Advice on developing an innovation strategy
Innovation is an internal engine powering change in every organisation. Often, management and strategy teams have clear ideas where they want to take the company, but don’t really care how innovation will help them to achieve it.
On the other side, the Research and Development (R&D) department wants its inventions out in the market, regardless of customer demand. The goal of the innovation strategy is to ensure the innovation engine runs smoothly and channels the right innovation in the right direction.
Innovation programmes lack strategic direction, when compared to innovation strategies. Moreover, an M&A strategy is no replacement for an innovation strategy. With an M&A strategy, the direction is established, but improvements to the offering are derivative. This works for followers, but not for the fast-followers, nor pioneers. In this context, ensuring your framework aligns all three areas effectively is what makes a good innovation strategy.