What is the stage of the innovation process? First of all, some action preceding the result. Many believe that the creation of new ideas is its beginning, but in fact it is not. The idea arises in the middle of a disciplined innovation process, which will be considered in this article. While the goal of any innovation is to “simply” create value for the business (simply in quotation marks, because this is obviously not so simple to do), it itself can take various forms. As noted above, this can be a gradual improvement of existing products, the creation of breakthroughs, such as completely new products and services, cost reduction, increased efficiency, new business models, new enterprises, as well as many other forms. This article will list the main stages of the innovation process.
Methodology
The method of creating innovations is to find, create and develop ideas, turn them into useful forms and use them to make a profit, increase efficiency and / or reduce costs.
In the pursuit of innovation, it is obvious that many ideas at this stage and stage of the innovation process become several realized, useful innovations at the withdrawal stage, so people readily present the sequence of innovations as a funnel: many ideas come to the wide end on the left, and several ready-made innovations arrive at market with a narrow edge to the right. The trick is to make it work, you need to know what should happen inside the funnel.
Value of ideas
Ideas are really the seeds of innovation, just as ore mined from the earth is raw material for steel, or wheat serves as raw material for bread. But it takes a lot of work to get raw ore and turn it into metal, or to prepare fields for growing grain long before it becomes bread. Same thing with innovation; we don’t start collecting raw ideas. Instead, we know that innovation is a key element of the strategy of our organizations, so we must begin the act of innovating with strategic thinking to ensure that the results are fully consistent with our strategic intentions.
Further in this article all stages of the innovation process and their characteristics will be described.
Strategic thinking
Step 1 is strategic thinking. This is one of the main stages of the innovation process. It begins with the goal of creating a strategic advantage in the market, so at this stage of innovation, we specifically think about how it will enhance the value of your strategic goals, and focus on those areas where innovations have the greatest potential for providing a strategic advantage.
Control
Step 2 - portfolio management. Management is often carried out incorrectly, which is the stage of the innovation process, which can be fatal to the result. We, by definition, are trying to do something new and continue to work, while in fact we often do not have confidence in the success of the upcoming actions. We have confidence that in the end the planned result will be achieved, but already at the initial stage there is an understanding that there will be many wrong turns and many attempts that will never be realized. Thus, we actively manage innovation portfolios in order to balance the risks inherent in the unknown with the target reward for success, and to balance our desire for ideal with the realities of learning, risk, failure, in order to ultimately succeed.
Steps 1 and 2 together provide a platform and context for everything that follows, and therefore they constitute the steps for entering a sequence. Therefore, actions at the subsequent stages of the innovation process have the best chances to achieve maximum results.
Study
Step 3 - research. The result of the stage of the innovation process at number 2 is the creation of an ideal “portfolio”, which, in our opinion, today is the right mixture of short-term and long-term projects for all four types of innovations. Once we understand the ideal, we can compare our current knowledge and identify gaps. Filling these gaps is therefore the goal of the study. Thanks to them, we will cope with a wide range of unknowns, including new technologies, changes in society and customer values, and during this we will provide significant new opportunities for innovation.
Strategic thinking gives an explanation of how the world is changing and what our customers can value, this in turn stimulates the emergence of new questions that the study answers. Their results cause the formation of a large number of new ideas on a wide range of internal and external topics. This is an abundant raw material, and it is already automatically consistent with our strategic intentions, because it was the result of a direct link between strategy, portfolio design and research. Some experts are convinced that the original managerial decisions are the stage of the innovation process, which is wrong
Insight
Step 4 - Insight. In the course of our research, the “light bulb” lights up from time to time, and we use the best ways to solve future problems. Eureka! The innovation and its purpose are mutually clarified; We understand what is the right offer for the right customer. Otherwise, the sequence of stages of the innovation process helps us.
Many people take this moment of understanding as the beginning of a creative act. At the same time, it becomes clear that with controlled efforts to implement innovations, we expect an understanding that will arise as a result of previous actions, and not at random. Therefore, the innovation process described here is specifically opposed to the generation of random ideas; the emergence of a new one is the result of a focused process of study and development. This is not because someone had a good idea in their souls, but because individuals and groups searched for it diligently and persistently.
Development
Step 5 - development, design, prototyping and testing, the result of which is a finished product, service and business design. Production, distribution, branding, marketing and sales are also developed at this stage of the innovation process.
Market development
Step 6 - “market development”, a universal act of business planning that begins with the identification and development of the brand, continues through preparing customers to understand and choose this innovation, which leads to a rapid increase in sales.
Sale
Step 7 - sale, where real return is achieved. Now we make financial profit by successfully selling new products and services. In the case of process improvement innovations, we now benefit from improved efficiency and productivity.
Managing activities of this magnitude and complexity, of course, is a problem for all organizations, but there are some among global companies that do this extremely well. Knowing that some are making significant progress, and that you can be a model innovative company that can make exceptional profits, should be a powerful source of motivation for developing and applying your own master plan.
Generation of ideas
New ideas are created during the generation process. Mobilization occurs when it moves to another physical or logical place, for example, to a third-party company or another department.
Inspiration for an idea can come from improving an existing idea or something from scratch. One of the issues of the Atlantic magazine tells how Apple waited three years for MP3 players to appear. And only then was the iPod created, which was attractive, intuitive and offered a capacity of up to 1,000 songs. Conversely, the invention of adhesive tape was a completely new idea.
