Lessons for leadership: building a sustainable innovation culture
Innovation isn’t a destination; it’s a continuous evolution. This is the core message from our most recent white paper, offering crucial guidance for organisations aiming to achieve sustainable innovation.
The white paper highlights the vital shift needed – moving away from sporadic, project-based initiatives towards a deeply embedded, continuous process of innovation. Scroll to the end of the article to download the full white paper as a PDF, or read on to discover key lessons for leaders looking to champion innovation.
It’s time to break free from the project trap
For many organisations, innovation is confined to discrete projects — addressing one specific issue or problem within a narrow context. While these projects may succeed in delivering short-term solutions, they rarely spark lasting, transformative change. True innovation demands a more holistic, all-encompassing approach.
This means moving beyond isolated initiatives and fostering a culture where innovation is everyone’s responsibility, not just the remit of a dedicated team. Cultivating this organisation-wide ownership of innovation requires a fundamental shift in mindset.
Every successful journey needs a clear roadmap
Without a clear vision of the challenges ahead, innovation efforts can become fragmented and quickly lose direction. The structured framework we lay out in our white paper provides the roadmap for a successful innovation journey — offering a practical and adaptable four-stage model.
It begins with building a shared understanding of what innovation means within the context of the organisation, then moves on to developing the necessary skills and resources, fostering collaboration, and ultimately embedding innovation into the organisation’s DNA.
A culture of innovation starts with sponsorship from the top…
Innovation isn’t simply about adopting new technologies or chasing the latest trends. It represents a profound cultural shift, requiring a change in mindset and behaviours throughout the organisation. It’s about fostering a culture that values creativity, collaboration, and a willingness to challenge conventional thinking.
Leadership plays a crucial role in driving this cultural shift. By actively championing innovation, recognising and rewarding innovative contributions, and building a culture of continuous learning, leaders can create an environment where innovation thrives.
…but it succeeds by involving all employees
While leadership buy-in and support are essential, developing a sustainable innovation culture requires a concerted effort by all members of an organisation. That means empowering employees at all levels to contribute — seeking out and valuing employee input, providing constructive feedback, and celebrating successes.
This can take various forms: providing access to training and development opportunities, equipping employees with the necessary tools and resources, or creating dedicated innovation spaces or labs as a focal point for innovation activities.
Each organisation’s innovation journey is different
One size does not fit all when it comes to innovation. We work with leaders to assess their organisational capabilities and tailor our framework to their unique objectives and challenges. This might involve adapting the specific activities within each stage or adjusting the overall pace of implementation.
The goal is to arrive at a version of the framework that can be implemented consistently and thoroughly, ensuring that it becomes an integral part of the organisation’s strategy and operations.
Openness to change is a key predictor of success
Embracing change is paramount to successful innovation — not only being receptive to different ways of thinking but actively promoting them. This means moving beyond the limitations of a “fear of failure” and embracing experimentation.
It requires a growth mindset, where challenges are viewed as opportunities for learning and improvement. Leaders must champion this attitude, creating an environment where new ideas are welcomed and employees feel empowered to challenge the status quo.
Discover a framework for innovation success
Our recent white paper, “Grassrooting Innovation in Qatar: Moving from project-based to holistic thinking” explores the arguments above in greater detail — and offers a logical framework for leaders of organisations looking to build and sustain a culture of innovation.
Fill out the form below to download your copy today — and take the first steps on your innovation journey.
White paper: Grassrooting Innovation in Qatar
Innovation is the lifeblood of progress, and for Qatar, it’s the key to achieving the ambitious goals outlined in the National Development Strategy and Qatar National Vision 2030.
The essential ingredients for innovation are all present: a talented workforce, ambition, and drive. However, generating innovative ideas isn’t enough. Organisations need a structured approach to transform those ideas into tangible results.
This requires a fundamental shift in mindset – from viewing innovation as a series of isolated projects to embracing it as an ongoing process woven into the very fabric of the organisation.
Our latest white paper, “Grassrooting Innovation in Qatar: Moving from project-based to holistic thinking”, explores the critical shift needed to move beyond short-term, project-based innovation and cultivate a sustainable, thriving innovation ecosystem within organisations.
