Product Innovation

Topics: Innovation, Management, Marketing Pages: 75 (22195 words) Published: May 23, 2012
Success factors in Product Innovation

Success Factors in Product Innovation: The Case Study of Savola by: Salma Nader Abbass Hussein

Bachelor Thesis Submitted to the Innovation management department at the Faculty of Management and Technology German University in Cairo

Student registration number: 7-4445 Date: 8-6-2009 Supervisor: Dr. Hadya Hamdy

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Success factors in Product Innovation

Abstract
We are living in a world that customers are becoming increasingly sophisticated and demanding, technology is becoming more and more advanced, and competition and globalization are becoming more and more intensive. Consequently, it is either to innovate or die. Product innovation is becoming a strong batter field and there is only one winner who achieves success. Achieving success in product innovation is a difficult and complex task and that’s why the focus of this paper is to assist managers and academic students to understand the successful factors in product innovation supported by practical and real life case study of Savola multinational Company so that companies can benefit from the experiences and apply it in their organizations. Professional interviews are conducted in order to obtain qualitative insights about Savola's success factors in product innovations and how the innovation department in Savola Company was a successful turning point. Many Multinational and international companies can benchmark Savola Company on its best practices and key success factors for product innovations.

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Success factors in Product Innovation

Table of Content:
1. 2. Introduction…………………………………………………………………………. Literature Review…………………………………………………………………… 2.1 Theoretical Consideration………………………………………………………. 2.1.1 The study and importance of innovation…………………………………… 2.1.2 Definition and importance of product innovation…………………………... 2.2 Success factors in product innovation…………………………………………... 2.2.1 Organizational factors………………………………………………………. 2.2.1.1 Organizational learning………………………………………………… 2.2.1.2 Organizational creativity…………………………….............................. 2.2.1.3 Strategy………………………………………………………………… 2.2.1.4 Structure………………………………………………………………... 2.2.1.5 Shared values…………………………………………………………... 2.2.1.6 Style……………………………………………………………………. 2.2.1.7 Project management……………………………………………………. 2.2.1.8 System……………………………………………….............................. 2.2.2 Human resource factors………………………………….............................. 2.2.2.1 Leadership……………………………………………………………… 2.2.2.2 Communication and benefits of cooperation…………………………... 2.2.2.3 Individual creativity……………………………………………………. 2.2.2.4 Skills………………………………………………………………….... 2.2.2.5 Staff…………………………………………………............................. 2.2.3 Marketing Factors ……………………………………….............................. 2.2.4 Managerial factors……………………………………….............................. 2.2.4.1 The role of senior management in product innovation………………… 2.2.4.2 Managing the new product development team………………………… 2.2.4.3 Research and development excellence………………………………… 3. Methodology………………………………………………………………………. 4. The case study of Savola Group…………………………………………………... 4.1 History and background of Savola Group……………………………………… 4.2 Savola's success factors in product innovation…………………………………. 4.2.1 Organizational factors………………………………………………………. 4.2.1.1 Organizational learning…………………………………………………. 4.2.1.2 Organizational creativity………………………………………………... 4.2.1.3 Shared ethics and values………………………………………………... 4.2.1.4 Style and culture………………………………………………………... 4.2.1.5 Project management…………………………………………………….. 4.2.1.6 System…………………………………………………………………... 4.2.1.7 Strategy…………………………………………………………………. 4.2.1.8 Structure………………………………………………………………… 4.2.2 Human resource factors ……………………………………………………. 4.2.2.1 Leadership……………………………………………………………… 4.2.2.2 Communication………………………………………………………… 4.2.2.3 Skills and staff…………………………………………………………. 4.2.2.4 Individual creativity……………………………………………………. 4.2.3 Marketing factors……………………………………………………………....

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Cooper, R.G. (2000).Doing it Right, Winning with new products. Ivey Business Journal. 1-15. Cooper, R.G., & Edgett, S.J. (2003). Benchmarking Best practices, Performance Results and the Role of senior management. 1-6. Craig, A., & Hart, S. (1992). Where to now in new product development research? European Journal of Marketing. 26(11), 2-49. De Jong, J.P.J., & Den Hartog, D.N. (2007). How leaders influence employees ' innovative behaviour. European Journal of Innovation Management. 10(1), 41-64. El Banhawi, Mohamed, Innovation manager, Savola Egypt. Interviewed on Wednesday 15th of April at 10:00 A.M. Ghaffar, Noora, Human Resource Manager, Savola Egypt. Interviewed on Wednesday 15th of April at 1:00 P.M. Giaretta, E. (2005).Ethical product innovation: in praise of slowness. The TQM Magazine. 17(2), 161-181. Harborne, P., & Johne, A. (2003). Creating a project climate for successful product innovation. European Journal of Innovation Management. 6(2), 118-132. Hardaker, G. (1998).An integrated approach towards product innovation in international manufacturing organizations. European Journal of innovation management. 1(2), 67-73. Hong, J. (1999). Structuring for organizational learning. The Learning Organization. 6(4), 173-185. Hyland, P.W. et al (2001).Occupational clusters as determinants of organizational learning in the product innovation process. Journal of WorkPlace Learning. 13(5), 198208. 81
Success factors in Product Innovation Katsikeas, C.S., Robson, M.J., & Hulbert, J.M. (2004). In search of relevance and rigour for research in marketing. Marketing Intelligence and Planning. 22(5), 568-578. Killen, C.P. et al (2008).Project portfolio management for product innovation. International Journal of Quality and Reliability Management. 25(1), 24-38. Kuczmarski, T.D. (2003).What is innovation? And why aren 't companies doing more of it? Journal of Consumer Marketing. 20 (6), 536-541. Mahmoud, Dina, Middle manager in the Administrative department, Savola Egypt. Interviewed on Thursday 16th of April at 2:00 P.M. Malhotra, N.K. (2007). Marketing Research: An Applied Orientation. New Jersey, United States: Pearson Prentice Hall, Upper Saddle River. Millson, M.R., & Wilemon, D. (2006). The Strategy of Managing Innovation and Technology. New Jersey: Prentice Hall, Upper Saddle River. Nounou, Noha, Marketing manager, Savola Egypt. Interviewed on Thursday 16th of April at 11:00 A.M. Requena, J.V. et al (2007).ICT use in marketing as innovation success factor. European Journal of innovation management. 10(2), 268-288. Rowley, J. et al (2007).Customer community and co-creation: a case study. Marketing Intelligence and Planning. 25(2), 136-146. Schilling, M.A. (2008). STRATEGIC MANAGEMENT of Technological Innovation. New York, United States: McGraw-Hill. Shepherd, C., & Ahmed, P.V.K. (2000). From product innovation to solutions innovation: a new paradigm for competitive advantage. European Journal of Innovation Management. 3(2), 100-106. Teare, R. (1997). Enabling organizational learning. International Journal of Contemporary Hospitality Management. 9(7), 315-324. Trott, P. (2005). Innovation management and new product Development. United Kingdom: Prentice Hall, Financial times. Yelkur, R., & Herbig, P. (1996). Global markets and the new product development process. Journal of Product and Brand management. 5(6), 38-47. Zairi, M. (1995). Benchmarking innovation for best practice. World Class Design to Manufacture. 2(3), 33-40.
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Success factors in Product Innovation
Declaration
I herewith declare that this report is in full accordance with the Plagiarism Guidelines of the Faculty of Management & Technology at the GUC.
Signature Salma Nader Abbass Hussein
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