An organization introduces new workflows, ideas, products, services, and methodologies, through business innovation. IT innovation uses technology to come up with ideas to solve problems in an organization; similarly, business innovation should ensure that goals across the whole organization are met, and core business initiatives and objectives are also accomplished Through pooling of ideas together, to come up with brainstorming solutions that leaders consider to be viable, desirable and feasible business opportunities, idea generation yields innovation. 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. Besides the organization, customers who get to use new products and services also benefit from business innovation. 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. The new product development process demands time, funds and energy that most managers and CEOs do not have. 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. Moreover, a company should not be rigid, it should accommodate change. They should be risk takers, willing to fail first and to be brave enough to kill an unproductive idea. It is also essential to know your customers since, based on the extent of the business, customer relationships can be excellent sources of revenue. Customers say what they want, and they can be a guide since negative or positive feedback would aid innovation.
Most businesses also fail since they do not promptly act on the frustrations that are associated with business innovation. In this case, besides employees taking some time before adjusting, consumers may take time before adapting to the new product or service and there may be financial issues. In some scenarios, it may be not about how you alter the service or the product, but how you talk about it. If any organization is to succeed, marketing should be a critical aspect of business innovation.