The TIPVIS project Service Innovations eMedia - Nordic Seminar on eBusiness and Media Thursday 27 November 2008 Copenhagen Business School Tom E Johansen NHO Grafisk Norwegian Federation of Graphic Arts Enterprises

create - publish - distribute

What is NHO Grafisk 240 member companies (NACE ) Representing appr. 70 % of gross revenue 8 employees

Background for TIPVIS Norway Intergraf report, 2007: China and the European Printing Industry –Global competition –Differentiation –Environment (?) EU report on need for service policy, 2007: Fostering Innovation in Services –Growth and lojality potential in service innovation –Need for new requirements EU report (Ernst & Young), 2007: The Competitiveness of the European Graphic Industry –Challenges: Strategic Technological ( International and European Market (new solutions also in services, Communication (paper is good!, local production, nearness to customers)

TIPVIS Norway - Service Innovation Methodologies for Graphic Arts Enterprises 13 enterprises € to research over 3 years Total budget 3 mill € 1 doctor Project owner and leader: NHO Grafisk

TIPVIS objectives Develop service innovation methodology (open innovation) Test the methods in such a way that they be used to set up services in close contact with customers –service components to be used in different parts of a graphic arts value chain –personalized –in different media Dissemination of normative results

What are services? Residual / experience (not product) Non-ownership An Act/Performance Intangible products IHIP characteristics –Intangible –Heterogeneous –Inseparable –Perishable Rental/Access Customer contact/centric Customer-provider interactions (*) Transformation Apply competence to benefit another Based on Sampson, POMS 2007

What are the characteristics of services? intangibility – services do not necessarily manifest itself in something physically concrete (cannot develop traditional prototype) inseparability – it is difficult to separate production and consumption of services (cannot test prototype without involving customer) heterogeneity – services are not consistent and change character from time to time (difficult to standardize service innovation) perishability – it is difficult to store services (for later use) (difficult to recap to previous successes) information-intensive – services do embed an important information component (difference between information and competence services)

How we work NHO Grafisk is a project leader that also facilitates the joint work by the enterprises on part project goals The researchers search for, evaluates, describes and change/develop methods that are appropriate for service innovation, and publish their findings The enterprises work together jointly with mutual goals The enterprises work separately and by themselves on specific company development (maybe with some help)

Cooperation model Rearch level Part project level Enterprises level Mutual part goals UiA, HiG E1, E2, E3, E4, ….. E13 Specific company goals Project goals

What have we done so far? Analyses: –Described possible 2013 scenarios –Innovation capabilities of the companies and their components characteristics –Literature studies –Tested method (Ulwick) Documents: –Service Innovation Methodologies studies 1 & 2 –Article on service components characteristics

What have we learned so far? 1 Service Innovation Methodologies 1 (SIM 1): “What can we learn from service innovation and new service development research?” –… service innovation differs from product innovation –… few normative contributions (focusing serv innov) –…the service innovation process is less formal (including more incremental and less disruptive) –Human resources (including customer involvement, communication and network participation) … important innovation condition –… successful service innovation methodologies are required (for normative descriptive and prescriptive recommendations)

What have we learned so far? 2 SIM 2: “How can new product development methodologies be applied to service innovation and new service development?” –… methodologies covered (in the Product Development and Management Association, PDMA glossary) are of product innovation –… a need to supplement with more recent methodologies and methodologies supporting innovation conditions, i types and i outcome measurement –… methodologies identified (in SIM2) must be adapted and applied to service innovation.. (in order to) evolve from being descriptive to being more explanatory and prescriptive –… new service innovation methodologies must be developed and validated –“Thus, no generally applicable service innovation methodologies can be expected to be identified, but a tool box of relevant service innovation methodologies and a framework for which tools apply when and where is more likely to be optimal”

