Post on 15-Jul-2015
FUTURELAB3.
Let us start with a few questions:
Why do the space shuttle engines have the diameter they have?
FUTURELAB4.
Let us start with a few questions:
OK, that’s pragmatic, but why is the tunnel that width?
FUTURELAB5.
Let us start with a few questions:
That makes sense, but who decided on the width of tracks?
FUTURELAB8.
Let us start with a few questions:
So if the ruts lead to the cart, what caused the ruts?
FUTURELAB9.
Let us start with a few questions:
Standardised imperial chariots? Where did Ceasar get that idea?
FUTURELAB10.
Let us start with a few questions:
OK, but some Egyptian must have had an original idea!
2000 B.C.
FUTURELAB11.
Let us start with a few questions:
And so we find the answer: it’s all because of a horse’s ass.
2x
FUTURELAB13.
Orthodoxies drive our behaviour
In fact, it’s in our genes
... behaviour ...
... ways of working ...
... processes ....
... organisational structures ...
HUMANS
COPY
FUTURELAB14.
Orthodoxies drive our behaviour
It is the secret to human success and achievement
Reading and print Industrial progress
Agriculture Apps
FUTURELAB16.
Orthodoxies drive our behaviour
They can fail us if the world around us changes
Illustration by ~Si2. Print can be purchased at www.deviantart.com
Music industry Education Personal shame (1994/5)
“Browsing is for geeks.”“Blockbuster CD’s rule.” “No cheating.”
FUTURELAB17.
Orthodoxies drive our behaviour
They can be based on wrong assumptions
Earth is flat illustration by ~Si2. Print can be purchased at www.deviantart.com
Our actions have always been driven by
assumptions which everyone knows to be true.
“God does not play dice with
the universe”
Albert Einstein
on Quantum Mechanics
It can happen to the best of us:
FUTURELAB18.
Orthodoxies drive our behaviour
Worst of all, they can close our mind to other options
• We’ve always done it that way
• This is “best practice”
• That’s what everyone does
• Our world-view is right
Part 1: What orthodoxy does to innovation
FUTURELAB
Tradition means giving votes to the most obscure of all
classes, our ancestors.
So you want to be innovative?
G.K. Chesterton
FUTURELAB20.
What orthodoxy does to innovation.
No, I’m not going to talk about orthodoxy versus creativity
Think out of the box!
Wear a green hat!
Find your inner lightbulb!
FUTURELAB21.
What orthodoxy does to innovation.
I am going to talk about the orthodoxy of innovation itself
Why we make it
harder than it
needs to be?
FUTURELAB22.
Time for an innovation renaissance
Which would be the easiest route to cross this desert?
Through the
valleys?
Over the
mountains?
FUTURELAB23.
Time for an innovation renaissance
Weird, most corporate innovators seem to disagree.
PROCESSED FOOD PHARMA
AIRLINES BANKS COMPUTERS
UTILITIES
Source: The Doblin Group, www.doblin.com
FUTURELAB24.
Why?
Time for an innovation renaissance
Weird, most corporate innovators seem to disagree.
FUTURELAB25.
Industrial revolution
Invention mindset
Better & more features
Lower costs
More volumeMass-production logic
Time for an innovation renaissance
Innovation is driven by industrial mass production orthodoxies
FUTURELAB26.
Time for an innovation renaissance
This worked fine as long as we had room in our life for “more”
FUTURELAB28.
Time for an innovation renaissance
Many of our innovation efforts are wasted
Product parity
Hypercompetition
Category overload
Too much choice actually
reduces the preparedness
of customers to make a
purchase.Barry Schwartz
FUTURELAB29.
Time for an innovation renaissance
We consider massive failure as the norm (orthodoxy?)
“50-90% percent of innovation projects [are] judged to have made little or no contribution to
organizational goals” Wikipedia, 2011
FUTURELAB31.
Time for an innovation renaissance
Accepting “collateral damage” as it occurs
• Demotivation
• Stress
• Wasted resources
• Lost competitive position
• Complexity
Part 2: Time for an innovation renaissance
FUTURELAB
So you want to be innovative?
Anything that won't sell, I don't want to invent. Its sale is
proof of utility, and utility is success.
Thomas A. Edison
FUTURELAB33.
Time for an innovation renaissance
How do these guys do it?
The industrialist’s nightmare:
I sell overpriced, underspec’d
computers and people love them.
I take a traditional industry like finance,
travel or telco and slap a red logo on it.
FUTURELAB34.
Time for an innovation renaissance
On innovation, they lead their people through the valleys
Experience innovation
Business model innovation
Service innovation
…
FUTURELAB35.
Time for an innovation renaissance
They have let go of the old world orthodoxies
Better & more features
Lower costs
More volume
“Age of Scarcity”
Innovate for:
FUTURELAB36.
Time for an innovation renaissance
They have recognised we live in a different era
“Age of Abundance”
In mature markets
It’s hard to get double-digit growth
from finding new customers.