Many organisations in Qatar, despite their potential, struggle with innovation. A project-based approach, while delivering short-term wins, often fails to embed innovation deeply within the organisation. This leads to fragmented initiatives, siloed efforts, and a lack of lasting impact.
Without a supportive ecosystem, the potential for transformative change remains untapped. The solution is cultivating an environment where intrapreneurship flourishes, individuals are empowered as change agents, and the necessary support systems are in place.
A holistic framework for sustainable innovation
The framework we outline in the white paper is adaptable and applicable across various sectors and organisational structures. Whether you’re working in a government ministry seeking to enhance citizen engagement or a manufacturing company striving to remain competitive, the framework provides a structured approach to achieving innovation goals.
The key is consistent and thorough implementation, tailoring the framework to address specific organisational challenges while following a logical process defined by four interconnected stages:
Awareness
This stage focuses on building a shared understanding of what innovation truly means. It involves challenging existing mindsets, addressing resistance to change, and fostering a shared vision for the role of innovation in achieving organisational success. Interactive workshops, engaging training sessions, and clear communication strategies are vital to ensuring buy-in at all levels.
Capacity
Building a sustainable innovation culture requires more than just good ideas; it demands specific skills, knowledge, and resources. That means assessing current innovation capabilities, identifying gaps, and providing targeted training programs to equip individuals with the necessary skills in areas like design thinking, problem-solving, and creative collaboration. It also involves establishing the necessary infrastructure and resources to support innovation, such as dedicated innovation labs and funding mechanisms.
Co-creation
Innovation thrives in collaborative environments. This stage emphasises breaking down silos and fostering collaboration both within the organisation and with external partners. It encourages cross-functional teams, open innovation practices, and the leveraging of external expertise to accelerate innovation efforts. Pilot projects are used to test and refine innovative solutions in a controlled environment, allowing for iterative learning and adaptation.
Sustainability
To ensure lasting value, innovation must be integrated into the organisation’s DNA. This stage embeds innovation into the organisation’s culture, processes, and decision-making frameworks. It involves establishing clear metrics to monitor and evaluate the impact of innovation initiatives, developing processes for capturing and implementing innovative ideas, and fostering a leadership commitment to rewarding and recognising innovation.
Why getting innovation right is vital
Embracing a holistic approach to innovation is not just a strategic advantage; it’s an imperative for organisations in Qatar to thrive in a competitive global landscape. Research consistently demonstrates a strong correlation between innovation and positive economic and societal outcomes. For Qatar, this translates to improved citizen outcomes, increased public sector capability, and enhanced private sector competitiveness.
Moving beyond project-based innovation and embracing a long-term, sustainable approach is crucial for Qatar’s future. The framework presented serves as a foundation for cultivating a thriving innovation ecosystem. It’s a call for collaboration, a guide for navigating the complexities of innovation, and a catalyst for unlocking the vast potential within organisations.
Download our white paper today to take the first steps on your journey towards building a sustainable innovation culture.
Why we need a more holistic approach to innovation.
Research by Boston Consulting Group reveals that more than three-quarters of executives worldwide consider innovation a top-three priority within their organisation. However, only six per cent are satisfied with their performance, according to a recent survey conducted by McKinsey.
That’s a significant gap, and it reveals a common problem in organisational attitudes to innovation — they know it’s something they should be prioritising, but they do not see enough value from their efforts.
The question then is not “should we be innovating?” but rather “how should we be innovating?” How can organisations channel that enthusiasm for innovation in a way that delivers tangible, sustainable results over time?
The answer is to take another look at what innovation really means. True innovation extends far beyond merely implementing the latest technology or pursuing short-term projects. It demands a fundamental shift in mindset, a move towards developing a true “culture of innovation” within organisations.
Relying solely on project-based innovation often leads to fragmented initiatives that fail to deliver lasting value. While these projects might yield temporary gains or address specific challenges, they often fail to permeate the entire organisation.
