Innovation encompasses all actions aimed at developing new or improved products, services, or processes that provide a competitive advantage to a business. Development may focus entirely on something new or improve an existing product or process. In this context, "process" may refer to a production process, a business model, or a service model. Innovation is therefore not limited to technological, complex inventions but includes all value-creating activities.
The path to innovation often starts with in-depth exploration of the area to be developed, which is why the entrepreneur – whether starting out or already established – is in a key role in the innovation process. The first step is to identify what needs to be developed. This could be a market-driven demand for a new kind of product or a work phase that causes significant waste. Listen carefully to feedback from stakeholders, analyze existing operating models, and adopt a healthy critical approach to current practices. If something is being done “because it’s always been done that way,” that could be exactly the place where development is needed.
Once the development target is identified, it’s time to implement changes to existing operations. These changes can range from a single component modification to adopting an entirely new operating model. In any case, bringing about change or creating a new product requires reviewing different scenarios and running tests. Change is always an iterative process in which different approaches are tested, a new version is built, and then tested again. Consider what you can do yourself and where external support may be needed.
For prototyping new or improved products, Fab Lab environments are available. A Fab Lab – or fabrication laboratory – is a workshop environment, large or small, equipped with a range of machines, devices, and tools for supporting prototype development. In a Fab Lab, you can 3D-print equipment components, build embedded systems for various purposes, and, most importantly, test the functionality of your design before scaling it up. Located on Centria University of Applied Sciences’ Ylivieska campus, Robo3D Lab is the most versatile robotics laboratory in Northern Finland and functions as a Fab Lab. Robo3D Lab serves companies, RDI operations, and students as a testing ground for assessing how industrial, collaborative, and mobile robotics, XR technologies, and 3D printing can be applied to various business needs. The lab is equipped with the latest robotics simulation software, allowing for thorough testing before making further investments.
The KASVA project has studied the role of Fab Lab environments and regional RDI organizations in supporting innovation activities among small businesses in Northern Ostrobothnia. The project develops tools and operational models to bring development environments, business developers, and entrepreneurs closer to one another – and closer to their own goals. In August 2024, Centria University of Applied Sciences hosted the Virtaveistämö event in collaboration with companies and business developers, where battery industry researchers and experts shared insights on sector-specific requirements and practices.
There are several answers to this question, which can be roughly grouped into three themes: competitiveness, growth, and societal benefit. Companies that invest in innovation are better equipped to meet changing market needs and adapt to shifts in their operating environment. A commonly used tool for analyzing and understanding the business environment is the PESTE analysis (also known as PESTEL), which helps businesses consider how political, economic, social, technological, and environmental factors impact their operations. SITRA provides a ready-made PESTE analysis template on its website.
Innovative thinking and problem-solving skills are competencies that can and should be continuously developed through collaboration and networking. The best solutions often emerge from peer collaboration and cooperation among different actors, where the entrepreneur’s perspective is central. At its best, innovation is the meeting point of critical thinking and visionary ideas, resulting in a new product or way of working. It requires the courage to try new things – and in an ever-changing environment, change is the only constant.
KASVA – Sustainable Growth for Micro and Small Enterprises through Regional RDI and Business Services Cooperation is a joint project involving low-threshold business service providers, entrepreneurs, researchers, and innovation actors across Northern Ostrobothnia. The project aims to support sustainable business growth, renewal, and development, strengthen adaptability to change, and enhance regional vitality and attractiveness. The project is co-funded by the EU, and the lead implementer is the University of Oulu. Other partners include Centria University of Applied Sciences, Haapavesi–Siikalatva Region, Koillis-Suomi Development Company Naturpolis, Municipality of Liminka, Nivala–Haapajärvi Region NIHAK, Northern Ostrobothnia Entrepreneurs, and Utajärven Yrityspuisto, each responsible for their own sub-project.
Author: Sami Sarlin, RDI Specialist, Centria University of Applied Sciences, Lead of the Product Innovation Work Package in the KASVA Project
Photo: Centria University of Applied Sciences
In Kerttu Saalasti Institute's blog we write about the topics of the Institute's research groups, micro entrepreneurship education and the Institute's general topics. The authors are researchers, experts and members of networks.
Our topics are: micro entrenepreneurship, future manufacturing technologies, regional excellence, micro entrepreneurship education