1. Creativity involves the reorganization of experience into new configurations and is a function of knowledge, imagination, and evaluation. It can take the form of art, discovery, or humor. 2. Each hemisphere of the brain processes different types of information - the left brain is logical and analytical while the right brain is intuitive and looks at the whole picture. 3. Creativity generates new ideas while innovation is implementing those ideas. Innovation gives companies competitive advantages through new approaches and flexibility.