A business decides whether Innovation is strategic or not. Understand the innovation reason. In your Business Strategic Vision you are either a:
- Above all, first to market
- Subsequently become an Innovation mind share leader
- Certainly an owner of patents
- Leadership execution, and
- Further, market leadership
Fast Follower Benefits
- Decreased Innovation costs
- On the other hand, a slightly diminished leadership position
- You know the destination
- Ability to react quickly
Slow Follower Benefits
- For example, virtually no Innovation costs
- Possible future licensing
- Likewise agility is not a corporate concern
- Meanwhile, you see the Innovation landscape in the past
An innovation reason is to lead the pack. Innovations can be big or small, strategic or tactical.
Deciding whether to Innovate is strategic. Whether your business is a startup or you desire to build an Innovation program within your company. Innovation is a program and must be managed as a program focused on using Innovation as a competitive advantage.
In deciding whether there is an innovation reason, it is a strategic advantage to Innovate, however it is also important to recognize the risks. We believe you can ask three questions that will help you decide whether Innovation is a strategic benefit or a liability:
Is it strategically important that your business Innovate to protect it’s future?
Has your major competitor started an Innovation program?
Can you handle an Innovation Program in your business?
For example innovation can occur at many levels and should have a methodology. Toyota employees innovate every day. They do it above all, in their Continuous Improvement program and generate 11 ideas per person per year. They adopt 95% of those ideas. Every one is an idea that has not been applied. Certainly, if you want to build your System using the tools of Toyota, Continuous Improvement is key to their growth. Do you wish to improve your system with the tools of the Toyota Production System then click on the button below:
If you want to see the key to Toyota’s greatness, click the button below: