Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Upcoming SlideShare
What to Upload to SlideShare
Next
Download to read offline and view in fullscreen.

0

Share

How to shape your innovation ecosystem to create impact in your organization (by Stijn Smet)

Download to read offline

50 years ago, innovation centers like Xerox or Philips’ Natlab set the benchmark with their methodologies on organizing innovation. Today, innovation is influenced by rapid-moving triggers and companies have to organize accordingly. Discover current best practices on organizing your innovation ecosystem.

Related Books

Free with a 30 day trial from Scribd

See all

Related Audiobooks

Free with a 30 day trial from Scribd

See all
  • Be the first to like this

How to shape your innovation ecosystem to create impact in your organization (by Stijn Smet)

  1. 1. 2.1 How to shape your innovation ecosystem to create impact in your organization 1 CONFIDENTIAL Template Innovation Day 2019CONFIDENTIAL SHAPING YOUR INNOVATION ECOSYSTEM Stijn Smet Coordinator InnoLab stijn.smet@verhaert.com TRACK 2 MyInnovationFactory
  2. 2. 2.1 How to shape your innovation ecosystem to create impact in your organization 2 CONFIDENTIAL 1 2 3 4 CONTENT How we used to organize Current challenges Innovation organization framework Looking beyond your own organization
  3. 3. 2.1 How to shape your innovation ecosystem to create impact in your organization 3 CONFIDENTIAL HOW WE USED TO ORGANIZE 50 years ago: the birth of structured innovation programs
  4. 4. 2.1 How to shape your innovation ecosystem to create impact in your organization 4 CONFIDENTIAL Unix (’60s) HEROES OF INNOVATION – AT&T BELL LABS C (’70s)Solar cells (‘54)Transistor(‘47) Charge-coupleddevice (‘69)
  5. 5. 2.1 How to shape your innovation ecosystem to create impact in your organization 5 CONFIDENTIAL HEROES OF INNOVATION – IBM RESEARCH Floppy disk (‘67) Watson Supercomputer (2011)Smartphone Simon (‘94)ATM (‘73)
  6. 6. 2.1 How to shape your innovation ecosystem to create impact in your organization 6 CONFIDENTIAL HEROES OF INNOVATION – XEROX PARC Computer mouse (‘64) Ethernet (‘74) Graphic User Interface (’70s) Laser printer (‘75)
  7. 7. 2.1 How to shape your innovation ecosystem to create impact in your organization 7 CONFIDENTIAL Recipe for winning a Nobel prize 1. Have a lot of money ☺ 2. The brightest minds 3. Closed environment 4. Deliberate focus on specific technologies 5. Time & resources to investigate HOW THEY USED TO ORGANIZE (or 9)
  8. 8. 2.1 How to shape your innovation ecosystem to create impact in your organization 8 CONFIDENTIAL CURRENT CHALLENGES FOR CORPORATE INNOVATORS Internal & external drivers for change
  9. 9. 2.1 How to shape your innovation ecosystem to create impact in your organization 9 CONFIDENTIAL Rising complexity of systems WHAT HAPPENED? War for talent Consumer demands & shorter product lifecycles Pressure on short-term profit Technology convergence Rapid technology innovations Global playing field E-commerce Fierce start-up disruption New entrants & market disruptors
  10. 10. 2.1 How to shape your innovation ecosystem to create impact in your organization 10 CONFIDENTIAL EVOLUTION OF CORPORATE R&D 1870 – 1920 Inventor / entrepreneur Ad hoc Trial & error 1920 – 1990 Corporate R&D labs Closed & centralized Divisionalization 1990 – today Corporate VC & Biz dev Investments & KPIs ROI & revenue growth 2010 – today Networks & outposts Incubators Open innovation
  11. 11. 2.1 How to shape your innovation ecosystem to create impact in your organization 11 CONFIDENTIAL FIRST THINGS FIRST: FOCUS ON YOUR OWN AMBITIONS & STRATEGY
  12. 12. 2.1 How to shape your innovation ecosystem to create impact in your organization 12 CONFIDENTIAL WHY DOES INNOVATION FAIL IN ESTABLISHED COMPANIES?
  13. 13. 2.1 How to shape your innovation ecosystem to create impact in your organization 13 CONFIDENTIAL INNOVATION THEATER CORPORATE ANTIBODIES STRATEGIC DISCONNECT
  14. 14. 2.1 How to shape your innovation ecosystem to create impact in your organization 14 CONFIDENTIAL INNOVATION ORGANIZATION FRAMEWORK Shaping your organization towards high-impact innovation
  15. 15. 2.1 How to shape your innovation ecosystem to create impact in your organization 15 CONFIDENTIAL ORGANIZING FOR IMPACT-DRIVEN INNOVATION Kudos to: Tendayi Viki Author of ‘The Corporate Startup’
  16. 16. 2.1 How to shape your innovation ecosystem to create impact in your organization 16 CONFIDENTIAL INNOVATION THESIS
