Innovation

Never Stops

ASQ Automotive Division

2015 Symposium

Peter Merrill

Chair; ASQ Innovation Division

www.petermerrill.com

Why Innovation?

Global Change

Digitization

Market Change

Social Change

Perfect Storm of Change

It is not the strongest that survive,

nor the most intelligent,

but the one most responsive to change.

- Charles Darwin

Respond to Change

…by Innovating

Leadership Agenda

„Innovation‟ at the top

„Quality‟ is „expected‟.

Natural Development

QC>QA>QM>>

>>Innovation

Quality and

Innovation

They co-habit.

Find Customer need

Quality professional

agree needs to be met

limits on capability

some needs unmet

Innovators

address the unmet needs

...in a New Way!

Understanding

Innovation.

Range of understanding

Number of definitions

Like Quality,

Essential elements:

driven by an unmet need

create something new.

„the new‟ creates benefit.

radical change in „doing‟

Improvement .v.

Innovation

Improvement - refine process

„improved‟ product or service.

Innovation >>

entirely new process

entirely new product

entirely new service.

Improvement to Innovation

no sudden transition - continuum

Three levels of

Innovation;

1. Business model,

2. process and

3. product.

product innovation people notice

business model more than realized

process innovation Q more comfortable

usually improvement

Innovation Process

Innovation People

1 I ‘Connect the Dots’ I get things done I like Possibilities I bring things ‘down to

earth’

2 I need to understand I make things work Everything has a good

and bad side

There has to be a right

answer

3 Don’t tell me what to

do

Give me facts not

theory

I create choices I like to analyze data

4 A Concept must be

sound

I like ‘energy’ Don’t fuss with details I like precision

5 I think things

through

I take risks I like to hear about

problems

I focus

6 I like the big picture I find a way that works I want to own the

problem

I am thorough

7 I like to define the

problem

I push for acceptance I find out the facts I Plan

TOTAL TOTAL TOTAL TOTAL

Creator, Connector, Developer, Doer?

e-version at www.petermerrill.com/self-assessment

Column 1 you’re a Connector, Column 2 a Doer,

Column 3 a Creator and Column 4 a Developer

Creative Phase

Creator

See the Need

Find the Opportunity

Marketeer, Researcher

Practical People

Open Network

„Loose‟ Mode

Allow subconscious

Connector

Define the Problem

“Connect” to Solution

Design, R & D,

Learn by Thinking

Open Network

„Loose‟ Mode.

“One is not enough”

The Shift in Team Members

Find the

Opportunity

Connect to

the Solution

Make it

User Friendly

Get to

Market

Creators

Connectors

Developers

Doers

Execution Phase

Developer

User Friendly solution

Engineer, Systems

Learn by Thinking

Closed Network

Tight Mode

Get the Result,

Make it Work

Doer

Deliver the solution

Sales, Production

Practical Person

Closed network

Tight Mode

Need „Mix‟ of People

Open and Closed Networks

Creative Phase

Open Network

Sharing knowledge

Execution Phase

Closed Network

Getting results

Creative Behaviors

Exploration

we „step out of the box‟

gain new learning.

Collaboration

interact with people

„different‟ from ourselves.

Experimentation

Willingness to fail

and find new solutions.

Culture is

“The way things get done around here”.

- Deal and Kennedy

Find Opportunities

Green Field Market Place

Open Network

Don‟t ask „do we meet req‟ts‟

Ask Customer;

„where having difficulty?‟

unfulfilled needs

Starts creative process

Then define the problem

If I had an hour to save the world

I would spend 55 minutes defining the problem

and 5 minutes finding the solution. - Einstein

Find Solutions

Problem Defined

Classic solutioning

Within status quo

immediate cause and effect

broken process step

inadequate requirements.

Connector‟s find

Solutions in new environments

Creative solutions

Produce new ideas thru

imagination and

unconventional approach

Occurs when we

Have freedom to think

interact with new stimuli.

Daily work removes freedom

Step out of the box

Use Collective knowledge

go „right brain

Separates us from competitors

Einstein; No problem can be solved with the

same level of consciousness that created it

Creative Process

Clear Problem Definition

People write first ideas

Circulate and stimulate

Randomness

Eliminates „loud voice‟

Avoids fear of rejection.

Allow wild ideas

Brainwriting, Clustering….

“The best way to get a good idea is

to get lots of ideas”. - Linus Pauling,

‘Tipping Point’ - Behaviour change

Select solution

Narrow focus

Loose

Tight

Tipping Point

Risk averse

“minor” innovations

Radical innovations;

More profit,

more risk.

Data and Information

Each idea rated on

time cost risk radical.

Set Strategy –

Mitigate Risk.

If you see a bandwagon, its too late

– James Goldsmith

Execution Behaviors

„Thinkers‟

Go wrong staying „loose‟

High Focus

Speed and Discipline.

Work Ethic

Project Management

Monitoring/Control

Develop

Mission; “User friendly” solution

Not bells and whistles

Closed Network

Time is of the essence

Test solutions

Involve the customer

Genius is 1% inspiration and 99% perspiration

– Thomas Edison

Deliver the Solution

3000 ideas - 1 makes it!

Operations and Sales

Advance notice

biggest advantage.

Know obstacles

„Tipping Point‟

risk assessment.

„Early Adopters‟

“Opportunities” step

Innovation process

links to TS 16949

Identify the opportunity

(8.2.1, 8.3)

Connect to solutions (8.4, 8.5)

Select preferred solution (5.6)

Develop working solution (7.3, 7.4)

Deliver the solution (7.5, 7.2)

Innovation Strategy

"I" Team Plan

Opportunity

Identify Market Shifts

Develop Network

Identify Customer Pain

Potential Markets

Connect to Solution

Define the Problem

Adjust the Network

Explore and Solution

Specify Risks

Tipping Point

Select Solutions

Change Team Membership

Development

Close Network

Engage Customers/Suppliers

Engage Production/Sales

Pilot Testing

Execute

Value Proposition

Pilot Operations

Pilot Market

Feedback to Development

Organizational

Assessment

Leadership and Strategy

Knowledge Management

Processes and System

People Involvement

Culture

Results

Available On-Line

Culture and Leadership Strongly

Agree Agree Disagree Strongly

Disagree

We encourage Risk Taking

We have Commitment to Innovation

Our Vision alludes to Innovation

Our Leaders search for new Ideas

Our People search for new ideas

Total (total each column) X 4 x3 x2 x1

Grand Total =

ASQ Innovation

Division

Help understand Innovation

Develop the „fit‟ with „quality‟

Innovation and Quality

ASQ Core Value

http://asq.org/innovation-group

Engaged ASQ Members

Attracting new/young members

Members love it - High Energy

Path Forward

Self Assess

Organizational

Assessment

Form the Team

Execute a Project

Join the Division

pm@ petermerrill.com

www.petermerrill.com

+1 905 319 8600