Every business, company and organization needs to innovate. Whether you are in a non-profit or government organization, the truth is that every business model ultimately becomes redundant without innovation.
The world is constantly changing and conditions are always shifting. Innovation is the key to stay relevant to the current reality.
Perhaps you are aiming for stability in your company but if you are not ready for disruption, you will become irrelevant with your products.
Managers are usually not responsible for innovation. They are in charge of operations. Their focus is hiring employees who will optimize the processes and deliver high productivity with minimal errors.
In other words, managers are aiming to keep things running efficiently and smoothly.
Innovation Through Experiments
However, there is a trade-off between optimization and innovation. The best managers realize the importance of experimentation. They encourage their teams to try new things even if they might fail.
Efficiency requires standard processes that are predictable and controlled.
Experimentation on the other hand requires risk and acceptance of failure. Processes are not always going to give predictable results but they will always offer solutions. These solutions drive the vision of the company forward.
How do businesses aim for innovation while ensuring that optimization is not affected?
One way is to create a separate entity within the company that is encouraged to experiment. The new ideas might fail but they produce tested concepts that create the future of the business.
A traditional company with set processes will benefit from adopting a part of the start up culture. If a project is likely to fail, managers are encouraged to quickly change course.
The world is changing and business environments are becoming increasingly volatile and complex. In such environments, companies need to be more agile and also encourage a culture of constant innovation.
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