Transcript of "Accelerating Ideas to Market ...Extract from "Creative Genius" by Peter Fisk"
+genius Accelerating Ideas to Market The “new” innovation model is fast and agile, collaborative and networked, reducing risks whilst increasing impact … Extract from “Creative Genius: The Innovation Handbook for Business Leaders” by Peter Fisk, published in 2012. Whilst “new product development” includes the word product, innovations can of course take many forms beyond products. However, most companies have traditionally focused on tangible objects as their focus of innovation, and the process for developing ideas into commercial solutions. It is, of course, tempting to turn an NPD process into a highly rigorous, controlled process – seeking to improve consistency, speed and effectiveness. Whilst it may indeed achieve this, there is a fine balance between specifying such a process in detail, and giving people in the organisation space to use their creative flair, to look beyond the conventions, and seek to create something more radical and different than before HP DeskJet 5000 Chrysler Boeing 777 printer Concorde car aeroplane Number of parts 35 10,000 130,000 Development time 1.5 years 3.5 years 4.5 years Development 100 people 850 people 6800 people team Development $50,000 $1 billion $3 billion costs Sales price $365 $19000 $130 million Sales volume pa 1.5 million 250,000 50 Sales lifetime 3 years 6 years 30 years Development 3% 3.5% 1.5% costs as % lifetime sales firstname.lastname@example.org www.thegeniusworks.com +genius
+genius Rocket ships NASA has had a significant influence on the evolution of product development in business, and particularly in traditional innovation leaders such as 3M. In the 1960’s the US government’s space agency introduced its “phased project planning” approach in order to manage large-scale, complex projects. NASA use four phases – analysis, definition, design and operation – and checkpoint reviews were incorporated to ensure that problems and errors could be addressed as early as possible. The NASA process, as illustrated by Peter Morris in “The Management of Projects” is still commonly used today, in a scaled down form, as the blueprint for “stage gate” NPD processes. Of course business needs to ensure that its developments lead to commercial success, and Branson’s development of space travel at a fraction of the cost or time shows how a more commercial approach can also lead to better technical results. Compared to NASA’s approach, a business would typically start with an overall development strategy, spend more time on idea generation and evaluation, and ensuring that the solution is effectively launched and applied in the marketplace. Stage gates Robert Cooper, author of “Winning at New Products” was perhaps most influential in defining the “stage gate” idea to launch process used by most companies. He more broadly categorised the NPD process into three main phases: 1. Pre-development : Development of an NPD strategy, idea generation, screening and evaluation and business analysis 2. Development and testing: Development, prototyping and adjusting 3. Commercialisation: Market planning, market entry, managing and improving What he encouraged over time, was more focus on the commercialisation aspects – not seeing launch as an end-point, but in many ways the starting point of solving a customer’s problem. email@example.com www.thegeniusworks.com +genius
+genius Cooper himself realised that the process needed more flexibility to embrace creative thinking, and to deliver something new. He added his 4Fs to the stage-gate model – fluid stages which might overlap, fuzzy gates which might not always make black and white decisions, focus on business priorities and best opportunities, and staying flexible. In fact each phase of development can require a different approach, not only in terms of process but in terms of team composition and culture. Zien and Buckler observed three “microcultures” of innovation: Fuzzy Front End – experimental and chaotic, ambiguous and uncertain, lacks structure but is an excellent opportunity for individuals to establish themselves and influence the project Product Development Process – disciplined and focused, quantitative and controlled, underpinned by a clearly defined process delivered through teamwork Market Operations – clear and commercial, task is to effectively produce and launch the development, and make it a success in the market, requiring significant people. Innovations, large and small follow a similar process, although the ways in which they work through the different phases depends on the scale of innovation anticipated or demanded. Incremental innovations Breakthrough innovations Timeframe Short-term Longer-term 1-2 year impact 3-10 year impact Developed within year Developed in 1-3 years Insights Evolving Discontinuities Systematic From anywhere Anticipated Unexpected Solutions Improvements Significant Conventional Discontinuous firstname.lastname@example.org www.thegeniusworks.com +genius
+genius Peter Fisk is a bestselling author, expert consultant and inspirational speaker, combining the most inspiring ideas and practical action. He works with business leaders in every part of the world, making sense incredible change, learning from a new generation of brands and business, digital and physical, large and small … inspiring and enabling you to innovate and win in the exciting new world of business. Peter is CEO and Creative Director of GeniusWorks, a strategic innovation business based in London and Budapest, Istanbul and Dubai, that works with senior management to “see things differently” – to develop and implement more inspired strategies for brands, innovation and marketing. Gamechanger is a strategy accelerator for leadership teams, Innolab is a facilitated innovation process based on deep customer insights and creative thinking, and BrandOptima is a platform to develop better brands and brand portfolios. His next book is The Gamechangers …about the new generation of businesses - from Alibaba to Zipcars, Abercrombie to Zynga - who are transforming markets with bolder brands, smarter innovation and clever marketing. They play by different rules, embracing the growth of emerging markets and power of digital networks, human design and social entrepreneurship, and they win with better results. His previous books included Creative Genius brings together entrepreneurs and artists, rockstars and rockets scientists, in "the essential guide to innovation for leaders, visionaries, and border crossers". Marketing Genius explores the left and right-brain approaches to competitive success (translated into 35 languages), Customer Genius describes how to build a customer-centric business, Business Genius is about inspired leadership and strategy, whilst People Planet Profit explains how to grow, and be good. Peter grew up in the remote farming community of Northumberland, in the North East of England, and after exploring the world of nuclear physics, joined British Airways at a time when it was embarking upon becoming “the world’s favourite airline” with a cultural alignment around customers. He went on to work with many of the world’s leading companies, helping them to grow more profitably by becoming more customer-centric in their structure, operations and leadership. He works across sectors, encouraging business leaders to take a customer perspective, and learning from different types of experiences. His clients include American Express and Aeroflot, Coca Cola and Cooperative Bank, HSBC and Lastminute.com, Marks & Spencer and Microsoft, O2 and Orange, Philips and Red Bull, Shell and Tata Steel, Teliasonera and Turkcell, Vitra and Virgin, Visa and Vodafone. He was also the transforming CEO of the Chartered Institute of Marketing, the world’s largest marketing organisation. He led the strategic marketing consulting team of PA Consulting Group, was MD of Brand Finance and partner of The Foundation, before founding his own business, the Genius Works. He was recently described by Business Strategy Review as “one of the best new business thinkers” and is in demand around the world as an expert advisor and speaker. Find our more at www.theGeniusWorks.com email@example.com www.thegeniusworks.com +genius