This approach often results in a “flavour of the month” mentality, where enthusiasm for innovation wanes once the project concludes, leaving behind a trail of unfinished initiatives and missed opportunities.
Cultivating a culture of innovation requires a more holistic approach, one that embeds innovation into the very DNA of an organisation. This involves fostering an environment where collaboration, open communication, and a willingness to embrace risk and learn from failure are encouraged.
It requires empowering employees at all levels to contribute their ideas and expertise, creating a sense of shared ownership over the innovation process.
At Ibtechar, we’ve witnessed firsthand the limitations of project-based innovation. While we’ve achieved significant success collaborating with organisations on specific projects, we recognise that true, sustainable impact requires a more profound cultural shift.
In response, we’ve developed a holistic innovation framework designed to help organisations move beyond quick wins and embed innovation into their core operations.
Our framework, informed by our years of experience and expertise in the innovation space, provides a roadmap for organisations to create a thriving innovation ecosystem.
It emphasises the importance of not just generating innovative ideas but also building the capacity to implement them effectively and sustainably — laying the foundations for innovation to thrive and flourish.
Designed to be adaptable to any organisation — whatever level of maturity, size, structure or sector, the framework identifies four key stages within the innovation journey.
Awareness — building a shared understanding of the principles of innovation, and seeing practical examples in action.
Capacity — assessing current innovation capabilities, and building capacity through training and experiential learning.
Co-creation — involving employees in co-creation challenges and research, fostering collaboration and knowledge sharing.
Sustainability — embedding innovation into the organisation’s culture and processes, and incentivising “innovation champions” to lead the way.
Our upcoming whitepaper discusses the framework in detail — offering greater insight into how organisations can put this thinking intopractice and realise the benefits of a true culture of innovation.
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WORKFORCE IN THE ERA OF AI
Focus on Qatar
This white paper examines the integration of AI within Qatar’s workforce, demonstrating its significant impact on industry, government operations, and education. It is essential to understand how AI alters job execution and necessitates a recalibration of skills, policy, and strategic direction to build a resilient, future-ready workforce. The evolution of Qatar’s strategy is not an isolated development but part of a broader global trend towards digital transformation. This is exemplified by the National AI Strategy, launched by the Artificial Intelligence Committee working under the Ministry of Communications and Information Technology. This initiative underscores the country’s commitment to harnessing AI for national development.
“The strategic implementation of artificial intelligence (AI) is driving transformation across economic and societal spheres.”
DRAG
Overview: Web Summit Qatar 2024
Between February 26th and 29th, 2024, Qatar marked a significant milestone in its journey to becoming a preeminent technology hub in the MENA region — hosting Web Summit Qatar 2024. This event underscored the country’s commitment to advancing its technological framework, drawing over 15,000 attendees from 118 countries.
The summit served as a platform for unveiling innovations, addressing challenges, and strategizing on the future of digital transformation and artificial intelligence. The event substantially influenced Qatar’s technological environment in two main ways:
Fostering International Collaborations
Web Summit Qatar was instrumental in establishing partnerships between Qatari tech enterprises and global industry leaders, facilitating the introduction of international best practices and innovations into the local market. Notably, the Qatar Financial Centre (QFC) added over 200 companies from 50 countries to its Startup Qatar initiative during the event.
Showcasing Local Innovations
The event helped attract significant investment and heightened global interest in Qatar’s burgeoning tech sector by providing a stage for domestic startups and innovators. 20% of the startups participating at the summit were registered with QFC, highlighting the local sector’s dynamic growth and potential.
DRAG
Key Insights From The Panel
Watch The Panel
Register to download the Whitepaper:
Innovation-Driven Growth:
This white paper focuses on the significance of corporate innovation across various sectors in Qatar’s business environment, along with key outcomes and learnings. A Deep-Dive into Corporate Innovation Frameworks. We encourage readers to recognize the immense potential of integrating innovative agile practices into their corporate strategies, especially in the face of a rapidly evolving global landscape. Read how key players in Qatar’s ecosystem have embraced corporate agile practices and innovation within their operating systems to spur growth.
