Slides of Innovation Courses EGADEMOI Itesm aug 2014


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Slides of Innovation Courses EGADEMOI Itesm aug 2014

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  2. 2. Mtro. Moisés Nathán Cielak @mcielak moises@ACADEMIADEINFLUENCIADIGITAL.COM Socio   Director:   ACADI   RENATA   P.R.   FOR   THE   AMERICAS,   ONG   DEDICADA   A   LAS   PYMES       Academic  background   ITESM,  CCM   MBA  focused  in  Marke1ng   Master  of  Economics     Tecnológico  de  Monterrey   B.  Sc.  Computer  Science   Miami  Dade  College   Diploma  in  Social  Media   Marke1ng  by  The    Social   Media  Marke1ng  Academy   Doctor  A  Prima,  Univ.   Wisconsin-­‐Madison         Headlines   Congressman  ProRP  y  PRSA   Researcher  for  the  AssociaHon   for  Internet  MarkeHng  y  de  la   U.S.  Social  Media  MarkeHng   Academy     Ex-­‐Director  Florida   Campaign  for  Senator     Barack  Obama  for   President  2007-­‐2008       Enterprise  Backgrounder     Head  coach  for  Companies   P&G,  Cemex,    FedEx  Nestlé,   Arcelor  MiNal,  DHL  Miami,  Master   Research,   Ex-­‐Marke1ng  Manager     HewleT  Packard  Latam   Ex.Editor  in  Chief  Editorial   Televisa,       Writer  and  columnist  for    Pulso   PYME,    Expansión,  Obras,   Turnberry  Interna1onal  Real   Estate  Review.   Lecturer  at  Univ.  Ibero,  Westhill   College,  Univ.  Anáhuac,  Andina,   PetromoN,  Chilean  Council   May  2014
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  4. 4. •  Developing  a  corporate  innovaHve  philosophy   provides  a  number  of  advantages:       1.  This  type  of  atmosphere  oWen  leads  to  the   development  of  new  products  and  services.     2.  It  creates  a  workforce  that  can  help  the   enterprise  maintain  its  compe11ve  posture.     3.  It  promotes  a  climate  conducive  to  high   achievers  and  helps  the  enterprise  mo1vate  and   keep  its  best  people.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Introduc1on:  The  “I-­‐Challenge”   1-­‐4
  5. 5. •  Innova&ve  thinking  goes  beyond  the  mere   crea1on  of  business.   •  “Ideas  come  from  people.  Innova1on  is  a   capability  of  the  many.”   •  Innova1ve  thinking  is  an  integrated  mindset   that  permeates  individuals  and  organiza1ons.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Innova1ve  Thinking   1-­‐5  
  6. 6. InnovaHon,  CreaHvity,  and  Entrepreneurship   •  Crea1vity  is  typically  described  as  the  process   of  genera1ng  new  ideas.   •  Innova1on  takes  crea1vity  a  step  further  by   being  a  process  that  turns  those  ideas  into   reality.   •  Innova1on  is  the  process  by  which   entrepreneurs  convert  opportuni1es  (ideas)   into  marketable  solu1ons.     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     The  Concept  of  Innova1on   1-­‐6  
  7. 7. Types:   •  Product  innova&on  is  about  making  beneficial   changes  to  physical  products.       •  Process  innova&on  is  about  making  beneficial   changes  to  the  processes  that  produce  products   or  services.     •  Service  innova&on  is  about  making  beneficial   changes  to  services  that  customers  use.     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Categorizing  Innova1on   1-­‐7  
  8. 8. Methods:   •  Inven%on:  the  crea1on  of  a  new  product,  service,  or   process,  oWen  one  that  is  novel  or  untried;  revolu1onary.   •  Extension:  the  expansion  of  a  product,  service,  or  process   already  in  existence.     •  Duplica%on:  the  replica1on  of  an  already  exis1ng  product,   service,  or  process  adding  the  entrepreneur’s  own  crea1ve   touch  to  enhance  or  improve  the  concept  to  beat  the   compe11on.   •  Synthesis:  the  combina1on  of  exis1ng  concepts  and  factors   into  a  new  formula1on.       ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Categorizing  Innova1on   1-­‐8  
  9. 9. Trajectories:   –  Radical  innova%on  is  the  launching  of  inaugural   breakthroughs  such  as  personal  computers  and  overnight  mail   delivery.   –  Incremental  Innova%on  refers  to  the  systema1c  evolu1on  of  a   product  or  service  into  newer  or  larger  markets.  Examples   include  the  typical  improvements  and  advances  in  current   products  and  services.   –  Disrup%ve  Innova%on  goes  beyond  radical  innova1on  and   transforms  business  prac1ce  to  rewrite  the  rules  of  an   industry.    In  other  words,  the  business  prac1ce  of  an  en1re   industrial  sector  could  be  changed  radically.     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Categorizing  Innova1on   1-­‐9  
  10. 10. ➤   Innova%on  Is  Planned  and  Predictable     ➤   Technical  Specifica%ons  Must  Be  Thoroughly   Prepared   ➤   Big  Projects  Will  Develop  BeDer  Innova%ons  than   Smaller  Ones   ➤   Technology  Is  the  Driving  Force  of  Innova%on   Success.     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Misconcep1ons  of  Innova1on   1-­‐10  
  11. 11. •  Learning  how  to  innovate  effec1vely  entails   managing  knowledge  within  the  organiza1on   and  offers  the  poten1al  to  enhance  the  way   the  organiza1on  innovates.   •  How  an  organiza1on  acquires,  processes,  and   learns  from  the  prior  knowledge  that  it  has   gained  is  cri1cal  to  the  complete  innova1on   process.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     Innova1on  &  Learning   1-­‐11  
  12. 12. } Entrepreneurship:  a  dynamic  process  of  vision,  change,   and  innova&on.  It  requires  an  applica&on  of  energy  and   passion  towards  the  crea&on  and  implementa&on  of  new   ideas  and  crea&ve  solu&ons.  Essen&al  ingredients  include   the  willingness  to  take  calculated  risks—in  terms  of  &me,   equity,  or  career;  the  ability  to  formulate  an  effec&ve   venture  team;  the  crea&ve  skill  to  marshal  needed   resources;  the  fundamental  skill  of  building  a  solid   business  plan;  and,  finally,  the  vision  to  recognize   opportunity  where  others  see  chaos,  contradic&on,  and   confusion.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     The  Innova1ve  Mindset  in  Individuals   1-­‐12  
  13. 13. •  Genera1on  “E”    Nearly  80%  of  would-­‐be  entrepreneurs  in  the  United   States  are  between  the  ages  of  18  and  34.     }  I  =  f  (i)  states  that  innova1on  is  a  func1on  of  the   innovator.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     The  Innova1ve  Mindset  in  Individuals   1-­‐13  
  14. 14. •  Characteris1cs:       Determina&on  and  Perseverance        Goal  Orienta&on   Achievement  Drive                      Tolerance  for  Failure   Internal  Locus  of  Control                    High  Energy  Level   Tolerance  for  Ambiguity              Crea&vity   Calculated  Risk  Taking              Vision   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     The  Innova1ve  Mindset  in  Individuals   1-­‐14  
  15. 15. •  The  quest  for  new  venture  crea1on  as  well  as   the  willingness  to  sustain  that  venture  is   directly  related  to  an  entrepreneur’s   mo&va&on.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Entrepreneurial  Mo1va1on   1-­‐15  
  16. 16.       ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     A  Model  of  Entrepreneurial  Mo1va1on   Expecta1on/   Outcome   Comparison   Intrinsic/Extrinsic   Rewards   PE   PG  PC   BE   IDEA   Decision  to  Behave   Entrepreneurially   Entrepreneurial   Strategy   Entrepreneurial   Management   Firm   Outcomes   Implementa1on/ Outcome   Percep1on                                                                                                                                                                              PC  =  Personal  Characteris1cs                                                                                                                                                                                                                                    PE  =  Personal  Environment                                                                                                                                                                                                                                    PG  =  Personal  Goals                                                                                                                                                                                                                                    BE  =  Business  Environment     1-­‐16  
  17. 17. •  Venture  crea1on  is  a  lived  experience  that,  as   it  unfolds,  forms  the  entrepreneur.  In  fact,  the   crea1on  of  a  sustainable  enterprise  involves   three  parallel,  interac1ve  phenomena:   emergence  of  the  opportunity,  emergence  of   the  venture,  and  emergence  of  the   entrepreneur.  None  are  predetermined  or   fixed,  they  define  and  are  defined  by  one   another.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     The  Experien1al  View   1-­‐17  
  18. 18. •  Trends   •  Unexpected  Occurrences   •  Incongrui&es   •  Process  Needs   •  Industry  and  Market  Changes   •  Demographic  Changes   •  Perceptual  Changes   •  Knowledge-­‐Based  Concepts     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall       Drivers  (Sources)  of  Innova1on         1-­‐18  
  19. 19. •  Individuals  are  Born  to  Innovate   •  Innovators  Must  be  Inventors   •  FiIng  the  Innovator’s  Profile   •  Innova%on  is  Being  Lucky   •  Innovators  are  Gamblers   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Mythology  Associated  with  Innovators     1-­‐19  
  20. 20. }  Sources  of  Stress      Insula%on      Addic%on  to  the  Innova%on      Perfec%onist  Syndrome      Achievement  Orienta%on     }  Managing  the  Stress      Network      Refresh  Yourself      The  Personal  Touch      Gain  New  Perspec%ves      Delegate      Exercise       ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall       Innova1on  and  Stress….Beware!     1-­‐20  
  21. 21. •  Managers  must  assume  certain   ongoing  responsibili1es:              Frame  the  Challenge      Absorb  the  Uncertainty        Define  Gravity   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Managing  Innova1ve  Individuals     1-­‐21  
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  25. 25. •   Innova1on  appears  almost  all  the  1me,  as  one  of  the   two  or  three  first  bullet  points  of  the  company’s  agenda.     •   The  investment  of  a  huge  quan1ty  of  money  and  hard   work  in  the  area  of  innova1on  has  produced,  really  a   small  amount  in  what  it  comes  to  new  wealth.    
