Vadim Kotelnikov, founder of Innovarsity    

Stand Out From the Competition  >>  Venture Strategies

Who Can Implement a Radical Innovation Project

   

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Spinouts Who Can Implement a Radical Innovation Project VK on Innovation Innovation Management

    

 

Insulate the Innovation Project from the Existing Business

Established business is the main obstacle to intrapreneurship and innovative breakthroughs. Donít give an innovation project to a line manager who is running an established business as well and is to busy meeting monthly targets to give the new venture the attention it needs. Besides, regular business managers usually donít encourage entrepreneurial approaches, donít have tolerance to mistakes, and donít create conditions by which employees can act as entrepreneurs. You must insulate the new venture from the main business if you want it succeed.

 

  

Innovation Incubator

Radical innovation projects should be grown in greenhouse-like environment until they are stronger and their benefits become clearer to other stakeholders. A special department that takes care of breakthrough projects is known as an innovation incubator. This department has different, innovation-focused strategies, goals, objectives, working approaches and performance management criteria. Headed by an innovation director, it takes a longer-term view on value creation.

The leader of the innovation incubator should have a high level authority in the organization to be able to push risky ventures through and deliver great results while dealing with high level of uncertainty.

Spinouts

New ventures established as independent companies can more readily fulfill their potential. Compared with spin-offs, spinouts remain closely tied to the company that developed them. In most cases, the ties are both financial and operational.