Billions of dollars’ worth spending takes place each year by governments and private corporation towards business innovation. However, more often than not this ends up frustrating the proponents, due to the extremely low success rates. A lot of money instead gets diverted towards attention-grabbing activities such as new service systems, different business model or newer customer experiences. This innovation must be considered from two ways. One is the Innovation Capacity, while the other is the Innovation Ability. The former as the name suggests is about the ability to churn innovations. This depends on the current staff and the industry one is based in. The second is about the internal mechanism in place, which can drive innovations. The second is usually more important as evidenced through multiple cases, such as that of Nokia during its crises years. The value drivers need to be analyzed from the prism of this innovation ability. Ultimately, no such drive will succeed without the premise that all of this is for shared value creation.

Source:https://hbr.org/2018/08/the-right-way-to-spend-your-innovation-budget

Uploaded Date:27 November 2018