金融產業服務創新策略與經營績效關係之探索

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(1)國立臺中教育大學事業經營研究所碩士論文. The Exploration of the Relationship between Service Innovation Strategies and Firm Performance in Financial Industry 金融產業服務創新策略與經營績效關係之探索. 研究生：王健航撰指導教授：楊宜興博士中華民國一百年六月.

(2) The Exploration of the Relationship between Service Innovation Strategies and Firm Performance in Financial Industry 研究生：王健航. Graduate Student：Jian-Hang Wang. 指導教授：楊宜興 Advisor：Phil Y. Yang. 國立臺中教育大學事業經營研究所碩士論文. A Thesis Submitted to Graduate Institute of Business Administration National Taichung University in Partial Fulfillment of the Requirements For the Degree of Master of Business Administration. June 2011 Taichung, Taiwan, Republic of China 中華民國一百年六月.

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(4) Table of Content List of Tables .............................................................................................. iii List of Figures ............................................................................................. iv 致謝 ............................................................................................................... v Acknowledgements..................................................................................... vi 中文摘要 ..................................................................................................... vii 中文綜論 .................................................................................................... viii ABSTRACT ............................................................................................ xviii Chapter 1 Introduction ............................................................................... 1 1.1 Research Background ........................................................................................... 1 1.2 Research Motivation ............................................................................................. 3 1.3 Research Purpose .................................................................................................. 5 1.4 Outline of the Thesis ............................................................................................. 5. Chapter 2 Literature Review ..................................................................... 7 2.1 The Financial Industry in Taiwan ....................................................................... 7 2.1.1 Environment of the Financial Industry......................................................................... 7 2.1.2 Development of the Financial Industry ........................................................................ 9. 2.2 Innovation and Innovation Strategy.................................................................. 10 2.2.1 Definition of Innovation ............................................................................................. 10 2.2.2 Types of Innovation ................................................................................................... 12. 2.3 Service Innovation ............................................................................................... 17 2.3.1 Definition of Service Innovation ................................................................................ 17 2.3.2 Classifications of Service Innovation ......................................................................... 19. 2.4 Disruptive Innovation ......................................................................................... 23 2.4.1 Definition of Disruptive Innovation ........................................................................... 23 2.4.2 Types of Disruptive Innovation ................................................................................. 25. 2.5 Reverse Product Cycle Model Theory ............................................................... 27 2.6 Firm Performance ............................................................................................... 31. Chapter 3 Research Method .................................................................... 33 3.1 Research Design .................................................................................................. 33 3.2Working Definition and Research Variable Measurement .............................. 35 i.

(5) 3.2.1 Concepts of Service Innovation ................................................................................. 35 3.2.2 Concepts of Disruptive Innovation and Sustaining Innovation.................................. 37 3.2.3 Concepts of Reverse Product Cycle ........................................................................... 38 3.2.4 Concepts of Firm Performance .................................................................................. 39. 3.3 Sample Firm Selection, Data Collection and Pilot Study ................................ 41 3.4 Analysis Techniques ............................................................................................ 42 3.4.1 Descriptive Statistics Analysis ................................................................................... 42 3.4.2 Reliability and Validity Analysis ............................................................................... 43 3.4.3 Validity Analysis ........................................................................................................ 43 3.4.4 Correlation Analysis................................................................................................... 43 3.4.5 Cluster Analysis ......................................................................................................... 44 3.4.6 Analysis of Variance (ANOVA) ................................................................................ 44. 3.5 Characteristics of Respondents .......................................................................... 44. Chapter 4 Research Analysis and Results .............................................. 46 4.1 Reliability Analysis and Validity Analysis ........................................................ 46 4.2 Correlation Analysis ........................................................................................... 51 4.3 Cluster Analysis ................................................................................................... 53 4.4 Analysis of Variance (ANOVA) ......................................................................... 55 4.5 Discussion ............................................................................................................. 57. Chapter 5 Conclusions .............................................................................. 61 5.1 Management and Policies Implications ............................................................. 62 5.2 Research Limits and Future Research .............................................................. 64. Reference .................................................................................................... 66 Appendix 1. The Interviews of Expert Survey ....................................... 74 Appendix 2. List of Expert Interviews .................................................... 79 Appendix 3. Service Innovation Survey .................................................. 80 Appendix 4. The Average Number of Service Innovation Concept ..... 83 Appendix 5. Results of Post Hoc Cluster Analysis ................................. 84. ii.

(6) List of Tables Table 1 Service and Financial Service Activities in Taiwan ........................................ 2 Table 2 Financial Development in Taiwan .................................................................... 8 Table 3 The Important Policies of Development of Financial Industry ................... 10 Table 4 Definitions of Innovation ................................................................................ 11 Table 5 Categories of Innovation Concepts ................................................................ 12 Table 6 Types of Innovation ......................................................................................... 15 Table 7 Categories of Concepts of Innovation ............................................................ 16 Table 8 Definitions of Service Innovation ................................................................... 18 Table 9 Concepts of Definitions of Service Innovation .............................................. 19 Table 10 Classifications of Service Innovation ........................................................... 20 Table 11 Concepts of Classifications of Service Innovation ...................................... 21 Table 12 Characteristics of Service Innovation.......................................................... 22 Table 13 Main Characteristics of the Reverse Cycle ................................................. 30 Table 14 Operational Questions of Service Innovation Involvement ....................... 37 Table 15 Operational Questions of Innovation Level ................................................ 38 Table 16 Operational Questions of Degree of Service Improvement ....................... 39 Table 17 Operational Questions of Firm Performance ............................................. 40 Table 18 Characteristics of Respondentsa................................................................... 45 Table 19 KMO value of All Dimensions ...................................................................... 47 Table 20 Reliability Analysis and Validity Analysis of Service Innovation Involvement Dimension ................................................................................................................ 48 Table 21 Reliability Analysis and Validity Analysis of Innovation Level Dimension ................................................................................................................ 49 Table 22 Reliability Analysis and Validity Analysis of Degree of Service Improvement ................................................................................................................ 50 Table 23 Reliability Analysis and Validity Analysis of Firm Performance ............. 51 Table 24 Means, Standard Deviations, and Correlationsa ........................................ 52 Table 25 Service Innovation Strategy on Firm Performance ................................... 55 Table 26 The Profile of Firm Performance in Service Innovation Strategy ............ 56. iii.

(7) List of Figures Figure 1 The Flow of This Thesis .................................................................................. 6 Figure 2 A Framework for Defining Innovation ........................................................ 13 Figure 3 Types of Innovation over Product Life Cycle .............................................. 14 Figure 4 The Impact of Sustaining and Disruptive Technological Change ............. 24 Figure 5 The Third Dimension of Disruptive Innovation Model ............................. 25 Figure 6 Schematic of Reverse Product Theory......................................................... 28 Figure 7 Classification of Service Innovation Strategy ............................................. 34 Figure 8 Conceptual Framework ................................................................................ 35 Figure 9 Plot of Improvement on Service versus Types of Innovation .......................... 54. iv.

