Attend this webinar to benchmark your organization’s innovation potential and learn what it takes to create a culture of innovation!

1. 1
HOW TO ESTABLISH
AND SUSTAIN A
CULTURE OF PRODUCT
INNOVATION
W/ BOB WEBBER, VP PRODUCT FLOW
OPTIMIZATION CONSTRUX
JULY 27, 2022 11:00 AM PDT,
2:00 PM EDT, 7:00 PM BST
Product Management Today
Empowering you to Empower Them
Rayvonne Carter
Webinar Coordinator,
Product Management Today

2. 2
03
Logi Analytics, an insight software company, empowers the
world’s software teams with the most intuitive, developer-grade
embedded analytics solutions, along with a group of dedicated
people invested in your success. Logi leverages your existing tech
stack, so you can quickly build, manage, and deploy your
application. And because Logi supports unlimited customization
and white-labeling, you have total control to make the
application uniquely your own.
Over 2,200 application teams have trusted Logi to help power
their businesses with sophisticated analytics capabilities. Logi
Analytics was recently awarded the 2020 “Best Business
Intelligence Solution” Proddy award by Product School, in
addition to being named a leader in Business Application
Research Center’s (BARC) BI & Analytics Survey 21 across several
categories, including Operational BI, Embedded BI, and Cloud
BI.Logi Analytics is headquartered in McLean, Virginia, with
offices in Ireland, England, Ukraine, and China.

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4. 4
HOW TO
ESTABLISH AND
SUSTAIN A
CULTURE OF
PRODUCT
INNOVATION
W/ BOB WEBBER, VP PRODUCT
FLOW OPTIMIZATION, CONSTRUX

5. 5
Innovation Poll
“Secrets of Innovation”
Innovation Motivation
Innovation
Benchmark

6. 6
Culture of Innovation Agile Development

7. 7
Poll
My organization is innovative
Disagree 1
Somewhat Disagree 2
Somewhat Agree 3
Agree 4
Strongly Agree 5

8. 8
Poll
These are barriers to innovation in my organization
1. Schedule pressure
2. Don’t understand customer needs
3. Little recognition for innovation
4. Prescriptive features and/or requirements
5. Engineering not involved in planning
Strongly Disagree 0
Disagree 1
Somewhat Disagree 2
Somewhat Agree 3
Agree 4
Strongly Agree 5

9. 9
Secrets of Innovation?

10. 1
0
Secrets?

11. 1
1
• Empowered people innovate more
• Innovative people collaborate more
• Happy employees are more
innovative
• 20% “Innovation Time” increases
innovation
Anecdotal evidence

12. 1
2
How I got here
GTE/AT&T/Lucent
Behavioral approach to
software engineering

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3
How I got here
Startups
Collaboration and
Innovation

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4
Consulting
Software Industry

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5
“Behavior”
A particular way of acting*
Behaviors are observable
Your company’s ”culture” is defined
by commonly observed behaviors
*Cambridge Dictionary

16. 1
6
Innovation Behavior Model
• Learning
Stakeholder value
• Researching
practical
technologies
• Generating ideas
• Prototyping ideas
• Creating a
presentation
• Creating a
demonstration
Opportunity
Awareness
Ideas Socialization

17. 1
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Innovation Definition
Innovation is a non-obvious improvement in a
product, process or solution
that results in a measurable increase in stakeholder value
Innovate (verb) – to perform a set of behaviors that result in
innovation

18. 1
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What your competitor made
Stakeholder value:
“I want to relax outside”
“Build a device that customers rate
8 out of 10 or better in terms of relaxation"
Stakeholder Value
Gilb, Tom, Stakeholder Engineering, Leanpubcom/StakeholderEngineering, July 21, 2021

19. 1
9
Frequent and timely positive reinforcement creates
motivation for behaviors that lead to innovation
Culture of Innovation

20. 2
0
Organizational Behavior
for Engineers

21. 2
1
DILBERT © 2011 Scott Adams, Inc. Used by permission of
ANDREWS MCMEEL SYNDICATION. All rights reserved.

