Innovation management – Balancing creativity with discipline, Rishikesha T. Krishnan, Professor of Corporate Strategy & Policy, IIM Bangalore

Slide 1: “Innovation is the effort to create purposeful focused change in an enterprise’s economic or social potential” - Peter Drucker

Slide 2: Large companies appear to have been more successful in Six Sigma, Kaizen, TPM, etc.!

Slide 3: The balance between creativity & value capture changes… …as the organization matures As organizations mature over time Bias towards Balance creativity Focus on creativity & value capture value capture Challenge for Challenge for Source: Davila, Epstein & startup companies mature companies Shelton, 2006

Slide 4: Managing the Tension Efficiency requires Innovation requires stable routines creativity & new ideas   Stable & controlled Loose & flexible environment environment

Slide 5: “We treat innovation as if it were magical, not subject to guidance or nurturing, much less planning. If we study history, however, we know that’s simply untrue. There are times, places & conditions under which innovation flourishes” - Sam Palmisano, CEO, IBM

Slide 6: The Challenge Designing Organizational Systems & Processes that can deliver Ongoing Innovation How to prevent administrative structures & control systems from stifling innovation

Slide 7: Blending discipline and creativity Motivating without losing business focus Creating a virtuous cycle Continuous learning Embedding learning within organization

Slide 8: The Solutions? Creating “small company” feel within a large company Decentralisation Intrapreneurship Internal Corporate Venturing Bringing Silicon Valley Inside