three-rock-solid-approaches-to-innovation

The Innovators Mindset:

Three Rock-Solid Approaches to Innovation

©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.

Webinar Roadmap High Performance Teams

And the Performance Paradox

Job To Be Done

About Disruption

Are you Ready to Innovate

Define Innovation

Design Thinking


Learning Objectives

• Define innovation

• Determine an organization’s readiness for innovation

• Identifying market opportunities using Clayton Christensen’s ‘Job to be Done’ analogy

• Describe the difference between Sustaining and Disruptive Innovation

• Describe IDEO’s Design Thinking methodology to explore innovation competencies

• Discuss principles of the high performance teams and the performance paradox


Innovation Reasonably Defined

Innovation is the creation of better or more effective products, processes, services, technologies, or ideas that are accepted by markets, governments, and society.


Our Definition of Innovation Is:

Innovation is something different

that has impact

The often unspoken goal of innovation is to

solve a problem

The process of translating an idea or invention into a good or service that creates

value or for which customers will pay


Linkage’s Organization Design Wheel


To what degree (1 barely – 5 absolutely) do… 1. We have a specific innovation strategy 2. Employees know what competencies are required to innovate

(CPM) 3. We have specific innovation goals 4. Employees find it easy to collaborate across functions and

departments 5. We share customer information broadly at all levels of the

organization 6. Our leaders encourage employees to take risks 7. Employees are evaluated specifically on their ability to innovate

as part of our performance management process

Innovation Readiness


To what degree (1 barely – 5 absolutely) do… 8. Employees solve problems using diverse teams (e.g., different

functions, levels) 9. We look for a candidate’s ability to be innovative as part of our

hiring process 10. It is easy to access key customer information 11. Employees are trained on how to innovate 12. Employees feel “safe” taking risks 13. We understand how our competitors use innovation to create

competitive advantage 14. We have a strategy to improve our overall innovation

capabilities



To what degree (1 barely – 5 absolutely) do…

15. We know the areas where our customers are most dissatisfied

16. We have a separate budget for innovation in the organization

17. We treat our colleagues like customers

18. We have an effective change management process that builds commitment to a change

19. Our organization structure facilitates collaboration with our customers



• 1

• 2

• 3

• 4

• 5

What was your average score?


Disruptive Innovation Pe

rfor

man

ce

Time

Disruptive Innovations

Good strategies for established companies in established markets

Good strategies for firms seeking to create new growth businesses (or defend against attacks from below)

Most demanding customers

Least demanding customers


Sustaining versus Disruptive Innovation

Sustaining Disruptive • Better performance along

traditional dimensions

• Targets the mainstream or most demanding customers in an established market

• Features a proven, winning business model

• Follows an approach that market leaders find attractive and easy to mimic

• “Good enough” along traditional dimensions, better along new dimensions

• Targets nonconsumers or overshot customers

• Features a low-cost, low-overhead business model

• Follows an approach that natural competitors would find unattractive or difficult to mimic


True or False

1. One company’s disruptive innovation is another company sustaining innovation

2. Disruption is only for technology

3. Companies can either pursue disruptive or sustaining innovations but not both

4. Disruptive innovations are harder to achieve than sustaining innovations

5. The customer is always right

Polling Question


World’s Top Ten Most Innovative Companies

The 2012 Global Innovation 1000 Key Findings, Booz & Company

Where did they disrupt?

How do they sustain?


2014’s Most Innovative Companies (Fast Company)

Who Why

1 Google 350 billion $ giant that reinvents itself and society with every mouse click

2 Bloomberg Philanthropies Data driven philanthropy

3 Xiaomi Low-cost feature rich mobile phones. Reengineering the smart phone business model

4 Dropbox For becoming the everything cloud

5 Netflix Creating great TV in a new context using an already proven model

6 AirBNB The new world’s largest hotel chain - almost

7 Nike For setting a sustainable example – database of materials

8 Zipdial Making missed calls an asset

9 Donors Choose .org Setting its sights on education reform. 225 millions from crowed sourcing

10 Yelp Bridging the online and off line world

http://www.fastcompany.com/section/most-innovative-companies-2014


Jobs-To-Be-Done

What’s the job?

Who are the candidates? What are the hiring

criteria? HELP

WANTED


Non-Consumers to Consumers: Focus on Constraints

What constrains

consumption?

Wealth

Access

Time

Skills


What’s Unique about Jobs-To-Be-Done?

• Puts the customer in the center of the innovation equation

• Determines how the customer views quality

• Incredibly actionable

• Identifies the real competition

Understanding jobs provides a blueprint for innovation


Job, Criteria, or Candidate?

Job Criteria Candidate Small package

Aspirin

Feel healthy

Easy on the stomach

Feel less pain

Stretching exercises

Feel well-rested

Meditative breathing

Faster pain relief

X

X

X X

X

X

X

X

X


The Goal of Design Thinking

The solution that emerges at the end of the DT innovation Process should be the overlap of these three qualities: • Desirability • Feasibility • Viability

Hit the sweet spot. They want it, you can deliver it , and it serves its purpose.


Design Thinking Process

Authentic Non-obvious Reveling

Inspirational Connected Relevant

Low Risk Quick, easy Generative


Innovation Framework

Ask:

• The right questions

• The right way

• Of the right people

• In the right way


A Simple Innovation Process — Defining Challenges

Phase 0 Prepare the

Organization

Phase 1 Define the Challenge

Phase 2 Generate Solutions

Phase 3 Plan and Execute

Phase 4 Engage

the Hearts and Minds


High-Performing Teams

Phase 0 Prepare the Organization

Phase 1 Define the Challenge

Phase 2 Generate Solutions

Phase 3 Plan and Execute

Phase 4 Engage the

Hearts & Minds

Personality Poker Suites Defined

♠ Represents the analytical, data-oriented people. They like facts and tend to be a bit more cerebral than the other styles.

♣ They are the people who “plan the work and work the plans.” Low clubs (5-9) are great planners while the high clubs (10-A) are more bottom-line focused.

♥ Are about the relationships and often make decisions based on how others will feel. Low hearts(5-9) are nurtuing and empathetic, while the high hearts (10-A) are outgoing and great networkers.

♦ Like new ideas and experiences. Low diamonds (5-9) are quite creative, while the high diamonds (10-A) value variety and flexibility.


The Performance Paradox

Tip 22

The Performance Paradox

Motivation

Perf

orm

ance


Do You Have a Strong and Balanced Team?

three-rock-solid-approaches-to-innovation

Leadership & Management

innovation competencies

disruptive innovation

defined innovation

definition of innovation

customers innovation

innovation design thinking

specific innovation

specific innovation