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How to Supercharge Innovation into a Company’s DNA

Companies can do this by creating a culture built on innovation. One where all employees are encouraged to think outside the box, to challenge the status quo and to answer the questions that have not yet been asked. So, how does one not only encourage innovation, but engrain it so deep into a company’s DNA, that it runs through every employee’s blood?

You can think about innovation in a company like we think about evolution. In an organism’s genetic makeup, mutations can occur that deliver radical changes in its biology. All mutations are random and most are deleterious. Occasionally, these changes deliver a disruptive benefit being favoured in the right environmental conditions. We call this disruption survival of the fittest.

In similar way, change is beneficial – especially for a company. Departing from the norm is a powerful way to move forward in an evolutionary sense and it’s much the same in business. These ‘mutations’ can provide companies with opportunities that would otherwise go unnoticed. These are the times to capitalise on unseen resources, to occupy niche markets and to thrive with no competition. This is when a new species is born, and when a company is innovative.

The preference is for a species, not the individual. So, it’s something that must be bred within the organisation as a whole, not just those at a managerial level and higher. The core of evolution is in biological disruption, so why can’t that be the case with in business too?

So, to make innovation the gene in your organisation:

ASK QUESTIONS

Ask the questions that might seem silly and even stupid. Challenge the status quo for the hell of it and see what happens. Always encourage everyone to begin with ‘What if?’

CHALLENGE YOURSELF AND YOUR PEOPLE

It’s important to consistently be challenged. Disrupt and make the workplace dynamic. Don’t settle for answers like ‘that’s how we’ve always done it,’ but make change the norm and embrace debates.

TURN FAILURES INTO OPPORTUNITY

In fact, failure almost always is opportunity that is brilliantly disguised. Failure isn’t a state, but a part of a the process. Learn from your failures; learn hard and fast.

TRUST YOUR EMPLOYEES

Trust is the glue in an innovative culture. Your people need to feel safe to think outside the box, and trust the structure, the leaders and their colleagues.

COLLABORATE AND COMMUNICATE

Don’t try and go at it alone. A new species isn’t created from one person alone. Share ideas and encourage others to contribute and collaborate on the idea. The more the better. These are the tools that will get you there.

NETWORK

The power of networking will lead you to unexpected connections that can spur on ideas. Thought leaders and industry professionals can prompt you to do in a direction that you’ve not yet thought about. In today’s interconnected world, social media, blog posts and research are all available to continue spreading our knowledge. Connecting and reaching out has never been so easy.

CORE VALUES

Make innovation built into your values. If it’s not a company goal, turn it into your team goal. Make innovation a ‘business as usual’ value. Recruit for it and reward for it. As Jack Mas said, “Don’t hire the most qualified, hire the craziest.”

LIVE, BREATHE AND BELIEVE IN IT

A top down approach means that when you live, breathe and believe in innovation, chances are it will become infectious. Inject it into your all and your people will soon believe in it too.

The employment landscape as we know it now, is not only exciting but it’s brutal. We’re in an age where it’s innovate or die. It’s time to start innovating.

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Technology and your accountant could be the difference between success and failure

Surveying 2,000 small business owners across the US and the UK, we found that those owners who collaborate with an accountant or bookkeeper, 42% of survivors describe that relationship as “excellent,” compared to 27% of those whose company failed.

This statistic shows just how important accountants are to the ongoing success of the small businesses they serve.

Those who succeed also invest in technology for increased productivity in finance. It was also found that they dedicate funds to marketing and customer service. Nearly six in 10 survivors (58%) use software to manage their finances vs. a marginal 14% of failures. Plus just shy of a third (31%) allocate resources to improving customer service, versus 20% of those in the failed camp.

Of those owners who listed a business issue as a reason for failure, a whopping 65% blamed financial problems like cashflow or access to capital. It highlights just how important the relationship between a small business and their accountant is. Their livelihood actually depends on it.

The Xero effect

Lifting survival rates and helping small businesses thrive is our business. The Make or Break Report found US and UK businesses that use Xero are markedly more likely to succeed. In the US, 95% of Xero customers survive their first year vs. 79% for the average. In the UK 97% of Xero customers make it that far compared to an average rate of 91%.

The pattern becomes even more distinct over longer timeframes. At the five-year point, 85% of Xero customers in the US are still up and running, while the industry average is 50%. In the UK the difference is greater still, with 88% of Xero customers operating after five years, compared to an industry average of just 41%.

With technology automating many of the admin tasks which previously sucked up accountant’s time, they’re able to act more like an advisor to their customers.

The flexibility provided by cloud-based software coupled with mobile is transforming how accountants help their customers. It’s also eliminating a lot of the guess work, especially when it comes to forecasting.

Sometimes small business owners just need a little help from their number-orientated friends.

Working with a mentor

Running a small business can be a lonely job. Having access to a friendly ear to brainstorm strategy or get advice can go a long way towards ensuring the future stability and viability of your company.

Our research also revealed that a third of successful entrepreneurs have reached out to a mentor or advisor compared to just 14% of respondents who ran businesses that had to shutter.

Read the full Make or Break? report here.

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