(8) 致謝如果，每一個決定、付出是為了減少遺憾；那這些與我共同身歷其中的每分每秒是否也能為這碩士學習旅途留下是踏實、是珍惜的步步刻痕而共同見證著。兩年的碩士學習光景，指導老師楊宜興博士給學生我的教誨、影響是重要的。學習期間有很多的想法、念頭都是因為老師您的激勵才能有那些過去從沒想過而此刻是激發我主動嘗試的念頭。也因為老師您的身教，讓學生思考更多的潛在可能性，不僅是在學術上的學習探索，也包含著人與人相處在進與退的謙卑態度拿捏、處理事情的輕重緩急衡量等，這些都是震撼與驚艷的。『紅花與綠葉』的隱喻教誨，學生謹記於心，也期許自己假以時日能夠為自己、也為老師您共同綻放、耀眼些盛開的花朵。所長丘周剛博士的照顧和包容也是讓學生感激點滴於心頭。所長對學生在任何事情都能夠給予寶貴意見、勉勵和相關資訊參考，始能建立學生嘗試的勇氣，您的關鍵指點都使學生受惠良多。老師林欣怡博士的相關研究基礎教學也是開啟學生對於研究路程的啟蒙之一，對於學生的碩士論文寫作給予不少指導和支持，讓學生感謝於心。助教朱玲瑤小姐對我總是照顧有佳，總能在不同的專業領域上給我許多資源與指導，從行政、事務、美工到社會經驗等，您的無私指點總是這樣受用。 98 級的事業經營所二甲同袍們:阮旺殷的默默陪伴和時而驚喜、鼓勵是我在這些日子裡面臨低潮時重要激勵之一，能與您一起用心寫下許多難忘的『健旺』熱血故事，我實感榮幸。郭依婷、魏彥婷與我三人之『藍藍香』組合，從學業默契到擇日不如撞日的上山下海、以及主動的盛情相挺，都是使我正向面對生活的能量。陳侎蔆、龔瑞婷的總能在關鍵時說出的關鍵話，給我是驚醒、或者是暗示也罷，都是在關鍵時給予我提攜的拉拔者。戴彩惠的總在前方指點我的疑惑和熱情協助，使我可以去做更該完成的事。蔣昱弘、陳虹天是班上的熱場達人，有你們的妙語如珠，讓研究室總能熱絡不斷。以及感謝陳利珠、許雅喻、王婷譽、楊佩琪學姐們對學弟我的百般提點指引，學弟我感謝有您們的受教。此外，能有這樣的機會小小窺探碩士學習的風采，學生我得感謝林瑋霖、呂侊燏、溫雅琪、宋孟娟等好友的一直在心中持續的陪伴，詹士緯、袁國寧、康裕民等老師過去給學生持續支持與勉勵話語，都是給予學生想證明的堅持勇氣。因為有你們，是學生在當時低潮時會點滴在心頭的陣陣燭光，謝謝你們。最後，如果此刻學生我能有些許表現、或者有些許的燦爛微笑，也都將獻給我的家人們。因為有你們的持續疼愛與包容，才能有這些無後顧之憂的決定與嘗試、也因為有你們的疼惜和教育，才能有我王健航的存在。此氛圍、此心情、此論文，獻給我在意、在意我的所有人。因為有你們，所以謝謝你們。. 王健航謹致於國立臺中教育大學事業經營研究所 R407 研究室 2011/7. v.

(9) Acknowledgements I cannot do everything at once, but I can do something at once. This thesis would not have been possible without the contributions off several people. To all of these people, I wish to express my gratitude. First and foremost, I would like to extend my sincere gratitude to my supervisor, Dr. Phil Yang, for his instructive advice and useful suggestions on my learning road. I am deeply grateful of his help in the completion of this thesis. In the preparation of the thesis and anything I have been confused, he has always spent much time reading through each draft and provided me with inspiring advice. Without his patient instruction, insightful criticism and expert guidance, the completion of this thesis and next milestone of my life would not have been possible. Without his kindness contribution, I could not overcome the obstacles I met and the psychological anxiety I had during these years. I would like to express my heartfelt gratitude to my crony, Wang-Yin Ruan, who has given me a lot of encouragements and courage to face the challenges and always by each other side to create our fighting storey during master study. Also, I would like to thank Yi-Ting Kuo, Yen –Ting Wei, Jui-Ting Kung, and Mi-Ling Chen who kindly gave me a hand when I was down and satisfied me of many unreasonable demands during these two years. All you have enriched my memory and life during this time at National Taichung University of Graduate Institute of Business Administration. Thanks to every person who have helped me somewhere at certain time. The last but not least, my thanks would also go to my beloved parents and older brother for their boundless love and whole-hearted support over all these past years. My family has always been there for me and has inspired me with their generosity and their confidence in me. They continue to be my biggest role models.. vi.

(10) 金融產業服務創新策略與經營績效關係之探索指導教授：楊宜興博士國立臺中教育大學事業經營研究所. 學生：王健航國立臺中教育大學事業經營研究所. 中文摘要. 隨著環境結構的變遷，近年來服務創新相關研究探討已受到日益重視。但過去相關研究多是針對製造業的服務創新策略做討論，鮮少針對金融服務業的環境做相關研究。尤其對於企業在執行服務創新時，針對產業環境中的機會與企業績效的影響提供適當的服務創新策略的研究更是稀少。然而，臺灣的金融服務業發展對於臺灣整體經濟發展是扮演著舉足輕重的角色，但對於其服務創新之研究卻僅多對於金融工具做討論。為補足此研究缺口，本研究以逆向產品生命週期理論與破壞性創新理論為基礎，發展一 2×2 的模型矩陣，建立四種服務創新策略類型:(1) 穩健加值策略、(2)新興目標策略、(3)興旺事業策略、以及(4)碩彥效率策略，並進一步探討分析四種服務創新策略其在公司績效上的表現差異。本研究以全臺灣金融業總公司(包括國營金融事業) 共 198 間企業為研究對象進行調查。在問卷發放之前，本研究透過六位金融業經理人專家意見訪談方式建立其專家效度。在正式發放部分，經由二波問卷回收，共蒐集 48 份問卷，回收率為 24%。經過平均數檢驗刪除一間低程度服務創新活動之企業，共 47 間企業為有效研究對象。透過集群分析發現臺灣金融業目前僅有穩健加值策略、新興目標策略與興旺事業策略存在於金融市場上。並進一步透過變異數分析發現穩健加值策略的企業績效是明顯高於新興目標策略與興旺事業策略。此結果顯示多數企業採用破壞性創新作為服務創新策略相關之活動。但進一步發現，採用維持式創新幫助臺灣金融企業在金融市場上績效表現卻是明顯大於破壞性創新；因此，本研究也進一步針對研究發現結果進行相關討論。此外，本研究所提供的服務創新策略皆能夠幫助管理者思考及時回應客戶的需求與建立其企業本身的持續競爭優勢。最後，本研究針對研究結果與發現提出管理及政策意涵。關鍵字：服務創新、破壞性創新、逆產品生命週期、企業績效. vii.

(11) 中文綜論壹、緒論隨著時間與產業環境的遷移，創新策略在現今已成為重要的管理議題之一，各個企業在面臨市場的變動以及潛在機會可能帶來的挑戰與威脅時，必頇將「創新」的觀點納入管理思考並發展出相關的對應策略(Chou, Chen, & Chen, 2006; Hitt, Hoskisson,. &. Ireland,. 1994;. Kanter,. 2006;. Kline. &. Rosenberg,. 1986;. Leskovar-Spacapan & Bastic, 2007; Moore, 2005; Porter, 1998; Teece, 1996)。尤其是對於服務產業占整體國內產業結構達百分之七十以上的國家，針對服務創新相關概念更是需要值得被注意與探討(de Vries, 2006; Drejer, 2004; Faïz Gallouj, 2002; B. S. Tether, Hipp, & Miles, 2001)。而觀察現今臺灣整體產業環境的動向，根據行政院主計處統計月報指出目前(民國 99 年第一季)整體服務業占全國的產業結構 69%，金融產業占服務業比率更達至 20%，是足以突顯服務創新的重視與應用將會影響台灣整體經濟繁榮發展；而且在未來服務業將持續成長，服務業之服務創新策略重視更將是進一步帶動國家經濟的重要要素之一(Fitzsimmons & Fitzsimmons, 2010)，所以對臺灣目前整體產業發展而言，服務創新之重視不應小覷。進一步來說，臺灣服務業的金融產業更是對臺灣整體經濟發展占有舉足輕重的影響(Chiou, 2009; Hsiao, Chang, Cianci, & Huang, 2010)。尤其在為能與國際金融環境接軌以及創造更多市場機會，許多金融業者不得不開始注重在金融服務創新的開發與拓展(Engelen, Erturk, Froud, Leaver, & Williams, 2010)，而且進一步透過金融服務創新的相關活動發展將帶動整體經濟穩定發展(Plosser, 2009)。然而，金融產業的服務創新相關活動其實早在 1980 年代中期左右就開始逐漸受到各界的關注(Molyneux & Shamroukh, 1999)，但是一直到 2007 年全球的金融海嘯發生後，才真正開始反思相關金融服務創新策略的意涵與挑戰 (Engelen, et al., 2010; Palmerio, 2009)。但綜觀服務創新之相關研究範圍仍然是有限的(Strecker, 2009; Windrum & Tomlinson, 1999)，而且過去學者針對服務創新的研究也多僅於在製造業上探討(Sundbo, 1997)，針對服務業中金融產業的服務創新策略研究更是相對稀少(Palmerio, 2009)，對於個案的相關研究探討也是匱乏，是為一項研究缺口。所以，在面對國際情勢與臺灣整體經濟環境之挑戰，臺灣金融業在金融服務創新上 viii.

