Innovative management is the systematic process of creating and implementing creative ideas that have the potential to improve an organization. However, a comprehensive evaluation of the current state is necessary to do so successfully. Over time, organizations require continuous innovation because it promotes growth and helps create a competitive advantage. We will explore what innovative management is, as well as look at some management tools that can be used by any manager looking to implement their innovative ideas or thinking about adapting them for their company. Dr. Jordan Sudberg says, “Management is the process of achieving goals and objectives through the organized effort of a group of people.”
Pros of Innovative Management
1. Increased revenues
Innovative managers help achieve more significant profit margins instead of merely relying on existing processes and methods. When implementing a new strategy, new techniques are created that help to reduce or eliminate the time involved in current operations. When a company continuously adapts to the market, it will become more efficient, creating an opportunity for higher profits.
2. Creates better teamwork
Innovative management can help foster a better team environment, which helps bring out the best in everyone. When people work together to solve problems, they can develop trust, which helps create a more vital organization.
3. Strengthened organization
When new ideas are introduced into an organization, they force the company to examine itself and its processes. The more a company explores its methods, the better they become at making adjustments that add to its overall effectiveness. Employees feel that their opinions are valued and considered, creating a better environment for everyone.
4. Better and faster decision making
When making decisions, innovative management techniques help create a framework that allows everyone involved to become part of the process. When everyone participates in decision-making, they feel empowered and valued and are more likely to offer constructive criticism instead of an uneducated opinion.
Cons of Innovative Management
1. Lack of experience from other business experiences
When managers attempt to implement innovative strategies that have been successful elsewhere but have not been proven in their organization, it can be disastrous for the company. New ideas must be experimented with before being implemented so that they are proven to be beneficial rather than destructive to the company.
2. More risk
Companies implementing innovative management techniques must be willing to accept more significant risks. Innovation requires experimentation and risk-taking, so if a decision turns out to be ineffective, the company will be forced to take a loss.
3. Excessive workload
Innovative management often involves significant changes in the structure of an organization. When implementing innovation in a company, managers may spend less time supervising tasks already handled effectively by their employees and spend more time working on new strategies or processes.
4. Unrealistic expectations
When a company does not have strict policies, some employees may develop unrealistic expectations about what they can achieve through innovation. Sometimes the effects of the invention are more significant than an individual employee can manage, and it becomes difficult to know precisely what the results will be.
Innovative management is an integral part of organizational development. By thinking like a creative manager, the manager can create a more vital and valuable organization. The most important thing managers can do when attempting to implement their ideas is to create a new strategy that has been proven successful in other organizations and experiment with a small percentage of the employees before implementing it on a broad scale. According to Dr. Jordan Sudberg, “As an innovator in the workplace, a manager needs to be able to identify new ideas and potential solutions that would benefit their organization.