Scott Unsworth says innovation is crucial at a design-led company like Orca.
Scott Unsworth says innovation is crucial at a design-led company like Orca.
I was really interested to see the coverage of the New Zealand Institute's discussion paper on innovation released recently.
The Institute noted that New Zealand underperforms when it comes to innovation, but says that the solution is not just to spend more on research and development.
They pointed outthat New Zealand spends little more than half the OECD average on R&D. One of their key suggestions, which I agree with, is that we need to improve New Zealand companies' ability to commercialise R&D and turn it into new business.
Orca is used to working with suppliers around the world that develop innovative new fabrics and construction techniques for sportswear. To be in the position to launch products that use truly world first innovation is a real challenge, but it's the kind of space we need to be in.
For us it is a constant cycle of research - our teams in New Zealand, Hong Kong and the UK, regardless of their job description, are always looking for the next great idea. In house we then analyse and test ideas to determine what we proceed with.
For a small business it's often not realistic to have a dedicated R&D team - in our case it is the product designers, sales and marketing teams who undertake this role.
Orca is often referred to as a design-led company - I personally think that is because we're able to combine innovation in the use of fabrics and construction with distinctive design and branding. But crucially we can get our products to market - and in fast enough time to be competitive.
We've got a few interesting things in the pipeline at the moment - and we've been working with government funded organisations, who specifically seek out businesses with a clear path to commercialise R&D.
It's great that these channels exist, and they can definitely benefit New Zealand businesses - but the thing to monitor most closely is the cost to the business in terms of investment and resource, and the expected revenue.
You can spend years developing something you think it truly fantastic, but until that product is helping your bottom line it's pretty tough to run your business.
I have since learnt to experiment with a number of product ideas without spending too much on one idea unless I know its a winner.
