Friday, August 12, 2022


Innovative leaders should always have a greater vision in mind and strive to return sustainable development and growth back to the business or society they are working for.

Innovation can happen anywhere in the organization, it has to occur in every aspect of the organization. How well the organization manages innovation is based on the varying factors, such as the speed of decision-making, attitude toward risk, resource allocation; how efficient the innovation processes or lack thereof, or the overall innovation competency. 

Innovation is a sustainable and scalable way that can be learned and practiced to accelerate organizational performance.

Innovation as an integral component of corporate strategy: Innovation is what leads to differentiation. Innovation must be included in a strategy; otherwise, the company will fail in the long term. There are many ways to differentiate and, therefore, there are many ways to build innovation into a corporate strategy. Look at innovation strategy as the stepwise process, by which a firm gains some sort of competitive advantage.

Corporate boards set the right policies to embed innovation in every aspect of the organization, including strategy. Put more C-suite people for innovation even when the company performs well, that makes innovation more naturally become part of the strategy, and take a structural approach to manage innovation effectively. 

Applying discipline to innovation is to figure out how to manage innovation in a structural way: Due to complex business new normal, it is important to note that within the organizations, innovation is rarely an individual action; rather, it is a team effort, often across multiple organizational silos. Generally speaking, innovation actions, processes, and tools can be taught to employees. But innovativeness as a state of mind can't be taught, if you mean creativity, originality, insight, ingenuity, etc. As it needs to be discovered by talented people on their own and sharpened continually.

Innovation as a process can be managed in a structural way via a good alignment of innovators, the disruptive technologies, and rigorous, but not rigid processes. Different innovation approaches can co-exist, such as top-down, bottom-up, user-oriented, internal, outsource, etc, to improve overall innovation management flexibility and effectiveness. You can only manage what you measure. There is no exception for innovation management. Set the right key performance indicators, measure innovation performance objectively.

Innovation risk management would need to be flexible and applicable to a dynamic situation:
Companies compete on innovation. innovation in its basic nature is a high-risk area; more often you are doing something that hasn't been done before. Innovation usually implies high return on investment, high risks. There are many out there that simply don't understand, or appreciate the benefits of risk and opportunity management to an organization. Innovation risk as a crucial discipline would broadly need to consider both endogenous and exogenous drivers, and may not necessarily be best addressed by a lot of the formal enterprise risk management efforts. 

In practice, Innovation Risk Management means stepping away from the accepted "best practice" and asking whether a fundamentally different approach would provide more flexibility, sensitivity, responsiveness to manage opportunities and risks smoothly. The primary focus of the risk management process would be to identify and control those risks that can be addressed; financing, market understanding, competitor analysis, identifying the space of opportunity, defining the scalability of innovative efforts and improving innovation management risk intelligence.

Innovation is the most desired change. As change is often uncomfortable, yet the necessary part of reaching the future and sustaining business success. Innovative leaders should always have a greater vision in mind and strive to return sustainable development and growth back to the business or society they are working for. Innovation managers systematically address the innovation strategy agenda, encourage themselves and subordinates to practice out of the box thinking, orchestrate holistic innovation systems including policy, structure, and program that innovation managers can use to nourish a culture of creativity, and drive innovation systematically.


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