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The Benefits of Innovation And Vertical Integration

​Innovation and vertical integration are seen as key factors and catalysts to any businesses success as it creates effective processes, improves services, products, and ideas.

Many businesses are moving towards vertical integration and innovation as it enables them to have more control over processes and manufacturing, resulting in faster, more efficient product development. Both can help create more efficient processes that will result in better productivity, performance and help maintain the growth of the business.


Innovation runs throughout any business. There are many different types of innovation that can help contribute to your business and make you stand out against your competition. The four main areas are: product, process, supply chain and marketing. Innovation is something that can add value to a business; it helps create unique selling points that make a business stand out. When used in the right way it can create many advantages for your business, it can help you commercially, give positive exposure in the media, build brand awareness, and attract new people to your business.

Making continuous improvements to your branding can increase innovation and success to your business. This can be achieved through creative development. Creative development relates closely to the qualities of innovation, learning to be creative in a business can open many opportunities, potential for a new market, growing market shares and can help keep up with the latest market trends.

Any leader that recognises the need to innovate will increase their creativity and grow their business skills. Development branding is also popular in organisational leadership. Developing branding can help leaders learn new ways to increase success, reach a larger audience and clientele. This is vital to a business as it is one of the main drivers for success and helps with brand maintenance.

Vertical Integration:

Vertical Integration can also help your company to succeed. It can be used to strengthen the supply chain, reduce production costs, time, and reduce delays in many areas. This can result in an increase in sales and improving profits. Many companies are using this approach to help reduce the amount of travel distance required for the materials that comprise the final object, helping to reduce environmental and economic cost. Having these important factors under the umbrella of the company’s ‘house’ benefits the business as quality checks can be made throughout the process which, reduces valuable time on troubleshoots and decisions being made.

An example of a successful vertical integration company is Tesla. Tesla is among the industry’s most vertically integrated companies. Most of the internals that go into Tesla products are designed and manufactured in-house. Tesla is very serious about vertical integration. If they want to achieve their goal of accelerating the world’s transition to sustainable energy, they are going to have to produce everything themselves. Therefore, doing it better than anyone else.


Overall, incorporating innovation into your company plan is crucial for a business to succeed. Companies can stand out from their competition and it also allows for continuous development. Vertical Integration can also help expand the success of your business. Looking at Tesla, a huge part of their growth and how they survived back in 2008 is down to their innovation and close compatibility for every process. With each market growing and getting more and more competitive, it is highly important for these two factors to be considered into the larger picture of the business.

Mantell Associates is a specialist Pharmaceutical and Life Sciences Head-Hunting organisation. To find out how we can assist with your business requirements, contact Ewan Rennison on +442038547700 or