SESSION 607 Thursday, November 2, 4:00pm - 5:00pm

Track: People, Culture, and Value

What Does It Mean to Be Innovative?

John Custy Managing Consultant, JPC GROUP jpcgroup@outlook.com

Session Description DevOps, Agile, IT4IT, Lean: Every organization wants to be innovative, but do they understand true innovation? In this session, you’ll discover the characteristics of an innovative organization, find out what innovation means, and learn the organizational change management techniques management needs to understand to master a culture of innovation.

Speaker Background John Custy is a well-known educator and speaker on service management, with specific expertise in metrics, analytics, service quality, service catalog management, Knowledge-Centered Support, financial management, and problem management. He;s a certified ITIL Service Manager/Expert, a KCS Verified trainer/consultant, an ISO9000 Internal Auditor, and a certified ISO/IEC 20000 Consultant. John received his MA in innovation and technology from Boston University.

What Does It Means to be Innovative?John Custy

JPCGroup@outlook.com

Facilitator IntroductionJohn CustyJPC Groupjpcgroup@outlook.com

Service Management Practitioner, Consultant and Educator Ron Muns Lifetime Achievement Award IT Industry Legends ITIL Expert & ITIL Service Manager ITIL Intermediate – SS, SD, ST, SO, CSI, OSA, SOA, PPO, RCV, Practitioner DevOps Certified - Instructor KT Certified Instructor ITIL Accredited Trainer KCS Verified Consultant & accredited v6 Trainer ISO/IEC 20000 Consultant ISFS, ISMAS based on ISO/IEC 27002 HDI Faculty & Certified Instructor

25 Service Management Experts to Watch in 201720 Best Service Management People to Follow on TwitterTop 25 Thought Leaders in Technical Support and Service Management20 of the Best ITSM Thought Leaders of 2017

ITSMNinja

johncusty

What is Innovation?

Innovation

What does innovation mean to you?

What does innovation mean to your manager?

What does innovation mean to your organization?

How do you measure innovation?

Can you mandate innovation?

How do you facilitate innovation?

OED Synonyms for Innovation

alteration, revolution, upheaval, transformation, reorganization, restructuring, rearrangement, remodeling, restyling.

Improvement is NOT mentioned

Does change ≡ improvement?

Definition

Innovation - The process of translating an idea or invention (something new or to a change made to an existing product, idea, or field) into goods/services that create additional value for the customer and the company.

Innovation is about remaining relevant. Adapting and evolving to the ongoing changes of customers and organizations.

Innovation is core to the way an organization consistently ensures that value is provided to their customers business or life and consequently their shareholders and stakeholders.

Types of Innovation

Evolutionary innovations (continuous or dynamic evolutionary) are brought about by many incremental advances in technology or processes

Revolutionary innovations (also called discontinuous innovations) which are often disruptive and new.

Imitator innovation is less risk an can be more effective

Don’t confuse innovation with invention. Invention is a device, contrivance, or process originated after study and experiment, usually something which has not previously been in existence something new.

Business Innovation1. Conduct an analysis of the trends in the market environment, your customers’

wants and needs and your competitors.

2. Consult with customers and employees for ideas on improving processes, products and services both internally and externally. Find out more about connecting with customers for ideas.

3. Seek advice. Use available resources such as business advisors, grants and assistance to drive innovation in your business. This may include seeking Intellectual Property (IP) protection to commercialize your ideas. Learn more about local collaboration and international collaboration with researchers.

4. Be open to new ideas and adaptive to change.

5. Develop a strategic, responsive plan, which promotes innovation as a key business process across the entire business. Learn about creating an innovative business culture and developing a strategy for innovation.

6. Train and empower your employees to think innovatively from the top down.

Innovation is Change

Approach: How are you doing it?

Informal Practices that affect values and behaviors

Peoples values

Social norms (expecting people will behave in a particular manner)

Social norms are enforced by people within the organization

Modelling behaviors

Formal Practices that establish rules and procedures

Rules, Systems, Procedures, training manual, programs

Codify what has been informal

Code of Conduct

Source: Karen Ferris Balanced Diversity, A Portfolio Approach to Organizational Change

Intent: What are you trying to accomplish?

Fulfillment Practices targeted at delivering on commitments and initiatives

What we should do – compliance, operational excellence,

Innovation Practices that move the organization further along the path to change

Better or different ways to do things

What we could do – experiment, listen, trying new things

There is tension between Fulfillment and Innovation

Source: Karen Ferris Balanced Diversity, A Portfolio Approach to Organizational Change

Balanced Portfolio Model 4 Quadrants

Fostering Commitment – Identify and reinforce the importance of change Five categories and twenty-two practices

Clarifying Expectations – integrate change into strategies, processes Seven categories and eighteen practices

Building momentum for change Six categories and twelve practices

Instilling capacity for change Two categories and seven practices

20 Categories Learning

Developing

Source: Karen Ferris Balanced Diversity, A Portfolio Approach to Organizational Change

Source: Bertels, Papania & Papania 2010

Source: Karen Ferris Balanced Diversity, A Portfolio Approach to Organizational Change

