The Importance of Innovation for SMEs Innovation is not Invention. Everyone and every business can innovate. Innovation is renewing, changing or creating more effective processes, products or ways of doing things. So for a small business, innovating might well be just having the thought process and courage to try a new marketing strategy or tool, it could be to implement a CRM system or to try a new sales approach. These might not be ground breaking or world firsts (very few things are), but for a small business (and big ones at that) this is innovation. Why innovate? Being innovative is key to the success of a small business. Without innovation it is very likely that a small business will fail. This is because if a business is not growing then it is dying. As Einstein said – “The definition of insanity is doing the same thing over and over again and expecting a different result”.

1. THE IMPORTANCE OF
INNOVATION FOR SMES

2. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
WHAT DOES THE WORD
“INNOVATION” MEAN TO
YOU?
Invention Creation
DysonGlaxoSmithKline
Pfizer
Does this
scare you
off?

3. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
Innovation is not
Invention.
Everyone and every
business can innovate.

4. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
WHAT IS INNOVATION?
• Renewing, changing or creating more effective
processes, products or ways of doing things
• For a small business, possibly having a thought
process and courage to try a new strategy or
tool
• Implementing a new CRM system
• Trying a new sales approach

5. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
WHY INNOVATE?
• It is key to the success of a small business
• Without growing a company is dying
“The definition of insanity is doing the same thing over and
over again and expecting a different result”.
• Competitors will be growing and innovating and a
business needs to stay “relevant”.
• It keeps business ahead of others

6. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
WHY INNOVATE?
• It drives the productivity and performance
• It helps improve the business
• It helps to grow fast, generate higher quality, higher
paying jobs
• It benefits all areas of the business including sales and
marketing, finance, HR and IT

7. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
BENEFITS OF
INNOVATION TO SMES
• More efficient work processes
• Saving time and money
• Increased customer satisfaction
• Staff motivation
• Competitive advantage
Innovation can be a catalyst for the growth and
success of your business, and help you adapt and
grow in the marketplace.

8. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
HOW?
• Have a process but allow creative thinking
NOTE:
Without a process to follow, creative ideas don’t
get finished and therefore don’t have the impact
they should.

9. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
….AND THE STEPS?
• Communicate and explore – What are the issues?
• Visualise
• Find facts
• Create Ideas
• Create solutions
• Deliver
• Monitor progress
• Evaluate
• Celebrate

10. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
1. COMMUNICATE AND
EXPLORE
WHAT ARE THE ISSUES?
• Tap into your knowledge
• Seek the opinions from your employees
• Find out the barriers (if any!)
• Talk to customers and suppliers
This will get your ideas moving!
Many of the greatest innovations have come from simple
ideas from staff within businesses!

11. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
2. VISUALISE
• Create a picture of the ideal outcome
• What will it look like?
• What are your goals?
• What issues are there?
• Develop a vision and “set the course”

12. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
3. FIND FACTS
• After your exploring you will now have a number of issues
or opportunities.
• What is the current state of the situation really?
• Accumulate the facts and don’t be judgemental

13. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
4. CREATE IDEAS
• Brainstorm – “green light thinking approach”
• Every idea is a good idea!
• Concentrate on quantity vs. quality. It allows ideas to flow
• Working as a team will show commitment and that you
value staff input

14. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
5. CREATE SOLUTIONS
• “Red-Light Thinking” to determine the best idea or
approach
• Evaluate the ideas created in “Green-light Thinking” stage
• Get consensus from the team
• Vote for the best idea or;
• Use the criteria method

15. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
6. DELIVER
• Put solutions into action!
• Set up a time-frame
• List each phase of the project
• Make sure everyone understands

16. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
7. MONITOR PROGRESS
Show commitment to the process!
• How is progress going?
• Are we on track to achieve the goals?

17. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
8. EVALUATE
• Have you achieved the results you wanted?
• What things did you learn?
• What can be improved in the future?

18. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
DON’T FORGET!

19. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
9. CELEBRATE
• Celebrate the positive change
• Reward those involved
Engaging with staff throughout is good but actively
rewarding innovation and the benefits of it, will be even more
powerful.

20. Want to learn more about Innovation? Call Pathway on 0121 707
0550 or visit www.elearning.pathwaycourses.co.uk
WANT TO GET STARTED?
PATHWAY CAN HELP!
Pathway group have a number of ways you can begin the
process of innovating in your business. From an online
course to more tailored support and advice.
Why not contact one of our business advisors at Pathway
Group who can point you in the right direction.
Call Pathway on 0121 707 0550 and get innovating!