Victor Mitchell, CEO & Founder of Lead Funding on Mastering Low-Risk Innovation

Every company knows that innovation is essential in this era. However, it’s not easy to become an innovative organization: coming up with good business ideas is difficult, and transforming those ideas into business initiatives is time-consuming and expensive. So how can a company that doesn’t have an innovative tradition and significant cash reserves do it?

A new model of innovation is emerging – low-risk innovation. As well as requiring little investment up-front, this approach is fast and agile. The model has been proposed by those who study the successful entrepreneurs of this era.

These scholars have noticed that many such entrepreneurs don’t follow the rules governing innovation taught in business schools: they begin to act before doing thorough planning, and then they proceed tentatively until the idea is proven to be viable.

Here are five tips detailed by award-winning entrepreneur, Victor Mitchell, on mastering low-risk innovation.

  1. 1. Begin with a business idea but without a full plan. The model deviates from the classic business-school approach by prioritizing action over planning. After an idea is developed – using whatever idea-generation process the company favors – a trial implementation begins on a small scale. This is similar to, but not identical to, a pilot project.
  1. Use available resources. The small-scale implementation makes use of available resources, where possible. Staff and production capacity are diverted from normal use to assist with this project. Project costs are kept to a minimum. The project team should be composed of personnel who are enthusiastic about the idea.
  1. Take tentative steps, re-evaluating after each step. The key to the low-risk innovation model is periodic assessments. The business idea is implemented in clearly defined stages, and a viability assessment follows each stage. If an assessment determines that the concept is not worth developing further, the process is aborted at that stage. If the idea is found to be viable after one step, the process moves to the next stage, and so on.
  1. If the idea receives positive assessments after a series of preliminary implementation stages, it is deemed viable. There is no clear guideline regarding how many stages are necessary. The assumption is that the data gathered should be sufficient to persuade senior management that the innovation is promising.
  1. Develop a business plan and allocate adequate resources. Now a full business plan should be created, using the data collected. Also, resources sufficient for the full implementation of the innovation should be allocated.

This low-risk innovation model may not be appropriate for every company. A company that has a tradition of managing successful innovation need not switch models. However, those businesses that have struggled with developing a culture of innovation may find that this model removes some impediments.

About Victor Mitchell:

Victor Mitchell is the founder and CEO of Lead Funding, a specialty lending organization that provides innovative private financing solutions for homebuilders and developers, reducing their red tape and speeding up loan decisions.

Victor Mitchell around the web:

https://ideamensch.com/victor-mitchell/

https://twitter.com/search?q=%40_VictorMitchell+

https://www.linkedin.com/in/victor-mitchell-17b20910a/

https://www.crunchbase.com/person/victor-mitchell

https://gazette.com/news/after-trump-republican-victor-mitchell-calls-out-walker-stapleton-too/article_6cd15318-a71f-11e8-badc-ebb7bfbf712f.html

https://votesmart.org/candidate/biography/66275/victor-mitchell#.XE498M9KjfY

https://ballotpedia.org/Victor_Mitchell

https://www.coloradoindependent.com/2018/01/02/victor-mitchell-governor-colorado/

http://www.castlepinesconnection.com/news-2017/meet-victor-mitchell-entrepreneur-family-man-and-political-candidate

Hot this week

Did David Wineland and Serge Haroche Steal Idea For The Nobel Physics Prize?

Dr. Omerbashich says the Royal Swedish Academy is a Crime Scene and he has the proof that Nobel laureates stole his discovery.

New Approaches to Disaster Relief Challenges

Disaster relief has always been a challenge. NASA, Google,...

3 Legitimate Money Making Methods to Supplement Your Income

In a perfect world, when your landlord raises your...

2016 Predictions by World Renowned Medium and Psychic Lindy Baker

World renowned medium and psychic Lindy Baker is interviewed by The Hollywood Sentinel, discussing psychic power, the spirit world, life after death, areas of concern in 2016, and much more.

Digital Coupon Customers Spending More Than Double At Stores

A new study shows that customers who use digital coupons go shopping more for groceries and other household goods more often and spend more on their shopping trips.

After The Death of Tzeela Gez, Seeking Painful Reprisal, Not Tweezed Action

Tzeela Gez was critically wounded in the terror attack. She was rushed to Beilinson Hospital while undergoing resuscitation in the ambulance.

Jane Austen Wrecked my Life – Blaming the Wrong Scapegoat

The film’s title is original and promises humor but,...

Is Generative Engine Optimization (GEO) Really the Future

Is Generative Engine Optimization (GEO) Really the Future? Everything...

Kanat Kopbayev and the Next Generation of Leadership in Central Asia: A Kusto Group Perspective

Kanat Kopbayev, through his strategic role at Kusto Group, has been instrumental in nurturing young leaders to meet the demands of today’s business world.

Designing the Perfect Control Room: Essential Features and Modern Trends

Key Takeaways Discover the fundamental aspects of creating an...

The Five Leading Tech Marketers in Israel

Israel’s high-tech sector has earned its place as a...

Lies And Deception Is Hamas Victory

Hamas is the manipulation master of Westerners' minds. They learned well how the West thinks [or does not] and they manipulate the West to concede to them. A Hamas victory is not what Westerners would expect.

Peer Review Under Pressure: Scientists, Journals and the Struggle for Trustworthy Research

Peer review under fire: critics say it’s flawed, slow and biased. Replication may offer a better test — but it’s still rare.

Related Articles

Popular Categories