The suggestion in this KelloggInsight article is that when being told to innovate, rather than turning the culture of your organization into a start-up, use the venture capital model to look at the data for areas where you can take big risks and get big rewards.
Strategic planning requires you form a baseline of a risk-reward balance and use this to determine which of your portfolio of options are a suitable investment. To effectively implement this, you must engage the knowledge and expertise that exists at all levels within the organization, not only for a better understanding but also to gain commitment.
This highlights a few key points about decision-making
- A broad range of options gives a better range of outcomes.
- Evaluation criterion should be known and set out ahead of time.
- Engagement and commitment from the workforce should be secured before implementation