The New Age of Innovation

THE NEW AGE OF INNOVATION

Introduction

The article discusses on what are the various aspects of business that may lead to competitive success. The main focus of the discussion is how a business can achieve success in N=1 and R=G world which requires focusing on offering individual/customized products to individual customers using global resources. It states on how strategies, Business model and Business processes are contributing to sustained growth through continuous innovation.

Business Processes and ICT Architecture

Business Process is the link between the business strategy, business process and day-to-day operations. The basic components of Business Process are IT architecture and Social architecture. The focus is mainly on ICT Architecture. ICT Architecture contains several layers but the focus is mainly on the first two layers which are business specific applications and customer interfaces, which help in the creation of competitive advantage for a company.

On integration of Business Processes with ICT some extremely successful businesses have emerged. The article gives an example of FedEx, and about how used its business processes in alignment with IT applications by enabling customers to track their orders. This tracking system and Six Sigma quality work processes had made FedEx world's leading logistics company. Several others companies like Wal-Mart, UPS and eBay also have used integration of Business Process and ICT to successfully gain competitive advantage.

Transformation of ICICI Bank in India

In the mid 1990s, entry of ICICI Bank in India revolutionized the working of the banking system in India. They built a connection between corporate strategy, business models and business processes to gain competitive advantage. Management at ICICI found the two unique opportunities of Retail Banking for Middle class and Corporate Banking for business firms which were left untapped by the current banks in India. The company set a strategic goal "To give World class Service at affordable cost to middle-class customers". The company's strategy was to create unique customer experience by the quality and flexibility built into the information technology and analytics capabilities.

ICICI's business Model

The management team had created a successful business model to be incorporated in its core Business Processes which focused on the following

1. Organic growth.

2. Maximum value for customer at minimum cost.

3. Emerging mass markets.

4. Create a banking experience for customers by using ICT.

ICICI had the two major initiatives "Going