Display or/and [Visual] improvement of product. Demonstration of product.

Contains complete interior and exterior. May consist of only the exterior of the object/product it replicates.

5. What are characteristic features required for designing prototype product? (Nov/Dec 2017) o The functional framework is clear and reasonable

o The functional process is clear and complete

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

o Reasonable color application and interaction design

o Simple, standardized, and consistent text descriptions

o Display the page flow

6. State the advantages and disadvantages of prototypes.  Advantages: Test various design features, verify design functionality, review initial product shapes or branding images, Elicit feedback from customers or early adopters, use the prototype as a test-bed for developing additional features, identify issues as early as possible within the development stage and before going to production, provides a physical model for company stakeholders to review and obtain a greater understanding of the product.  Disadvantages: Users may be unfamiliar with the techniques; prototype may be used as a product if it’s too good.

7. Define new product. (Nov/Dec 2017) New products are goods and services that differ significantly in their characteristics or intended uses from products previously produced by the firm.

8. What do you mean by marketing research and goal of marketing research?  Marketing research is the systematic design, collection, analysis and reporting of the data and findings pertaining to the marketing of goods and services.  To provide the facts and directions that the managers need to make important marketing decisions, to identify viable market opportunities, to reduce uncertainity and to make better coordination of marketing activities

9. What is the need for marketing research in companies?  Make better marketing decisions  Understand consumers and the market place  Find out what went wrong and what are going to be wrong

10. Mention any four benefits of marketing research.  Assists in better understanding of market opportunities  Determine the feasibility of a particular marketing strategy  Helps firms to stay in touch with customers changing attitudes and purchase patterns  Improves marketer ability to make decisions

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

11. What are the various methods for consumer-goods and business-goods test marketing?  Consumer-goods: Sales-wave research, Stimulated test marketing and controlled test marketing  Business-goods: Alpha testing, Beta testing and Trade shows.

12. How do quality control and quality assurance differ?  Quality assurance is the system of administrative procedures, set up to ensure that effective quality control on the production line can be carried out. This includes the training of staff, so that they know how to recognize standard work/products.  Quality control is carrying out regular checks on the production line, as a product is manufactured. Substandard components/products are rejected, ensuring that only product of the correct standard are distributed to the customer/retailer.

13. What are the various approaches to test marketing? There are three basic approaches to carry out test marketing: 1) Sampling for replication 2) Experimentation 3) Behavioral model based approach

14. Differentiate exploratory and conclusive research Exploratory Conclusive

Objectives To provide insights, understandings Test hypothesis, examine relationships

Characteristics Information needed is loosely defined. Information needed is clearly defined. Research process is formal and structured. Research process is unstructured Sample is large and representative Data analysis is quantitative Sample is small and no representative.

Analysis of data is qualitative Findings Tentative Conclusive

Outcomes Followed by conclusive research Finding input into decision making

15. Mention the benefits of ISO: 9000.  It is an internationally accepted series of quality system standards and paves the way for total quality management  It reduces the need for inspection by the buyers.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 It helps in achieving consistency, economy and cost effectiveness through standardization of operations.  The ISO: 9000 certification to any company is a source of motivation to its employees. The employees feel proud in achieving excellence.

16. Product planning and development process. Once ideas emerge and are analyzed through the opportunity analysis plan, they will need further development and refinement. This refining process the product planning and development process is divided into five major stages:  idea stage,  concept stage,  product development stage,  test marketing stage, and  Commercialization. 17. What are the four important criteria to be weighed before any product venture?  Production criteria  Market criteria  Financial criteria  Environmental criteria 18. Need and purpose of research.  Extension of knowledge  Bring to light information that might never be discovered during the ordinary course of life  Establish generalizations and general laws which contributes to theory building  Verify and test the existing facts and theories  Initiate, formulate, deflect, and Analyze interrelationships between variables and to derive causal explanations

PART B

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

1. What are the steps involved in new product development process.(Nov/Dec 2017) The NPD process consists of the activities carried out by firms when developing and launching new products. A new product that is introduced on the market evolves over a sequence of stages, beginning with an initial product concept or idea that is evaluated, developed, tested and launched on the market.

The NPD process differs from industry to industry and from firm to firm. Indeed it should be adapted to each firm in order to meet specific company resources and needs. This widely recognized model appears to encompass all of the basic stages of models found in the literature. It is based on extensive surveys, in depth interviews, and case studies and, as such, appears to be a fairly good representation of prevailing practices in industry.

New Product Strategy: Links the NPD process to company objectives and provides focus for idea/concept generation and guidelines for establishing screening criteria. Idea generation: The first step of product development is Idea Generation that is identification of new products required to be developed considering consumer needs and demands. Idea generation is done through research of market sources like consumer liking, disliking, and competitor policies. Various methods are available for idea generation like - Brain Storming, Delphi Method, or Focus Group. Screening: Comprises of an initial analysis to determine which ideas are pertinent and merit more detailed study. The second step in the process of product development is Idea Screening that is selecting the best idea among the ideas generated at the first step. As the resources are limited, so all the ideas are not converted to products. Most promising idea is kept for the next stage. Business Analysis: Further evaluates the ideas on the basis of quantitative factors, such as profits, Return-on-investment (ROI), and sales volume. At this step business analysis for the new product is

