If you want to improve your success rate with innovation then you need to checkout The Pretotyping Manifesto. It's a concept/process developed by Alberto Savoia, who's a veteran of the startup scene in Silicon Valley and currently an "Innovation Agitator" at Google. The video is long but well worth the watch. You can also download the ebook on Google Docs.
So what is Pretotyping? The official website defines it as:
"Pretotyping, verb: Testing the initial appeal and actual usage of a potential new product by simulating its core experience with the smallest possible investment of time and money. Less formally, pretotyping is a way to test a product idea quickly and inexpensively by creating extremely simplified versions of that product to help validate the premise that if we build it they will use it."
I would sum up the overall benefit of pretotyping as the ability to fail faster and cheaper so that you can try more innovations in a shorter timeframe and thereby find winners more quickly. This is particularly important in B2B and technology products with longer and more expensive development cycles.