INNOVATION ARCHITECTURE 1
Innovation Architecture
Ronna Coffman
Grand Canyon University: ENT-435
April 21st, 2017
Innovation is much more than just design thinking workshops. In fact, innovation is a challenging undertaking. For the success of an organization it requires repeatable and rigorous system of innovation. Creativity and ideas are essential ingredients of innovation. The seeds of innovation are provided by individuals, but innovation is a team effort that turns ideas into reality and delivers tangible outcomes. (Elliott, 2014)
Companies today face a harsh ultimatum: Innovate or die. Senior executives repeatedly tell to their employees that failing to innovate would create a critical risk to their enterprise’s growth, even its survival. Organizations rate themselves lowest on one aspect of innovation i.e. the ability to implement a “system of innovation” – a defined, consistent and effective innovation process. (France, Mott, & Wagner, 2014)
Innovation involves the introduction of something new, particularly something radically different. The something new could be products and services, product/service delivery, business designs, business processes, or new ways of managing.
Business Innovation can be differentiated from other types of initiative such as efficiency, continuous improvement, transformation, optimization etc. by its purpose. The purpose of business innovation is to create new future value for the organization. Innovation is strongly connected to strategy since the focus of strategy is to consider the constantly changing context and envision the future to define the best competitive position to achieve future goals.
The greatest challenge faced in building innovation architecture is that leaders are not able to create a climate for innovation in an organization. The employees are not recognized and rewarded for the innovative work they carry out. The organizations should look after the employees as they play an important role in bringing out innovation.
Innovation in an organization is everyone’s responsibility, but employees can’t innovate unless their leaders empower them to do so in an environment that values and rewards their contributions. The leaders should create a climate that helps the employees to innovate and even they are allocated accountability for a particular idea. Company can create a center of innovation expertise in corporate headquarters or diversifies ownership of innovation across business units depending on company’s market focus and on its organizational structure.
For bringing out innovation the employees must be involved, motivated and engaged with the leaders. If they do the same things each day, they’re not going to get inspired by new things. To get more than ideas for continuous improvement, people’s minds should be flooded with a lot of new information – and this is where Design Thinking can play a great role.
Building innovation architecture:
Successful innovators .
1. INNOVATION ARCHITECTURE 1
Innovation Architecture
Ronna Coffman
Grand Canyon University: ENT-435
April 21st, 2017
Innovation is much more than just design thinking workshops.
In fact, innovation is a challenging undertaking. For the success
of an organization it requires repeatable and rigorous system of
innovation. Creativity and ideas are essential ingredients of
innovation. The seeds of innovation are provided by
individuals, but innovation is a team effort that turns ideas into
reality and delivers tangible outcomes. (Elliott, 2014)
Companies today face a harsh ultimatum: Innovate or die.
Senior executives repeatedly tell to their employees that failing
to innovate would create a critical risk to their enterprise’s
growth, even its survival. Organizations rate themselves lowest
on one aspect of innovation i.e. the ability to implement a
“system of innovation” – a defined, consistent and effective
innovation process. (France, Mott, & Wagner, 2014)
2. Innovation involves the introduction of something new,
particularly something radically different. The something new
could be products and services, product/service delivery,
business designs, business processes, or new ways of managing.
Business Innovation can be differentiated from other types
of initiative such as efficiency, continuous improvement,
transformation, optimization etc. by its purpose. The purpose
of business innovation is to create new future value for the
organization. Innovation is strongly connected to strategy since
the focus of strategy is to consider the constantly changing
context and envision the future to define the best competitive
position to achieve future goals.
The greatest challenge faced in building innovation architecture
is that leaders are not able to create a climate for innovation in
an organization. The employees are not recognized and
rewarded for the innovative work they carry out. The
organizations should look after the employees as they play an
important role in bringing out innovation.
Innovation in an organization is everyone’s responsibility,
but employees can’t innovate unless their leaders empower them
to do so in an environment that values and rewards their
contributions. The leaders should create a climate that helps the
employees to innovate and even they are allocated
accountability for a particular idea. Company can create a
center of innovation expertise in corporate headquarters or
diversifies ownership of innovation across business units
depending on company’s market focus and on its organizational
structure.
For bringing out innovation the employees must be
involved, motivated and engaged with the leaders. If they do
the same things each day, they’re not going to get inspired by
new things. To get more than ideas for continuous improvement,
people’s minds should be flooded with a lot of new information
– and this is where Design Thinking can play a great role.
Building innovation architecture:
Successful innovators in an organization share traits in three
3. critical areas:
Leadership: Creating a climate for innovation
Leadership competencies for creating a climate for innovation
focus more on how to instill values than on traditional
management skills. Successful innovators have leaders who
establish a climate for innovation. They create a compelling
vision for their people, challenge the status quo, explore
unconventional ways of solving big problems and become
champions for innovation.
Values and culture: Instilling the right principles
Changes to the corporate culture are necessary to improve a
company’s innovation capacity. A culture that encourages
innovation includes challenging the status quo, freedom of
expression and values of risk taking. Successful innovators
believe innovation is a business priority, and employees are
expected to develop new ideas or create new ways of doing
things. The employees are recognized and rewarded for
innovation.
