Scott Berkun has put together a small article on how to innovate right now.
http://www.uie.com/articles/innovate_right_now/

He mentions that every innovator’s tool kit includes these three things:

1. Questions
2. Experiments
3. Self-Reliance

Key points include:

• Borrowing ideas from the Past - look at ways others have solved the solution before you then try variations on them
• Ask a lot of questions
  • Why is it done this way?
  • Who started it and why?
  • What alternatives did they consider?
  • What are my or my friend’s biggest complaints about how it is now?
  • How has this been done in other locals, cultures, or throughout history?
  • What assumptions were made or constraints did they have?
  • How can I apply any of the above to what I do?
• Try things yourself
  • There is no substitute for first hand experience when trying things
  • Don’t be afraid of risk - the bigger the innovation, the greater the risk
• Try, Learn, and Try again
  • This could be called iterating your design
  • Remember what Edison is attributed for saying "I haven’t failed, I have found 10,000 ways that don’t work"