Best practices to boost innovation culture in 202212 min read

innovation culture

Innovation is what keeps a business alive. It contributes to success by motivating businesses to strive for continual development and opportunities.

Famous companies such as Apple, Amazon, and Tesla are significantly more innovative than others. But this is not by luck.

These organizations have effectively built innovation into their frameworks and instilled it into the culture of their organizations.

The question is, how did they do it? How can you do the same for your company? In this article, you will learn about the top best practices to boost innovation culture in 2022.

Let’s start.

Why is it important to cultivate an innovation culture in your company?

A company’s organizational culture includes all of its activities, procedures, practices, ideals, policies, incentives, and employees.

It is considered a powerful way of doing things that can either make or break an organization’s path to success.

innovation culture best practices

Once innovation is embedded within a company’s culture, individuals become more inspired, creative, and efficient. The organization then becomes more driven as it continually improves and achieves progress.

Moreover, when a culture of innovation is built, a business experiences the following benefits:

  • Fueled company growth brought by change and continuous improvement
  • An increase in the number of innovative ideas and diversity that results in amplified competence
  • Adaptability in market changes and seasonal trends
  • Efficiency in meeting customer needs
  • High employee retention
  • Better overall branding

What are the best practices in innovation culture?

Here are some of the best practices that you can implement to boost innovation culture within your organization:

1. Start your cultural transformation from the top, even if most of the action happens at the bottom.

“Walk the talk” may sound a little cliche for you, but when you’re promoting innovation and your actions signify otherwise, your employees may not take your determination to boost innovation culture seriously.

Note that this is critical because others will follow your lead.

As a leader, embodying an innovative mindset and attitude significantly helps in influencing and permeating the organization.

Fostering Innovation Mindset and Culture Within the Company

This is because everyone can see how committed and genuine you are in inculcating an innovation culture within the company.

That being said, you can begin by:

  • Providing comprehensive support for innovation. Start by setting a clear and consistent message about the organization’s innovation goals, plans, and projected outcomes. Tell them why these steps are necessary.
  • Holding innovation training for all employee levels. The specifics of the training may vary depending on your priorities, but you can help them learn about aligning and evaluating resources, processes, and opportunities to position the company for growth.
  • Ensuring accountability for innovation performance. This is a way to demonstrate how serious you are in cultivating an innovative and inventive culture. Appoint officers, innovation champions, brainstorming facilitators, and other key persons for it.
  • Giving adequate resources in enabling long-term culture change. Dedicate  time in workers’ responsibilities exclusively for innovation initiatives and prepare sufficient funds when necessary.
  • Creating innovation strategies and activities based on real business insights. Put innovation culture into action. Uncover difficulties and discover innovative ideas with real business value. Ask your employees for their ideas, opinions, and suggestions.

2. Give space for everyone in the company to innovate and experiment.

Experimentation is a critical component of innovation:

Turning an idea into a reality or into something significant and substantial involves hundreds of factors that you can’t figure out through discussions.

How to run a successful innovation campaign: The essentials

Such solidifies the need for organizations to experiment through their ideas. This way, everyone in the company can gain sufficient insights and other relevant information to make innovation a success.

Hence, giving them the time, resources, and even the physical space they need to innovate and experiment helps in:

  • Getting concrete answers to questions and opportunities for testing. Experimentation supports handling unnecessary risks and uncertainties that are inherent in any creative process.
  • Studying and gathering the data required in making educated judgments regarding ideas and initiatives. Some problems are undetectable on the surface, needing deeper analysis to uncover.
  • Failing early and quickly in the process to avoid wasting time and money. Experiments allow entrepreneurs to try things out on a limited scale to experience momentary failures that help companies avoid disastrous project failures.
  • Improved products and services. Your chances of providing exceptional products and services improve if you truly grasp what sort of services customers want based on genuine feedback.

3. Create concrete innovation frameworks and provide incentives.

Amazon and Tesla are at the forefront of innovation because they have made systems that continually push and encourage their employees to innovate.

Both Jeff Bezos (founder of Amazon) and Elon Musk (owner of SpaceX and Tesla) have successfully made innovation a constant and built-in part of their culture in such a way that everyone in their organization feels empowered and inspired to think creatively.


Amazon fosters an innovation culture by utilizing a one-of-a-kind idea submission structure known as the PRFAQ format.

innovation culture best practices

The structure is characterized as a press release that establishes the goal for a product at launch, followed by a list of FAQs that discusses the consumer advantages and answers hypothetical customer queries.

The ideas are constantly examined and shared with other corporate innovators. Once a concept has been completely formulated and accepted, it may be funded for implementation.

This strategy has resulted in the creation of some of Amazon’s most profitable products, including Prime Now, Amazon Go, and Alexa.

