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CHALLENGE-LED INNOVATION
What is Challenge-Led Innovation?
Challenge led innovation is an approach which is used to deliver innovative solutions to specific societal and public sector challenges where a solution doesn’t already exist. It is a concept that brings a broad range of companies in programmes that result in research and development projects to produce innovative solutions to the most pressing societal and public sector challenges. The challenge led innovation approach starts with the challenge owner identifying a problem rather than the solution and then invites the business community to help solve the identified challenge through a competitive R&D process, often through different stages. The challenge led innovation approach allows businesses to come up with innovative and creative ideas not previously considered by public sector or larger organisations and offers a structured process which allows the phased development of innovative solutions. The process allows organisations to benefit from inviting businesses to come up with innovative solutions to the greatest societal challenges while businesses benefit from new opportunities working closely with the problem owner. There have been a range of approaches to challenge led innovation including challenge prizes, hacks, Small Business Research Initiatives, and wider challenge Funds.
How does it work?
Many of the approaches to challenge led innovation utilise Pre-Commercial Procurement to compare alternative potential solution approaches and filter out the best possible solutions that the market can deliver to address the need. Pre-Commercial Procurement is an approach to procurement of research and development prior to commercialisation of solutions. Pre-Commercial Procurement can include activities such as solution exploration and design, prototyping, up to the original development of a limited volume of first products or services in the form of a test series. Pre-commercial procurement is an approach to procuring research and development services which involves risk-benefit sharing and therefore does not constitute State aid. The approach is more focused on risk-benefit sharing according to market conditions, competitive development in phases and separation from research and development from commercial deployment.
Key benefits of the approach include:
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Opportunity to explore creative solutions to challenges
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Investment to find and develop innovative solutions
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Improved service delivery through tailored solutions
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New market creation and ability to ‘break through’ public procurement frameworks
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Potential for commercial solutions which can be scaled and sold elsewhere
How can we help?
Innovation Strategy are award-wining innovation specialists with specific expertise in challenge led innovation. We have extensive experience of developing new challenge led innovation programmes to address societal challenges whilst providing new opportunities for business. We have developed a wide range of innovative programmes with public sector and academia leading to economic growth and an improvement in society. We work with organisations to identify and develop new approaches to programmes which can support regional and national objectives. Some of our partners and clients have included, the UK Government, Welsh Government, and Innovate UK, as well as a number of academic institutions, local authorities, and NHS organisations. If you would like to learn how we can support your programme and hear about how we’ve developed and led other programmes, please get in touch with us at info@innovationstrategy.co.uk