Innovation in your business

Look at your market research to identify:

•  gaps in the market – these are opportunities for you to be innovative
•  ways your competitors are being innovative.

You could also:

• ask customers for feedback and use their insights to improve your processes, products or services
• ask your employees for ideas based on their experiences with customers.

Use your research to come up with some opportunities for innovation. Make notes on how each one could support your business.

Here are some general ideas to get you started:

• invent a new product or service that solves a customer need
• improve the performance or features of an existing product
• find ways to make your product or service more environmentally sustainable
• adapt your product or service for different demographics or areas
• streamline your operations to reduce costs and waste
• use artificial intelligence or other digital tools to automate business processes
• start using customer data and digital analytics to make better decisions
• rethink your pricing model. For example, by offering a subscription service or loyalty program
• try a new approach to marketing
• offer flexible work conditions for staff.

Decide whether to use an open or closed innovation model for your business.

Open innovation is when you collaborate with partners outside your business. It lets you take advantage of others’ expertise and draw on existing solutions in other industries.

Closed innovation means you perform all research, development and other innovation activities inside your business. It lets you keep all intellectual property and profit in your business.

Connect with a business adviser or find a grant or program to help drive innovation in your business.

The CSIRO also offers support for innovation, including through CSIRO Kick-start and Data61.

To create an innovative environment in your business:

• Explain to staff why innovation matters and how it aligns with your business goals.
• Empower staff to come up with and explore new ideas. Help them understand that failure is OK and mistakes are learning opportunities.
• Make sure you and your senior staff are open to new ideas.
• Encourage collaboration between different teams.
• Invest in innovation workshops or other training.
• Recognise and celebrate successful innovations.

Once you’ve come up with a strategy for innovation, update your business plan to reflect your new ideas and processes.