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

done. Business analysis includes - estimation of sales, frequency of purchases, nature of business, production and distribution related costs and expenses, and estimation of profit. Development: At this step the selected idea is moved into development process. For the selected idea different product concepts are developed. Out of several product concepts the most suitable concept is selected and introduced to a focus group of customers to understand their reaction. For example - in auto expos different concept cars are presented, these models are not the actual product, they are just to describe the concept say electric, hybrid, sport, fuel efficient, environment friendly, etc. Testing: Conducts commercial experiments necessary to verify earlier business judgments. Now the product is ready to be launched in market with brand name, packaging, and pricing. Initially the product is launched in a test market. Before full scale launching the product is exposed to a carefully chosen sample of the population, called test market. If the product is found acceptable in test market the product is ready to be launched in target market. Commercialization: Here the product is launched across target market with a proper market strategy and plan. This is called commercialization phase of product development. New products are replacing existing products on a regular basis. The rate at which new products are appearing on the market is growing at an exponential rate. The reasons for this are many and can include one or more of the following:  Create a differential advantage (product differentiation)  Support continued growth for the manufacturer  Capitalize on technological breakthroughs  Response to changing demographics

2. How the newer products are finally introduced in the market? Explain (Nov/Dec 2017)

Established markets generate intense competition during which new and innovative marketing strategies are required and new and existing products are developed.

As a market develops, consumers become more experienced and discerning and look for more benefits from the products they choose. Although some organizations’ products may appear unchanged at this developed stage of a market, the more successful businesses re-work existing brands and continue to develop new ones to meet changing consumer needs. The development of strong brands has always been a feature of the confectionery market.

1. Know your market and your competitors Market research often reveals counter intuitive facts about your market, even if you think you are already well acquainted with it. For example, research has shown that ‘snacks’ are often used as a meal substitute, and that therefore successful confectionery-type snack products tend to be more

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

‘foody’ than one might expect: ingredients like cereal, peanuts, biscuits, and fruit which help break up the overall chocolate are very well received by customers.

Similarly, the beginning of a product launch also means understanding your competitors, and what products and services they have on offer. Though you might believe there’s currently no competition for your new product, put yourself in the shoes of your customers and consider what they could buy instead of what you’re planning to offer. Review those competitors’ marketing materials, and evaluate how your new offering will stand up against what’s available. Where will you excel? Which companies or products are the greatest threats to a successful launch?

2. Target your customer In order to get maximum results form your marketing with minimal cost, it’s crucial to focus on those prospects most likely to buy from you. Perhaps they are currently buying a similar product and will appreciate your new offering’s added features. The best customers perceive they have a need for your product, have the ability to buy it, and have already demonstrated a willingness to make the purchase (perhaps by buying from the competition). In general, it’s much easier to fill an existing need than it is to create a new one.

3. Devise your Unique Value Proposition Why will customers want to purchase from you, compared with the competition? What are you offering that makes you stand out? Not only does your new product or service have to be unique and meet your customers’ desires and needs, but you must be able to communicate why and how it does so. This is your Unique Value Proposition, and an excellent way to come up with one is by speaking with customers to see what they value

4. Determine your marketing strategy At this point you will have enough information on your market to understand how to best market and sell your product. What channels should you use — via retailers? Catalogues? Online? Using multiple channels is, as most marketers are aware, an excellent idea. Also remember to consider direct response marketing, which can offer extreme levels of ROI.

5. Test your product and overall approach

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

How will your product fly when your customers have it in their hands? Ultimately the customer’s response will determine which features to emphasise and which marketing approach to use, so product testing is crucial. Product testing can be as simple as having a research participant test a single product (monadic testing) and fill out a survey on the “key performance indicators” like likelihood of purchase. Or, it can go into the various sensory qualities (appearance, flavour, etc) and make use of sophisticated video recording and observational techniques.

You should also test your marketing message and marketing materials. With all the money you’ll be spending on advertising, it’s worth making sure your ads and graphics and packaging will be well- received by the customers. Testing here might range from traditional focus groups to mall intercept studies and online research. Whatever methods you use, you should not finalize your marketing materials until testing is complete.

6. Roll out your marketing campaign Once it comes time to launch, you’ll want to employ both advertising and public relations to maximize the impact of your new product launch. Media relations, for example, can help you get articles and press coverage on the new product, or build buzz that drives interest in the new item. Whichever you choose, of course, be sure the product is completely available for purchase if the product is not yet in stock when the coverage hits, consumers may be disappointed.

Market research plays a role here too, of course: especially in the first few weeks, you’ll want to monitor the results of your campaign and adjust your techniques to focus on those that work best.

7. Monitor your product lifecycle

Finally, as your product matures you’ll start to see points of diminishing return that mean it’s time to alter your marketing message, revise the packaging, alter the product itself, or even start to phase it out to make room for your next big idea.

3. Explain in detail about prototype and various steps involved in prototyping model. Write its application, merits and demerits.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

A prototype is an early sample, model, or release of a product built to test a concept or process or to act as a thing to be replicated or learned from. It is a term used in a variety of contexts, including semantics, design, electronics, and software programming. A prototype is designed to test and try a new design to enhance precision by system analysts and users. Prototyping serves to provide specifications for a real, working system rather than a theoretical one. In some workflow models, creating a prototype (a process sometimes called materialization) is the step between the formalization and the evaluation of an idea.

