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1. Innovation 1
Innovation is a process, not a one time event
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2. Innovation 2
Innovation is a process, not a one-off event
In the modern era, the word innovation has become a very common term which is
applicable to a wide range of aspects of the society, especially in the business world. Every
business guru today iterates that being innovative is the key to success while many conferences
and debates have taken place to examine the true nature and aspects of innovation. In the current
context where the term is used widely for a broad set of ideas, it sometimes gets confusing to
understand what innovation really is and what it refers to. Innovation in the most basic sense can
be referred to as the process of identifying fresh and new solutions for solving vital problems.
Developing and generating new ideas and initiatives to meet the constantly varying market and
consumer needs, incoherent demands of industry, consumers, processes or markets are the key
aspects of innovation (Stephenson 2011).
It is also important that businesses realise the fact that innovation is not an end but a
means to an end which basically means that innovation is not a one-off event but rather an
ongoing process which needs to be developed, promoted and sustained for both the short and
long term success of the organisation. If innovation is deemed to be a one-off event, then in
veracity, no business will innovate and remain stagnant once it has implemented a specific
innovation. This need to identify and recognise innovation as a process and not a one-off event is
crucial for organisational success, especially in the era of globalisation which is laced with
technological advancements, ever changing consumer and market demands, expansion of
organisations to different continents and cut throat competition (Martini et al. 2012).
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Moreover, organisations need to be innovative not only to increase effectiveness and
efficiency but also to remain competitive while developing and sustaining competitive advantage
through continuous innovation rather than relying on specific innovative ideas and not going
further. Innovation, in the modern era is the primary ingredient for competitive advantage and
this is evident through various practical examples such as innovation in cell phones, automobiles
and various consumer goods which are now being produced and marketed innovatively. Any
organisation which fails to incorporate continuous innovation is bound for failure as it can
depend on a specific innovative product or service to a certain extant in the ever changing
business and economic climate (Trantow et al. 2013).
Innovation can be achieved by implementing efficient and effective processes,
techniques, products, technologies, services, ideas and methodologies to ensure that industry,
consumer, society and market demands are met in an orderly and timely fashion. Innovation can
also be referred to the process of developing something new or changing an older service,
product or process to meet with constantly changing nature of challenges. It can usually lead to a
breakthrough which is usually beneficial to the society, consumers, market or industry in one
way or another. Innovation can thus be defined as developing newer processes, methods,
techniques or products which are important and beneficial to any business or society and which
can establish a strong market footing (Santamaría, Nieto and Miles 2012).
Many people also confuse innovation with invention which is not the case as invention
refers to the development of a new idea, notion or process which has no prior existence while
innovation on the other hand is the implementation of a new idea or process (Varrall 2011).
Additionally, innovation should not be confused with improvement as well because improvement
involves enhancing older processes and doing things better while innovation refers to
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implementing newer processes for achieving more efficient and favourable results. The terms
innovation, invention and improvement need to be clearly distinguished otherwise, there will be
no innovation at all and people or organisations will simply be inventing or improving rather
than innovating (Oliver 2012). Innovation is the key to success for any organisation in the
modern era and this is why the nature of innovation needs to be analysed, explored and evaluated
which implies that it is important to understand what innovation is, where it comes from and how
it can be promoted and sustained.
Discussions and debates about innovation are usually made complex and confusing
mainly due to the misunderstanding, misinterpretation and confusion regarding people’s
perceptions of innovation, invention and creativity. People are often unable to differentiate
between these three notions and this is why the difference needs to be clearly understood.
Creativity is the ability of a person or an organisation to envisage and conjure up new and
original ideas while thinking out of the box. Invention on the other hand, as described earlier
refers to the formation of a new idea, notion, theory, process, product or method which does not
have any historical existence and which is identified as a result of unique and creative thinking.
Albeit innovation may be linked to invention or creativity as it is the next logical step but it is
actually the implementation of a new idea, product, service or method rather than coming up
with the idea. As invention is a method, product, process or service with no previous existence,
therefore, every invention is in fact an innovation but this does not necessarily mean that every
innovation is an invention (Mann, Watt and Matthews 2012).
A person or organisation can concoct or conjure numerous ideas and plans; which
portrays creativity on part of that person or organisation, but until and unless those ideas or plans
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5. Innovation 5
are implemented, there will be no innovation whatsoever. Creative ideas and plans thus have to
be implemented to generate effective results in order to turn creativity into innovation. Any new
methods, techniques, processes or systems which are implemented in an organisation for the first
time are an innovation even though other organisations may have been utilising those methods or
procedures already (Baer 2012). Additionally, many people also misinterpret innovation as being
applicable to newer products which is not the case at all, as innovation may be related to new
methods, techniques, processes, models, strategies and frameworks.
