Keeping the end in mind

The end of the innovation funnel that is....

Several events complicate the pursuit of innovation in larger organizations.

1) Funding the creative process - its a large world of ideas out there. The time to think, create and evaluate is not necessarily the possible task of a manager who has to be focused on day-to-day operations. This can be considered and investment with expected returns. Or it can be thought of as a grant with expectation applied effort and education with no expectation of returns or at least a lower chance. Either way. Clarity is important for all involved.

Now once a company decides they need this and funds it they face a second challenge

2) Identifying burn rate. Quite often an idea guru, consultant, firm or hired hand will bring great ideas to the table. They talk. They contemplate. They investigate. But the important thing to remember is the fuel of any company is cash. So in building the organization define the goal in terms of activities, deliverable and results. What is the innovation team's measure success? There is a huge difference between a wicked idea and a wicked idea the can make money in a certain amount of time.

If an organization is clear on expectations from an innovation organization and has set the line anywhere from valid ideas to operational possible plans to actual implementation they hit another challenge

3) Organizational value. Who has to implement the plan and then who gets credit for it's failure and success? The end of the funnel is value creation to the end customer and value for the organization - read revenue and cash - and value stream participants. Is it the idea guy who was the enabler, was it the management team that took the ball and ran with it? Is it turf war credit allocation nightmare? Yes yes yes yes.

Let the games begin.

Innovation Mindset

Picture, if you will, a wagon on the early American trail. Picture the wheels of the wagon turning along the dirt road with well worn ruts. Think about how easy it is to continue on the road as compared to trying to steer the wagon off the track. If you steer off track you risk tipping the wagon. You risk breaking an axle. You risk additional work if you use a lever to push as well as pull the wagon off the trail. It's a rut. We often say we are in a rut, but do we think critically about how to get out of the rut. Rut = worn in habit.

Innovative ideas = change. Introducing something new. Something not in a rut. Opposing forces. It is difficult at times to change perspectives. Having facilitated vision work (or ideation or innovation or whatever term you use) meetings to draw new ideas out of people and found myself staring at an audience in a rut (actually I have been on both sides of the equation). They default to the standard answer as they glance casually at their watch as they imagine all of the things they need to be doing back at their desks, calls they need to make, groceries they need to pick. The rut is easy. It allows for other distractions such as entertainment and self back slapping congragulatory activities.

To snap people out of the rut, tools and techniques are essential. I've written about problem solving as a tool to anchor people's thoughts and create a single topic that everyone can work towards. Recently I am reading a book that talks about mental locks in a very entertaining way. I recommend "A Whack on the Side of the Head" by Roger von Oech. Take a read and see if those mental locks ring true to your situation.

Innovation Partnering

Innovation is difficult in a vacuum. Beyond the idea of killer products, the realities of marketing in an information overloaded world, distribution with rising transportation costs, crossing the chasm of product and service acceptance, and the rising criticality of trust as a factor in consumer experience demands an approach that evaluates end-to-end value chains.

Finding partners to help with the shaping, birthing, and placement of a crazy powerful new idea can be crucial to success.

Think about recent moves by Apple to open up their platform for 3rd party developers. Why? Because the power of application and applicative ideas in an open market can fuel value for iPhone users which in turn reinforces loyalty and stimulates new customer aquisition that ultimately drives sales for Apple. Altruism aside, of course. 

Think about the entire path of your product and service; think about who can help in areas that you may not be strong; think about how you could draw lines in the sand effictively and still maintain mutual benefits.