  26. 26. •   Research  and  Development   •   There’s  no  sta1s1cal  and  discernable  rela1onship   between  the  spending  levels  in  Research  and   Development,  and  almost  all  the  measures  in  business   success.  
  27. 27. •   Taking  advantage  of  a  disrup1ve  technology     •   One  idea  for  one  radical  new  product   •   One  concept  for  a  truly  innova1ve  service   •   One  business  model  that  transforms  the  game   •   Take  advantage  of  a  superior  idea  
  28. 28. •   Deep  and  superior  capacity  for  Innova1on:     •   One  that  impulses  with  consistency,  the  profitable   growth  of  investments  or  that  allows  a  company  to   maintain  the  compe11ve  advantage.   •   Source  of  hope  and  inspira1on  for  the  rest  of  the   business  community.  
  29. 29. •   Cultural  revolu1on  of  the  company,  in   charge  of  the  CEO  and  general  director  of  GE,   Jeff  Immelt     •   Innova1on  as  a  deep  and  systema1c   capacity  working  all  through  the   company.     •   One  engine  that  impulses  and  sustains   the  growth  of  new  investments.   •   Extend  the  limits  of  the  company,  in  an   organic  way   •   Transport  GE  to  new  business  lines,   new  geographical  zones  and  new   customer  segments.  
  30. 30. •   New  strategy  leaded  by  the  CEO  of  P&G,   Alan  G.  Lafley     •   Innova1on  as  the  whole  aspect,  in  how   the  company  invents,  produces,   commercializes  and  distributes  its   products.   •   Reaching  new  levels  of  implacable  and   profitable  growth  each  year.     •   Bringing  the  walls  that  separated  the   categories  of  the  products,  the  business   units,  the  sectors  and  brands  down   •   New  organiza1onal  model  called   ‘Connect  and  Develop’  
  31. 31. •   “Immelt  and  Lafley  are  riding  through  a  path  in   which  all  the  ones  that  dedicate  themselves  to   business  will  eventually  ride.  Observe  and   learn.”    -­‐  Geoff  Colvine  from  Fortune  Magazine  
  32. 32. •   “One  innova1on  coming  from  everyone  and   everywhere”     •   -­‐  Dave  Whitman,  ex  CEO  of  Whirlpool  (1999)  
  33. 33. •   Implemen1ng  innova1on  as  central  compe11on  at  Whirlpool     •   The  naming  of  the  vice-­‐presidents  of  innova1on,  both  in  global  and  regional  levels.   •   The  crea1on  of  big  “Tran  func1onal  innova1on  teams”,  in  each  region,  dedicated   exclusively  to  the  research  of  new  forefront  ideas.     •   The  introduc1on  of  a  training  program  for  the  whole  company,  addressed  to  the   development  and  diffusion  of  innova1ve  mentality  and  capaci1es.     •   The  naming  of  600  “innova1on  mentors”  and  25  “innova1on  consultants”,  in   which  they  act  as  assis1ng  experts.   •   The  crea1on  of  “innova1on  counsels”,  for  the  supervision  of  the  con1nual  process   of  the  innova1on’  capacity  building.     •   The  organiza1on  of  big  communica1on  events,  called  the  Innova1on  Days,  in   which  the  innova1on  teams,  present  their  ideas  to  the  other  members  of  Whirlpool,   the  media,  and  even  Wall  Street  analysts.    
  34. 34. •     Implemen1ng  innova1on  as  central  compe11on  at  Whirlpool       •   The  crea1on  of  a  broad  set  of  parameters,  for  measuring  con1nually  the   performance  of  the  company’s  innova1ve  development,  as  well  as  the  progress  to   insert  it  as  central  compe11on.     •   The  establishment  of  a  sophis1cated  IT  structure,  called  Innova1on  E-­‐Space,  in   which  the  whole  staff  of  Whirlpool  is  integrated  and  mo1vated  to  show  the  effort   for  innova1on,  and  keep  track  at  the  same  1me,  of  the  progress  of  the  ac1vi1es  for   innova1on  inside  the  company.   •   Imagining  exci1ng  and  relevant  solu1ons  for  the  customers.   •   “If  we  keep  innova1ng,  we  keep  growing”  –Jeff  Feug,  CEO  of  Whirlpool  
  35. 35. •   Mexican  and  global  company  focused   in  the  construc1on  materials.   •   “One  new  category  of  formidable   compe1tors”–Business  Week   •   Third  place  in  the  global  cement   market     •   “…CEO  of  CEMEX,  Lorenzo  Zambrano,   decided  that  the  key  factor  for  building   a  beNer  future  for  his  company  was   innova1on”  
  36. 36. •   CEMEX’  Innova1on  system  elements:   •   One  group  dedicated  to  innova1on,  leaded  by  an  innova1on   director,  with  full-­‐1me  employees.     •   Mul1func1onal  teams,  in  charge  of  genera1ng  new  ideas  and   forefront  proposals.   •   One  council  of  innova1on  created  for  the  selec1on  and   financing  of  these  proposals.     •   Hundreds  of  “innova1on  champions”,  which  are  in  charge  of   being  mentors  and  guide  every  employee  that  has  generated   an  idea.   •   Virtual  and  online  compe11ons  of  “ping  pong”,  which  allow   other  people  to  “rebound”  ideas  from  one  side  to  the  other,   including  the  whole  organiza1on,  and  the  best  in  the  field.  
  37. 37. •   CEMEX’  Innova1on  system  elements:   •   One  IT  dedicated  plaxorm,  which  accelerates  the  diffusion  of   new  ideas  throughout  the  whole  company,  and  has  an  online   bank  of  ideas,  designed  for  facilita1ng  the  sharing  of  the   employees’  ideas,  either  if  their  big  or  small.   •   The  Innova1on  Days,  dedicated  annually  for  the  recogni1on   and  celebra1on  of  the  innovators’  work,  happen  to  given  the   “Oscar  Award”  to  the  best  implemented  ideas.   •   Ideas  for  big  accelera1on  of  the  company’s  opera1ons,  such   as  logis1cs.  
