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

---

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

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

3 Simple Steps To Solving Problems

You can move beyond your stuck states by contemplating all... Read More

Drawing On Creativity: How To Trick Your Brain

Can you draw?Your answer to that question reveals a surprising... Read More

The Creativity Creed

I believe that creativity is a natural order of life... Read More

7 Techniques to Supercharge your Creativity and Solve your Problems

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

Telling It Like It Is (Or Can Be)

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

Why Do We Need Creativity?

Creativity is central to the management of our individual lives,... Read More

Finding A Little Adventure

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

Creativity Management ? The Value Of An Idea?

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

10 Tools for Dealing with Criticism and Rejection

Ouch! Whether it's feedback we've asked for, an unsolicited remark... Read More

What Every Manager Should Know About How to Think Creatively

You may have heard of Roger von Oech's book, A... Read More

Mind Power Games

Want a fun way to tune up your brain? Why... Read More

Becoming Radiant: Boost Your Teams Creativity with Mind Mapping

I don't take notes anymore. Instead, I create one wildly... Read More

Creativity Stereotypes ? Are They Holding You Back?

Here's a quick quiz:1) When I see a see a... Read More

Five Basic Steps to Benefit from Your Creativity

The ability to exercise your creativity is even more important... Read More

A Book About Faith and Love

With news about Iraq and London and even our own... Read More

12 Ways To Boost Your Creativity At Work

As workplaces continue to rightsize and downsize, we all find... Read More

Three Ways Journaling Can Boost Your Creativity and Your Business

I have a friend who has struggled with her creativity... Read More

Its Time to Get Out of the Box

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

SoulCollage - Combining Collage Fun with Spiritual Practice

SoulCollage? is a unique blend of spiritual practice and the... Read More

Tips on Breaking the Creative Block

There's no question that creating anything is hard to do.... Read More

New Inventions - From Absurd to Wacky!

New inventions? Heard of a revolving restaurant combination television tower?... Read More

Connect with Your Inner Artist

In the "Roadblocks to Creativity" e-course, we look at the... Read More

Creativity and Innovation Management : Why Products Fail!

There is no sure fire route to commercial success but... Read More

Ideas

While the inception of penicillin brought a bit of a... Read More

How To Increase Creativity... Set Deadlines!

Deadlines are something all of us face from time to... Read More

Creating and Living Your Ideal Legacy

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

How to Make Time for Art

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

Creativity Management ? Sustainability through Passion

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

Are You Inventive Enough to be an Inventor? Some Guidelines to Invention Success!

Inventors make a ton of money when the invention is... Read More

The Elements of Creativity: What-ifs?

What if there is no toilet paper and I am... Read More

A Quick Course in Creativity

This quick course in creativity is designed to give you... Read More

The Optimal Mind State

Let's begin by defining the optimal mind state and the... Read More