What is Innovation?
“Innovation is almost always more about what we do with ideas than the idea itself.” IBM, Global Innovation Outlook
We define innovation broadly as something new that adds real value, or “a change that creates a new dimension of performance” (Peter Drucker). It is not merely a new idea, but the practical application of that idea through a new product, service, business model or process.
Innovation can be radical and disruptive, destroying old ways and making them obsolete; or it can be incremental and additive, building on existing knowledge, products and services. It applies equally to the private sector, the public sector, and our communities.
Who should be involved?
So far, innovation policy in the UK has focused on three main players – business, universities, and government. However, we believe that we can only reflect modern global understanding of how innovation actually works, if we base our strategy on five key players:
- Businesses, as the focus of economic growth;
- Universities and other education/research centres, as sources of knowledge, ideas and skilled people;
- Government at all levels, as policy-shapers and service providers;
- People, as the end-users of innovation, participants in open innovation platforms, and producers of innovation;
- The voluntary and third sector, as key players in social innovation and critical areas such as health, the environment, and equality of opportunity.
How do we approach it?
Innovation is complex. To improve the city’s capacity for innovation we need to develop its Innovation Ecosystem – the total environment for innovation.
We first set out our vision for Manchester’s Innovation Ecosystem in 2005. It’s a complex mix of inter-dependent factors including skills, talent, finance, infrastructure, business support, creative ‘buzz’, and connectivity and networks. We’ve summarised some of the key factors here. It reflects what many entrepreneurs and innovators know – that they don’t conduct their work in isolation, and successful innovation is the result of social, cultural and economic forces.
What does that mean in practice?
It means that we must be pro-active in developing the right environment for innovation – improving knowledge and understanding about innovation, connectivity between sectors and communities, skills, access to risk finance, and making the city a better place to live and work. You can use the menu on the left to see examples of live projects and initiatives that M:KC is involved in – each one designed to improve the city’s Innovation Ecosystem.
You can also read a high-level overview of the city’s approach to innovation in the Manchester City Region Innovation Prospectus, developed by M:KC partners in 2009. Key points from this are now being adopted by city leaders into their overal economic development strategy for Greater Manchester.
