100 Great Business Ideas: From Leading Companies Around the World (100 Great Ideas)

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100 GREAT BUSINESS IDEAS • 31

This development did not occur in response to a market need: it emerged
because people within the banking business used their knowledge and
information. This included market-sensing abilities, understanding
of customers, information and forecasts about economic and social
trends, experience with similar product ideas (such as installment
loans), and knowledge about new developments in technology. A period
of major innovation within the fi nancial services industry followed,
including ATM machines and the growth of internet banking.


This type of innovation is markedly different from bottom-up
innovation:



  • Senior management support was essential: they set up the unit,
    helped to develop its features, and gave it the support needed to
    take root and grow.

  • The senior management role was signifi cant early^ on in the
    process, creating the right conditions and providing support and
    momentum.

  • Information was at the heart of this top-down innovation.
    Harnessing information and tacit knowledge is an essential part
    of ensuring that the innovation process starts, continues, and
    delivers success.


In practice



  • Encourage senior management to become directly involved in
    the innovation process.

  • Use the market-sensing abilities, knowledge, and experience of
    team members to evaluate innovative ideas.

  • Create a “culture of innovation” within your organization by
    giving employees a forum to discuss and evaluate their ideas,
    and rewarding innovation.

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