There is a wide misconception about what business innovation is. This whole idea makes many people think only about creating new products or improving existing ones. Yet, it's a more complex issue. Innovation also refers to improving the customer experience and addressing their needs. In other words, true service innovation lies in shifting the focus away from the service solution and back to the customer.

The authors of a business journal from Indiana University stress an essential point. Rather than asking, "How are we doing?" the question managers should be asking is, "How is the customer doing?"

Unfortunately, not many businesses tend to look at things this way. As a matter of fact, almost 50% of the failed initiatives still struggle to learn from previous mistakes. And in many of these cases, the answer for their lack of success is a simple one. Instead of searching for new opportunities, these organizations that fail, just make minor changes to their current offerings. Of course, modifying small parts of existing services is important. Still, concentrating solely on that limits the ability to develop new ideas. And it also hinders the organization's overall innovation capabilities.

So, to innovate, company leaders must broaden their perspectives. Furthermore, they have to look beyond their current services and abilities. Because that's the correct approach to meeting the end user’s core needs. Yet this can only be achieved by understanding the jobs and objectives these customers are striving to accomplish. And doing just that is the key that can set one business apart from its competitors. 

But how can organizations translate this into actual actions?

When it comes to product discovery, each business can approach things differently. Even so, four pillars guide job-centric service innovation:

1. Understand the customer's job-to-be-done

This first step is a critical one. It is about understanding the client’s needs and the job they are trying to accomplish. This involves researching their problems, the context in which they are trying to solve them, and the outcome they want to achieve.

2. Identify opportunities to improve the customer's experience

Once you understand the customer's job-to-be-done, the next step is to find ways to improve their experience. This can include identifying pain points in the current service, as well as opportunities to create new value.

3. Co-create new solutions with customers

There is only one way organizations can truly address the customer's needs. And that's co-creating new solutions with those exact customers. 

Additionally, involving the end-users in the co-creation process can foster a sense of ownership. Naturally, that increases the chances of a buy-in from those clients.

4. Continuously gather feedback and iterate on the solution

The final step is all about continuously gathering customer feedback and iterating on the solution. This part is important because it allows organizations to check if the service is still meeting the client's demands. More importantly, it allows organizations to improve their offerings when needed. 

So why is innovation important in the modern entrepreneurship environment? Because it drives economic growth and creates new opportunities. 

Now, we turn to you, the business owner. You most likely already understand the importance of providing exceptional customer service. Also, you know the importance of staying ahead of the competition. So, we can only highlight once more that innovation is key to achieving these goals. We can only point out once again that true service innovation lies in shifting the focus away from the service solution and back to the customer. We can only encourage you to create unique and valuable experiences. And we can only tell you that all this can be achievable. How? Simply by understanding the client’s needs and aligning solutions with their job-to-be-done. 

So, one last piece of advice? Start innovating! Start making customers active in the whole development process, gather feedback, and continuously iterate on solutions. Because that’s the way to make sure that your offer continues to meet their evolving needs and identify any areas that require improvement. Because only by encouraging and fostering innovation, can you ensure the long-term success of their products or services.