Between 70% to 80% of employees are everyday innovators, who work on smaller innovation tasks that range from solving problems for customers and resolving field situations to researching competitor landscapes and ways to reuse existing technology. They could be members of new business development, strategic planning, and competitive analysis teams.

Collectively, both master and everyday innovators are responsible for maintaining a company's innovation edge. This community must have access to critical knowledge to do their jobs effectively and efficiently. Consider the following tips on setting up a framework to make sure they do.

1. Precise intelligence is the heart of innovation. Every company should design a framework for delivering precise and critical information from a variety of sources that lead to increased productivity. Knowledge can come from internal legacy product designs, best practices, and customer usage, as well as from external sources such as competitive intelligence, technology trends, and scientific theories. Precise innovation intelligence can validate concepts upfront and help innovators deliver the right products the first time, as well as solve everyday problems faster.

2. Drive revenue with an innovation-intelligence framework. By creating an effective information-sharing framework, a company can increase productivity by 30%. They can also cut development costs significantly, drive and sustain a continuous innovation process, repeatedly design cutting-edge products, and increase growth, revenue, and market share.

Mark Atkins
CEO and Chairman
Invention Machine
Boston

Here are some tips designed to help maximize customer acquisition and revenue growth.

1. Create a solid brand. A well-conceived brand that includes corporate ID elements such as Web site, logo, and company name speaks volumes about your company. In fact, it will often be the single most important factor in determining whether a prospective customer believes that you are trustworthy, reputable, reliable, and established. As the first impression a prospective customer receives of your company, your brand can either win them over or lose them completely. But before you hire an expensive advertising agency or branding research firm, try an online logo or Web site design service.

2. Promotional products are more effective than ever. With all of the clutter and noise on the Web today, many marketers seem to have forgotten the power of "touch and feel." Stand out against your competition with good old-fashioned giveaways, sending current and prospective customers branded USB fobs, beach balls, coffee mugs, and other useful items. After all, what's more powerful than having potential customers see one of your branded promo products sitting on their desks every day?

3. Treat your social media-minded customers well and ask for referrals. Word-of-mouth is powerful stuff. According to consulting giant McKinsey, about two-thirds of all economic activity in the US is influenced by word-of-mouth opinions about a product, brand, or service. So when a happy customer tells three friends about your business and then they each tell three friends, you've got some traction. Now imagine that customer is involved in social media and instead of telling three friends about your business, he or she hops on Twitter or Facebook and sends out a post that reaches 300 people. Then each of those 300 people (obviously also involved in social media) repost your message. That's viral marketing.

4. Consider cost-per-action advertising. In addition to the well-known CPC and CPM advertising models, CPA allows you to target your ads just as effectively while only paying when a customer is acquired or an action generated, such as filling out an application or signing up for a newsletter.

Steve Nielsen
CEO
PartnerUp
Shoreview, Minn.

1. It's okay to use your severance. There will be major start up costs and this can be a good way to use those dollars. But definitely do not cash out your 401(k). Instead roll it over into an IRA so that if you need cash, you can make incremental withdrawals (paying tax and a 10% penalty) as needed.

2. Start with savings. Aim to have at least three years' worth of living expenses—over and above the startup costs—before you go into business for yourself. Five years is even better.

3. Check yourself. You can get a free copy of data from all three credit reporting agencies at www.annualcreditreport.com. (You're allowed one free report from each agency per year.) Keep in mind that mistakes can take months to correct and until they're fixed, they can hamper your ability to get a loan or business credit card. You'll also want to see your credit score, which you can get at MyFico.com for $15.95.

4. Shop for low-cost loans. SBA loans are very attractive if you can get one; current rates are in the 5% to 10% range, depending upon the loan term and how much you borrow. You'll need decent credit, a detailed business plan, and at least some collateral to qualify. SBA loans come in all sizes, but unless you're launching a big venture, the SBA's "microlending" program is probably what you want: These are loans for up to $35,000 (average is $13,000). Call your local SBA office or go to www.sba.gov for details.

