What is process innovation and how to apply it in your company

With the increasing competitiveness of the market, driven by the transformations brought about by the digital age, we can increasingly hear about certain concepts and methods at the level of business management and innovation of processes in companies.

It is an extremely important set of practices to improve a company's productivity, the quality of its products and services and, consequently, leverage its profitability and positioning against the competition.

Especially in these current times, when a global pandemic affects small, medium and large businesses in such an aggressive and forceful way, the need to search for new solutions is increasingly intense.

That's why we, at ZapSign, have prepared this article in order to help you innovate in your corporate routine processes, always putting your company one step ahead of the competition.

What is process innovation?

Since every company, from a small trade local to a multinational giant, can be defined as a set of processes, it is safe to say that the concept of process describes any and all practices involved in the routine of a particular business. 

Going through finances, inputs, human resources, marketing, services rendered and other sectors of an organization, all established activities constitute processes.

From this, Process innovation is defined as a set of actions based on changes that occur in the stages of a company's products or services. Within business practices, it brings benefits such as increased productivity and cost reduction, in addition to being divided into three types: product, process or business model.

It is worth noting that, even if, eventually, a given improvement proposal did not, in fact, come from the company in question, it can still be considered RESERCH within the company's internal context – as long as its practice has not previously been adopted.

Therefore, it is fair to say that process innovation, above all, observes the specific needs of the business and implements the necessary changes to transform the company organizational environment. 

This is not an easy job, since these transformations often take place at a structural level, demanding great effort and commitment from all the professionals involved, and especially good practices in people management.

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How important is process innovation?

In the eternal search for satisfactory results and continuous improvements, solid management does not hesitate before the need to intervene in a company's processes, even if these interventions imply radical transformations in the company. 

After all, the world is changing more and more rapidly and intensely, and there is no point in insisting on old practices when they are already obsolete.

In recent years, what has been increasingly observed is that companies that apply process innovation in their administrative routines have significantly distinguished themselves from the others. 

The flagrant growth in flexibility in production processes brings with it a strong increase in productivity and a significant reduction in operating costs, in addition to faster delivery of deadlines and strengthening of the relationship between client and company.

💡 Tip! Do you want to optimize your processes with digital signature? Click here and create yours now!

How to apply process innovation in your company?

As we have already seen, the innovation constitutes a determining factor in maintaining and sustaining business. The high standards of Quality imposed by market dynamics require that product and service design mechanisms continually evolve. 

For this to be possible, it is essential that companies apply policies and strategic measures that aim at the constant improvement of their activities, encouraging the productivity of their teams and making the procedures less expensive and more objective, fast and efficient. But how to do this in practice?

Now, we know that each organization has its own characteristics, so there is no cake recipe to apply continuous improvement in the processes of all companies in the world. However, there are some tools and common practices that can be of great use to your business, regardless of its size or field of activity:

Planning

First of all, it is necessary to emphasize that a company must know its own processes better than anyone else. It is from this understanding that it will be observed which processes call for which changes, and also how these transformations will be implemented so that their results are maximized.

Leaving this starting point, it is time to elaborate a detailed planning. At this stage, it is necessary to take into account all aspects of the company's routine on which the proposed change will impact.

For this reason, it is important to emphasize that major transformations must be applied gradually, and with maximum transparency. All the professionals involved need to be very well aware of the changes that are taking place, and also of the ways in which they will affect everyone in the company. 

Otherwise, it becomes somewhat difficult to engage full team collaboration. In the same way, it is necessary to observe, with great detail, the practical results of the measures adopted – both in front of the team, as well as the company as a time, and the public. 

Therefore, when applying innovation in your business processes, respect the timing of things and avoid doing everything in a hurry.

Internal communication

Never fail to consider what your team members have to say. They are the ones on the front lines of work, and their opinions and ideas can be gold for your business. 

Regular meetings, where everyone has the space to express themselves, in addition to a direct dialogue with each professional, are the first steps to involve your team and start a culture of innovation within your company.

Partnerships

Who hasn't heard the saying "if you can't beat them, join them"? Through joint strategic actions with other companies, the negative effects of competition can be avoided and both sides can benefit. 

This type of initiative can work very well in the sense of optimizing processes and adding value to the company.

Constant update

A manager who does not keep himself constantly informed about the best management techniques and tools, as well as the latest practices adopted by competing companies, will hardly be able to innovate in his own organization. 

For those who do not want to be stagnant or completely swallowed up by the competition, knowing what is happening around them is as important as understanding their internal situation.

Communication with the customer

Keep in mind that a good business offers the best solutions, and for that, it is necessary to know the demands that ask for these solutions. An understanding of the customer universe is essential for good process innovation practice. 

A tool widely used for this purpose is the so-called Design Thinking. It is an approach that aims to establish a connection with the desires and needs of the client, offering innovative solutions based on the understanding of the reality of its target audience. This methodology is used by giants like Netflix.

Flowcharts

Improving a company's processes is also a process in itself. Therefore, it is a part of its organizational development, in which several actions are established. 

In order to manage these actions as clearly as possible, it is strongly advisable to set up a flowchart of continuous process improvement, detailing all the information relevant to the application of innovation measures: sectors involved; delegated tasks; phases of each improvement process, including design, evaluation, possible changes, execution and monitoring; and whatever else is relevant.

Technology

In the 20s, it was simply inconceivable that a business could fully operate without good technological support. The value of the proper use of these tools is invaluable, both in the manufacturing process of a product and in the provision of the service.

To apply process innovation in the technological aspect of the company is to implement new, or substantially improved, methods of producing or distributing products, with a level of excellence that conventional methods are no longer capable of delivering. 

Significant changes in equipment and software used, as well as related procedures and techniques, tend to exponentially increase productivity and quality levels, in addition to reducing production and delivery costs.

Bearing in mind that, in the digital age, technological innovations are so constant and extend to so many levels, that continuous attention needs to be paid to this aspect. With the arrival of new needs and technologies in society, man's relationship with technology has been greatly narrowed in recent years. 

It is no longer simply about obtaining the best machinery, but also about adopting the best practices that technology offers us: process innovation must seek to include as many people as possible and take full advantage of possibilities.

Now that you understand the concept of process innovation, you must have realized that the first step to apply it is to know well the process management practices in companies. That is why, We invite you to check out a special content that we have prepared in this regard, which you can check out by clicking here!