In a world where things are constantly changing and advancing, it’s innovation – the “thinking outside the box” creativity – that gives companies that competitive advantage over its competitors. A firm which takes the time to ‘think’ and to generate ideas which will improve its products, processes, marketing or organisation, will stand out and thrive.
Ideas, however, need an innovation-friendly environment in which to grow. Among the factors which influence such an environment is public policy. It goes without saying that the government needs to encourage the development of innovative ideas and products which have a degree of potential that is both unique and sustainable.
Innovation needs to be promoted and fostered particularly among our SMEs, which are the backbone of our economy. Additional measures to improve access to finance, more innovation-friendly rules and regulations, and additional incentives for research and development can give that added impetus to our entrepreneurs to turn their ideas into reality. Clustering could prove to be the business model which provides the opportunity for local companies to have the necessary economies of scale for them to pool knowledge and develop joint research and innovation potential. This could be done with the guidance and support of the government, while the concept could also be extended to collaboration with local academics.
Although Malta has boosted its spending in research and innovation in recent years, according to a EU report published last year we lag far behind the other member states. Admittedly, Malta’s small size is a factor that has to be taken into account. However, the government needs to consider the strengthening of Malta’s science and technology as a fundamental priority if we are to develop a culture of local technological innovation. In particular – and this is widely acknowledged as a key challenge by all those involved – the country needs to train a sufficient number of researchers and highly skilled people and retain them locally.
Our educational institutions – especially university and MCAST – have a great opportunity to involve young people in projects which will foster their creative thinking. Creativity is an important attribute for anyone, and nurturing young people to think outside the box through creative thought will help them develop their own ways of dealing with different problems. Having the ability to work around an issue and tackle it in an alternative way to conventional means will give employees a leg up in their future educational and working careers. As such, teaching employees to think outside their conventional boundaries is important for any employer.
At Playmobil Malta, which I led for more than 30 years, our employees were at the centre of our total quality management system. They were our ‘internal customers’, and treated as a major asset in meeting our mission. Doing things differently and thinking outside the box was encouraged at all levels, and innovation was rife in all aspects of our operations. However, the achievements I hold most dear are those concerning the development of a thriving corporate culture based on shared values, while balancing organisational goals with individual growth.
Our ground-breaking measures to engender a better work-life balance for our employees were the subject of international case studies. Meanwhile, our ‘upscales system’, a formal and innovative way of relating the progression in salary scales to the personal development of all employees, was a revolutionary one for Malta. Through this system, Playmobil employees were encouraged to improve their individual personal development by means of lifelong education. These initiatives worked because our managers – many of whom were relatively young – were encouraged to think out the box and because they were involved in the innovation process from the initial planning stages. They were given control of the processes and the projects, in an environment that was inspirational for creative thinking. They were given the information and resources they required, and finally, they were given regular feedback and encouragement.
Innovation can generate new jobs and companies; it can reinvigorate existing industries and lead to economic growth. And it is creative individuals and enterprises that are the heart and soul of this process. If we want innovation, we need to invest in people; those who through their talent, skill, entrepreneurship and the development of intellectual property can bring the best out of our country. After all, in the words of John Kao: “Innovation is the ability of individuals, companies and entire nations to continuously create their desired future” (Innovation Nation, 2007).
Ms Ellul is a Nationalist Party candidate for the forthcoming European parliamentary elections