Symptom: People don't have the time and money needed to develop new products.
Innovation requires funding for people's time and the direct expenses to do professional development, research, and product development.
There are two sources of funding (of both time and expenses) for innovation.
For improvements and extensions to the existing product line, some margin should be built into prices. In staff functions that do not charge fees for their services, a line item in the budget is needed.
For starting up entirely new lines of business, "equity" funding (i.e., venture capital) is needed. In staff functions that do not charge fees for their services, this is represented as a line item in the budget that is not associated with any project.
If these sources of funding are not available, the pace of innovation will slow.
