Capturing Innovation Premium

Innovation is regarded as a critical business success factor, yet only a few firms are happy with their current performance in innovation. An innovative firm not only satisfies its customers, but also employees and stockholders. We have identified six important factors in capturing Innovation Premium: (1.) Clear top management support and commitment; (2.) Effectively executed role of chief technology officer (CTO); (3.) Skilled leaders and manager; (4.) Marketing and technology departments in the same location; (5.) Seamless and value-driven innovation process, and (6.) Visions and idea-generation processes. It is also important to have appropriate metrics in place to ensure that progress is being made in making the firm increasingly innovative.