SlideShare a Scribd company logo
Innovation by 10
          Re:Publica 2010
The origins of frog
                      2
3
(map of Silicon Valley)
We are a global innovation firm.
We help the world’s leading companies create and bring to market meaningful products, services,
and experiences. Our cross-disciplinary process reveals valuable consumer and market insights
 and delivers lasting, humanizing solutions across multiple technologies, platforms, and media.

                        - 40 years’ experience in developing breakthrough products and services
               - More than 3,000 products and services for more than 300 of the Fortune 500 companies
                       - Won more than 100 industry awards (CES Innovation, IDEA, and others)
                                   - Our software is in more than 500,000,000 devices
                                               - Our clients (in 2009) were:
                            7 of the top 10 mobile operators and 9 of the top 10 OEMs; 50 of
             Millward Brown World’s Top 100 Brands; 24 of BusinessWeek’s Top 50 Innovative Companies;
                                   16 of Fast Company’s Top 50 Innovative Companies




                                                                        © 2007 frog design. Confidential & Proprietary.   5
1

Innovation, really?
Innovation back then….
Innovation today
Innovation back then….
Innovation today
nnovation back then….

                        © 2007 frog design. Confidential & Proprietary.   11   1
Innovation today
Innovation back then….

                 14
THE BIG SPACE / JC PENNEY
RFID-based digital retail concept




Innovation today

                                    © 2009 frog design. confidential & proprietary.   March 2009   42
Innovation back then….
                 16
Innovation today




                   17
Innovation back then….

                 18
Innovation today
Is he an innovator?
Or he?
Or he?
Or they?
Or he?
2

Innovation…why?
INNOVATION TRIGGERS

 Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                    margins are beginning to disappear.”

 Internal Churn     “Our new ideas are stuck in the mud of internal planning and review
                    cycles.”

 Competition        “New competitors are moving into our space and we need to do
                    something to defend our market position.”

 Adjacent Markets   “We see opportunities in adjacent markets (new segments, geographies,
                    etc.) but we don’t know where and how to start.”

 Mining IP          “We have so much IP but we cannot convert it into products that resonate
                    with consumers.”

 Time-to-Market     “Our linear product development process doesn’t allow for nimbleness and
                    trial and error.”

 Customer Insight   “Our product ideas are driven by science and engineering but fail to
                    recognize latent or unarticulated customer needs.”

 Sustainability     “We got lucky once or twice. How do we repeat our market success year
                    after year?”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
   Internal Churn
    Internal Churn    “Our new ideas are stuck in the mud of internal planning and review
                       “Our new ideas are stuck in the mud of internal planning and review
                      cycles.”
                       cycles.”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
   Internal Churn
    Internal Churn    “Our new ideas are stuck in the mud of internal planning and review
                       “Our new ideas are stuck in the mud of internal planning and review
                      cycles.”
                       cycles.”

   Competition        “New competitors are moving into our space and we need to do
   Competition         “New competitors are moving into our space and we need to do
                      something to defend our market position.”
                       something to defend our market position.”
   Adjacent Markets   “We see opportunities in adjacent markets (new segments, geographies,
                      etc.) but we don’t know where and how to start.”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
   Internal Churn
    Internal Churn    “Our new ideas are stuck in the mud of internal planning and review
                       “Our new ideas are stuck in the mud of internal planning and review
                      cycles.”
                       cycles.”

   Competition        “New competitors are moving into our space and we need to do
   Competition         “New competitors are moving into our space and we need to do
                      something to defend our market position.”
                       something to defend our market position.”
   Adjacent Markets   “We see opportunities in adjacent markets (new segments, geographies,
                      etc.) but we don’t know where and how to start.”
   Adjacent Markets    “We see opportunities in adjacent markets (new segments, geographies,
                       etc.) but we don’t know where and how to start.”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
   Internal Churn
    Internal Churn    “Our new ideas are stuck in the mud of internal planning and review
                       “Our new ideas are stuck in the mud of internal planning and review
                      cycles.”
                       cycles.”

   Competition        “New competitors are moving into our space and we need to do
   Competition         “New competitors are moving into our space and we need to do
                      something to defend our market position.”
                       something to defend our market position.”
   Adjacent Markets   “We see opportunities in adjacent markets (new segments, geographies,
                      etc.) but we don’t know where and how to start.”
   Adjacent Markets    “We see opportunities in adjacent markets (new segments, geographies,
                       etc.) but we don’t know where and how to start.”