Building Momentum for Change – Raise Awareness

Raise Awareness Trigger – disrupt the status quo

Visual displays of implication of current behaviors

Experience the undesired behaviors

Experience the desired behaviors

Your actions Use simulations …

Stage one – concrete experience

Stage two – reflective observation

Stage three – abstract conceptualization

Stage four –active experimentation

Frame changes in business terms

Building Momentum for Change - Champion

Champion Build coalitions

Inspire/motivate others

How does change relate to your organization

Change champion teams

Your possible actions Identify Innovation champions

Create the coalition – leaders, managers

Champions need to address passive resistance

Direct the enthusiasm of the champions

Champions must influence

Building Momentum for Change - Invite

Invite Seek opinions

Generate ideas using staff meetings

Use external resources to facilitate employee feedback sessions

Open-ended questions

Identify what employees are proud of

Your possible actions Ask employees what they think is needed

Provide opportunities for visibility to senior management

Determine best methods for feedback Anonymous, staff meetings, crowd-source, using third-party

Self-identified projects, experimentation

Building Momentum for Change - Experiment Experiment

Encourage research and experimentation that is aligned to company values Autonomy – workers and managers develop solutions Allocate time for self-started projects New ways to implement Mix of short-term and medium-term goals Managers enable to use judgement Failures can result in a change in strategy to meet the goals

Your possible actions Identify different ways of doing the job More trial and error Change reporting to outcomes vs. activities

Building Momentum for Change - ReEnvision

ReEnvision Define what innovation (change) means for the organization

Right mix of stakeholders to define what is meant by innovation

Ensure that organizations values are considered

Re-assess if key stakeholders agree on the vision

Your possible actions Ensure steps/milestones to achieve the vision are documented and agreed

Kanban board to ensure that all groups needed for change understand their roles, resources assigned, and timeline understood

Building Momentum for Change – Share

Share Share knowledge internally

Cross functional, interdisciplinary teams

Participate in knowledge-sharing opportunities ISACA, HDI, itSMF, etc.

Your possible actions Ensure your team are cross-functional, interdisciplinary, cross-hierarchical

Are outcomes of innovation clear? Business impact of innovation?

Using collaboration tools – Stride, Slack, MS Team,

Public and private dialogues

Source: Karen Ferris Balanced Diversity, A Portfolio Approach to Organizational Change

Instilling Capacity for Change - Learn Learn

Create processes and mechanisms to gather knowledge and skills related to the area of change

Attend industry events, join user groups, newsletters, blogs, social media Observe competitors Develop multiple, diverse internal and external opportunity networks Understand changes in legislative and regulatory requirements Use focus groups and surveys to gather customer and employee opinions Benchmark

Compare your business processes and performance to industry best practices Benchmark with other organizations (internal & external) Determine the level of transparency that is appropriate Strategic, tactical, operational Use internal resources or an external resources

Celebrating failures will encourage new/different ideas and innovation

Building Momentum for Change - Benchmark

Your possible actions Subscribe to industry publications, social media, books, etc.

Leverage subscriptions for industry analysts

Clear goal for benchmarking Business linkage/alignment clear

not benchmarking to benchmark

One-time or ongoing/periodic

Identify who you will benchmark against

Identify actions and the results resulting from benchmarking

Pilot new initiative (fail-fast)

Non-punitive process for reporting

Reflection (regular reviews)

Building Momentum for Change - Develop

Develop Develop new business processes and services

Develop new services to support innovation

Develop organizational change management capabilities

Analytics, Big Data, Predictive Analytics to support innovation

Your possible actions Analytics to identify correlations

Predictive analytics to support decision making

Knowledge management analytics to support product management decisions

CSI register to identify areas for improvement

Release new services to support business processes

Characteristics of Innovative Organizations

Characteristics of Innovative Organizations

Freedom

Resources

Diverse teams

Support

Encouragement

Challenge

Have goals, get out of the way and reward people for trying.

Mistakes Often Made Company value, but no support for innovation

Companies need to invest in the time, people or money to prototype innovative ideas.

Execution – not just ideas Ideas are easy, fast Asking everyone for ideas, think-outside-the-box Support, budget, resources are needed to realize a solution Not what your company thinks, its what your customers think. Do customers

perceive value?

Telling everyone we need ideas

Great leaders innovate the factory that produces the products/services… (David Burkus, Oral Roberts University)

What is needed Focus on transformation – most often this should be driven by

digitalization and disruption issues

Clear focus – what are you looking to innovate? Why?

Challenge the status quo

Telling employees that “we need more great ideas” or having the dialogue with everyone in the organization about how we can get better at finding, testing, and implementing the great ideas that people are already having?

Long-term investment in culture. Strategy is important, but it is Culture drives most of the decisions (often unconscious) that permeate an innovation organization. New ideas take time, failures (productive), communication, and collaboration.

Fearless people.

What is needed

Formal education Systematic methods of innovation like SIT and TRIZ.

Idea management, idea selection, and pipeline development.

Innovation management viewed as a competency like leadership, problem solving, etc.

Identify the blocks to innovation – remove them

View as value generation, not just engineering product development

The reasonable man adapts himself to the world; the

unreasonable one persists in trying to adapt the world to

himself. Therefore all progress depends on the

unreasonable man. Innovation often starts with something

that annoys you personally and is relevant for you.

Something you personally really want to change, because

you need to. It’s the WHY for innovation.

George Bernard Shaw

Sources & Bibliography

http://innovationexcellence.com/blog/2017/09/09/15-must-watch-ted-talks-on-creativity/

Balance Diversity – Karen Davis https://www.youtube.com/watch?v=9_7-EW017HM

https://www.amazon.com/Balanced-Diversity-Portfolio-Approach-Organizational/dp/0117080608

http://karenferris.com/balanced-diversity-a-portfolio-approach-to-organizational-change/