  17. 17. 2.1 How to shape your innovation ecosystem to create impact in your organization 17 CONFIDENTIAL growing efforts relevance not for granted more in-house competences INNOVATION THESIS initiatives are standalone no focus on synergies no holistic vision uncertain outcomes create hesitance Companies require a compass to guide them in the endless sea of opportunities, challenges and methods to innovate.
  18. 18. 2.1 How to shape your innovation ecosystem to create impact in your organization 18 CONFIDENTIAL INNOVATION THESIS Set global KPIs to follow-up Re-balance your existing framework Validate your innovation thesis Define what you’re NOT going to focus on Define your strategic innovation themes
  19. 19. 2.1 How to shape your innovation ecosystem to create impact in your organization 19 CONFIDENTIAL INNOVATION PORTFOLIO
  20. 20. 2.1 How to shape your innovation ecosystem to create impact in your organization 20 CONFIDENTIAL AN INNOVATION PORTFOLIO IS THE GLUE BETWEEN STRATEGY & EXECUTION
  21. 21. 2.1 How to shape your innovation ecosystem to create impact in your organization 21 CONFIDENTIAL INNOVATION PORTFOLIO ENOUGH IDEAS? THE RIGHT MIX? MEASURING PROGRESS? ON TRACK? WHAT TO PRIORITIZE? WHAT BUDGET YOU NEED?
  22. 22. 2.1 How to shape your innovation ecosystem to create impact in your organization 22 CONFIDENTIAL Being intentional with your portfolio will help you to … INNOVATION PORTFOLIO Avoid ‘trial & error’ approach Perform periodic reviews Find opportunities to combine efforts & outcomes Direct your portfolio according to your overall strategy Better allocate your energy & resources
  23. 23. 2.1 How to shape your innovation ecosystem to create impact in your organization 23 CONFIDENTIAL Depending on your steering preferences or KPIs, you can compile dashboards on: • Focus • Ambition/horizon • Intent • Time • Execution stream • … INNOVATION PORTFOLIO
  24. 24. 2.1 How to shape your innovation ecosystem to create impact in your organization 24 CONFIDENTIAL WHAT IS THE IDEAL BALANCE?
  25. 25. 2.1 How to shape your innovation ecosystem to create impact in your organization 25 CONFIDENTIAL INNOVATION PRACTICE
  26. 26. 2.1 How to shape your innovation ecosystem to create impact in your organization 26 CONFIDENTIAL INNOVATION FRAMEWORK
  27. 27. 2.1 How to shape your innovation ecosystem to create impact in your organization 27 CONFIDENTIAL INNOVATION FRAMEWORK
  28. 28. 2.1 How to shape your innovation ecosystem to create impact in your organization 28 CONFIDENTIAL INNOVATION FRAMEWORK Stage-gate meetings Eg. 3 months Clear decision points List hypotheses, validation approach & budget
  29. 29. 2.1 How to shape your innovation ecosystem to create impact in your organization 29 CONFIDENTIAL INNOVATION FRAMEWORK Set clear stage-gate criteria and reporting KPIs Adjacent & transformational innovations require focused effort Budget accordingly (avoid zombie projects) Explicitly aid teams to work in sprints (build/test/learn) Prioritize your riskiest assumptions
  30. 30. 2.1 How to shape your innovation ecosystem to create impact in your organization 30 CONFIDENTIAL INNOVATION ACCOUNTING
  31. 31. 2.1 How to shape your innovation ecosystem to create impact in your organization 31 CONFIDENTIAL INNOVATION ACCOUNTING GLOBAL KPIS GOVERNANCE KPIS REPORTING KPIS ~ innovation practice
  32. 32. 2.1 How to shape your innovation ecosystem to create impact in your organization 32 CONFIDENTIAL INNOVATION ACCOUNTING GLOBAL KPIS GOVERNANCE KPIS REPORTING KPIS ~ innovation practice ~ innovation management
  33. 33. 2.1 How to shape your innovation ecosystem to create impact in your organization 33 CONFIDENTIAL INNOVATION ACCOUNTING GLOBAL KPIS GOVERNANCE KPIS REPORTING KPIS ~ innovation practice ~ innovation strategy ~ innovation management
  34. 34. 2.1 How to shape your innovation ecosystem to create impact in your organization 34 CONFIDENTIAL INNOVATION ACCOUNTING GLOBAL KPIS GOVERNANCE KPIS REPORTING KPIS ACTIVITY METRICS IMPACT METRICS
  35. 35. 2.1 How to shape your innovation ecosystem to create impact in your organization 35 CONFIDENTIAL WHAT ARE YOUR INNOVATION KPI’S?
  36. 36. 2.1 How to shape your innovation ecosystem to create impact in your organization 36 CONFIDENTIAL REPORTING KPIs ACTIVITY METRICS IMPACT METRICS Number of ideas generated Number of ideas chosen Number of assumptions Number of experiments Number of customer conversations/interviews Number of customer observations Number of prototypes developed Number of MVPs built Number of hackathons held Number of design sprints Risky assumptions identified Hypotheses developed Minimum fail criteria set Experiment results Cohort analysis Decisions made (pivot, persevere, retest) Pirate metrics (acquisition, activation, retention, revenue, referral) Customer lifetime value Cost-per-learning Time-cost-learning Learning velocity Validation velocity REPORTING KPIs