Innovation can come from a variety of sources including changing structure of the
market, varying demographics in the domestic and international context, advancements in the
fields of scientific research and technology, alterations in structure of an industry, amendments
in perceptions, needs and demands of people and consumers (Brynteson 2010). The most
commonly identifiable and recognisable source of innovation is manufacturer innovation where
an organisation or an individual (manufacturer) practices innovation to sell the innovated
technique, procedure, product or service. This innovation deals with selling the innovated
product or service rather than self consumption or use. On the other hand, end user innovation is
another and recently recognised source of innovation where an organisation or an individual
innovates for self use and for enhancing current processes or methods. This innovation is based
on self use rather than selling as the innovation helps in enhancing processes, techniques,
methods or strategies as they may no longer be effective, relevant or applicable due to changing
situations. End user innovation is one of the most critical, important and beneficial sources of
innovation in context of the modern era which is overwhelmed with the level of technological
advancements and rapidly changing requirements and methods of doing business.
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6. Innovation 6
According to Drucker (2012) there are seven sources of innovation or opportunity classes
which are the unexpected, incongruities, process needs, industry and market structure,
demographics, changes in perception and new knowledge. He explained that innovation can be
rooted in any one or all of these sources and innovations are results of these sources. Closer
examination of all these sources reveals that today, almost all of these factors lead to innovation
as there are incongruities in the form of conflicts in almost all business processes, the needs for
changing processes are changing very rapidly due to technological and scientific progress and
the industry and market structures are constantly changing due to increased expansions of
businesses and corporations around the world. Furthermore, as the world has now become a
global village, the social aspects, demographics and perceptions of consumers are also changing
very rapidly as they interact with individuals from other social and cultural backgrounds. One of
the most important and relevant sources in the current era with respect to innovation is the
availability of new knowledge as the human race is experiencing the highest level of knowledge
acquisition and availability today as compared to any point of time in history.
Innovation may come from a variety of sources but in essence it requires three primary
factors which include the identified need to innovate, capable individuals who are equipped with
the relevant tools and technology and finance to support the innovation. Innovation cannot and
will not take place if the need to innovate is not identified and if there is no need, there will be no
innovation as well. Once the need has been identified, the correct people who are able to bring
about the changes through innovation have to be selected and they have to be equipped with the
relevant and applicable tools and technology for the innovation to be effective and successful.
Finally, innovation will not be developed, let alone sustained if it is not backed by financial
support (Clausen et al. 2012).
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Organisations attempt to accomplish and be innovative through various methods and in
recent years a lot of emphasis has been laid on research and development for innovative and
inventive products and services. The research and development departments of many
organisations today are charged with bringing innovation not only to products but also to internal
procedures and processes as well. Scientific and technological research in any field motivates
and instigates innovation and leads to productivity, efficiency, growth and competitive
advantage. Alternatively, innovation is also developed and sustained through changes in work
practices and processes through experience and knowledge sharing among individuals in an
organisation or an industry. While these two sources and routes to innovation are
complementary, it is noteworthy that experience, knowledge and workplace practices lead to
incremental and gradual innovation while research and development results in revolutionary,
breakthrough and radical innovation (Sharif, Baark and Lau 2012). Thus, in order to achieve
continuous innovation it is important that organisations focus on both innovation through
research and development and experiences and workplace practices.
Consumers also play a very significant role when it comes to innovation as innovation
also comes from the perceptions and buying behaviour of consumers with respect to various
products and services. Organisations today invest significantly in examining consumer behaviour
and perceptions to ensure that their products and services meet the specific requirements of all
consumers. As tastes, perceptions, buying behaviour and preferences of consumers change,
products and services also have to be changed and this is not a one-off event but an ongoing
process as consumer demands and preferences change very rapidly in the modern age. If
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companies fail to recognise the changes in consumer behaviour and innovate accordingly, they
will be left behind, will no longer remain competitive and will eventually be forced out of
business (Bindroo, Mariadoss and Pillai 2012).
It can be said that innovation is definitely an ongoing process and it cannot be considered
as a single event. However, certain individuals do believe that it is basically a single process and
no further considerations are associated with this process. Individuals who believe that it is a
single event believe that it should be secured by patent. In this manner the innovative idea
becomes protected in both the short and the long run. Several proponents of fact that innovation
is a continuous process and it enhances with the passage of believes with the idea that innovation
possess several phases. These phases should be managed professional to attain the best possible
results. There might be scenarios in which the innovative phase might tamper and drastic
changes might occur. However, it processes are managed effective and efficiently than one can
easily say that proactive results can be achieved through this methodology (Pisano 1996).
