Innovation is a process that allows organizations to develop new ideas, products and processes that result in improved profits and achievement.

Likewise, business innovation is a process that involves analyzing and designing processes and workflows within an organization to achieve success.

In some cases for organizations to successfully adopt innovative practices, they must first redesign their existing business and services to more closely align their model for success.

This may require that an organization end top down management styles in favor of more linear management techniques. Knowledge sharing is also an important component of business innovation that can foster creativity and business efficiency.

The more information individuals in an organization and between organizations share, the more likely innovative processes are to develop and flourish.

Business Innovation Vs. TQM

Business innovation is not quite the same as TQM or total quality management. TQM involves aligning processes to generate the best quality output. While this is vital to an organization’s success and can align with innovative practices, it is not necessarily the foundation for business innovation.

Business innovation involves initiatives aimed at changing or adapting business processes to achieve better workflows, efficiency and product output. This may require a complex analysis of current organizational structures and styles. Business innovations may also occur between multiple organizations.

Typically innovations that occur within this context involve knowledge or information sharing within organizations. Knowledge management and sharing, either within a single organization or multiple organizations, is a key ingredient for business innovation.

Knowledge Sharing and Business Innovation

How are knowledge sharing and business innovation tied? Knowledge sharing is a process whereby all members of an organization or multiple organizations are invited to brainstorm and share their ideas, suggestions and experiences to improve an organization’s output.

Knowledge sharing fosters business innovation when member’s ideas and suggestions are aligned with corporate goals and objectives.

If organizations are interested in creating an innovative environment, they should encourage all members to create goals and objectives that are independent but also aligned with organizational goals and objectives.

Then teams of individuals should get to gather and discuss how they can combine their goals and objectives to align with the organization and foster greater success and achievement.

Organizations most likely to realize true innovative processes are those that encourage creativity and independent thinking. Typically management styles are not top down in these organizations.

Rather, all members of the organization share information horizontally. This encourages group thinking and brainstorming that links one area of an organization with another.

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