Creativity and Innovation are often used interchangeably, yet they are (and should be) separate and distinct.

Creativity can be defined as problem identification and idea generation whereas innovation can be defined as idea selection, development and commercialisation.

From the above, it is clear that at least six competencies are required (including one holistic).

Problem identification alone requires considerable expertise. Ask five people what the problem is and it is not unusual to receive six answers. Customers, sales, marketing, designers, technicians, finance and managers all have their own ideas regarding what the problem is. Thus any problem identification session should include as diverse a variety of people as possible.

Further, peoples ideas about what the problem is are not static. Their views change according to the information they have. The process of information gathering is the first step in the problem identification process and the good decision-making process. Before the group brainstorming session, it is wise to ask each contributor to research in depth their perspective of the problem. Thus when they arrive in the group session, their ideas and contributions are more mature.

With a problem to be resolved in mind, the idea generating session begins. This involves generating a large a number of ideas as possible, a large number of diverse ideas and a large number of novel ideas. Competencies in idea generation techniques are a must. For example, creative versus critical thinking is used where ideas are generated without evaluation and then critically evaluated at a later stage, preferably in a polar opposite environment. Creative thinking is best done in an environment with many stimuli, whereas critical evaluations tend to be more effective in conservative, corporate environments where factors such as the bottom line have more gravity.

Idea selection involves just as many people as the previous sections. All must input their arguments if the best decision is to be made. Many more ideas are chosen than will actually make it through to the final commercialisation stage. The Economist (2003) stated that 3000 bright ideas are needed for 100 worthwhile projects, which in turn will be winnowed down to four development programmes for new products. And four such development programmes are the minimum needed to stand any chance of getting one winner.

Development is the prototyping, experimentation and funnel stage. The best of the best ideas are put through a stage-gate process where their viability is tested. There is a fine line. Keeping an idea in the funnel longer allows it to attain its potential but takes away resources that may allow other ideas to flourish.

Finally, commercialisation is the ultimate testing ground for decisions made thus far. However, commercial failure is not necessarily disastrous. Strategic, technical and other competencies may be learned and may aid in the success of future endeavours. Creativity and innovation infrastructures may blossom that help improvements in the product, process, positioning and paradigm levels. Ridley Scott scored an early failure with Blade Runner but went on to great successes later.

You can read more about this topic, purchase the MBA dissertation, DIY audit, Power Point presentation, Good Idea Generator software and more from http://www.managing-creativity.com/

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Kal Bishop, MBA

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