Organisations heavily rely on innovative process so that they can develop a break through idea
and enhance their customer base. Once their customer base is enhanced automatically the profit
margins are boosted and ultimately companies are on the pathway of success. But innovative
processes are not about just inventing new process, products or services and leaving them in the
same manner in which they were initially invented. Processes should revamp with the passage of
time keeping in view the internal and external scenarios of an organisation.
Managing stiff competition can be considered as an art and in saturated sector this art is
usually mastered by the giants of the industry. However, people should be aware of this fact that
a terminology sustainable competitive advantage is a relative term or it can also be said that it is
an ideal term. This terminology cannot be achieved in many circumstances because of the fact
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that other players of the market are present and they keep on innovating new ideas. Keeping in
view that innovation is an ongoing process these organisation invent new and modernized
technologies to tackle the competition. Once they are able to tackle the competition with these
methodologies the idea of sustainable competitive advantage automatically breaks down.
Therefore, organisations and decisions makers should realise this fact that they have to enhance
their process in order to keep their respective firms on a winning track (Drucker 2012). If they
are not able to do this other players of the market might tamper their growth and it is highly
probable that they might take their position. The core idea that is associated with the aspect of
innovation is that if you innovative in a proactive manner and on continuous manner then your
competitors cannot copy you. Organisations believe that patents are helping them by proving
them a document through which their competitors cannot copy the idea (Clausen, Pohjola,
Sapprasert and Verspagen 2012). Ultimately, innovative process stop and in reality patents are
hurting the innovative process because individuals are not improving it. Through innovating on
continuous basis organisations can develop better products and they can fulfil the expectations of
their customers in the longer run. This would enhance the profit margin and create long lasting
beneficial effect for the organisation.
The best part in innovation is that the speed of innovation varies from one organisation to
another organisation. This variation is based on several factors like external and internal
environments of organisations, market demand, state of the art technology, management styles
etc. All these aspects play a major role in managing the aspects associated with innovation. It can
be said that innovation cannot be considered as a simple task of collective events because it
involves complex procedures which directs the decisions makers. Firms usually do not operate in
isolated environment and they have to interact with others in the market place. Networking is
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quite crucial for these firms so that they can easily enhance their contacts and attain competitive
advantage through this strategy. However, it should be noted that these networks are quite
important for small firms because they do not have must expertise and specialized personals as
compared to large organisations. Smaller firms do not have a large networks and data library that
is the reason why they need networks to enhance their presence in the market place. Technical
data, inquires, sales leads etc comes from these networks (Mothe and Foray 2001). Besides that
supplier, competitors, agencies, professional associations etc constitute an enterprise network.
All these and other related aspects can be triggered together just to enhance the performance of
an organisation and networks play a significant role in that.
Tidd and Bessant (2009) believe that there are certain risks that are directly and indirectly
involved in the process of innovation. The researcher believes that it is definitely a continuous
event and it cannot be considered as a single event or a one off event. It is a complex process that
usually starts quite easily but with the passage of time it becomes quite complex and
organisations are unable to control the flow of events. The element of risk is involved because of
the fact that innovations most of the time are new and employees are not aware with the scenario
that how can they control it. There are certain unknown risks too like what will happen is process
are initiated in a timely manner but they are not controlled properly. Besides that there might be
a consideration that the processes are not viable enough to implement although it was gauged
earlier that these process are applicable. The actual implementation phase might falter and in the
product or strategy might fail in the longer run. In certain medical surgeries new and modernised
methods are implemented by surgeons so that they can cure deadly diseases. However, at times
the innovative processes might not work and there is a severe risk of patient being dead.
Strategists and analysis should analyse this phenomenon of innovation that a certain level of risk
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is associated with innovation and they should take necessity measures to curb this risk (Tidd and
Bessant 2009).
Innovation and its related processes are not only confined to business related
organisations but other sectors like public service sector, non-profit organisations can also
benefit a lot from this approach. In government organisation people usually people are satisfied
with the way they are working and they want a similar work flow because of several reasons.
However, innovation brings in change in the organisation because of which these government
employees are quite worried as they believe that change is a negative strategy that might tarnish
their growth. Innovation is entering every sector of our society and that is the reason why
government should embrace it with open arms. The public sector should grab this idea and they
should enhance their strategic thinking process so that innovative ideas are fostered in their
respective organisations. In certain scenarios the processes are present but they need to figure out
how effectively they can implement the facets of innovation in their respective organisations.
