Successful innovations require creative input

There have been many innovative companies over the past century.

Henry Ford was credited with being innovative when he devised a process for mass producing automobiles through the use of the production line.

Ford's innovative manufacturing process greatly reduced both the time and cost to make cars. It made ownership of an automobile affordable to the masses, forever changing our lives.

Wisconsin has had its share of innovative companies, including Johnson Controls, S C Johnson, J I Case and Kohler Company. These large companies are easy to identify, but there have also been many smaller businesses in the state that have been exceedingly innovative.

Small business owners can gain insight into how to harness creativity to grow their companies by following the examples set by these innovators.

Matthews Incorporated in Sparta engineered patented designs for archery equipment, especially bows. A unique adaptation of pulleys has made their bows lighter in weight, more accurate and easier to draw than the competition's bows. The innovative design resulted in Matthews becoming the recognized leader in hunting and targeting bows.

Next door to the archery business is McPherson Guitars. McPherson produces what are arguably the best acoustic guitars in the world.

The McPherson design features "Offset Soundhole Technology" that places the sound port near the top edge of the guitar face, several inches above the traditional location.

The McPherson sound hole is almost crescent shaped rather than round and is designed to produce the purest tones ever created by a guitar.

A McPherson guitar typically sells for more than $4,000 and the company has a waiting list of interested buyers.

Another unique manufacturer in Wisconsin is Kolar Arms located in Racine. This company, started by Don Mainland, produces outstanding trap and skeet shotguns. Their shotguns are priced well above the competition with some models selling for more than $25,000. The custom stocks of exotic woods, with specially designed checkering, complement the firearm with its often hand-engraved designs including gold and silver inlays.

Matthews, McPherson and Kolar Arms are certainly unique businesses, but what makes them innovative?

Each has established themselves as a leader in their respective markets by listening to customers - both internal and external customers.

Matthews and McPherson (both owned by Matthew McPherson) encourage input from employees. Over time, this has resulted in a continuous improvement process that incorporates innovation.

McPherson also contributes to the new design process. Both companies solicit feedback from their external customers, both the end-product users and their distribution channel.

Kolar Arms invites suggestions and ideas from employees, independent contractors and customers to generate upgrades, inventive designs, and unique adaptations.

Innovative ideas can be spawned anywhere. Input from the customer may not clearly focus on an innovative change, but it may well lead to a design discussion that can result in a breakthrough that leaves the competition in the dust.

Having a firm understanding of the competition, features and benefits of their offerings, and selecting a path that differentiates your business from their businesses, are the first steps in the innovation process.

The next step requires the gathering of information from customers (internal and external) to identify the strengths of your business. Armed with that information you can generate answers to these questions:

•  Where do we think we are?
• Where do the customers see us?
• Where do we need to get to in order to be clearly ahead of the competition?

Innovative companies take a structured approach to advancements; they do not just stumble onto a new design. There is a great deal of behind-the-scenes work that goes into making changes to a product or service.

If you take your business seriously, and you should, you probably have a business plan, strategic plan, and a board of advisers/directors in place.

I would suggest you also develop a planned approach to innovation to ensure sustainability for your enterprise and to place some distance between your company and the competition.

Bud Gayhart is interim director of the Center for Innovation and Business Development at UW-Whitewater.