Why Does the Oslo Manual Insist on Implementation vs Invention?

The Oslo Manual insists on implementation rather than just invention for several key reasons:

What Makes Something an Innovation?

Before diving into the details, it’s important to understand that innovation is different from just having a good idea. Innovation requires taking that idea and making it work in the real world in a way that creates value.

Practical Utility

Innovation isn’t just theoretical – it needs to work in real life. Think of how electric cars moved from interesting concept drawings to actual vehicles you can buy and drive today. For a new product to be considered an innovation, people need to be able to use it. For a new business process, companies need to actually implement it in their daily operations.

Measurable Impact

When we talk about innovation, we want to see real results that we can measure. Just like how we can measure how much faster a new computer processor is compared to older ones, or how much money a more efficient manufacturing process saves. These concrete improvements help us understand the true value of an innovation.

Value Creation

The whole point of innovation is to make things better in some way. This could mean:

Making products that last longer
Creating services that are easier to use
Developing processes that cost less
Designing solutions that solve problems better
This value needs to be real and demonstrable, not just theoretical.

Innovation vs. Invention

Here’s an important distinction: an invention is a new idea or creation, but it only becomes an innovation when it’s actually being used and creating value. For example, the touchscreen was invented in the 1960s, but it became an innovation when it was successfully implemented in products like smartphones that people actually use.

Economic Impact

For businesses, innovation isn’t just about creating something new – it needs to make economic sense. This means:

Helping the company compete better
Creating new market opportunities
Improving efficiency
Increasing profits or reducing costs

Real-World Application

The focus on implementation reflects how innovation actually works in business. Companies don’t just want creative ideas – they need solutions that work in practice and create real value. This could be: