The Importance of Creativity and Innovation in Business
Innovation refers to the process of developing and implementing a unique, new and novel idea or concept. It refers to the innate capability of every individual to take existing and conventional ideas and concepts and come up with something entirely new. In business, innovation and creativity is of prime importance (Vantassel-Baska, 2016). In Australia, a culture of corporate innovation and creativity is inculcated so as to devise new ways of finding solutions to problems and to promote growth and enhancement of the business sector. Like the other developed countries around the world, Australia too has taken a step forward towards innovation. There are various organizations which are dedicated towards research and development of new and innovative products in the fields of agriculture, information technology, biotechnology and so on. The following report attempts to study the impact of society and community on the culture of innovation and creativity in the business sector, with Australia as the chosen study area.
It must be affirmed that creativity and innovation, which is collectively known as creative intelligence, is the force driving the global economy. Individuals and organizations in Australia are gradually beginning to realize the importance of creativity and innovation as the key success factor for any business or organization (Perry Smith & Mannucci, 2017). The society and the business sector in Australia are plagued by complex problems and global competition. In such dire situations, innovative capacity and creative intelligence can prove to be immensely beneficial (Squalli & Wilson, 2014). Incorporating innovation and creativity within individuals and in business would render the local communities viable, thus providing it with a competitive edge. If one is to look at the culture and values prevalent in Australia, it would become evident that the very essence of human existence relies on man’s ability to innovate and create. This is known as CQ or creative intelligence. Australia and its government should take adequate measures to create a favorable environment which nourishes the growth of corporate creativity. Such capabilities should not be restricted to one category of individuals or a specific stratum of society, but instead should be made accessible to every individual within the Australian community.
In business, creativity refers to the ability to come up with and combine ideas in a way that is unique. Moreover, individuals are encouraged to come up with novel ideas which had not been thought of previously. Innovation refers to the practice of implementing these creative ideas, concretizing them and converting them into reality (Sarooghi, Libaers & Burkemper, 2015). It thus becomes extremely important for businesses in Australia to invest in innovation and creative strategies. The business sector in Australia is extremely dynamic and unpredictable. It is evolving at a rapid rate and requires businesses to be flexible and versatile so that they can adapt to the changing circumstances. Additionally, if the strategic management at a business is static and fails to incorporate innovation or change, the entire organization along with all its external and internal stakeholders would suffer the consequences (Serrat, 2017).
The Role of Society and Community in Fostering a Culture of Innovation and Creativity
It is thus the responsibility of the Australian government to ensure that its people are capable of thinking out of the box and devising innovative strategies to deal with common issues. They should be encouraged to go beyond the existing and traditional and come up with unique ideas of their own. The government should push the society onto a path of innovation and creativity and invest in the same. However, the investment should be at the grassroot level. The academic curriculums in different Australian schools do not recognize innovation and creativity as essential capabilities in an individual. It must be realized that innovation is not a inborn capability of an individual. Instead, it is a state of mind that can be acquired through experiences and practice. The Australian government should take necessary steps to inculcate a culture of creativity in the educational institutions, so that children can be brought up in a similar environment and practice the same in their professional lives.
Innovation and creativity are not innate abilities or talents of individuals. Instead, it should be incorporated at various steps of the development of the individual. The government should implement policies and regulations that would promote innovation and creativity. For instance, recommendations can be made to improve the education system. This would ensure that children are encouraged to come up with unique and innovative ideas from an early age (Gundry, Ofstein & Kickul, 2014). Similarly, it must be remembered that creativity and innovative capacity cannot be restricted to a certain group of individuals. Anyone can come up with a creative idea which could prove to be highly successful. Thus, it is the responsibility of the government to support its citizens. The Australian government should have adequate resources (including human resources) which would promote Australian citizens to chase their innovative ideas and see them to completion (Liu et al., 2017). Direct financial investment is one way of doing so. This way, the Australian government would lead to the conglomeration of the best, creative minds in the country with that of capital investors.
As mentioned earlier, one of the most important benefits of investing in innovation and creativity would be economic growth. The future of the economy of a nation would depend entirely on its capability to innovate. Innovation involves substitution of the old with the new, which would lead to economic growth (Amabile & Pratt, 2016). This is usually done through a creative destruction. This concept was developed by Schumpeter and can be applied to Australia as well. The rise and fall of employment and other aspects of economic growth in Australia is intricately linked to innovation. Innovation and creativity would lead to the development of new products, methods of manufacture, new and improved trade relationships, discovery of new raw materials and so on. This would directly contribute to economic activity. Moreover, economic growth of Australia would be dependent on the nation’s ability to be cost effective, increase productive inputs and implement technical change. Innovation in Australia is mainly related to technical change and as such results in economic growth (Anderson, Poto?nik & Zhou, 2014). The population of Australia is on the rise, which places a tremendous pressure on the available resources. Therefore, sustainable economic growth would be one that nurtures innovation and creativity (Foregeard & Kaufman, 2016). As a matter of fact, innovation can be called the knowledge capital of Australia.
The Role of Government in Fostering a Culture of Innovation
The Australian government should also take necessary steps to inculcate social innovation. Social innovation may be defined as the process of finding an innovative new solution to an unfavorable social issue. Such innovation would pave the way for inclusive growth and generate more profitable opportunities for economic growth and social well being of the members of the community (Cajaiba- Santana, 2014). In the case of business, promotion of innovation and creativity would ensure that organizations head towards sustainable growth. It would be the responsibility of the organization itself to ensure the nurturing of a positive environment which would encourage the employees to come up with useful innovative ideas.
While a culture of innovation and creativity is imperative in any nation for economic and social growth, there are numerous challenges that may be encountered. For instance, the main challenge with regards to innovation is the uncertainty that it brings along. There is no guarantee that the innovative idea implemented will have the desired results. This is because the success of an innovative idea would depend on a plethora of factors, few of which would be under the control of the innovator. Similarly, it might be tough to come up with creative solutions to every problem (Speith, Schneckenberg & Ricart, 2016). Moreover, the innovator would be required to convince the others about the effectiveness of their proposed solution. Failure to persuade could result in the dismissal of the innovative idea as a whole (Somech & Drach-Zahavy, 2013). Additionally, the Australian government should prepare for collateral damage as well. Implementation of new and innovative ideas could potentially have negative outcomes as well. Thus, it is important to determine the value of the innovative idea (along with resources and capabilities needed) before it is implemented.
Another major challenge in organizations would be the lack of an innovation strategy. Simply the conception of an innovative idea would not be sufficient. The organizations in Australia would need to implement a robust innovative strategy that monitors the process from start to finish. Also, the lack of coordination and collaboration and demotivated employees could get in the way of corporate innovation. Moreover, it has been found that a diverse workforce would result in more creative ideas (Ali Taha, Sirkova & Ferencova, 2016). Yet, most businesses in Australia lack diversity and inclusive policies in the workforce.
Conclusion:
To conclude, it can be said that innovation and creativity are two of the most important facets of human existence and business. It is important for individuals to go beyond the existing and the conventional and instead strive to devise new and unique concepts and ideas. Every individual is creative by nature; yet, the conventional academic curriculums fail to nourish the creative capability of every person. In Australia, a large number of businesses are based on a foundation of creativity and innovation because it promotes economic growth and the social well being of the surrounding communities.
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