Saturday, October 03, 2009

Calling all CEOs – why do you avoid Creativity and Innovation?

The message from myself and many others banging the innovation drum is relatively simple. Embrace innovation and you have a unique competitive advantage. You will be able to fully exploit the skills of your workforce, develop new products, services or processes according to your type of business and most importantly of all you will create a business that is sustainable and which will survive not only the current economic crisis but any that may occur in the future. So why do you not take action, why do you think the risk is too high – or to put it another way, what are you scared of?

First of all, let us look at risk. What is it? In its simplest guise it is just circumstances or events about which we know nothing or very little. So the more we know about something, the smaller the risk. Actually the likelihood of something bad happening may not actually change as we acquire knowledge ,but the fear associated with the potential risk may decrease or vanish. So CEOs may in fact be suffering from a fear of failure or looking foolish rather than actually considering the actual risks or benefits to their organisation.

What can be done to help? If we could provide you with the following, would that help?

  • An understanding of what is involved in leading an Innovative organisation – let’s remove the surprises
  • Support in providing awareness and education for managers and staff – everyone must know where they fit in
  • A proven methodology/framework so that you know what you are doing
  • A method of measuring innovation directly so you know where your money is being spent
  • New techniques to help you predict and plan for the future
  • Provision of some ongoing support

Would this help alleviate the risks so that you can harvest the benefits of Innovation? If not then Innovation may not be for you and sadly your long term future does not look too rosy.

Over and out!

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Wednesday, July 01, 2009

Outcome Driven Innovation - problem or not?

Outcome Driven Innovation (ODI) clearly works for a number of organisations (usually larger organisations) and not for others. Why could this be? Personally I also have a number of issues with the methodology but this is not an attempt to pull ODI apart, rather to simply point out some issues and let others make up their minds as to what is best for them.

Innovation is, or should be, a hugely flexible process that works within a comprehensive framework but which is not overly specified. It may be further complicated by the (necessary) requirement that all areas of a business (and hence all of the people) become involved. If this does not happen then all we have is a glorified R&D department.

The specification of ODI seems to me at first sight to be very prescriptive but that is just an opinion. There is however, a danger that any business embracing ODI which has not fully bought into the philosophy of Innovation, could still be governed by left brained groupthink and could embark on a process of specifying and documenting everything. This could result in a) no action at all and the incorrect conclusion that Innovation does not work b) a rigid process that is in fact more akin to something resulting from Business Process Reengineering (BPR).

Another possible issue is the fact that one of the initial steps if to formulate an Innovation strategy when in fact the process will normally help create the strategy. Also, capturing customer inputs and looking at the broader marketplace will also help formulate the Innovation strategy.

From the outside, ODI looks like a tool driven methodology where you simply turn the handle on the sausage machine and things pop out. This is not Innovation, it is more like Taylor's scientific management. And another claim is that it has been developed over time, not a crime in itself but where is the (double loop) learning that means the methodology itself can be updated and grow as needs (and the market) change.

Finally, everything appears Marketing driven which is why many of us embraced Innovation in the first place. As they say, the devil is in the detail so readers should research ODI and then draw their own conclusions. After all, you should use the methodology/framework that is right for you, not just use something that is popular or recommended by a friend because it uses the word 'Innovation'.

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