Absorptive Capacity, Innovation, and Professional Development February 29, 2008
Posted by John in Innovation.Tags: Absorptive Capacity, Innovation
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Absorptive Capacity is an interesting concept that has absolutely nothing to do with diapers as came to my mind when I first heard the term. I was first introduced to the concept last semester on my India study abroad class. My Innovations textbook defines it as: “a firm’s ability to assimilate new knowledge. The more related knowledge a firm has, the easier it is for it to assimilate the new knowledge.”
Now, I am person, not a company, but what the teacher was talking about when he said he was building up our absorptive capacity is our ability to take in as much learning as possible from the travel portion of class.
For example, if we went to India with no preparation, we’d have been shell-shocked, asking a million questions trying figure out so much of what was going on. Instead, we spent a semester’s worth of classes learning about the country so what we saw would make more sense. By being prepared, we were able to ask better questions and we were able to come to a greater understanding of the country of India.
So then, Absorptive Capacity is integral into being able to take on and understand new concepts. For example, if I was an expert on water purification, learning about vodka filtration and production might be an easy transition. However, if my tasks was to learn computer programming, there is very little overlapping knowledge and the transition would take much longer and would involve tremendously more work.
A key lesson for personal and professional development would be to build on what you already know. Find new skills that overlap the ones you already have. Are you good at conducting meetings? Maybe sales presentations would be a good skill to develop. Build on your strengths and look for ways to bring it all together.
Innovation February 23, 2008
Posted by John in Innovation.Tags: Innovation
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I recently learned a somewhat academic definition of a term I thought I was familiar with. The latest trend in the business world is its heavy emphasis on innovation. From my youth, to me innovation = invention. However in my Innovation and Creativity class I learned that innovation is not quite so. According to the American Heritage Dictionary innovation is: the act of introducing something new. Essentially then, innovation is the act of commercializing an invention. This somewhat demeans what for me was an idealistic concept of being innovative.
On the flip-side, if what you invent never comes to market, you’ve likely failed to make a lasting impact. So, no matter how great it is, an invention must be followed by an innovative process.