"Innovate or die." That's the mandate of the global economy these days. And though you've been trying to create a culture of innovation at your firm, you've had little success. Why do some companies seem to be breeding grounds of innovation, while yours is, at best, a breeding ground for mosquitoes?

Innovation Requires Investment

Companies that consistently innovate are ones that invest in working conditions that enable workers to be creative. Simply ordering people to work harder and innovate probably isn't a great strategy.

Google, for example, is well-known for its "20% time," in which employees are allowed -- even encouraged -- to use 20% of their time on offbeat projects. But Google pays a price for that: the company has a gourmet cafeteria that runs all day, operates shuttle buses to and from work from 6am to 9pm, and pool tables and other games to encourage people to stay at the office for more than 40 hours per week.

3M predates Google in this approach. The company has a similar "15% rule" that encourages technical staff to work on projects of their own choosing. And it offers venture capital-like "Genesis Grants" of $50,000 to for researchers to develop prototypes.

Chiquita, recently profiled in IndustryWeek for its ongoing innovation, picks its best people -- even pulling them out of areas where they're contributing -- and tells them not to worry about the day-to-day business, but rather to think about how they're going to make their quota in two years. Similarly, Lockheed Martin is legendary for its Skunk Works. The company built an entirely separate facility to house people they feel can dream up breakthrough innovations.

Are you willing to invest in these ways to stimulate innovation? Do you have the financial and human resources to allow this kind of investment? If not, don't despair. There's hope.

Time, The Most Precious Resource

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