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The Gnomes of Innovation

Innovate business models, not just products and services

Stewart Anderson
Fri, 08/26/2011 - 10:12
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Few would argue with the proposition that a firm’s well-being depends upon its ability to innovate. Firms that lack the capacity to develop new and improved offerings which satisfy customer needs, together with improved means for realizing and providing those offerings, are not likely to remain in business very long. The economic health of any firm is a direct function of its ability to innovate.

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Here in Canada, the innovation gap is particularly acute: Canadian firms have consistently lagged behind firms in developed countries when it comes to innovation, and during the last two years the country has slipped further in most key innovation indicators. Unless this situation is addressed, this will mean significant implications for the Canadian economy.

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Comments

Submitted by Tripp Babbitt on Tue, 08/30/2011 - 12:25

Innovation

Nice twist.  Always heard Deming said, "No one asked for a light bulb."  Same point.  Organizations have become way to introspective to innovate.  Executives focused on rewards and targets.  The management factory puts out too many blockages in the way of governance, audit and risk - all areas that do not create or add value.  I compare it to playing "prevent defense" in football, it prevents you from winning.  All this protection to prevent profits from shrinking . . . shrink profits.

Unfortunately, with so little emphasis on the work, organizations have forgot how to innovate.  The workers on the front-line have been outsourced, shared and marginalized.  These are the folks that see opportunities and customer needs first, but they are viewed as an expense on the financials.  Instead, innovation has to become or will become a department - just like the quality department - how pathetic.

Tripp Babbitt

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