Monetizing the Different Types of Innovation

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Business Innovation is about creating value.

And the degree to which value creation is monetized, is a very important metric for determining how well innovation contributes to business success.

As with the multiplier effect of new economy companies being greater than established organizations, there is a premium on innovation with new digital capabilities that deliver high value and a  great User experience.

To help with understanding the different types of innovation, the following should be helpful –

  1. An Established Enterprise – mainly Monetizes Tangibles
    ie:  many Fortune 500 companies – with a business largely based on Physical Assets
  2. A New Economy Enterprise  – mainly Monetizes Intangibles
    ie: Technology companies – that is largely based on Intellectual Assets
  3. A Future Enterprise
    • can Monetize Intangibles / Tangibles  …. with an increasing digital focus going forward
    • Is good at incremental and sustainable innovation  +  high competencies in disruptive innovation

 …. analogous to having Singles and Doubles hitters in the line-up  +  some Sluggers   — to better position the team to win ball games

While every enterprise recognizes the importance of innovation, and by virtue of becoming a large organization, they have proven their ability to innovate.

However, for an “ Established Enterprise “ to become a “ Future Enterprise “ now, there is a need to also recognize that innovation going forward is fundamentally different than in the past.

In this context, enterprises need to also evolve their Innovation model of “ Process and Predictability ” with “ Insight and Inspiration “ +  an open and agile culture

…. if the goal is to innovate for impact – to meaningfully improve business outcomes.

Predictably, the sooner enterprises get better at Disruptive innovation, the more rewarding innovation is – as can be confirmed by how well value creation is monetized.

For further insights on innovating for impact, please visit –  www.cail.com/BI  or send a message to  info@cail.com  or call  905-940-9000.

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