Bottom line: You need to be brave—but smart—in this new economy. Remember that some of the most successful American companies got their start during recessions.

Beth Kobliner
Author
Get a Financial Life: Personal Finance in Your Twenties and Thirties

Here are two steps for getting started:

Step 1. Determine where the primary point of data control should be—at the endpoint, the network, or a combination of both. There are many different approaches to data protection, from network-level data-loss prevention suites to laptop encryption technologies and everything in between. To decide what's best for your business, begin by determining where the primary point of data control should be.

Endpoint technologies protect intellectual property from theft or unauthorized dissemination, such as preventing someone from downloading a customer list onto a USB drive and walking out the front door. The value of network solutions lie in monitoring how information is used within the organization so you can identify and correct faulty business processes. Some small businesses begin with a data discovery project simply to understand where their sensitive data exists and determine their level of risk.

Step 2. Selecting the right data-security solution begins with research. Take advantage of readily available research in published analyst reports to understand product capabilities. Look for a solution that provides the flexibility to take an incremental approach and provides coverage across a broad array of communication channels including e-mail, Web traffic, instant messaging, peer-to-peer, streaming media, and endpoints such as USB drives, printers, desktops, and laptops.

Some small businesses will opt for a data-loss prevention solution that spans the network and endpoints. Others will find value in e-mail security solutions that monitor outgoing e-mail for sensitive information. Still others will opt for endpoint encryption technologies.

The important point is that more small businesses must begin enforcing data-security policies. A single data breach can have lasting repercussions. With the right policies, technology, and employee education, you can mitigate your risk.

David Meizlik
Director, Web and Data Security
Websense
San Diego

First, determine how important data-loss prevention is in comparison to other security concerns by asking the following questions:

1. What regulations involving confidential data must we comply with?

2. Do we know where all copies of confidential data are stored?

3. How is sensitive information being used and shared inside and outside our organization?

4. How do our employees exchange critical data with business partners and customers—and are these channels secure?

5. What would happen to the sales, customers, and reputation of our business if a data breach occurred?

Second, define what data are deemed sensitive. Once data protection is deemed a priority, the second step is to define what exactly constitutes sensitive data for your business. The definition of sensitive data can vary greatly across industries and will not be the same for a local credit union as for a midsize retail chain. Sensitive data can include customer lists, company financial data, trade secrets, intellectual property, marketing plans, credit-card numbers, employees' social security numbers and more. It's critical to review all functional areas—including legal, finance, human resources, marketing, sales, and others—to determine what types of data are essential to each area of the business and need to be protected.

Only after businesses have taken these initial steps can they begin to set policies that will protect their sensitive data, yet not impede their business processes. Ultimately every organization, no matter its size, must protect the information that is essential to its business.

David Meizlik
Director of Web and Data Security
Websense
San Diego

Attackers target smaller sites because there is a perceived lack of security and lack of dedicated IT support to protect them from malicious intrusion. This often leaves small businesses defending against a disproportionate number of attacks. The danger for small businesses is that if your site is compromised with malicious code, you can be blocked by such browsing tools as Google Safe Search. This could prevent customers from being able to reach you, potentially interrupting Web revenue and dimming visibility. Few businesses can function with this type of interruption of Web services. Fortunately, there are a few easy steps small business owners can take to prevent their Web sites from being compromised by hackers.

1. Make sure your computers and systems are fully patched. Routinely check to ensure you have all software updates in place. For example, recent research shows that as many as 80% of users do not have the most up-to-date versions of Flash and Acrobat installed.

2. If you use forms or a database on your site, make sure you are not vulnerable to injections. This can be done through penetration testing, security tools, or security services that are now relatively commodified and inexpensive.

3. If you allow user-generated content on your Web site—such as allowing visitors to post comments, upload content, and so forth—make sure you scan what users are posting with real-time scanning tools and products that check for malicious links or spam. An example of a free tool that scans blog comments for spam is Defensio.

