Innovation is one of the most clichéd words in business today, so overused that no one knows what it means anymore. This is what every organization should aspire to, and I hope it's at least featured somewhere on the company's website or in its values posted on its wall. In business, innovation is defined as creating a breakthrough product, new service, or new way of working.
Innovation comes in many varieties and is often mischaracterized because it is highly romanticized. Here are three great innovation myths to bust.
Myth #1: Innovation = invention.
For many companies, innovation means inventing better products, such as faster electric cars, new fruit varieties, or breakthrough vaccines.
These companies aren't wrong, but they're missing out on huge opportunities to innovate in other parts of their business, including their business models, the way they market and sell, and the way they manufacture their products.
A clearly defined innovation vision and strategy makes it clear to employees what kind of innovation is welcome and that there are many types of innovation to encourage. In our recent survey, 52% of corporate innovators said the lack of a clear vision was the biggest obstacle to success, so it's very important to get things clear.
Myth 2: The hardest part of innovation is finding the big idea.
Companies are putting tremendous pressure on themselves to find the next big idea that will accelerate their trajectory or upend their industry. But most companies are already full of great ideas.
In our research, only 6% of innovators say finding great ideas is their biggest challenge. The real problem lies in choosing the best of the best ideas and turning those ideas into reality.
Too many companies put too much energy into idea generation and then run out of steam when it comes time to do anything productive with the concept. We need an innovation process that allows great concepts to blossom, without leaving any good ideas behind.
Myth #3: If you want to innovate, you should look like a Silicon Valley tech startup.
Over 99% of companies are not steeped in the Silicon Valley environment. That's okay, because there are many ways to be innovative. What we see just south of San Francisco, such as Apple's visionary genius Steve Jobs and his bottom-up idea machine at Google, are just two of his models of innovation.
While you may be able to incorporate aspects of the Silicon Valley formula into your organization, such as employee autonomy and cross-functional teams, they may not be a good fit. Companies must choose an innovation model that fits their history, industry, and organizational design.
How to do it right
Instead of falling for these myths, develop systems to stimulate and manage innovation. Indeed, systems seem boring at first glance, but they are central to the success of real-world innovators.
We interviewed 50 top innovators, from startups and nonprofit leaders to giants like Microsoft and Levi Strauss, about their methods. They have his three-step approach in common.
• Aim: Set a clear path to the innovation you want. How quickly should returns come? How large should the prize be? How much risk can I take?
• build: Identify mechanisms that allow you to stay informed of industry trends and potential disruptions. Next, make some decisions. What happens when you have a good idea? How do you know when it's time to stop working on the idea you're struggling with and focus on the winner?
• Plow: Once you've decided to Aspire and Build, it's time to cultivate a culture that, like mortar, holds everything together in a way that's almost invisible but essential to long-term success. Know what kind of behavior you want, lead by example, and celebrate wins.
These steps can be summarized as ABC. This is a simple but powerful process that is proven to work.
Innovation is not just a buzzword or a Silicon Valley patent. It's a structured process that allows you to turn good ideas into great realities wherever you are.
