We need
to reconsider the basic principles and the tasks of intermediaries.
Nagaoka et al.[1]
describes some principles which are essential for an intermediary to establish
connections with the consumers of the innovative product. The principles are
the following:
·
The relations
of intermediaries need to be built on cooperation which is not a zero sum game.
The interests of both parties need to be satisfied and every project that
violates this principle will be unsuccessful.
·
Cooperation
has to be fulfilled in a long term and every methods and resources need to be
adjusted to this aim.
·
Both
researchers and entrepreneurs have to make allowance for their mutual benefits.
·
Higher
educational institutes – therefore intermediaries – have social
responsibilities. Hence, education and knowledge have to be elemental in their
work and their independence has to be assured.
Tasks and working methods of intermediaries also
have to be reconsidered. Nagaoka et al.[2]
mentions principles of processes in the intermediary organizations which increase
the effectiveness:
·
small,
flexible and flat organization structure
·
autonomy and
independence, breaking down bureaucratic gaps
·
employing
well-trained and qualified experts
·
forming
groups to implement tasks and sharing the knowledge between groups
·
balance in
fluctuation of human resources to assure the share of knowledge and skills
·
working in
projects, using feedbacks
·
employing
well-trained project management
·
accepting
failures
·
concentrating
to revolutionary inventions
·
promoting
relationships and cooperation
We can also complete this list with one more
factor – according to Deem et al.[3] – that is to concentrate to the value of inventions and to the value
production. The definition of value contains many risks as the value in an
innovation process can be subjective. Participant can have different definition
of this value; the invention can be precious for one participant and worthless
for an other. Despite value always exists. Therefore intermediaries have to reveal
and understand this value to make the innovation process more effective.
Considering the above mentioned principles I elaborated a new working
method for intermediary organizations. The method was also based on the Project
Cycle Management (PCM) Model of the European Commission. Combining the process
of PCM with innovation management methods, I developed the model of Innovation
Cycle Management (ICM).
ICM have to be based on the following tasks:
·
collecting
and managing ideas and inventions
·
collecting
and managing information about resources – human resources, technology,
financing possibilities, etc.
·
establishing
relations with researchers and research institutes
·
establishing
relations with entrepreneurs and marketing organizations
·
fulfilling
horizontal tasks like cooperation, amplifying trust, communication and
knowledge transfer
Working process of innovation intermediaries can
be illustrated as a cycle, a concentric process. Knowledge transfer and
learning process are the main elements of this model as cycle means to learn
from the experiences of a finished project and build it into the next process.
2. figure: Innovation Cycle Management Model
Resource: own compilation
ICM contains three main sections:
·
tasks of the
innovation intermediary organizations
·
tasks of
researchers
·
tasks of
entrepreneurs
The last two parts contains two projects; the
research projects and the marketing project. Research projects concentrate to
the production of invention and innovative product, and marketing aims to
transfer this product to the consumers.
To describe the tasks of intermediaries we need
to focus on the first part of the model, however intermediary organizations
have to participate in all the three sections. The above mentioned figure
cannot clearly demonstrate the functions and role of intermediaries – e.g. they
have an important role in cooperation and communication with the other two
parties in all parts of the model so they cannot fulfil their tasks
independently. (The dark blue cycle on the figure tries to show this role.) The
above model also represents that innovation process is not linear and continual
feedback is a main task in the process.
The first section – intermediary section – contains
tasks like collecting and managing information and data, managing resources or
identifying and selecting prosperous ideas and launching the innovation
process. The section of researchers contains a special research or R&D
project which can be implemented by the method of project cycle management
(PCM). The last section – but not the least due to the cycle – is the part of
entrepreneurs who implement product development than introduce the new product
into the market. Both part can follow the phases of PCM and marketing can be
fulfilled using special marketing methods and assets – like positioning, PR,
marketing communication, etc.
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