07
04
ACTIONABLE INNOVATION
ROAD MAP
Many companies' headquarters emphasize the importance
of innovation, yet business as usual dominates when the next
steps for the Chinese market are determined. Simply articulating
an auspicious vision for China is far from sufficient. It
takes a structured step-by-step road map targeting specific
milestones for each business unit and ultimately the product
groups.
Before the introduction of innovations, a process must take
place that needs to be actively shaped according to the specific
circumstances of an individual company.
Naturally, due to the
peculiarities of each company,
there is no single, standardized
approach for establishing
an innovation road map.
This takes a clear understanding of the impact that the shifting
Chinese market landscape has on an individual company.
Aside from the external market, every aspect of the business
– from product portfolio, pricing and point-of-purchase, to
processes and governance structures – needs to be carefully
reexamined, and its fit for the upcoming challenges evaluated.
The outcome is an ultimate end-to-end target operating
model that is broken down in all affected business functions.
Capturing this defined target state in detail is the basis of a
company’s “innovation road map”.
Therefore, this report aims to provide companies with a
framework for shaping their individual road maps for innovative
product, service and business models. Based on our
experience, MNCs can face this challenge best by following
three guiding steps: A profound understanding of the
company’s environment sets the scene and is the basis for
reshaping the business model. Companies will only be as
successful as their organizational structures and capabilities
allow – therefore, a comprehensive organizational transformation
must be pursued to support the defined strategy.
FIG. 05 І THREE STEPS TOWARDS INNOVATION
GATHER
INTELLIGENCE
INNOVATION
ROAD MAP
ORGANIZATIONAL
TRANSFORMATION
EXTERNAL LENS
CUSTOMER PREFERENCES
BUSINESS ENVIRONMENT
EMERGING TECHNOLOGIES
COMPETENCY GAP
PRODUCT & SERVICE
INNOVATIONS
PROCESSES &
GOVERNANCE
INNOVATION &
TRAINING
COLLABORATIONS &
NETWORK
INTERNAL LENS
PRODUCT, SERVICE &
SOLUTION OFFERING
R&D CAPABILITIES
(CROSS-BORDER)
GOVERNANCE STRUCTURE
BUSINESS MODEL
INNOVATIONS
INDUSTRIE 4.0
CAPABILITIES