Creativity, Innovation, and Market Performance

Creativity can be defined as problem identification and idea generation whilst innovation can be defined as idea selection, development and commercialisation.

There are other useful definitions in this field, for example, creativity can be defined as consisting of a number of ideas, a number of diverse ideas and a number of novel ideas.

There are distinct processes that enhance problem identification and idea generation and, similarly, distinct processes that enhance idea selection, development and commercialisation. Whilst there is no sure fire route to commercial success, these processes improve the probability that good ideas will be generated and selected and that investment in developing and commercialising those ideas will not be wasted.

Creativity, Innovation and Market Performance

In the broadest terms, strategy is about growth. Decision makers are constantly looking for growth, in fact, in listed firms, shareholders demand it and at ever increasing rates.

Decision makers have therefore to decide how to grow. There are a number of growth models and one of them is the Ansoff Model, which is useful for this argument:

a) Market penetration ? existing products in existing markets

b) Market development ? existing products in new markets

c) Product development ? new products in existing markets

d) Diversification ? new products in new markets.

The strategies above suggest, at least, that:

a) There should be a strong correlation between new products and market performance. This is proved correct (Tidd et al, 2005).

b) Innovation is required consistently no matter what strategy is chosen. Existing products in existing markets must consistently improve their cost / performance mix to beat off rivals and innovation is required to find new markets for existing products. It is more obvious that innovation is required when new product strategies are engaged in.

These and other topics are covered in depth in the MBA dissertation on Managing Creativity & Innovation, which can be purchased (along with a Creativity and Innovation DIY Audit, Good Idea Generator Software and Power Point Presentation) from http://www.managing-creativity.com.

You can also receive a regular, free newsletter by entering your email address at this site.

Kal Bishop, MBA

**********************************

You are free to reproduce this article as long as no changes are made and the author's name and site URL are retained.

Kal Bishop is a management consultant based in London, UK. He has consulted in the visual media and software industries and for clients such as Toshiba and Transport for London. He has led Improv, creativity and innovation workshops, exhibited artwork in San Francisco, Los Angeles and London and written a number of screenplays. He is a passionate traveller. He can be reached on http://www.managing-creativity.com

---

Seeing Problems From Their Creative Side

Did you know that winning actually puts less wear and... Read More

Stress VS Creativity

Now when I use the term "creativity", I mean the... Read More

Mindfulness and Poetry: Delicious Word Awareness

Everyone's a poet.Of course, everyone's a critic, too! This means... Read More

Dancing On Your Brain: The Cha-Cha Effect

My grandmother used to say that the secret to living... Read More

Connect with Your Muse

Lately I've been discussing how to thrive as a creative... Read More

Creativity Management ? Measurement, Benchmarking, and Improvement

Contrary to common perception, creativity can be made tangible, measurable... Read More

Creativity: The Key To Getting More Done In Less Time

If your to-do list seems as long at the end... Read More

Think & Grow Rich

All wealth is a product of mind. Some economists will... Read More

Who Wants To Be A Creative Genius?

Can You Learn Creativity?Have you ever watched Robin Williams do... Read More

How to Make Time for Art

The key to making time for art is the ability... Read More

Inspiration, Creativity, and Channeling ? Opening Ourselves to Greatness

Channeling is much easier to do than most people suspect.... Read More

Creating and Living Your Ideal Legacy

A legacy is more than a gift that lives on... Read More

Its Time to Get Out of the Box

"It is never too late to be what you might... Read More

7 Techniques to Supercharge your Creativity and Solve your Problems

Do you ever encounter problems, challenges or obstacles in your... Read More

Should You Quit Your Job for Your Dream?

The next time you're moodily sitting in your office, wishing... Read More

Top Ten Reasons To Start Creativity Coaching

DEVELOP YOUR ARTISTIC CONFIDENCE I'd really like to write but... Read More

Break An Egg For Creativity

In 1420, the dignitaries of Florence held a competition.They offered... Read More

The Sylvia Plath Pattern Of Creative Flow

* Sylvia Plath teaches a valuable lesson about the Even... Read More

Being Creative is Essential for Online Success

Do you have a strategy that ensures your online business... Read More

Innovation: Wake Up Your People?s Creative Genius

Successful companies have innovation in their blood. The single most... Read More

Finding A Little Adventure

I have had more than my share of exciting times... Read More

Top Ten Creative Strategies for Inspiring Creativity Where You Work and Play

Websites, automobiles, milk cartons, living spaces. Design saturates every aspect... Read More

Sharing Our Creative Work with Others

In my "Roadblocks to Creativity" e-course, I ask the question:"What's... Read More

Telling It Like It Is (Or Can Be)

When you hear, "tell me a story," does your mind... Read More

Improve Your Bottom Line, Kens Idea Saved over $100,000

Engaged employees can show us the way to continuously improve.... Read More

Creating Success

All things begin in consciousness.Consciousness originates everything that is manifest.... Read More

The Source of Growth and Creativity

Bare attention (to objects, people and circumstances) is what brings... Read More

Gifts of the Inner Voice

Now that I no longer awaken to the sound of... Read More

Why Creative Visualization Works

Experience has shown that creative visualization works. It is quite... Read More

Forget Thinking Outside The Box....GET Outside The Box

I happened to overhear a conversation the other day between... Read More

9 Steps to Supercharge Your Productivity with Creativity

Time is the great equalizer. Everybody has the exact same... Read More

Creativity Management ? The Value Of An Idea?

Creativity can be defined as problem identification and idea generation... Read More

Innovation Through Concept-Combination

There are many creative problem solving techniques used by inventors... Read More