Steps in prototyping 1) Decide on the goal of the project and its major components or categories 2) choose one or two features to begin with (usually in the main category or home page) 3) Create a preliminary design on paper 4) Discuss the design with stakeholders with the aim of improving it 5) Repeat steps 3 & 4 to generate a simple design that all can agree on 6) Implement the design on the computer 7) Repeat the consultation / refinement process until the features are ‘good enough’ to continue 8) Add another feature and repeat the prototyping process of consultation and refinement

Prototype Categorization There are several different ways to categorize prototypes Features: How many features of the final product does the prototype include? Functionality: How much of the functionality of the final product is included in the prototype (for each feature)? Interaction: How similar is the interaction with the prototype to the interaction with the final product? Design: How similar is the prototype in design to the final product (color, graphic design, )? Need for prototyping  Enables us to explore the problem space with the stakeholders.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 As a requirements artifact to initially envision the system.  As a design artifact that enables us to explore the solution space of your system.  A vehicle for you to communicate the possible UI design(s) of your system.  A potential foundation from which to continue developing the system

Types of prototype type Typical of General When to Prototype Purpose Characteristics Use Concept Analyze system High-level, overall Concept Definition Stage Prototype approaches vision

Feasibility Determine feasibility Proof of of concept for Concept Definition Prototype various specific Stage solutions issues

Horizontal Clarify scope Demonstrates outer layer Function of Definition Prototype and human interface only, Stage requirements such as windows, menus, and screens Vertical Refine database design, Demonstrates a Later portion of Prototype test key components working, though Function Definition early incomplete, system Stage for key functions Functional Determine Demonstrates the Function Definition Stage Storyboarding useable sequences fortypical order in presenting which information information is presented

Advantages & Disadvantages of Prototyping

Advantages Disadvantages

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Users can try the system and provide Each iteration builds on the previous iteration and constructive feedback during development further refines the solution. This makes it difficult to reject the initial solution as inappropriate and start over. An operational prototype can be produced in Formal end-of-phase reviews do not occur. Thus, weeks its is very difficult to contain the scope of the prototype. Users become more positive about implementing System documentation is often absent or the system as they see a solution emerging that incomplete, since the primary focus is on will meet their needs development of the prototype. Prototyping enables early detection of errors System backup and recovery, performance, and security issues can be overlooked.

4. Define and classify marketing research. Write the need, purpose and methods of marketing research.  Marketing research is the function that links the consumer, customer, and public to the marketer through information - information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process.  Marketing research specifies the information required to address these issues, designs the method for collecting information, manages and implements the data collection process, analyzes the results, and communicates the findings and their implications

Two basic types of marketing research a) Problem identification research  It is undertaken to find out potential sources of threats and opportunities to the company that are not apparent on the surface.  The studies of this kind are exploratory in nature (frequently they are termed “exploratory” instead of “problem-identification”) and usually employ relatively unstructured research techniques such as desk research, focus-group interviews and depth interviews.  Studies of this type often attempt to identify trends and patterns in marketing environment that could be used by managers as a basis for shaping marketing strategies.  In general, the recognition of economic, social or cultural trends, such as changes in consumer behavior, may point to underlying problems or opportunities.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Problem identification research typically is only an introduction to further more detailed analyses, and as such rarely provides actionable conclusions that could be readily used in decision making but rather indicates directions for further research.  For example, a study could alert to declining market potential, implying that a firm is likely to have difficulties achieving its growth targets, however to obtain more detailed insights about how to best avoid stagnating sales it is necessary to perform a follow-up problem solving research.

b) Problem solving research  It is relevant when the essence of a decision problem is known but decision makers are unable to solve the problem with their current state of knowledge.  In contrast to the problem identification research, this type of inquiry is characterized by precise formulation of research objectives and usually calls for more formalized, quantitative methods including surveys, experiments and observations.  As a rule, the problem solving research is more expensive and time consuming in comparison to exploratory studies.

Stages in Marketing Research Process 1. Problem definition is about specifying first the decision problem and then the research problem. It is critical for the success of the study since wrong problem definition results in findings that may not be useful in decision making. Other stages in the sequence are directly derived from the research problem definition.

2. Developing an approach to the problem involves identifying and specifying components of the research problem, i.e. research questions and hypotheses. This is also where variables of interest and their relationships are proposed in the form of an analytical model. The objective here is to break down the research problem into manageable pieces that will allow for easier selection of a research design and safeguard against omitting issues that could be critical for resolving the research problem. The most important output from this phase is a detailed and comprehensive list of all items of information that are to be collected if a satisfactory answer to the problem is to be found.

3. Research design formulation. Out of a wide selection of different research methods and techniques such must be chosen that best suit the purpose of the study and available resources. In other words, the necessary data must be collected in the most efficient and

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

reliable way to meet quality criteria and not to exceed limits on time, workforce and financial resources. At the end of this stage the researchers must not only have a detailed understanding of how to proceed to obtain the required information but also all the research tools at the ready as well as the specification of a general population and research sample. The most typical examples of research tools employed in marketing research are questionnaires and interview outlines.

4. Fieldwork or data collection. Depending on the research methods chosen in the preceding phase, this is where trained personnel collects data from assorted secondary and primary sources. It can take the form of desk research where already published information is investigated or original data could be gathered through interviews conducted on the phone or in person. It is also possible for the questionnaires to be filled out by respondents themselves in one of self-administering modes, e.g. by using traditional mail or answering questions on a web page. The major tasks of the researchers in this step are coordination and control of the field force, so that they work honestly and thoroughly to generate accurate and complete data.

5. Data preparation and analysis. Data preparation involves such activities as editing, coding, transcribing and verifying of raw, unprocessed material generated in the field. Depending on the attributes of the data its analysis could employ statistical methods or various qualitative techniques. As a result of the analysis, the data are transformed into meaningful, actionable information. Usually data analysis is focused on finding answers to research questions and verifying hypotheses put forward in step two of the process.