Organizational structures and processes: Aligning crucial
systems
Successful innovators report that their organizational
structures facilitate cross-functional or cross-business
collaboration, that they include diverse networks of external
organizations that share ideas, and that their companies are
skilled in collaborating and managing external partnerships.
The leaders should also keep the aspect of innovation into
consideration at time of hiring the employees. The ability of
employees to innovate should be checked during interview.
Transparency along the pipeline is essential for Innovative
companies, because seeing the process work is a big part of
what motivates people to think creatively – whether or not their
ideas are implemented. Organizations that implement innovation
architecture should develop a system that assesses leaders not
only according to what was accomplished, but also by how it
was accomplished. The Performance-management systems
provide essential crosswalks between values, behaviors, and
4. performance. The Performance-management system should be
updated when a company elevates innovation to a top priority;
for instance, short-term business results may suffer, and a
certain amount of failure is guaranteed. This means that
performance-management systems must assess whether business
challenges are being addressed in line with the company’s
values, regardless of the short-term outcome. The innovation
must be integrated into performance management. In
performance assessment system leaders should challenge the
process about innovation.
Failing to innovate can put global organizations at risk and
diminish their ability to sustain or gain a competitive
advantage. Ability of companies to innovate is inextricably
linked to leaders, culture, and organizational design.
Some challenges can be managed largely by building
leadership bench strength, but sustained innovation depends on
developing whole leaders who can create the right climate.
Inculcating certain values – such as risk taking, challenging the
status quo, and freedom of expression – into the corporate
culture is key to innovation. Leaders must also take
responsibility for designing and building the right
organizational structure and processes to support the
development and implementation of ideas that create value – the
essence of effective innovation.
The conditions that promote innovation must be supported by
leaders across the company and the innovation process must
start at the highest levels. The leaders must think about the
three key drivers – leadership, culture, and organizational
structure and processes for effective innovation architecture.
Only then can senior leadership build an adaptive and
sustainable organization that is truly an innovation engine.
Interview Summary
Name of the person interviewed: Mr. Todd Goodwin
Number of years he has been a manager: 5 years
Name of the company at which he is currently employed:
5. American Express
How long the person has been employed at the current company:
8 years
Date of the interview: 22nd April’2017
Mode of interview: Telephonic Interview
Contact information for the person:
4315 South 2700 West
Salt Lake City, Utah 84184
Interview Questionnaire
1. What is business innovation and who owns it in an
organization?
2. What are the biggest misconceptions when it comes to
innovation?
3. How can organizations be more innovative?
4. How does innovation affect the hiring process in an
organization?
5. How are employees motivated for incorporating innovation in
their daily tasks?
6. Can you describe a time you were involved in implementing a
company-wide policy change? What was your strategy, what
tactics did you use, and what was the outcome?
7. What are the major challenges faced across the organization
for driving innovation?
Invitation for an interview
Date: April 16th, 2017
Dear Todd,
6. This letter is an invitation to consider participating in a study I
am conducting to create “innovation architecture” to support a
culture of innovation within organizations. I would like to
provide you with more information about this project and what
your involvement would entail if you decide to take part.
This study will focus on innovation in organizations whose
ongoing purpose is to learn more about the techniques
organizations utilize or fail to utilize to encourage and support
the implementation of innovations.
Participation in this study is voluntary. It will involve a
telephonic interview of approximately 10minutes in length. You
may decline to answer any of the interview questions if you so
wish. Further, you may decide to withdraw from this study at
any time without any negative consequences. With your
permission, the interview will be tape-recorded to facilitate
collection of information, and later transcribed for analysis. All
information you provide is considered completely confidential.
Your name will not appear in any thesis or report resulting from
this study, however, with your permission anonymous
quotations may be used.
I very much look forward to speaking with you and thank you in
advance for your assistance in this project.
Sincerely,
Ronna Coffman
April 16th, 2017
Consent Form
I have read the information presented in the information letter
about a study being conducted for “innovation architecture” in
an organization. I have had the opportunity to ask any questions
related to this study, to receive satisfactory answers to my
questions, and any additional details I wanted.
I am aware that I have the option of allowing my interview to be
tape recorded to ensure an accurate recording of my responses.
I am also aware that excerpts from the interview may be
included in the dissertation and/or publications to come from
7. this research, with the understanding that the quotations will be
anonymous.
I was informed that I may withdraw my consent at any time
without penalty by advising the researcher.
With full knowledge of all foregoing, I agree, of my own free
will, to participate in this study.
X
YES NO
I agree to have my interview tape recorded.
____
X
YES NO
I agree to the use of anonymous quotations in any thesis or
publication that comes of this research.
____
X
YES NO
Participant’s Name: Mr. Todd Goodwin
Date: April 16th, 2017
REFERENCES
Elliott, T., Interview: What’s Required For Real Business
Innovation, (Feb, 2014) retrieved from