The Role of The Role of Standards in Standards in InnovationInnovation

Robert H. Allen and Ram D. SriramRobert H. Allen and Ram D. Sriram

Presented by:Presented by:

Bidisha SenguptaBidisha Sengupta

AgendaAgenda

• Standards: Definition and TypesStandards: Definition and Types• InnovationInnovation• Natural relation between Innovation Natural relation between Innovation

and Standardsand Standards• Case examplesCase examples• Conslusion Conslusion

Understanding Understanding ‘Standards’‘Standards’

• Defined as “Defined as “documented agreements containing technical documented agreements containing technical guidelines to ensure that materials, products, processes, guidelines to ensure that materials, products, processes, representations, and services are fit for presentationrepresentations, and services are fit for presentation” ”

• Types: Types: a) Metric Standard: Used against which quantities are a) Metric Standard: Used against which quantities are

measured measured ex: Kgs, Meters, liters etc. Typically useful for consumers. ex: Kgs, Meters, liters etc. Typically useful for consumers. b) Process Oriented or Prescriptive standard: Provide b) Process Oriented or Prescriptive standard: Provide

methodology methodology to perform tests and processes in a consistent and to perform tests and processes in a consistent and

repeatable way. repeatable way. ex: American Society of Testing and Material for ex: American Society of Testing and Material for

determining the determining the methods and materials to carry out friction tests on floor methods and materials to carry out friction tests on floor

surfacessurfaces

c) c) Performance based standard: Ultimate Performance based standard: Ultimate performance is specified, not the process. performance is specified, not the process. Based on product experience. Ex: ASCE Based on product experience. Ex: ASCE requires mobile homes in Hurricane prone requires mobile homes in Hurricane prone areas to be wind resistant up to 160 Kmphareas to be wind resistant up to 160 Kmph

d) Standards for Interoperability among d) Standards for Interoperability among systems: To standardize the data used by systems: To standardize the data used by various systems like CAD, to ensure smooth various systems like CAD, to ensure smooth inter system operations ex: STEP ( Standard inter system operations ex: STEP ( Standard for Exchange for Product Model Data) facilitate for Exchange for Product Model Data) facilitate exchange of data representationexchange of data representation

InnovationInnovation

• Defined as “Defined as “Introduction of new idea, Introduction of new idea, method or device to a product or enterprise method or device to a product or enterprise to impart them uniqueness in form, function to impart them uniqueness in form, function or behavioror behavior””

• Types: Types:

a) Fundamental: Innovation resulting in new a) Fundamental: Innovation resulting in new products andproducts and

ideas, not thought to be or required prior ideas, not thought to be or required prior to innovationto innovation

b) Adaptive: Need generated innovationb) Adaptive: Need generated innovation

• Business innovations must create new Business innovations must create new enterprise or productenterprise or product

• It should diffuse and create new marketIt should diffuse and create new market• Edison- Great inventor but unsuccessful Edison- Great inventor but unsuccessful

business innovator!business innovator!• A good innovator uses his/her experiences A good innovator uses his/her experiences

and idea in ways that are unfamiliar. Ex: and idea in ways that are unfamiliar. Ex: Gutenberg combined a coin punch and Gutenberg combined a coin punch and wine press to develop printed page wine press to develop printed page conceptconcept

Relationship between Relationship between Innovation and StandardInnovation and Standard• How does Standard affect evolution of How does Standard affect evolution of

Ideas and Innovation??Ideas and Innovation??• Case 1: QWERTY KeyboardCase 1: QWERTY Keyboard

• Avoid jams in typewriter while typing fast, by Avoid jams in typewriter while typing fast, by placing unrelated letters together and slowing placing unrelated letters together and slowing down typing speeddown typing speed

• Slower the typing rate, less frequent is the JamSlower the typing rate, less frequent is the Jam

Contd.Contd.• Dvorak Keyboard : 20% faster typing speedDvorak Keyboard : 20% faster typing speed• Movement of hands reduced to 1/16Movement of hands reduced to 1/16thth

• Despite the advantages, 99.99% keyboards Despite the advantages, 99.99% keyboards are QWERTY basedare QWERTY based

• QWERTY’s de facto standard for 20 years, QWERTY’s de facto standard for 20 years, hindered the innovation for the society, even if hindered the innovation for the society, even if it improved performance!it improved performance!

Contd.Contd.

• Case II: Product Data ExchangeCase II: Product Data Exchange• Design and Manufacturing process various Design and Manufacturing process various

computer application systemscomputer application systems• Computer Aided Design (CAD)- Design partsComputer Aided Design (CAD)- Design parts• Process Planning System- Establish manufacturing Process Planning System- Establish manufacturing

processprocess• Manufacturing and Designing possess data in their Manufacturing and Designing possess data in their

own formatown format• CAD needs to translate each exchange of data, CAD needs to translate each exchange of data,

which is cost intensivewhich is cost intensive• Standardization of data formats, reduces this cost to Standardization of data formats, reduces this cost to

minimumminimum

Contd.Contd.

• Ex: Boeing 777Ex: Boeing 777• Customers required various configuration of Customers required various configuration of

machines, engines designs etc.machines, engines designs etc.• CAD tools of manufacturers differed with that of CAD tools of manufacturers differed with that of

SuppliersSuppliers• 100s of systems Boeing needed to exchange to 100s of systems Boeing needed to exchange to

design customized productsdesign customized products• Translation number shot upTranslation number shot up• Standardization of data formats by STEP, Standardization of data formats by STEP,

reduced the translators to reducs from n(n-1) to reduced the translators to reducs from n(n-1) to 2n (n is no. of systems)2n (n is no. of systems)

Contd.Contd.

• Data Standards ensured the data Data Standards ensured the data interchange to become easyinterchange to become easy

• Innovation in Boeing designs to be a Innovation in Boeing designs to be a successucces

ConclusionConclusion• Standards and Innovation, very uniquely and Standards and Innovation, very uniquely and

complexly relatedcomplexly related• Value of having standards in place is critical for Value of having standards in place is critical for

economic advancementeconomic advancement• Global standards facilitate exports and Global standards facilitate exports and

international tradeinternational trade• Standards, at times inhibit innovation by codifying Standards, at times inhibit innovation by codifying

inefficient technologies (ex: QWERTY Keyboards)inefficient technologies (ex: QWERTY Keyboards)• However, they also form a baseline by setting However, they also form a baseline by setting

common standards for new technologies to common standards for new technologies to evolve….evolve….