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Further reading:

The Organisational Leadership Model


The Organisational Leadership Audit

The Business Innovation Audit

    Overview

    Description

    Introduction

The Organisation Shadow-Side Audit


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The Business Innovation Audit

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DESCRIPTION


Context

Most managers understand the idea and importance of technological innovation. They observe it every day in new products and processes. But few understand how to give their business the permanent ability to be innovative in all it does. Crucial in bringing this about is the way the enterprise manages its people and its internal organisation and networks.


Innovation in this new context means:

the systemic capacity to successfully exploit new ideas, wherever
and whenever they arise, and to whatever they might be applied.

This broad definition takes us beyond the conventional meaning and boundaries of innovation. This way of thinking is frequently overlooked, yet it is fundamental to long-term business success. Even if accepted in principle, the concept is rarely understood and carried through in practice. Yet such innovating capability is widely seen as holding one of the most important keys to unlocking competitive advantage in an increasingly challenging business environment.


Scope of audit

This self-assessment audit focuses on the organisation's present way of working in terms of how it impacts on its innovating potential. It assesses the level of understanding about which organisational and management structures and practices lead to innovative capability for the whole business.

The questionnaires examine how well the enterprise currently fosters innovation in the way that it is run. Each is accompanied by practical guidance and advice. This offers definitions and other useful advice to help you complete your assessment. It then suggests ways to make changes and improvements.


Business benefits

1.

 

You will enhance the organisation's innovating capability.

2.

 

You will reveal where opportunities lie for increasing innovation.

3.

 

You will open up new areas of the business on which to apply innovation-enhancing techniques.

3.

 

You will embed innovation in the organisation's processes.

4.

 

You will discover what the organisation needs to do separately from individuals' creativity.

5.

 

You will build on individuals' creativity to bring innovation to the business.

6.

 

You will control the forces that stifle creativity and innovation.

7.

 

You will exploit the multiple sources and opportunities for innovation.

8.

 

You will foster innovation in the organisation's culture.


The audit concept

The audit looks at what the organisation is doing and not doing. It looks for gaps in current practice, as well as evaluating how well various policies, processes and programmes are working.

The term 'audit' means assessing, checking, evaluating and improving. It combines a gap analysis and health check with improvement advice. The process is designed to help organisations think, compare, illuminate, learn, plan and improve.

Each audit theme comprises two main components. There is first a descriptive part or 'learning input', containing a definition, discussion, explanation and advice on the particular theme. This is immediately followed by a questionnaire that enables you to assess the organisation. It helps you to measure current performance in each theme's subject area and identify the gaps and scope for improvement.


The audit's themes

This audit contains ten themes, each with its own self-assessment questionnaire. The themes span the range of individual and organisational factors that affect innovation. These cover businesses' needs for both continuous incremental and step-change innovation. They deal with tactical and day-to-day operational innovative behaviour through to long-term business strategies for innovation. They are:

1.

 

Managing creative and innovative people

2.

 

Developing people's innovative capability

3.

 

Developing a culture of innovation

4.

 

Applying performance management to innovation

5.

 

Using competency approaches with innovation

6.

 

Taking advantage of creative ideas

7.

 

Understanding forces that stifle or fuel innovation

8.

 

Responding to workplace trends affecting innovation

9.

 

Exploiting the many sources of innovation

10.

 

Measuring innovation at a strategic level


    © William Tate, Prometheus Consulting, 2003

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