(12) 的發展而言，是值得探討與研究的必要。回顧過去相關服務創新策略之相關研究，大多是在探討創新的政府政策(Faiz Gallouj, 2002; Windrum & García-Goñi, 2008)、創新策略運用的挑戰(Korsching, Sapp, & El-Ghamrini, 2003; Ian Miles, 2000)、運用新管理模式、新技術新標準與新服務識別體系等融合科技以提供創新服務(Sundbo & Gallouj, 2000; B. Tether, 2003) 等議題。但卻鮮少探討在執行服務創新時，檢視產業環境中的機會與威脅後，如何提供適當的服務創新策略，以及相對企業內部執行的策略方式；實屬較欠缺一個以企業個體觀點為研究導向的角度探討。而且目前針對金融產業的相關服務創新活動研究上，也大多都是針對金融市場演變的交易工具創新作探討(Frame & White, 2009; Goetzmann & Rouwenhorst, 2005)相關的服務創新活動，但對於金融產業來說，由於整體經濟環境的不確定性以及產業的歷史發展都是影響其金融服務創新的表現(Goetzmann & Rouwenhorst, 2005)，而服務創新策略卻又能夠為組織創造競爭優勢、維持組織效率與改善企業績效表現(Davila, Epstein, & Shelton, 2005; Grant, Jammine, & Thomas, 1988; Oke, 2007; Porter, 1985; Strecker, 2009)；故對於金融產業在面對環境挑戰時的服務創新策略研究是有其重要性，也是本研究的出發點。為能補足過去研究缺口並建立符合金融產業適當的服務創新策略，本研究根據依創新情境所區分的“破壞性創新”理論(Christensen, 1997, 2003)與 Richard Barras (1986, 1990)針對金融服務發現的“逆向生命週期”理論概念，建構一 2×2 策略矩陣，進一步衍生出四種服務創新策略；並針對四種不同策略類型，找出具代表性的金融業個案進行分析驗證所建立的構面與理論。除本章節外，第貳章將回顧相關的文獻；第叁章將建立本研究架構與研究方法；接著，第肆章將依據以本研究所建立的矩陣與衍生出的四種服務創新策略，進一步以全臺灣金融業總公司(包括國營金融業)為研究對象共 198 間企業進行調查；最後，在第伍章，根據本研究之發現加以整理，並提出管理上的意涵與未來研究方向。. ix.

(13) 貳、文獻探討破壞性創新理論破壞性技術(Disruptive Technology)或破壞性創新(Disruptive Innovation)的相關概念主要是來自於 Christensen 的相關文獻 (例: Bower & Christensen, 1995; Christensen, 1997; Christensen & Bower, 1996; Christensen & Overdorf, 2000; Christensen & Raynor, 2003)。所謂的破壞性創新理論是指新組織可以用相對較簡單、便利或者是低成本的創新來創造成長(Christensen, 2003)。破壞性創新可以為企業績效表現帶來別於不同的形態的績效表現(Bower & Christensen, 1995)，透過一些關鍵性的破壞因子或者是潛在的具明顯差別因素來影響目前主導的市場環境(比如最終性的破壞策略，像是百貨公司的促銷活動。)或者是創造一個完全全新的市場(比如全新的破壞性市場，像是無線電話、網路消費購物。)。 Christensen (2003)認為績優企業把科技投資在現有的重要客戶上，雖然可以創造出最大的利潤，但是現有的主流客戶往往排斥突破性的科技，使得過度專注於客戶需求的企業無法投入時間去做其他產品方面的創新，因此讓有創業精神的企業有機會趁勝追擊。除此之外，Christensen (1997)也提出維持性創新的概念，相對破壞性創新來說，維持性創新是延續固有產品計畫的漸進改善、依據客戶的需求而制定並符合主流市場的需求；相較一些小規模、客戶需求不明確的突破性科技更能夠獲得主要客戶的青睞。而破壞性創新與維持性創新之間彼此其實存在相同與共享的共同點，像是兩者皆是能夠創造客戶價值的提升，但是在主流市場下，破壞性創新提升的速度相對會比維持性創新提升來的快一些 (Bower & Christensen, 1995)。破壞式創新(Christensen & Raynor, 2003)主要可分為三類:(1)新市場的破壞性創新 (new-market)，主要集中於產品功能上的創新，因為市場上的需求不確定，規模也較小，企業主要經營是以產品創新來引發市場需求的目標，因此在組織運作上也較為彈性。在此階段面臨的挑戰主要是如何使創新產品符合顧客需求並立足於市場之中。(2)低階市場的破壞性創新 (lowed)，企業運用低成本方式侵略既有價值網路的低階市場，突破顧客對產品要求沒有較高、卻被過度服務的較低階顧客市場。故此創新是降低間接成本，使公司能以較低的利潤爭取豐沃的總淨值. x.

(14) 獲利，且搭配一套使資產周轉率加快的商業模式流程。(3)綜合的破壞性創新 (mixed)，即結合前述兩種型態的破壞性創新。當產品市場進入成熟期以後，市場需求不再成長，產品與製程技術均相對成熟，此時眾多類似產品將行程激烈競爭，如何有效運用創新的經營模式來創造佔有率，尌成為此階段的重心。一般來說，破壞性創新會透過新的服務或者新的產品進一步創造全新的市場環境(Christensen & Overdorf, 2000)。企業應該著力於擴增使用者的領域以及擴長企業本身擅長的優勢能力才創造破壞性的市場，而非僅僅只是在致力於產品或服務的漸進改善。企業需要確定相關的破壞性屬性與新興技術和新的創新，並獲取和利用新知識和建立能力，以便設計和實施一個可行的商業模式和利潤的增長。新的商業模式，利用的破壞性性能屬性並將其納入顧客價值主張是成功的關鍵。而維持性創新是以性能或比表現更好、更高價的產品或服務給高階客戶。在維持性創新的競爭裡，是利用現有流程與成本結構改善或維持利潤，並且善加利用目前的競爭優勢；而市場在位者由於資源較多，相對之下能夠有比較好的優勢，所以維持性創新多半來自於優秀企業針對產品活服務進行改良。因為不同種類的創新將會產生不同的競爭效果，且進一步產生不同種類的市場(Markides, 2006)；而且在針對金融產業為了適應與接受多變的金融環境，必頇以不斷創新改善來維持競爭力(Goetzmann & Rouwenhorst, 2005; Molyneux & Shamroukh, 1999)的特點而言，Christensen 提出“破壞性創新”與“維持性創新” 的創新分類是較符合金融產業的整體服務創新之特性，故本研究將以此二分法作為服務創新策略分類的依據。. 逆向產品生命週期理論逆向產品生命週期理論 (The Reverse Product Cycle)的相關概念主要是由 Barras (1986, 1990)在觀察金融服務時，發現有別不同於傳統生命週期的發展軌跡而提出的觀點。主要的差異是與製造業相比而言，在整體創新流程剛剛好都是觀察金融服務產業相反顛倒的。該理論的提出，貣自於對進行科技應用服務創新的實證研究，而此逆向生命週期概念將會經歷以下三個主要週期階段: (1)相關新技術的導入，以進一步增進服務傳遞效率。(2)開始運用新相關技術使其整體服務績效改善。(3)新相關服務技術、產品開發，當企業透過學習過程、 xi.

