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Why companies need innovation

No matter how cool a company is, over time its revenues will begin to fall. For various reasons – employees do not follow trends, user needs change, new technologies appear.

A classic example is Kodak. They invested a lot of money in the production of film, but completely ignored the trends. In parallel, the market for digital devices was developing.

Experts said that the future lies with the “figure”. But Kodak continued to work at the usual pace. This was the reason for their fall.

In addition, many unicorn startups are now launching, worth more than a billion dollars. If before there were several of them a year, now there are so many that no one counts.

For every product that launches in the USA, 12 products appear in China.

Why startups are booming
Software cost drops

If in the early 80s programming languages ​​were just born, new technologies appeared and there was not enough knowledge, now there is everything.

Product quality is growing

Now starting a startup is not rocket science. A product can be created without even knowing programming languages ​​- to make an application in the online designer and test.

Product development time is reduced

At hackathons in 48 hours it’s quite possible to make a product.

This gives an understanding: in order to compete with fast-growing startups, corporations need to innovate – launch their own startups within companies.

What innovations can be done within companies
icon 1
Change innovation

These are innovations that work with the same market and with the same customers, but take into account trends. For example, starting a paid subscription at 1 + 1.

Disrupt Innovation

These are innovations that can change the market. The launch of the first iPhone is disrupt, and subsequent changes in it are change innovations.

A striking example of disrupt innovation is the launch of the Stadia service from Google. This is a great gaming product that allows you to play cool games on your mobile phone.

If earlier powerful computers were bought for this, then soon a smartphone will be enough. Such an innovation can change the market in the future.

Not all companies are ready for innovation. There are two reasons:

Fear of mistakes

Some corporations do not welcome errors. And startups and bugs are two related topics. It is the mistakes that make a really cool product. But companies do not understand this – employees are afraid to make mistakes and do not introduce anything new.

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Lack of motivation

Companies can drag out various processes, which complicates the creation of a startup. Not everyone is ready to help in the implementation of innovations, because they are focused on current tasks. Employees need to fulfill their KPI. And a startup is something far and incomprehensible.

Conclusion: companies need to build work so that employees strive to introduce new ones. In this case, not only the idea is important, but also the implementation. Business infrastructure must accompany this.

How to start a startup inside the company
#1. First you need an idea

There are many methodologies from internal brainstorming to market research. 1 + 1 uses design thinking. The methodology allows you to show empathy for the user, observe his behavior and identify real needs.

# 2 Next – the idea needs to be sold

This is the most difficult stage. If you have a conservative leader who is not inclined to innovate, contact the head of the neighboring department. Ideally, present the idea of ​​the CEO – he is most interested in ensuring that the company exists for many years and earns in the long term.

Get the right pitch — a 3-minute speech about your product. The pitch should tell the story of why you came to create this product and why it should succeed. Be prepared for the fact that they will not immediately understand you. But there is always the opportunity to come again.

# 3 After agreeing and allocating a budget – start developing

On average, it takes six weeks to develop a product. Think about what you have time to do during this time, and not about how to move the deadline. Define priorities – perhaps something should be abandoned in favor of the main thing. The faster you run a startup, the faster you test the hypothesis and do not spend a lot of resources.

The company will help launch a startup that someone really needs

According to statistics, 42% of startups fail because the product is not needed.

The company will help financially and will guide you how to properly manage your money.

29% of startups close due to inability to control funds.

The company will help to form a team

23% fail because they cannot attract cool shots.

The company will help with marketing

14% of startups close due to improper product promotion. The company has enough marketing expertise.

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