An organization introduces new workflows, ideas, products, services, and methodologies, through business innovation. Business innovation should ensure that goals across the whole organization are met, and core business initiatives and objectives are also accomplished, just like IT innovation which involves using technology to come up with ideas to solve problems in an organization. Innovation is yielded through idea generation, where ideas are pooled together to come up with brainstorming solutions that leaders consider to be viable, desirable and feasible business. Besides solving a problem or tapping into new markets, business innovation should improve the production process, products or services.
Through innovation in business, an enterprise creates value from new or existing revenue opportunities or summing up more revenue from existing channels by improving productivity, performance or establishing frameworks that save money or time or both. An organization can boost profits with corporate innovation and also yield a competitive advantage, making it grow and reach or even surpass the strategic goals.
An organization alienates itself from its competitors, using the business innovation model, based on how it operates, how it exploits new ideas and how efficient it is in service delivery. Business innovation benefits both the organization and the customers since they also get to use new products and services. Quality products or services are also disposable to customers, for example, better medical treatment in the case of the healthcare field. However, despite it boosting profits and securing competitive advantage, very few companies have sought business innovation. Most management bodies do not have the time, funds and energy to support the new product development process. Most organizations lack an essential component for the success for business innovation; teamwork.
For successful business innovation, organization should recognize their differences and pay attention to their personal needs. Furthermore a company should be flexible enough to accommodate change. They should take risks, willing to fail first and to be brave enough to kill an unproductive idea. Customer relationships can be excellent sources of revenue, depending on the business’ extent, hence, it is essential to know your customers. Since negative or positive feedback would aid innovation, customers say what they want, and they can be a guide.
Since they do not promptly act on the frustrations that are associated with business innovation, most businesses fail. Employees may take some time before adjusting, financial issues and the fact consumers may take time before they adapt to the new product or service are some of the frustrations that the business has to deal with. In some scenarios, it how you talk about it, and not about how you alter the service or the product. For any organization to succeed in business innovation, marketing should be a critical aspect.