Deck 4: Managing Uncertainty

Question 1

Uncertainty increases during the life of an innovation project

Answer 1

False

Question 2

Financial measures are the only way to judge innovation projects?

Answer 2

False

Question 3

Concept testing is:

A) An approach to explore innovation options with potential users to refine the project scope
B) A movement in modern art
C) A financial management tool to assess relative values of share portfolios

Answer 3

An approach to explore innovation options with potential users to refine the project scope

Question 4

Assembling and presenting a business case for an innovation only applies to entrepreneurial start-ups

Question 5

Portfolio management is:

A) A computer-based filing system.
B) A set of tools for assessing and comparing innovation projects.
C) A concept in engineering related to interlinked product features.
D) A financial evaluation tool.

Question 6

Which of these can result from a lack of portfolio management?

A) No limits to the number of innovation projects taken on
B) Reluctance to 'kill' projects under development
C) High failure rates in terms of cost and time overruns
D) Too many low risk projects, lack of 'stretch'

Question 7

Which of the following is not important when choosing the most appropriate forecasting method?

A) Mathematical sophistication.
B) Rate of technological and market change.
C) The organization's planning horizon.
D) The resources available for forecasting.

Question 8

Which of the following is not typically needed for a business plan:

A) Assessment of the market opportunity.
B) Barriers to entry and competitor analysis.
C) Identification and planning for key risks.
D) High-technology product or service.

Question 9

Which of the following techniques is least effective for identifying radical innovations?

A) Market and customer segmentation.
B) Scenario planning.
C) Lead user involvement.
D) Focus groups.

Question 10

The innovation funnel is:

A) A portfolio approach to managing projects.
B) A framework for the increasing resource commitment/decreasing uncertainty relationship.
C) A type of forecasting method.
D) A software tool to assess risk and uncertainty.