I work for a software company. We use several metrics to evaluate new software projects, including increased sales, retention, and revenue. One quality we look for is innovation. This often prompts a discussion of "how do you measure innovation." How do you say that one idea is more or less innovative than another? We often turn to our competitors and say if they aren't doing it then the idea is innovative... but that may also be a sign that the idea is terrible. You may even hear someone say "why can't we be innovate like that company?" As soon as you strive to be like another company, are you still being innovative? I recognize that this post offers more questions than answer. I'm truly curious about your thoughts...

What is innovation? How do you recognize innovation? How do you measure innovation?