Presentation to 180 Degrees Consulting Annual Conference (APAC). Covers: - Defining exactly what innovation is. - Design thinking as a process for innovation. - 7 key factors for innovation. - Potential approach for innovation within charitable and philanthropic organisations.

1. Hello

3. Samuel Tait
Managing Partner, I/O
/in/samueltait
@samuel_tait
welcometo.io
3

4. Samuel Tait
Managing Partner, I/O
/in/samueltait
@samuel_tait
welcometo.io
4

6. Factors of
Innovation
180 Degrees Consulting - Annual Conference
Sunday 26th February, 2017
6

7. Purpose
What is innovation?
2 core drivers of innovation.
7 key factors of innovation.
7

8. The real question?
Can factors of business innovation
be used within not-for profit and
social enterprises?
8

9. Creating a common ground
What is innovation?
9

10. “Innovation effectively is the process of
technological change… the thing to really
understand is that innovation is a process
not a thing. The thing, the outcome of
innovation, is the invention. Innovation is
deeply associated with business processes,
business models and all the different aspects
that combine towards creating a new
product or service.”
Dr James Moody
PhD, Innovation Theory
Founder: Sendle
Author: The Sixth Wave: How to succeed in a resource limited world 10

12. – Mark Payne
- Founder, Fahrenheit 212
“Innovation being
synonymous with
growth. Companies
that aren’t innovating
aren’t growing.”
12

14. A starting point
Two core drivers of innovation.
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19. “If you don’t execute
you can’t call it
innovation.”
19
– S. Ellis Tait

20. 1. Insights
• The faculty of seeing underlying truths,
specifically those that shed light on or
helps solve a problem.
20

22. INSIGHTS

23. 2. Operations
• Controlling the process of production
and redesigning how a business
delivers and produces goods or
services.
23

24. OPERATIONS

25. INSIGHTS OPERATIONS+
PROCESS FOR INNOVATION

26. –Helen Walters, Fast Company
“A codified, repeatable,
reusable practice
contradicts the nature of
innovation, which requires
difficult, uncomfortable
work to challenge the
status quo of an industry
or, at the very least, an
organisation.”
26

27. Journey before destination
What are the key factors of
successful business innovation?
27

28. 28

29. Key Factors of Innovation
Key factors from “Innovation Inside” interview series:
1. Crisis
2.Examination
3.Diversity
4.Collaboration
5.Creativity
6.Adjustment
7.Resilience
29

30. 1. Crisis
Definition
• any event that is, or is expected to
lead to, an unstable and dangerous
situation affecting an individual, group,
community, or whole society.
• a stage in a sequence of events at
which the trend of all future events,
especially for better or for worse, is
determined; turning point.
30

31. Crisis
Crisis drives innovation
• Crisis provides a compelling reason for
action - you can’t run away from a
crisis
Examples
• War > Nuclear weapons
• Climate change > Renewable energy
• Global financial crisis > ??
31

34. Crisis @ LEGO
•In 2004 the company almost went
bankrupt.
•Sales fell around 30% in 2003.
•The company was running a negative
cash flow of DKr 1 billion (US$160
million).
•Total debt had reached DKr 5 billion
(US$800 million).
34

35. “We are on a
burning platform,
losing money with
negative cashflow
and a real risk of
debt default which
could lead to a break
up of the company.” Jørgen Vig Knudstorp, CEO.
Report to management, 2003.
35

37. 2. Examination
Definition
• To observe carefully and critically
• To inquire into and investigate
37

38. Examination
• What are the goals and objectives for
my business?
• What changes are happening in my
industry and how will they affect my
company?
• Do we need to change something to
achieve our objectives?
• What would happen if we were to
explore new opportunities?
38

39. Proven In-Service Personal Equipment for all Tactical and Protective Needs
Since
Supporting Australian Soldiers
39

40. Australian Defence Apparel
(ADA)
“ADA has a very long history. But our
suppliers, from even two years ago, may
no longer be strategically relevant for
our business.
You've always got to apply scrutiny as
to whether your partnerships are viable,
and whether they're focused, and that
you've both got the same vision.”
Darren Swindells
General Manager,
Strategic Product & Innovation
ADA
40

41. 3. Diversity
Definition
• the inclusion of individuals
representing more than one national
origin, color, religion, socioeconomic
stratum, sexual orientation, etc.
• a point of difference.
41

42. Diversity
• Different viewpoints working on the
same problem.
• Different backgrounds bring different
ways of solving a problem
• Diversity unlocks innovation by
creating an environment where
“outside the box” ideas can be heard
42

43. 43

44. Canva
“Diversity is important in all our
people. In our marketing team not
only are they diverse in themselves
but their particular skill set is entirely
different from our engineers, who are
entirely different to the people that
make up our customer happiness
team. That eclectic nature is what
makes our company strong. We need
people thinking in different ways to
handle all the different aspects that
we are required to handle to be a
successful startup company.”
Melanie Perkins, Founder & CEO
Canva
44

45. 4. Collaboration
Definition
• to work, one with another; cooperate,
• working with others to do a task and
to achieve and realise shared goals
• to work together (relationships)
toward (process) something in
common (outcomes).
45

