FRUGAL INNOVATION IS THE PROCESS OF REDUCING THE COMPLEXITY AND COST OF GOODS AND ITS PRODUCTION. FRUGAL INNOVATION IS KNOWN BY THE NAME JUGAAD IN INDIA.

1. Ahsan Ahmad Baba

2. FRUGAL INNOVATION
• IN SIMPLE WORDS FRUGAL INNOVATION IS THE PROCESS OF
REDUCING THE COMPLEXITY AND COST OF GOODS AND ITS
PRODUCTION. FRUGAL INNOVATION IS KNOWN BY THE NAME
JUGAAD IN INDIA.

3. FRUGAL INNOVATIONS OF INDIA
High End Fridge which Costs about Rs1,80,000
Mitti Cool Fridge Costs Rs1,800 uses properties of Clay
And Water to keep vegetables fresh for at least 5 Days

4. EXAMPLE TWO
Baby Incubator costing Rs12,00,000
Baby Warmer Does 80% of Job
that a Incubator does costing
Rs12,000

5. SIX PRINCIPLES OF FRUGAL INNOVATION
• THINK AND ACT FLEXIBLY
• KEEP IT SIMPLE
• INCLUDE THE MARGIN
• FOLLOW YOUR HEART
• DO MORE WITH LESS
• SEEK OPPORTUNITY AND ADVERSITY

6. THINK AND ACT FLEXIBLY
JUGAAD REQUIRES IMPROVISATION RATHER THAN STRATEGIC
PLANNING AND FORECASTING. THESE ENTREPRENEURS JUMP IN WITH
A PROTOTYPE, AND CORRECT THEIR COURSE AS THEY GO ALONG.
WHEN THINGS GO WRONG, THEY ADAPT. THEY START WITH SMALL
BUDGETS, TAKE SMALL RISKS, AND CAN QUICKLY CORRECT AND
REBOOT AFTER SMALL FAILURES.

7. WHAT WAS INNOVATIVE IN TATA NANO ?
• IT HAD A UNIQUE DESIGN AND FIRST TIME TWO CYLINDER GASOLINE
ENGINE HAD BEEN USED IN A CAR.
• SAFE AND CONVENIENT FOR ALL WEATHERS.
• AFFORDABLE ( CHEAPEST CAR OF WORLD)
• ECO FRIENDLY

8. KEEP IT SIMPLE
JUGAAD INNOVATORS ARE LOOKING FOR LOW-TECH “GOOD ENOUGH”
SOLUTIONS THAT ARE SIMPLE TO MAKE, USE AND REPAIR.
“CREATIVE SIMPLICITY IS JUGAD KEY PRINCIPLE”

9. WHAT WAS INNOVATIVE IN GINGER GROUP OF
HOTELS?
• THE TARIFF OF THE HOTELS IS ONE THIRD OF THE OTHER HIGH END HOTELS
IN THE SAME CATEGORY.
• LOW INVESTMENT COSTS (100 ROOM GINGER HOTEL CAN BE MADE ON
40,000 SQ. FT. WHICH IN CONSIDERABLY LESS THAN THE AREA REQUIRED
FOR LUXURY HOTEL.
• PARTICIPATING IN SPECIAL ECONOMIC ZONES.
• ADAPTING THE MODEL FOR MIXED DEVELOPMENT IS MALLS.

10. INCLUDE THE MARGIN
JUGAAD INNOVATORS CAN SEE, FIRST-HAND, WHAT THE UNSERVED OR
UNDERSERVED MARKET NEEDS. THEY ARE DRIVEN BY A SENSE OF
FAIRNESS, THAT EVERYONE IS ENTITLED TO BASIC SERVICES LIKE
EDUCATION, INFORMATION, HEALTH CARE, BANKING AND ENERGY.

11. WHAT WAS INNOVATIVE IN TATA HOUSING?
• TATA SONS REALIZED THE TREMENDOUS OPPORTUNITY IN
AFFORDABLE HOUSING SEGMENT.
• IT LAUNCHED “SHUBH GRIHA” ALSO KNOWN AS NANO HOUSING.
• THE APARTMENTS IN NANO HOUSING RANGED FROM RS. 90,000 TO
6,70,000 WHICH WERE AFFORDABLE FOR PEOPLE IN LOWER INCOME
RAGE.
• IT STARTED IT FIRST MUMBAI IN INDUSTRIAL AREA HAVING
POPULATION MORE THAN1,25,000
• IT OFFERED FEATURES LIKE TOP QUALITY LIGHTING, VENTILATION,
OPEN SPACE, NURSING CARE, SCHOOL, COMMUNITY HALL ETC

12. FOLLOW YOUR HEART
JUGAAD INNOVATORS DO NOT RELY ON FORMALIZED MARKET
RESEARCH AND FOCUS GROUPS TO DECIDE WHAT PRODUCT TO MAKE.
NOR DO THEY WORRY ABOUT HOW INVESTORS WILL REACT TO A NEW
PRODUCT STRATEGY THEY KNOW THEIR CUSTOMERS AND FOLLOW
THEIR HEARTS.

13. WHAT WAS INNOVATIVE ABOUT TATA GOLD PLUS?
• TATA LAUNCHED A UNIQUE TOOL CALLED KARAMATER WHICH
MEASURES THE PURITY OF THE GOLD BEING SOLD.
• ITS WAS THE FIRST COMPANY TO INTRODUCE BRANDED JEWELRY IN
THE COUNTRY.
• IT INVESTED IN THE HIGH END JEWELRY DESIGNS. THUS CUSTOMER
WAS NOT CONFINED TO TRADITIONAL DESIGNS.
• IT GAVE PROTECTION TO THE CUSTOMERS BY GIVING THEM
GUARANTEE AGAINST PURITY OF THEIR GOLD PRODUCTS.

14. END OF SLIDE
THANK YOU