Most successful innovations, according to Drucker, come from a conscious, purposeful search for innovation opportunities. He saw four areas of opportunity inside organizations: unexpected occurrences, incongruities, process needs, and industry and market changes. Opportunities also exist outside organizations in its social and intellectual environments: demographic changes, changes in perception, and new knowledge. Together these seven account for almost all opportunities for innovation.

Effective innovation is simple and focused. If it tries to do too many things, people will get confused and implementation will be compromised. He also states that innovation is hard, focused, purposeful work. It requires knowledge and focus, and often, requires ingenuity. The foundation of entrepreneurship is the practice of systematic innovation.

Peter Drucker was a university professor, writer, and business guru (Wikipedia). This article was adapted from Drucker’s book Innovation and Entrepreneurship: Practice and Principles, Harper and Row, 1985.

Citation

Drucker, P. (2002). The discipline of innovation. Harvard Business Review: 95-102