This word invariably comes up, time and again, especially when there isn't a well described way or per-say a "process" to achieve an end objective. The greatness of this word is in the casual approach to the innovation, taking the innovator to the depths of being an "jugaadi".
It does convey a out of box thinking approach to a problem which does not have the attentions of the greats, but a problem which is common enough but not commercial enough to catch the attentions of the greats. This gap enables the "Jugaadi's" to fill in, and usher a solution.