Monday, March 27, 2023


The evolution of innovation only exists in more open environments or the dynamic ecosystem that overcomes barriers, creates insight, and takes advantage of all sources of creativity in an open way.

Innovation management has a very low success rate compared to the other types of business initiatives. It's critical to see what is behind us if you want to see where you are going, and never lose your visibility forward. Most companies fail at innovation execution because they have no clear process, nor understand the linkage required to work horizontally across organizations. 

Silo mentality, outdated information, incoherent process, etc, become glue to stifle changes and the barrier for catalyzing innovation. The structural barriers to innovation excellence include:

Low quality information or too many variables attached to innovation management, make it more confusing, illogical: In a world of complexity, uncertainty and ambiguity; it is really unpredictable, that means the future cannot be, in any way, deduced from the past completely. No one can control the outcome of emerging business properties completely. To keep the business firm, the business management should fine tune crucial variables, focus on managing a portfolio of innovation initiatives relevant to create cross-border strategic synergies

As functional or geographical borders are blurred, the management needs to understand and see the connectivity between different variables, for improving their innovative problem-solving competency. Only after you can gather adequate data, study each independent process by asking questions about each independent variable; understand the business interdependence with the appropriate mix of variables, and maintaining the right level of business balance; can you deepen understanding of the interrelationships and correlations that offer access to new perspectives, interpreting them in a cohesive way, to simplify innovation management, and improve its effectiveness,

Lack of effective structure discourages innovation: If there is a strong mentality of innovation, will a rigid official structure be just ignored in favor of an unofficial structure? Or shall you strive for an aligned official structure to enable innovation? Weak process links, structural bottlenecks, outdated procedures, etc, are all detractors to stifle innovation. A misaligned structure might reinforce a non-innovation friendly climate. Individuals and teams have to overcome the hurdles within a structure that is inherently not designed for innovation.

So the question is only whether the official structure and the unofficial structure co-exist antagonistically or harmoniously. The challenge for any organization is to find a successful structure that helps to enforce iterative communication, and harness cross-functional collaboration. Given the opportunity, establishing a formal and enabling structure in line with your desired direction, and cultivating a culture of creativity within it. It requires changing both official and unofficial structures into a hybrid structure that can support an innovation journey in the direction you are heading, rather than where you have been.

Ignoring the external environment or business ecosystem affecting the business innovation climate: Businesses today are not just working within the industry, they are, in fact, permeating the cross-ecosystem which keeps expanding. To effectively respond to the dynamic environment, the organization needs to awaken the ecosystem consciousness, start thinking from ecosystem perspectives and create new revenue streams while becoming highly innovative.

To harness innovation, companies today need to understand the dynamic competitive landscape, proactively look for ecosystem partners that can help the business succeed. They treat customers, channel partners, suppliers, and industry ecosystem participants as active agents, orchestrate innovation management across the business ecosystem, enforce interdependencies, and expand innovation impact across the broader ecosystem.

The world becomes more dynamic, innovation is for renewal; it is equivalent to sustainability and resilience for an increasing number of hyper-connected enterprises and industries. The art of innovation is to capture more “aha” moments for generating fresh ideas. The science of innovation is to manage innovation lifecycle and execute in a systematic manner that provides sustained competitive advantage. The evolution of innovation only exists in more open environments or the dynamic ecosystem that overcomes barriers, creates insight, and takes advantage of all sources of creativity in an open way.


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