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- Innovation-Value-Complexity Matrix
Innovation-Value-Complexity Matrix
The Innovation-Value-Complexity Matrix is a 2x2 matrix used to assess the potential of a business idea or project. It is based on the idea that a business should focus on projects that are both innovative and valuable, while avoiding projects that are complex and have low value.
At a very high level, the Innovation-Value-Complexity Matrix is used in the context of business, marketing, finance.
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What is the Innovation-Value-Complexity Matrix?
A visual explanation is shown in the image above. The Innovation-Value-Complexity Matrix can be described as a matrix with the following quadrants:
- Innovative & Valuable: Projects that are both innovative and valuable, and have low complexity (e.g. developing a new product or service)
- Innovative & Complex: Projects that are innovative but have high complexity and low value (e.g. developing a new technology platform)
- Valuable & Complex: Projects that are valuable but have high complexity and low innovation (e.g. optimizing an existing process)
- Low Value & Low Complexity: Projects that are low value and low complexity (e.g. small improvements to existing products or processes)
What is the purpose of the Innovation-Value-Complexity Matrix?
The Innovation-Value-Complexity Matrix is a 2x2 matrix used to assess the potential of a business idea or project. It is based on the idea that a business should focus on projects that are both innovative and valuable, while avoiding projects that are complex and have low value. The matrix is divided into four quadrants, each representing a different combination of innovation, value, and complexity.
The top-left quadrant is labeled “Innovative & Valuable” and is the ideal quadrant for any business project. This quadrant is characterized by projects that are both innovative and valuable, and have low complexity. Examples of projects that fit into this quadrant are developing a new product or service, creating a new marketing campaign, or launching a new website.
The top-right quadrant is labeled “Innovative & Complex” and is the quadrant to avoid. This quadrant is characterized by projects that are innovative but have high complexity and low value. Examples of projects that fit into this quadrant are developing a new technology platform, launching a new product line, or creating a new business model.
The bottom-left quadrant is labeled “Valuable & Complex” and is the quadrant to be wary of. This quadrant is characterized by projects that are valuable but have high complexity and low innovation. Examples of projects that fit into this quadrant are optimizing an existing process, improving an existing product, or expanding into a new market.
The bottom-right quadrant is labeled “Low Value & Low Complexity” and is the quadrant to avoid. This quadrant is characterized by projects that are low value and low complexity. Examples of projects that fit into this quadrant are small improvements to existing products or processes, or minor changes to existing marketing campaigns.
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What templates are related to Innovation-Value-Complexity Matrix?
The following templates can also be categorized as business, marketing, finance and are therefore related to Innovation-Value-Complexity 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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