SAP Innovation Management
How can companies manage innovation?
Innovation in itself is a creative idea that can be developed and managed from its inception to become a product to launch on the market, turning these ideas into business results for companies. Constant innovation provides a competitive advantage that drives change and growth in all industries. The challenge is: How to manage it?
Many of these initiatives have their beginning in those people who encounter daily problems, and who, faced with this need, have an idea that can be innovative or that offers an improvement on a certain process or product. The challenge is: How to listen to them? How to identify those people? How to reward their contribution to the business value chain?
There are many as well as various articles and books that are related to innovation management, as well as the different ways in which they can be carried out in different industries. But in the times in which we find ourselves, the process of maturity of innovation requires a context of granularity and development of ideas, which companies and large corporations must know how to manage and develop effectively. An undetected idea, or not managed properly, could lead to an important business opportunity that has been scrapped and lost.
- From the IT / Systems areas, they ask: -How and with what solution can we manage innovation? For which area or sector of the company do we focus a solution? -.
- From the Business areas, they ask themselves: -How do we manage innovation in our business units? What do we do with the areas of support for the operation?
Traditional approaches to innovation are failing, investments made in Research + Development departments have been increasing, but their results or returns are not showing favorable numbers. In certain sectors, 85% of new product launches have had market failures and irreversible consumer dissatisfaction. Only 5% of the resources of the Investment and Development departments feel motivated to innovate.
Many of the processes within innovation management lack support over time, because they have not been properly managed, thus generating a feeling of non-conformity and abandonment. Effective innovation, as its name implies, requires four extremely important elements.
1. Governance: As its word indicates, it refers to governance, within a platform that allows us to consider all the different types of innovation (taxonomy). Observing the entire business in its architecture as a whole (strategy), integrating and connecting people with their respective teams within the organization (collaborative networks).
2. Mindset: The entire set of actors and managers must have a mindset oriented to “Design Thinking”, thinking about design, based on agility and the optimal solution, which implies technical and economic viability, from the human optics. This gives us an input from those key people within the organization.
3. Processes: If we talk about process, we are talking about the principle of an Organizational Foundation, determining a path towards innovation and the different stages through which ideas and campaigns must pass. That give continuity to other support processes in companies.
4. Ideas: Passion and emotion are the fuel of creativity, the origin that gives ideas. Many times these do not mean disruption, since there are factors that frame innovative ideas in a change of vision, thus reusing the same characteristics that originated it. Having a traceability of the information, from the origin of the same.
So: How do we relate each of these characteristics within a system? How do we apply and put into practice all these theoretical factors? For this I recommend the solution of: SAP Innovation Management. This solution offers us all the necessary functionality to manage innovation as we have listed above.
Stay connected to the next blog with more technical information about SAP innovation Management.