The purpose of this research is to explore what are the key issues in design and implementation of innovation process which should be taken into account by those organizations which are using Balanced Scorecard management system. This research also explores what kind of connections there are from innovation process to other parts of BSC management system. One of the key issues is also to consider whether the BSC management system is a suitable management system for organizations seeking innovations.

This work is done by qualitative research methodology. The research method is semi-structured interview.

The most important finding is that the success of the innovation process in BSC management system is determined outside the innovation process itself.

First, organization will need to encourage favorable culture for innovations. Organization values are one of the most important tools to affect culture. Second, organization will need to develop cooperation very systematically between different functions and between people inside these functions. Third, organization will need to measure systematically issues which indicate about conditions for innovations and the performance of the innovation process itself. In this research all these three findings are discussed below a top theme called management. This research also points out that organization will need to view all these three findings from two different time perspective; time before innovation and time after actual innovation. Thus the key content inside of each three findings depends on the time perspective used.

One of the most important conclusion is that organization using BSC management system should not invest significantly to its innovation process before it has been able to create favorable culture for innovations through learning and growth perspective. Without encouraging culture the innovation process is unlikely to have a valuable and useful content inside it. This is a clear message considering prioritization in organization.