The Ultimate Guide to Idea Management

Definition: What is idea management?

The four idea sources

In the traditional approach, collecting ideas primarily relied on employees, who are closest to a company’s operations. However, a modern idea management program taps into more diverse sources of innovation. Today, companies collect ideas from various internal and external channels, each offering unique insights. The four sources, enabled by advanced idea management tools, are:

1. Internal Crowdsourcing and Employee Suggestions: Employees across departments can easily submit thoughts, fostering a collaborative environment. Idea management tools encourage engagement through gamification and feedback, ensuring employees’ voices contribute meaningfully to scalable innovation management.

2. Peer Sourcing (Customers, Partners, and Suppliers): Companies can gather ideas from external stakeholders like customers and partners. This cross-boundary collaboration opens up opportunities for co-creation and helps generate practical, innovative solutions.

3. External Crowdsourcing and Broadcasting: By broadcasting challenges to a global community, companies can access a wealth of submissions from individuals outside their immediate network. Crowdsourcing platforms ensure a secure and accessible environment to capture ideas.

4. AI-Generated Ideation: AI can generate ideas automatically based on data inputs. AI helps accelerate the idea process by providing suggestions, identifying trends, and selecting ideas for faster evaluation and implementation.

Benefits of a structured idea management process

Structured idea management supports organizational growth by efficiently processing a large volume of submissions while maintaining quality.

1. Structured idea management engages the entire organization and an external crowd in the innovation management process. Generating ideas in collaboration with employees, clients, and partners helps to identify and create new products, services, and business models, and harnessing the creative potential of a crowd can be crucial to innovation management success.

2. It encourages employees from all levels to share their insights, fostering a culture of innovation and continuous improvement. This collaborative environment not only boosts employee morale but also taps into a diverse pool of thoughts, leading to more innovative solutions.

3. Integrating customers directly into the process can result in improved product-market fit solutions. This is typically better and faster than conventional methods such as market research or trend scouting.

4. Effective idea management significantly improves decision-making. A clear framework for evaluating and prioritizing ideas ensures that resources are allocated to the most promising projects.

To ensure that your organization takes advantage of these benefits and lifts its innovation potential, the following challenges must be considered:

• Connecting high impact ideas, business opportunities, and the overall company strategy

• Selecting and implementing engagement and reward models

• Choosing and communicating clear evaluation methods and criteria

• Tracking KPIs to control the progress

Best processes and practices

The KPMG Global Generative AI Innovation Challenge: Recognizing the immense potential of GenAI throughout the entire innovation process, KPMG created a Global Generative AI Innovation Challenge. Co-sponsored by ITONICS, this challenge aimed to conceptualize how GenAI can improve the innovation lifecycle.

The KPMG innovation challenge was extended to more than 10,000 innovators within KPMG’s global community across 100 countries. GenAI was both the subject of innovation as well as an enabler. KPMG used GenAI to generate the challenge description, provide initial seed ideas, and evaluate submissions alongside the input from its global network. 

The Cisco Innovate Everywhere Challenge: In 2015, Cisco launched its first and unique company-wide innovation management challenge. Half of all Cisco employees participated in the challenge, submitting 770 ideas. By collecting ideas specifically for key markets relevant to the company, new technologies, and business models, the resulting projects paid targeted dividends to the company's strategic development.

Bosch's Open Innovation Gateway: Engineering company Bosch set up an Open Innovation Gateway attracting ~1,000 technology partner applications per year, resulting in ~20 projects yearly initiated with an overall NPV of ~€8M.

How KSB built a company-wide innovation network: To break down internal knowledge silos, KSB, a leading supplier of pumps, valves, and related systems, implemented the innovation platform iport in 2017. Today, there are 15'000 active users and more than 3'000 ideas have been submitted. With the implementation of a digital idea platform, KSB reduced the processing time of ideas by 60 percent.

Top six idea processes

Depending on the situation and objectives, different processes are the best choice. We have collected the characteristics of the top six.