Tesla and SpaceX

Musk aggressively supports and incentivizes innovative thinking at both Tesla and SpaceX. He created an incentive structure that rewards invention.

innovation culture best practices

An incentive plan centered on invention is useful for fostering an inventive culture, but money isn’t the only means to do it. These companies also create an environment that pushes one’s curiosity.

Employees could monitor video feeds of the production floor from their desks and are constantly encouraged to explore.

The organization was designed with innovation in sight, allowing for creativity and curiosity at every turn.

4. Hold an innovation challenge or hackathon.

In relation to the practice you’ve read earlier, you can also spice things up by holding a hackathon or other forms of innovation challenges.

A hackathon is a strategy for accelerating long-term development and crowdsourcing solutions to severe, real-world corporate and social issues.

Hundreds of programmers gathered at a hackathon by TechCrunch

They are held by more than eight out of ten Fortune 500 companies in order to foster innovation.

Participants in hackathons and other innovation challenges come up with and construct ideas for applications, websites, machines, and other projects.

They can also get together to address problems and create distinctive solutions for a certain firm.

Holding a hackathon involves:

  • Picking a good hackathon theme or challenge to solve. Pick themes that are appealing to your participants while still satisfying commercial objectives. Keep in mind that this theme is dependent on your purpose and objectives.
  • Choosing your participants. Determine your target audience and the skills necessary to fit your theme and problem statement. Consider the responsibilities they will play in producing the innovation you want to achieve.
  • Choose a hackathon format. There are three formats for hackathons. You can do it onsite, online, or even a combination of both.
  • Pick a location (physical) or platform (online).
  • Set the schedule and the competition’s other details. Choose the date of your activity with caution. Some key players may be unavailable at the time you choose.

5. Improve the organization’s mindset, skillset, and toolset.

There are three ingredients for innovation success: mindset, organizational skill set, and toolset.


Organizations encounter a variety of challenges while developing and sustaining an innovation culture.

Among them are the following:

  • Changing the status quo. Employees and bosses alike are discouraged from innovating due to a fear of failure and a lack of risk-taking qualities.
  • Putting the idea into action. Some organizations have a lot of fresh ideas, but they find it difficult to turn those ideas into unique actions and outcomes.
  • Defining the issue. People swiftly decide on new techniques and technology to tackle challenges they do not fully comprehend.
  • Fear of harsh judgments and criticisms. People in the business environment are frequently wary of breaking the norm and attempting something new for fear of being judged and criticized.
  • Organizational authority. The “technological” knowledge and age gap between top executives and young people sometimes clash. Young people are more receptive to new ways and technology, while senior executives are frequently too resistant to fresh ideas.


Most firms, while technically competent, lack the requisite abilities to engage the market, particularly at the earliest phases of the innovation process.

Various workshops and training should be provided to enhance and develop the skills needed by employees to effectively innovate and execute their ideas.

Improve innovation skills

They can work with other departments to further collaborate and engage in different innovation activities.

Experience has shown that technical individuals are typically better at asking the detailed questions needed to begin comprehending what solutions, ideas, and outcomes are feasible, including how plausible it is to get there.


Employees have phenomenal ideas:

Equipping them with the appropriate tools, training, and procedures can empower them to share their thoughts, comments, and suggestions which will allow companies to research and explore new concepts that may be applied for progress.

Innovation managers must assemble a set of tools that promote efficiency and productivity in every innovation-related process.

Below are some of the tools that you can use to further this agenda:

  • Idea management software. The systematic acquisition, evaluation, and structuring of ideas are what idea management entails. It is an important component of innovation management that aids in the prioritization and realization of practical concepts.
  • Communication and collaboration tools. With a variety of talents and viewpoints on board, the execution and adaptation of both internal and external changes can become faster and simpler with collaboration and communication between teams.
  • Knowledge management software. Knowledge management includes the development, use, sharing, and upkeep of corporate data. It may also be thought of as a strategy for leveraging corporate information to achieve the company’s goals.
  • Prototyping and validation tools. Product design processes and innovation methods must meet designated requirements and complement each other for project success.
  • Innovation management software. This helps in planning, organizing, directing, inspiring, and regulating resources to materialize new goods, processes, propositions, or business models to produce additional value for both consumers and the company.

Measure, learn, repeat

Boosting innovation culture necessitates meticulous preparation.

It entails several stages that demand the repeated use of proper methods, and practices tools for better implementation. Overall, it must be carried out and managed in a methodical manner.

Hence, trying out everything that’s written above as well as measuring their results can help you identify the things that work well for your organization.

As you boost your innovation culture, you can implement improvements every now and then and repeat those that you did right.

You can then take out anything that hinders or interferes with the success of your innovation performance, projects, and activities.

If you want to learn more about innovation, you may read our published innovation ebook now. Get your free copy today.

Published On: January 18th, 2022Categories: Innovation strategy

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