Ethics

Discuss the role of metrics in business innovation. Discuss your role as an employee of the organization in regard to the innovation metrics used to motivate employees to innovate. What innovation metrics should be created to hold leaders and managers accountable for innovation?

Innovation metrics are important because they help managers make decisions based on the objective data, and metrics hold leaders and managers accountable for innovation. Leaders are responsible to set a comprehensive set of metrics that can create an organizational culture that supports and drives innovation (Epstein and Shelton, 2013).

As an employee in an organization you are responsible for planning and supporting the implementation of any new business strategy. You are also responsible for evaluating the innovation with-in specific pre-determined metrics and/or parameters, and to report back to your managers if the new business strategy is working or not.

The types of innovation metrics used to hold leaders and managers accountable with differ depending on the business model and industry used. A common thread would be that any model used needs to identify explicitly what resources are required, how they are combined to create innovation, and how the specific innovation can create real value (Epstein and Shelton, 2013). A metric used generally across many organizations are the setting of pre-determined specific goals for managers. Metrics of goal setting allows you as a leader to set up your employees to win. Make your goals explicit and measurable. Measuring performance in multiple areas such as: sales, marketing, Human Resources, Operations, etc. will allow employees to measure the success.

References

Davila, T., Epstein, M. J., & Shelton, R. D. (2006). Making innovation work: How to manage it, measure it and profit from it. Upper Saddle River, NJ: Wharton School Publisher.