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BS 7000-1:2008

BS 7000-1:2008

$215.11

Design management systems – Guide to managing innovation

Published By Publication Date Number of Pages
BSI 2008 94
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This part of BS 7000 gives guidance on managing innovation, specifically the design and development of innovative and competitive products that satisfy customersā€™ perceived needs and aspirations in the long-term future. It stretches the planning horizon to at least two generations after that currently under development.

NOTE 1 In line with the convention adopted by British Standards, the term ā€œproductā€ also encompasses services, processes and business models.

Guidance covers the total experience and benefits of innovating, as well as the application of general principles and techniques to the management of innovation, from conception, creation, fabrication, delivery and sustenance in markets, right through to withdrawal, final disposal, recycling and the development of subsequent generations of offerings.

The standard applies to all types of organizations (not least small and medium-size enterprises that seek to grow) in manufacturing, process, service and construction industries as well as in the public and not-for-profit sectors.

The guidance in this standard covers all levels of staff and management. It dovetails with that in other design management guides: BS 7000ā€‘2, BS 7000ā€‘3, BS 7000ā€‘4 and BS 7000ā€‘6. Insights are provided into what can be attained at all levels of an organization.

This standard complements BS EN ISO 9001. Innovation is critical to sustaining customer satisfaction over the longer term, and considerable skill is required to design quality into products, services and processes. All innovation, bar none, is designed. No innovation can be implemented or brought to market without going through at least one design phase. Detailed guidance is provided, relating to innovation management systems, which help to achieve the desired quality and customer satisfaction (see Clauses 5 and 6). Notes throughout indicate clauses that facilitate fulfilling the requirements of this widely-adopted specification.

NOTE 2 See Bibliography for other documents providing guidance on general management techniques.

NOTE 3 Guidance on procedures needed to meet statutory requirements (such as health and safety, or product certification and liability) are not intended to be comprehensive.