OVERVIEW:
In today’s quick-paced global business landscape, characterized by fast technological advancements, evolving consumer preferences, and intensified competitive pressures, the demand for agility, cutting-edge technology and forward-thinking has never been more evident.
APPROACH:
As a committed driver of sustainable growth and an initiator of innovative transformations, Ibtechar hosted a roundtable titled, “Innovation-Driven Growth: A Deep-Dive into Corporate Innovation Frameworks.” This collaborative discussion welcomed leaders from Vidscola, Applab, and Hamad International Airport (HIA), providing a platform to delve into systematic and strategic innovation within corporate frameworks, sharing crucial insights, common practices, and collective wisdom.
THE NEED OF INNOVATION:
Innovation is the cornerstone of sustained growth and competitiveness for both emerging and well-established businesses. It is the driving force that enables corporate leaders to not only survive but thrive in an ever-changing marketplace.
Innovation is a strategic imperative that is amplified with the ability to identify opportunities for improvement, devise creative solutions, and successfully implement them. Whether a company is a startup such as Applab looking to disrupt existing markets or a longstanding airport such as HIA seeking to maintain its leadership position, the ability to innovate is fundamental.
We will uncover the strategies, frameworks, and insights that empowered Applab, Vidscola and HIA to harness innovation as a driving force, paving the way for sustainable success in an increasingly competitive and disruptive business landscape.
We will explore how innovation transcended mere product development; and included every facet of these organizations, from processes and business models to customer engagement and employee culture.
OUTCOMES:
HIA– Hamad International Airport
How does HIA integrate its innovation frameworks into operational strategies to boost growth and enrich passenger experience?
Managing the challenges of overseeing innovation within large entities like HIA includes carefully channeling countless ideas generated within various teams, harnessing the passion and vitality of these teams to design innovative solutions that are precisely tailored to meet and enhance customers’ needs and experiences.
Navigating Innovation: A Deep Dive into HIA’s Approach HIA stands out for its innovative approach, combining internal strategies and collaborative efforts, aiming to optimize existing technologies and methodologies through actionable change. HIA’s innovation philosophy is not only about inventing something new but in recognizing that existing technologies and methodologies can be improved and applied more broadly.
HIA’s Strategic Innovation Framework, Identifies Five Key Enablers:
Rather than seeking external consultation, HIA leverages the ideas and commitment of its own team, with a sharp focus on enhancing the passenger experience and giving precedence to service improvements. HIA’s Strategic Innovation Framework identifies five key enablers, which involve not only implementing new strategies but also adopting a Fail-Fast Approach and crowdsourcing idea
Supportive Culture and Strategy: Incorporating a strategic perspective that positions innovation at the pinnacle of organizational practice, by introducing programs like Employee Wellness to bolster team morale.
Engagement with All Stakeholders: Promoting exhaustive and inclusive interaction with all entities involved, ensuring that employees are both heard and valued through platforms such as Employee Resource Groups (ERGs).
Structured and Efficient Processes:Safeguarding the innovation journey through smooth, non-redundant, and efficient processes, backed by Quality Management Systems to ensure peak service delivery.
Technological Advancements: Utilizing technology as a starting point to facilitate and enhance innovative ventures and implementing emerging technologies like IoT and AI to grow operational efficiency.
Continuous Insights and Introspection:Committing to a self-reflective approach, which ensures that opportunities for improvement are persistently explored to prevent stagnation and complacency.
Addressing Challenges and Implementing Solutions:
Despite numerous awards and acclaims, HIA remains vigilant against complacency, as it continuously thrives towards innovation and improvement. Operational challenges arise with on-ground teams often being busy with daily tasks, which leads to a diminished focus on innovation. Moreover, a prevalent fear of change and potential failure, coupled with delays in decision-making, may pose substantial barriers to implementing swift solutions.
To address these challenges, HIA intends to adopt:
Unwavering Commitment to Innovation:A stern resolution to continually innovate, unaffected by preceding awards, including adopting new initiatives like Innovation Labs.
Allocating Time for Ideation:Establishing dedicated timeslots for employees to detach from routine tasks and brainstorm improvements.
