A competitive Advantage Tool for Strategic Innovation.

Harnessing creativity and innovation enables companies, and even whole economies, to acquire and maintain the competitiveness required in a liberal market place. At the international level, Africa’s share of world trade has been on a steady decline due to a variety of factors. Chief among them is of course lack of competitiveness of African products, failure by producers to meet stringent western quality standards as well as international trade barriers. By embracing innovation, African economies will increase their ability to take advantage of the opportunities that globalization heralds. Some of the most modern economies are where they are today because they were able to position themselves to take advantage of a constantly changing global economic system.

For example, Britain developed economic strategies that positioned her as a provider of global solutions. In a white paper on the country’s competitiveness published in 1998, it was noted that the country’s future success depended on how well it employed the most important assets at its disposal, namely, knowledge, aptitude and creativity. These are the key drivers of the modem knowledge driven economy. Equally, by aggressively pursuing innovation and design excellence, Japan was able to transform herself from being a supplier of cheap and substandard products into the world’s greatest industrial machine.

At the organizational level, there are two basic categories of innovation that can contribute to the competitive strength of an organization. First, there are continuous improvements, such as a simplified ordering system or a slightly readjusted tool, that are conceived and implemented by individuals to make their work easier, better or more productive. Secondly, there are organizational innovations, which are major changes that involve different functions and levels within a company.

Although innovation may be an easy concept to grasp, mastering it is a Herculean task. Part of the challenge lies in the fact that people are at the heart of any innovation. If employees are not interested in it, or do not understand it, then change is not possible. If an organization treats people as if they are machines for making money rather than a living community or as “human resources” waiting to be employed or dismissed, then there will be little incentive for innovation.

Basically, a successful innovation process has three steps—mission, vision and assessment-that must be well defined.

STEP 1. KNOW YOUR PURPOSE (MISSION)
Most organizations today have mission or purpose statements as well as official visions and organizational values. Unfortunately, in many of them the lofty ideals expressed in such statements do not match the reality inside the organization.

The first hurdle to overcome in understanding the mission is linguistic. Often, the words ‘mission’ and ‘vision’ are used inter changeably. The dictionary defines the word mission as “purpose, reason for being”. Vision is defined as “a picture, or image of the future we seek to create. Values, on the other hand, refer to “how we intend to live as we pursue our mission. Therefore, mission provides an orientation and not a checklist of accomplishment. It defines a direction and not a destination. At the same time it informs members of an organization why they are working together and how they should contribute to the world.

It is important to note that there is a big difference between having a mission statement and being truly mission based. To be truly mission-based means that key decisions can be referred back to the mission.

People can also object to management edicts that do not connect with the mission. It also means that everyone is continually thinking about the mission.

In reality, however, no one would dream of challenging a management decision on the grounds that it does not serve the mission. The result is that people in most organizations serve those in power rather than a mission. Being truly mission based is difficult because it is at the core of power and authority. It makes the mission more important than the boss. This is radical, but it can be done, and when it is, it works.

STEP 2. DEFINE RESULTS (VISION)
Since managers are by nature pragmatic, they not only watch how things are being done but also try to understand why Vision provides an image of the future that we seek to create. Unlike the mission, which is abstract, the vision is a practical tool that can either be long term or short term. An organization can have multiple visions that capture complementary facets of what people are seeking to create.

Clarity about the mission and vision is both an operational and a spiritual necessity. The mission provides a guiding star, a long-term purpose that allows you to balance the inevitable pressure between the short and long term. On the other hand, the vision translates mission into truly meaningful intended results – and guides the allocation of time, energy and resources. It is through a compelling vision that a true sense of purpose comes alive. People’s passions flow naturally into creating things that excite them. The passion at the heart of every great undertaking comes from human beings’ deep longing to make a difference, to have an impact. It comes from what you contribute rather than what you get.

STEP 3. EVALUATION
Evaluation has two components: measurement and interpretation. Effective application of these two tools makes it possible to understand and create awareness of what works and what does not. Whereas it is easy to nurture what works, abandoning what does not work is not easy. Many organizations in fact find it difficult to abandon failed projects. Yet, abandonment is the precursor of innovation in that it clears the deck for new things. The first step to practicing abandonment is openness. Organizations need to create work environments in which, at a critical moment, someone can tell the boss this is not working. This means building a culture where people can freely express their views without fear of reprisal.

Creating an open work environment is important for another purpose. Because organizations want high performance people at all levels, they should create for them an environment where they can learn from one another, thus spurring innovation. In fact, some of the most successful organizations are learning-oriented. This, coupled with a well-meshed mission, vision, and evaluation system, creates the right ecosystem for innovation.