To transform an idea into a commercial product or service that generates value to the user and profit to the producer.
Innovation is sometimes described as the generation and/or acceptance of ideas, processes, products and service that a relevant adopting unit perceives as new. Innovation is the confluence of ideas, technology, markets, and money (sales).
Alternate: A new idea, method, or device, including the processes of creating a new product, service, program, or application. Differing from invention, innovation yields a salable product or service generating revenue for the organization.
For more New Product Development definitions see the NPD Resources Glossary.