How are we doing in innovation?

'It's the ultimate question which, when left unanswered in firms, stymies a very important source of a nation's economic growth. Current indicators, such as % of sales from products (or services) developed in the last five years, market share growth, patents issued  - and such - are proxies. They aren't rigorous and don't provide a reliable rudder for steering firms towards greater profitability and growth'

Now Techmatt™ Business Innovation Analysis solves this longstanding impediment with a breakthrough metric (p/c), where p is the performance of the firm's products (or services) as perceived by the purchasers and c is their unit cost of delivery, a unique ratio that can be calculated  from financial and market data using an original methodology HERE that advances Economics when it connects algebraically between innovation spending and GDP - making it a direct and rigorous innovation measurement, not an indicator or proxy.

But no firm acts alone. It will incorporate innovation from its supply chain network into its own products (or services). Its contribution is therefore (p - p')/c, where p' is the performance of goods (or services) delivered by its suppliers. Plots of  (p - p')/c against innovation spending (the D of R&D) show a firm's innovative output for input, its productivity - in comparison with what the competition is achieving. This provides exactly the kind of pictorials that senior management can believe in, and respond to, for steering a firm toward greater growth and profitablity for the future.