Dear Dariusz,

iI did a lot of work in quantifying innovation based on remarkable ideas. After a lot of years experience I have the opinion that this never can be done seriously. If you have a market feedback when positioning your idea or product, you easily can quanitify it by the money reflow. So this is the easy answer on your question.

But coming back to your question that should be changed from my opinion to: "

"How can you quantify the innovation potential of ideas"?

• First of all you need to check the potential of your idea. That's classically follows more or less the analysis of some market analysis and the outcoming trends. But be sure! The market don't know the potential of your idea !
• You have to convince your sponsor or your company which have to give the money to follow up you idea. But be sure! He will know it better and never will end with his critical discusssions to explain why it does not work !

What does that mean:

In any case you need a "Greenhouse Evironment" and people or management that believes in your exceeding creativity which allows you to adapt the idea and its realization to the need of the customer in a consequent feedback process.

That's from my experience the only way to create a need in the market.

So consequently we have to ask a second questions adressed to investors and the upper managemant of companies:

"What will you do to promote the nearly endless innovation potential within your staff without using commericial criteria based on an unknowing market"

Wirth best regards :-)

Michael

When you have results of a research before hand then you start thinking to do something better may be economically, quality wise, time technique , efficiency and effectiveness. Taking earlier research/results as baseline and putting something new and different from earlier which would be better than previous one . Then you can measure in every aspect either quality, technology, effectiveness by developing certain indicators which can calculate/show degree of percentage in improvement of new technique/innovation.

Dear Daruisz,

Some years ago I developed a metrics on innovations which looks like an standing open -- one size in Novelty, the second size is the Magnitude of Change, and the particular pages are functional areas in which innovations are applied. The text around page 83 in the enclosed document is in Russian but you can use google translation.

Bests,

Igor Gurkov

I forgot to add one word - " a metrics on innovations which looks like a standing open BOOK".

There are many indicators for innovation climate in organization, for instance:

1. How many ideas organization generate?

2. How many ideas become innovation?

3. Budget for innovations;

4. Budget for education and training;

5. Revenue from innovation...

Dear Dariusz,

iI did a lot of work in quantifying innovation based on remarkable ideas. After a lot of years experience I have the opinion that this never can be done seriously. If you have a market feedback when positioning your idea or product, you easily can quanitify it by the money reflow. So this is the easy answer on your question.

But coming back to your question that should be changed from my opinion to: "

"How can you quantify the innovation potential of ideas"?

• First of all you need to check the potential of your idea. That's classically follows more or less the analysis of some market analysis and the outcoming trends. But be sure! The market don't know the potential of your idea !
• You have to convince your sponsor or your company which have to give the money to follow up you idea. But be sure! He will know it better and never will end with his critical discusssions to explain why it does not work !

What does that mean:

In any case you need a "Greenhouse Evironment" and people or management that believes in your exceeding creativity which allows you to adapt the idea and its realization to the need of the customer in a consequent feedback process.

That's from my experience the only way to create a need in the market.

So consequently we have to ask a second questions adressed to investors and the upper managemant of companies:

"What will you do to promote the nearly endless innovation potential within your staff without using commericial criteria based on an unknowing market"

Wirth best regards :-)

Michael

Dear friends, I do enjoy this discussion about measuring innovation....especially the post by Igor GurkovAdded an answer.....Dear Daruisz,Some years ago I developed a metrics on innovations which looks like an standingopen -- one size in Novelty, the second size is the Magnitude of Change, and theparticular pages are functional areas in which innovations are applied. T​h​… Read more

• ЭНСР_Гурков и др.-2013 №2&4(61&63) (1).pdf1.55 MB Unfortunately, I opened this file and found it on Russian language and can not understand it, would you please share it in English please?? Thank you so much.

Innovation impacts on the knowledge ecosystem , economy and co-creation of value is the best from of quantification.

Knowledge ecosystem is the possession of knowledge and applied experience of foresight for the creation of value and sustainable profits. It is the synthesis of ideas, capital and talents for the development and sustainability of 21st century economy (knowledge economy), which is the core foresight technology. It entails a huge investment flows into human capital as well as information technology. Knowledge is the integral function of intellectual capital and primarily a navigational tool of the future. Intellectual capital is the possession of the knowledge, applied experience, organisational technology, customer relationships and professional skills that provide products & services, with a competitive edge in the market to create the knowledge economy. The new source of wealth is not material; it is information, knowledge applied to work to create value. Foresight technology is the ability of an [individual] to make informed projections with the competitive advantages of the knowledgepreneur®

The defining challenge for competitiveness has shifted, especially in advanced countries. The challenges of a decade ago were to restructure, lower cost, and raise quality. Today, continued operational improvement is a given, and companies in many countries are able to acquire and deploy the best current technology. In advanced nations with relatively high labour costs and equal access to global markets, producing standard products using standard methods will not sustain competitive advantage. Instead, advantage must come from the ability to create and then commercialize new products and processes, shifting the technology frontier as fast as their rivals can catch up .This is the reason for the idea for the innovation-driven Plus of the global competitive index where, the application of the internet of things will improve multifactor productivity of advanced economies.

Intellectual capital will come to dominate the way we value our institutions because it alone captures the dynamics of organisational sustainability and value creation. It alone recognizes that a modern enterprise changes so fast that all it has left to depend on is the talents and dedication of its people (innovation ecosystem) and the quality of the tools they use. It is not for the conceptually faint-hearted. Although intangible and often hidden to management, intellectual capital is essential to the long-term prosperity of organisation in the knowledge.

