The capability to “generate insights” is the key competitive advantage. “In our “knowledge society” a company’s competitive advantage will derive from the capability to generate insights” - Peter Drucker
A study on identical twins found that while 80% of IQ differences were attributable to genetics, only 30% of creativity could be explained that way
That means that we can work on learning and improving our creativity
Companies can build “insight generation” capability, in analogy to the principles of Toyota Production System
2. 2
The capability to “generate insights” is the key competitive advantage
“In our “knowledge society”
a company’s competitive
advantage will derive from
the capability to generate
insights” - Peter Drucker
3. 3
A typical bias: Believing that this capability cannot be built in
the organization
Schumpeter’s bias
§ The lone and creative entrepreneur as
driving force of economic
development
§ The magic of an insight is not
replicable
Corporate Elitism
§ Strategic Insight generation is
restricted to the “elite” people…
§ …the leadership and the market
research experts
4. 4
But research shows the contrary
§ A study on identical twins found
that while 80% of IQ differences
were attributable to genetics, only
30% of creativity could be explained
that way
§ That means that we can work on
learning and improving our
creativity
§ Companies can build “insight
generation” capability, in analogy to
the principles of Toyota Production
System
1. Responsibility for problem solving
is democratic
The search and implementation of
ideas to improve performance is
spread across and is pushed down to
the lowest possible level
2. Standardization of learning and
practice
Jobs, tools and techniques to improve
operational performance are
standardized and personnel is
systematically trained on it
5. 5
The Insight Driven Organization Matrix
RESPONSIBILITY FOR INSIGHTSNarrow Wide
STANDARDIZATIONOFLEARNING
ANDPRACTICES
Low
High
Source: ECSI research
Only for Professionals
§ Responsibility of insight is
on a single group of experts
(e.g. Market Research)
§ Tools and practices are
highly standardized
Community of Explorers
§ Responsibility of insight is
across groups and pushed
down in the organization
§ Practices and tools are
standardized to maximize
effectiveness and
replicability
Schumpeter’s Bias
§ Limited attention on the
issue, nothing is
standardized
§ All is left to the individual
initiative and talent
Creative Chaos
§ Leadership and culture
foster individual initiatives
§ All this energy is not
maximized through standard
practices and processes