Strategy and Innovation for a Changing World: Part 1: Sustainability Through Value Creation
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Invention and innovation are not the same. When we come up with an exciting and original new idea, by itself that idea is not an innovation. It is simply an invention, possibly a great invention, but at that point the hard work is still to be done. Innovation is that hard work.
It is the process of turning that idea into something of value. In fact, innovation doesn't necessarily need a great new idea to get it started. It is often nothing more than the recombination of existing ideas that happen to be lying around.
In an accessible and non-technical way, this book shows how we should think about innovation in terms of a set of activities that will create value for a customer or stakeholder outside the organisation and then, in turn, capture some of that value to ensure that the organisation continues to thrive.
Many people think about value creation in terms of making profit for customers, but value can be created and can extend in many other directions, not least improving the quality of life of those around us in society. Most organisations can no longer get away with simply creating value for their customers, and the book introduces a new model of five nontraditional market forces, driven by key stakeholders, that now exert pressure on all organisations and explains how to create value for those stakeholders at the same time as meeting the needs of more traditional customers.
Recognising that we live in a rapidly changing times, the book also explains the impact of uncertainty, how to deal with it, and how to think of it strategically, not as a threat but as an opportunity for differentiation and success.
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