In summary from my comment above.

Competitiveness of an innovation can be used to measure innovation.

Competitiveness of an innovation can be used to measure innovation : Reason below

The defining challenge for competitiveness has shifted, especially in advanced countries. The challenges of a decade ago were to restructure, lower cost, and raise quality. Today, continued operational improvement is a given, and companies in many countries are able to acquire and deploy the best current technology. In advanced nations with relatively high labour costs and equal access to global markets, producing standard products using standard methods will not sustain competitive advantage. Instead, advantage must come from the ability to create and then commercialize new products and processes, shifting the technology frontier as fast as their rivals can catch up .This is the reason for the idea for the innovation-driven Plus of the global competitive index where, the application of the internet of things will improve multifactor productivity of advanced economies.

Intellectual capital will come to dominate the way we value our institutions because it alone captures the dynamics of organisational sustainability and value creation. It alone recognizes that a modern enterprise changes so fast that all it has left to depend on is the talents and dedication of its people (innovation ecosystem) and the quality of the tools they use. It is not for the conceptually faint-hearted. Although intangible and often hidden to management, intellectual capital is essential to the long-term prosperity of organisation in the knowledge.

Knowledge management can be used to quantify Innovation. Reason:

Knowledge management [KM] is a nascent discipline that is still being articulated and defined. It is certainly fair to point out., though, that the data, information, and knowledge that are collected, analysed, and interpreted through intelligence functions can be managed usually for competitive advantage further downstream within an organisation. Knowledge management functions: the duties cluster around identifying, classifying, organising, and directing useful knowledge to those who need it to make decisions, address business needs, and solve problems.

Knowledge management and intelligence function seek to make knowledge actionable by gathering analysing, interpreting and adding value to it. KM practitioners around the world understand the importance of making intelligence functions an integral part of any effective knowledge management program. No matter what size the organisation is, making decisions and acting on them always carries some degree of risk. When people have the information and knowledge they need to make intelligent, informed decisions, they can minimize risk. Ensuring that the best and most complete information and knowledge are available not only to upper management but to everyone whose work adds value to products and services will become an increasingly important success factor as firms jockeys for competitive positions in the 21st century global economy.

Impacts of quantify innovation :

Modern enterprises changes so fast that all it has left to depend on, is the talents and dedication of its people and the quality of the tools they use to deliver value streams. Knowledgpreneur science ( value co-creation) re-engineers globalization for sustainability and use sustainability science as tool for convergence for collaboration for knowledge local adaption and development. Sustainability science must consider the interplay and dynamic evolution of social, economic and natural systems. It requires an integrated and long term perspective. It addresses the sustainability process as tentative, open and iterative, involving, private sector, scientific, policy and public participation. It captures the possibility of structural discontinuity and support socio-ecological systems. It recognize the critical importance of alternative, and sometimes competing, beliefs, institutional contexts and social structures.

It is sometimes remarked that the only thing certain about the future is that it is uncertain. But as the writer William Gibson once said: “The future is already here - it just isn‟t evenly distributed yet”.

We see that the increasing need for innovation is driven by external factors such as ongoing globalization, the shift of economic gravity away from traditional Western countries, continuing economic uncertainty and changing and more individualized customer demands. From recent research (“The Future of Innovation Management: The Next 10 Years” from Arthur D. Little) that surveyed the opinions of global Chief Technology Officers and Chief Information Officers, we identified key changes in five distinct but interrelated innovation management concepts as being important for the years ahead: customer-based innovation, proactive business model innovation, frugal innovation, high-speed/low risk innovation and integrated innovation.

Trends: More New Business Innovation, More Global, And More Decentralized:

The next decade is set to be even tougher than the last in terms of the need for innovation, something the vast majority of global executives recognise. To stay competitive companies are going to have to up their game, especially in terms of innovation in adjacent/new business areas, and in managing the complexity of truly global, decentralized innovation resources:

New technology-based business development and venturing: This will take an ever-increasing proportion of their efforts, as companies strive to grow and maintain competitiveness through building products and services in adjacent and new business areas

Innovation process management: Companies will need to find new ways to manage their innovation process. The new processes will need to connect much more intimately with customers, to enable application of innovation holistically across the whole of the business, to increase speed to market, to enable development of new business models and to encourage new dimensions such as frugal innovation across a global innovation network.

Knowledge management: Complexity, integration, speed and globalization all mean that excellence in knowledge management, including sources external to the company, is going to be more crucial than ever in the next decade.

Orchestrating decentralized competence centres: Companies‟ investments in Innovation are becoming more and more global, primarily for companies in developed countries. Asia has seen by far the largest inflow of R&D investments from 13% in 2002 to 19% in 2007 of total world R&D expenditure, according to the UNESCO institute for statistics..

In the light of the above, there were interesting considerations, answers and conclusions that may be an inspiration to continue research in this area.

It seems to me that it is good that there was a discussion in the question of this question. The answers given are very inspiring. Therefore, I am still reading the answers, following the interesting discussion.

Thank you for your answers and I encourage you to continue your discussion, to continue the interesting discussion.

Every Innovation success has a silver bullet. Innovation use and adaption

up-grade the innovator re-thinking always for better and smarter products.

'Quantitative' & 'Qualitative' measurement of 'Innovation' of a system is via 'Publications' or 'Patents' as any 'Organisation'/'Institute'/Nation potential is predicted by abovementioned parameters and no other parameters as per my understanding

Number of new marketed products, R&D investment..these are usual measures.