Safe Space for Ideas:Cultivating an environment where idea-sharing is free from the dread of failure, thereby fostering a culture where risks in innovation are encouraged and celebrated.
Importance of Customer Feedback: Maintaining a constant focus on passenger feedback and satisfaction, utilizing comprehensive customer feedback systems to continually refine and enhance their experiences.
The integration of a clear innovation strategy, stakeholder engagement, and a continual commitment to improvement is the guiding principle that drives both passenger experience and operational excellence and guarantees HIA remains an airline industry leader.
Applab
How does Applab navigate the challenges of rapid organizational growth while maintaining a committed focus on innovative strategies and adaptability within the Qatari corporate framework?
Based in Doha, Qatar, Applab, positions itself as a leading entity in software data, and cloud engineering solutions enabling smart city applications and digital transformation – it was awarded the Service Provider of the Year, Qatar Digital Business award in 2021. Its deep-rooted understanding of the local landscape gives Applab an advantage and provides a keen perspective into steering corporate strategies within day-to-day operations, especially when combined with its firm commitment to innovation.
Key Takeaways on Innovation:
Innovation includes the clever adoption of existing technologies to creatively solve problems.
Addressing internal challenges, like those encountered during its expansion from 10 to 250 employees, required innovative management strategies, as illustrated by the launch of the “Applab 2.0″ initiative. This program represents a forward-thinking strategy to channel ideas from all teams, ensuring Applab consistently leads in Hi-Tech industry solutions and innovations.
The sustainability in its approach is further reflected by Applab’s commitment to knowledge transfer and training. Preparing clients like Qatar Foundation with the skills and efficiency-enhancing solutions that are sustainable and forward-looking, underlines how internally developed innovative strategies can be translated into effective, long-term, client-oriented solutions.
Applab‘s broader service expansion, beyond just software to infrastructure and data, signifies an adaptability to technological and industry evolution. Eng. Al Hassan AlSammarraie, Applab’s Founding Managing Partner, remarks, “Applab‘s journey has been one of resilience, innovation, and foresight. As we look to the future, we’re driven by our commitment to push boundaries and set new benchmarks in software, data, and cloud engineering.”
Adapting to Technological Changes and Client Solutions:
Confronted with the challenges posed by rapid scaling, especially those related to maintaining a consistent innovative and entrepreneurial spirit, Applab stresses the importance of balancing skill acquisition and strategic innovation. This illustrates the importance of perpetually advancing and adapting to stay competitive and relevant in an ever-changing marketplace.
Navigating Rapid Growth and Industry Relevance:
Continuous innovation and adaptation are vital to avoid becoming obsolete in a competitive landscape. Strategic partnerships, like Applab’s collaboration with Microsoft, enabled early access to new technologies, boosting innovative client-centric solutions.
By incorporating innovative strategies and a forward-looking approach to technological advancements and partnerships, Applab offers a clear blueprint, emphasizing its dedication to addressing both rapid organizational growth and industry transformation.
Vidscola
How can organizations ensure that their agile methodologies are truly driving innovation rather than just following established practices?
Recognized by leading agile institutions and backed by a diverse team of experts, Vidscola stands as a prominent figure in agile transformations within the Middle East. As numerous companies embark on their agile journey, integrating this approach with true innovation proves challenging, often hindered by entrenched traditional processes.
The corporate landscape is riddled with challenges that demand innovative approaches for solutions. Integrating innovation into the fabric of a business, as emphasized by Vidscola‘s CEO, Mohammed Ghanem, can be the differentiator that sets a company apart in the market. CEO’s Insight: “More than ideation, enterprise innovation means weaving inventive thinking into the DNA of your products and services’ delivery process.”
Challenges and Solutions in Corporate Innovation:
To push forward in today’s competitive market, organizations must overcome various challenges. Vidscola highlights some of these obstacles, especially the reluctance to change within organizations and the difficulties in sustaining growth and innovation momentum.
Organizational Reluctance to Change:
Fear of the unknown:Employees often resist change because they’re unsure of what lies ahead.
Perceived risks:Change can be seen as a potential threat to job security or established workflows.