6. Report preparation and presentation: To satisfy requirements of decision makers who commissioned the study the findings must be presented in a comprehensible and coherent manner. To accomplish the objective of effectively communicating the study results a good report must account for different educational backgrounds and preferences of report users. Typically, aside from a written document, a PowerPoint presentation ought to be prepared and delivered verbally.

Typical Application of Marketing Research Application of marketing research can be divided into two broad areas: 1. Strategic – Marketing research applications would be demand forecasting, sales forecasting, segmentation studies, identification of target markets for a given product, and positioning strategies identification. 2. Tactical - we would have applications such as product testing, pricing research, advertising research, promotional research, distribution and logistics related research. In other words, it would be include research related to all the P’s of marketing: how much to price the product, how to distribute it, whether to package it in one way or another, what time

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

to offer a service, consumer satisfaction with respect to the different element of the marketing mix (product, price, promotion, distribution), and so on. In general, we would find more tactical application than strategic applications because these areas can be fine-tuned more easily based on the marketing research 5. Quality Standards. What is a standard? A standard is a document that provides requirements, specifications, guidelines or characteristics that can be used consistently to ensure that materials, products, processes and services are fit for their purpose. We published over 21000 International Standards that can be purchased from the ISO store or from our members. What are the benefits of ISO International Standards? ISO International Standards ensure that products and services are safe, reliable and of good quality. For business, they are strategic tools that reduce costs by minimizing waste and errors, and increasing productivity. They help companies to access new markets, level the playing field for developing countries and facilitate free and fair global trade. ISO 9000 - Quality management The ISO 9000 family addresses various aspects of quality management and contains some of ISO’s best known standards. The standards provide guidance and tools for companies and organizations who want to ensure that their products and services consistently meet customer’s requirements, and that quality is consistently improved. Standards in the ISO 9000 family include: ISO 9001:2015 - sets out the requirements of a quality management system ISO 9000:2015 - covers the basic concepts and language ISO 9004:2009 - focuses on how to make a quality management system more efficient and effective ISO 19011:2011 - sets out guidance on internal and external audits of quality management systems ISO 9001:2015 ISO 9001:2015 sets out the criteria for a quality management system and is the only standard in the family that can be certified to (although this is not a requirement). It can be used by any organization, large or small, regardless of its field of activity. In fact, there are over one million companies and organizations in over 170 countries certified to ISO 9001. This standard is based on a number of quality management principles including a strong customer focus, the motivation and implication of top management, the process approach and continual improvement. Other certification  ANSI – American National Standard Institute  EC – European Community  ASQ 9000 – American Society for Quality  DOD – Department of Defence  FDA – Food and Drug Administration  ISI – Indian Standards Institute  BIS Hallmark – Bureau of Indian Standards

Benefits of ISO Registration

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

1. Increase in internal quality – reduction of scrap, rework etc 2. Production reliability – measure of breakdowns, time and shift management etc 3. External quality – acceptance by customers, less claims, return of goods 4. Time performance – marketing, delivery, production time etc 5. Cost of poor quality – scraps and rework BIS Product Certification The Bureau of Indian Standards, empowered through an Act of the Indian Parliament, known as the Bureau of Indian Standards Act, 1986, operates a product certification scheme by which it grants licenses to manufacturers covering practically every industrial discipline from Agriculture to Textiles to Electronics. The certification allows the licensees to use the popular ISI Mark, which has become synonymous with Quality products for the Indian and neighboring markets over the last more than 55 years. The Bureau's predecessor, the Indian Standards Institution began operating the product certification Scheme since 1955.

6. STAGES OF NEW PRODUCT PLANNING

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

UNIT IV - MODEL PREPARATION & EVALUATION PART A 1. What is normal design and creative design? (Nov/Dec 2016) The adaptation of existing technology to specific application is called normal design. In contrast creative design involves innovation where novel and appropriate ideas are incorporated to design a new product having commercial value.

2. In what manner are the novel products denoted in a patent application. (Nov/Dec 2016) If the product claim is patentable, no separate examination for the novelty and non obviousness of the process claim is necessary, provided that all features of the product as defined in the product claim inevitably result from the claimed process.

3. What are the types of patent application? 1) Provisional application 2) Ordinary application 3) Conventional application 4) Divisional application 5) PCT international application 6) PCT national application and patent of addition.

4. What are the advantages of filling provisional application?  Applicant gets 12 months’ time to fully develop the invention and ascertain its market potential  Helps to establish priority right over the invention  Enables the applicant to use the term "patent pending‖ on their product  Less expensive to prepare and file the application  Enables the applicant to file International applications and claim priority within 12 months.

5. What is PCT? The PCT is an international treaty with more than 145 Contracting States. The PCT makes it possible to seek patent protection for an invention simultaneously in a large number of countries by filing a single international patent application instead of filing several separate national or regional patent applications. The granting of patents remains under the control of the national or regional patent Offices in what is called the national phase.

6. What is the use of TM, SM and ® symbols? 'TM' stands for Trademark and 'SM' stands for Service mark. The use of TM and SM symbols notifies the public that the company is claiming exclusive ownership of the trademark and can generally be used by one who has filed a trademark application. The ®

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

symbol, can be used only once the trademark is registered and the registration certificate is issued.

