Why has 3M been such a successful innovator for so long?

3M has been known for decades as an entrepreneurial company that pursues growth through innovation. It currently generates a quarter of its annual revenues from products less than fi ve years old. 3M started life as the Minnesota Mining and Manufacturing Company back in 1902. Its most successful product – fl exible sandpaper –
still forms an important part of its product line, but this now comprises over 60,000 products that range from adhesive tapes to offi ce supplies, from medical supplies to traffi c signs, from magnetic tapes and CDs to electrical equipment. Originally, innovation was encouraged informally by the founders, but over more than a century some of these rules have been formalized. But most important of all there has built up a culture which encourages innovation.
For example, there is a ‘hall of fame’ of staff elected on the basis of their innovative achievements. And because this culture has built up a history of success, it perpetuates itself as well as helping the company to recruit people with innovative characteristics.