   Mining IP          “We have so much IP but we cannot convert it into products that resonate
    Mining IP          “We have so much IP but we cannot convert it into products that resonate
                      with consumers.”
                       with consumers.”
INNOVATION TRIGGERS

   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Margin Erosion     “We operate in a mature industry with a mature product portfolio and our
                      margins are beginning to disappear.”
   Internal Churn
    Internal Churn    “Our new ideas are stuck in the mud of internal planning and review
                       “Our new ideas are stuck in the mud of internal planning and review
                      cycles.”
                       cycles.”

   Competition        “New competitors are moving into our space and we need to do
   Competition         “New competitors are moving into our space and we need to do
                      something to defend our market position.”
                       something to defend our market position.”
   Adjacent Markets   “We see opportunities in adjacent markets (new segments, geographies,
                      etc.) but we don’t know where and how to start.”
   Adjacent Markets    “We see opportunities in adjacent markets (new segments, geographies,
                       etc.) but we don’t know where and how to start.”

   Mining IP          “We have so much IP but we cannot convert it into products that resonate
    Mining IP          “We have so much IP but we cannot convert it into products that resonate
                      with consumers.”
                       with consumers.”
   Time-to-Market     “Our linear product development process doesn’t allow for nimbleness and
    Time-to-Market      “Our linear product development process doesn’t allow for nimbleness and
                      trial and error.”
                        trial and error.”
INNOVATION TRIGGERS

   Margin Erosion       “We operate in a mature industry with a mature product portfolio and our
                        margins are beginning to disappear.”
   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Internal Churn
    Internal Churn     “Our new ideas are stuck in the mud of internal planning and review
                        “Our new ideas are stuck in the mud of internal planning and review
                       cycles.”
                        cycles.”

   Competition         “New competitors are moving into our space and we need to do
   Competition          “New competitors are moving into our space and we need to do
                       something to defend our market position.”
                        something to defend our market position.”
   Adjacent Markets    “We see opportunities in adjacent markets (new segments, geographies,
                       etc.) but we don’t know where and how to start.”
   Adjacent Markets     “We see opportunities in adjacent markets (new segments, geographies,
                        etc.) but we don’t know where and how to start.”

   Mining IP           “We have so much IP but we cannot convert it into products that resonate
    Mining IP           “We have so much IP but we cannot convert it into products that resonate
                       with consumers.”
                        with consumers.”
   Time-to-Market      “Our linear product development process doesn’t allow for nimbleness and
    Time-to-Market       “Our linear product development process doesn’t allow for nimbleness and
                       trial and error.”
                         trial and error.”
   Customer Insight    “Our product ideas are driven by science and engineering but fail to
    Customer Insight   recognize latent or unarticulated customer and engineering but fail to
                        “Our product ideas are driven by science needs.”
                        recognize latent or unarticulated customer needs.”
INNOVATION TRIGGERS

   Margin Erosion       “We operate in a mature industry with a mature product portfolio and our
                        margins are beginning to disappear.”
   Margin Erosion      “We operate in a mature industry with a mature product portfolio and our
                       margins are beginning to disappear.”
   Internal Churn
    Internal Churn     “Our new ideas are stuck in the mud of internal planning and review
                        “Our new ideas are stuck in the mud of internal planning and review
                       cycles.”
                        cycles.”

   Competition         “New competitors are moving into our space and we need to do
   Competition          “New competitors are moving into our space and we need to do
                       something to defend our market position.”
                        something to defend our market position.”
   Adjacent Markets    “We see opportunities in adjacent markets (new segments, geographies,
                       etc.) but we don’t know where and how to start.”
   Adjacent Markets     “We see opportunities in adjacent markets (new segments, geographies,
                        etc.) but we don’t know where and how to start.”