Dan Hubbard
CTO
Websense
San Diego

Take Twitter, for instance. Users "follow" their friends, business associates, customers, their favorite news outlets, and others. Because Twitter limits tweets to just 140 characters, many people use a URL shortening service such as bit.ly or tinyURL when they want to share a link with others. The shortened versions mask the destination of the original URL and cyber criminals have begun relying on shortened URLs as a way to trick unsuspecting users to click on malicious links.

So, who can you trust: Your friends? Your favorite news source? Sadly, you can't trust your online network of friends and followers. Recently, hackers exploited flaws in the Cligs' URL editing software, allowing them to hijack 2.2 million Cligs links. Users are accustomed to trusting links that they receive from their online network of friends and often click on those links without hesitation. Spammers, phishers, and other cyber criminals exploit that trust to spread links to Web sites with malicious code or data-stealing spyware, or to trick users into downloading Trojan horses.

What can you do? If you're using the social Web, here are three important tips to help you prevent security threats spread by masked URLs:

1. If you are using a browser with plugins, download a link previewer. A link previewer will let you either see the true target of a link or will show you a floating preview of the Web page.

2. If you are a blogger and don't want your readers to be in danger, download software that blocks comment spam so that your readers won't accidentally click on malicious links posted on your comment board. One example of free software that does this is Defensio.

3. Always protect your Internet access with a Web security solution that prevents Web 2.0 threats by scanning Web content in real-time and blocking access to the portion of a Web page or Web site that contains a harmful link.

David Meizlik
Director, Web and Data Security
Websense
San Diego

1. Understand the "controlled group" opportunity. If you or your spouse own and/or control several businesses, the IRS may require you to treat all of your businesses as one for certain retirement plan purposes. The controlled-group rules can affect retirement plan selection and operation and could mean higher deductible contributions.

2. Determine your contribution budget. How much do you want—or can afford—to contribute and deduct for yourself and your employees on an annual basis? The answer to that question will help you narrow your retirement plan choices. For example, if your goal is to contribute more than $49,000, you will need to consider a defined benefit plan; a lesser figure can be served by such options as a simplified employee pension (SEP), savings incentive match plan for employees (SIMPLE) IRA, or 401(k)/profit sharing plan.

3. Shop around. Fees for establishing and maintaining plans vary enormously. While new legislation is pending in Congress that should help make plan fees more transparent and easier to compare, you can still evaluate how much you are paying for such things as plan investments and record keeping. In fact, it is your fiduciary duty to do so.

4. Keep good records. There are numerous document and notice requirements associated with maintaining a retirement plan. If you are ever audited, good records can save the day. Having an investment policy statement and documenting your activities for reviewing and evaluating your plan investments are good ways to start.

John Carl
President
Retirement Learning Center
Brainerd, Minn.

1. Hosted telephone systems provide robust features that can boost productivity without the need for capital. Many services can also lower your voice and data spending as well.

2. If you are looking to update your current e-mail, you can most likely do it faster, better, and cheaper with hosted solutions such as Hosted Microsoft Exchange without the need for additional IT staff, training, or capital for software and servers.

3. Customer Relationship Management software can be virtualized, too. There are many options—both general and industry specific—that enable you to "rent" your back office, rather than purchasing complex software and hardware to run it.

4. Throw away your backup tapes and the problems they create. A cost-effective solution is to have your IT staff back up your data remotely.

5. Already an option for larger companies, smaller businesses are now virtualizing their data centers to increase network performance and reduce costs.

Benefits from the above services are real. In addition to those already mentioned, you can also cut your power, cooling, and real estate bills, get greener, and increase application security, scalability, and stability.

Guy Fardone
COO and General Manager
Evolve IP
Wayne, Pa.

1. Enable your users to help themselves. Traditional BI tools were built with an ecosystem in mind for IT administrators, developers, and business analysts to use in configuring and writing reports. Small businesses rarely possess dedicated staff to fill these positions, so a solution that requires a technical person to create or modify reports is going to lead to end-user frustration and low adoption rates. Look for a solution that doesn't require technical backgrounds to learn and use, but rather one that users themselves can drive.

