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5 reasons why internal innovation is coming back in 2022

Both internal and open innovation are fundamental for the success of an organization. Open innovation can only be tackled inside the organization if employees are motivated and uphold an innovation-driven mindset to collaborate with startups and external partners. And on the other hand, it is only possible to possible to expect internal innovation initiatives if teams are involved and informed on what is innovation and how it can be created.

More specifically, internal innovation boosts cultural changes inside the organization and has a great potential to create incremental (or even disruptive) products and solutions. Recently, this environment of internal creation was leveraged by factors that weren’t real up until now and can be split into 5 reasons:

1. Digital skills for everyone- More than ever teams are becoming more agile in technologies, making it easier to be involved in remote initiatives and managing time better. Different tools and software have become part of the daily routine and brought up different skills.

2. Digital distance breaks silos – Different organizations, teams and partners are not limited to physical barriers and naturally created a new mindset: networks instead of silos, flattened structures instead of hierarchies, and momentum over precision. Silo walls are being broken down and replaced with open communication channels between every department. This results in business-relevant information being communicated across the organization and why everyone should cooperate to accomplish that vision.

3. Open innovation demands internal innovation - An internal innovation culture creates corporate champions prepared to incorporate open innovation. Internal innovation capabilities are not only needed to create innovation inside the organization, but rather to leverage and accelerate growth driven from open innovation. Organizations have realized the need to promote their own innovation, rather than sourcing it exclusively from open initiatives.

4. Information everywhere – The enormous amount of information available on disruptive, latest technologies, trends and most innovative startups creates the conditions for organizations to stimulate and absorb insightful data and make informed decisions, collaborating with the right partner and going towards the right direction.

5. Risk Culture – From the pandemic organizations understood that they could deliver projects faster. The idea boxes proposed projects that were only implemented because the pandemic created a real sense of urgency in testing digital transformation solutions. In addition, the pandemic obliged a faster decision making, in which organizations involuntarily established a risk-taking culture that accelerated innovation.

All in all, there is a positive energy in making it through and it is necessary to take advantage of this great energy that accelerated innovation.


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