   Mining IP           “We have so much IP but we cannot convert it into products that resonate
    Mining IP           “We have so much IP but we cannot convert it into products that resonate
                       with consumers.”
                        with consumers.”
   Time-to-Market      “Our linear product development process doesn’t allow for nimbleness and
    Time-to-Market       “Our linear product development process doesn’t allow for nimbleness and
                       trial and error.”
                         trial and error.”
   Customer Insight    “Our product ideas are driven by science and engineering but fail to
    Customer Insight   recognize latent or unarticulated customer and engineering but fail to
                        “Our product ideas are driven by science needs.”
                        recognize latent or unarticulated customer needs.”
   Sustainability      “We got lucky once or twice. How do we repeat our market success year
    Sustainability      “We got lucky once or twice. How do we repeat our market success year
                       after year?”
                        after year?”
INNOVATION CATEGORIES

                   Sustaining (Evolve)                                    Breakout (Expand)                                 Disruptive (Envision)



$                                                    $                                                    $




      0     1       ^
                    2     3    4    5    6    7            0       1       2   3    ^
                                                                                    4    5    6    7            0      1      2    3    4    5      ^
                                                                                                                                                    6   7
Go/No-Go                                                 Go/No-Go                                             Go/No-Go
(Director Level)
                                             years       (VP/SVP Level)
                                                                                                  years       (CEO/Board Level)
                                                                                                                                                        years


    Short -Term Advantage                                Near-Term Advantage                                   Long-Term Advantage
    Sustain product life with incremental                Create new products within an existing                Innovate new to the world products that
    enhancements and consumer benefits.                  product category that leverage high value             lead the creation of new markets or
    Since product categories exist, sustaining           benefits for consumers.                               industries. Market acceptance may be
    products are easily accepted by the market.          The greater benefits of the product and the           slower to gain as multiple industry
    On the other hand profitability can diminish         fact that it is within a know category drives         standards compete for dominance.
    quickly due to ease of imitation .                   rapid short-term growth.                              These products are a long term investment
    These products are low risk bets with a high         These product are higher risks bets with              with high potential returns over the long
    probability of short term returns.                   higher yet diminishing returns.                       term. Other benefits include market
                                                                                                               dominance & strong competitive position.


    Product Level Innovation                             Category Level Innovations                            Industry Level Innovation
    Competitive Advantage: 1-3 years                     Competitive Advantage: 3-5 years                      Competitive Advantage : 5-7 years
http://13c4.wordpress.com/2007/02/24/50-reasons-not-to-change/




Credit:
http://13c4.wordpress.com/2007/02/
24/50-reasons-not-to-change/
Innovation means creating change
   instead of just reacting to it.
“If you don’t get better, you get worse.”
                  My dad
Most products look alike
Good enough   Excellent
Innovation means doing
what no one has done before.
Innovation means doing
  what no one has done before.
what no one else would dare doing.
Intuitive bets
“It’s such a fine line between stupid and clever.”
             David St. Hubbins, lead singer of Spinal Tap
3

Design (Thinking)?
Innovation means behavioral change.
CUSTOMER JOURNEY
Design:

           Humanizes technology
Creates simple solutions to complex problems
       Changes the meaning of things
Design (Thinking)?
Strives to keep bad things        Strives to make good
from happening                    things happen.




                  Manager vs. Designer
We don't teach executives to think like
designers. We help them bring innovative
products and services to market.
Doing




Thinking
“The head and hand divided” (R. Sennett)
has risks…
“A map is not the territory.”
        Alfred Korzybski, 1931
Technology

                People


Material
           =   Processes

                Politics

                 Money

                Actual
               materials
4

Do you fail?
"Ever tried. Ever failed. No matter.
 Try again. Fail again. Fail better.“
              Samuel Beckett
| Project Masiluleke
5

  Do you have an
innovation process?
“We don’t have an innovation process.
       We hire good people.”
               Steve Jobs
“Design is too important to
be left to designers.”
Raymond Loewy
Business Analyst
                                                            Digital Media Designer




Strategist




 Anthropologist




              Artists
                                      Mechanical Engineer
                                                                           Software Developer



                                     Architects

   Ethnographer
                                                                 Industrial Designer
                            Writer




                        Cross-over thinking (and doing)
Role Matrix
ITERATIVE
SYNERGISTIC
6

What about the customer?
…but it is not dead…




Nothing has changed
…but it is not dead…




Everything has changed!
“In the old days, brands
  wanted everybody to pay
       attention to them.
  Now brands need to pay
attention to everybody else.”
          Umair Haque
All products and services will be SOCIAL
Where?



