Sustainable Transformative
Innovation: New Capabilities for SMEs
in a Post-Pandemic Era

Professor Kim Hua Tan
University of Nottingham

ICPR Curitiba, Brazil. November 25, 2022

Crossing The
Innovation Chasm

TransformativeInnovation(big data)“Traditional” innovation
long process
high uncertainty
high riskmere illusion

World leading innovation
sets new trends
new industry standard
disrupt existing product & supply
chainscommand higher priceGoogle, Netﬂix, Uber & Airbnb* Google’s online advertising and search engine transform the way
how buyers identify sellers and individuals search for information in
the internet (Google, 2016).
* Uber’s taxi booking mobile application software enables
consumers with smartphones to submit a trip request which is thenrouted to Uber’s drivers who use their own cars to convey thepassenger to a pre-agreed destination (Uber, 2016).
* Airbnb’s lodging website allows users to list and rent lodging of
idled individual’s apartment room or private house.
* Netﬂix is a company providing movie and TV contents/programs tobe online streamed by users via the Cloud resided in multiple servers
located at several regions globally (Netﬂix, 2016).
3

High-Value Creation
Change toTraditional
mechanical watch

RetailAmazon pricemigrating

Conventional digital watch

Smart Watch

US$10 to $100

$500 to $1,000>$10,000 (Rolex)$16,000 high end model

Approx. 12X
Functional Value: tell time + MUCH MORE!!!
New Features: Sync with smartphone – tons of new stuff47

In collaboration with JSB Tech, weshowcase three successfultransformative innovation examples

2020 IPOS
Innovation for
Humanity Award

Winning SIX International
Innovation Awards© JSB Tech, All Rights Reserved

Case 1: Precision Angle andLevelling Instrument1.

For decades, conventional leveling tool are constructed using‘spirit vial’. Their functional performances & features havestayed unchanged!

2.

No new technology has been adopted to radically transform these ‘age-old’tool into new, modern tool relevant to today’s requirements.

3.

However, its functionality/utility (i.e. to level a brick!) & thus existence areindisputably obvious & enduring. A typical characteristic ofcommoditised product!
1.

Over a 50 years old technology

2.

Very Low value added3.

Who are making them?

4.

Who are using them?

© JSB Tech All Rights Reserved

NeglectedOpportunity?
6© JSB Tech, All Rights Reserved

Innovative New Products …
DigiPas ® Digital Levels
NEW Technology

Advanced MEMS &Embedded Technologies

Levelling & Diagnosing Instruments/sensor
Precision CNC machines© JSB Tech, All Rights Reserved

Software & App to assist analysis of the machines

Created Global New
Market/Application…..
1.

Aerospace & Defense

2.

Automobile

3.

Civil Engineering

4.

Medical Tech.

5.

Oﬀshore & Ship.

6.

Photography & Ind. Printing

7.

Precision Engineering

8.

High-Speed Railway & MRT

9.

Research & Education

10.

Semiconductor

Systematic Innovation creates New Opportunity?
o It oﬀers opportunity for Technopreurner to transform
commodity products into radically new products.
o The new product commands much higher price relative to its
conventional counterpart i.e. signiﬁcant added-values due toits new added functions & enhanced performances.
o It focus on existing applications i.e. having well-known
market size, & require no consumer education.
o It sets new trends, new industry standard & takes away
existing product’s market share. Thus disrupting & displacing
existing products, supply chains and distribution channels.
© JSB Tech, All Rights Reserved

9Case 2
1.

2.

3.

For many decades, conventional Padlock, combination lock & Luggage locks
are solely mechanical driven. Their functional performances & features havestayed unchanged, low security & becoming outdated!!!
No new technology has been adopted to radically transform these‘age-old/outdated’ locks into new modern locks relevant to present highmobility society.
However, its functionality/utility & thus existence are indisputably
obvious & enduring. A typical characteristic of commoditized product!!

