The first steps of the innovation management process

Next to science-based innovation, classical economics is less talked about about innovation and its various possibilities. They are continuous systemic processes that make companies more dynamic in the long run, allowing radical innovation to emerge.

An innovation is a new or significantly updated product and service introduced to the market or a process introduced

The purpose of innovation is to create value and achieve a competitive advantage, contributing to the company’s development and productivity growth. At the same time, innovations do not always have to be the first in the world or lead to a radical change, but can also contain small incremental changes that improve. The purpose of innovation is to create value and achieve a competitive advantage, contributing to the company’s development and productivity growth.

Business model innovation

Product and service innovation

Process innovation

How to move on the innotrep

The innovation ladder is based on the ISO 56002 innovation management standard and solutions inspired by it. The innovation ladder application helps to better understand the standard and adds the necessary tools for its development.

ISO 56002 standard

Step 1: Positioning – Where am I?

Innovation ability test

With the help of the Innotrep test, you can assess the current state of your company and its readiness to carry out innovations. The test positions the company on the innovation capability scale. The obtained assessment provides a more accurate understanding of the company’s development needs. It also allows you to evaluate your position in comparison with other companies in the sector. The innovation ability test can be taken by registered users. When creating a company account, data from the Business Register is used, and the account can be created by a member of the company’s board. A company representative can add other users to the account.

Step 2 What needs to be changed?

Tools and action plan

The innovation capability test is based on a model that places companies on different stages of development on the innovation ladder, in order to choose areas of development from there – in which do I want to make a leap in development? This helps the company prepare a suitable development plan and action plan.

Step 3 how to achieve change?

Recommendations and contact network

Each rung has a selection of knowledge, skills and resource services to achieve a leap in development, and you can choose the services you need for your leap in development. In addition, we offer you recommendations and contacts of possible cooperation partners who provide this specific service.

What does the company’s innovation capacity consist of?

The innovative capacity of companies depends on the interaction of six factors: management, team, value proposition, processes, finances and cooperation.

Detailed matrix

Level 1-5

Six categories of ability

You are interested in innovation, you have also planned to pay more attention to innovations in your company. Where to start? For the birth of broad-based innovation, it is equally important to consider the company’s capabilities in all categories.

Ambition and leadership

Innovation ambition describes the scope and intensity of a company’s efforts in innovation. To what extent the company’s resources and energy are invested in innovation. Strategic management involves setting long-term goals and directing resources to support innovation. Market ambition describes the company’s goals and aspirations in target markets. How motivated is the company to find competitive advantages, enter new markets or create new market segments. The ability to scale, providing access to new markets and customers, is necessary to successfully bring innovative products/services to market and exploit their full potential.

Culture and people

Employees’ openness to innovations and their readiness to think along and contribute to innovation processes depend on the company’s culture. In order to increase the capacity for innovation, it is worth analyzing whether the company’s culture favors creativity and innovation and how employees contribute to the generation of new ideas and their practical implementation.

Value proposition innovation

A value proposition is a company’s promise of how its product or service will solve customer problems or meet their needs better than competitors. This helps a company differentiate itself in the market and get customers who feel they are getting special benefit or value from a particular company or product. The company’s business model reflects the current strategy and approach to the market, products/services, customer relationships and revenue generation.

Innovation processes and practices

Innovation management shows how a company structures, organizes and optimizes innovation activities from idea generation to market launch. Are the company’s innovation processes defined and consistent? Systematic innovation shows whether the company is constantly innovating and how consistent and structured the processes are for generating, developing and implementing new ideas. Is innovation random and episodic, or an integrated part of the company’s culture and strategy.

Finances

A strong investment capacity allows the company not only to finance research and development activities, but also to quickly respond to market opportunities, implement new technologies and support the implementation of innovative ideas, which are essential for maintaining constant innovation and competitiveness.

Cooperation and open innovation

Cooperation with various partners, academic institutions and other companies allows to combine different skills and experiences necessary to solve complex problems and generate innovative ideas, thus accelerating innovation processes and increasing the probability of their success. In open innovation, a company expands the boundaries of its innovation activities beyond traditional internal development activities by incorporating ideas, resources and knowledge, and using the creativity and specialization of external partners, other companies and universities.

Why create an Innotrep account?

The Innotrep user account allows you to save the score of the personal innovation test, see the services that are suitable for your development, and choose a personal consultant for advice.

Consultants

If desired, registered users have the opportunity to evaluate their company’s innovation capacity with the help of an external consultant. Development advisors of professional associations, business consultants of county development centers and private sector consultants will soon be found in the Innotrep environment.

Raul Aron

Development advisor

Central Union of Estonian Employers

Kati Rostfeldt

Innovation advisor