Innovation in Services - Department for Business, Innovation and Skills

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BOX 1.3: DEVELOPING WORK RELEVANT TO INNOVATION IN SERVICES A number of workstreams complement this project: Introduction ● The Technology Strategy Board (TSB) is running a series of workshops in particular service sectors considering services innovation. Those events will cover Financial Services, Retail and Logistics, Design Services, The Service “wrap around” manufacturing and Environmental Services. ● The TSB will establish a business-led Knowledge Transfer Network (KTN) for the Creative Industries. It will be established along the lines of existing KTNs, but how it engages, the services it offers, and the models of attending, accessing and networking will be geared to the specific needs of creative businesses and practitioners. ● The Work Foundation Knowledge Economy project – The project aims to identify what the knowledge economy is, and how advanced nations can use knowledge and information to spearhead economic growth and competitiveness in the 21st century. (http://www.theworkfoundation.com/futureofwork/research/knowledgeec onomy.aspx) ● The National Endowment for Science, Technology and the Arts (NESTA) is preparing a research report on the nature of ‘hidden innovation’ in sectors outside of high-tech manufacturing. The research covers six case study sectors: oil and gas production; construction; financial services; legal aid services; education; and prisons. ● The Design Council is disseminating the service design expertise of UK companies through the Designing Demand programme (www.designcouncil.org.uk/designingdemand) and is building the knowledge-base in this area (www.designcouncil.org.uk/servicedesign). ● The Economic and Social Research Council (ESRC) have recently awarded a number of grants under a Targeted Initiative on Innovation, and several of these deal with service sector innovation issues. ● The Advanced Institute of Management Research (AIM) has recently made a number of Fellowship awards, enabling UK academics to take their research forward on service-related innovation themes. 19
2 Changing Understanding of Innovation in Services From Technological Adoption to Complex Complementary Changes to Technologies, Skills and Organisation Bruce Tether 1 and Jeremy Howells 2 Executive Summary Despite the dominance of services in economic activity in the UK and other advanced economies, little attention has been paid to innovation in services. This paper provides a review of how understanding of innovation in services has changed over time and, by exploring a large data-set of European service firms, provides empirical evidence on innovation in services. The paper concludes by outlining the research and policy implications of the review and analysis. Between the 1980s and the present day, four perspectives on innovation in services can be identified. The first paradigm is ‘Neglect’, where very little attention, or even acknowledgment, is paid to innovation in services. Here the dominant view is that innovation is about technical advances in machinery, equipment and other goods, and the processes involved with their development and commercialisation. As such, services and other ‘low technology’ sectors, which are predominantly users rather than producers of new technologies, are seen as uninteresting, adopters of technology, rather than as ‘real innovators’. By the early 1980s, the continued growth of services in advanced economies meant that services were increasingly hard to ignore, and a number of innovation researchers set out to explore this part of the economy. This ‘Assimilation’ phase of research was characterised by the attempt to study innovation in services using the conceptual tools developed to understand technological innovation in manufacturing – for example the role of R&D was seen as central. As such, this phase can be seen as an attempt to (at best) assimilate or (at worst) subordinate services into the wider fold of innovation research. 1 Manchester Business School and Advanced Institute of Management Research (AIM), Bruce.Tether@mbs.ac.uk 2 Centre for Research on Innovation and Competition and Manchester Business School, University of Manchester, Jeremy.Howells@mbs.ac.uk 21
Page 1 and 2: DTI OCCASIONAL PAPER NO. 9 Innovati
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In this section we will look at the
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of product and process life cycle s
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Innovation in Services Another find
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Innovation in Services PROTECTING I
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Innovation in Services Eisenhardt,
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Innovation in Services INFORMATION
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