(15) 將相關技術服務能對入成為企業內部能力，因而成為創新服務項目。逆向生命週期的概念主要是透過漸進改善的創新方式來提高企業的整體效率，或者是進一步，透過較激進的創新來企圖提高更優質的服務或者相關產品來建構全新的服務價值以開創全新的市場。在整個逆向生命週期過程裡，每一階段都是為了改善企業現況表現而積極為整體績效表現而有所貢獻，而且每一階段也都代表著技術使用的引進與改善。學者 Gallouj (1998) 進一步認為逆向生命週期概念是可以運用在更廣泛的研究領域中，並非僅僅只是運用在技術引進的概念範圍裡。而此逆向生命週期理論之概念提出是因為觀察金融服務表現而發現，對於本研究針對金融產業之服務創新策略之建構探討有相關連接性，所以本研究將針對此理論所提出的因週期階段性不同所針對的改善重點“提升服務效率”與“全新的服務”二構面為本研究服務創新策略建構之依據。. 叁、研究架構與方法本研究旨在探討依據不同情境下，提供企業合適的服務創新策略。本研究以較具一般性的創新理論進行分類，以提升分類架構的適用範圍。本研究認為，破壞性創新理論可以清楚的為企業帶來重要的策略性意涵，破壞性和維持性創新的分類方式，可以有效彰顯在複雜的創新現象中，較具有重要意義的差異性。同時，本研究加入一逆向生命週期理論維度，使企業在分析所面臨的產業變遷以及市場機會後，能夠研擬較合適的服務創新策略判斷。因此本研究結合以上理論，選定兩個主要維度，包括創新程度與服務改善重點，發展一 2×2 矩陣，如圖 1 所示:. xii.

(16) 全新服務. 服務型態. 興旺事業. 穩健加值. 碩彥效率. 新興目標. 效率提升創新程度. 維持性. 破壞性. 圖 1 服務創新策略分類在問卷設計與資料蒐集方面，本問卷內容分為服務創新、創新型態、服務類別、與公司績效四構面設計而成，由過去國外相關研究文獻探討設計而成。在進行正式發放之前，本研究進一步以專家意見訪談方式進行前測，與實務界人士訪談之建議，進而修正問卷的語意以建立其專家效度。而本研究所發展前測對象包括:2 家共 4 位銀行業經理人、1 位保險業經理人及 1 位證劵業經理人，共計 6 位金融業經理人。本研究的研究範圍設定為金融業，故臺灣所有金融業公司皆為本研究對象。其本研究進一步以總公司為研究探討，針對上市上櫃金融業公司與國營金融事業共 197 間公司做問卷發放，經過二次發放催收，回收共 48 份問卷，回收率為 27%。在樣本特性分析方面，本研究填卷之受測者之職位，以總經理階級佔最多數達 41.7%，副總經理佔 4.2%，經理佔 25%，副總經理佔 6.3%，而其他則佔了 22.9%。而以民營企業為最多佔 89.6%，而國營企業則佔了 10.4%。在金融產業別部分，則以銀行業佔最多達 54.2%，証卷業達 20.8%，保險業與其他則都是相同各佔 12.5%。至於在公司成立時間上，以成立 31 年以上佔 66.7%為最多，以 11-20 年佔 16.7% 為第二，接下來是以成立 21-30 年佔 12.5%，最後則是以成立低於 10 年為最少佔 4.2%。. xiii.

(17) 肆、研究分析在進行信度與效度檢驗之前，本研究首先進行 Kaiser-Meyer-Olkin (KMO)值之檢定，其四構面之 KMO 皆大於 .7 以上，顯示是適合進行因素分析之檢定。透過表 1 各構面之信度、效度值，可以看出其特徵值皆大於 1，累積解釋變異量皆大於 60%，以及 Cronbach‘s Alpha 皆大於 .8 以上，因此可以看出本研究具有一定的信度與效度。表 1 各構面之信度、效度值構面. 特徵值. 累積解釋變異量. 服務創新創新程度服務型態公司績效. 1.465 4.343 3.214 6.006. 78.079% 62.408% 64.271% 66.729%. Cronbach’s Alpha .932 .896 .834 .937. 進一步本研究進行相關分析之探討，本研究採用皮爾森(Pearson)績差相關檢驗變項間關聯程度。透過表 2 可以看到其各構面值彼此間皆具高度相關，且皆達顯著水準。此外，本研究進一步考慮可能產生模型有共線性問題，因此本研究同時進行變異數膨脹係數(VIF)來檢視可能造成共線性的解釋變項。本研究迴歸模型其 VIF 值均介於小於 10 的良好範圍，因此無共線性問題。. 表 2 各構面之相關分析構面 Mean. S.D.. 服務創新. 4.56. .87. 創新程度. 4.17. .85. .743 **. 服務型態. 4.27. .89. .819 **. .710 **. 公司績效. 4.64. .76. .678 **. .658 **. 1. 2. 3. .693 **. *p<.05, ** p<.01. 本研究為企業進行集群分析服務創新策略分類之前，先進行服務創新活動之衡量。經過平均數衡量篩選發現，有一家企業在服務創新活動之表現低於平均數 3，僅有平均數 2.5 之表現，顯示出低服務創新活動之行為。故本研究將此家公司予 xiv.

(18) 以刪除，共 47 間公司進行集群分析服務創新策略之分類。由表 3 所示，可以看出在 47 份填答裡，以分類在穩健加值策略共 25 家為最多數，佔 53%百分比，其次以分類在新興目標策略共 15 家佔 32%，興旺事業策略則有 7 家佔 15%，但在碩彥效率策略則沒有任何一家公司分類於此策略。透過此項結果可以得知，多數公司皆是以破壞性創新方式來建立其服務創新策略之相關活動；而以維持性創新方式的策略建立，相對上是極少的，甚至在碩彥效率策是沒有任何填答者分類於此策略。. 表 3 各策略之集群分析策略創新程度策略 1 4.34 穩健加值策略策略 2 3.42 新興目標策略策略 3 5.20 興旺事業策略策略 4 碩彥效率策略. 策略衡量服務型態公司家數 4.64 25. 百分比 53%. 3.26. 15. 32%. 5.48. 7. 15%. -. 0. 0. 在策略之績效表現上，本研究透過變異數分析(ANOVA)方式檢驗其各策略之公司績效上的差異表現。透過表 4 所示，興旺事業策略的公司績效是大於穩健加值策略與新興目標策略，穩健加值策略的公司績效表現是大於新興目標策略。透過此結果顯示，雖然多數企業在服務創新策略活動上採以破壞性創新為目標，但是其整體的企業績效表現卻是以維持性創新的表現更為突出。表 4 各策略在公司績效表現比較 Mean 策略 (1)穩健加值策略 4.85. S.D. .54. (2)新興目標策略. 4.00. .57. (3)興旺事業策略. 5.47. .34. (4)碩彥效率策略. -. -. F-value 21.66***. xv. Scheff’s test (1) > (2) (1) < (3) (2) < (1) (2) < (3) (3) > (1) (3) > (2) -.

