Globalization and the developments in technology have created a very competitive environment in context of innovation. Nowadays, making innovation is not such easy. One of the critical questions in minds while the innovation budgets of companies are increasing continuously is what the components of innovation are.
The components of innovation can be categorized as tangible and intangible resources. Tangible resources include a broad band of raw materials from technology to raw materials, and finance resources while intangible resources are composed of intellectual resources, but rather complex, intellectual capital (IC). Intellectual capital is the intangible value of a business, covering its people (human capital), the value creating to its relationships (relational capital), and everything that is left when the employees go home (structural capital), of which intellectual property (IP) is but one comment. It is the sum of everything everybody in a company knows that gives it a competitive edge. Although tangible sources are important in order to create value in the competitive environment, it is possible to say that the main driver of innovation is IC. At the beginning of the article, we mentioned about the rapid movement of competition in today’s global world. The acceleration in innovation and R & D activities cause accumulation of data. How data can be managed and evolved into information?
Data to Knowledge
One of the most difficult tasks for organizations is to acquire all the valuable knowledge they require. Knowledge Management (KM) is the answer of how information capital will be managed. KM is a discipline that promotes an integrated approach to identifying, capturing, evaluating, retrieving and sharing all the enterprise’s information assets included in databases, documents, procedures, etc.
In the global age, the integration of structural and relational capital by including communication and distribution channels, market and brand values and customers is a condition for innovation.
Geographic Information System (GIS) is software of strategic importance for enterprises, as they allow them to capture, manage and analyse spatial/geospatial or non-spatial data. GIS produce data analysis, including procedures for decision-making to understand what occurs in geographic space. There are various use cases of GIS including customized thematic approaches for specific purposes.
How enterprises can create value by using GIS? How GIS can support your enterprise?
- Examining branch locations, competitor locations and demographic characteristics to identify areas worth of expansion or determine market share.
- Profiling and finding opportunities to gain and build where customers are with market profiling.
- Identifying underserved areas and analysing your competitors’ market.
- Revitalizing selling strategies by reaching out to customers directly with location intelligence.
- Advertising through social, local and mobile mediums through location and making presence more known.
- Increasing credibility and increasing sales with prospective clients, vendors and media by conveying complex data to increase sales.
- Finding which supply chains are vulnerable to better plan for interruptions.
- analysing location-based information to reveal relationship between individuals, families, communities and the environment in which they live.
- Calculating sales potential based on the Huff Model -an interaction model measuring the probabilities of consumers at each origin location patronizing a new store instead of other stores.
- Optimizing consumer profiling with location-based information on age, ethnicity, education, housing and more.
- Segmenting markets by customer prototypes to improve the effectiveness of strategies and campaigns.
- Correlating unthinkable variables like weather and location with buying behaviours to find the sales opportunities.
- Guiding the placement of new stores by studying disposable income, population, or other variables to best serve he population.
When considering the intellectual capital (IC) is the main driver of innovation, GIS provides big advantages to companies in the context of interoperability between relational and structural capitals. Nowadays GIS is widely used by many of world leading companies actively. Maptriks offers location-based systems and business analytics solutions in various fields such as route optimization, site selection, geo-marketing, sales forecasting, geo-branding and segmentation to companies and institutions from Turkey and World by using power of location.