The current economy goes beyond the old and new economy and reaches back to the old, old economy.

In the new economy (1985-2000), ideas were the key to economic success, particularly if they involved computer technology. A single good idea with some realm of potential for profit held the means to financial success. In the old economy (1905-1985), career success rested largely on being part of a large organization.

In the old, old economy (prior to 1905), individual success rested on delivering value. Value is anything that increases the chances that another person will achieve what they want. Consequently, people had to deliver something that added value in order to earn money. Innovation thrived in this era.

The same is true today. You can no longer generate income on an idea and an IPO. You must find and profitably execute opportunities to increase the chances that other people will achieve what they want to achieve. Since innovation is the process of identifying, evaluating and implementing opportunities to add value to customers, it is the tool that creates a level playing field for all companies, regardless of their size.

Regarding innovation, keep two important principles in mind:

1. Innovation is a repeatable process.

   Innovation is not an idea that comes to you in the middle of the night. That is inspiration. Innovation is a process that can be repeated over and over.

2. Everyone in an organization can innovate.

   Because innovation is a process, it does not require a certain job title, level of experience or industry.

Here's a five-step process for identifying opportunities called "Redefine Your Organization":

1. Define your organization in multiple ways.
2. Identify other organizations with these definitions.
3. Pinpoint what these organizations do extremely well.
4. Decide how to apply these ideas in your organization.
5. Combine two or more ideas together.

For example, if you ran a grocery store, the steps might look like this:

Our grocery store is a place where people search for items, teenagers earn spending money and cleanliness is critical.

Other organizations with these definitions include Amazon.com, lawn cutting services and hospitals.

What these organizations do well includes allowing customers to search for items using their fingertips, meeting customer needs on a flexible schedule and providing rooms for friends of the customer.

An innovative grocery store could provide an electronic directory of items where customers input their needs and the directory states the aisle in which the items are located. They could also provide a home delivery service that allows clerks to deliver non-perishable items on a flexible schedule and a baby sitting service for children two to five years old in a separate room.

Regardless of the size of your business, success in the current economy rests on uncovering and implementing opportunities to add value.

Send questions to Dan Coughlin at The Coughlin Company, Inc., a firm specializing in enhancing the effectiveness of top performing executives, groups and organizations.

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