Human factor
As a result of work ethics, competent employers provide employees with time (15% of their working day) to study and search for new ideas outside their work assignments. It is advisable for employees to know all the stages of the innovation process. Other organizations have followed this model, and trusted communities generally provide employees with the time and resources to innovate. According to the book “Innovations: Management, Politics and Practice”, managers should pay due attention to innovations: “reassessment of needs will lead some employees to more stable jobs,” and “insufficient emphasis on them will reduce urgency and develop ideas in all areas ".
Not all ideas deserve implementation. Advocacy and screening helps evaluate the idea and measure its potential benefits and challenges. From there, a decision can be made about the future of the idea.
One of the biggest benefits to collaborative screening and screening processes is refinement. If an idea has potential, discussions and arguments help strengthen it. A number of feature articles mention how an idea for senior management is being prepared at this stage, which may require a different approach. Since idea generators do not always have the skills to uphold their ideas, managers working with an idea generator can help, encourage and support a person.
Corporate culture
Companies wishing to create a strong culture can offer some best practices for this step. First, employees should have many opportunities for getting support and feedback. Secondly, organizations must understand the difficulties associated with evaluating truly innovative ideas. Third, companies need to establish transparent assessment and verification protocols.
The experiment stage tests the idea, for example, using a prototype or an experimental test. Researchers in the field of innovation: management, politics and practice carefully note that "experimentation does not test the objective merits [ideas], but the suitability for a particular organization at a particular time." Some ideas “can get ahead of your time or go beyond the current capabilities of the company ... [they] can later be allocated to a bank or library of ideas for development”.
Experimentation
Experimentation may remain uninterrupted or spurts exist as proponents and reviewers redefine the idea. Sometimes implementation in practice leads to the emergence of new ones because of information that is collected from the results and the overall feasibility of the original idea. Time is critical in this process; people should have enough time to experiment. As refinements and evaluations occur, they need to be given enough time to think about practical application.
Many businesses are experimenting with new products and services, such as grocery stores. One of the innovations came in 2007 when Amazon tested its grocery delivery service in several suburbs of Seattle. Following this successful experiment, Amazon Fresh spread to Los Angeles, San Diego, and New York.
Commercialization
Commercialization aims to create the market value of an idea by focusing on its potential impact. This step makes the idea attractive to the audience, for example, by combining the idea with others, figuring out how and when it can be used, and using data or prototypes from experiments to demonstrate the benefits.
An important part of commercialization is the specification of any given idea. The promise and potential of the early stages of innovation must be discarded so that the real benefits of new innovations can be perceived and communicated. This is a pretty important point. Many researchers write about this in their articles. Once the idea has been finalized, it can be properly targeted and meet the needs of the audience.
Commercialization is the stage of the innovation process, when the emphasis shifts from development to persuasion. Once the idea is clarified and a business plan is created, it will be ready for distribution and implementation. Realization in reality depends on its content and stages of the innovation process.
Distribution and implementation
“Distribution and implementation are two sides of the same coin,” as experienced experts say. Implementation is the adoption of a new idea by a company, and implementation creates everything necessary for the development, use or production of new products. But before that, experts must establish the sequence of stages of the innovation process.
Diffusion occurs at all levels of the organization. It is often attended by specialists who effectively present innovations, using their knowledge of “specific content and application into which an idea, product or service can be inserted”. All this, however, has little effect on the stage of development of the innovation process.
Use and application
The use or application of innovations should be demonstrated by the end of this phase along with their adoption. Successful innovation will require appropriate resources, a marketing plan for customers, and an open culture with strong propaganda. Also important for dissemination and implementation is the opportunity for future ideas; This final step allows the organization to determine the next set of customer needs. Getting feedback and a set of different benchmarks allows the company to once again stimulate the innovation process.
Issue
Any innovations also create problems. If problems arise periodically at some step, which indicates a lack of thoughtfulness, or the company does not have a systematic act of accepting and developing innovative ideas, the organization will rely on chance. But with the right approach, thinking and resources, an enterprise can reap the benefits of strategic growth.
Managers can help create a culture of innovation. An open and supportive environment can lead to organizational success, as well as recognition and professional development of employees who offer contributions. In addition to creating a new culture, managers can help the company and its employees in other areas. At Rivier University, an online MBA program allows students to expand their knowledge of core business concepts — such as project management, organizational dynamics, accounting, and more — to better understand the industry and how to succeed.
Goals
What is the implementation of the stages of the innovation process for? A holistic process is aimed at achieving goals and, thus, creates a clear structure that structures and systematically implements the development of new products, services and business models. However, before this happens, it should be clear what is meant by the innovation itself within the company. This is also true for the stages of the innovation process in education, which do not differ too much from the model adopted in the business world.
Value
The act of introducing innovation is the heart of the management of ideas, and therefore it makes sense to understand goals as subordinate components.
Innovation is the introduction of a new product or the improvement of its quality, production method, market, source of supply and / or organization in the industry. This also applies to improving an existing concept or idea using a step-by-step process to create a commercially viable product.
Innovations are stereotyped as the wheelhouse of small and start-up companies, since they are usually very dynamic, but, as we will see, this is also a vital and viable aspect in large companies.
The most useful thing in them is the ability to translate the idea into a successful concept. To do this, you need to go a long and difficult way. To realize your plan, you must understand this well and have the necessary support. This is what distinguishes a successful process from a failed one. These are the features of labor at the stages of the innovation process. All this is worth considering.
Conclusion
Innovation is the process of improving product service from its current state. Features of labor at the stages of transformation, however, can temporarily be depressing. By definition, you can say that innovations are not limited to the size of the business or business enterprise with which you deal.
Therefore, innovation is open to all. They add value to the services or products provided by the company, so management should strive to innovate in their business. And thanks to this article, you learned what is the stage of the innovation process.