7. Mention the advantages of PCT International application  A single international patent application can be filed in order to seek protection for an invention in up to 142 countries throughout the world.  It gives the application 30/31 months to enter into various countries from the international filing date or the priority date, and therefore gives the applicant more time to assess the viability of the invention.  Delays the expenses associated with applying for a patent in various countries  Provides an International Search Report citing prior art, which gives an indication to the applicant whether the invention is novel and innovative.  Provides an option for requesting an International Preliminary Examination Report, the report containing an opinion on the patentability of the invention.

8. What do you mean by strategic planning? The process of rationalizing the operation of a business to achieve defined goals in the context of defined strengths, weakness, resources and needs.

9. What is called scoping? The quick, low-cost preliminary research that is carried out in the earliest stages of new product development. Scoping is primarily a method of screening new product concepts, separating out those that do not seem viable.

10. Write any two challenges in patent application process.(Nov/Dec 2017)  Cost of European patents  Language question  Litigation process  Community patent  Patentable matters

11. Define new product development and name the 5 elements used for new product development.(Nov/Dec 2017) New product development (NPD) is the process of bringing a new product to the marketplace. Elements:  Identification of design criteria  Idea analysis  Concept genesis

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Prototyping  Product development

12. Define cost evaluation.  Cost evaluations assess the gains and the costs of carrying out a set of activities.  The purpose of this analysis is to identify ways to do the most with a limited budget.  In other words, it is designed to identify the most efficient approach.

13. What is patent application?  Documentation submitted by an inventor as a request to be the sole owner of an idea or invention's patent. The application will include elements of a patent which may also be modified during the application process approval.  The term patent application is also used to refer to the process of applying for a patent, or to the patent specification itself.

14. Differentiate between fixed cost and variable cost. Fixed costs are costs that must be paid regardless of how much of a good or service is produced. Fixed costs are also called as sunk costs Variable costs are costs that grow and down depending on the quantity of the good or service produced.

15. What do you mean by patent of addition?  When an applicant feels that he has come across an invention which is a slight modification of the invention for which he has already applied for or has obtained patent, the applicant can go for patent of addition if the invention does not involve a substantial inventive step.  There is no need to pay separate renewal fee for the patent of addition during the term of the main patent and it expires along with the main patent.

PART B 1. PATENT APPLICATION AND ITS TYPES.

Documentation submitted by an inventor as a request to be the sole owner of an idea or invention's patent. The application will include elements of a patent which may also be modified during the application process approval. The term patent application is also used to refer to the process of applying for a patent, or to the patent specification itself. 1. Ordinary Application 2. Convention application

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

3. PCT- International Application 4. PCT -National Phase Application 5. Application for Patent of Addition 6. Divisional Application

1. Ordinary Application The first application for patent filed in the Patent Office without claiming priority from any application or without any reference to any other application under process in the Patent office is called an ordinary application

2. Convention application When an applicant files a patent application, claiming a priority date based on the same or substantially similar application filed in one or more of the convention countries, it is called a convention application. To get a convention status, an applicant should file the application before any of the patent offices within 12 months from the date of first application in the convention country

3. PCT- International Application The Patent Cooperation Treaty or PCT is an international agreement for filing patent applications. However, there is nothing called as a 'world patent'

The PCT application does not provide for the grant of an international patent, it simply provides a streamlined process for the patent application process in many countries at the same time. Some of the benefits of the system are:  It simplifies the process of filing patent applications i.e., an applicant can file a single international patent application in one language with one receiving patent office in order to simultaneously seek protection for an invention in up to 138 countries throughout the world.  It provides internationally recognized priority date, which has an effect in each of the countries designated.  Delays the expenses associated with applying for patent protection in various countries.

PCT gives 30 to 31 months time to enter into various countries from the priority date or international filing date whichever is earlier unlike the convention method which gives only 12 months time to file for a patent application in the country of interest from the priority date. Hence, the PCT route allows the inventor more time to assess the commercial viability of his/her invention.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 It provides an international search report. The results of this search are very valuable to the applicant. They allow the applicant to make more informed choices early in the patent process, and to amend the application to deal with any conflicting material, before the major expenses of the national phase of the patent process begin.  Provides an option of an International Preliminary Examination Report that is forwarded to the elected Offices and the applicant, the report containing an opinion as to whether the claimed invention meets certain international criteria for patentability.  These reports give the applicant a fair idea about the patentability of the invention before incurring charges for filing and prosecution in each individual country.

4. PCT -National Phase Application  The PCT-national phase must follow the international phase. The applicant must individually 'enter into the national phase'. i.e. file a National phase application in each county he wishes to enter.  The applicant can enter the national phase in up to 138 countries within 30-31 months (depends on the laws of the designated countries) from the international filing date or priority date (whichever is earlier).  If the applicant does not enter the national phase within the prescribed time limit, the International Application loses its effect in the designated or elected States.

5. Application for Patent of Addition  Patent of addition is an application made for a patent in respect of any improvement or modification of an invention described or disclosed in the complete specification already applied for or has a patent.  In order to be patentable an improvement, should be something more than a mere workshop improvement and must independently satisfy the test of invention.  The major benefit is the exemption of renewal fee so long as the main patent is renewed.  A patent of addition lapses with the cessation of the main patent.

6. Divisional Application  A divisional application is one which has been "divided" from an existing application. The applicant, at any time before the grant of a patent can file a further application, if he so desires or if an objection is raised by the examiner on the ground that the claims disclosed in the complete specification relates to more than one invention.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 A divisional application can only contain subject matter in the application from which it is divided (its parent), but retains the filing and priority date of that parent.  A divisional application is useful if a unity of invention objection is issued, in which case the second invention can be protected as a divisional application.