It’s much easier to extend the
relationship with the customers
you already have.
FUTURELAB37.
Time for an innovation renaissance
They innovate for relationships
Enough to keep things fresh
and interesting.But not too much.
FUTURELAB38.
Time for an innovation renaissance
Or in business terms
“Age of Abundance”
Innovate for:
Stakeholder Lifetime Value
Better relationships & reputation
Lower costs
A compass for your consideration
FUTURELAB39.
An innovation renaissance
Some remarkably good practices
• Hardware
• Software
• Infrastructure
• Hosting
• Consulting
• Operations
• ...
One more
thing
FUTURELAB40.
A “not so best” practice
Every innovation poses a relationship risk.
Innovate to keep your relationships fresh, but don’t overdo it.
Innovate
for growth
How Planta almost lost me ... and still might.
Risk
relationships
DO DON’T
Time for an innovation renaissance
5 Steps to transform yourself
FUTURELAB
So you want to be innovative?
A leader is someone who steps back from the entire
system and tries to build a more collaborative, more
innovative system that will work over the long term.
Robert Reich
FUTURELAB4216/11/2013
5 Steps to transform yourself
Step 1: Listen, Watch and Learn
Obvious? Test yourself:
If you’re in B2C: when was the last
time you really spoke to a consumer?
If you’re in B2B: how actively do you
manage all your stakeholder’s
emotions?
“Shop your own product”.
By walking in customers’
shoes you understand
how they see the world.
Georges-Edouard Dias
SVP, L’Oréal Group
Key Advice
Insights Choice DriversRecommendation triggers
Take the customer perspective ... all the way.
FUTURELAB43.
Step 1: Listen, Watch and Learn
Asset leveraging
Bad profits
Global inspiration
Co-creation
Internal sensing
Market foresight
For most of us
Innovation is not invention.
Most of what you need will
exist in some shape or form.
5 Steps to transform yourself
FUTURELAB44.
Adaptation of The Innovation Radar 2.0 by J.Chen and M.Sawney of Kellogg School of Management, 2008.
The Innovation Radar
There are 12-15
types of innovation.
Which ones are
your competitors
missing?
Step 2: Broaden your innovation horizon5 Steps to transform yourself
FUTURELAB
Opportunities for
meaningful
differentiation
Areas to
keep up
or stay ahead
Look at
the niches
Copy when
proven only
High
Low
Low High
Cu
sto
me
r E
ng
ag
em
en
t
Innovation Intensity
Step 2: Broaden your innovation horizon
45.
The Innovation Strategy Matrix
Develop a “portfolio”
of innovation
strategies depending
on the situation.
5 Steps to transform yourself
FUTURELAB46.
Innovation is a social, not a personal achievement. It does not belong in a “department”.
Step 3: Involve your people
• Engagement programmes
• Digital (open) platforms
• Organisational flexibility
• Corporate venturing projects
• Innovation teams
• ...
5 Steps to transform yourself
FUTURELAB47
Make sure people understand what you aim to achieve
Provide people with the innovation & design knowledge/tools to contribute
Build an innovation movement that rewards initiative rather than ask for instant ROI
16/11/2013
* Based on Norton, D. Aligning your Strategy to the Customer Value Proposition, 13/9/2005.
Only 5% of your workforce
understands your strategy*
Step 3: Involve your people
So how can they innovate upon it?
5 Steps to transform yourself
FUTURELAB48
Step 4: Make sure you got it “right”
“Failing fast” is no
excuse for being
sloppy.
Implement a simple system that allows people to evaluate their
own ideas and forces cross-functional co-operation.
5 Steps to transform yourself
FUTURELAB4916/11/2013
5 Steps to transform yourself
Step 4: Make sure you got it “right”
Simplify, so your business is able to execute. Then simplify again.
The Laws of SimplicityJohn Maeda
1. Reduce
2. Organise
3. Time
4. Learn
5. Differences
6. Context
7. Emotion
8. Trust
9. Failure
10. The One
Food for thought:
Can you “appify”
your business?
FUTURELAB50
5 Steps to transform yourself
Step 5: Go to market to enhance relationships
How do your
innovations strengthen
your existing customer
relationships?
The experience IS
the product.
Peter Merholz
Experience
Delight
Loyalty
Profit
Racing to market is no excuse for being sloppy.
Align your business as if it were the only innovation
you’ll ever launch.
Conclusion
FUTURELAB
Finally, in conclusion, let me just say this.
So you want to be innovative?
Peter Sellers
FUTURELAB5216/11/2013
CONCLUSION
Break innovation’s orthodoxies.
STEP 1
Listen, watch and learn.
STEP 2
Broaden your innovation horizon.
STEP 3
Involve your people.
STEP 4
Make sure you got it “right”.
STEP 5
: Go to market to enhance existing relationships.
FUTURELAB53.
Conclusion
Focus on the valleys that lead to customer success
You can innovate less
Because no one is there, you
make your life easier.
Innovations have more meaning
With the same effort you can
differentiate yourself more.