Abstract

Established companies need to take several aspects into account when considering the management of radical innovations and must simultaneously ensure the profitability and functioning of the existing business. The main contribution of this study lies in exploring how radical and incremental innovations are separated and managed. The paper intends to clarify how companies can evaluate ideas, organise decision-making, utilise external parties optimally, and organise innovation activities while ensuring adequate linkages to existing business processes. This study analyses the practical implementation of innovation activities in a leading telecom company with advanced practices for managing innovations. The case company has established a separate innovation unit and defined a process for radical innovations. Linkages to other existing development processes are strengthened by including key personnel from these processes in the company’s innovation process. These arrangements aid in acknowledging numerous aspects presented in the literature in conjunction with radical innovations.