Innovation vs. Innovative vs. Creativity: The differences

People often use the terms innovation, creativity, and invention interchangeably, but each one has a unique meaning that's important to understand in a business context. Innovation involves taking new concepts and making them widely used products, processes, or business models that add value for customers and employees. Creativity is the ability to imagine new ideas and innovate creative solutions to problems. Invention refers to creating a brand new product or process that didn't exist before. While creativity is essential for innovation to take place, innovation requires a structured process to develop and bring ideas to the public eye. To encourage innovation within an organization, managers can hold brainstorming sessions or competitions that gather ideas from outside and inside the company.