  38. 38. •   The  innova1on  as  systema1c  capacity:     •   Six  Sigma   •   Cycling  1me     •   Quick  customer  service   •   One  issue  of  wrongs  and  rights  in  the  deep  and  central   compe11on.     Why  the  majority  of  the  actual  organiza1ons,  even  those  where   organic  growth  and  supposedly  innova1on  are  true  strategic   priori1es,  s1ll  don’t  find  something  similar,  or  even  a  remotely   systema1c  and  corpora1ve  focus  of  innova1on?  
  39. 39. Real  innova1on  in  the  companies,  and  how  to  test  it:     Ask  the  employees:      Can  you  describe  the  innova1on  corpora1ve  system  of  your    company?        Do  you  consider  that  the  important  direc1ves  think  that  every    employee  of  the  company  is  an  innovator,  that  has  a  poten1al    capacity  for  shaping  the  course  that  someday  might  follow  the    organiza1on?      Have  you  received  any  training  for  being  a  business  innovator?    
  40. 40. Ask  the  employees:      What  importance  does  the  innova1on  has  in  the  evalua1on  of  your    performance  and  remunera1on?          How  hard  would  it  be  to  get  small  amounts  of  experimental  capital  for    trying  a  new  idea?        Would  you  know  who  to  talk  to  in  the  organiza1on  to  find  coaches  or    mentors  that  might  help  with  launching  the  progress  of  your  idea?        The  administra1ve  process  of  your  company  (planning,  strategy,  budget    and  capital  elabora1on,  etc)  support  your  work  as  innovator?  
  41. 41. Expect  as  an  answer:      Blank  looks,  why?      There  are  several  ways  of  suppor1ng  the  aggressive  growth:                  Innova1on  in  its  products,  business  models  and  management        systems.          Strategy  life  cycles  are  geung  shorter          You  need  a  new  strategic  way  of  thinking                *The  majority  of  the  organiza1ons  haven’t  created  a  clear          model  
  42. 42. The  quality  as  systema1c  and  deep  capacity   *  Training  to  the  people   *  Supplying  of  useful  instruments   • Change  of  parameters  and  faculty  giving  of  decision  to  the   common  workers.   The  quality  as  intrinsic  and  generalized     capacity  
  43. 43. Why  are  there  faults  in  the  quality   management?   • Lack  of  knowledge  about  the  processes,  instruments  and   crucial  mechanisms.     •   Lack  of  knowledge  in  how  to  create  quality  systems   •   The  innova1on  as  secondary  spectacle:  something  good  to   have  and  as  conversa1on  subject.  
  44. 44. Solu1on?  INNOVATION!   Matryoshka  Model    Appears  to  be  simple  but…      *  When  it  opens,  it  has  an  effect  of    integrated  pieces.    *Require  each  piece  for  being  complete.        
  45. 45. Matryoshka  Model  in  the  innova1on:    *  A  deep  and  systema1c  challenge    *  A  band  of  interdependent  dimensions      *  Innova1on  is  where  these  mechanisms    should  be  integrated  appropriately  for    effec1ve  func1oning.  
  46. 46. •   Calibrate  again  all  of  its  systems  and  central  management   processes  for  the  conversion  of  innova1on  in  one  part  of  the   common  system.   •   “The  field  has  advanced  more  or  less,  to  the  same  point  where   medicine  was  where  leeches,  liniments,  and  magic  solu1ons,   where  the  treatment  of  the  era”                    -­‐  Larry  Keeley   •   The  applied  innova1on  in  the  systema1c  form,  DOES  work    
  47. 47. CULTURAL  CHANGE  for  the  INNOVATION:      -­‐  Time,  money  and  dedica1on    -­‐  From  three  to  five  years     “…manage  and  domain  the  innova1on  as  a  disciplined  business  ac1vity,   will  help  the  organiza1on  to  cul1vate  huge  financial  rewards”            *Make  innova1on  a  way  of  life      
  48. 48.
  49. 49. •   Where  does  innova1on  really  comes  from?   •   How  can  you  generate  such  a  radical  and   rewarding  idea  that  fundamentally  changes  the   expecta1ons  of  the  customer,  reinvents  the  cost   structure  of  your  industry,  or  redefines  the   bases  of  the  compe11on,  in  a  way  that   devaluates  the  skills  and  ac1ves  of  your  rivals?    
  50. 50. Progress:     *Create  in  people’s  lives,  the  1me  and  necessary  space   for  reflec1on,  genera1on  of  ideas  and  experimenta1on.     *Maximize  the  thinking  diversity,  required  for   innova1on.     *Propi1ate  the  connec1on  and  conversa1on;  the   “chemical  combina1on”  that  feels  the  bases  for  feeding   the  forefront  ideas.  
  51. 51. •   The  lack  of  1me  in  innova1on:     •   The  obstacle  for  the  organiza1on  to  work  in  a   harder  and  quicker  way.     •   The  obstacle  complemented  with  the  lack  of   aNen1on  caused  by  small  fragments  and   distrac1ons.    
  52. 52. Create  a  culture  where  the  employees  have  1me   for  imagining,  experimen1ng  and  developing  their   own  ideas.    
  53. 53. Insert  the  innova1on  as  central  compe11on:     •   75  people  from  three  different  geographic  zone  around  the  world,  to   create  the  process  innova1on.     •   Challenge:  formulate  a  strategic  knowledge  base  of  the  market  that  could   inspire  a  new  radical  thought  and  one  new  growth  feed  by  innova1on.   •   Result:   •   Genera1on  of  ideas,  discipline  applica1on,  and  judgment  in  the   process  of  molding  the  opportuni1es  for  crea1ng  aNrac1ve  business   plans  and  catch  the  financial  value.   •   Release  the  employees’  imagina1on  from  the  whole  organiza1on   and  create  a  bunch  of  innova1on  opportuni1es.  
  54. 54. Inser1ng  innova1on  as  central  compe11on:     •   Time  period:  9  months   •   “They  included  some  of  the  highlighted  talents  of  the   organiza1on,  isolated  from  their  opera1ve  func1ons  at   the  moment,  where  the  business  needed  them”    -­‐  Nancy  Zinder,  Corpora1ve  vice-­‐president  of    innova1on  at  Whirlpool  
  55. 55. POST:  A  third  part  of  the  75  people  came  back  to  their   previous  jobs  to  spread  the  innova1on  concept  among  the   lines.     The  other  third  part  will  be  full-­‐1me  innova1on  consultants.       The  remaining  third  part  was  assigned  to  lead  new  projects   of  innova1on.  
  56. 56. Par1cipa1on  of:   •   Innova1on  councils       •   Important  direc1ves   •   “The  mee1ngs  separated  the  innova1on  from  the   normal  day,  and  turned  to  be  the  only  place  where   innova1on  took  the  center  away  from  the  daily  business   demands.”    -­‐  Nancy  Zinder  
  57. 57. Crea1on  of:   •   Mul1func1onal  team  plaxorms  for  innova1on   •   10  or  12  members  in  rota1on    
  58. 58. Crea1on  of:   •   Mul1func1onal  team  plaxorms  for  innova1on:   •   Challenge:     •   Explore  innova1ve  solu1ons  rela1ve  to  big  plaxorms  or   themes.     •   Develop  between  8  and  10  strategic  experiments   focused  on  the  subject  of  the  assigned  plaxorm.     •   PROs:  The  team  members  first  receive  an  intensive  training   for  them  to  learn  how  to  act  as  business  innovators.   • TIME:     •   At  least,  one  day  per  week,  during  three  or  four   months.     •   Team  replacement  each  10  or  12  weeks.  
