Innovation Process: Creating an Innovation Value Chain
by Morten T. Hansen and Julian Birkinshaw
Rather than reflexively importing innovation best practices, managers should adopt a tailored, end-to-end innovation process for generating, converting, and diffusing ideas. Companies can’t just import the latest fads in innovation to cure what’s ailing them. Instead, they need to consider their existing processes for creating innovations, pinpoint their unique challenges, and develop ways to address them. The innovation value chain view presents innovation as a sequential, three-phase innovation process that involves idea generation, idea development, and the diffusion of developed concepts.