Knowledge, Innovation and Development

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The KID Written by: Kuropatkina Serafima Saint-Petersburg 1998 Ó Kuropatkina S.N. 1.     Moving into the future Knowledge is the thing that makes a difference. It is matter of being better informed than the others, getting ideas before the others, - these are the things that allow some companies to take off and remain leaders for a long time. In the past knowledge and innovations didn't play an important role in company management. The impact of these factors on the competition wasn't very big and obvious. From the second half of 19th century industries and management started to develop rapidly and by the end of 20th century inventions have penetrated all spheres of production, business and human life in general. Competition has dramatically

increased, creating the necessity for each company to improve and develop constantly. We are moving into the future where it is not possible to win the game using traditional methods. This proves a need of a separate structure within each company that would deal with existing knowledge, innovative ideas, development of production process and working life. It is essential to design a completely new department. Let’s call it - the department of Knowledge, Innovation and Development (KID). This system also will allow the company to avoid high opportunity costs of not doing some improvements which could reduce costs and give rise to profits. Let's take a close look on the KID department, its functions and structure. 2.     The department of Knowledge, Innovation

and Development (KID) 2.1     KID's functions The general functions of the KID are: ·        to solve different problems that come up in a company using known methods or new ideas of the employees; ·        to constantly develop company's production cycle and products ·        to give aid to all departments concerning possible improvement and elimination of drawbacks In order to fulfill its general functions KID will carry out the following subfunctions: ·        receiving fresh ideas or problems from staff of different departments ·        selecting the most useful and relevant

ideas and checking the existence of the problem ·        developing ideas and problem solutions (if needed) to level required for implementation ·        making the final decision in cooperation with the department(s) involved ·        implementing the developed idea ·        controlling the implementation process, altering if necessary ·        evaluating the outcome, calculating financial results ·        rewarding the idea maker ·        changing the corporate culture and working environment towards creativity and innovation

values. 2.2     Structure of the KID department In correspondence with its main activities the KID should consist of the following departments: 1)    gathering and filtering department (organizes research, selects ideas, checks the relevance of problems, responds to idea proposers and customers) 2)    developing department (works out solutions to problems pointed out by employees or customers, invites authors of good ideas for closer cooperation) 3)    executive department (plans, runs, controls implementation process, negotiates with other departments) 4)    social relations department (deals with motivation, awards, customer relations and different social activities) At first the department 2)