The term "innovation" is somewhat ambiguous as it can denote both the process and its result. When the word "innovation" is used to refer to the new or improved product, equipment or service which is successful on the market, the emphasis is on the result of the process. But, when referring to the dissemination of an innovation, does this mean the dissemination of the process, i.e. the methods and practices which make the innovation possible, or to the dissemination of the results, i.e. the new products?
With the term innovation process, the emphasis is on the manner in which the innovation is designed and produced at the different stages leading up to it (creativity, marketing, research and development, design, production and distribution) and on their breakdown. This is not a linear process, with clearly-delimited sequences and automatic follow-on, but rather a system of interactions, of comings and goings between different functions and different players whose experience, knowledge and know-how are mutually reinforcing and cumulative.
This is why more and more importance is attached in practice to mechanisms for interaction within the firm or institution for collaboration between the different units and participation of employees in organisational innovation, as well as to the networks linking the firm or institution to its environment (other firms or institutions, support services, centres of expertise, research laboratories, etc.). Relations with the users, taking account of demand expressed, and anticipating the needs of the market and society are just as important - if not more so - than a mastery of the technology.
Concerning the result of the innovation, the emphasis is on the new product, process or service. A distinction can be made between radical innovation or breakthrough (for instance the launch of a new vaccine, the compact disk) and progressive innovation, which modifies the products, processes or services through successive improvements (e.g. the introduction of 32-bit chips to replace the 16-bit ones in electronic equipment, or the introduction of airbags in cars).