BW: The World's Most Innovative Companies

Professor Vijay Govindarajan via Business Week defining the innovation in business:

In the 1990s, innovation was about technology and control of quality and cost.
Today, it's about taking corporate organizations built for efficiency and rewiring them for creativity and growth. "There are a lot of different things that fall under the rubric of innovation," says Vijay Govindarajan, a professor at Dartmouth College's Tuck School of Business and author of Ten Rules for Strategic Innovators: From Idea to Execution. "Innovation does not have to have anything to do with technology."

Source: Business Week by Jena McGregor and others April 24, 2006