Navi Radjou is an innovation and leadership advisor based in Silicon Valley. Navi is a regular contributor to Harvard Business Review online. Previously, he served as Vice-President at Forrester Research in Boston and San Francisco.
Navi talks of the Hindi concept of Jugaad – clever solutions born out of adversity or doing more with less (equivalent term in English would be a ‘hack’). This is important in developing countries, where less resources force them to find cheap and simple solutions. The talk is a list of examples of this:
- A potter in India has designed a fridge out of clay, needing no electricity.
- A bicycle-powered mobile phone charger
- Peru is a high-humidity area with limited fresh water. They developed a billboard to condense 90L water per day out of the air.
- In China a telemedicine solution is building easy-to-use medical appliances that can be used by nurses or technicians. This will make rural medicine cheaper to deliver.
- MPesa: a banking network based on phone transactions
- MPesa energy: a solar powered minimalist electricity kit including a panel, 3 lights and a phone charger. This can be bought in microtransactions over a year, so it can be made affordable.
- SMS powered internet: to let people connect to the internet without a wifi or mobile internet connection
- Traffic monitoring and optimization by using cheap low resolution webcams to gauge traffic conditions.
In the developed world people are spending a lot on R&D to charge more for products: more for more. However, natural resources are running low and the products are getting so expensive that more people are being left out of the market. The West could learn to make more with less. Some are doing this: for example a yoghurt factory that is 10% the size of a usual factory, and uses more manual labour in place of expensive automation. This greatly decreases startup costs. The West is also starting to use tools like mobile banking or simpler medical appliances to deliver services at lower costs.
3 ideas to help you innovate frugally
- Keep it simple
- Leverage off existing services eg SMS,
- Think horizontally – decentralised, rather than central operations / manufacturing.
A lot of examples. They build up to the big 3 points at the end – how to apply the principles. Also useful to point out that R&D can’t keep being an expensive process, at the expense of squeezing more and more consumers out of the market.