Innovation Strategy

Organisations have different strategies in order to achieve innovation, these include:

n       Product-market focused strategies

n       Re-positioning

n       Diversification

n       Supply Chain

n      Cost Reduction

n       Differentiation

n       Niche Markets

The above determine when and where innovation is required to meet the aims of the organisation.

By creating an innovation strategy that details, clear targets and tactics. The clear targets will help the innovator know what their aim and objectives are, this leads to the improvement in the innovative process.

Figure 3.2  Questions driving innovation strategy

Source: Adapted from Liedtka and Rosenblum, 1996

The above diagram shows the different types of strategy questions which an organisation might encounter upon operation, it comprised with new innovative thoughts in order for the organisation’s to achieve long term success:

-Industry threats and opportunities

-Organisational competencies

-Values of key corporate members?

-Social responsibilities?

Each innovation strategy requires innovation for these strategies to work successfully, a combination of strategies must be thought upon;  however the innovation will occur in different areas and each innovation strategy can be risky in reality. Even if the firm perceives it as being low risk but overall accepting that failure is part of success when developing strategies