Challenges create targeted thinking to solve specific problems or opportunities that a company might identify that is aligned with one or more of the strategy focuses. Users submit ideas to a challenge, vote and engage with posted ideas, and earn points toward their innovation score. The best ideas are approved or pushed to a sprint for further validation.

Only users who have been given permission can create challenges. We typically advice clients to give all champions the ability to create challenges, but reserve approving ideas within challenges for a few key decision makers. This prevents bottlenecks, allows for department heads to take initiative, but still controls what ideas are being approved for integration.  Check out Managing User Permissions and Global User Permissions.
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The user that created the challenge or the user selected as the sponsor of the challenge.
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Anyone that is within the audience that was selected when the challenge was first created can contribute ideas to the challenge.
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