© JSB Tech, All Rights ReservedSmart Travel Padlock
NEW Technology

Traditional Com-lockBluetooth Smartphones

NFCtechnologyReplacing
CloudTechnology© JSB Tech, All Rights Reserved

Granted Patents in U.S, EU, Japan & China

Case 2: Smart luggage lockTargeted innovation on luggage lock is applied through theuse of proximity access security and smart identiﬁcation
technologies, deploying advanced near-ﬁeld
communication and biometric ﬁngerprint authentication
sensors to enhance security performance.
The new electronic combination lock supersedes thetraditional mechanical lock or digit-dial lock by eliminating
the chance to rummage for keys, to misdial the digitalwheels, or to forget the password of the combination lock,ensuring a hassle-free user experience and peace of mind.
Also, the RFID tag embedded helps to conceal users’
personal information, providing much higher level ofprivacy (egeetouch.com)

High-Value Creation
Transforming
toConventional luggage lock

Smart Travel Padlock

Amazon Price
US$5 to $15$35 to $90
Approx. 7X
Selling service
via software subscription

Functional Value: lock & secure belongings + MUCH MORE!!!
New Features: Sync with smartphone – Locational track Software.
© JSB Tech, All Rights Reserved

High-Value Creation

Change tomigrating

Traditional Vacuum
Cleaner

Dyson Cyclone Vacuum
Cleaner

Roomba iRobot

US$32

US$399.00

US$449.99

Approx. 10X

Approx. 12X

AmazonCurrent
price

Functional Value: suck dust (little/no difference!)
New Features: Radically strong suction, faster & auto…
© JSB Tech, All Rights Reserved

46

HOW to identify, acquire, protect & deploy newtechnologies on commoditised products tocreate high-valued, innovative new products ?
Identificationof Technologies

Development &Designfor ProductTransformation

IP

Identification ofNew technologies

Protection

Identification

Assessmentof Commodityof Newproducts

Value Creation

Scan forCom. Products aligned toBiz. Strategic direction

NPISecuring Patent (IP)at strategic markets

15© JSB Tech, All Rights Reserved

Case 3eGee-Pro - Smart FaceMask

Conventional Face Mask

2020 IPOS Innovation for
Humanity Award

Smart Feature- Real timetranslation- Amplify wearer’s
voice- Subtitles

Case Study• Challenges oflimited resources• New productdeveloped between
Jan-Dec 2020
• Demonstratecapability toinnovate other new https://www.digipas.com/egeepro.php
products• More sustainableproducts from anenvironment
perspective

Marginally ‘diﬀerentiated’ - not another“me too” product trying to squeeze into
crowded face mask market!
Jim Li (CEO)Reusable face mask introduction (May 2020)

IPOS Innovation for Humanity Award (Aug 2020)

Intelligent Translucent Face Mask (April2021)“To be much more resilient, much more sustainable, andmuch easier to operate from a supply chain perspective”

ProductDetails

https://www.egeeproindonesia.com/how-it-works© JSB Tech, All Rights ReservedRapid Iterative Product Development Process

Conventional Approach
DesignDevelop

Test

LauncheGee Pro Rapid Iterative Process
Sprint 1

Sprint 2

Sprint 3

Sprint 4

DesignDesign

DesignDesignDevelop

Develop

Develop

Develop

Test
Launch

AFFORDABL
E&LIGHTWEIGHT

Test
LaunchLIGHT
WEIGHT,
GOOD FIT &EASY
BREATHING

Test
LaunchTest

N95/N99-grade,
TIGHT-FIT,
LaunchSAFETY& COMFORT

Sprints 5, 6, 7

Intelligent
TRANSLUCE
NTIntelligent
Features- Real timetranslation- Subtitles- Etc.

Summary
MERITS of this Innovation Model
This Innovation model focuses on well-known market size of existing
commodity products. Thus, it mitigates the high risk for conventional
startups/SMEs which often depend solely on embedding (i) new
technology to create completely (ii) new products for (iii) an entirely newmarket.
These newly ‘unproven’ niched markets are often tiny in size that limits biz.
scale & growth. Many are ‘merely illusion/imaginary’ rather than realmarkets! Hence, unsustainable & very high failure rate Startups of >95%!
The proposed Transformative Innovation model :(i) Mitigates Market risk (will people buy?)(ii) Mitigates technology risk (will it work?)(iii) Creates new products with Distinctive Features + High Value21

Thank You