PDF Catalog

PDF Pages PDF Title
3 Contents
0 Introduction 1
0.1 General 1
0.2 Survival of the fittest 1
0.3 Innovation goes beyond technology 2
0.4 Innovation is not for all 2
0.5 Designing total experiences for products, services and processes 2
1 Scope 7
2 Normative references 7
3 Terms and definitions 8
4 Innovation, newness and an overview of the basics of innovation management 14
4.1 Flow chart of the complete innovation management framework 14
4.2 Planning beyond current horizons 14
4.3 Co-ordinating short-term and long-term work 16
4.4 Nature of innovation 17
4.5 Reasons to innovate 19
4.6 High productivity innovation 20
4.7 Degrees of newness 21
4.8 Sources of newness 21
4.9 The value chain 22
4.10 How change is introduced over time 23
4.11 Innovation and change management 25
4.12 Basis of effective innovation management 28
5 Managing innovation at the organization level 30
5.1 General 30
5.2 Assign responsibilities for innovation 30
5.3 Stage 1 – Review current innovation practices to determine potential for improvement 32
5.4 Stage 2 – Create future vision 32
5.5 Stage 3 – Draw up mission statement relating to innovation 33
5.6 Stage 4 – Distil innovation objectives and strategies from organizationā€™s overall objectives and strategies 33
5.7 Stage 5 – Determine the innovation highway 33
5.8 Stage 6 – Plan introduction of new approach to innovation 34
5.9 Stage 7 – Communicate essence of innovation mission, objectives and strategies 35
5.10 Stage 8 – Promote an innovation-nurturing culture 36
5.11 Stage 9 – Reinforce infrastructure and expertise to manage innovation 37
5.12 Stage 10 – Draw up master innovation programme 38
5.13 Stage 11 – Implement programme and support new approach to innovation 39
5.14 Stage 12 – Evaluate progress and contribution of master innovation programme 41
5.15 Stage 13 – Build distinctive competencies and competitive advantage through innovation 42
5.16 Stage 14 – Document, share, publicize and celebrate achievements through innovation 43
4 5.17 Stage 15 – Enhance organizationā€™s reputation through innovation 43
5.18 Stage 16 – Review and refine overall approach to innovation 44
6 Operating the innovation management framework: Further detail 44
6.1 General 44
6.2 Identification of innovation leaders 44
6.3 Selection of core innovation team 45
6.4 Making time for the longer-term future 45
6.5 Job security 48
6.6 Managing innovation projects with clear stages and gateway reviews 48
6.7 Scope of review of current innovation practices 50
6.8 Top-level review and brainstorming sessions on innovation/Opportunity scanning 51
6.9 Forming innovative alliances 57
6.10 Innovation team brainstorming sessions and project reviews 58
6.11 Environmental dimension of innovation management 61
6.12 Legal dimension of innovation management 61
6.13 Resourcing the long term: Investment in innovation 62
6.14 Fast-tracking 65
6.15 Cannibalization 66
6.16 Plan product withdrawals and replacements 66
6.17 Evaluation of processes and infrastructure 66
6.18 Agility to exploit opportunities quickly and flexibility to change course as necessary 67
7 Tools and techniques for managing innovation 68
7.1 Recording and archiving ideas 68
7.2 Backcasting 68
7.3 Brainstorming 68
7.4 Customer-product experience cycles 69
7.5 Ethnographic research 70
7.6 Inclusive design 70
7.7 Intellectual property 71
7.8 Knowledge management 71
7.9 Rapid prototyping 72
7.10 Risk assessment 72
7.11 Scenario planning 75
7.12 The internet, intranets, extranets and wikis 75
7.13 User-centred design 77
7.14 Visualization 78
Bibliography 80
List of figures
Figure 1 – Innovation self-assessment questionnaire – The organization 4
Figure 2 – Innovation self-assessment questionnaire – Products, services, processes and projects 6
Figure 3 – Overview of complete process for managing innovation at the organization level 15
Figure 4 – Innovation highway with milestones 16
Figure 5 – The innovation pipeline – Screening ideas through to launch 17
Figure 6 – Position of an organization on the change/innovation spectrum 18
5 Figure 7 – Spectrum of newness 21
Figure 8 – Opportunities to innovate throughout the value chain 24
Figure 9 – How change is introduced over time 25
Figure 10 – Hierarchy of change and innovation 26
Figure 11 – Impact on response to change 26
Figure 12 – Factors that affect stakeholdersā€™ response to change 27
Figure 13 – Risk and potential returns in balanced project portfolios 39
Figure 14 – Roles and responsibilities matrix 47
Figure 15 – Primary stages of design/innovation projects 49
Figure 16 – Key activities during top-level review, brainstorming and opportunity scanning sessions on innovation 52
Figure 17 – Length of the innovation highway 53
Figure 18 – Some financial aspects of the width of innovation highways 55
Figure 19 – Key activities during innovation team brainstorming sessions and subsequent project reviews 59
Figure 20 – Some basic questions when vetting proposals 60
Figure 21 – Characteristics of innovative projects and level of associated risks 74
7 Foreword
9 0 Introduction
0.1 General
0.2 Survival of the fittest
10 0.3 Innovation goes beyond technology
0.4 Innovation is not for all
0.5 Designing total experiences for products, services and processes
12 Figure 1 Innovation self-assessment questionnaire – The organization
13 Figure 1 Innovation self-assessment questionnaire – The organization
14 Figure 2 Innovation self-assessment questionnaire – Products, services, processes and projects
15 1 Scope
2 Normative references
16 3 Terms and definitions
3.1 3-Gen product
3.2 backcasting
3.3 blue-sky thinking
3.4 breakthrough innovation
3.5 corporate software
3.6 disruptive innovation
17 3.7 empathetic design
3.8 envisioning
3.9 expertise
