02 May Global innovation
Systemic Innovation
The term ‘systemic innovation’ is increasing in use. However, there is no consensus on its meaning: four different ways of using the term can be identified in the literature. Most people simply define it as a type of innovation where value can only be derived when the innovation is synergistically integrated with other complementary innovations, going beyond the boundaries of a single organization.
Therefore, the term ‘systemic’ refers to the existence of a co-ordinated innovation system.
A second, less frequent use of the term makes reference to the development of policies and governance at a local, regional or national scale to create an enabling environment for the above kind of synergistic, multi-organizational innovations. Here, ‘systemic’ means recognition that innovation systems can be enabled and/or constrained by a meta-level policy system.
The third use of the term, which is growing in popularity, says that an innovation is ‘systemic’ when its purpose is to change the fundamental nature of society; for instance, to deliver on major transitions concerning ecological sustainability.
What makes this systemic is acknowledgement of the existence of a systems hierarchy (systems nested within each other): innovation systems are parts of economic systems, which are parts of societal systems, and all societies exist on a single planetary ecological system.
Collaboration is required across organizational and national boundaries to change the societal laws and norms that govern economic systems, which will place new enablers and constraints on innovations systems in the interests of sustainability. The fourth use of the term ‘systemic innovation’ concerns how the people acting to bring about an innovation engage in a process to support systemic thinking, and it is primarily this process and the thinking it gives rise to that is seen as systemic rather than the innovation system that they exist within or are trying to create.
Holistic Innovation
Holistic Innovation is a total and collaborative innovation driven by strategic vision
This new innovation paradigm is a complex mix of strategic innovation, collaborative innovation, total innovation, and open innovation. The four core elements of holistic innovation “strategic,” “total,” “open,” and “collaborative,” are inter-related.
HI is an original innovation paradigm that conforms to the needs of firms’ technological innovation management in the strategic innovation era and supports the implementation of the Innovation-Driven Development Strategy. It also helps enterprises build global innovation leadership and improves national innovation ability. Finally, it optimizes the innovation policy design and action mindset to achieve global peace and sustainable development.
Holistic Innovation (HI), which is total and collaborative innovation driven by a strategic vision in an era of strategic innovation, which aims for a sustainable and competitive advantage.
An innovative management paradigm based on HI is called Holistic Innovation Management (HIM). Under the HI paradigm, the innovation path of an enterprise includes four aspects: strategic leadership, organizational design, resource allocation, and cultural construction, which we can describe as “strategy foresees the future,” “organizational design emphasizes knowledge,” “resource allocation focus on quality,” and “culture construction motivates creativity.”
The organic integration of strategy, organization, resources, and culture, as well as the long-term perspective of dynamic innovation will enable enterprises to build stable, flexible, and sustainable core competitiveness.