  37. 37. 2.1 How to shape your innovation ecosystem to create impact in your organization 37 CONFIDENTIAL GOVERNANCE KPIs ACTIVITY METRICS IMPACT METRICS Number of products in pipeline Number of products per innovation stage Number of ideas submitted Number of decisions made Number of products moving stages Average amount spent per stage Assumptions-to-knowledge ratio Stage-gate criteria % of products at problem-solution fit % of products at product-market fit % of products at scale Number of validated business models Validation velocity Returns on product development expense Process improvement metrics GOVERNANCE KPIs
  38. 38. 2.1 How to shape your innovation ecosystem to create impact in your organization 38 CONFIDENTIAL GLOBAL KPIs ACTIVITY METRICS IMPACT METRICS Number of products by type of innovation (core, adjacent, transformational) Number of products per innovation stage % of products aligned to innovation thesis Number of patent filings Startup partnerships Academic collaborations Number of products built using lean methods Number of employees trained Number of investment boards Number of innovation coaches Number of innovation events Innovation contribution Cost savings Innovation conversion New product market share New segment market share Increased shelf space Increased share of wallet Increased distribution footprint Number of patents granted New business models taken to scale GLOBAL KPIs
  39. 39. 2.1 How to shape your innovation ecosystem to create impact in your organization 39 CONFIDENTIAL MEASURE WHAT IS RELEVANT FOR YOUR ORGANIZATION Innovation departments should measure cannibalization as a positive KPI Innovation return is more important on overall level then per project basis The knowledge-to-assumption ratio is an important KPI Invest in installing this mindset throughout the organization Business and innovation projects should be managed separately
  40. 40. 2.1 How to shape your innovation ecosystem to create impact in your organization 40 CONFIDENTIAL 12 STEPS TOWARDS A MATURE INNOVATION ORGANIZATION 1. Explore your context 2. Get executive buy in 3. Develop innovation thesis 4. Map your portfolio 5. Choose innovation model 6. Create an innovation framework 7. Work with enabling functions 8. Create tools and platforms 9. Develop innovation capabilities 10.Set up investment boards 11.Choose key metrics 12.Build the community
  41. 41. 2.1 How to shape your innovation ecosystem to create impact in your organization 41 CONFIDENTIAL LOOKING BEYOND YOUR OWN ORGANIZATION
  42. 42. 2.1 How to shape your innovation ecosystem to create impact in your organization 42 CONFIDENTIAL THE NETWORK ALWAYS WINS
  43. 43. 2.1 How to shape your innovation ecosystem to create impact in your organization 43 CONFIDENTIAL LOOKING BEYOND YOUR OWN ORGANIZATION Share the value with (open) platforms Allow for casual connections to build the relationship Be open about your innovation needs Let users define your innovation goals & tweak your products Go all-in. Don’t take it like a side project
  44. 44. 2.1 How to shape your innovation ecosystem to create impact in your organization 44 CONFIDENTIAL HOW VERHAERT LOOKS AT IT
  45. 45. 2.1 How to shape your innovation ecosystem to create impact in your organization 45 CONFIDENTIAL EVOLUTION OF CORPORATE R&D 1870 – 1920 Inventor / entrepreneur Ad hoc Trial & error 1920 – 1990 Corporate R&D labs Closed & centralized Divisionalization 1990 – today Corporate VC & Biz dev Investments & KPIs ROI & revenue growth 2010 – today Networks & outposts Incubators Open innovation
  46. 46. 2.1 How to shape your innovation ecosystem to create impact in your organization 49 CONFIDENTIAL One group, five brands Our services are marketed through 5 brands each addressing specific missions in product development. INTEGRATED PRODUCT DEVELOPMENT ON-SITE PRODUCT DEVELOPMENT DIGITAL PRODUCT DEVELOPMENT OPTICAL PRODUCT DEVELOPMENT

50 years ago, innovation centers like Xerox or Philips’ Natlab set the benchmark with their methodologies on organizing innovation. Today, innovation is influenced by rapid-moving triggers and companies have to organize accordingly. Discover current best practices on organizing your innovation ecosystem.

Views

Total views

613

On Slideshare

0

From embeds

0

Number of embeds

404

Actions

Downloads

21

Shares

0

Comments

0

Likes

0

×