Innovating Company Culture

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Presentation about how to create a company culture that supports innovation. Practical and hands on approach.

Presentation about how to create a company culture that supports innovation. Practical and hands on approach.

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  • 1. Innovating Company Culture A practical approach 1 2013-11-12 PA1 Confidential
  • 2. Introduction • • If all pre-requisites are taken into consideration, then the company/organization will have a good foundation for an innovative company culture • 2 To create an innovative company/organizational culture it is necessary to understand a number of pre-requisites of innovation Continuously revisiting these pre-requisites and re-evaluating them is essential to remain innovative 2013-11-12 PA1 Confidential
  • 3. Company Culture Edgar Schein presents culture as a series of assumptions a person makes about the group in which they participate. These assumptions are grouped into three levels, each level becoming more difficult to articulate and change. These assumptions can be seen through: • Artifacts (what you experience with your senses, such as language, styles, stories, and published statements); • Espoused beliefs and values (ideals, goals and aspirations); and • Basic underlying beliefs (taken for granted conditions). [10] 3 2013-11-12 PA1 Confidential
  • 4. Overview By having answers to these 8 questions, an organization can build a good foundation for an innovative culture 4 2013-11-12 PA1 Confidential
  • 5. How do we innovate? Method • • To reduce this barrier of entry and facilitate for people to start thinking about innovation, there are several methods available • Lateral and parallel thinking are two methods introduced by Edward de Bono [8], and there are many others available as well • 5 It can be difficult for people to just sit down and think about innovation without any help The line manager should introduce different methods to the organization to facilitate the innovation process 2013-11-12 PA1 Confidential
  • 6. How do we innovate? Infrastructure • • An innovation portal where all new ideas are listed and where it is easy to see the follow up of each new idea could be one solution • Once a person has come up with an idea, it should never be intimidating or cumbersome to submit that idea, and all members of a group should be able to support and comment on each others ideas • 6 There needs to be an easy and transparent way of submitting new innovations and ideas You can always go into more details if the idea gets positive attention 2013-11-12 PA1 Confidential
  • 7. Why do we innovate? • • Is reducing costs the major driver of innovation? Or is it a lack of quality in reports? Or is it the number of submitted patents? Or lack of product quality? • 7 It should be clear to a group why they should invest time and effort to innovate and come up with new ideas If the group knows why they have to innovate, it is easier to focus their attention on innovations that will actually get positive attention 2013-11-12 PA1 Confidential
  • 8. Why do we innovate? Assessment of ideas • • If an idea is accepted or rejected, it should be clear not only why, but how that assessment was done, and based on what criteria • 8 The assessment criteria should be clear to everyone This transparency is critical to give the innovation program credibility 2013-11-12 PA1 Confidential
  • 9. Why do we innovate? Personal Incentives • Why should an individual invest effort in the innovation process? What incentives are available to motivate people? • Financial incentives are often not effective and overreliance on them can erode emotional commitment [7] [11] Incentives [6] Financial Incentives Moral Incentives • Allowing people to control what they do and give them autonomy is one way – allow people to drive the implementation of their own innovations [7] • Recognition within the group is another way – have a monthly department innovation meeting where top innovators are recognized [7] 9 2013-11-12 PA1 Personal Incentives Natural Incentives Confidential
  • 10. When do we innovate? • • Monthly brain storming [9] sessions? • 10 minutes on each weekly section meeting? • Lessons learned after each project? • One hour each Friday? • 10 minutes on a morning stand up innovation meeting? • 10 When will the group have time to innovate? Don’t expect people to innovate on their own time - Hopefully they will, but that will be a by-product of a good innovation culture One hour bi-weekly to think about ideas alone? 2013-11-12 PA1 Confidential
  • 11. Who innovates? • • However people with less than 6 months experience will have a hard time doing meaningful contributions because of their lack of knowledge, and participating should be seen more as training • 11 Everyone in the group should be part of the innovation effort People with 6-18 months of experience could be separated from the rest of the group since they have a unique opportunity to have enough experience to do meaningful contributions, but not been involved long enough to become rigid and trapped in their way of working 2013-11-12 PA1 Confidential
  • 12. What do we innovate? • • Without knowledge it is easy to invent the wheel over and over again • Of course we should never prohibit anyone from innovating within other areas, but for the innovations to be relevant and to get the right follow up, it is easier if the innovations are relevant to the groups work • 12 Meaningful innovation requires understanding and knowledge – we innovate primarily within our core competence The line manager should focus to groups attention in the right direction 2013-11-12 PA1 Confidential
  • 13. For Whom do we innovate? • • If an idea is generated, it should be clear who receives and asses that idea • 13 The stakeholders should be clear to everyone It should also be clear who supports and finances the implementation, development and follow up of the idea 2013-11-12 PA1 Confidential
  • 14. Where do we innovate? • • Can we use the environment to facilitate innovation somehow? • Specific innovation white boards in the coffee room? • 14 Do we have specific rooms for innovation? Or do we use regular meeting rooms? The more we can support the exchange and development of ideas, the better 2013-11-12 PA1 Confidential
  • 15. With whom to we innovate? • • Innovation is a group effort, but of course parts of it can be done alone as well • An initial idea can be generated alone, and then developed and improved with the group, but everything can also be done as a group • 15 It should be clear with whom a person can bounce ideas with and who is involved in the innovation process The manager should also be involved in the innovation effort and add input from a different perspective and abstraction level 2013-11-12 PA1 Confidential
  • 16. Conclusion • • The leader of the group has significant responsibility to drive the group in the right direction and give the pre-requisites needed for innovation to become an intricate part of the groups foundation • 16 If the group has these 8 questions answered in a satisfactory way, they have a solid foundation and a good pre-requisite for creating a thriving innovation culture Innovation cannot end with an excel sheet full of ideas that no one acts upon – follow up, support, implementation and rewarding effort is critical 2013-11-12 PA1 Confidential
  • 17. References [1] The Four Drivers of Innovation http://businessjournal.gallup.com/content/26068/four-drivers-innovation.aspx [2] Creating an Innovation Culture: Failure is necessary http://www.forbes.com/sites/darden/2012/06/20/creating-an-innovation-culture-accepting-failure-is-necessary/ [3] 8 Pillars of Innovation http://www.thinkwithgoogle.com/quarterly/innovation/8-pillars-of-innovation.html [4] Why corporate culture is important for innovation http://innovateonpurpose.blogspot.se/2012/10/why-corporate-culture-is-important-for.html [5] The Truth about Innovation Culture http://www.innovationexcellence.com/blog/2012/11/14/the-truth-about-innovation-culture/ [6] Wikipedia – Incentives http://en.wikipedia.org/wiki/Incentive [7] Money is not the best motivator http://www.forbes.com/2010/04/06/money-motivation-pay-leadership-managing-employees.html [8] Edward de Bono http://en.wikipedia.org/wiki/Edward_de_Bono [9] Brainstorming http://en.wikipedia.org/wiki/Brainstorming [10] Organisational Culture Defines http://www.sidewaysthoughts.com/blog/2010/11/organisational-culture-defined-courtesy-of-edgar-schein/ [11] The Puzzle of Motivation http://www.ted.com/talks/dan_pink_on_motivation.html 17 2013-11-12 PA1 Confidential