The link between higher productivity and innovation has never been clearer – or more important
Integral to the development of a productive (and profitable) company is the level of innovation brought to bear on the quest. Innovation, whether in product or process, can be defined as the effort to bring new thinking to the task at hand. If you question the value of embracing innovation, just consider the impact of innovative thinking on the economy of Alberta. Successful engineering innovation in the oil sands sector was the key to opening this remarkable resource to full utilization, spinning off yet more innovation in processing, environmental remediation, information technology, and even construction design and management. Ultimately, it has been that innovation which has enabled Alberta to supplant Ontario as the motor of Canada’s economy. Other examples of innovations which have revolutionized industrial practices in the province include genetically modified canola, oriented strand board, horizontal wells, and the use of global positioning systems for guiding tractors in the field. All of these developments opened new opportunities and enhanced productivity for those organizations which integrated the innovations into their practices.
Too often, managers believe that integrating innovation into their products or workplaces isn’t relevant to their business or is too expensive or complex to pursue. The reality is very different. Consider WestJet. Most industry experts would have believed that the airlines business was well explored and that the process of running an efficient operation was thoroughly mapped out. However, Clive Beddoe, founder of WestJet, decided to build an airline on a different model. He adapted the processes which made Southwest Airlines a winner in the United States to Canadian culture and in doing so, brought innovation and success to Canadian skies. Interestingly, Southwest’s innovation came about partly because it studied racing car pit crews in an effort to shorten turn around times.
The lesson here is that innovation for your business can be built on platforms created by other industry segments. It also demonstrates that innovation can enhance the business model of companies outside the science and technology sectors. Hospitality, tourism, service and retail can all benefit from engaging in new thinking about how to offer better services, use more efficient processes and build new marketing platforms. Every business can innovate. The challenge is to start today.
