Strategy and innovation

Strategy: The choice between systematic planning and spontaneous innovation

Future success is determined not only by strategies based on experience and knowledge but also by openness to new and unexplored directions.
In practice, strategies are often applied in many different ways.
  • Some companies plan and manage in differentiated ways, using sophisticated instruments and methods.
  • Other corporate cultures tend to set merely a general direction and leave plenty of discretion for the concrete and detailed aspects of control.
Every organization needs to find a coherent and viable way between these two poles. This depends on personal management styles, on the development phase in which the company finds itself and on its economic situation.

Innovations are "creative destruction processes"

We have identified two sources of innovation processes in organizations: on the one hand, individuals who are occupied with a particular subject; on the other hand, search and creative processes that apply across the entire structure and system.

Innovation processes require a number of properties or preconditions:
They must be open to new results. During these "open" phases, there may be vague ideas rather than concrete goals.

  • Creative and intuitive ways of working are needed. Following customary routines rarely leads to new results – a different approach is required.
  • They have to stray from the tried and tested and need the opportunity to be tested and implemented. Protected spaces have to be safeguarded.

Consulting services: Strategy and innovation