Many organisations want to be more innovative — but don’t know whether they’re ready, or how to get started. One problem is a lack of understanding of the concept itself. There are many misconceptions about what the term “innovation” means, and concerns about the risks, costs and resources associated with adopting innovative thinking and practices within organisations.

In our experience, the first step is understanding what innovation truly means, how to achieve it, and how to measure its success. This guide is designed to help anyone at the beginning of their innovation journey do just that. In it, we address seven common questions organisations ask us about innovation, and we offer practical guidance and actionable insights.

In this 10-minute read, we’ll answer the following questions

• What exactly is innovation? (And what it isn’t)
• Why should we prioritise innovation? What’s the ROI?
• How can we build a culture of innovation within our organisation?
• How do we select the right innovation projects to pursue?
• Where do innovative ideas come from? How can we generate more of them?
• How will we manage the risks associated with innovation?
• How can we measure the success of our innovation efforts?

01 What exactly is innovation? (And what it isn’t)

Innovation is often associated with invention or creativity, but it’s a fundamentally different concept, with a distinct meaning. Invention and creativity are about generating novel ideas. Innovation is the process by which we can translate those ideas into an output with tangible value. It’s about bringing something to life — from the drawing board to reality — that has a positive impact, whether that’s a new product, service, process, or business model.

This emphasis on value creation is the key to understanding true innovation. A genuinely innovative solution addresses a real-world need, solves a tangible problem or improves a product or process. It’s not simply about novelty: it’s about making a meaningful difference. The focus on impact is what sets innovation apart from brainstorming, creativity or “blue sky” thinking.

Despite what some people think, innovation isn’t limited to the realm of cutting-edge tech startups. It can — and does — occur in any industry, in any type of business, and at any level of the organisation. Sometimes it produces groundbreaking disruptions, but sometimes it’s simply a matter of introducing incremental improvements which build value over time.

Understanding that innovation is for everyone is an important lesson for organisations looking to build more value, increase their competitive edge and grow sustainably.

02 Why should we prioritise innovation? What’s the ROI?

As the ancient Greek philosopher Heraclitus said “There is nothing constant except change.” And 2,500 years later that statement seems truer than ever. Constant developments in technology mean that the operational landscape is evolving faster than ever — leaving some organisations struggling to adapt and keep up. Innovation is the answer — it’s the process by which organisations can adapt to changing circumstances, capitalise on new opportunities, and outperform their competitors.

The return on investment of embedding a culture of innovation can be seen in multiple contexts. Commercially, innovation can drive revenue growth by creating new products and services that meet evolving customer demands — or lead to increased market share by offering superior quality of service. Financially, innovation can enhance efficiency and profitability by streamlining processes, reducing costs, and optimising resource use. At a human level, innovation can result in a more engaged and motivated workforce — empowering employees, encouraging creativity, and attracting top talent.

03 How can we build a culture of innovation within our organisation?

Building a culture of innovation requires a conscious and continuous effort. It’s not a one-time initiative, it’s an ongoing journey that requires commitment from every level of the organisation. Leadership plays a vital role here — in shaping the culture and in creating an environment where innovation flourishes.

Leaders must actively advocate for innovation, communicating its importance and demonstrating their commitment through tangible actions. This includes allocating resources, recognising and rewarding innovative contributions, and fostering a culture of experimentation and psychological safety where employees feel comfortable taking risks. Celebrating both successes and failures is essential for fostering a growth mindset and encouraging continuous learning. We’ve explored this at greater length in our article Lessons for leadership: building a sustainable innovation culture.

Cultivating a culture of innovation also involves providing employees with the right training, tools, and infrastructure. This is where working with an experienced partner such as Ibtechar can add significant value, by ensuring the right framework is in place to allow employees across the organisation to contribute ideas effectively and designing programmes to encourage participation — such as workshops, hackathons, access to innovation labs, or even just dedicated time for experimentation, in the style of Google’s famous “20% time” rule.

04 How do we select the right innovation projects to pursue?

Not all innovative ideas are equally viable. A robust process is needed to evaluate and prioritise innovation projects — ensuring resources are invested strategically, which involves establishing clear criteria and a transparent decision-making process — involving stakeholders at all levels of the organisation.

