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Innovation

He that will not apply new remedies must expect new evils; for time is the greatest innovator.
Francis Bacon


Although innovation is needed in products and services, this element is primarily concerned with the way the organization itself is capable of change, since without this ability, the introduction of new products and services will be more difficult. Failure in this area is a frequent cause of the organization meeting with disaster. Changes can be thought of as occurring at five levels:

Localized changes

Integration

Process redesign

Infrastructure

Purpose

Improving individual processes (activities) to bring
    greater efficiency, productivity or reduced cost.
Making processes or different parts of the organization
    work together more effectively and efficiently.
Changing a process to give dramatic improvements in
    quality, cost, performance or ease of use.
Changing the composition of and improving the way
    the external infrastructure works.
Changing the nature of the organization by changing
    its raison d'etre, vision, mission or target market.
    


The process of change:
Innovation can occur in three ways:
Planned incremental change -
new products being added to a portfolio or the number of staff being gradually increased.
Planned discontinuous change -
a college suddenly dropping its classroom courses and going over entirely to remote teaching via the Internet or two organizations merging and suddenly combining their operations.

Unexpected change -
the sale of a product suddenly being banned or a service made obsolete by a new invention. This type of change is often the subject of ‘scenario planning’, which tries to anticipate the unexpected.  >>>