Innovation Capability-Value Matrix

The Innovation Capability-Value Matrix is a 2x2 matrix used to assess the capability and value of an innovation. It helps to identify the best opportunities for innovation and prioritize the resources needed to develop them.

At a very high level, the Innovation Capability-Value Matrix is used in the context of business, innovation.

Innovation Capability-Value Matrix quadrant descriptions, including examples
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What is the Innovation Capability-Value Matrix?

A visual explanation is shown in the image above. The Innovation Capability-Value Matrix can be described as a matrix with the following quadrants:

  1. High Capability, Low Value: Innovations with high capability but low value, such as a new product with a limited market, are technically feasible but may not be worth the effort and resources needed to develop them.
  2. High Capability, High Value: Innovations with high capability and high value, such as a new product with a large market, should be prioritized and developed first.
  3. Low Capability, High Value: Innovations with low capability but high value, such as a new product with a limited market but high potential, may be worth pursuing, but require more resources and effort to develop.
  4. Low Capability, Low Value: Innovations with low capability and low value, such as a new product with a limited market and low potential, should be avoided, as they are unlikely to be successful.

What is the purpose of the Innovation Capability-Value Matrix?

The Innovation Capability-Value Matrix is a 2x2 matrix used to assess the capability and value of an innovation. It helps to identify the best opportunities for innovation and prioritize the resources needed to develop them. The matrix is divided into four quadrants, each representing a different combination of capability and value.

The top-left quadrant represents innovations that have high capability but low value. These are innovations that are technically feasible, but may not be worth the effort and resources needed to develop them. The top-right quadrant represents innovations that have high capability and high value. These are the innovations that should be prioritized and developed first. The bottom-left quadrant represents innovations that have low capability but high value. These are innovations that may be worth pursuing, but require more resources and effort to develop. The bottom-right quadrant represents innovations that have low capability and low value. These are innovations that should be avoided, as they are unlikely to be successful.

By assessing the capability and value of an innovation, the Innovation Capability-Value Matrix can help organizations identify the best opportunities for innovation and prioritize the resources needed to develop them.


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What templates are related to Innovation Capability-Value Matrix?

The following templates can also be categorized as business, innovation and are therefore related to Innovation Capability-Value Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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