Business Innovation for Competitive Advantage
Through business innovation, an organization introduces new workflows, ideas, products, services, and methodologies. Business innovation should ensure that goals across the whole organization are met, and core business initiatives and objectives are also accomplished, just like IT innovation which involves using technology to come up with ideas to solve problems in an organization. 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. In addition, to improving the production process, products or services, business innovation should also solve a problem or tap into new markets.
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. Hence, corporate innovation should boost profits and should also yield a competitive advantage for the organization, making it grow and reach or even surpass the strategic goals.
Based on how the business operates, how it exploits new ideas and how efficient it is in service delivery, business model innovation alienates the organization from its competitors. Business innovation benefits both the organization and the customers since they also get to use new products and services. Quality products or services are also disposable to customers, for example, in the case of the healthcare field, better medical treatment. However, very few companies have sought business innovation, despite it boosting profits and securing competitive advantage. Most managers and CEOs do not have the time, funds and energy to support the new product development process. Furthermore, for business innovation to thrive, teamwork is essential, but most organizations lack this commitment.
To succeed in business innovation, organizations should know that they are different and should pay attention to their personal needs. Moreover, a company should be flexible and accommodate change easily. 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. Since negative or positive feedback would aid innovation, customers say what they want, and they can be a guide.
Failure to promptly act on the frustrations that are associated with business innovation causes most businesses to fail. In this case, there may be financial issues, employees may take some time before adjusting, and consumers may take time before they adapt to the new product or service. 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.