Good to Great: How to Scale With an Outsourced CFO

"Innovation" is a sexy word that gets tossed around in just about every industry these days. But what is innovation? And how can it help your business?

Innovation usually refers to making changes to processes, products, and ideas in order to work toward solutions and goals. In business, this could mean implementing new ideas, changing the way you communicate with coworkers and clients, and creating more efficient processes. 

As 2016 begins, consider how your business can benefit from innovation. It pays to keep moving forward through innovation. How could your company benefit from innovation?

1. Market Response

Markets constantly fluctuate and change whether you're in real estate, manufacturing, consulting, or any other industry. If your business is resistant to change, your customers, suppliers, and employees may want to move ahead without you. Be open to new ideas, and spend some time researching your market. Are you keeping up with trends? Do you need to change any of your operations to remain competitive?

2. Leadership

When your company leadership embraces innovation, forward-thinking attitudes trickle down to all employees. If your company has been in a rut, consider how innovation can play a role in leadership. Wouldt it be helpful to bring in some newer, younger leaders who could offer a fresh perspective? Does your company need the expertise and wisdom of a seasoned professional? If your leadership just needs a little shaking up, perhaps you could provide some inspirational leadership training to your leaders and managers to motivate and inspire them.

3. Connections with Customers

Mobile technology has changed the way businesses communicate with their potential and current customers, but keeping up with this technology requires near-constant innovation. Is your business fully utilising current technology for reaching potential customers? How is your company's social media presence? Do your employees have effective and efficient methods for providing excellent customer service?

 

 

4. Human Resources

In the past, employers have depended on annual reviews to motivate employees and help them along in their careers. Today, though, many innovative companies are providing more frequent, less-formal feedback in the form of coaching. Coaching not only helps employees to know what they can do better, but it also helps their personal professional development to thrive. Coaching and other human resource innovations can help you to realise your workforce's potential.

5. Technology

The systems businesses use to conduct their day-to-day operations has a huge impact on their overall success. If computer software is slow or cumbersome, the rhythm of the workday will slow to a grinding halt. If employees have trouble tapping into their work remotely, they may miss deadlines or not be able to solve problems quickly. Innovation in technology can be a two-edged sword. If you change your computer system too often, employees get frustrated; they find that they have to spend a lot of time learning the new system instead of accomplishing their work. The key here is to balance innovation with productivity. The right systems can enhance productivity, so choose wisely and provide training and updates as necessary.

6. Financial Systems

Innovation can be incorporated into every facet of your business, but nowhere is innovation happening faster than in finance. With data-driven financial models and the explosion of analytics, finance professionals are finding themselves in a rapidly changing world. CFOs, finance managers, and advisers are discovering innovative ways to use the vast amounts of financial information their companies are collecting to make important and rapid decisions regarding sales-force allocation, product pricing, inventory, profitability, and more.

Make a review of your company's health at the beginning of this year, and consider how you can use innovation to keep moving forward. An emphasis on innovation - in every part of your business - will keep you competitive and thriving.