ABSTRACT

If you want to have effective innovation (that is, delivering new and improved value costeffectively) and also sustainable innovation (that is, repeatable over time rather than just a ‘one shot’) in your business, you have to proactively establish the right conditions for it. Research1 and experience2 has shown time and time again that effective and sustainable innovation requires a holistic and systematic approach. This approach weaves together the threads of a number of key practices to create a strong and rich fabric of innovation capabilities. Exploiting these capabilities leads to long term superior performance.3 Best practice innovation thus requires an integrated system (Figure 14.1) which comprises seven key practice areas:

With effective practices in place in these seven areas, organisations increase their chances of achieving higher innovation performance to deliver new or improved products/services, process transformation, marketing innovation or new business models.