22. 2
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The probability and strength of a behavior depend
upon the consequences anticipated by the individual
Principle 1 - Behavior and Consequences
“You have an opportunity to present your idea to the executives”

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3
Anticipation of a consequence is based on how consistently, and
how soon after the behavior, the consequence is experienced
Principle 2 - Consequence Effectiveness
Engineer moves task on Kanban board

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4
Either positive or negative consequences increase behavior
Principle 3 - Consequence Types
“Positive Reinforcement”
“Negative Reinforcement”

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Positive or Negative Reinforcement?
Unlocking Agile’s Missed Potential, Robert Webber, Wiley – IEEE Press

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A system of peer reinforcement must be built into the work
Innovation leaders establish the safe environment!

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Balancing Consequences
Innovation Schedule Pressure

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You don’t have to reinforce the desired behavior every time
Principle 4 – Establishing Habits

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Innovation Impact?
▪ Suggestion box?
▪ Innovator of the Year?
▪ Patent awards?
▪ 20% innovation time?
▪ Innovation posters?
▪ Dedicated innovation team?
▪ Performance review goals?
Frequent and timely positive reinforcement
for behaviors that lead to innovation!

30. 3
0
Innovation Benchmark
1. My manager feels that innovation is important.
2. My peers recognize and support new ideas.
3. My department encourages and supports new ideas.
4. Our product or solution planning people encourage and support new ideas.
5. I have the opportunity to demonstrate innovative solutions.
6. I collaborate on ideas outside my team.
7. I make time to understand what our users want.
8. I make time to keep up with technologies that could improve our product.
9. Our product/solution introduction process lets me innovate.
10. I make time to innovate.
11. Innovation is important here.
Strongly Disagree 0
Disagree 1
Somewhat Disagree
2
Somewhat Agree 3
Agree 4
Strongly Agree 5

31. 3
1
Add the points for questions 1 – 11
Divide the sum by 55 (maximum score) to get percent
Scoring

32. 3
2
Scoring
Innovation Rating = (Score x 0.064) - 1.4
Example:
Score of 65%
Rating = (65 x 0.064) – 1.4 = 2.8

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3
Score Distribution

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4
Innovation Foundation
Reduced
Schedule
Pressure
Problem
to Solve
Innovation
Motivation
Engineering
Participation

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5
“Investment”
The smallest increment of functionality
with the potential to increase income
Fixed schedule and content of Waterfall planning
Agile Innovation Barrier

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▪ Investment conveys stakeholder value for Investment “product teams”
▪ Variable features and functionality to meet financial targets
▪ Investment backlog prioritized by Weighted Shortest Job First (WSJF)*
Agile Investment Planning
* Donald G. Reinertsen, The Principles of Product Development Flow, Celeritas Publishing, 2009
Sets the stage for a culture of innovation
Rate of Income Generation
Cycle Time

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7
Innovation Behavior Model
• Learning
Stakeholder value
• Researching
practical
technologies
• Generating ideas
• Prototyping ideas
• Creating a
presentation
• Creating a
demonstration
Opportunity
Awareness
Ideas Socialization
Frequent Positive Reinforcement

38. 3
8
“Show me what you built”
“Tell me what you know”

39. 3
9
What I learned about
stakeholder value
Cool new
technologies

40. 4
0
Stakeholder Value Forums
As a cable subscriber, I want to minimize
the time to find what I want to watch
User
identity
Voice
recognitio
n
Genre
search
Personal
playlist

41. 4
1
Innovation Kanban
Stakeholder
Value Idea
In Work or
Funded
Proposed/
Demonstrated Implemented
Voice
recognition
Broadcast
search
Personalized
playlist
I want to
select music
from media
in car
without
distraction

42. 4
2
Development Framework?
Engineers set and meet goals
Problem defined
Daily peer reinforcement
Frequent demonstrations
Collaboration
User involvement
Agile Development!
Done Right

43. 4
3
Feature-level Waterfall Planning
Agile Investment Planning

44. 4
4
VP Product Flow Optimization,
Construx
Bob
Webber
/in/rcwebber/
construx.com/
Q&A
Rayvonne Carter
Webinar Coordinator,
Product Management Today
/in/rayvonnecarter/
@ProdMgmtToday
productmanagement
today.com
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