Any company that offers a product or service to consumers should bear in mind that these elements will not last forever. The needs are changing, both in the citizens and in the industry itself, and that is why it is essential that companies are updated every so often. In this context is when we have to talk about technological innovation, a very settled concept today that encompasses many more things and aspects than we can imagine, not only those related to the improvement of technology itself.
What does technological innovation mean?
Technological innovation refers to the creation of a new product or service always aimed at consumers. In other words, what we want to say is that there is innovation when companies present new elements in the market or, failing that, improve existing ones. Although this innovation is usually directed to the commercialization of the product or service, it can also be related to the production processes within the company. In short, innovation has to do with the change within the industry.
But despite being called technological innovation, this not only caters to changes within technologies, here changes occur in many other sectors that are also important within the company. We refer to scientific, financial and commercial activities. The objective of this innovation is that new products and services can be offered in the market (whether local, national or international). It also affects the creation of new production processes, as well as new methods to organize the company and manage it. Although the word innovation focuses on novelty, it is also related to the improvement of what already exists, be it services, products or other systems.
The types of technological innovation
Technological innovation is a concept that encompasses a large number of elements and actions, but depending on the specific task that is carried out, we will name it one way or another. In this sense we can differentiate four types of technological innovation. First of all we will talk about the radical type. As its name indicates are the innovations that allow us to reach new markets, although they can also be industries or other sectors where we can develop some activity. The usual thing is that radical innovations are carried out in the public administration, the service sector or in culture.
On the other hand we find technological innovations of incremental type, which are more progressive, since this time instead of opening new fields what is done is to improve technological processes, but always based on the primitive characteristics of them. It is therefore an innovation to offer better technologies, but not to create new ones.
Finally we can find two other types of changes. On the one hand in the technological systems and on the other in the paradigms. Regarding the former, it must be said that they encompass both radical and incremental innovations, although they also include innovations in relation to the organization systems of the company. And as for the paradigms, it is necessary to mention that it is the change that takes place in the preconceived ideas with respect to the technological and production systems. That is, a change in the paradigm would be an industrial revolution, for example.
Characteristics of innovative companies
For a company to achieve success, it must carry out technological innovations from time to time that allow it to adapt to the new times and to the needs that arise in society. Therefore, any industry that wants to introduce innovation within it must respond to three essential characteristics. We refer to efficiency, competitiveness and quality.
By having these three aspects every company can create or improve the products or services it offers, as well as economically profitable the investment that has been carried out, increasing the sales of the same. In this regard, professionals who have studied specialized courses such as a master's degree in innovation have a special relevance, from where all the necessary knowledge is obtained. Of course, it is essential to detect possible improvements that can be carried out in the future in the face of consumer needs and the company's own production processes.
In short, an innovative company must be able to create or renew new products, services and even the production techniques it uses. In the same way, it also has to make changes in the company's organizational system and modify the requirements for hiring professionals, asking for different qualifications to adapt to the new times.