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Operations-Based Innovations

Some organizations differentiate between categories and types of innovation. According to the Doblin Group, there are four categories of innovations including finance, process, offerings and delivery. Finance innovation relates to business models, networks and alliances for innovations such as Dell’s personal computer business and supply chain management. Process innovation relates to enabling processes for innovations such as the compensation and benefits packages at Starbucks and real-time inventory management at Wal-Mart. Offerings innovations include innovative product performance through unique features in an automobile, a product system such as Microsoft Office with multiple products and service innovations as seen in Singapore Airlines flights. Delivery innovations include innovations in channel (e.g., Martha Stewart products), brands (e.g., the iPod) and customer experience (e.g., Harley Davidson).

Courtesy of: Praveen Gupta
Added: Jan. 22, 2008