Government organisations should understand the fact that they should move towards more
technologically advance options so that secrecy of data, privacy infringement and other aspects
are managed in a significant manner (Oliver 2012). In the similar manner the phases of
innovation should be implemented so that employees can understand that they have a culture of
innovation and they cannot stay in this organisation by being stagnant. Innovation and change
management is a process that reflects an organisation orientation towards success. A successful
and a forward looking organisation would grasp innovation with open arms and a stagnant
organisation would look for alternatives. External influences are needed to implement the facets
of innovation in a proactive and once it is done it is highly probable that an organisation can run
smoothly over a longer period of time. There might be certain road blocks or lapses in the
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implementation process like the fear of unknown, innovation is another person’s job, reduction
of pay etc. All these negative connotations would be removed effectively by a change agent and
process might work swiftly. All these aspects are of importance if government agencies are
willing to implement innovation and they are ready to bring a positive change in their respective
organisations.
In a nutshell it can be said that innovation is a positive process if it’s implemented in a
viable manner. This process might be tampered by certain negative forces but if effective
measures are taken then positive results can be experienced. However, innovative process should
be ingrained in organisations not for the purpose of explaining the positives to one another. The
core idea would be to implement a plan that can bring a positive change in the organisation so
that it can flourish. However, innovation should not be linked with invention as invention is
experienced in a single go and it can be considered as a stagnant process. Innovation is a
continuous process and when it is gelled with improvement to give better quality in both short
and the long run. Considering innovation as a stagnant process is basically supporting a negative
mind frame of not changing things. In this manner people would only go for inventions and with
the passage of time change would not be implemented. It should be portrayed to the people that
change is a positive perspective and effective change management policies should be opted by
the people.
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List of References
Baer, M. (2012). Putting Creativity to Work: The Implementation of Creative Ideas in
Organizations. Academy of Management Journal , 55 (5), 1102-1119.
Bindroo, V., Mariadoss, B. J., and Pillai, R. G. (2012). Customer Clusters as Sources of
Innovation-Based Competitive Advantage. Journal of International Marketing , 20 (3),
17-33.
Brynteson, R. (2010). The Manager's Pocket Guide to Innovation. Amherst, MA: Human
Resource Development.
Clausen, T., Pohjola, M., Sapprasert, K., and Verspagen, B. (2012). Innovation strategies as a
source of persistent innovation. Industrial and Corporate Change , 21 (3), 553-585.
Drucker, P. (2012). Innovation and Entrepreneurship. Oxford: Butterworth-Heinemann.
Mann, A., Watt, G., and Matthews, P. (2012). The Innovative CIO: How IT Leaders Can Drive
Business Transformation. New York, NY: Apress.
Martini, A., Gastaldi, L., Magnusson, M., and Laugen, B. T. (2012). Continuously innovating the
study of continuous innovation: from actionable knowledge to universal theory in
continuous innovation research. International Journal of Technology Management , 60
(3-4), 157-178.
Mothe, J., and Foray, D. (2001). Knowledge Management in the Innovation Process. New York:
Springer.
Oliver, G. R. (2012). Foundations of the Assumed Business Operations and Strategy Body of
Knowledge (BOSBOK): An Outline of Shareable Knowledge. Sydney: Darlington Press.
Pisano, G. (1996). The Development Factory: Unlocking the Potential of Process Innovation.
New Jersey : Harvard Business Review Press.
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Santamaría, L., Nieto, M. J., and Miles, I. (2012). Service innovation in manufacturing firms:
Evidence from Spain. Technovation , 32 (2), 144–155.
Sharif, N., Baark, E., and Lau, A. K. (2012). Innovation activities, sources of innovation and
RandD cooperation: evidence from firms in Hong Kong and Guangdong Province, China.
International Journal of Technology Management , 59 (3-4), 203-234.
Stephenson, E. (2011). Innovation. Bloomington, IN: iUniverse.
Tidd, J., and Bessant, J. (2009). Managing Innovation: Integrating Technological, Market and
Organizational Change. New Jersey: Wiley.
Trantow, S., Hansen, A., Richert, A., and Jeschke, S. (2013). Emergence of Innovation – Eleven
Strategies to Increase Innovative Capability. Automation, Communication and
Cybernetics in Science and Engineering , 161-189.
Varrall, G. (2011). Making Telecoms Work: From Technical Innovation to Commercial Success.
Chichester, West Sussex: John Wiley and Sons.
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