Examining the potential of frugal innovation in services: lessons from an NGO

Ramòn Fisac-Garcia, Faisal Rasool, Gustavo Morales-Alonso and Giovanni Schiuma

European Journal of Innovation Management, 2025, vol. 28, issue 9, 4806-4826

Abstract: PurposeThis paper explores the application of frugal innovation principles in the service sector, which remains underexplored despite its growing relevance in product-based industries. It aims to identify key trends and practical insights into how frugal innovation can be leveraged to develop a theoretical framework that addresses resource constraints and societal needs in service delivery.Design/methodology/approachThe study employs a two-pronged approach: a bibliometric analysis of the existing literature on frugal innovation in services and a case study of a Spanish NGO, Ayuda en Acción (AeA), and its flagship project, InnPESS, which has implemented frugal innovation strategies in its operations.FindingsThe bibliometric analysis identifies five key dimensions critical to understanding frugal service innovation: ICT, knowledge management, cost considerations, innovation management and organizational practices. The AeA case study provides practical insights into how these principles can be operationalized to deliver impactful, resource-efficient services.Originality/valueThis paper contributes to the growing field of frugal innovation by focusing on its application in services. It offers a comprehensive theoretical framework and real-world case insights. It provides valuable guidance for academics, managers and policymakers interested in adopting frugal innovation strategies to enhance service delivery in resource-constrained environments.

Keywords: Frugal innovation; Bibliometric analysis; Case study; Low-cost innovation; Service innovation; Bottom-of-the-pyramid (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-10-2024-1220

DOI: 10.1108/EJIM-10-2024-1220

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