Types of Innovation that Can Help Advance a Business

Many people think that just one or two products can make a business run forever. Unfortunately, there is one important thing, business is continuous innovation that you must always carry out. Various types of business innovation will not only save the business, but make it bigger.

Innovation is a process of creating ideas, products and methods to solve problems in business. The problems often faced in business are actually quite diverse. Some business actors often experience problems with the systems and processes they undertake.

These various innovations will also be brought into business strategies in order to gain profits later. Therefore, you need creativity and thinking outside the box to achieve it.

Types of Innovation that Can Help Business Advance

There are various business innovations that can be carried out by a company. This innovation is of course rooted in every element of running the business itself. The following are types of business innovation that can help a company progress further.

1. Product innovation

The product becomes something that the customer sees. Therefore, innovation for products needs to be prioritized. Development can be started in many ways. However, make sure to do in-depth research, especially if your product is marketed to end users.

You can develop new products based on technological advances. Just mention a smartphone manufacturer that adds features to its new products. Another example is a bank that makes it easy to create an account without having to go to a branch.

On the other hand, product additions do not have to create something completely new. Adding variants also includes product innovation. This is often used by companies operating in the food & beverage sector. That way, consumers will have more choices.

In product innovation, you need to look for factors that are beneficial for you and consumers. People will willingly win a new product or variant if it is right for them.

2. Process Innovation

Business processes from upstream to downstream are not directly related to sales or increasing profits. This is what makes many business people ignore it. If researched more deeply, a short and precise process will result in a significant increase in profits.

Process innovation can start with upgrading equipment to make production more efficient. You can also streamline workflows to speed up product marketing. That way, sales can increase and cash flow can be faster.

3. Business Model Innovation

The business model has actually been set since the initial planning was made. However, it does not rule out the possibility that you need to look again when the business model is less profitable. Changes in business models can also occur when a pandemic arrives.

A number of retail businesses need to overhaul their business models to survive the pandemic. Likewise with service businesses which seem to have to continue to innovate to attract consumers. Not a few companies are changing their business model from business to business (B2B) to business to consumer (B2C) or vice versa.

Call it a food catering company that previously provided supplies to restaurants, hotels and cafes. During the pandemic, many business people innovated by changing their sales directly to end users.

4. Value Innovation

This innovation is actually included in the business strategy. Adding value to a product or brand in a more general scope will make the business grow more. In this case, you need to add uniqueness that makes your business different from competitors.

This uniqueness can be obtained from limited edition products in collaboration with popular figures. You can also add new services that don't already exist. Value innovation in a business can also be done by adding stories to each business journey.

There is no better strategy among innovations. You are not required to carry out all existing innovations. Simply increasing factors that are believed to provide greater profits.

To do so, you need to have a proper business analysis. The Strategic Business Analysis program from Prasmul Eli will help you to gain skills using analytical models that are tailored to the company's characteristics. Next, you just have to implement it into your business.