Generate Higher Returns from Your Innovation Investments: 5 of 10

While establishing market differentiation can beprocess owners to take a global view of how
accomplished by introducing innovative newproduct innovation is being strategically planned
products, maintaining that market differentiationand systematically executed throughout the
may prove to be a bit more difficult. Here weorganization. In effect, process management
have put together a ten-part series on how toprovides the foundation for project management.
generate higher returns from your innovationConversely, project management entails tracking
investments.and scheduling hundreds, if not thousands, of
From our series of highly informational articles,tasks related to creating a new product and
companies will learn: how to treat innovation as abringing it to market.
cross-functional business process, how to alignFor example, in the lifecycle of a new vehicle
innovation execution and business strategy; how80,000 or more tasks may be required to design,
to create sustainable innovation; how to train yourmanufacture, market, and sell the car. However,
senior executives to successfully executethe decision support needs of senior management
innovation initiatives; how to effectively managecenter on only a few, high-level considerations,
process and project management; how tosuch as safety requirements, benefit to the
measure performance of your processes; how tocustomer, and the unique needs of particular
ensure broad stakeholder buy-in; how togeographical areas. A well-conceived innovation
understand the importance of product roadmaps;process allows senior managers to determine how
how to provide the tools necessary for successfulthese requirements and other external market,
product innovation; and finally, how to ensure thattechnological, and regulatory factors might impact
portfolio management coincides with processthe overall value of the car.
management.Though project management and process
Here is one of the ten practices that leadingmanagement serve dramatically different
innovators use to increase the payback frompurposes within an organization, there is a
innovation spending: Effectively Managing Processsymbiotic relationship between the two. For a
and Project Management.company to get the most out of their
Effectively Managing Process and Projectinvestments in innovation, both are needed.
ManagementFor more insight into the top practices that leading
Many organizations make the mistake of equatinginnovators use to increase their returns on
innovation process management with projectinnovation spending, look for the next article in this
management. Innovation process managementten-part series: Measuring Performance of Your
allows executives, portfolio managers, andProcesses.