Innovation the word talks about new ideas, creative thoughts, different approach, new imagination or taking your imagination at a different level. Innovation is just not introducing or implementing an idea or method but a process that involves multiple activities to uncover new ways to do things. The moment we are in a fast-paced environment where technology is the advancement and with this advancement, innovation is the new practice to be in the journey. So, whether big organizations or start-ups are adopting the practice of innovation and have invested millions of dollars for the practice we call innovation. Investments tend to return but according to source many of large global organizations where their investment in innovation has declined.
Now the question comes is innovation failing? Or what is the difference where for some of organizations innovation is the revenue and for some, the revenue has no growth. The major reason why companies are failing in the practice is pursuing innovation under pressure. You will never reach your goal until you set one and this is what happens from major industries. Much of investment goes non-strategic, under managed and poorly linked to the business. The question comes are the activities spent on innovation is for productivity or what is their approach for the investment?
The source also identified the companies whose investment had a valuable return and focusing on their approach we found the fundamentals they used for the practice was an approach, “A strategic approach”. Their innovation was not only with technology, but the innovation has the ground factors that also brought impact to society and market. They overhauled on the capabilities that how their organization pursued innovation with a single architecture.
Evaluating innovation in terms of success is a challenge. Let’s look at the few fundamental points which helped these organizations attaining their innovative goals and revenue outcomes.
So, the difference they created by doing,
Starting with the definition as what does innovation means we should also think why this innovation is to be done? Effective innovators solve problems. The innovation should not only have the incremental growth related to your services and products, this where ineffective innovators focus more.
We should not only focus on the incremental growth of our own product or services but to put some potential towards solving problems that helps your consumers, focusing on their needs and let the innovation take place for the consumers and their problems, how effectively your advancement is going to benefit to them. Develop unique technological advances with the potential to create new markets.
A big investment for lower income consumer is also an innovation where you are not looking for the incremental growth but a growth that defines a revolution and the best example is Reliance industries as they invested in creating Jio.
Jio has not only transforming Indian Telecom Market but has given a broader view to digital economy, different broadband to the entertainment industry as well. E-commerce has developed itself with an innovative approach towards the digital journey. So, the companies should invest with a broader vision which would really help them in their innovation journey.
As discussed pursuing innovation for success is a challenge but here effective innovators had developed an inclusive approach to pursue innovation. Equally with everyone’s involvement, they integrated their capabilities in a single architecture or style. They followed a process and with the team came out with great results. The process not only enhanced their core business but consumer-focused values as well.
By motivating everyone in the organization we should take the capabilities together and work on innovation. Innovation is not an end goal but a process which should be followed continuously not just technology wise but functional as well.
Innovation will always be a challenge and we can’t say that this is the set of instructions and here’s your return on innovation. Industries should aim high, develop capabilities, integrate them and more. Taking innovation on the boundaries of solving a consumer problem and with the mixture of solving issues faced by societies can be a good start to win for the organizations.