Managing Innovation: Theory, Application, and Future Development

Managing
Innovation

Contents
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Innovation Theory...................................................................................................................................3
Application of the innovation theory in the historical development context............................................7
Application of the innovation theory in the future development context...............................................10
CONCLUSION.........................................................................................................................................12
REFERENCES..........................................................................................................................................13

INTRODUCTION
For every company it is essential to adopt innovation as through it they can attract more
and more customers toward them which leads to increase in sales as well as profitability ratio.
While adopting innovation a company may adopt numbers of models, strategies and concepts.
This is so because that will help them in adopting innovation properly as well as it helps in
developing proper strategies. The respective report is based on different innovation theory which
respective company may adopt as well as it also includes application of innovation theory in
respect of the historical development and future development (Baldwin and Curley, 2020). In
addition to this the innovation theory which is used in respective report are business model
canvas and disruptive innovation as that will help a company in adopting innovation at their
workplace in effective manner. But before selecting business model a company management
need to conduct several analysis related to past development, market requirement, resource, own
capabilities and many more. It is so because through it they can attain their desire goal as well as
objective successful by implementing innovation at the workplace.
MAIN BODY
Innovation Theory
Definition of innovation theory
Innovation theory is considered as model or method which provide guidelines to the
company and their management so that they can adopt and implement innovation in effective
manner. Innovation theory also help management in developing strategies properly so that
employees conduct practices accordingly which help in successful of project in impressive
manner (Bell, 2020). There are numbers of innovation theory which a company may adopt for
conducting their business operations and functions in successful manner such as blue ocean
model, business canvas model, knowledge creation, knowledge conversion and many other
models. In respect of Ocado, they are also planning to adopt innovation at their workplace and
for that they can adopt different innovation theory, from which some are mentioned in respect of
respective company.
Principle of innovation theory

There are several principles associated with the innovation theory, from which some are
mentioned below:-
 In order to start innovation it is essential that a person must convert their issues or
problems into an effective idea on which they can do work for attaining it successfully
(Bonesso, Cortellazzo and Gerli, 2020).
 It is essential that management need to have proper system for conducting innovation at
their workplace.
 In order to adopt innovation it is essential that a management must underlies the methods
of innovation as well as they also need to manage their resources properly for attainment
of objective which is related to innovation.
Processes of the innovation theory
The process of respective theory will include several phase through which company may
attain their desire goal, explanations of stages are mentioned below:-
 Knowledge – In this customers are the first who expose to the innovation as well as they
do not posses understanding about the innovation.
 Persuasion – According to this phase customers get attracted to know more about
innovative products and try to seek information related to that.
 Decision – At respective stage customer compare benefits and limitations of the
innovation and take decision whether they need specific product or not.
 Implementation – In this phase customer will identify the usage of specific innovation
for them.
 Continuation – In this a person who is customer will take decision whether they want to
continue using specific product or not.
Business model canvas
It is considered as strategic management as well as lean startup model or template which is
used by a company in order to develop new business model or modifying existing business
model (Chesbrough, 2020). It is considered as visual chart or diagram with having elements that
describe a firm or a specific products value infrastructure, proposition, finances and customers. It