46. Collaboration
• I know what I don’t know
• Teamwork is essential to getting
things done.
• Collaborating with partners, suppliers,
customers and other stakeholders to
find a solution.
• Innovation IS a collaborative pursuit
46

47. 47

48. Google
“Collaboration is so ingrained in the way
that we do things. Any time we want to
try and do new things, one of the huge
elements we talk about is what potential
partnerships can we put into play here?
How can we work with others to get this
out into the real world in an interesting
way? We have great products and great
platforms. Sometimes the best stuff
happens when we are just the platform
and we give over the creativity and
expression to others to use.”
Lee Hunter, Head of Marketing
Innovation, APAC
Google
48

49. 5. Creativity
Definition
• the ability to transcend traditional
ideas, rules, patterns, relationships, or
the like, and to create meaningful new
ideas, forms, methods, interpretations,
etc.; originality, progressiveness, or
imagination:
49

50. Creativity
• The ability to think outside the box
• unleashing the potential of the mind to
conceive new ideas, new ways of
doing things and innovative solutions
• to perceive the world in new ways, to
find hidden patterns, to make
connections between seemingly
unrelated phenomena, and to generate
solutions
50

51. 51

52. Pernod Ricard
“I mentioned our Th!nkCreativity Lab.
It's an opportunity for us to instil a
culture of creativity in our business,
this is what is going to drive long-
term change in innovation for our
business. Every innovation starts with
an idea. This training allows managers
to drive and organise ideation
sessions, around anything from the
name of a new wine to the
development of the launch assets.”
Gwenola Hanaut, Innovation Director
Pernod Ricard Winemakers
52

53. 6. Adjustment
Definition
• to change (something) so that it fits,
corresponds, or conforms;
• to adapt or to correct to achieve a
desired outcome
53

54. Adjustment
• Constantly testing hypothesis and
reviewing the results to see if we are
on track or off track in achieving our
goal
• Test / Fail / Learn or “Failing Fast” is
THE process of adjustment
• When results are not what we
expected we change tack.
54

55. 55

56. Mirvac
“We don't want to take ideas away to
perfect them in isolation, and then
receive a rude shock when we unveil it
to the customer. It's a continual
process. We call it ‘experimenting’, and
it’s based on lean startup methodology.
This involves identifying the key
assumptions that underlie an idea and
going out to test them with those front
line customers. This is a new
methodology for our business and we
are just learning how best to do this.”
Christine Gilroy, Group General Manager,
Innovation
Mirvac
56

58. 7. Resilience
Definition
• the process of overcoming (and ability
to recover from) stress and adversity
• perseverance for long term goals
58

59. Resilience
•Achievement is the product of effort, a
function of the intensity, direction, and
duration of one’s exertions towards a
long-term goal.
•Not giving up when the results of our
activities are not what we hoped.
•A business’s ability to adapt and evolve
in response to short term shocks and at
the same time shape itself to be able to
respond to long term challenges.
59

60. 60

61. BlameySaunders
“Most CEO's of companies
(particularly one’s that didn't own the
company), would have checked out at
that point. Whereas, we didn't. I
thought, ‘Oh, damn. Our supplier has
gone bankrupt. Better get on the road
and find another one.’ Things are
going to happen. Things are going to
keep happening. The universe throws
things at you. If the wind stops
blowing get out the oars.”
Elaine Saunders, Founder
BlameySaunders Hears
61

62. Key Factors of Innovation
Key factors from “Innovation Inside” interview series:
1. Crisis
2.Examination
3.Diversity
4.Collaboration
5.Creativity
6.Adjustment
7.Resilience
62
}ORGANISATIONAL
CULTURE

63. Starting the journey
Can we use these same process to
drive innovation within not-for-
profit and social enterprises?
63

64. Finding our feet
What is the role of innovation when
viewed from a charitable and
philanthropic perspective?
64

65. Charity :an organisation set up to provide
help and raise money for those in need.
65

66. Philanthropy :an altruistic concern for
human welfare and advancement.
66

67. Philanthropy vs. Charity
charity aims to relieve the pain of a
particular social problem,
whereas philanthropy attempts to address
the root cause of the social problem,
“the difference between the proverbial gift
of a fish to a hungry person, versus
teaching them how to fish.”
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68. Philanthropic
Finding a new solution
that eradicates the root
cause of a problem.
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69. Charitable
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More efficient business
processes and revenue
generation, focusing on:
1. Enabling more money
to be raised .
2. New ways of raising
money.
3. Helping more people
per $1 spent.

70. INSIGHTS OPERATIONS+
PROCESS FOR INNOVATION

71. EFFECTIVENESS EFFICIENCY+

72. ?

73. 73
“Could we split the Double Diamond
process to support the different
objectives of Philanthropic and
Charitable organisations within the
not-for-profit sectors?”

74. PHILANTHROPIC CHARITABLE+
?

75. Over to you
Questions?
75

76. Cheers!
76
Thank you
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Surry Hills, NSW, 2010
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Phone: +61 (0)473 197 713
samuel.tait@welcometo.io