3.10 ā€œif onlyā€ analysis
3.11 inclusive design
3.12 incremental innovation
3.13 innovation
3.14 innovation brief
18 3.15 innovation champion
3.16 innovation highway
3.17 innovation leader
3.18 innovation management system
3.19 innovation philosophy
3.20 innovation pipeline (or funnel)
3.21 innovation plan
19 3.22 innovation review
3.23 innovation spiral
3.24 innovation strategy
3.25 innovative alliance
3.26 lead (or expert) user
3.27 length of the innovation highway
3.28 master innovation programme
20 3.29 parametric product brief
3.30 product generation
3.31 radical innovation
3.32 risk assessment
3.33 road map (or route map)
21 3.34 sensitivity analysis
3.35 serial innovation
3.36 serial innovator
3.37 user-centred
3.38 user-friendly
3.39 value chain
3.40 visual imagery
3.41 visualization
3.42 ā€œwhat if?ā€ analysis
3.43 width of the innovation highway
22 4 Innovation, newness and an overview of the basics of innovation management
4.1 Flow chart of the complete innovation management framework
4.2 Planning beyond current horizons
23 Figure 3 Overview of complete process for managing innovation at the organization level
24 Figure 4 Innovation highway with milestones
4.3 Co-ordinating short-term and long-term work
25 Figure 5 The innovation pipeline – Screening ideas through to launch
4.4 Nature of innovation
26 Figure 6 Position of an organization on the change/innovation spectrum
27 4.5 Reasons to innovate
28 a) To improve current situation:
b) To open new horizons:
c) To reinforce compliance:
d) To enhance organizationā€™s profile:
4.6 High productivity innovation
a) solve more problems than originally envisaged;
b) spawn further innovations;
c) set new benchmarks, price points, etc. that competitors struggle to match;
d) interest and inspire more people;
e) are easy to sell, internally and externally;
f) colleagues grasp quickly and make their own;
g) present real and enjoyable challenges to those who develop them;
h) arise out of trouble-free development;
i) are more readily implemented and integrated into host organizations;
j) have fewer shortcomings that are rectified easily at minimal cost.
29 4.7 Degrees of newness
Figure 7 Spectrum of newness
4.8 Sources of newness
30 a) Perceptions and ambitions:
b) What is done:
c) How things are done:
4.9 The value chain
31 4.10 How change is introduced over time
32 Figure 8 Opportunities to innovate throughout the value chain
33 Figure 9 How change is introduced over time
4.11 Innovation and change management
34 Figure 10 Hierarchy of change and innovation
Figure 11 Impact on response to change
35 Figure 12 Factors that affect stakeholdersā€™ response to change
36 4.12 Basis of effective innovation management
a) Organizational stance:
b) Scanning the environment:
c) Problem-solving approach:
37 d) Management system:
e) Resources allocated:
f) Build on experience:
38 5 Managing innovation at the organization level
5.1 General
5.2 Assign responsibilities for innovation
39 a) convince colleagues that their organization can influence and create the future;
b) ensure that planning products and activities for the long-term future is undertaken seriously;
c) provide a future vision that drives their organizationā€™s innovation effort;
d) instil values and understanding of the organizationā€™s mission and objectives relating to innovation in a way that all employees can personalize;
e) provide an innovation management framework by which colleagues can tolerate, and operate with, greater freedom of action to allow innovation to flourish;
f) develop their organizationā€™s culture to nurture innovation and commit to long-term development;
g) provide role models with tangible records of repeated achievement through innovation that inspires colleagues;
h) have the facility to navigate through all business disciplines, processes, projects and change programmes within the organization;
i) act as experts who bring together the right skills, teams and resources, and create alliances to address appropriate opportunities;
j) promote the best use of their organizationā€™s intellectual property and make legitimate use of what others have;
k) promote their organizationā€™s reputation for successful innovation.
40 5.3 Stage 1 – Review current innovation practices to determine potential for improvement
5.4 Stage 2 – Create future vision
41 5.5 Stage 3 – Draw up mission statement relating to innovation
5.6 Stage 4 – Distil innovation objectives and strategies from organizationā€™s overall objectives and strategies
5.7 Stage 5 – Determine the innovation highway
42 5.8 Stage 6 – Plan introduction of new approach to innovation
a) Setting the context:
43 b) Establishing mechanisms:
c) Knowing what has been done:
d) Refining for the future:
5.9 Stage 7 – Communicate essence of innovation mission, objectives and strategies
44 5.10 Stage 8 – Promote an innovation-nurturing culture
a) The foundations:
b) Acknowledgement and leading from the top:
45 c) Involvement of staff:
d) Enlightened systems and rigorous application:
e) Making the most of experience:
5.11 Stage 9 – Reinforce infrastructure and expertise to manage innovation
5.11.1 Need for rigorous innovation management system
46 5.11.2 Augment internal competencies with external expertise
5.12 Stage 10 – Draw up master innovation programme
47 Figure 13 Risk and potential returns in balanced project portfolios
5.13 Stage 11 – Implement programme and support new approach to innovation
49 5.14 Stage 12 – Evaluate progress and contribution of master innovation programme
1) contribution of innovation to an organizationā€™s performance, especially the outcomes of innovative activities, and the achievement of innovation goals and the organizationā€™s overall objectives, and the financial results.