  59. 59. Dave  Myers  from  Gore  (Flagstaff,  Arizona):      In  charge  of  produc1on  and  new  plas1c  implants  for  the  heart  in    Gore          IDEA  during  his  free  1me?:  Cover  the  bicycles’  speed  cables  with    plas1c  for  beNer  turn.      RESULT?:  Ride-­‐On  Cable  for  bicycles.      Next  IDEA:  Cover  the  guitar’s  strings  with  plas1c.    RESULT?:  Elixir  strings  for  acous1c  guitars.  
  60. 60. 70/20/10  Google’s  Method:      70%  of  their  1me  for  the  main  business  ac1vity.        20%  of  their  1me  for  new  strategic  projects  such  as        Google  News,  Earth,  Book  Search,  Checkout  and  Apps      10%  of  their  1me  for  “spoiled”  projects.  
  61. 61. Discussions  among   ethnic,  racial  and   gender  diversity.   Bases:     Laws  approved  by  the  government   and  the  poli1c  conduct.     Globaliza1on  of  business   Know  and  take  advantage  of  quick   demographic  changes.      
  62. 62. “If  you  want  to  compete  globally,  you  must   understand  that  80%  of  the  world  is  not  made  by   white  people,  and  50%  is  not  made  by  males”        -­‐  Luke  Viscon1,  partner  and  cofounder  of  DiversityInc  Magazine  
  63. 63. Advantages  of  having  employees  from  different   na1onali1es:     Helps  build  bridges  that  direct  to  all  segments  and  sub-­‐segments  plus   niches  that  exist  in  a  more  global  customer  base     Connect  people  with  different  sets  of  skills,  capaci1es  and   perspec1ves    
  64. 64. How  to  select  your  team  members?     •   People  that  have  a  divergent  way  of  thinking  and  people  who  has  a   convergent  way  of  thinking.     •   People  who  is  more  analy1cal  and  people  who  are  more  crea1ve.   •   People  who  live  closer  to  the  office,  and  people  who  work  more  far   away.   •   People  who  are  younger  and  people  who  are  older.   •   People  with  a  lot  of  experience  and  people  with  a  lot  of  imagina1on.   •   People  who  know  of  technology  and  people  who  know  about   people.   •   People  from  inside  the  company  and  people  from  outside  the   company.  
  65. 65. High  direc1ves   Where  can  we  find  the  majority  of   the  diversity  in  the  tradi1onal   organiza1onal  diagram?     On  the  top  or  at  the  base?  Broad  organiza1on   Employees  in  charge  of   customer’s  service  
  66. 66. Give  voices  to:     Young  people     People  who  just  arrived  to  the  company     People  from  the  geographic  peripheries  of  the  organiza1on.      
  67. 67. “I  consider  that  some  of  our  best  ideas  have  come  from  the  people  who  are  more  away   from  the  offices  of  the  CEO;  which  means,  the  line  employees  that  interact  with  the   customer  on  a  daily  basis.  We  have  a  wonderful  team  of  crazy  people  who  are  working   in  our  store  located  in  ManhaNan,  at  44th  street  and  the  fiWh  avenue.  Now,  there  is  a   huge  Brazilian  community  close  to  the  store  and  the  manager  said:  “Hold  on!  We’re   not  doing  anything  for  aNending  this  community!”  therefore,  I  hired  for  the  store,  a   selected  staff  who  talks  the  language.  Next,  they  discovered  that  many  cruises  with   Brazilian  people  come  to  New  York;  they  got  in  contact  with  the  traveling  agency  and   found  that  the  store  was  a  desired  visit  for  them.  Just  like  that,  we  receive  every   Sunday,  buses  with  tourists.  If  we  would’ve  waited  to  someone  from  Minnesota  to   come  with  the  idea,  we’ll  s1ll  be  wai1ng.”                      -­‐  Brad  Anderson,  CEO  of  Best  Buy  
  68. 68. “Innova1on  depends  as  much  to  the  collec1ve  different  as  it  is  to  the   aggregated  capacity”      -­‐ScoN  Page,  author  of  The  Difference:  How  The  Power  of  Diversity  Creates        BeZer  Groups,  Firms,  Schools,  and  Society     •   The  different  individuals  see  a  problem  given  from  different   perspec1ves  and  try  to  resolve  it  in  different  ways.     •   The  more  diverse  the  group  is,  the  larger  the  quan1ty  of  new   thoughts  for  resolving  a  problem.   •   Conven1onal  solu1ons  avoidance.  
  69. 69. In  respect  of  recruitment  strategies  for  the  Human  Resources   division:      DON’T  introduce  a  clone  legion      Introduce  different  people  that  produces  an  awkward  sensa1on    in  the  interviewer.        People  who  thinks  different.       “Don’t  oblige  them  to  ‘homogenize’  because  if  they  don’t,  they’ll  be   fired”    -­‐  Robert  SuNon,  professor  at  Stanford  University  and  author  of  Weird  Ideas  That   Work:  11  ½  Prac&ces  for  Promo&ng,  Managing  and  Sustaining  Innova&on      
  70. 70. “…mix  the  set  of  intellectual  genes  with  other  voices  introduced  from   outside  the  organiza1on  (and  outside  the  industry)  for  bringing  them   together  in  the  process  of  innova1on”     “  The  discoveries  that  happen  in  these  project  teams,  characterized   because  of  their  diversity,  oWen  come  back  again  to  be  planted  at   other  industries.”  
  71. 71. A  mix  of:   •   Diversity   •   Energy   •   Youth   •   Loudness   A  mix  of:   • Ethnic  groups   •   Age  groups   •   Skin  colors   •   Cultures   •   Perspec1ves   •   Experiences   •   Values  
  72. 72. “Diversity  defines  health  and  wealth  in  the  new  century   na1ons…  The  new  rule  is  mixing…  the  mix  wins  over   isola1on.  Generates  crea1vity,  feeds  the  human  spirit,   encourages  the  economic  growth  and  empowers  the   na1ons”      -­‐  Gregg  Zachary,  author  of  The  Global  Me  
  73. 73. Reaching  of  new  important  knowledge  for  the   incorpora1on  of  a  connected  and  conversa1onal  web,  full   of  vitality.       Great  ideas  are  born  through  the  interac1on  and  the   connec1on  of  a  web,  composed  by  a  whole  community  of   diverse  people.  
  74. 74. “…Innova1on  is  a  maNer  of  a  “chemical  combina1on”;  it’s   about  taking  ideas,  half-­‐cooked  no1ons,  compe11ons,   concepts  and  ac1ves  that  are  there  and  recombine  them   in  ways  that  allow  them  to  do  new  interes1ng  things  or   invent  en1rely  new  products  and  services”  
  75. 75. Success  examples:   The  unassembled  line  from  Henry  Ford     The  sewing  machines  from  Singer   The  canned  products  from  Campbell’s   The  sauces  and  goods  from  H.J.  Heinz   The  produc1on  of  the  Star  Wars’  saga  from  George  Lucas   The  online  bids  from  eBay  by  Pierre  Omidyar   The  products  set  by  Apple:  iPod  and  iTunes  
  76. 76. Innova1on  as  “crea1ve  collision”   •   Connec1on,  conversa1on  and  modular  interac1on       “The  big  ideas  rarely  have  just  one  progenitor.  They   usually  acquire  form  through  a  series  of  free   associa1ons,  automa1cally  spontaneous  among  open   groups  of  people.”        -­‐  David  Hill,  Power  Decision  Group  (San  Francisco,  USA)  
  77. 77. How  do  we  create  that  associa1on  degree  and  conversion   to  the  size  of  a  company?       How  do  we  increase  the  connec1on  and  conversa1on   degree,  in  which  the  business  units  are  presented,  the   divisions,  the  groups  of  products,  the  departments,  the   research  labs,  the  geographies,  etc,  as  well  as  outside  the   company  with  customers,  suppliers,  distributors,  strategic   partners,  colleges  and  universi1es  and  other  groups?  