1. Closed innovation process

Closed innovation describes the conventional approach that new ideas are developed exclusively within the company itself. This includes the creative process, the generation of ideas, to review ideas, evaluating ideas, and managing ideas into implementation.

• Phases: Submission → Initial evaluation → Concept development → Prototyping → Product development → Market launch

• Best applied: In industries where intellectual property and confidentiality are critical, like pharmaceuticals and aerospace. All innovation happens internally, ensuring tight control over the process.

2. Open innovation process

By sourcing knowledge externally, organizations can generate valuable insight and a competitive advantage. Open innovation and crowdsourcing involve a wide range of external actors, including users, customers, suppliers, universities, startups, and competitors. A variety of formats exist for accessing external knowledge, such as competitions and campaigns, corporate venture capital, or open-source platforms.

• Phases: Collection (competitions, crowdsourcing) → Initial screening → Concept development → Collaborative prototyping → Testing with external feedback

• Best applied: When companies need to tap into external expertise, such as with customers, suppliers, or universities. Ideal for rapidly evolving and customer-driven industries like tech, fashion, or consumer goods where external insights can accelerate innovation.

3. Design thinking

Design thinking refers to user-centered methods to drive innovation and an innovation framework that allows non-designers to approach problems like designers. Thanks to its open, flexible, and human-centered nature, design thinking became a popular method for driving innovation. 

After understanding users' existing problems and defining their needs, internal teams develop ideas for potential solutions to fix the problem.

• Phases: Empathize → Define → Ideate → Prototype → Test

• Best applied: For user-centered innovation, typically in industries like technology or healthcare. It focuses on understanding user needs to iteratively refine ideas through testing and feedback.

Depending on the context, the idea challenge can sometimes be referred to as an “idea campaign”, “innovation challenge”, or “contest”. Regardless of the name, idea challenges are in essence creative activities that involve a fixed or varying number of - either internal or external - participants, contributors, and/or experts coming together to submit innovative ideas on a specific need or problem, evaluating them among relevant stakeholders and thus filtering out the best winning ideas.

Best practice idea evaluation criteria

Idea campaigns provide an opportunity to develop ideas for specific sub-goals of the innovation strategy. The setting of a campaign can be either time-bound (top-down) or always-on (bottom-up):

4. Time-bound idea campaigns

This campaign type is based on a step-by-step process, where ideas submitted are filtered out from one phase to the next until the best submissions reach the final phase. All ideas run through the phases at the same time. This idea process is thus perfect for specific topics that need focused attention.

• Phases: Idea submission (time-limited) → Evaluate ideas → Concept refinement → Prototyping and testing

• Best applied: When fast, focused innovation is needed, such as launching new products or solving a specific problem. Popular in corporate environments to generate quick, targeted solutions.

5. Always-open (continuous improvement) campaigns

Always-open campaigns offer a channel through which ideas can be submitted at any time. The ideas do not run through the phases at the same time. This setting qualifies always-open campaigns as best suited for collecting improvement ideas and feedback continuously. That is why, the idea challenge description is oftentimes broad and universal.

• Phases: Idea submission → Evaluate ideas → Development and piloting → Implementation

• Best applied: In industries focused on operational excellence (e.g., manufacturing, logistics), where small, ongoing improvements can lead to significant long-term gains.

6. R&D Development Process

The R&D (Research and Development) process is a formalized method of innovation that focuses on scientific and technical research to develop new products, services, or processes. This process is particularly common in industries like pharmaceuticals, technology, and manufacturing, where breakthrough innovations often require extensive research and rigorous testing.

This campaign type is based on a step-by-step process, where submissions are filtered out from one phase to the next until the best submissions reach the final phase. All ideas run through the phases at the same time. This idea process is thus perfect for specific topics that need focused attention.

• Phases: Research → Idea screening → Applied research → Prototyping → Large-scale testing → Commercial launch

• Best applied: In scientific or technical fields like pharmaceuticals and manufacturing, where breakthrough innovations require long-term research and rigorous testing.

Key performance indicators: Measuring ideation success

Any innovation program will be wiped out relatively quickly if it does not generate measurable outputs. Management in particular will soon demand meaningful numbers, which is why you should start thinking about the strategic direction of your activities early on. 