2. CREATIVITY AND DESIGN PROCESS:

Creativity is a quality that is highly valued, but not always well understood. Those who have studied and written about it stress the importance of a kind of flexibility of mind. Studies have shown that creative individuals are more spontaneous, expressive, and less controlled or inhibited. They also tend to trust their own judgment and ideas-- they are not afraid of trying something new.

 A common misunderstanding equates creativity with originality. In point of fact, there are very few absolutely original ideas. Most of what seems to be new is simply a bringing together of previously existing concepts in a new way.  Psychologist and author Arthur Koestler referred to this merging of apparently unrelated ideas as dissociation. The fact that creative thinking is based on knowledge of previous work in one's field is the justification for teaching the history and foundations of a given field as a resource for future research and creative work.  It is possible to develop one’s ability to think intuitively and creatively. The exercises assigned in this class are in part intended to expand these skills.

 Thus creativity is the ability to see connections and relationships where others have not. The ability to think in intuitive, non-verbal, and visual terms has been shown to enhance creativity in all disciplines.  It has also been shown that the creative process is very similar in all fields.

 Essentially the design process is a problem-solving process, and the designer, just like the laboratory scientist, will be most successful if the problem is approached in a systematic manner.  Successful fine artists generally follow the same pattern in developing their creative ideas, though they may be less conscious of the process they are following.  Initially the researcher or designer/artist will tend to experiment in a rather random manner, collecting ideas and skills through reading or experimentation.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 Gradually a particular issue or question will become the focus of the reading and experimentation. The next step is to formulate a tentative problem, and begin to explore that topic. Eventually the problem is refined into a research question or design problem that the person will then pursue through repeated experimentation.  In design or fine arts production, this takes the form of works created in a series. Each effort solves certain problems, and suggests issues to be dealt with in the next work (or experiment).  Working in a series is the most important stage of the design process. The ability to experiment, to value and learn from mistakes, and build on the experience achieved is the hallmark of a truly successful and creative individual, whatever the field.

The table that follows outlines the parallels between design process and classic scientific method.

Case Study

The Wallas Stage Model of Creativity divides the process of creative thinking into 5 stages. These stages are Preparation, Incubation, Intimation, Illumination, and Verification. Let us see how Cheryl’s thought process can be broken up into these five stages.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Cheryl works as a content developer in a Delhi-based eLearning organization. Her work requires her to conceptualize and visualize instructionally appropriate examples for the courses that she designs and develops. Here is what she usually does when she has to think of new examples that would add value to the content.

Stage I. Preparation She begins by reading the content and assimilating whatever she can. She also looks at the audience profile to refresh her knowledge of the audience’s schema. Thus, her mind has already into the Preparation stage for the creative process. Stage II. Incubation Then she gets up from her seat, walks to her friend’s workstation and asks her whether she’d like to take a break from work. Both girls then go to the vending machine, get themselves the usual pitiful excuse of a cup of coffee, and chat about the handsome new guy in the graphics bay. You might think that Cheryl’s not at work because she isn’t snarling at her computer and pounding her keyboard to pulp, but you are wrong. Cheryl is in the second phase of creation, which is called Incubation. As she sips the bland mix called the offi-coffee (office coffee) her mind is busy internalizing the concept that she’s got to illustrate. Stage III. Intimation Suddenly Cheryl experiences a need to rush back to her workstation. She gulps down her coffee and becomes impatient with her friend who’s enjoying the sunshine. We might find Cheryl’s behavior odd, and call her a selfish and arrogant woman, but the fact is that her sudden impatience illustrates the Intimation stage of the creative process, in which she’s doused with this sudden feeling that she’s about to find the solution to her problem. She doesn’t want to miss the idea and so she’s dying to get back to her computer. Stage IV. Illumination As Cheryl rushes back to her workstation, the feeling grows stronger, and if she’s lucky, then the moment she finds her perch, she’s going to experience the next stage of the creative process, which is called Illumination. Anticipation gives way to realization, and the solution, the example that she had been hoping to find suddenly becomes very clear to her. Her fingers dance on the keyboard as the idea now leaves her mind, and begins to morph into words. Stage V. Verification However, it’s now that Cheryl experiences the need to verify the appropriateness of the example to the content and to the audience. This she accomplishes by building connections between the content, the audience, and the content of the example. Later on she would send the example to the Subject Matter Expert who would review the appropriateness of the example in the given context. The Verification stage is the final stage of the creation process. 3. WRITE ELABORATE NOTE ON EACH AND EVERY ASPECT TO BE FOLLOWED IN FILING A PATENT APPLICATION.

1. Domestic/Priority Filings

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 A client will typically ask his patent agent to make the first filing of a patent application in the country where the inventor is located.  The first filing of a patent application establishes the priority date for the family of patent applications on the invention that may be filed worldwide.  The priority date represents the date beyond which prior art will not apply, whether in a first-to-invent country or a first-to-file country.  Thus, the patent applicant typically wants the earliest priority date, which is another reason why patent agents should strive to complete their assignments as soon as possible. 2. Foreign Filings The patent agent should ask his client in what countries he would like to file his patent application. He should then provide the client with an estimate of the costs for filing a patent application in those jurisdictions, having reviewed the requirements for filing patent applications in all jurisdictions of interest to the client. For example, the patent agent must determine whether any of the jurisdictions of interest are not members of the Paris Convention. 3. Fee and Cost Considerations in Application Filings The patent agent should provide the client with sufficient information regarding fees and costs for him to devise a meaningful patent strategy within his budget constraints. The patent agent should also inform the client when these fees and costs will be assessed. Some jurisdictions offer reductions in fees for applications filed by certain parties such as, for example, sole inventors, universities, research institutions and/or small companies.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