(19) 本研究進一步分析其各服務創新策略在公司績效構面上的差異表現。由表 5 所示，興旺事業策略在公司績效各構面皆呈現高程度的良好績效表現，其業績表現、獲利率與潛在增加機會三構面平均數皆達到 5 以上，表示此策略能為公司帶來明顯的績效表現。穩健加值策略其公司績效表現雖低於興旺事業策略，但其三項構面的平均數皆趨近於 5，顯示此策略對於公司績效幫助也是明顯的。在新興目標策略上，其公司績效三構面的平均數表現明顯低於穩健加值策略與興旺事業策略，顯示出此策略為公司帶來的績效表上是相較有所限制。透過此結果可以發現，維持性創新能為金融業帶來公司績效表現是明顯幫助的。表 5 各策略之公司績效構面衡量策略穩健加值策略. 新興目標策略. 興旺事業策略. 公司績效衡量構面 (1)業績表現 (2)獲利率 (3)潛在增加機會 (1)業績表現 (2)獲利率 (3)潛在增加機會 (1)業績表現 (2)獲利率 (3)潛在增加機會. Mean 4.74 4.89 4.93 3.57 4.2 4.2 5.38 5.33 5.71. 伍、結論、管理意涵與研究方向本研究為金融產業建立新的服務創新分類工具，作用是為能夠幫助金融業企業分析外部環境的機會與威脅。並進一步考量金融業的產業環境的不定性因素，納入有別於他產業的發展軌跡“逆向生命週期理論”與 “破壞性創新理論觀點”，建立其四維度服務創新策略；使其企業可以依照不同情境協助預測產業趨勢、協助決策制定。企業組織與生物一樣，都會經歷生命週期。企業在不同的生命階段，要面對不同的生存競爭問題。在企業組織發展的過程中，如果運行的方向正確，會協助企業度過變革的不穩定階段；反之，則否。本研究建構服務類型與創新兩個維度，發展一 2×2 的矩陣，將服務創新策略分為四種類型: (1) 新興目標，(2) 穩健加值，(3) 興旺事業，與(4) 碩彥效率。本研究發現興旺事業策略的公司績效策略. xvi.

(20) 是明顯大於新興目標策略與穩健加值策略，但其興旺事業策略的公司家數卻是三項策略裡最少的。透過此研究可以看出多數公司皆採用破壞性創新，但其維持性創新的公司卻是能夠為公司帶來更明顯的績效表現，因此這是一個值得注意的重要議題。此外，本研究所建立的碩彥效率策略，在結果發現並沒有任何家數分類在此策略裡，本研究進一步認為可能原因有二:在臺灣金融環境裡是有公司分類在此策略，但可能是在所回收的填答公司裡剛好都沒有分類在此，所以無法得知其公司績效表現上的差異。其二可能是臺灣的金融環境市場競爭下，此策略無法使得企業允以獲利生存，故此策略無法存在。回顧過去學術上關於服務創新的分類研究，多是從產業的相關技術(Johnson, Mentor, Roth, & Chase, 1999; Kim & Mauborgne, 1999; Lu, Lin, & Wu, 2005)的觀點探討，或者是從服務特性角度(den Hertog, Broersma, & Van Ark, 2003)與產品研發 (Ark, Broersma, & Hertog, 2003; Sundbo, 2007)等的論點探討不同的服務創新活動；而且針對金融產業的相關服務創新活動研究上，也大多都是針對金融市場演變的交易工具創新作探討(Frame & White, 2009; Goetzmann & Rouwenhorst, 2005)相關的服務創新活動。而本研究與過去相關研究的分類方法不同的地方在於，能夠先從企業外部環境檢視並制定策略方向後，再進行服務創新活動的內部執行設計；更為過去金融服務創新相關研究加入不同的探討分類方式。在未來研究建議上，因為時空之限制，仍有許多尚待釐清之課題。比如:組織介面策略的演變；組織在資源上分配的平衡準則；及組織策略的動態變化具體的發展軌跡等，在未來的研究中，可針對所本篇論文分析架構，可研擬更適切的衡量方法做進一步的探討。. xvii.

(21) The Exploration of Service Innovation Strategies in Financial Industry Adviser: Dr. Phil Y. Yang Graduate Institute of Business Administration National Taichung University of Education Graduate Student: Jian-Hang Wang Graduate Institute of Business Administration National Taichung University of Education ABSTRACT. The importance of service innovation strategies in design and implementation has widely recognized and gained attentions for enterprises to respond the changes of economic structure in now days. Previous studies of service innovation strategies has focused on manufacturing industry, little theoretical and empirical work has linked with financial service industry. Little research investigated the appropriate service innovation strategies of according to industry‘s environment of opportunity by which influence firm performance. This study develops a 2×2 matrix and classifies service innovation into four cells including (1) Steady Value-Added, (2) Emerging Goals, (3) Prosperous Business, and (4) Satisfactory Efficiency for financial service firms according to the innovation theories of ―Disruptive Innovation‖ and ―Reverse Product Cycle‖. This study uses 198 publicly-listed financial firms and state-own financial enterprises as samples. 48 respondents returned useable questionnaires for a response rate of 24 %. Through the statistical analysis of cluster analysis, only Steady Value-Added, Emerging Goals and Prosperous Business Strategy exist in Taiwan‘s financial industry. Moreover, each of service innovation strategy also could impact of different degrees of firm performance. According to the results of ANOVA, the firm performance of Steady Value-Added Strategy was highest than Emerging Goals Strategy and Prosperous Business Strategy, it means that the disruptive innovation activities is important in Taiwan‘s financial market. Finally, all these service innovation strategies could combine innovative services and customized services help financial service firms to accurately response customers‘ demands and as a result build sustainable competitive advantages. Managerial and policy implications for the research findings were conclusions drawn from this study. Keywords: Service Innovation, Disruptive Innovation, Reverse Product Cycle, Firm Performance. xviii.

(22) Chapter 1 Introduction 1.1 Research Background Along with the changing of the economic structure, the design and implementation of service innovation strategies have gained attention to help enterprises respond to market changes (Hitt, Hoskisson, & Ireland, 1994; Kanter, 2006; Kline & Rosenberg, 1986; Leskovar-Spacapan & Bastic, 2007; Moore, 2005; Porter, 1985; Strecker, 2009; Teece, 1996). Over the past few years, a considerable number of studies have discussed innovation as a strategy, but few studies have focused on the manufacturing industry (de Vries, 2006; Spath & Fähnrich, 2010; Sundbo, 2007). Furthermore, little theoretical work has been linked with service innovation (Strecker, 2009; Windrum & Tomlinson, 1999). Following Miles (2000), the forerunner of service innovation of, the service industry has been neglected for a long time. There has been little study of innovation in the service studies in the last decade (Miles & Boden, 2000; Tether, Hipp, & Miles, 2001). Innovative service has become of great importance as in most developed countries, services account for about seventy percent of employment (de Vries, 2006; Drejer, 2004; Gallouj, 2002a; Tether et al., 2001). Service industries will continue to grow in the future, because service is an important economic activity in any country (Fitzsimmons & Fitzsimmons, 2010). Furthermore, according to the year 2011 Industry, Commerce and Service Census announced by the Taiwan Directorate-General of Budget, Accounting and Statistics, Executive Yuan in 2010, the service industry‘s output value in Taiwan accounted for almost 70% of the national GDP. The industry of banking and insurance (i.e. financial service industry) had the highest output value within the service industry in Taiwan. In fact, of the nominal GDP in 2010, it accounted for about 10% of the national GDP, showing the importance of the financial service industry. Table 1 shows Service and Financial Service Activities in Taiwan from 2005-2010.. 1.

(23) Table 1 Service and Financial Service Activities in Taiwan. Year. Service Industry in All Industry (%). Service Industry as a Percentage of GDP (%). Financial Industry in Service Industry (%). Financial Industry as a Percentage of Service Industry GDP (%). 2005. 67.08. 67.19. 11.42. 11.42. 2006. 67.06. 67.05. 10.85. 10.85. 2007. 67.12. 66.77. 10.81. 10.81. 2008. 69.16. 68.93. 10.47. 10.46. 2009. 68.66. 68.90. 9.26. 9.25. 2010 68.83 67.07 9.53 Source: modified from Directorate- General of Budget (2011). 9.49. The Taiwanese financial service industry occupies an important position in the development of the economy (Chiou, 2009). The financial service industry is one of important platforms for people and companies for savings or ventures, and it is also a crucial factor impacting the country‘s economy and the flourishing of development. However, in such a competitive environment and with environmental uncertainty, the competition in the financial service industry is gradually becoming more intensive, because of the dramatic transformation in the market, as well as a variety of methods for investment; therefore, the financial service industry is starting to become aware of the importance and essentiality of ―Service Innovation‖ (Vermeulen & Raab, 2007). Therefore, to gain more advantages from service innovation strategies and predict the outcome of competition in such a race for innovative growth, Christensen (2008) proposed the ―Disruptive Innovation ‖ model from the perspective of both disruptive situations and sustaining situations to help growth builders shape their strategies, so that they pick disruptive fights which they can win. In particular, with the turbulence triggered by the economic shock since 2008, it is a critical point to face the uncertain times in the financial industry. Therefore, it is necessary to achieve prosperous operational strategy which is stronger than ―Disruptive Innovation Thinking‖ and can deal with the market in a flexible way (Anthony, 2009). However, in the financial industry, companies rarely succeed in integrating functions and disciplines into a coherent product development system. Thus, relatively limited opportunities are available for innovation (Vermeulen & Raab, 2007). Moreover, 2.

