As paradigms of innovation shift, so do KM

The primary R&D within organizations used to be done in the top-down fashion, with both research directions and resource allocation dominated by the headquarter. Today we are seeing new products and services developed in ways fundamentally different from the traditional method. The bottom-up approach begins with modifying an existing product by customizing it for a particular segmentation along the dimension of cost or features. Successful adoption by that segment may encourage more segments of the customer population to embrace the new product.

The "blue ocean" strategic thinking advocates looking outside the existing territory to find opportunities not yet recognized. When successful, the sidetracking approach may result in a wide open field that is rewarding to the innovators.

While each of the top-down, bottom-up and from-the-side innovation approaches has its place, the open innovation phenomenon has demonstrated its power in such areas as software (e.g., linux and appache), genome mapping, Internet protocols, and even greeting cards design. One of the results of the myriad ways of innovation interacting with one another is one surprise after another in more and more industries.

Test