Innovation has become such a hot topic that its true meaning is often lost in the noise. While some use it as a catchall buzzword for simply using the latest technology or making change for change’s sake, the definition of “innovation” is limited to changes to the core business of an organization that leads to growth.
Why is business innovation important?
Innovation offers companies four main benefits:
- Getting ahead of potential disruption
When done right, business innovation takes stock of where the market is going due to potential disruptors or changing consumer demands. Businesses use that information to make strategic changes and to entice internal employees to be entrepreneurial. Those changes can include building a product or service similar to what new startups are making, buying it from others in the industry, or partnering with the upstarts (known as the “buy, build, partner” model).