When people grow up in organizations that struggle to innovate, some assume companies that do it well succeed because employees skateboard between meetings, or on-site arcades stimulate creativity. So, in family businesses like the one above, where innovation isn’t innate, a mandate to “just get it done” might instead be a perfect opportunity to take a swipe at dividend policy. (We’ll save that grievance for another article!)
To move real innovation forward, three questions deserve attention:
Do we have an idea problem?
Most family businesses don’t lack ideas — they lack a clear path for surfacing them. Valuable insights come from people close to customers, markets and day‑to‑day friction. Whether those opportunities are welcomed and regularly cultivated can vary. If not for established practices and executive sponsorship to invite them, they may never find their way to daylight.
Are we good incubators?
Even with a good idea pipeline, few organizations are designed to nurture them. Incubation requires patience, capacity and visible leadership support. Ideas need space to be tested and refined. What often goes unnoticed is that the people generating ideas are also watching this process closely. They observe whether ideas are seriously explored or quietly sidelined. They adjust their behavior accordingly.
What stands in the way of commercialization and scaling?
Commercializing and scaling can be unfamiliar muscles. Organizations that have been successful doing the same thing for long periods are great at optimization. Less practiced is building something uncertain and iterative. Having clarity on how to build, test and launch promising ideas is crucial. Scaling then becomes less about conviction and more about learning how to move from proven stability to intentional growth.
If all else fails, perhaps that dividend policy is worth another look.