Financial impacts unfold only in the future, so justifying and aligning activities with desired future goals requires a special kind of metrics: actionable innovation metrics.

Actionable innovation metrics must be relative (input/output) and time-bound to identify actual progress. They should relate to specific goals that provide direction for innovation activities. Based on these characteristics, actionable KPIs indicate possible directions for change. This means either taking action to increase participant engagement or to improve process efficiency and effectiveness. 

Effective creativity techniques

Coming up with original thoughts can be a challenge for individuals and teams alike. To overcome this hurdle, using specific creativity techniques can significantly enhance the quality and quantity of ideas generated. 

Brainstorming: Brainstorming is a classic method where participants generate as many ideas as possible in a group setting. The focus is on quantity over quality, and judgment is deferred, allowing creativity to flow freely. This technique thrives on collaborative energy and the ability to build on others' suggestions, making it ideal for teams looking to generate multiple concepts quickly.

Reverse Brainstorming: Instead of focusing on how to solve a problem, reverse brainstorming flips the script by asking, “How can we make the problem worse?” By looking at the issue from this opposite perspective, participants can uncover overlooked factors or solutions. Once all the negative ideas are identified, they are reversed to highlight new, often innovative, ways to address the challenge.

Six Thinking Hats: Developed by Edward de Bono, this technique involves analyzing concepts from six distinct perspectives, represented by metaphorical “hats.” Each hat signifies a different way of thinking, such as optimism, caution, or emotion. By systematically wearing different hats, participants are encouraged to look at the idea from various angles, leading to a well-rounded evaluation.

Crazy 8: The Crazy 8 method is a fast-paced ideation technique where participants are given eight minutes to sketch eight different ideas. This time constraint pushes participants to think quickly and avoid overanalyzing, often leading to creative, out-of-the-box solutions. It is particularly useful in design sprints or when rapid ideation is needed.

SCAMPER: SCAMPER stands for Substitute, Combine, Adapt, Modify, Put to another use, Eliminate, and Reverse. It is a structured approach to altering existing thoughts or products. Each prompt encourages participants to manipulate their concepts in different ways, fostering innovation by improving or transforming what already exists.

Biomimicry (Analogical Reasoning): Biomimicry is a creativity technique that uses analogical reasoning, drawing inspiration from nature to solve human challenges. By studying biological processes, patterns, and systems, teams can apply nature’s solutions to their own problems. For example, the lotus effect—where water droplets roll off the lotus leaf, keeping it clean—inspired water-repellent surfaces. 

Idea management tools needed

Managing an idea process and pipeline requires a combination of structured approaches and the right tools, including idea management systems, to ensure that innovative ideas are captured, evaluated, developed, and implemented efficiently.

A robust set of tools helps companies streamline these steps, enabling better collaboration, transparency, and tracking inception to execution. Below are the essential tools needed to effectively manage an idea process and pipeline.

1.1. Idea collection tools

Collection tools for internal employees capture innovative suggestions directly from within the organization. These tools are often embedded into corporate communication platforms, making it easy for employees to submit ideas at any time. This encourages continuous innovation and reaches the highest submission rates. More and more, AI-enabled ideation is incorporated into the process to collect other ideas or provide inspiration.

1.2. Crowdsourcing tools for external innovation

Crowdsourcing tools support open innovation. They allow companies to source submissions from external contributors like customers, startups, or the general public. Portals published on companies’ websites make it easy for those partners and crowds to interact with the company.

1.3 Creativity tools for idea generation

Creativity tools are essential for fostering the ideation process and generating new ideas. Tools like headstand, brainstorming, and design thinking help teams explore new concepts in structured yet flexible ways.

AI supports creativity tools by offering suggestions based on past inputs or trends, sparking inspiration. These tools promote out-of-the-box thinking and help participants refine their ideas collaboratively. AI-generated prompts can encourage users to explore directions they may not have considered, broadening the scope of innovation.