  78. 78. 1.  Rethink  the  organizaHonal  diagram   •  New  structures   •  Interac1on  enhancement   •  Responsibility  and  experiences  distribu1on  through  the  organiza1on   2.  Create  an  open  market  for  ideas   •  Finish  with  the  companies’  internal  monopolies     •  Create  a  cultural  for  ideas  with  free  expression     3.  Use  the  web  for  taking  advantage  of  the  imaginaHon   •  Use  the  IT  system  of  the  company  as  global  opera1on  of  innova1on   •  Engage  thousands  of  members  of  the  organiza1on  for  work  inside  the  web   •  Create  a  24/7  system   •  Learn  how  to  use  the  web   4.  Take  more  Hme  for  the  face-­‐to-­‐face  sessions   •  Share  knowledge  and  generate  ideas  inside  an  experimental  context   •  Create  an  appe1te  for  innova1on,  and  make  it  contagious      
  79. 79. Skills   AcHves   Experiences   Disciplines   PerspecHves  
  80. 80. Build  the  bases  for  knowledge,  and  then  innovate   through  a  forefront  path     Uno  acaba  moliendo  la  misma  vieja  masa  con  el   mismo  viejo  molino  e  invariablemente  ob1ene  el   mismo  viejo  pan”   -­‐ Gary  Hamel    
  81. 81. Has  your  organiza1on  reached  a  state  where   everyone  or  many  of  your  colleagues  think  that   innova1on  is  part  of  their  job?       Are  you  taking  advantage  of  the  diverse  talents  of   your  internal  organiza1on,  as  well  as  the  ones   from  the  broader  markets,  where  you  compete?  
  82. 82.
  83. 83. } No  Time   } Poor  Rewards   } Under  Funded   } Job  Domain   } No  Allies   } Fellow  Employees        Neophobia        Uninformed  Judgments        Cau&on        Poli&cs     Obstacles  to  Corporate  Innova1on   2-­‐83  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  84. 84. •  Sharing  informa1on     •  Crea1ng  opportuni1es  for  people  to   demonstrate  their  skills  and  competence     •  Building  and  using  influence  networks   Building  Social  Capital   2-­‐84   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall    
  85. 85. •  Borrowing   •  Begging   •  Scavenging   •  Amplifying   Resource  Acquisi1on   2-­‐85  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  86. 86. } Two  phenomena  cons1tute  the  domain  of  corporate   entrepreneurship     } Corporate  venturing  approaches  have  as  their  commonality   the  adding  of  new  businesses  (or  por1ons  of  new   businesses  via  equity  investments)  to  the  corpora1on.    This   can  be  accomplished  through  three  implementa1on  modes   –  internal  corporate  venturing,  coopera1ve  corporate   venturing,  and  external  corporate  venturing.       } Strategic  entrepreneurship  approaches  have  as  their   commonality  the  exhibi1on  of  large  scale  or  otherwise   highly  consequen1al  innova1ons  that  are  adopted  in  the   firm’s  pursuit  of  compe11ve  advantage.    These  innova1ons   may  or  may  not  result  in  new  business  for  the  corpora1on.     Corporate  Innova1on  as  a  Strategy   2-­‐86  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  87. 87. •  DefiniHon:          “A  vision-­‐directed,  organiza%on-­‐wide  reliance  on   entrepreneurial  behavior  that  purposefully  and   con%nuously  rejuvenates  the  organiza%on  and   shapes  the  scope  of  its  opera%ons  through  the   recogni%on  and  exploita%on  of  entrepreneurial   opportunity.”   Corporate  Innova1on  as  a  Strategy   2-­‐87  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  88. 88. •  The  CriHcal  Elements:      1.  Create  The  Vision      2.  Encouraging  InnovaHve  Thinking        Radical  Innova%on        Incremental  Innova%on        3.Establish  an  InnovaHve  Environment        4.Develop  InnovaHve  Managers        5.Commit  to  InnovaHon  Teams   Corporate  Innova1on  as  a  Strategy   2-­‐88  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  89. 89. The  CriHcal  Elements:   •  Create  The  Vision   •  Encourage  InnovaHve  Thinking   •  Radical  InnovaHon   •  Incremental  InnovaHon   •  Establish  an  InnovaHve  Environment   •  Develop  InnovaHve  Managers   •  Commit  to  InnovaHon  Teams   Corporate  Innova1on  as  a  Strategy   2-­‐89  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  90. 90. }  Major  Roles:      Innovator:  The  person  who  has  made  the  major  technical  innova1on.          Venture  Manager:  The  internal  entrepreneur  responsible  for  the  overall    progress  of  the   project.        Champion:  Any  individual  who  makes  a  decisive  contribu1on  to  the    project  by  promo1ng   its  progress  through  the  cri1cal  early  stages,    par1cularly  up  to  the  point  of  implementa1on.        Innova%ve  CEO:  The  individual  who  is  in  charge  of  the  venture  and    controls  the  alloca1on   of  resources  (e.g.,  a  sub-­‐CEO,  a  division    manager,  or  a  venture  division  manager).        Sponsor:  The  high-­‐level  person  in  the  parent  company  who  acts  as    buffer  protector,  and   modifier  of  rules  and  policies  and  who  helps  the    venture  obtain  the  needed  resources.   Corporate  Innova1on  as  a  Strategy   2-­‐90  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  91. 91. In  order  to  maintain  this  innovaHve  mindset  in  an   organizaHon,  managers  must:     •  Establish  a  clear  defini&on  of  the  specified   challenges  that  everyone  involved  with  innova&ve   projects  must  address.   •  Make  the  uncertainty  of  pursuing  innova&ve   projects  less  daun&ng.  Create  the  self-­‐confidence   within  all  employees  that  they  can  act  on   innova&ve  opportuni&es.   •  Clear  out  any  obstacles  that  arise  as  a  result  of  the   innova&ve  project  progress.   Sustaining  Corporate  Innova1on   2-­‐91   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall    
  92. 92. 1.  Challenging  Orthodoxies   2.  Harnessing  Discon1nui1es     3.  Leveraging  Competencies  and  Assets   4.  Understanding  Unar1culated  Needs  
  93. 93. •   The  radical  innovators  are  repliers       •   They’re  people  that  like  polemics  of  a  conven1onal  concep1on   •   They’re  people  willing  to  reject  these  huge  and  unconver1ble   orthodoxies  of  the  industry     •   They  ques1on  beliefs  that  other  people  give  as  granted   •   If  they  don’t  ask  the  orthodoxies,  they  might  impose  the  possibility   of  new  opportuni1es  for  genera1ng  wealth  in  the  organiza1on.  
  94. 94. Orthodoxies:     Conven1onalisms  aNached  to  the  boNom  of  a   company  or  industry,  shared  by  many,  in  respect   to  what  leads  to  success  
  95. 95. •   Facing  the  orthodoxies  of  a  company:     •   Example:   MicrosoW  provides  its  soWware  in  a  complete   package  presenta1on,  when  Google  provides  it   through  the  web     Obstacles?  MicrosoW,  because  of  checking  every   covered  detail,  create  delays  in  the  process  of   produc1on  and  mistakes  for  making  the  delivery  in   a  quicker  way,  e.g.  Vista  
  96. 96. • Troubles  for  the  consumer:    The  MicrosoW’  updates  are  complex  and  slow.  In  the    case  of  Google,  the  updates  are  short  and  easy  to      handle,  because  of  the  fragment  of  the  chosen    soWware.      ¿Another  compe1tor  for  MicrosoW?  Linux.      The  company  provides  open  licensees  for  the  general  public.  
  97. 97. •   Troubles  for  the  Consumer:    The  MicrosoW  updates,  must  be  bought,  when  Google    gives  them  for  free.    
