Page 4 - INNOVATION STRATEGY EXAMPLE

Scoping the Innovation Strategy
The Current Landscape:
Continuous Improvement and Adoptive Innovation
XXXXX P/L, have a historically executed Incremental and Adoptive innovation. They have executed ideas and opportunities that were safe, well understood and likely to succeed. This has resulted in steady improvement in the business over a period of time. At XXXXX P/L improvement is considered as incremental change, with each cycle building on the next. It is evolutionary in nature and has formulated the bulk of our improvement efforts over time.
In contrast to improvement, innovation is about step change that creates a markedly different end state than that which previously existed. Innovation may be necessary when the limits of the incremental approach have been reached and/or something new is required. Incremental change and innovation are not mutually exclusive and can work in tandem. Both require the capability to instigate, drive and sustain change.
In today’s environment and in context of the risk appetite, XXXXX P/L will consciously incorporate more adoptive and explorative initiatives into its improvement and innovation portfolio whilst still executing in the Core ambition level. The intent is to unlock innovation that has more impactful benefit to XXXXX P/L while still leveraging the safe, incremental improvements for the business. In terms of a continuum, XXXXX P/L places in the spectrum shown in Figure 1 below.
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