Many leaders champion the need for “flawless execution”; delivering with excellence, achieving plan, and relentlessly pursuing productivity. In the next breath, they call for more “innovation“; trying new things, adapting quickly, and being agile. Look around the room after such pronouncements, and you’ll often see confusion and fear. “How can we take chances and be agile,” team members wonder, “while also making no mistakes and perfectly achieving a pre-defined plan? Aren’t these opposing approaches?” Too often, the result is that nothing truly changes, and innovation stalls.

The Innovation Execution Gap

This isn’t an isolated issue. Global executive surveys (like those historically from McKinsey) consistently show that while a vast majority (e.g., 84%) believe innovation is critical, only a tiny fraction (e.g., 6%) are satisfied with their innovation performance. Clearly, there’s a gap between aspiration and reality.

I believe a core reason for this gap lies in how we define and approach innovation. A useful equation is:

Innovation = Creativity + Execution of the RIGHT Ideas + Delivery of BUSINESS Value

Many organizations focus heavily on fostering “Creativity” (ideation sessions, innovation hubs, tech “proof of concepts”). But they falter on the crucial second and third components.

1. Execution of the RIGHT Ideas (Beyond Flawless Incrementalism):
   • The demand for “flawless execution” on existing plans and productivity drivers often leaves little room for experimenting with truly new or disruptive ideas. It’s far easier to deliver “flawlessly” on incremental improvements. Identifying the “right” innovative ideas, however, requires rethinking problems, challenging assumptions, customer research, and experimentation; activities inherently at odds with a rigid “make the plan, no mistakes” approach.
2. Delivery of BUSINESS Value (Beyond “Technology as Value”):
   • A common pitfall, especially for technology-enabled businesses, is to equate “technology” itself with “value.” I’ve heard many leaders in industries like banking claim their organization is now a “technology company,” even when their core revenue and customer value still stem from traditional business lines. Technology is a critical enabler of business value, but it is not, in most cases, the value itself. True business value is defined by your overall business model; how you serve customers, engage suppliers, and differentiate in your market (your “WHY”). Chasing technology for disruption’s sake, without grounding it in core business value drivers, leads to shiny objects but little sustainable impact.

Achieving Flawless Execution IN Innovation for Your SMB

So, how can your Small or Medium-Sized Business (SMB) deliver more effectively on its innovation agenda? It requires a deliberate, structured approach, not unlike how you manage core operations, but tailored to the unique nature of innovation. As a fractional CIO, I help SMBs build this capability, focusing on three key enablers:

1. Cultivate an Innovation Culture & Engaged Leadership:
   • Executives must do more than just talk about innovation; they must actively practice and participate in it. This means training, workshops, and leaders joining innovation teams not as top-down directors, but as peer learners and contributors. When teams see leadership embracing experimentation alongside them (like at renowned firms such as IDEO), it transforms the culture.
2. Optimize & Commit Resources to the “Front End” of Innovation:
   • Innovation failure is often an execution problem rooted in insufficient front-end work. If you don’t dedicate proper resources to idea refinement, business case development, customer research (e.g., using Empathy Mapping), and controlled experiments, you can’t make sound investment decisions in new ideas. A strong innovation pipeline requires diligent upfront effort to define the problem an idea solves, its potential opportunity, and what’s needed to deliver it.
3. Implement a Robust Innovation Framework:
   • Contrary to the belief that innovation must be a “loose” or unstructured process to foster creativity, the most successful innovation programs operate within strong frameworks. This includes defined processes for idea intake, validation, experimentation, definition, and eventual commercialization. Such a framework also provides clear “gates” to stop unpromising or mistimed ideas, conserving valuable resources. This is similar to how agile methodologies in technology delivery provide structure for rapid, iterative development.

These pillars require strong leadership sponsorship, effective cross-functional collaboration (especially between business, technology, and operations teams), disciplined project planning, and progressive risk management through transparent communication and appropriate controls.

What’s Next

Innovation shouldn’t be a footnote in a report or an add-on to a speech. It demands genuine commitment, a different way of thinking about “flawless execution” (i.e., flawlessly executing the innovation process, which includes learning from small failures), and a real dedication to action. Without these, innovation will remain an underperforming aspiration. For your SMB to not just survive but thrive and “Succeed Sooner,” making innovation a core, well-executed competency is essential.

Is your SMB struggling to move its innovation agenda from buzzwords to real business results? Are you looking for a strategic partner to help you build the culture, processes, and technology alignment needed for effective innovation? Let’s connect with Succeed Sooner Consulting.