Sunday, April 28, 2019

Innovation audit

While it is widely believed that innovation is important and can capture shareholder value, what is less well understood is how to become more innovative. Innovation reviews current practices, including consultants, to advise on alternatives and additional measures and technologies that companies can adopt to improve and maximize their innovation capabilities.

The precedent section succinctly summarizes the reasons for the innovation audit. They are designed to help companies understand their current innovation practices and how to improve or add to them. In fact, the audit may shed light on practices that actually impede innovation, which need to be reduced or stopped. why? All companies interested in growth will focus on how they innovate and increasingly recognize that innovation is one of the key determinants of long-term profitability and survival. As a result, companies want to improve processes to maximize their innovation capabilities and maximize growth opportunities.

All organizational systems should support innovation. Corporate executives need a way to audit their company's ability to innovate so they can understand the overall performance of their innovation process and where they may be flawed. Innovative auditing is a mature approach to improving innovation. It examines key indicators, determines the strengths and weaknesses of the factors, and identifies ways to improve innovation through the organization.

Subordinate reports tell you what works in terms of culture, processes, communication and action. It also analyzes what hinders innovation.

The audit results should be a clear understanding of the problem and an obstacle to innovation. It enables you to significantly improve the culture of innovation and processes in your business. It should also lead to higher levels of incentives throughout the organization, resulting in a more innovative and entrepreneurial organization that welcomes and initiates change. All of this helps to achieve new ideas to generate revenue or reduce costs.

The benefits of innovative auditing are outlined below:

· It enhances the company's ability to innovate;

· It identifies opportunities to increase innovation;

· It clarifies the focus of the organization's attention to maximize the success rate of innovation;

· It integrates innovation into the company's processes;

· It can be built on the basis of the individual to create creativity;

· It can identify and control barriers to stifling creativity and innovation;

· It promotes innovation in organizational culture; and

· It enables organizations to be consistent across common goals and actions.

Examples of questions that can be asked include:

·Innovation strategy

o Is there an innovation strategy?

o Does the innovation strategy support corporate strategy?

o Does the entire organization understand and understand the innovation strategy?

·Creative generation

o Is it easy to collect ideas from employees?

o Have you submitted ideas from different levels and departments?

o How many ideas have you submitted in the past 12 months?

·Select

o Are financial and scoring techniques used to select projects?

o Is there an appropriate mechanism to evaluate potential projects?

o Do you make a quick decision?

·implementation

o Is there an appropriate project review mechanism?

o Is there an appropriate mechanism to capture project learning?

o Is there a link between the corresponding departments?

·Organization

o Does the culture of the organization support innovation?

o Personal ' Have innovative goals and goals?

o Is there any reward and recognition for innovation?

An example of an audit:

Audits can be connected at different levels. One level is an online survey completed by the client company and its employees. This survey can be based on the following five aspects:

  1. Innovation strategy - why, what, where, when;
  2. Creativity - creativity;
  3. Choose - which one;
  4. Implementation - achieve the goal;
  5. Organization - how.

Then analyze the response and submit a report to the client listing the conclusions and recommendations.

The second level supports the online survey mentioned above as a starting point. After completion and analysis, face-to-face interviews will be conducted with selected staff. This provides a deeper factual basis from which to draw conclusions, insights and recommendations.

Other examples of audit methods

Innovation Diamond considers the following four headings:

  1. Product innovation and technology strategy [new products need to be combined with corporate goals];
  2. Resources: Commitment and portfolio management [the portfolio needs to achieve maximum return on investment, project balance - risk, market, technology, etc., and the close relationship between effort and strategy];
  3. Idea-to-launch system: Stage-Gate®;
  4. Climate, culture, team and leadership.

Another approach is to use the McKinsey 7S framework based on:

  1. Strategy - consider issues surrounding strategic planning, innovation and change;
  2. Structure - consider issues of roles and responsibilities;
  3. System - It looks at the process of managing the organization. Action
  4. Skills - These skills can review skills within an organization and identify gaps in skill sets;
  5. Employees - this consultant and team;
  6. Style - this involves the organizational culture and tools used;
  7. Shared values ​​- this also involves the employee's culture, vision, rewards and attitudes.

The third method is to consider the following five headings:

  1. Strategy and leadership;
  2. Organization and culture;
  3. Planning and selection;
  4. Structure and introduction;
  5. Communication and cooperation.

Another approach is to compare innovation to fruit trees and produce excellent crops [outcomes]. The yield of this crop comes from its feeding method [through its roots] and the way it supports the tree environment. Within the organization, the roots are people, teams, teams, leadership and innovation processes. The environment is its culture. The results take into account the organization's profitability in incremental and breakthrough programs, how to develop its ideas, manage teams, make decisions and learn.

Another approach combines quantitative and quantitative data sources to provide the most comprehensive insight into the company's innovation strengths and weaknesses. It uses interviews, financial data assessments, related project document reviews, and customized market research to assess overall innovation performance and identify factors that can lead to adverse outcomes. This approach focuses on organizing the innovation performance to date and organizing the capabilities of related activities [strategy, creativity, choice, development, utilization and resources]. It reviews the attitudes of leadership and top management to innovation.

All of these different approaches follow a roughly similar approach to asking questions to understand the process, attitude, and spirit of the organization and its members. They used a structured format for surveys and interviews with roughly the same title.

in conclusion

All in all, innovation auditing is an examination of current innovation practices. This understanding allows consultants to make recommendations on alternatives and additional measures and technologies that companies can adopt to increase and maximize their ability to innovate.




Orignal From: Innovation audit

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