Social networks
What?



Social content
How?



Social publishing       Social search
Social gaming           Social shopping
What for?




Social impact       Social currency
“Open it up and it will design itself.”
                Norman Lewis




                                          76
DATA is the bank…
MEANING is the currency…
“Create more value than you capture.”
Tim O’Reilly
Social




        Meaning

Value             Innovation
Chief Meaning Officer
     checklist

SMALL          DRAMATIC             SOCIAL        CONVERSATIONAL PROVOCATIVE RESPONSIBLE
Micro          Making sense         Connecting    Listening           Making you think Doing good
Customizable   Cohesion             Community     Empathy             Disruption           Political
Relevant       Convergence          Belonging     Adaptive            Divergence           Socially responsible
Actionable     Morale               Identity      Changing messages   Deconstruction       Eco-friendly
Eye-to-eye     Consistency          Like-minded   Two-way             Surprise             Ethical
Direct         Imagination          Affinity      Let go of control   Shock                Human rights
Instant        Entertainment        New people    Open                Unexpected           Values
Accessible     Cultural relevance   Status        Respect             Unlikely             Family
Sharable       Characters           Compassion    Flow                Challenging          Nation
Atomized       Suspense             Fun           Topical             status quo           Common Good
               Comedy               Love          Point-of-view       Unique               Earth
               Tragedy              Friendship                        Attention-grabbing
               Identification       Hobbies                           Different
                                    Fans                              In your face
7

Convergence?
Media
      Energy              Entertainment



Banking                              Telco
               CONSUMER
               EXPERIENCE



   Auto                          Retail


          Wellness       eCommerce
Mobile


   Social                          Personal



                 BRAND
               EXPERIENCE
                                      Instant/
Gaming
                                     Real-time



         Location-
                              Augmented
          based
BUSINESS
            TECHNOLOGY



                     Mobile


   Social                          Personal



                 BRAND
               EXPERIENCE
                                      Instant/
Gaming
                                     Real-time



         Location-
                              Augmented
          based




               DESIGN
BUSINESS
          TECHNOLOGY



                 Media
      Energy              Entertainment



Banking                              Telco
               CONSUMER
               EXPERIENCE



   Auto                          Retail


          Wellness       eCommerce




               DESIGN
8

Does it need to be simple?
Yes
(it’s that simple)
Complex ecosystems
Feature creep
“Perfection is achieved, not when there is
nothing more to add, but when there is nothing
               left to take away.”
                Antoine de Saint-Exupery
9

The product is the story.
The story is the product.
“Because the purpose of business is to
create a customer, the business enterprise
 has two—and only two—basic functions:
        marketing and innovation.”
                 Peter Drucker
Disrupt schemata
Blend two concepts
10

You.
“Never doubt that a small group of thoughtful,
  committed people can change the world.
  In fact, it is the only thing that ever has.”
                   Margaret Mead
Innovation By 10

