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Fuzzy Front End
Introduction
In the distant pastâand particularly for technology companiesâthere was not a clear distinction between the time when engineers invented new technologies and when those technologies were incorporated into new products. In that mindset, program and project managers would set schedules and communicate them to marketing people, who would then set customersâ (and to a large extent investorsâ) expectations of when a product would come to market. In those days, a clear definition or process for bringing innovation to market did not exist. Product launches were often delayed as a result of engineering and technical setbacks. Needless to say, delays of this nature eroded investorsâ confidence in the company, which negatively impacted the level and degree of the organizationâs investment in innovation. As time went by, the innovation process and product development were scientifically studied. This effort led to a number of theories being proposed and put into practice in order to bring efficiency and optimization to this practice.
Many of these theories identified three broad spectrums of the innovation process, beginning with the fuzzy front end of the process, followed by the new product development (NPD) step, and finally commercialization.
Within a corporate environment, when the decision to develop a product is madeâthat is, at the start of the NPD stageâwindows of marketing opportunities are identified; timelines are set, schedules are developed; and product development activities begin in earnest. Due to both market and investor expectations, there is a rush to meet deadlines and timelines. There is little time to explore technology options or to examine âwhat-ifâ scenarios.
Explorations and what-if options belong to the fuzzy front end, when there are no set expectation and schedules. Should a corporation ignore the need for this exploration period, the rush to market may cause oversights and mistakes that may lead to program delays. The expression, âthere is no time to do it right, but there is time to do it over,â might have its roots in this reality.
This chapter provides the reader with an understanding of the innovation process and its comparison and contrast with invention. To a large extent, the fuzzy front end is also a management process reflecting each organizationâs way of filling their product pipeline. For further reading on this topic, I suggest works by Anthony (2012), Adner (2012), and Furr and Dyer (2014).
Innovation Process and Front End Funnel
Figure 1.1 depicts a typical innovation process funnel. In this model, a corporation invites its employees and stakeholders to provide ideas and suggestion for possible new products. At the same time, small technical teams are formed to either initiate development of new technologies or search for other technology start-up companies with promising concepts and even possibly working prototypes. In parallel, the corporationâs marketing team may be assessing and forecasting short-, mid-, and long-term market needs and trends.
Figure 1.1
A typical innovation process funnel.
At this front end, many proposed ideas may be tempting; however, a filtering system must be in place in order to align the proposed concepts with the organizationâs technology roadmap and long-term strategies (Wheelwright and Clark 1992). These filters or âidea management processesâ help identify both required technological and financial resources and estimate potential returns of investments. From these, a few concepts are selected for further development to reach a proof-of-concept phase. Needless to say, of the many proposals, only a few successfully complete the last stage and are placed in the new product development platform. Up until this point, there are no real deadlines for any given conceptsâany one concept may be eliminated from the race at any time, and that process of elimination must actively filter the incoming and provide a few ânuggetsâ for further development. Once the surviving proposals are approved for development and commercialization, the organizationâs mindset shifts into developing timelines and meeting milestones.
I have used âinnovationâ within the concept of the fuzzy front end. Often, innovation is used synonymously with âinvention.â These terms represent slightly different concepts, and I would like to explore them next.
Innovation vs. Invention
Even though innovation and invention seem to be interrelated, they are quite distinct from one another. The basis of an inventionâand therefore applying for its patentâis formed on the three legs of novelty, not being obvious (to someone skilled in the field), and, finally, being useful. Ironically, âusefulâ does not imply market success or financial rewards. The following expired patent entitled âApparatus for Simulating a High-Fiveââas shown in Figure 1.2âwas granted in 1994. The inventors provided the following argument for the usability of this patent.
Figure 1.2
A depiction of the patent âApparatus for Simulating a High-FiveââUnited States Patent Number: 5,356,330, issued on October 18, 1994.
Even though one may argue in favor of the novelty and not-obvious aspect of this invention, it would be difficult to imagine that there is wide use for such a product.
In contrast, innovation is âA novel combination of art, science, or craft employed to create the goods or services used by societyâ (Quinn and Zien 1997, as quoted by Evans 2003). Kahn et al. (2005) define an innovation as, âA new idea, method or device. The act of creating a new product or process. The act includes invention as well as the work required to bring an idea or concept into final form.â One may also define innovation as developing fresh views of products, services, and/or processes with the idea of increasing efficiency and reducing waste.
Hence, one may conclude that invention is only an aspect of innovation. Although an invention is an innovation, an innovation may not need to involve any inventions at all.
Innovation Classifications
If inventions are a subset of innovation, one may ask what the other aspects of innovation are. Before answering this question, I would like to suggest that there are two aspects one needs to keep in mind. The first is the âwhatâ of innovation, and the second is the âhow.â In this context, âhowâ is the organizational processes that would put filters in place to select and approve only the ideas that have the best chance of success. The âwhatâ refers to different types of innovation. In this regard, Anthony (2012) suggests that innovation be viewed in one of two ways: the first being the str...