Pertemuan 4 - Digital Innovative & Entrepreneurship - Ratih Anggoro Wilis, S.E, M.M

Summary

In this session, Pak Elia, the head of the Management program at Universitas Ciputra Makassar, elaborates on the 'Ten Types of Innovation.' He explains various strategies for innovating within business, focusing on four main areas: configuration, offering, experience, and profit models. Elia discusses practical examples, from cost leadership to collaboration strategies like alliances and mergers, and highlights key concepts such as profit models, customer engagement, and brand innovation. The session aims to inspire students to apply these innovative strategies to their entrepreneurial ventures.

Takeaways

• 😀 The 'Ten Types of Innovation' framework helps businesses create breakthrough innovations through various strategies.
• 😀 Profit model innovation includes approaches like ad-supported models (e.g., Google), cost leadership, and premium models (e.g., Google Drive).
• 😀 Cost leadership involves creating low-cost products at scale, while still maintaining high volume to offset low margins.
• 😀 Floating profit models, like insurance or BPJS, involve customers paying upfront for services to be used later, often without refunds.
• 😀 Premium models offer free services initially and charge for advanced features, such as Google Drive's storage plan.
• 😀 Micro-transaction models allow businesses to earn revenue through small transactions, as seen with apps in Google Play.
• 😀 Network innovation leverages business alliances and mergers, like the Gojek-Tokopedia merger, to expand market reach and profits.
• 😀 Competitive collaboration (e.g., Toyota and Daihatsu) can allow rivals to work together on joint production efforts to create successful products.
• 😀 Internal structural innovations, such as standardized assets, corporate training departments (like McDonald's Hamburger University), and outsourcing, help optimize operations.
• 😀 Process innovation involves making production more flexible and efficient, including using intellectual property protections like patents and lean manufacturing techniques.
• 😀 Customer experience innovation focuses on service models (e.g., Starbucks loyalty programs), channel innovation (e.g., Go-Jek's expansion into food delivery), and brand extension strategies.

Q & A

What is the focus of session 4 in the Digital Innovative Entrepreneurship course?

Session 4 focuses on the continuation of the 'Ten Types of Innovation' discussed in session 3. It delves deeper into different types of innovation within businesses, especially in areas like profit models, business structure, and customer experience.

Who is presenting the material in this session, and what is their role?

The material is being presented by Pak Elia, the Head of the Management Study Program at Universitas Ciputra Makassar.

What is the 'Ten Types of Innovation' model, and why is it considered scientific?

'Ten Types of Innovation' is a framework used to drive breakthrough innovations in businesses. It is considered scientific because it is based on well-conducted research and observations of real-world business practices across various companies.

What are the four key indicators for innovation within a company’s internal structure?

The four key indicators are: profit model, networking, business structure, and business processes.

What are some examples of innovation in a company’s profit model?

Examples include supported profit models (like Adsense), cost leadership (producing low-cost products at high volume), floating profit models (such as insurance), and premium models (like offering free services with optional paid upgrades).

How does a cost leadership strategy work in terms of innovation?

A cost leadership strategy involves creating products that are affordable and attractive to a broad customer base. The key to maintaining profitability with low-margin products is achieving high production volume.

What role does collaboration or alliances play in business innovation?

Collaboration, such as forming alliances or mergers with other companies, can expand a business’s capabilities and market reach. Examples include Sony Ericsson and the merger between Gojek and Tokopedia.

What is the significance of a 'profit center' in a company’s business structure?

A profit center refers to a part of a business focused on generating revenue. The strategy includes optimizing resources, increasing efficiency, and ensuring that each unit contributes to the overall profitability of the company.

What is the importance of 'customer engagement' in innovation?

Customer engagement is vital for fostering loyalty and building a strong brand community. Methods such as loyalty programs, personalized services, and building customer communities help businesses stay connected to their customers and enhance their brand's value.

Can you explain how 'customer experience' innovations are implemented in business?

Innovations in customer experience include offering services like trial programs, personalized services, and building customer communities. Examples include loyalty cards at Starbucks or guarantees offered with products, which help enhance customer satisfaction and brand loyalty.