Exploring Idea Selection in Innovative Early- Stage Startups : A Framework for Analyzing Ideas in a Lean Development Context

Sammanfattning: Innovation is a key factor for companies in order to survive in the long-term and to stay competitive. However, it can be challenging to know what ideas (or innovations) to pursue. Large incumbent companies can be slow to innovate, but startups on the other hand, are a great source of innovation. However, many startups fail. Starting a new company is risky, but a countervailing force has emerged called Lean Development. There is a strong need for research and studies on the subject of product development in a Lean Development context and the process of Idea Selection has been somewhat ignored in research. Idea Selection is a part of the Front End of Innovation and is often mentioned as an important factor for success in the innovation process. This study was aimed at creating a framework for Idea Selection, building on the intersection between the Front End of Innovation and the New Product and Process Development in a Lean Development context. The findings are based on current theory on Innovation, Idea Selection and Lean Development as well as a case study conducted at a Swedish insurance startup. The main conclusion of this study is a framework containing four themes: Reach, Impact, Confidence and Effort. By using this framework, startups can more easily decide on what ideas to pursue and thereby move quicker and achieve more success in the innovation process.