Lack of understanding: Without clear communication, employees might not understand the reasons or benefits behind a change initiative.
Building organizational buy-in: Garnering support from all levels of the organization ensures a collective effort towards change.
Involving teams in design and planning: Giving teams a voice in the process fosters ownership and commitment.
Comprehensive training: By equipping employees with the necessary skills, they become confident in navigating new systems or methods.
Emphasizing change’s value: Highlighting the benefits and long-term gains of change motivates teams to adapt.
Creating a receptive environment for feedback: Allowing open channels for concerns ensures employees feel heard, fostering a supportive change environment.
Strategies for Sustainable Growth: Embracing Agile and Continuous Innovation
Aligning innovation with the business’s value propositions: Ensuring that new ideas directly complement and enhance the company’s core offerings boosts relevance and impact.
Ongoing innovation rather than isolated events: Promoting a culture where innovation is a continuous journey ensures sustained growth and relevance.
Agile Delivery & Consultation: Incorporating agile principles means valuing and acting on feedback, being ready to pivot when needed, and ensuring the customer remains central to the development process.
Customer-Centricity:Active involvement and transparency with clients throughout the project lifecycle fosters trust and ensures alignment with client needs.
Adapting to Business Needs: Leveraging agile methodologies allows businesses to swiftly adjust their strategies in response to market shifts or internal changes.
Mindset Evolution: The modern business landscape requires shedding some traditional views in favor of more adaptive, forward-looking perspectives.
Knowledge Transfer Importance: By consistently updating and educating teams about the latest technologies and best practices, businesses ensure they remain at the forefront of their industry.
How is Vidscola Pioneering Corporate Innovation and Agile Integration in the Middle East?
Vidscola champions the establishment of a dedicated Innovation Hub, streamlining the innovation process and centralizing its oversight, as the agility of responding to market signals, such as emerging startups or shifting customer behaviors, is vital. The true essence of innovation and agile synergy is perceived as a complete cycle, starting with understanding the customer and ending with agile development.
Ultimately, Vidscola emphasizes the critical balance between agility—for adaptability—and a strong innovation foundation to ensure organizations, particularly in regions like the Middle East, integrate innovation with agile methodologies to stay relevant and at the forefront of industry developments.
Concluding Thoughts:
In an era defined by rapid technological advancements and shifting market dynamics, the importance of corporate innovation cannot be overstated. Organizations in Qatar and the Middle East must integrate agile innovation into their core strategies. This proactive approach is crucial to maintaining a competitive advantage, ensuring longevity and sustained growth in an ever-changing global market. Eng. Nayef Al Ibrahim, CEO and Co-founder ofIbtechar, insightfully concluded: “As we look to the future, embracing corporate innovation is not just a choice but a necessity. Ibtechar, with its pioneering initiatives and a solid foundation in steering corporate innovation in Qatar, is the perfect partner to assist businesses on their transformative journey.”
A pivotal question:In your organization’s pursuit of innovation, how are you preparing to meet the challenges and opportunities of the future?
DRAG
Synopsis:
“Innovation-Driven Growth: A Deep-Dive into Corporate Innovation Frameworks” explores the exciting world of business innovation in Qatar and the wider Middle East. We take a close look at how top-tier companies like HIA, Applab, and Vidscola are redefining the traditional business model, embedding innovation and agile practices into their everyday work. Their stories reveal not just a dedication to continuous improvement and growth, but also a dedication to shaping a future where businesses are flexible, resilient, and ever evolving.In a world that is constantly changing, the experiences of such entities present a compelling case for why and how businesses should incorporate innovation into their strategic plans.
It’s a relatable, straightforward guide into navigating the current innovative practices, ensuring businesses not only survive but thrive in this modern market landscape.
In this whitepaper, we invite you to reimagine the depths of adopting innovation not only in times of crisis but as a driver for growth.
Read how key players in Qatar’s ecosystem have embraced innovation within procurement frameworks to lead to the outcomes mentioned in the following section.