(24) in regard to the overall of market in the financial industry, most studies have analyzed financial innovation in the real sector, focusing on innovations carried out by agents who do not themselves trade the securities they design (Rahi & Zigrand, 2009). For examples, responding to regulation by sidestepping regulatory restrictions, a considerable portion of financial innovation over the last 30 years has come from the emergence of derivative markets (Acharya, Brenner, Engle, Lynch, & Richardson, 2009; Calomiris, 2009). However, sustain competition advantages, the growth of service innovation activity across industries is now widely recognized and companies are extremely enthusiastic to maintain a dominant position among competitors. This has become a popular topic of discussion in recent years (Corrocher & Zirulia, 2010; Drejer, 2004).. 1.2 Research Motivation Over the past decade, the financial regulation system has been adjusting to the rapid change of the global financial industry structure. Responding to the competition of international financial consortiums, Taiwan‘s banks and insurance and security companies adjusted their operation arrangement according to the Law of Financial Holding in 2001. Taiwan‘s Financial Supervisory Commission was established in 2004 in response to the arrangements of trade and global financial regulation. Therefore, increasing the core competition and innovation are the most important factors when facing fierce competition (Strecker, 2009; Tushman & Nadler, 1986). Innovation strategy is a clear direction and focuses the effort of the entire organization on a common innovation goal. It also consistently identifies as a key success factor for innovation performance and sustainable, overall firm performance, promotes competitive advantage and produces greater organizational efficiencies (Davila, Epstein, & Shelton, 2005; Grant, Jammine, & Thomas, 1988; Oke, 2007; Porter, 1985, 1998; Strecker, 2009; Teece, 1996). However, so far, the study of service innovation strategy has been superficial (Tether et al., 2001; Thrane, Blaabjerg, & Moller, 2010). Reviewing previous research related to service innovation, most studies have discussed topics like the application and practices of the service industry, the challenges of the innovation patterns and dynamics (Korsching, Sapp, & El-Ghamrini, 2003; Miles, 2000), innovative government policies (Gallouj, 2002b; Windrum & 3.

(25) García-Goñi, 2008), the utilization of new management styles, new technology standards and new service identification systems. (Sundbo & Gallouj, 2000; Tether,. 2003), the improvement of flexibility of service procedures, the extension of service scope, the replacement of old service (Bryson & Monnoyer, 2004; Coombs & Miles, 2000; Magnusson, 2003), the progressive development of technology brought by innovation in the service industry (Fitzsimmons & Fitzsimmons, 2010; Thrane et al., 2010).Few studies have investigated the appropriate strategies of service innovation according to the industry‘s environment of opportunity, and few have addressed how to implement an appropriate service innovation strategy. Furthermore, in regard to the environment in the financial industry, Barras (1986, 1990) observed a different feature of the product cycle in the financial industry-―Reverse Product Cycle‖. Barras explained that the process of service innovation in financial accountancy and administrative service is the reversal of that observed in the manufacturing sector. This also has an impact on output and employment. Moreover, investment in more new technologies could have the effect of capital widening. Generally, with the technological improvement and changes of the reverse product cycle, financial innovation has been one of the most influential trends prevailing in international financial markets since 1990s. For examples, Euromarkets business, contingent banking, bank assets securitization and derivative instruments, all have reflected the increasing importance of financial innovation (Molyneux & Shamroukh, 1999). With the growing importance of service innovation in the financial industry, now there is the need to explore strategies which integrate the types of service innovation and the stages in the different features of products in the financial industry. Moreover, innovation has been considered a key driver of the growth and success of firms (Eisingerich, Rubera, & Seifert, 2009). In the realm of service innovation, the global context has become a strategic imperative for service firms. Thus, models of service innovation view the global context as a vital factor (Alam, 2007). Moreover, sustained organizational performance depends on appropriate strategic management of innovation streams (Smith & Tushman, 2005). However, integration of service innovation strategies is necessary. In addition, the reverse product cycle is a special feature in the financial industry. However, few studies have discussed the performance of financial. 4.

(26) innovation based on the financial product cycle and innovation capabilities. Thus, this is the second motivation of this study.. 1.3 Research Purpose Given the brief introduction in Chapter 1.2 and 1.3, the major purpose of this study is provide the appropriate classification of service innovation strategies when firms identify their financial product cycles. The research purpose is presented as follows. (1) To fill in the research gaps, this study investigated the key factors fostering service innovation and the reverse product cycle in the financial industry. (2) This study offers two critical dimensions to build up a simple way to classify service innovation strategies in the financial industry. According to these dimensions, we build a 2×2 matrix and classify service innovation. (3) By using this framework, this study can further analyze and measure the performance of these four service innovation types in terms of the four different constructs.. 1.4 Outline of the Thesis Figure 1 described the outline of the thesis. In order to build a 2×2 matrix between the disruptive innovation theory and reverse product theory of service innovation strategies in the financial industry, and investigate the differences between firm performances for four service innovation strategies, this study is carried out as follows. Chapter 2 reviews the relevant literatures of innovation, innovation strategy, service innovation, disruptive innovation theory and reverse product cycle theory. Chapter 3 constructs the conceptual framework, research design, research methods, survey scope and statistic analysis of this study. Chapter 4 describes the research results and verifies the results introduced in Chapters 2 and 3. Chapter 5 offers conclusions and suggests possible directions for future research.. 5.

(27) Research Purposes. Chapter 1&2 Literatures Reviews. Conceptual Framework. Pre-questionnaire Interviews. Questionnaire Design Chapter 3 Survey Scope. Questionnaire Survey. Validation of Strategies. Data Analysis. Chapter 4&5 Discussion and Conclusion. Figure 1 The Flow of This Thesis. 6.

(28) Chapter 2 Literature Review Chapter 2 follows the research motivations and purposes mentioned in Chapter 1 and discuss background knowledge, terminologies and definitions through a literature review. Section 2.1 firstly clarifies the environment of financial industry in Taiwan. Secondly, Section 2.2 clarifies the definitions about innovation and innovation strategy from previous studies. Section 2.3 summarizes a working definition of service innovation, and then, this study develops the basic foundation for service innovation classification. Section 2.4 then explains the directions of disruptive innovation strategies by discussing models and configurations proposed in previous studies. Section 2.5, explains the theory of reverse product cycle by discussing previously proposed models and configurations. Section 2.6, finally, discusses the relationship between service innovation and firm performance from previous study.. 2.1 The Financial Industry in Taiwan 2.1.1 Environment of the Financial Industry For the national economy, the financial industry normally serves as the main intermediary institution of finance and currency. Its operation has great influences on the society and people‘s livelihood. Taiwan‘s financial environment and rules are different from those of other countries. To create more competitive advantages, the government has developed great forms and regulations to promote linkages with other countries since 2002. According to the ―Standard Occupational Classification‖ from the National Statistics, ―Financial and Insurance‖ is one of the industries within standard industrial classification. The definitions of ―Financial and Insurance‖ giving in the National Statistics is, ―the activities which engage in financial intermediary and auxiliary activities (including insurance and pension funds). Activities of holding assets like financial holding companies, and trusts, funds and other financial vehicles are also classified in this activity. ‖ Generally, the range of the financial industry includes deposit institutions, financial holding companies, trusts, funds and other financial vehicles, personal insurance, property and liability insurance, reinsurance, etc.. 7.