  98. 98. Their  profits  are  focused  on:     -­‐   Investments  from  adver1sers   -­‐   The  clickthrough  of  the  browser   -­‐   The  chance  of  free  search   -­‐   The  official  installa1on  of  the   browser  and  now  available  in  new   hardwares.     Their  profits  are  focused  on:     -­‐   SoWwares   -­‐   Updates   -­‐   Digital  adver1sing  
  99. 99. •   Study  and  reject  the  orthodoxies,  or  bring  down  the   conven1onal  beliefs.   •   Advance  in  opposite  direc1ons,  and  abandon  the   tradi1onal  strategies      Example:   •   Whole  Foods  Market,  Odwalla,  Vita  Water  and     Fresh  Express   •     It’s  not  “value  and  commodity”,  it’s  “nutri1on   and  authen1city”            Result?    Loyalty  to  the  customer  because  of  their    leadership  in  innova1on  of  products  and    acquisi1on  from  bigger  brands  such  as,  Coca-­‐  Cola    
  100. 100. •   Bringing  up  the  dogmas     •   Find  the  absurd     •   Reach  extremes   •   Look  for  the  “and?”  
  101. 101. •   Conscious  of  the  fact  that  things  are  now  changing,  in  what   it  comes  to  fundamental  and  understand  the  revolu1onary   pres1ge.     •   Catch  by  intui1on   “El  futuro  está  enraizado  en  el  presente”                -­‐  John  NaisbiN  
  102. 102. •   A.k.a.   •   Digitaliza1on   •   Globaliza1on   •   Emergence   •   DISCONTINUITY:  A  sequence  of  trends  that   have  the  potenHal  to  drasHcally  change  the   rules  of  the  compeHHon,  or  the  industry   structures,  discovering  a  specific  quanHty  of   new  opportuniHes  
  103. 103. •   The  people  work  more  1me  now,  than  before     •   The  number  of  mono-­‐parental  families  is  increasing  in  a   constant  way   •   The  people  now  marries  older  than  before   •   The  people  spend  more  1me  online   Where  is  the  interacHon  of  these  trends?  When  you   bring  them  together,  which  is  the  major  landscape   that  shows  up?  
  104. 104. •   Looking  for  interac1ons  among  trends:     •   The  older  and  experimented  workers  that  look  for  updates  and   renova1on  of  skills   •   The  interest  for  alterna1ve,  naturalis1c  and  holis1c  medicine   •   The  search  for  spirituality,  of  equilibrium  and  life  quality   •   The  turn  of  informa1onal  economy  or  knowledge   •   Cheaper  and  beNer  quality  informa1on   •   The  capacity  and  desire  of  looking  younger  or  conserving  yourself   younger,  thanks  to  the  medical  improvements.   •   The  birth  rate  is  lower  (in  the  developed  countries,  the  people  are   having  less  kids)   •   The  popula1on  is  geung  older,  but  more  ac1ve   •   The  decrease  in  the  savings  rate  
  105. 105. •   Looking  there  when  your  compe1tors  don’t     •   Amplify  the  weak  signals  for  the  an1cipa1on  of  the   consequences  in  second  or  third  instance.   •   Try  to  understand  the  trends  inside  the  historical   context     •   Look  for  interac1ons  among  trends  
  106. 106. •   Organiza1ons  as  compe11ve  porxolios  and  strategic  assets     CENTRAL  COMPETITION:  Unique  or  rare  set  of  skills,  knowledge   and  experience  that  produces  a  benefit  valued  by  the  customers   and  the  differenHaHon  of  the  compeHHon.   STRATEGIC  ASSET:  Possession  of  a  company  that  is  hard  to  imitate,   develop  or  acquire,  and  represents  the  base  of  the  compeHHve   advantage.  
  107. 107.
  108. 108. •   Create  value  for  the  customer     •   Be  unique  or  at  least  short  (at  least  at  the  industry  of  its  company,   or  what  is  beNer,  in  the  world).   •   Be  sustainable  through  a  long  and  significant  period  of  1me   •   Be  important  for  the  actual  posi1on  of  the  company   •   Allow  its  use  in  new  products,  markets  or  businesses.  
  109. 109. •   Assets  in  form  of  inputs:  access  to  suppliers,  loyalty  to  the   suppliers,  financial  capacity.     •   Assets  in  form  of  processes:  protected  technology,  rules,  func1onal   experience,  infrastructure     •   Assets  in  form  of  channels:  access  to  distributors,  loyalty  to  the   distributors,  webs  of  distribu1on.   •   Assets  in  form  of  consumers:  informa1on  of  the  customers,  loyalty   to  the  customers,  brand  recogni1on.   •   Assets  in  form  of  market  knowledge:  know  the  customer’s,   compe1tors’  and  suppliers’  behavior.  
  110. 110. •   Introduce  yourself  to  the  body  of  the  client     •   Use  of  IT  systems  for  beNer  sa1sfac1on  and  customer  care     Customer’s  knowledge:     Unsa1sfied  need,  or  customer’s  frustra1on,  that  can  be  the   base  of  a  new  business  opportunity.  
  111. 111. •   Direct  observa1on     •   Mapping  the  customer’s  experience   •   Find  analogies  with  other  industries  
  112. 112. •   Invest  1me,  money  and  effort  for  building  the  truly  new   knowledge  bases           •   The  unstudied  dogmas   •   The  trends  without  explosion   •   The  compe11ons  and  the  underu1lized  assets   •   The  needs  of  the  clients  without  being  expressed  
  113. 113. •   Send  the  members  of  the  discovery  team  to  talk  about  the   transversal  sec1ons  of  the  organiza1on   •   Get  opinions  from  other  members  working  in  the   organiza1on   •   The  informa1on  given  will  be  used  for  the  development  of   new  knowledge.  
  114. 114. •   The  knowledge  allows  you  to  see  new  opportuni1es  and  discover  the  strategic   implica1ons  that  will  alter  or  change  the  rules  of  the  game?   •      •   Each  knowledge  represents  a  singular  point  of  view,  sponsored  by   documented  learning  (data,  observa1on,  interviews,  secondary  research)?   •   The  knowledge  asks  for  the  conven1onal  and  doesn’t  go  back  simply  to   enunciate  the  evident?   •   Each  knowledge  is  well  ar1culated  (and  doesn’t  leave  any  space  for  much   found  interpreta1ons)?    
  115. 115. •   Each  discovery  team  has  a  knowledge  porxolio?  For  example,  the  “orthodoxy”   team  and  the  “discon1nuity”  team,  have  knowledge  for  each  element  of  the   business  model?  The  “compe11on”  team  has  gathered  the  knowledge  that   reflect  the  future  and  latent,  central  and  possible  compe11on?   •   The  “customer  knowledge”  team  has  knowledge  about  the  complete   experience  of  the  client  and  all  the  meta  important  segments?  
  116. 116. Results  of  the  Discovery  Knowledge:     •   Something  that  was  unknown  un1l  now:  “something  that  we’ve  never   seen  before”     •   Something  that  was  underrated  un1l  now:  “something  we  saw,  but  truly   give  as  discounted,  or  not  very  important,  because  simply,  it  didn’t  seem   like  relevant  un1l  now”.   •   Something  that  was  underes1mated  un1l  now:  “something  in  which  we   were  working  already,  and  we  know  it’s  important…  but  men!  We   should’ve  done  a  lot  more  with  it!”    
  117. 117. •   How  can  we  create  new  knowledge  that  lead  to   innova1ons  that  change  the  game?     •   How  can  we  know  if  we’re  pushing  our  thinking   and  rejec1ng  our  central  beliefs?  
