What is innovation management in a company, and why is it necessary?

We live in a time of technological revolution, which affects nearly every aspect of our lives. The constant change that characterizes rapidly evolving businesses also extends to the workplace. 

Innovation management in companies

The aspect of acquiring and managing innovation within a company can span across various areas, including business models, technology, processes, finances, customer-focused activities, and even employee-oriented enhancements. It is from the employees’ work environment that innovation should begin. This requires a comprehensive management process, strategy development, and the fulfillment of its subsequent goals. So, where should we start? The innovation management process can be divided into five stages:¹ 

1️⃣ Idea generation

2️⃣ Planning

3️⃣ Implementation

4️⃣ Diffusion and Improvement

5️⃣ Control 

Searching for ideas is the most critical part of the process. A good practice is to keep an eye on changes in the industry, technological trends, and technical innovations. Participating in conferences and monitoring competitors’ activities are also beneficial practices. However, what can we do today on a smaller scale?

The role of employees in innovation management

Nobody knows your business better than your employees. Many of them are industry experts who can provide significant support in finding innovation for your business. The first step should be implementing productivity-enhancing solutions and employee engagement in their working environment. Employees are best suited to identify areas that need improvement, so it’s essential to seek their opinions.

Crowdsourcing as a method for finding innovation

The best method for finding workflow improvement solutions is to listen to your employees using a process called crowdsourcing. Crowdsourcing is essentially tapping into the collective knowledge and expertise of your employees, allowing them to propose solutions to the problems they encounter daily. However, the main obstacle to using this method is the lack of appropriate tools for collecting, reviewing, determining the feasibility, and managing these ideas. Unfortunately, a simple suggestion box no longer suffices

Employee crowdsourcing – benefits

There are numerous benefits to conducting crowdsourcing within your organization. Most importantly, by listening to employees, you can understand their needs and respond quickly. Implementing enhancements improves the quality of their work, boosts their sense of importance within the organization, leading to increased engagement, motivation, and development. Streamlining workflow processes results in higher employee productivity, better customer service, and ultimately increased profits for the organization. Introducing innovation at different levels within the organization strengthens the company’s position in the market. The organization builds its brand and is recognized as an excellent employer, attracting new talents while retaining valuable employees.

Introducing innovation and improving work quality is a necessity in the face of rapid technological development, and the pursuit of employee well-being, engagement, and motivation at work. Employee crowdsourcing is an employee-centered method that focuses on the employees, their needs, and gives them a voice. Such an approach helps build positive employee experiences (Employee Experience), supports their development, and enhances the overall functioning of the company.

¹ Trzepizur P. (2016). Innovation Management in Small and Medium-sized Enterprises, “ZScientific Papers of Czestochowa University of Technology Management” nr. 24, s.54