(29) According to gross domestic product information from the ―Monthly Bulletin of Statistics‖ of the National Statistics, the service industry occupied from 67% to 68% of the GDP from 2002 to 2009 among all industries. In particular, the percentage of the financial industry in service industry also has made minor progress in recent years. The gross domestic product of the financial industry reached 10%. Moreover, from 2000 to 2009, the total number of financial institutions increased from 2,693 to 4,539. With regard to insurance, according to the Taiwan Insurance Institute statistics, from 2000 to 2010, the insurance density, insurance penetration and ratio of having insurance coverage reached NT$ 104,423 dollars, 17% and 210%, indicating that Taiwan‘s financial industry has achieved maturity and showing the importance of the financial industry. Table 2 summarizes a list of important data on financial development in Taiwan in period mentioned above. Table 2 Financial Development in Taiwan Ratio of. Year. Insurance. Insurance. having. Service Industry. Density. Penetration. Insurance. occupied the. (NTD). (%). Coverage. Industry (%). Institutions. (%). Gross Domestic Product in all. Number of Financial. Life and. Life and. Life and. Non-Life. Non-Life. Annuity. Insurance. Insurance. Insurance. Branches. Local. of. Branches of. Domestic. Foreign. Banks. Banks. 2000. -. 32,058. 7.12. 121.41. 2,693. 70. 2001. -. 36,585. 8.31. 135.40. 3,005. 69. 2002. 67.55. 43,991. 9.52. 143.70. 3,068. 68. 2003. 67.25. 54,949. 11.61. 158.87. 3,173. 69. 2004. 66.58. 62,760. 12.53. 166.21. 3,189. 67. 2005. 67.19. 69,225. 13.43. 176.13. 3,239. 68. 2006. 67.05. 73,340. 13.70. 184.01. 3,285. 64. 2007. 66.77. 86,579. 15.40. 196.03. 3,313. 83. 2008. 68.93. 87,971. 15.96. 203.27. 3,264. 141. 2009. 68.90. 91,195. 16.83. 204.84. 3,279. 133. 2010. 67.07. 104,423. 17.77. 210.70. 4,539. 92. Source: modified from Taiwan Insurance Institute (2011). 8.

(30) 2.1.2 Development of the Financial Industry The economic structure in Taiwan has changed along with social development. In Taiwan, the financial environment endured three important reforms. First, the ROC government announced the Commercial Bank Establishment Promotion Decree in order to open up the financial market further in 1991. The government then invited domestic and foreign investors to participate in Taiwan‘s financial industry and set up new, privately owned commercial financial firms beginning in 1992. Second, the Asian financial crisis in 1997 affected the operation of Taiwan enterprises, and also influenced the financial industry. Third, after financial deregulation, excessive opening of new financial firms and foreign financial firms lead to fierce competition in the financial industry. Moreover, the government passed the Bank Mergers and Acquisitions Act, and Financial Holding Company Act in December 2000 and July 2001. Furthermore, recently government policy has placed heavy emphasis on the development of the financial industry. First, the government has formed the regulations to abide with BASEL II and adjust the rates of Taiwan‘s financial institutions to stimulate trade with other countries. Second, the government has pushed the policy of corporate governance and strengthened the internal management system of all financial institutions. Third, it has relaxed the limits of recruitment of the employees from abroad. Fourth, to expand the economic scale of the financial industry in Taiwan, the government has also encouraged the merging of financial institutions and opening up of cross-business operations in order to achieve the goals of integration and macro-scale operation of the financial industry of Taiwan. In particular, ―The Financial Region Service Center Plans‖ have focused on the five financial directions to enhance the internationalization of the financial market of Taiwan. This major policy plan has been in practice since 2005. Moreover, the plan for national development in the financial market in 2010 is intended to guide the course of national development and improve efficiency in the utilization of total resources. Table 3 shows the important policy for the development of the financial industry. The competition in the financial industry is gradually getting more intensive, because of the dramatic transform in the market and the variety of methods used to invest. Innovative and versatile financial products have evolved due to the globalization and internationalization of the financial market Service innovation strategy is a useful 9.

(31) means that transforms invisibles property into visible property. The successful operation of business does not just depend on economic prosperity, though the boom and bust of prosperity cannot be controlled. Therefore, service innovation strategy is the most vital subject for the financial industry today. Table 3 The Important Policies of Development of Financial Industry Year Policy The ROC government announced Commercial Bank Establishment Promotion 1991 Decree in order to open up the financial market further. Government then invited domestic and foreign investors to participate in 1992 Taiwan‘s financial industry and set up new, privately owned commercial financial firms Financial crisis in Asian affected the operation of Taiwan enterprises, and so 1997 does influenced in financial industry. Government passed the law of Bank Mergers and Acquisitions Act in 2000 December, 2000. 2001 Government passed the law of Financial Holding Company Act in July 2001. 2005. Government forms the regulations to abide the BASEL II for adjust the rates of Taiwan‘s financial institutions and to links the trade with other country.. The plan for National Development is to guide the course of national 2010 development and improve efficiency in the utilization of total resources in financial market.. 2.2 Innovation and Innovation Strategy 2.2.1 Definition of Innovation The concept of innovation was first originated by Schumpeter in the book ―The Theory of Economic Development‖. The concept of innovation is the implementation of a ―new combination‖ of all production factors ( Schumpeter, 1934). Specifically, innovation should consist of the following factors: (1) new products or improvements in quality on products (2) new models of production (3) develop of new markets (4) creation of sources of new materials or semi- manufactures (5) new industry organization. Schumpeter (1942) also emphasized the difference between innovation and invention. Invention occurs ―independent of any practical need‖ whereas innovation arises directly from a particular economic need (Schumpeter, 2005). Schumpeter‘s innovation hypotheses points out that inventions are just the novel outputs or breakthroughs in the laboratory, and they may not be able to transform commodities or 10.

(32) goods. The converse holds for innovation. An innovation is improves or modifies the present product or process. The Schumpeterian view of innovation holds that entrepreneurs bridge the gap between invention and innovation by developing the economic uses and markets for particular inventions. Innovation results when an invention or new knowledge is put into commercial use (Freeman & Soete, 1997). According to this view, all inventions are potential innovations. Most agree that many inventions are not put into practical use and that an innovation requires market introduction (Freeman & Soete, 1997; Schumpeter, 2005; Usher, 1955). To put it plainly, innovation represents the behavior of commerce and the activity of implementation. All factor combinations are eventually replaced by new ones which lead to significant improvements. Numerous definitions for innovation have emerged since Schumpeter (Hauschildt, 2004). Applying the concept of innovation in a variety of fields, previous studies related to innovation have used different definitions. This study summarizes definitions of innovation in Table 4. Table 4 Definitions of Innovation Research Definitions Freeman (1982) Innovation equaled to invention plus commercialization. Damanpour & Evan (1984) Christensen (1992) Hill & Jones (1992) Drucker (2002). Garcia & Calantone (2002). Afuah (2002) Betz (2003) Strecker (2009) Tidd & Bessant (2009). Innovations were considered to be responses to environmental change or means of bringing about change in an organization. A change in one or more of such inputs, processes, techniques, or methodologies that improves the measures levels of performance of a product or process. Innovation covered any new method in production in manufacturing including process management system, increase of product styles, development of organization and strategies. Innovation is the effort to bring about a well-oriented, purposeful change in the economic or social potential of a company. Innovation is an iterative process initiated by the perception of a new market and/or new service opportunity for a technology based invention which leads to development, production, and marketing tasks striving for the commercial success of the innovation. Using the new knowledge to provide the new product or service to the customers. Innovation is the way that leads the new production, process or service to the market. Innovation is qualitatively new product, which distinguish themselves significantly from previous ones. Redesign or improve the production, service or direction that could increase the growth for the industry. 11.