  118. 118. •  Since  creaHvity  is  a  set  of  thinking  skills,  it   can  be  developed.    Anyone  can  become  more   creaHve.    CreaHve  skills  are  built  through   developing  the  habit  of  looking  for  new   problems,  trends  and  opportuniHes  in  order   to  make  things  beTer  for  the  people  of  the   world.         ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     3-­‐118   The  Nature  of  Crea1vity  
  119. 119. •  CreaHvity  comes  totally  from  the   unconscious.   •  Children  are  more  creaHve  than  adults.   •  CreaHvity  is  spontaneous  inspiraHon.   •  Many  creaHve  works  go  unrecognized  and   are  only  discovered  decades  later.   •  Everyone  is  creaHve.   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     3-­‐119     Misconcep1ons  Surrounding  Crea1vity      
  120. 120. •  In  an  organizaHonal  sekng,  we  can  say  that   creaHvity  occurs  when  a  manager  has  a  new   idea  or  sees  an  opportunity  that  is  feasible   and  profitable  for  the  company.               ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     3-­‐120   Defining  Crea1vity  
  121. 121. •  Domain  Skills   •  CreaHve  Thinking  Skills      Divergent  Thinking      Convergent  Thinking   •  Intrinsic  MoHvaHon   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     3-­‐121   Elements  of  Crea1vity  
  122. 122. •  Phase  1:  Background  or  Knowledge          AccumulaHon   •  Phase  2:  The  IncubaHon  Process   •  Phase  3:  The  Idea  Experience   •  Phase  4:  EvaluaHon  and  ImplementaHon     ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     3-­‐122   The  Crea1ve  Process  
  123. 123. •  Idea  Crea%vity   •  Material  Crea%vity   •  Organiza%on  Crea%vity   •  Rela%onship  Crea%vity   •  Event  Crea%vity   •  Inner  Crea%vity   •  Spontaneous  Crea%vity   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall     3-­‐123   Crea1ve  Areas    
  124. 124. Innova1on  Accelera1on   Transforming  Organiza1onal  Thinking     Part  II       Individual  InnovaHon  Skills    (I-­‐Skills)         ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     4-­‐2  
  125. 125. Change  is  the  key  word  in  innova1on.    The  more   we  do  something  that  fundamentally  changes   our  market  and  forces  our  compe1tors  to  react   to  us,  the  more  innova1ve  we  are.       Table  4-­‐1  provides  an  adapted  version  of  the   Kirton  Innova1on-­‐Adap1on  instrument  for   gauging  whether  you  embrace  rou1ne  or   change.   Introduc1on   4-­‐125  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  126. 126. } Adaptor    Characterized  by  precision,  reliability,   efficiency,  methodical  behavior,  prudence,   discipline,  conformity.        Concerned  with  resolving  problems  rather   than  finding  them.      Seeks  solu1ons  to  problems  in  tried  and   understood  ways.     Behavior  Descrip1ons  of  Adaptors  and   Innovators             4-­‐126  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  127. 127. } Innovator    Seen  as  undisciplined,  thinking  tangen1ally,   approaching  tasks  from  unsuspected  angles.      Could  be  said  to  discover  problems  and   discover  avenues  of  solu1on.      Queries  problems’  concomitant  assump1ons;   manipulates  problems.     Behavior  Descrip1ons  of  Adaptors  and   Innovators             4-­‐127   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  128. 128. •  InnovaHon  Mentorship     •  IncenHves  for  the  InnovaHve  Employee     •  InnovaHve  Behavior   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall       4-­‐128   Ingredients  for  Enhancing  Innova1on  at   Work  
  129. 129. •  Closed  InnovaHon    The  closed  approach  to  innova1on  is  an   aNempt  to  generate  new  business   breakthroughs  through  the  u1liza1on  of  the   people,  knowledge,  and  technology  within  the   company’s  boundaries.   Approaches  to  Innova1on   4-­‐129   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce   Hall    
  130. 130. } Closed  InnovaHon  Principles    1.  Hire  the  best  and  brightest  people,  so  that  they  work  for   you  and  not  your  compe1tors.    2.  Make  discoveries  and  developments  yourself,  so  that   your  company  brings  new  products  and  services  to   market.    3.  Discover  something  first  so  that  you’re  the  first  to   market  it.    4.  Invest  great  amounts  in  R&D,  in  order  to  insure  that   your  company  generates  the  best  ideas  and  stays  ahead  of   the  compe11on.    5.  Control  intellectual  property,  in  order  to  ensure  that   your  company  profits  from  it  and  not  your  compe1tors.     Approaches  to  Innova1on   4-­‐130  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  131. 131. •  Open  InnovaHon    Open  innova1on  implies  that  the  firm  is  not   solely  reliant  upon  its  own  resources  for  new   technology,  product,  or  business  development   purposes.    Rather,  the  firm  acquires  cri1cal   inputs  to  innova1on  from  outside  sources.     Approaches  to  Innova1on   4-­‐131  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  132. 132. The  following  quesHons  are  examples  that  can  help   guide  you  in  gaining  insights  about  your  customer’s   background,  aktudes,  and  behavior:     } What  common  physical  features  do  the  customers   have,  if  any?   } What  common  ac1vi1es  do  they  do?   } What  do  they  typically  wear?   } What  are  typical  jobs  they  hold?   } Where  do  they  typically  live?     } What  is  the  most  interes1ng  thing  about  these   customers?   } What  one  word  or  phrase  best  describes  these   customers?   Sources  of  Opportunity   4-­‐132  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  133. 133. 1.  Social  Goals     2.  Life  Goals     3.  Problems     4.  Fact  Finding   Sources  of  Opportunity   4-­‐133  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  134. 134. •  CommodiHes  and  Materials   •  Products   •  Services   •  Experiences  and  TransformaHons       Seizing  Opportunity   4-­‐134  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  135. 135. } New  Product  Development    Concept  Development:  The  first  step  in  conver1ng  an   opportunity  into  an  innova1on  is  to  develop  a  clear  concept  of   what  you  want  to  achieve.    Prototyping:  Once  the  concept  is  well  defined  and  evaluated,  it   is  1me  to  start  to  transform  it  into  a  physical  product,  service   delivery  model,  or  customer  experience.    Final  Evalua%on:  AWer  a  prototype  is  modeled,  profitability   analysis  is  performed  to  determine  breakeven  points  in  terms   of  ini1al  investment  as  well  as  rates  of  return  that  will  be   realized  through  selling  the  product  based  on  projected  cash   flows.     Conver1ng  Opportunity  Into  Innova1on   4-­‐135  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  136. 136. A  Unique  SWOT  Analysis  Approach   }  Diverge  on  the  strengths,  weaknesses,  opportuniHes,  and   threats  of  your  organizaHon.   }  Converge  on  the  main  strengths,  weaknesses,  opportuniHes,   and  threats.   }  Clarify  and  select  the  key  strengths,  weaknesses,  opportuniHes,   and  threats.   }  Add  core  competencies  to  the  strengths  column.   }  Explore  how  strengths  and  core  competencies  can  be  leveraged.   }  Explore  ways  to  improve  weaknesses.   }  Discuss  threats.         Conver1ng  Opportunity  Into  Innova1on   4-­‐136  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  137. 137.  The  moment  that  management  has  decided   the  product,  service,  or  experience  is  ready  to   launch,  is  called  the  point  of   commercializa%on.      (Chapter  8  will  explore  this  component  in  more  detail)     Commercializa1on   4-­‐137  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  138. 138. Personal  Computers:   Idea  =  Osborne/Apple    Market  =IBM   Online  Bookselling:         Idea  =  Charles  Stack    Market  =  Amazon   Diapers:             Idea  =Chicopee  Mills    Market  =P&G         Table  4.4     Two  Types  of  Innovators:     Idea  Explorers  and  Market  Creators     4-­‐138  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall    
  139. 139. Innova1on  Accelera1on   Transforming  Organiza1onal  Thinking     Part  III       The  Design  FuncHon  in  InnovaHon    (I-­‐Design)         ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     5-­‐2  
  140. 140. Innova1on  Accelera1on   Transforming  Organiza1onal  Thinking   Chapter  5     The  Design  Thinking  Process       ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     5-­‐3  