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Innovation By 10

  • 1. Innovation by 10 Re:Publica 2010
  • 2. The origins of frog 2
  • 3. 3
  • 4. (map of Silicon Valley)
  • 5. We are a global innovation firm. We help the world’s leading companies create and bring to market meaningful products, services, and experiences. Our cross-disciplinary process reveals valuable consumer and market insights and delivers lasting, humanizing solutions across multiple technologies, platforms, and media. - 40 years’ experience in developing breakthrough products and services - More than 3,000 products and services for more than 300 of the Fortune 500 companies - Won more than 100 industry awards (CES Innovation, IDEA, and others) - Our software is in more than 500,000,000 devices - Our clients (in 2009) were: 7 of the top 10 mobile operators and 9 of the top 10 OEMs; 50 of Millward Brown World’s Top 100 Brands; 24 of BusinessWeek’s Top 50 Innovative Companies; 16 of Fast Company’s Top 50 Innovative Companies © 2007 frog design. Confidential & Proprietary. 5
  • 11. nnovation back then…. © 2007 frog design. Confidential & Proprietary. 11 1
  • 13.
  • 15. THE BIG SPACE / JC PENNEY RFID-based digital retail concept Innovation today © 2009 frog design. confidential & proprietary. March 2009 42
  • 20. Is he an innovator?
  • 26. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn “Our new ideas are stuck in the mud of internal planning and review cycles.” Competition “New competitors are moving into our space and we need to do something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Mining IP “We have so much IP but we cannot convert it into products that resonate with consumers.” Time-to-Market “Our linear product development process doesn’t allow for nimbleness and trial and error.” Customer Insight “Our product ideas are driven by science and engineering but fail to recognize latent or unarticulated customer needs.” Sustainability “We got lucky once or twice. How do we repeat our market success year after year?”
  • 27. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.”
  • 28. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.”
  • 29. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.”
  • 30. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.”
  • 31. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Mining IP “We have so much IP but we cannot convert it into products that resonate Mining IP “We have so much IP but we cannot convert it into products that resonate with consumers.” with consumers.”
  • 32. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Mining IP “We have so much IP but we cannot convert it into products that resonate Mining IP “We have so much IP but we cannot convert it into products that resonate with consumers.” with consumers.” Time-to-Market “Our linear product development process doesn’t allow for nimbleness and Time-to-Market “Our linear product development process doesn’t allow for nimbleness and trial and error.” trial and error.”
  • 33. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Mining IP “We have so much IP but we cannot convert it into products that resonate Mining IP “We have so much IP but we cannot convert it into products that resonate with consumers.” with consumers.” Time-to-Market “Our linear product development process doesn’t allow for nimbleness and Time-to-Market “Our linear product development process doesn’t allow for nimbleness and trial and error.” trial and error.” Customer Insight “Our product ideas are driven by science and engineering but fail to Customer Insight recognize latent or unarticulated customer and engineering but fail to “Our product ideas are driven by science needs.” recognize latent or unarticulated customer needs.”
  • 34. INNOVATION TRIGGERS Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Margin Erosion “We operate in a mature industry with a mature product portfolio and our margins are beginning to disappear.” Internal Churn Internal Churn “Our new ideas are stuck in the mud of internal planning and review “Our new ideas are stuck in the mud of internal planning and review cycles.” cycles.” Competition “New competitors are moving into our space and we need to do Competition “New competitors are moving into our space and we need to do something to defend our market position.” something to defend our market position.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Adjacent Markets “We see opportunities in adjacent markets (new segments, geographies, etc.) but we don’t know where and how to start.” Mining IP “We have so much IP but we cannot convert it into products that resonate Mining IP “We have so much IP but we cannot convert it into products that resonate with consumers.” with consumers.” Time-to-Market “Our linear product development process doesn’t allow for nimbleness and Time-to-Market “Our linear product development process doesn’t allow for nimbleness and trial and error.” trial and error.” Customer Insight “Our product ideas are driven by science and engineering but fail to Customer Insight recognize latent or unarticulated customer and engineering but fail to “Our product ideas are driven by science needs.” recognize latent or unarticulated customer needs.” Sustainability “We got lucky once or twice. How do we repeat our market success year Sustainability “We got lucky once or twice. How do we repeat our market success year after year?” after year?”