OVERVIEW
In today’s global landscape, the only constant is change. Government entities and companies are facing uncertainty and pressure at an unprecedented and fast-paced rate. From rising costs to rapidly evolving market dynamics, there is an increasing need to gear up and adopt the right tools and procurement frameworks to effectively manage expenses, optimize cash positions, and navigate disruptions.
When faced with uncertainty and challenges, the need for innovation becomes not only paramount but the new norm. Rethinking every aspect of the procurement function becomes key to proactively leading the way through uncertainty and out of any crisis.
Qatar found itself navigating a unique and complex situation as it dealt with the impact of the pandemic and blockade. However, these two factors acted as catalysts that propelled all stakeholders to innovate for the future, emerging stronger and more resilient by embracing innovation.
This whitepaper looks at the approaches adopted along with key outcomes and learnings.
APPROACH
As an innovation partner committed to driving sustainable growth and facilitating successful transformations, Ibtechar held a roundtable on the topic: ‘Leveraging Procurement Frameworks for Innovation.’ Leaders from Qatar Research Development and Innovation Council, Amazon Web Services, Hassad Food, and many others all contributed to shed light on industry best practices and the crucial role of adapting progressive procurement processes to foster innovation in the ecosystem.
Before understanding how key parties adopted procurement innovation, it is important to look at and challenge the history of the procurement process. The way procurement worked in the past no longer works today.
Think of the Pyramids in Egypt, where materials were sourced to fulfill this monumental project’s requirements. This required a lot of control. Following that, procurement gradually became a strategic function during the Renaissance era, supporting nations during conquest. Then, with the industrial revolution came the emphasis on mass production and the role of procurement in optimizing efficiency. Finally, by the 20th century, particularly with digital technology and telecommunications, procurement became more rigid within organizations.
OUTCOMES
Ibtechar: The Case of Innovation
As the state of Qatar moves towards sustainable growth, it has successfully invested in world-class infrastructure over the past two decades. The focus has now shifted towards embracing innovative solutions and services to further propel the nation forward.
The country recognizes that sustained progress lies not only in physical infrastructure but also in harnessing the power of disruptive technologies, groundbreaking ideas, and collaborative partnerships. Businesses are now taking note of this shift and have started to act.
An organization in Qatar sought to leverage innovation and keep up with the time through a classical procurement process and launched a call for tenders from the market. The organization embarked on a project to shift from labor-intensive facade cleaning to robotics. The procurement process commenced with a tendering format, accompanied by clarification sessions between the client and vendors. Challenges arose as the scope was discussed. As the process continued, timelines were further extended, resulting in a one-year delay in experimenting with innovation. This has an adverse impact on the organization and, ultimately, the nation’s growth and innovation potential.
One has to ask, does a rigid tendering process like this serve innovation? Clearly, the answer is no. In this example, the procurement process was demanding certainty; however, the problem needs a solution that has not yet been tried out. Therefore, all bidders were not able to fulfill the tender requirements.
With an apparent misalignment between procurement’s-controlled expectations and innovation’s uncertain nature, the question remains: “How can traditional procurement principles unleash innovation amidst unconventional ideas?”
Ibtechar firmly believes that businesses must push boundaries and challenge the status quo when it comes to the tools and vehicles utilized in procurement. Instead of engaging in repetitive procurement discussions, there is a need to shift focus towards establishing an agile and progressive procurement processes. Collaboration becomes pivotal as businesses strive to work together. By embracing this approach, the ecosystem will enable innovation and drive meaningful progress.
QRDI: Research-Driven Partnerships are Key
Qatar Research Development and Innovation Center (QRDI) conducted a comprehensive analysis of corporates worldwide to identify best practices in adopting innovation. This benchmarking process considers regional and global perspectives, realizing that corporate innovation typically falls into one of three models: build, partner, or acquire.
The partner model closely aligns with the practices and nature of doing business locally. Collaboration with external partners, such as startups, universities, and research institutions, expands reach and provides access to a global pool of innovators. Businesses can tap into diverse expertise, co-create solutions, and accelerate innovation by forging strategic partnerships.