(33) Furthermore, reviewing the definitions of innovation shown in Table 4, this study uses the table to arrange categories of definitions of innovation (see Table 5). This study, found that most of the definitions focus on products to interpret innovation rather than other concepts. Besides, as seen in Table 5, few definitions explore the concept of the market and the organization of innovation. This study, therefore, reasonably concludes that definitions of innovation not only involve the creation of new products or production processes, but also involve the creation of new business and management models, new services, distribution channels and so forth. Therefore, innovation represents not only an opportunity to grow and survive, but also to influence the sector and change the results of the game.. Table 5 Categories of Innovation Concepts Innovation Concepts Products Model Market Source Organization Schumpeter (1934) ＊＊＊＊＊ Freeman (1982) ＊ Damanpour & Evan (1984) ＊＊ Christensen (1992) ＊＊＊ Hill & Jones (1992) ＊＊＊ Drucker (2002) ＊＊ Garcia & Calantone (2002) ＊＊＊ Afuah (2002) ＊＊ Frederick Betz (2003) ＊＊＊ Strecker (2009) ＊＊ Article. Tidd & Bessant (2009). ＊. 2.2.2 Types of Innovation The notion that there are different kinds of innovation, with different competitive effects, has been an important theme in the study of technological innovation since Schumpter (1942). Henderson& Kim (1990) followed Schumpeter‘s emphasis on creative destruction and pointed out the framework of innovation. This idea was used in Figure 2, which classifies types of innovation along two dimensions. The horizontal dimension captures an innovation‘s impact on components, while the vertical captures its impact on the linkages between components. The innovation types should includes as following. Incremental innovation, refines and extends an established design. Improvement 12.

(34) occurs in individual components, but the underlying core design concepts, and the links between them, remain the same. Modular innovation, such as the replacement of analog with digital telephone. To the degree that one can simply replace an analog dialing device with a digital one, it‘s an innovation that changes a core design concept without changing the product‘s architecture. Architectural innovation, is the reconfiguration of an established system to link together existing components in a new way. Radical innovation, establishes a new dominant design and a new set of core design concepts embodied in components that are linked together in a new architecture.. Core Concepts Reinforced. Linkages between core concepts and components. Overturned. Unchanged. Incremental Innovation. Modular Innovation. Changed. Architectural Innovation. Radical Innovation. Figure 2 A Framework for Defining Innovation Source :Henderson & Clark (1990), p12 Tushman & Nadler (1986) pointed out that innovation is often associated with major product or process advances. The vast majority of successful innovations are based on the cumulative effect of incremental change in products and process, or in the creative combination of existing techniques, ideals, or methods. Product innovation: Most product innovations are incremental changes. They provide added features, new versions or extensions to an otherwise standard product line. Such innovations occur all the time, and large numbers of incremental innovations related to customer requirements can add up to a significant competitive advantage. Process innovation: Process innovations change the way products and services are made or delivered. This may be invisible to the user, except through changes in the cost or quality of the. 13.

(35) product. Furthermore, studies of multiple industries find predictable patterns in the amount and degree of innovation over the product life cycle (see Figure 3).. Mature. Growth. Dominant Design. Product/ Process Substitution. Emergence Dominant Innovation Types Learning Requirements. Major Product Major Product Major Product Major Product Minor Process Minor Process Minor Process Minor Process High High Low High. Figure 3 Types of Innovation over Product Life Cycle Source :Tushman & Nadler (1986), p78. Emergence stage: There is a substantial amount of product innovation as several forms of the same product compete for dominance. This period of product competition leads to the emergence of a dominant design, representing industry standardization in the product‘s basic configuration and characteristics. Growth stage: Major product variation gives way to competition based on price, quality, and segmentation. In other words, this refers to process innovation rather than product innovation. Thus, major process innovation, combined with incremental product innovation, allows firms to enhance the product and open up the market to a more diverse customer base. 14.

(36) Mature stage: This pattern of incremental product and major process innovation continues to develop the product and its associated production processes are so intertwined that only incremental product and process innovation are possible. Table 6 Types of Innovation Research Daft (1978) Kimberly & Evanisko (1981). Heany(1983). Damanpour & Evan (1984) Dewar & Dutton (1986) Betz (1991). Schumann et al. (1994). Subramanian & Nilakanta (1996) Garcia & Calantone (2002) van der Aa & Elfring (2002) Christensen (2003). Types 1. Administrative innovation 2. Technical innovation 1. Administrative innovation 2. Technical innovation 1. Style change 2. Product improvement 3. Product-line extension 4. New product 5. Start-up business 6. Major innovation 1. Administrative innovation 2. Technical innovation 1. Radical innovation 2. Incremental innovation 1. Radical innovation 2. Next-generation technology innovation 3. Incremental innovation The view of innovation map ．Nature: 1. Product innovation 2. Process innovation 3. Procedure innovation ．Class: 1. Distinctive innovation 2. Incremental innovation 3. Breakthrough innovation 1. Organizational innovation 2. Administrative innovation 3. Technical innovation 1. Incremental innovation 2. Really new innovation 3. Radical innovation 1. Product innovation 2. Service innovation 1. Sustaining innovation 2. Disruptive innovation. Further, review the references from the Table 6 and Table 7 also shows the types of innovation based on the literature review for the sake of clarify. Most relevant studies have focused on the product view in the technical category, and seldom have focused on 15.

(37) the concepts of both administration and technology. Moreover, previous studies have adopted different research viewpoint to categorize innovation. However, they rarely refer to innovation types to examine the suitability of an innovation model in an industry. Thus, to fill in the theoretical gap, this study offers two dimensions of innovation concepts and a conceptual framework to examine the suitability and value of innovation, as well as how it impacts firm performance in the financial industry.. Table 7 Categories of Concepts of Innovation Research Daft (1978) Kimberly & Evanisko (1981) Heany(1983) Damanpour & Evan (1984) Dewar & Dutton (1986) Betz (1991) Schumann, Prestwood, Tong, & Vanston (1994) Subramanian & Nilakanta (1996) Garcia & Calantone (2002). Concepts of Types of Innovation Administrative Technical Organization Process Product Market ＊＊＊＊＊＊＊＊＊＊＊＊＊＊＊. ＊＊. ＊. ＊. van der Aa & Elfring (2002) Christensen (2003). ＊. 16. ＊.

(38) 2.3 Service Innovation 2.3.1 Definition of Service Innovation In the past, services were long thought to be laggards with regard to innovation (Berry, Shankar, Parish, Cadwallader, & Dotzel, 2006) – they were assumed to be uninteresting adopters of existing technologies rather than producers of new technology (Salter & Tether, 2006). The literature on service innovation was scarce, and it seemed to be difficult to understand the use of traditional innovation theories and typologies (Damanpour, 1991); it presupposed that service firms do innovate (Normann, 1991, 2001) or even that service firms have R&D activities (Barcet, Bonamy, & Mayere, 1987). This perception still exists, and is a major reason why innovation in services remains under-researched. Although some studies have presented the empirical results of innovation activities in service firms (Barcet et al., 1987; Naslund, 1986), they have not discussed the reasonableness of presupposing that innovation is happening in service firms. However, services dominate advanced economies. Therefore, many scholars have begun to notice innovation activities in service. According to the work of Gallouj and Weinstein (1997), service innovation can influence one or more organization structures or organization characteristics, including technology, service, and core competency. Also, they discussed changed service concepts or service delivery processes that deliver added value to the client by means of new or improved solutions to a problem, methods of improving performance, or a desired opportunity for consumption or consumer services (Tidd & Hull, 2003). It has also been suggested that service innovation refers to a novel or considerable change of service concept, leading to (re)new(ed) service functions that depend on new technologies and organizational competences to bring a brand new activity to a firm, as well as new offerings to the market (Ark, Broersma, & Hertog, 2003). On the other hand, service innovation represents new or considerably changed service concepts or service delivery processes that deliver added value to the client by means of new or improved solutions to a problem, methods of improving performance, or a desired opportunity for consumption or consumer services (Tidd & Hull, 2003). Additionally, previous research has argued that service innovation takes various forms because of its multidimensional nature as well as the enormous number of different types of services that exist in the markets (Sundbo, 2007). Referring to the efforts of Sirilli & Evangelista 17.