  • 35. INNOVATION CATEGORIES Sustaining (Evolve) Breakout (Expand) Disruptive (Envision) $ $ $ 0 1 ^ 2 3 4 5 6 7 0 1 2 3 ^ 4 5 6 7 0 1 2 3 4 5 ^ 6 7 Go/No-Go Go/No-Go Go/No-Go (Director Level) years (VP/SVP Level) years (CEO/Board Level) years Short -Term Advantage Near-Term Advantage Long-Term Advantage Sustain product life with incremental Create new products within an existing Innovate new to the world products that enhancements and consumer benefits. product category that leverage high value lead the creation of new markets or Since product categories exist, sustaining benefits for consumers. industries. Market acceptance may be products are easily accepted by the market. The greater benefits of the product and the slower to gain as multiple industry On the other hand profitability can diminish fact that it is within a know category drives standards compete for dominance. quickly due to ease of imitation . rapid short-term growth. These products are a long term investment These products are low risk bets with a high These product are higher risks bets with with high potential returns over the long probability of short term returns. higher yet diminishing returns. term. Other benefits include market dominance & strong competitive position. Product Level Innovation Category Level Innovations Industry Level Innovation Competitive Advantage: 1-3 years Competitive Advantage: 3-5 years Competitive Advantage : 5-7 years
  • 37. Innovation means creating change instead of just reacting to it.
  • 38. “If you don’t get better, you get worse.” My dad
  • 39.
  • 41.
  • 42. Good enough Excellent
  • 43. Innovation means doing what no one has done before.
  • 44. Innovation means doing what no one has done before. what no one else would dare doing.
  • 46. “It’s such a fine line between stupid and clever.” David St. Hubbins, lead singer of Spinal Tap
  • 50. Design: Humanizes technology Creates simple solutions to complex problems Changes the meaning of things
  • 52. Strives to keep bad things Strives to make good from happening things happen. Manager vs. Designer
  • 53. We don't teach executives to think like designers. We help them bring innovative products and services to market.
  • 55. “The head and hand divided” (R. Sennett) has risks…
  • 56. “A map is not the territory.” Alfred Korzybski, 1931
  • 57. Technology People Material = Processes Politics Money Actual materials
  • 59. "Ever tried. Ever failed. No matter. Try again. Fail again. Fail better.“ Samuel Beckett
  • 61.
  • 62. 5 Do you have an innovation process?
  • 63. “We don’t have an innovation process. We hire good people.” Steve Jobs
  • 64. “Design is too important to be left to designers.” Raymond Loewy
  • 65. Business Analyst Digital Media Designer Strategist Anthropologist Artists Mechanical Engineer Software Developer Architects Ethnographer Industrial Designer Writer Cross-over thinking (and doing)
  • 69. 6 What about the customer?
  • 70. …but it is not dead… Nothing has changed
  • 71. …but it is not dead… Everything has changed!
  • 72. “In the old days, brands wanted everybody to pay attention to them. Now brands need to pay attention to everybody else.” Umair Haque
  • 73.
  • 74. All products and services will be SOCIAL Where? Social networks What? Social content How? Social publishing Social search Social gaming Social shopping What for? Social impact Social currency
  • 75.
  • 76. “Open it up and it will design itself.” Norman Lewis 76
  • 77.
  • 78. DATA is the bank…
  • 79. MEANING is the currency…
  • 80. “Create more value than you capture.” Tim O’Reilly
  • 81. Social Meaning Value Innovation
  • 82. Chief Meaning Officer checklist SMALL DRAMATIC SOCIAL CONVERSATIONAL PROVOCATIVE RESPONSIBLE Micro Making sense Connecting Listening Making you think Doing good Customizable Cohesion Community Empathy Disruption Political Relevant Convergence Belonging Adaptive Divergence Socially responsible Actionable Morale Identity Changing messages Deconstruction Eco-friendly Eye-to-eye Consistency Like-minded Two-way Surprise Ethical Direct Imagination Affinity Let go of control Shock Human rights Instant Entertainment New people Open Unexpected Values Accessible Cultural relevance Status Respect Unlikely Family Sharable Characters Compassion Flow Challenging Nation Atomized Suspense Fun Topical status quo Common Good Comedy Love Point-of-view Unique Earth Tragedy Friendship Attention-grabbing Identification Hobbies Different Fans In your face
  • 84. Media Energy Entertainment Banking Telco CONSUMER EXPERIENCE Auto Retail Wellness eCommerce
  • 85. Mobile Social Personal BRAND EXPERIENCE Instant/ Gaming Real-time Location- Augmented based
  • 86. BUSINESS TECHNOLOGY Mobile Social Personal BRAND EXPERIENCE Instant/ Gaming Real-time Location- Augmented based DESIGN
  • 87. BUSINESS TECHNOLOGY Media Energy Entertainment Banking Telco CONSUMER EXPERIENCE Auto Retail Wellness eCommerce DESIGN
  • 88. 8 Does it need to be simple?
  • 92. “Perfection is achieved, not when there is nothing more to add, but when there is nothing left to take away.” Antoine de Saint-Exupery
  • 93. 9 The product is the story. The story is the product.
  • 94. “Because the purpose of business is to create a customer, the business enterprise has two—and only two—basic functions: marketing and innovation.” Peter Drucker
  • 95.
  • 96.
  • 99.
  • 100.
  • 102. “Never doubt that a small group of thoughtful, committed people can change the world. In fact, it is the only thing that ever has.” Margaret Mead