2) master innovation programme (including targeting of organizationā€™s innovation requirements, sanctioning of proposals, portfol…
3) overall cost of the master innovation programme assessed against the whole-life returns from innovations as well as capital and opportunity costs. Compare contributions and returns with investments in other business disciplines.
50 5.15 Stage 13 – Build distinctive competencies and competitive advantage through innovation
51 5.16 Stage 14 – Document, share, publicize and celebrate achievements through innovation
5.17 Stage 15 – Enhance organizationā€™s reputation through innovation
52 5.18 Stage 16 – Review and refine overall approach to innovation
6 Operating the innovation management framework: Further detail
6.1 General
6.2 Identification of innovation leaders
53 6.3 Selection of core innovation team
6.4 Making time for the longer-term future
55 Figure 14 Roles and responsibilities matrix
56 6.5 Job security
6.6 Managing innovation projects with clear stages and gateway reviews
57 Figure 15 Primary stages of design/innovation projects
a) Checks on that work in the immediately preceding stage (and prior stages if appropriate), especially reinforcement of achievements to that point.
b) Confirmation that the organization context and operating environment are unchanged, and project objectives and strategies remain relevant with specific reference to innovation and consumer expectations.
c) Refocusing the project if divergence from aims or fragmentation is detected.
58 1) Approval of stage work and go-ahead to proceed immediately to next stage.
2) Sanctioning progress to the next stage but with specified amendments (perhaps relating to output generated, stated aims, strategies, resources, etc.).
3) Demanding amendments and re-submission before progressing further.
4) Referring the project team back to an earlier stage for reworking (perhaps because some factor has altered).
5) Rejection of stage work and instruction that the stage is repeated.
6) Putting the project on hold either indefinitely or to review/continue at a specified date.
7) Stopping work and abandoning the project.
6.7 Scope of review of current innovation practices
a) Internal reviews:
59 b) External reviews:
6.8 Top-level review and brainstorming sessions on innovation / Opportunity scanning
6.8.1 General
60 Figure 16 Key activities during top-level review, brainstorming and opportunity scanning sessions on innovation
61 6.8.2 Setting the planning horizon by determining length of the innovation highway
Figure 17 Length of the innovation highway
6.8.3 Determining the width of the innovation highway
62 a) financial factors such as the maximum that can be invested in any project, minimum return on investment or maximum payback period (see Figure 18);
b) maximum development time to bring a product to market;
c) performance and risk measures against which ideas and project proposals are judged (see 7.10);
d) target customers, basic means of satisfying their needs, price points, production costs and margins;
e) specific benefits sought, perhaps to enhance customersā€™ experiences of the organization and its products;
f) emerging technologies and practices that hold particular interest and promise;
g) statutory requirements in different countries and standards in different markets;
h) strengths to build on, e.g. core technologies and practices that need to be boosted and protected;
i) weaknesses to be eliminated;
j) sources of likely threats and counter strategies.
63 Figure 18 Some financial aspects of the width of innovation highways
6.8.4 Mapping out future markets
64 6.8.5 Mapping out future technology
1) Identify products that could be developed along the innovation highway, then strive to develop the required technologies. If …
2) Identify technologies used or in development elsewhere, then check how these might be applied. Seeking out emerging technolog…
65 6.9 Forming innovative alliances
a) Share risk/raise performance:
b) Widen opportunities and access:
c) Enhance organization:
66 6.10 Innovation team brainstorming sessions and project reviews
6.10.1 General
6.10.2 Assess and filter new ideas
67 Figure 19 Key activities during innovation team brainstorming sessions and subsequent project reviews
68 Figure 20 Some basic questions when vetting proposals
69 6.11 Environmental dimension of innovation management
a) increase efficiency of operations and facilities/reduce consumption of energy in their processes;
b) increase efficiency of their products in use;
c) reduce material waste (for example, during manufacture and in packaging);
d) reduce adverse impact on the environment through emissions and waste;
e) eliminate complexity in fabrication (e.g. by reducing unnecessary variety in materials and components) and simplify assembly;
f) introduce recycling of products and spent consumables;
g) ensure compatibility when upgrading products so avoiding unnecessary replacement;
h) extend useful life of products by designing out unnecessary obsolescence and short periods between model launches;
i) increase efficiency of distribution by reducing size, and improving stack-ability and storage, better route planning;
j) contain or reduce costs (including obsolescence, recycling and disposal of products).
6.12 Legal dimension of innovation management
70 a) search the internet and patent registries to monitor the state of the art and competitor activity, stimulate own research, and ensure that the intellectual property of others is not infringed;
b) register designs, patents, trade and service marks;
c) create legal circumstances from which new revenue streams can be generated (perhaps through licence and alliance agreements);
