Technological and industry shifts are important drivers of innovation. One of the most popular example to support this statement is the advent of smart mobile phones, which affected adversely industries like camera and computers. These shifts are very difficult to anticipate, and often needs a change in core business strategies. Staying up to date with these changes in trends is vital.
Innovators Dilemma: Most of the CEO’s across America are facing this on how to cope up with the today’s ever changing innovation economy. As per some statistics, about 97% of the CEO’s agree that the need for inclusion of innovation into their products and services has increased exponentially over the last decade. And about 73% of those CEO’s believe that innovation is the main player in determining the value of the company. The surprising factor is that only 35% of them are confident in their firm’s ability to bring about innovation in their product and services successfully. After all, navigating uncharted waters is risky and full of uncertainty. Thus, the CEO innovation dilemma is rising, leaving many unsure whether their organizations have what it takes to keep up.
The management especially the CEO should make sure that the organization is taking steps to reform its way of doing things and is embracing the innovative methods that are being introduced in the market. Some of the techniques that can be used inculcate innovation culture in an organization are: 1. Encouraging every employee to innovate – In CISCO, the CEO initiated a program where a group of employees about 250 is kept separate and they have dedicated resources for research and development for a new innovative idea that can bring about a big change. He has offered big monetary benefit if the idea works out and later they can join back the main organization. In similar lines, almost every company has recognized the importance of innovation and has dedicated a team to implement the same. In my organization TATA Consultancy, there was a special division called Centre of Excellence which analyzed the changing markets and customer aspirations and changed the product specifications accordingly.
Innovation comes from an awareness of both current problems and the potential for future ones. Creating the framework for innovation within your organization teaches your employees how to innovate successfully and encourages them to do so. As the CEO of PepsiCo, Indra Nooyi gives utmost importance to innovation in their firm. She once visited the market in person to see how they look on the shelves. Her words after that were: “What products really speak to me? The shelves just seem more and more cluttered, so I thought we had to rethink our innovation process and design experiences for our consumers—from conception to what’s on the shelf.”
The accelerated rate of changes in technology and its subsequent adoption in the present fast-paced business environment makes it essential for every organization to be ready to create innovative solutions that keep their clients on the leading edge. By understanding your customers and their aspirations, creating external partnerships and establishing a strategic innovation model, your company and clients can be successful by being always one step ahead of market changes.