Innovation Governance Models

We are asked by our clients what innovation governance as an organisation we should institutionalise. Our answer is there is no easy answer, it depends.?

Although we have a good idea of what works and what doesn’t,?but we prefer to understand business context, type of industry in which the business operates, industry dynamics, business focus & goals. Naturally it’s an evolving process and the best thing to do is to take calibrated steps.

We reached out to our network and checked with them what they have to say. The result is not surprising but we would like to take a view on each of these governance models and offer our view.?

CEO Driven :?

CEO as a head of the organisation is responsible for growth & profitability of the company. For this to happen CEO has to work on differentiation or novelty of products & services or on both simultaneously.

These innovations are usually around differentiated products or venturing into new products & new markets.?

If the business operates in an industry that is already a RED OCEAN (severely competitive and price sensitive) then by working along all the business model elements CEO has to create a blue ocean for her own business. More of a strategic and business model innovation happens here.

Employee at all the Levels :?

In a business world where talent is a precious resource. No organisation can solely rest their faith on few bright men & women for their innovation success. Talent drain can jeopardise organisation’s innovation and growth aspirations. It’s very essential therefore to develop critical talent capability (orientation to innovation tools, methods, process) on the subject of innovation and create an environment where experimentation and ideas are valued.?

Chief Innovation Officer :

Although this has a low score on the governance category. We feel there is a need felt by most of the organisation to have a central leader who will drive the capability building amongst employees and run innovation projects through program management office. CEO would surely depend on someone to make innovation, a process driven approach which is predictable while leveraging everyone ingenuity.

R&D Driven :

I feel R&D has a lion’s share in contributing towards innovation. But if organisation’s leadership thinks they are the only contributor to innovation then they are dead wrong. We need to understand innovation small or big is everyone’s responsibility. Don’t scare people by overhyping the word ‘innovation’ where they will start feeling that it’s not their cup of tea. R&D surely requires more intense innovation capability building learning interventions. Some organisations have goals that new products / services should contribute 20-30% of their future revenue & profit.

Please like, share, comment. Your opinion is very valuable.?#innovation #governance #growth #talent

BMGI

www.bmgindia.com; [email protected] ; 8433727922