2.1. Idea pipeline management tools

Workflow and idea pipeline management tools ensure that ideas progress smoothly from submission to implementation. These tools automate task assignments, set deadlines, and track each development through various stages of evaluation and refinement.

Having a clear and transparent idea framework is part of this. Participants need to know how their ideas are managed.  These tools also provide transparency by creating a clear, visual representation of where each idea is in the process.

2.2. Idea evaluation tools

Once ideas are submitted, they need to be evaluated based on their potential impact, feasibility, and alignment with strategic goals. The best idea management software supports voting, rating, and commenting features. This helps build a collaborative evaluation process and quickly identify the most promising ideas.

Some tools leverage AI to analyze and score ideas based on predefined criteria, helping organizations quickly sort through large volumes of submissions.

3. Reporting tools

Tracking the success of the idea pipeline and analyzing the outcomes of chosen ideas is critical to continuous improvement. Data analytics and reporting tools provide insights into how well the idea process is functioning and highlight areas for optimization.

Many idea management platforms include customizable dashboards that track key performance indicators (KPIs) such as idea conversion rates, time-to-market, or employee participation.

Idea portfolios also help organize and categorize them based on key metrics, making it easy to prioritize them for further development.

4. Engagement and collaboration tools

Engagement and collaboration tools are essential for fostering teamwork and participation in the idea management process. To enhance engagement, many idea management platforms incorporate gamification elements such as leaderboards, badges, and rewards systems.

These features encourage friendly competition and recognition, motivating participants to contribute, vote on others’ submissions, and collaborate on refining concepts. Gamification makes the ideation process more dynamic and enjoyable, which often results in higher participation rates and more creative outcomes.

AI also plays a role in collaboration tools by suggesting participants who might be ideal collaborators based on past interactions or expertise. AI-driven insights can recommend teams or individuals to contribute to specific concepts, ensuring that the right mix of skills and knowledge is involved in developing the best solutions. This enhances both engagement and the overall quality of ideas moving through the pipeline.

Benefits of idea management software

Improving your innovation management and idea management system starts with the right idea management software. The right idea management software serves as a digital platform for a company’s innovation and intelligence processes.

Idea management software brings together tools like startup databases, crowdsourcing platforms, and project management systems into one cohesive solution. Idea management software simplifies developing ideas. It simplifies to manage ideas and share ideas. It also supports the organization and refinement, keeping teams and other stakeholders aligned and fostering collaboration across the organization.

By improving every stage of the idea management process—from brainstorming to execution—idea management software helps turn creative concepts into actionable achievements, driving innovation throughout the company.

The ITONICS Innovation OS is the best idea management software, enabling an effective ideation process. With ITONICS, you will get the best to develop ideas, gather ideas, and implement ideas in one intuitive platform.

ITONICS Ideation is a GenAI-driven innovation platform for executing a fruitful innovation program, leveraging a company's innovation potential, and shaping an organization's culture. Be enabled to:

• Collect all ideas in one place: Run ideation campaigns with your team, a specific community, or the whole organization. Process ideas on one collaborative idea management software, ensuring no idea gets lost. Reduce effort with features that detect duplicates and connect ideas to strategic priorities. 

• Crowdsource from your external network: Use the ITONICS submission portal to receive proposals from start-ups, universities, or customers. Define your challenge and idea submission form, embed them on a webpage, and get submissions into your ITONICS platform. Let the ideas flow into an evaluation workflow, then select the best for partnerships. 

• Build innovation communities: Unlock expertise in your organization and foster cross-functional cooperation. Find recommended experts in the system and bring everyone together for win-win innovation collaborations between business units, external partners, and startups. Use gamification to foster engagement and a thriving innovation culture. 

• Align ideas to your strategic priorities: Manage the whole innovation process with our proven workflows. Align campaigns with your company goals and reduce time to market. Use ITONICS dashboards and roadmaps to oversee your idea pipeline and project execution. 

• Gain inspiration and efficiency from AI: Don’t panic when you have too many or too few ideas. Use the ITONICS idea management software to seed and enrich initial concepts worth pursuing with the help of Generative AI. Save time by automatically rating a pool of ideas based on selected criteria.