4. Application Filing Requirements in Specific Jurisdictions The application filing requirements vary from country to country. The following information is intended to be informative rather than to provide a step-by-step guideline for filings in these jurisdictions. i) European Patent Convention Filings - The European Patent Convention (EPC) is the treaty that created the European Patent Office (EPO). The EPC provides the framework for the granting of European patents via a single, harmonized procedure before the EPO, which functions as a common examining office for patent applications filed under the EPC. ii) US Patent and Trademark Office Filings - The United States Patent and Trademark Office (USPTO) is the agency responsible for receiving and examining patent applications in the US. The USPTO ultimately decides whether a patent will be granted or rejected. The preparation of a patent application and the accompanying documents may offer a challenging task and the patent agent should know the requisite formalities of the USPTO before undertaking a filing in the US. iii) Patent Cooperation Treaty Filings - The PCT enables a patent applicant to file one “international” patent application to seek protection in any or all of the PCT Contracting States. The “international” patent application has the effect of filing a regular “national” patent application in each designated state16 and it is important to understand that WIPO

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

does not issue a “PCT patent” or “international patent” that provides protection in all the Contracting States.

Timeline for Filing a PCT Application

5. Comparative Laws and Requirements The patent agent must be able to research and understand the different application and filing requirements that arise from jurisdiction to jurisdiction. The following table illustrates some of the differences between three jurisdictions – the EPO, the US and India.

4. DESCRIBE THE STEPS INVOLVED IN CREATIVE PROCESS MODEL.

Creativity does not just happen. It is a cognitive process that produces new ideas or transforms old ideas into updated concepts, according to Brussels Free University psychology professor Liane Gabora. Scientists such as Jacques Hadamard and Henri Poincaré studied the creative process and contributed to the Creative Process Model, which explains how an individual can form seemingly random thoughts into an ideal combination or solution, according to the website The Information Philosopher.

Step 1: Preparation

 During the preparation step of the creative process model, an individual becomes curious after encountering a problem.  Examples of problems can include an artistic challenge or an assignment to write a paper.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 During this stage, she may perform research, creates goals, organize thoughts and brainstorm as different ideas formulate.  For example, a marketing professional may prepare for a marketing campaign by conducting market research and formulating different advertisement ideas.

Step 2: Incubation

 The second stage is what we call the incubation stage.  In incubation this is when all the information that you have gathered in the preparation stage really goes back. It starts to churn in the back of your mind, in the sub-consciousness.  This is an extremely important stage because sometimes it can takes days, or weeks, or months or sometimes even years.  That idea that you’ll think about writing about a book or piece of music, and you’re writing about it and you just leave it to the side for a while and then you come back to it.  Now the interesting thing about the incubation stages it that to a certain extent it is not really under your control how long that stage will take.  It is something you cannot really rush because what it leads to is the third stage.

Step 3: Illumination

 The third stage is what most of the public think is a classic signal or sign of a creative person, what is called the insight stage or the insight step.  With insight it is really the idea of the ‘Aha’ moment, the ‘Eureka’ moment. Although it is probably the smallest part of the five steps, it is possible one of the most important parts.  On one of my subsequent videos I’ll take you more into how to increase your chances of having those ‘Aha’ moments, those insights.  A quick thing I would say here is that they most often happen when you are doing some kind of low-level physical activity; going for a shower, driving a car, having a walk.  This is because your sub consciousness in the previous stages is bubbling away and this insight stage really allows the mind to work on something else.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

And then bring these ideas to the forefront of your mind. So that’s the third stage, the insight’s stage. And now we go on to the fourth stage.

Step 4: Evaluation

 After a solution reveals itself in an epiphany, the individual then evaluates whether the insight is worth the pursuit.  He may make changes to his solution so it is clearer.  He may consult with peers or supervisors regarding his insights during this step before pursuing it further.  If he works with clients, he may seek a client’s input and approval before moving on to the next step.

Step 5: Implementation

 The implementation of an idea or solution in the creative process model is when an individual begins the process of transforming her thoughts into a final product.  For example, during this step, a painter may begin outlining shapes on a canvas with charcoal before applying oil paints to the medium.  According to Gabora, an individual may begin this step more than once in order to reach the desired outcome.  For example, a graphic designer may open a new digital canvas if he did not have the scale calculated correctly on a previous work, and he will continue to implement his ideas and make adjustments until he reaches a pleasing final product.

