So...You Want to Innovate? Here Are Six Questions to Consider.

Who doesn't love innovation? Every organization wants to be seen as innovative and on the cutting edge of providing the newest and best products, services, and experiences. Although most organizations want to be seen as innovative, many quickly shy away from innovating when they realize how difficult it can be. Many simply don't have the patience to handle the seemingly endless development cycles and delayed return on investment when customer adaptation may be slower than expected.

Being truly innovative can have significant advantages for an organization, but it can also create substantial challenges to resources and capital. It also requires an appetite for frequent change along with extreme patience when evaluating performance and results.

Many organizations simply defer to the position of "fast followers" of innovation, and that is oftentimes a proven and successful strategy. However, organizations that take a "first mover" approach frequently gain an advantage with consumers, and it can be difficult for followers to catch up with their momentum.

Should your organization be innovative, or are you better positioned to adopt the innovation of others? Here are a few important questions to ask when considering your position on innovation:

• Do you have organizational alignment, commitment, and resources? This is probably the MOST IMPORTANT first step to consider when deciding to innovate. Are you committed to innovation at every level of your organization, from the C-suite to customer-facing team members? Do you have enough resources, either internal or external, to achieve your vision? Everyone in your organization will need to play a role in the success of any new innovative product, service, or experience.

  
  

• Does your organization have a tolerance for risk, uncertainly, and change? Innovation, by definition, is risky. Changes in scope, budget creep, and customer adaptation challenges are only some of the problems that can emerge during the product cycle. Is your initial plan fluid and easily adaptable? Rarely does a project go perfectly and oftentimes, getting to your perfect vision will exhaust your budget and miss your timelines. Return on investment can be a lengthy process depending on the level of customer adaptation. You must have the fortitude to weather the storm and push forward when challenges arise.

  
  

• Are budgets and timelines flexible? Good project management can help to mitigate much of the risk, and project management professionals are experts in planning for contingencies. But, is your organization flexible and able to adapt to change if needed? Are phased approaches acceptable when inevitable delays occur? Have you built in enough contingency into your budget, or is your budget flexible?

  
  

• Who should take this journey with you? Your business partner, supplier, or vendor is critical to your success. Are they flexible, adaptable, and will they work with you to find middle ground when conflict arises? Oftentimes, projects start with amorphous objectives (I.e., we want it to do this, but we're not quite sure how"). Eventually, those objectives will come into focus, but they may not have been included in the original scope of work. It's important to align with business partners that work well under those conditions, are flexible, and can ideate with you to develop the best product or experience for your customers.

  
  

• Can you effectively communicate progress and manage expectations? As repetitive and annoying as it may seem, communicating the same messages at the same times to all stakeholders of the project is key, as is choosing the most effective channel to deliver the message. Remember the first bullet point above - organizational alignment and commitment are critical to success. It's easy to lose that alignment and commitment if communication falters along the way.

• Can the organization support the strategy necessary for a successful roll-out? The Innovation Adaptation Curve, popularized by E.M. Rogers in 1962, helps you understand the relative rate at which customers are likely to adopt your innovations. Of note, only 2.5% of customers will likely readily adapt to your product out of the gate, making your PR and Marketing strategies a critical component of the success of the innovation. A strategic marketing plan is important in engaging the right customer at the right time who will be willing to trial your new product, service, or experience, and it helps to reduce your ROI timeline and gain critical mass.

Were you able to answer "yes" to all of the questions above? If so, you might be ready to be a "first mover" of innovation. The fact that you already realize the need to innovate puts you ahead of the curve. You have already identified the need to innovate to remain relevant, stay ahead of the competition, and address the ever-changing needs of your customers or guests. You're ahead of the game, and that's never a bad place to be.