  141. 141. •  Herbert  A.  Simon,  professor  and  1978  Nobel   Laureate  in  Economics,  once  said,          “Engineers  are  not  the  only  professional   designers.    Everyone  designs  who  devises   courses  of  ac&on  aimed  at  changing  exis&ng   situa&ons  into  preferred  ones.”   Introduc1on   5-­‐141  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  142. 142. •  Design  is  the  process  of  shaping  an  idea  into   an  ar1fact,  which  is  something  we  can   observe  and  manipulate.     •  When  we  design,  we  bring  an  idea  into  the   world  for  others  to  comprehend.   Design   5-­‐142  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  143. 143. Figure  5-­‐1   5-­‐143   ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     Creativity Proactivity Innovation Entrepreneurship Design
  144. 144. •  Only  arHsts,  engineers,  and  architects  use  design.   •  R&D  departments  are  where  companies  should   do  design.   •  Design  is  too  complex  to  be  used  by  the  average   manager  in  the  company.   •  Design  would  cut  into  a  manager's  daily  schedule   and  only  lead  to  frustraHon.   •  Design  will  slow  down  the  innovaHon  process.   Design  Misconcep1ons   5-­‐144  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  145. 145. •  Design  is  too  fuzzy  and  will  take  the  manager   away  from  the  realiHes  of  business.   •  Design  is  just  another  business  fad.   •  Design  is  the  same  thing  as  innovaHon.   •  Design  is  too  quirky  for  a  business  environment.   Design  Misconcep1ons  (cont.)   5-­‐145  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  146. 146. Elements  of  Design  Thinking   •  Accept  that  constraints  are  part  of  design.   •  Seek  the  peaceful  coexistence  of  desirability,   feasibility,  and  viability.   •  Inspira%on   •  Proac%vity   •  Humility   •  Flexibility   •  Focus     Design  Thinking   5-­‐146  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  147. 147.   } Paraphrase  a  design  challenge  into  a  form  worth   working  on.       } UHlize  restricHon-­‐free  thinking  to  avoid  premature   judgments.       } Gather  informaHon  from  a  variety  of  sources  and   arrange  the  knowledge  into  an  associaHve  network.       } Generate  and  refine  ideas  unHl  they  adapt  to  the   secHon  of  the  world  for  which  they  are  intended.     } Ideas  should  be  translated  into  different  prototypes   (e.g.,  visualizaHon,  mock-­‐ups,  models).   } Designers  should  consciously  select  soluHon  paths.   } Search  for  feedback  and  involvement  from  people  with   diverse  backgrounds  and  talents.       Design  Guidelines   5-­‐147  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  148. 148.   •  Step  1:  Play-­‐    Play  is  a  vital  aspect  of  the   design  process.   •  Step  2:  Display-­‐    Once  the  concept  has  been   fully  developed,  it  is  now  ready  to  be   displayed.   •  Step  3:  Watch  the  Replay-­‐    The  third  step  of   the  itera1ve  process  is  called  “Watch  the   Replay”  because  it  is  1me  to  reflect  on  others   feedback.   Itera1ons:  The  Secret  Sauce   5-­‐148  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  149. 149. •  For  a  design  to  be  taken  further  in  the   organizaHon  it  must  fit  with  the  company’s   strategy.    Given  limited  Hme,  money,  and   other  resources,  you  must  ensure  that  the   design  meets  the  vision,  mission,  and  goals  of   the  company.   An  Important  Caveat  to  the  Beginning   Designer   5-­‐149  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  150. 150. Innova1on  Accelera1on   Transforming  Organiza1onal  Thinking   Chapter  6     Design  Driven  Innova%on       ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall     6-­‐3  
  151. 151. •  The  manager  who  can  speak  “geek,”  as  well  as   talk  money,  will  be  able  to  acquire  needed   feedback  and  gain  the  support  of  technical   colleagues.    Engineers  and  produc1on   managers  can  become  valuable  partners  in   your  innova1on  journey.    They  will  help  you   shape  your  ideas  into  more  feasible  and   exci1ng  products  and  services.       Introduc1on   6-­‐151  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  152. 152. •  Engineers  are  very  goal  oriented.   •  Engineers  approach  problems  like  an   economist.   •  Engineers  seek  the  most  efficient  solu%on  to   a  problem.   Engineering   6-­‐152  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  153. 153. •  Chemical  Engineering   •  Civil  Engineering   •  Electrical  Engineering   •  Computer  Engineering   •  Industrial  Engineering   •  Mechanical  Engineering   •  Industrial  Designers   Engineering  Disciplines   6-­‐153  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  154. 154. •  A  prototype  is  a  physical  representaHon  of   your  idea  and  is  useful  for  aTaining  more  in-­‐ depth  feedback.    A  model  of  your  idea  makes   it  more  realisHc.    It’s  no  longer  just  on  paper,   so  others  can  look  at  it  from  every  angle.     Therefore,  a  prototype  is  rich  with  details  of   what  you  are  hoping  to  build.   Prototyping   6-­‐154  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  155. 155. Step  1:    Drawing   •  Sketches:    When  you  get  an  idea,  the  first   thing  you  should  do  is  draw  a  quick  sketch  and   jot  down  notes.   •  Technical  drawing:  As  you  progress  with  an   idea,  you  may  want  the  assistance  of  an   engineer  or  draWsman  to  draw  more  technical   sketches  of  the  product.   Prototyping  in  5  Steps   6-­‐155  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  156. 156. STEP  2:    Model  building   •  Making  it  real:    A  complement  to  drawing  is   model  building.   •  Materials  for  model  building:  Paper,   illustra1on  board,  heavy  cardboard,  poster   board,  bristol  paper,  chipboard,  museum   board,  foamcore,  canson  paper,  balsa  wood   and  basswood  are  good  materials  to  have  on   hand.     •  Tips  for  building  models   •  Business  viability   Prototyping  in  5  Steps   6-­‐156  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  157. 157. Step  3:  Conceptual  Prototyping     •  The  purpose  of  a  conceptual  prototype:    A   conceptual  prototype  advances  the  best   elements  of  your  previous  rough  prototype.     The  rough  prototype  should  have  given  you  a   general  idea  of  what  the  product  might  end   up  being,  but  the  conceptual  prototype  starts   to  take  on  more  detail  of  the  form,  fit,  and   func1on  of  the  final  design.   Prototyping  in  5  Steps   6-­‐157  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  158. 158. Step  3:  Conceptual  Prototyping     Rapid  prototyping  techniques:   •  Computer-­‐Aided  DraWing  (CAD)  program   •  Laminated  Object  Manufacture  (LOM)   •  Fused  Deposi1on  Modeling  (FDM),   •  Solid  Object  Prin1ng  (SOP)   •  Computer-­‐Aided  Manufacturing  (CAM)   systems   Prototyping  in  5  Steps   6-­‐158  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  159. 159. Step  3:  Conceptual  Prototyping     The  3  dimensions  of  a  good  prototype:     •  The  three  criteria  that  determine  the  quality   of  a  prototype  are:  func1onality,  expressivity,   and  credibility.     •  Manufacturability  should  also  be  considered.   Prototyping  in  5  Steps   6-­‐159  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  160. 160. Step  4:  Working  Prototype   •  The  purpose  of  a  working  prototype   •  Building  a  working  prototype   •  Machine  principles   •  Presenta%on  prototyping   Prototyping  in  5  Steps   6-­‐160  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  161. 161. Step  5:  Manufacturing  Processes   •  Manufacturing  prepara%ons:    Once  the  prototype  has   been  approved,  it’s  1me  to  manufacture  it.   •  Tooling  up:    If  your  product  has  a  unique  shape,  tools   and  equipment  may  need  to  be  prepared  to   manufacture  the  object.   Prototyping  in  5  Steps   6-­‐161  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall      
  162. 162. •  D.I.Y.  stands  for  Do  It  Yourself,  and  it  is   increasingly  becoming  an  ethic  that  is  filtering   into  all  areas  of  life.   •  If  there  was  ever  a  1me  to  learn  how  to  design   and  prototype,  it  is  today.    Companies  are   embracing  design,  and  prototyping   technologies  are  becoming  easier  to  use,  less   expensive,  and  more  available.   The  Emergence  of  the  DIY  Movement   6-­‐162  ©  2012  Pearson  EducaHon,  Inc.  publishing  as  PrenHce  Hall