d) detect counterfeiting and other IPR infringements quickly, take strong action to stop them, and extract appropriate compensation;
e) pick out fundamental flaws in design that might trigger recalls from market;
f) deal with product defects and complaints;
g) check compliance with all existing and anticipated standards, testing procedures, regulations relating to health and safety at work, and disposal of packaging and products after use;
h) keep track of new legislation in all countries where an organization has interests;
i) make appropriate representations to influence the debate about proposed new regulations and laws;
j) ensure an organization is ready to comply with new legislation whenever necessary.
6.13 Resourcing the long term: Investment in innovation
6.13.1 General
71 a) raises awareness of innovation and tolerance to uncertainty, while enhancing the capacity of all staff to be innovative;
b) upgrades innovation management skills.
72 6.13.2 Financial plans
a) level, timing and nature of cash demands;
b) size of markets and anticipated shares;
c) revenues to be generated over a specified time;
d) anticipated margins to be achieved;
e) profits or surpluses to be generated;
f) payback periods;
g) rating of risks involved;
h) budgetary constraints;
i) cost-benefit analyses;
j) returns on investment and/or capital employed;
k) maximum project budgets;
73 l) monitoring of expenditure;
m) budget revisions where necessary.
6.13.3 Resource plans
a) Does the proposed activity make good use of, and stretch, in-house expertise?
b) Will new technologies be developed, bought in or contracted out to specialists and suppliers?
c) Will new equipment or design aids be developed specifically for the organization or could standard versions be used, perhaps with minor customization?
d) Is adequate accommodation available (for example, space, location and controlled work environments) to allow team members to operate effectively?
e) Are administrative systems in place to enable the activity to progress smoothly to completion? Are these systems adequately coordinated across the different functions and disciplines of the organization?
f) Are ancillary resources and activities planned to avoid cross-functional difficulties, especially at the transitions between stages where responsibilities might transfer between functions?
6.14 Fast-tracking
74 6.15 Cannibalization
6.16 Plan product withdrawals and replacements
6.17 Evaluation of processes and infrastructure
75 6.18 Agility to exploit opportunities quickly and flexibility to change course as necessary
76 7 Tools and techniques for managing innovation
7.1 Recording and archiving ideas
7.2 Backcasting
7.3 Brainstorming
77 7.4 Customer-product experience cycles
78 7.5 Ethnographic research
7.6 Inclusive design
79 7.7 Intellectual property
7.8 Knowledge management
80 7.9 Rapid prototyping
7.10 Risk assessment
82 Figure 21 Characteristics of innovative projects and level of associated risks
83 7.11 Scenario planning
7.12 The internet, intranets, extranets and wikis
84 a) establish a focal contact point for staff and third parties, especially when there is an open invitation to make or validate …
b) help communicate the innovation mission statement, the future vision of the organization and the parameters of the innovation highway;
c) set out the protocol for sharing, divulging and using information (extent, safeguards, guidelines);
d) provide direct access to, and speed applications of, useful information by presenting it in a ready-to-use format;
e) indicate current and emerging technologies and business areas of particular interest;
f) identify leading players and best practices in all technologies, techniques and business processes of interest;
g) list on-going projects, staff and third parties involved;
h) incorporate a register of knowledge, skills and experience within the organization (including individuals to be consulted with queries and requests for support);
i) provide guidance on refining ideas, formulation and submission of project proposals;
j) document case studies of good practice and achievements;
k) publicize innovation success stories from across the organization and acknowledge individuals involved;
l) provide a forum for a competitive internal market such as a ā€œBest five long-term ideas of the monthā€ competition;
m) advise on best ways to use the web (e.g. guidance on key sources of information and how to carry out searches);
n) outline the innovation management system adopted and provide guidance on how it might be used to best effect (e.g. organization of stages, undertaking work, handling the people issues, etc.).
85 7.13 User-centred design
86 7.14 Visualization
87 a) facilitates rapid comprehension and faster adoption of new knowledge and skills;
b) introduces fresh perspectives and encourages multiple viewpoints;
c) illustrates and helps devise enlightened ways to apply these new ideas and technical advances;
d) helps evaluate user appeal through value analyses and ranking preferences;
e) enables testing of usersā€™ comprehension as well as their sophistication in the use of products;
f) provides checks on technical feasibility and isolates potential conflicts between marketing and performance specifications;
g) provides guidance and exemplars for sales and other service/support personnel;
h) establishes common experiences and understanding among development team members, either created together or subsequently shared;
i) isolates inconsistencies of approach and gaps/disjoints in experiences during projected lifecycles;
j) provides messages that are more vivid and real to target audiences, yet allow flexibility and personalization, hence greater potential for development.
88 Bibliography

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