5. COST EVALUATION OF NEW PRODUCT DEVELOPMENT.

 The implementation of a new product requires a series of activities. The more innovative the product is, the more complicated is the process.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 It consists of several main phases: idea generation, idea screening, concept development and testing, marketing strategy, business analysis, product development, test marketing and commercialization.  Each of them has a large uncertainty in the results. NPD process management requires the planning of each phase, taking into account the results of the previous phase. This requires continuous monitoring of the process and decision making.  For this reason, management of NPD process is difficult. Robert Cooper, noted author on new-product development, uses “stages and gates” to convey the subsections and review steps of the NPD process.  The success of new products is usually measured in terms of their financial results. Consequently, new product ideas can also be selected based on their expected financial results.  Firms determine the upper limit of the budget for the NPD process and only consider new products that require a budget lower than this limit.  Therefore, companies must analyze the financial profitable for each new product ideas. It is necessary to have a number of financial information in order to conduct this analysis.  For instance, they need to know the financial returns that they can generate from a new product. Similarly, they need to know the amount of financial resources needed to design, develop, manufacture and market it.  Because there are uncertainties associated with all these information they also need to have the probabilities of achieving the financial results and of meeting the established budget goals.  Finally, they also need to have benchmarks with regard to the acceptable amount of financial returns and new product budgets so as to be able to assess the financial viability of a new product idea.  Although financial analysis can be highly beneficial in idea selection, it also has certain limitations.  First, relying on short-term financial results may pressure managers to focus on financially justifiable ideas and to reject more promising but uncertain ideas, just because they are uncertain and are not easily justifiable.  Second, many financial analysis methods cannot capture adequately the risks and uncertainties associated with new products.  Furthermore, these methodologies consider only a “snapshot” of the financial benefits and costs associated with a new product and may not reflect the changes in these factors  Finally, this approach depends on a strong assumption that accurate financial information is readily available, which is not the case in many situations. Information about the cost of future implementation of the new product is important. For this reason, it is urgent to indicate the appropriate cost estimating techniques.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

 The hardest part is to assess the future costs at the planning stage. A large number of uncertain information makes the cost can be evaluated only subjectively. The intuitive or analogical technique can be used. Intuitive techniques require adequate knowledge and experience. It is possible also to use the knowledge of experts, but in this case you should use the appropriate tool for analyzing expert judgment.  This makes the method becomes laborious and expensive. Analogical methods require historical data. Cost estimation is possible on the basis of similarity to the previously executed process.  They usually use regression analysis. The more features are compared the more accurate the results, but the calculations are more complicated. Design stage is the next place where the cost estimates may be important. In this stage the 6. HOW TO PREPARE A PLAN TO INTRODUCE A NEW PRODUCT The time you’ve been dreaming of is finally here. All of those endless hours and, alas, sleepless nights have finally paid off. At long last, you know that you have in your hands a winning product – one that’s going to transform the conversation in your marketplace, win you many loyal customers, and take your business to the next level.

So everything is wonderful… except for one detail. You aren’t sure how to introduce your remarkable product to the marketplace. And until you figure this out, the time you’ve been dreaming of is quickly going to turn into a nightmare filled with wasted costs, excess stress, and indeed, more of those sleepless nights.

Step 1: Create your Mission Statement What is the vision of your business? What are its objectives, goals and aspirations? And most importantly: how does your new product align with these? By crafting a focused Mission Statement and integrating it with your product, you establish the framework and foundation of your product introduction efforts. Think of this step like a compass; it won’t tell you precisely where to go, but it will tell you in which direction to head.

Step 2: Analyze your Target Customers Who are your customers? What motivates them to buy your new product? What are their perceptions of value? By carefully understanding your target customers, you position your product into their world – because you can have the “latest and greatest” product available, but if it doesn’t fit a customer need or solve a customer problem, it won’t win their business.

Step 3: Analyze your Target Markets.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

Categorize your customers in terms of practical and useful groups, such as by industry, geography, vertical, and so on. Appreciate the fine distinctions between how these different target markets will perceive, evaluate and demand your product. As a bonus, the insights that you glean from this step will prove invaluable as you develop your sales and marketing material, too.

Step 4: Scope out the Competition. Even if your product is a major advancement on what your competitors are offering, don’t assume that you’re going to blow them out of the water. Rather, perform a careful analysis of your competitors’ operations. Learn how they position, price and distribute their products. Also pay attention to their marketing to see how they both respond and react to market changes. Remember, while it may be tempting to conclude that some or even all of your competitors are “flawed” or “incompetent” or anything else negative, the fact remains that they are your competitors, and you have to respect them as such. Besides, you’ll have plenty of time to prove your product’s superiority once its strategically and effectively introduced. Step 5: Position your Product. Based on the insights and information gleaned from the above steps, focus specifically on your new product and analyze its position. How is it different from what’s available? How is it the same? Remember, even if you clearly see it as different than what your competition offers, don’t assume that your prospective customers will see things as clearly. So go beyond physical or specification distinctions, and anticipate how your product will be perceived by your customers and in your marketplace. When you do this, you’ll likely be surprised – perhaps even amazed – that you need to proactively make key adjustments to avoid having your product misunderstood by the very people you need to impress.

Step 6: Create your Action Plan. Here’s where you’ll take everything from steps 1 through 5 and put it into a structured action plan – which, in effect, will be a project. As such, make sure that you use robust and easy-to-use project management software here, so that you can clearly see how your action plan holds together – or how it doesn’t. Remember, many products “lose their way” on the way to market. This is either because too much time was spent in one or more steps, or more often, not enough time in one or more steps. Creating your action plan with the help of professional project management software will help you objectively see whether you’re positioning your product to successfully make to market.

Step 7: Execute your Action Plan.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE DEPARTMENT OF BIOTECHNOLOGY BT6703- CREATIVITY INNOVATION & NEW PRODUCT DEVELOPMENT

After all of the hard work invested in the previous steps – especially step 6 – it’s time to hit the switch and execute your action plan. Again, be sure that you use the right project management software here to keep everything on track; especially as it relates to costs and resource allocation. It’s fine to spend a few weeks on market research or performing a S.W.O.T. analysis. But a few months? That may be far too long. If left unchecked, these mistakes derail and undermine your product launch goals.

VEL TECH HIGH TECH DR.RANGARAJAN DR.SAKUNTHALA ENGINEEIRNG COLLEGE