Abstract
This article presents the concept of innovation capability as a tool for organizational success in smalland medium enterprises. Since entrepreneurship is the vehicle that will drive the vision 2030 in Kenya,it is imperative that we -underscore the importance of small scale and medium enterprises (SMEs) asmajor contributors of this noble course. SMEs operate in a dynamic and turbulent environment yet thissector is a major source of employment for Kenyans. In addition, there is an increasing challenge tobuild innovation capabilities for organizational success. This paper therefore examines concepts suchas innovation, innovation practices, culture, sources of innovation and measurements of innovationwhile breaking from normal; innovation leaders, role of innovation and SMEs among others with aview to mitigating the challenges faced by SMEs in operating their business enterprises.
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