The Open Innovation Initiative by QRDI represents an alternative approach to traditional procurement by building such partnerships. This is done by identifying unique challenges, opening facilities for piloting new technologies, and creating mechanisms for co-development.
The main objective of implementing open innovation across large local enterprises is to establish a fair and transparent way of working with innovators without being bound by the rigid procurement process.
Innovation requires strong leadership support, buy-in, and champions within organizations to succeed. A successful example of partnership and leadership buy-in is evident in the collaboration with Hassad.
Hassad: A Proactive Business and People Management Approach in the Face of Crisis
Hassad, the investment authority company focused on food security in Qatar, has made significant strides in the past five years; responding to challenges posed by the blockade has propelled them to drive transformative changes in the industry. They are a great case study, and their innovative reaction to uncertainty and the circumstances they faced could present great learnings to other businesses facing uncertainty.
In the face of the blockade, Hassad swiftly adapted to ensure a continuous supply of essential commodities. Challenging the notion that “this is not possible” Hassad understood that a traditional procurement process poses certain challenges. They took a proactive business and people management approach and uncovered innovative solutions to complex problems.
Hassad reengineered their procurement process, and strategically expanded local production capabilities by minimizing approval gates and built a strategy based on data, insights and lean operations. By eliminating redundant steps and reducing irrelevant requirements, significant improvements were achieved. These efforts resulted in a remarkable reduction of the procurement process time by an impressive 30 – 35% and increased production capacity by 30% in the poultry sector while significantly increasing vegetable production.
Additionally, another notable progressive practice implemented by Hassad is the adoption of the Open Innovation Program. This program provided Hassad with a safe and conducive environment to explore and test innovative ideas that may not be suitable within a traditional procurement process.
Hassad’s journey demonstrates the need for continuous reevaluation, agility, and adopting a proactive business approach. This involves changing perspectives, learning, partnering with experts, and taking action.
AWS: Adopting Digital Technology in the Procurement Process Is Key
Digital transformation has been instrumental in Governments, enabling a more efficient and innovative approach. AWS’ application of digital technology with some GCC governments provides a compelling case for the power of their technology. AWS Marketplace, known for its seamless user experience, has inspired a shift towards leveraging advanced technological solutions in the industry.
By leveraging AWS Marketplace and similar centralized platforms, businesses can revolutionize their procurement processes by adopting innovative procurement tools. These platforms offer a centralized approach that has allowed for reduced procurement risks.
Businesses can evaluate software offerings and engage in trials before making a purchase, minimizing the risk of investing in software that may not meet their requirements, ultimately optimizing spending and maximizing the use of funds.
Implementing electronic platforms and centralized marketplaces, exemplified by AWS Marketplace, has provided organizations with faster purchasing processes and diverse software options, unleashing procurement’s full potential through technology-driven solutions.
The Way Forward: Re-Imagining the Procurement Process
This white paper explored the importance of leveraging procurement processes to foster organizational innovation. Embracing innovation is a critical driver of success. Looking at Hassad’s case study and the views from industry leaders, it is evident that in order to adopt progressive procurement processes, a number of actions need to be taken.
1- Reimagine the Procurement process: There is a need to adopt a holistic approach that looks at eliminating redundant steps within the procurement process that may include unnecessary requirements, reducing approval gateways while increasing data entry to make informed decisions.
2- Adopting Open Innovation as a vehicle: Harnessing the power of Open Innovation and leveraging government support, allows businesses to tap into a wider pool of innovative ideas and solutions from external sources. By embracing open innovation, businesses can benefit from the expertise and creativity of external partners, fostering collaboration and driving forward-thinking procurement practices.
3- Consider AWS marketplace for software solutions: Businesses can leverage AWS Marketplace as a valuable resource for software solutions, gaining access to a diverse range of innovative applications from trusted vendors, streamlining the procurement process. Additionally, adopting technology and a digital approach enhances competition, and ensures fair and equal opportunities for suppliers.
Leveraging procurement frameworks to foster innovation is a strategic imperative and a pathway to sustainable growth and competitive advantage.
The critical question is this: How can we drive practical innovation every day without waiting for a crisis to push us to transform?