Working with a partner such as Ibtechar to develop tools such as scoring matrices can be effective in assessing innovation projects — considering factors such as feasibility, potential impact, and strategic alignment. This allows companies to objectively compare different projects and prioritise those with the highest potential for success — as well as overcoming organisational reluctance which can hinder buy-in from employees.

In our whitepaper Corporate innovations for sustainable growth, agile transformation expert Mohamed Ghanem offers several factors for judging whether to pursue a given innovation project, including alignment with the organisation’s value propositions and core competencies, as well as involvement and transparency with clients to ensure relevance to customer needs. This ensures that innovation efforts are focused on areas contributing to the company’s success and long-term objectives.

05 Where do innovative ideas come from? How can we generate more of them?

Ideas are like seeds — they can sprout up almost anywhere, but they only thrive within the right environment and conditions. A truly innovative culture is one where ideas emerging from any source — within the organisation, from customers, from partners, or even from competitors — are actively sought, valued, and nurtured. That’s the basis of Ibtechar’s framework for innovation — first, create the environment and culture, and then start to generate, develop and implement ideas.

With the groundwork in place, organisations can use a range of ideation techniques to spark creative thinking and generate new ideas. Brainstorming sessions, design thinking workshops, and open innovation challenges are just some examples of the methods we use with our clients to effectively tap into the collective intelligence of the organisation and its broader ecosystem.

Encouraging diverse perspectives and cross-functional collaboration is essential for generating truly innovative ideas. In many of the organisations we’ve worked with, we’ve found that simply bringing together individuals with different backgrounds, skills, and experiences can lead to unexpected insights and breakthrough solutions.

06 How do we manage the risks associated with innovation?

Some organisations we speak to have a negative view of innovation, often because they’ve tried initiatives in the past that have failed to deliver value, despite spending considerable time and resources on them.

It’s true that innovation brings with it a certain level of risk and uncertainty. But, as with any other initiative, organisations can acknowledge this and implement strategies to mitigate those risks, and safely navigate experimentation and exploration. The key is working within a logical and structured framework — something we discuss at length in our white paper Grassrooting Innovation in Qatar.

We emphasise the importance of conducting thorough research, requirements analysis and feasibility studies before committing significant resources. At a project level, an effective approach that we use with our clients is to start small with pilots or proofs of concept — working towards a minimum viable product (MVP). This allows organisations to test new ideas in a controlled environment and gather valuable feedback without substantial investment.

Ultimately though, successful innovation requires acceptance of some degree of risk— not every idea or initiative will bear fruit, and learning from failures is crucial for continuous improvement. What’s important is the approach — with the right structure in place, potential problems can be identified early, adjustments can be made, or ideas shelved while minimising waste and unnecessary spending.

07 How do we measure the success of our innovation efforts?

Measuring the success of innovation requires a more comprehensive approach than simply tracking financial metrics. While financial returns are important, they don’t provide a complete picture.

Working with a diverse range of organisations, including those in government, manufacturing, healthcare, and technology, we recognise that innovation goals may vary significantly depending on the nature of the organisation. A balanced scorecard approach, incorporating a range of both quantitative and qualitative metrics, offers a more holistic view of innovation success.

Private sector companies, particularly those in competitive markets, often prioritise profit maximisation and market share growth — focusing innovation metrics on new sales generated, customer acquisition, and return on investment.

Public sector organisations and government entities, on the other hand, are often more focused on citizen outcomes, value for money, and improved service delivery. Metrics here may include citizen satisfaction and efficiency gains. Other organisations, such as non-profits, may prioritise social impact and mission alignment.

What’s important is that organisations establish clear goals for their innovation efforts which align with their broader vision and objective. Continuous monitoring and evaluation are essential for understanding what’s working, and what’s not, and making necessary adjustments along the way.

Beginning your innovation journey

If you’re ready to start cultivating a culture of true innovation within your organisation, our team would be happy to discuss your aims and objectives and offer guidance on the best way forward. Get in touch with one of our innovation consultants to explore the possibilities, or read our whitepaper to discover our tried and tested framework for innovation.