What have we learned so far? 3 Service components characteristics: –“Using business component methodology for structural service innovation– applications to the graphic arts industry” the results of adapting and applying business component methodology analytically to identify service innovation opportunities at the firm and value network level for a group of graphic arts industry firms identified structural service innovation opportunities

What have we learned so far? 4 Outcome-Driven Innovation methodology : –“Adapting Outcome-Driven Innovation Methodology to B2B Services” modifications are required for ODI to be successfully applied to B2B service contexts applying the methodology to improve firm level service innovation

TIPVIS-prosjektets forsknings- og utviklingsresultater Statusundersøkelse på innovasjonsnivået i grafisk (CIS3, 4 og egen undersøkelse) 2 litteraturstudier (tjenesteinnovasjonbetingelser og –effekter, status på tjenesteinnovasjonsmetodikk som kan tilpasses grafisk bransje, 2 rapporter på UiA’s skriftsserie, diverse formidlingsaktiviteter) Business component modeling i grafisk bransje (1 artikkel og strukturelle innovasjoner modnet, f. eks. Skattefunn-søknader) Outcome driven innovation (1 artikkel, 2 studier og nye tjenester i tidsskriftsproduksjon, jfr Skattefunn-søknader) TRIZ-metodikk (nye tjenester i tidsskrift, bok og skjermbasert reklame) Tjenesters kundeverdi (igangsatt studie av grafiske kunder, formidling) Varige konkurransefortrinn med tjenesteinnovasjon (1 artikkel, pris, formidling) Måling og styring av tjenesteinnovasjonsresultater (stipendiat, styringssystemer, 07-gruppen, Skattefunn-søknader) Seminarer (TIPVIS-seminaret, prosjektseminarer i RGB, VerdiVis) Populærformidlingsaktiviteter (bransjetidsskrifter, bransjekonferanser)

Hva har vi lært i/av TIPVIS? Og vi har mye aktiviteter igjen og vil lære atskillig mer, f. eks. er avhandlingsfasen for vår stipendiat startet i høst… Vi kjenner tjenesteinnovasjonsfeltet godt Vi kjenner spesielt NPD- og tjenesteinnovasjonsmetodikkfeltene godt Og vi kjenner tjenesteinnovasjonsmåleproblematikk spesielt godt Vi har konkrete mål på innovasjonsnivået og –innovasjonsproblemene i grafisk bransje Vi har konkrete erfaringer fra potensielt egnede prosessmetodikker Vi kjenner potensielt viktige tjenesteinnovasjoner i grafisk bransje (Skattefunn) Vi har innsett verdien av fast forankret stipendiat Møtepunkt mellom akademia og næringslivet, oftest repr ved ledelsen selv Interaksjon mellom til dels konkurrenter i en bransje, mer enn klynge Proaktivt differensieringsarbeid (erkjennelse i bedrift), mot global konkurranse Medarbeider-erfaring med sannheten (i forskn og statistikk) i migrasjon fra industriprod. mot tjenesteyting, -erkjennelse på et praktisk nivå Med arb erfaring m bruk av TI-metodikk, som til dels aldri har vært brukt før

Where are we visible? 1 Intergraf (International confederation for print and applied industries - Intergraf represents 25 national printing federations in 22 countries in Europe) –” The Future of European Print”-conference, A proximity Industry facing Globalization »Brussel Belgium Oct 07 The 2008 (19 TH ) ISPIM Conference (The International Society for Professional Innovation Management (ISPIM) is a worldwide network of academics, business leaders, consultants (A, B, C) and other professionals involved in Innovation Management), »Tours France, June 08 –“Using business component methodology for structural service innovation– applications to the graphic arts industry”

Where are we visible? 2 17 TH Annual Frontiers in Service Conference: –“Adapting Outcome-Driven Innovation Methodology to B2B Services” »Washington USA, Oct 2008

Road to the future The participating companies will experience a differentiation, better costumer relations and become more profitable – not as vulnerable to global competition as they were with only “print-on-paper focus”

Framtid = Road to the future