The Basics Of Innovation Risks: Make Smarter Decisions

Innovation risks refer to the probability of a negative outcome that may affect the innovation process, resulting in wasted resources, effort, and time. The article explains operational, commercial, and financial risks, and the importance of uncovering and identifying them early on to prepare for them. The piece also details the causes of innovation risks, such as experimenting too late, not finding or addressing issues, and focusing too much on technology. While innovation comes with risks, the article notes that it is different from other types of risk, as it involves trial-and-error situations that lead to success. To manage innovation risks effectively, businesses must evaluate risk levels in the early stage of product development, address bigger risks first, and treat every risk as a chance to improve.