The Role of Innovation Strategy
Unlike R&D performance measurements, innovation controlling deals with an integrated management of cross-departmental innovation activities and thereby serves as management support and communication medium for R&D. As illustrated below, innovation controlling contains besides operational elements also a strategic dimension in the early phase of the innovation process, including strategic technological reconnaissance, market analysis and project decisions.
Innovation Process (Enkel/Perez-Freije 2007; own translation)
As a recently published benchmarking study of University St. Gallen shows, a new product strategy reflected in spending decisions is clearly linked to positive performance. The role of innovation in achieving the overall business goals especially can be strengthened by a clear definition of strategic innovation goals and a roadmap for new products.
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