2. Bigger and broader isn't necessarily better. Products that claim to do everything sound great if you plan to exploit all of the product's features and functionality. But that can be cost-prohibitive and can take months or years to implement. Consider what features will be most important to your users and start there. Focusing solely on big brand-name platforms will likely lead to buying more than you need or will ever use.

3. Cheaper isn't always better. Companies of all sizes want a deal, but just because a BI solution is cheaper doesn't mean it will suit your unique business needs. For example, selecting a solution that has less expensive licensing costs, but is difficult for your employees to use or is relatively complicated to implement, can create more work for everyone and result in further costs down the line.

Mark Lorion
Vice-President of Marketing
TIBCO Spotfire
Somerville, Mass.

The key to using them effectively is to remember that these channels are not strictly marketing tools; they are communication tools. Communication is an exchange, a two-way street that requires listening skills as much as it does sharing. Effective communication will help you unlock a more honest, more enthusiastic, and ultimately more loyal customer base. The question is: to use social media successfully to help your brand grow, will you step outside your communication comfort zone and really listen to what your customers say?

Here are a few tips to help you get started:

1. Ask provocative questions. There is a lot of noise out in the social media space. If you want to have an impact in these channels, you have to be relevant. Do this by asking provocative questions. For example, ask your Twitter followers about all the things that you do poorly. Customers enjoy the desire to hear tough, honest feedback.

2. Spend as much time listening and responding as you do talking. Be a good date! Many companies use social media a lot like traditional "interruption-advertising." Customers don't like it, and it's not particularly effective. Show your appreciation for your customers by listening to what they tell you through social media and then by responding to their comments. In terms of product development, listen to their suggestions and feedback, aggregate the opinions, and then make more informed decisions about strategy.

3. Complement self-promoting with promoting others. Read an interesting tweet by someone else? Re-tweet from your corporate Twitter page. It will help propagate an interesting idea, and you'll pop up on the original tweeter's radar. Same goes for blogs. Take a moment on your own blog to introduce a peer's post, then link back to his or her work. Paying it forward builds authenticity with your listeners and followers.

4. Blend the personal and the professional. Most of your customers use social media for personal reasons, so it's inaccurate to think that businesses are always totally welcome players in the social media world. Consumers are savvy; they want a well-balanced mix of salesmanship and personality. Find a happy medium between promoting your product and bringing variety to your social media efforts. The more interesting it is for you, the more likely it will be interesting to your customers.

Andy Dunn
CEO and Co-Founder
Bonobos
New York

But, given the increase of spam, phishing, and other e-mail predators, the world of e-mail marketing is changing dramatically. Techniques used just two years ago are likely to generate only half the open and response rates. But by honing in on the following four key areas, your campaign can be successful.

1. The list. To start, stop thinking of "a list.— Instead, think in terms of building a highly targeted audience. Avoid adding names for the sake of trying to achieve a certain number of responses or to satisfy a minimum purchase from a list vendor. You'll probably still miss your goal and tarnish your brand by sending a non-relevant message.

2. The offer. E-mail marketing has the most success if the message provides immediate value and personally connects to the recipient. The message should help readers either to learn through educational content, news or tips, or to gain savings of either time or money.

3. Media creative. Look at how your e-mail is designed. Is your offer located within the preview pane of the message? Include links to specific landing pages or pages on social networking sites. Think about your subject line; refrain from capitalization and excessive punctuation, and include the company name if the sender is not clearly your company.

4. Timing. Be cognizant of the time the e-mail will be sent; is it going out too early for the West Coast or too late for the East Coast? Also, make sure you're not sending multiple e-mails to a prospect too close together; instead, space them apart over weeks.

Keep in mind that business-to-business e-mail campaigns are all about providing relevant content in order to build brand awareness and trust. With these four elements in mind, you'll be on your way to success.

Christopher Golec
Founder and CEO
Demandbase
San Francisco