Invention Vs. Innovation

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Aug 23

When people think of the word “innovation” they often confuse it with the word “invention”.

Although they are similar, their subtle difference is quite important.

Definition of Invention

The act of creating, designing, or building something has never existed before, often through research and experimentation. Inventions can be patented to protect the intellectual property of the inventor.

Definition of Innovation

The practical implementation of ideas that result in the introduction of new products or services or improvements in the way products or services are offered that add value to the innovator or their customer.

Companies don’t need to invent to be innovative.

Strategies to Foster Innovation

Encouraging Company-Wide Participation: Innovation isn’t just for the folks in the lab coats or the corner offices; it needs to be a company-wide mantra. By setting up a system where everyone can pitch ideas—maybe an internal idea-sharing platform or regular brainstorming sessions—you create a democratic space for innovation. Host monthly 'Innovation Days' where teams can present ideas, or have 'Idea Boxes' in every department for people to drop their thoughts.
Identifying and Developing Good Ideas: Not every idea will be a winner, and that’s okay. The key is setting up a process to recognize the winners fast. Think about establishing a ‘Dragon’s Den’ style panel where employees can pitch their ideas to the leadership team. This makes the evaluation process dynamic and engaging. Use tools like customer feedback and market analysis to weigh the potential of these ideas against real-world metrics.
3Implementing and Commercializing Viable Ideas: Once you’ve got a good idea, the race is on to bring it to life. Quick prototyping, perhaps through partnerships with tech incubators, can help turn concepts into realities without huge upfront investments. Keep the momentum by using project management software to keep everyone on track. Celebrate each milestone to keep the team motivated, and don’t forget to look for opportunities to patent or trademark where applicable.
Seamlessly Integrating Innovations: For innovation to truly take root, it must be woven into the fabric of your business strategy. This means updating business plans regularly to include new innovations and holding quarterly reviews to assess how these new products or processes are aligning with long-term goals. Make sure there’s a clear path for these new ideas to move smoothly from the drawing board to the boardroom.

A good framework to get you thinking about innovation as more than just a “new product” is Doblin’s Ten Types Framework. This framework has 10 areas of innovation that are structured into 3 categories (Configuration, Offering, and Experience). Most big breakthroughs end up being a combination of several of the types of innovation all coming together.

Profit Model: How you make money; innovating the way revenue is generated and margins are improved.
Network: Connections with others to create value; leveraging partnerships or your network to scale and access new markets.
Structure: Alignment of your talent and assets; organizing company assets and operations in innovative ways to support the business strategy.
Process: Signature or superior methods for doing your work; refining or designing processes that are distinct and valuable.
Product Performance: Distinguishing features and functionality; enhancing the value of a product through new features and unique performance enhancements.
Product System: Complementary products and services; creating interconnected product systems or product suites that work together to deliver more value.
Service: Supporting and amplifying the value of your offerings; enhancing customer service or support to differentiate the product and create a superior user experience.
Channel: How your offerings are delivered to customers and users; innovating the way products are delivered to the market to meet user needs more effectively.
Brand: Representation of your offerings and business; cultivating a unique brand that resonates deeply with customers and stands apart from competitors.
Customer Engagement: Distinctive interactions with the customer; innovating the way you engage with customers to create meaningful and memorable experiences.