Organizational innovation: What is it and what are its types?
Posted: Mon Dec 23, 2024 5:39 am
More than a process, it is considered a new philosophy that leads companies to think about changing and improving. If you are interested in leading businesses that always offer the best to lead the market, this article is for you.
When we talk about changing and highly competitive environments for companies, organizational innovation emerges as a practice that provides various benefits for businesses to maintain and grow in the market. This is because globalization, new technologies, and even environmental and social awareness are aspects that have led to fundamental changes in the business environment.
For this reason, many companies seek to improve through innovation, considering it as the key that will allow them to consolidate and stand out. In this sense, it is essential to know what organizational innovation is, its types and some examples that can be applied.
What is organizational innovation?
This involves the introduction of new organizational methods in companies, or in other words, new forms of human resource management, routines and procedures . It also affects the cpa email addresses business model, making changes in the organizational and operational structure with social impact , as well as in external relations, since it establishes new strategic alliances, integrations and associations .
According to Basque economists Jean Pierre Seclen Luna and Jon Barrutia Güenaga in their book Business Innovation Management: Concepts, Models and Systems (2019), organizational innovation “is aimed at increasing the company’s results through a better allocation of resources within it, as well as a considerable reduction in administrative and transaction costs.” It is something that goes beyond research, development and technology.
Organizational innovation also establishes the foundations that serve as a preamble to any type of innovation in business. Beforehand, a thorough study and analysis must be carried out on the importance and characteristics of the company, which will be decisive in improving its capabilities, developing creative ideas and making any changes.
You may be interested in knowing what types of business address there are .
Types of business innovation
The positive effects of innovation on business performance are linked to the financial sphere, product quality, efficiency and effectiveness of processes, as well as customer satisfaction. To achieve these benefits, innovation in organizations comprises the following two types that are interrelated:
Structural innovation: This is innovation applied to make changes to the organization and division of labor.
Innovation in management. It is related to the way companies are organized, taking into account the activities they carry out or the personnel who work there.
When we talk about changing and highly competitive environments for companies, organizational innovation emerges as a practice that provides various benefits for businesses to maintain and grow in the market. This is because globalization, new technologies, and even environmental and social awareness are aspects that have led to fundamental changes in the business environment.
For this reason, many companies seek to improve through innovation, considering it as the key that will allow them to consolidate and stand out. In this sense, it is essential to know what organizational innovation is, its types and some examples that can be applied.
What is organizational innovation?
This involves the introduction of new organizational methods in companies, or in other words, new forms of human resource management, routines and procedures . It also affects the cpa email addresses business model, making changes in the organizational and operational structure with social impact , as well as in external relations, since it establishes new strategic alliances, integrations and associations .
According to Basque economists Jean Pierre Seclen Luna and Jon Barrutia Güenaga in their book Business Innovation Management: Concepts, Models and Systems (2019), organizational innovation “is aimed at increasing the company’s results through a better allocation of resources within it, as well as a considerable reduction in administrative and transaction costs.” It is something that goes beyond research, development and technology.
Organizational innovation also establishes the foundations that serve as a preamble to any type of innovation in business. Beforehand, a thorough study and analysis must be carried out on the importance and characteristics of the company, which will be decisive in improving its capabilities, developing creative ideas and making any changes.
You may be interested in knowing what types of business address there are .
Types of business innovation
The positive effects of innovation on business performance are linked to the financial sphere, product quality, efficiency and effectiveness of processes, as well as customer satisfaction. To achieve these benefits, innovation in organizations comprises the following two types that are interrelated:
Structural innovation: This is innovation applied to make changes to the organization and division of labor.
Innovation in management. It is related to the way companies are organized, taking into account the activities they carry out or the personnel who work there.