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7 Steps for Open Innovation by @Lindegaard: Grading Your Company’s Open Innovation Capabilities

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Here you can check out my PowerPoint deck for my new concept:

7 Steps for Open Innovation: Grading Your Company’s Open Innovation Capabilities

The premise is that if your company is not already fully engaged with open innovation efforts, it is way behind. This is evident by looking at the number of companies around the globe that today embrace the use of external partners and input into their innovation efforts.

But even though companies continuously launch new initiatives designed to help them leverage the power of outside knowledge and resources to drive innovation forward, there is a sense within these companies that they can do better and take this new innovation paradigm to an even higher level.

They are also eager to get external perspective to make sure they are maximizing results by using best practices in all aspects of their open innovation efforts.

To help companies with this evaluation, I have developed a seven-step assessment tool that helps them evaluate these key areas:

1. Common Language and Understanding, Motivation, Mandate and Strategic Purpose
2. Assets and Needs
3. Value Pools and Channels
4. Internal Readiness
5. External Readiness
6. New Skills and Mindset
7. Communications Strategy

This assessment tool will help companies identify where they may be falling short in any of these key areas as well as provide ideas and insights on how to make the necessary improvements that will give more power to their open innovation efforts.

This is still work in progress, but you can get an idea of what this is about by checking out my presentation here

It would be great to hear your early feedback on the content itself as well as your thoughts on what I should do with the concept itself. Maybe it would be more valuable for the open innovation community as some kind of an open source project? What do you think?

Publicada em: Negócios

7 Steps for Open Innovation by @Lindegaard: Grading Your Company’s Open Innovation Capabilities

  1. 1. 7 Steps for Open Innovation - Grading Your Company’s Open Innovation Capabilities www.15inno.com stefanlindegaard@me.com Twitter: @lindegaard Hey! Free books, white papers and exercises on 15inno.com!
  2. 2. Stefan Lindegaard Author, speaker and strategic advisor on open innovation, innovation management / culture and the people side of innovation. Get in touch! www.15inno.com stefanlindegaard@me.com @lindegaard
  3. 3. 7 Steps for Open Innovation 1. Common Language and Understanding, Motivation, Mandate and Strategic Purpose 2. Assets and Needs 3. Value Pools and Channels 4. Internal Readiness 5. External Readiness 6. New Skills and Mindset 7. Communications Strategy
  4. 4. Faster pace, shrinking window of opportunity, less time for cash cows Driven by global megatrends: faster, more open, more transparent and more connected We need a more holistic approach to innovation!
  5. 5. What is open innovation? “…a philosophy or a mindset that they should embrace within their organization. This mindset should enable their organization to work with external input to the innovation process just as naturally as it does with internal input” Open innovation as a term will disappear in 5-7 years!
  6. 6. P&G MEDTECH PHARMA Cycle time, money, IPR, conservatism, government regulations and internal readiness
  7. 7. Corporate benefits: (open innovation/crowdsourcing) • Speed, diversity, new knowledge pools • Experimentation (don’t be left behind) • Marketing as well as innovation vehicle • More cost-effective than hiring consultants
  8. 8. Change how we innovate Be competitively unpredictable Develop the right conditions and framework
  9. 9. WORK PRODUCTS FUNDING INTER-MEDIARIES COMPANIES PUBLIC
  10. 10. Social media is key for crowdsourcing LEGO went out of comfort zone, partnered with another company Do you know your external touch-points? Do you use them properly?
  11. 11. Current pilot projects: "People are much more likely to act their way into a new way of thinking, than think their way into a new way of acting." - Richard Pascale Therefore we run pilot projects - in our production area (solving hard, “unsolvable” problems) - on improving the core LEGO experience through crowdsourcing - on how to improve core HR processes - on an Open Innovation platform
  12. 12. Design, build and sell awesome products together.
  13. 13. Is the real business model facilitation? 1. Develop a community 2. Make it work in chosen area (vehicles) 3. Move into other industries (complex mechanical devices) This can work for startups. What about SME’s and bigger companies? New business areas?
  14. 14. “FirstBuild is global co-creation paired with a microfactory on site,” said Chip Blankenship, CEO of GE Appliances. “We will innovate and bring products to market faster than ever before.” Image: Colin West McDonald / CNET
  15. 15. Samsung Open Innovation Center has 3 of 4 legs focusing on startups
  16. 16. Current (open) innovation trends • go beyond products and technologies - more innovation teams without R&D link even in R&D heavy companies (BASF, Cisco, Pfizer) • the start-up value pool is sizzling hot • the big issue is how to scale up open innovation • tolerance for failure, experimentation and “smartfailing” are growing issues • companies are about to upgrade their innovation capabilities (some are in for a surprise) • Near future: From 1-1 to many-to-many
  17. 17. www.businessmodelsinc.com
  18. 18. 21 Open innovation works!
  19. 19. Source: Open Innovation Executive Survey Frauenhofer and UC Berkeley
  20. 20. Source: Open Innovation Executive Survey Frauenhofer and UC Berkeley
  21. 21. Source: Open Innovation Executive Survey Frauenhofer and UC Berkeley
  22. 22. Source: Open Innovation Executive Survey Frauenhofer and UC Berkeley
  23. 23. It’s about execution! People first, processes next, then ideas…
  24. 24. 7 Steps for Open Innovation 1. Common Language and Understanding, Motivation, Mandate and Strategic Purpose 2. Assets and Needs 3. Value Pools and Channels 4. Internal Readiness 5. External Readiness 6. New Skills and Mindset 7. Communications Strategy
  25. 25. Step 1: Common language and Understanding, Motivation, Mandate and Strategic Purpose
  26. 26. Think / Reflect • Does your organization have a good understanding of open innovation and the demands it puts upon your company? • What is motivating the organization to pursue open innovation? • Is the mandate for open innovation clear and the strategy and strategic purposes well thought out and well understood by everyone involved?
  27. 27. “You need to speak the same language if you want to get internal and external stakeholders onboard. This starts with a clear agreement on how innovation – internally as well as externally focused - fits the specific situation of your company.” - Stefan Lindegaard
  28. 28. To Clorox, open innovation means • More capabilities and expertise: Using others to deliver meaningful innovation • More find: Developing external networks to exponentially increase the source of new ideas Clorox wants to use open innovation to: 1. Find ideas, technologies and products 2. Outsource entire chunks of product development 3. License / sell internal ideas and technologies to others
  29. 29. Clorox says that for open innovation to work, they need… • strong internal and external networks • clear, choiceful corporate strategy that directs the “find” activities • capabilities, teams and processes to find more ideas • and capabilities, teams and processes to enable what’s found to be used: combined with other inputs, quickly assessed and built into business opportunities.
  30. 30. Clorox, don’t get too narrow! “We will no longer talk about open innovation in most industries within the next five to seven years. It will just be about innovation, but the level of external input to the innovation process will be much higher than what we see today.” - Stefan Lindegaard
  31. 31. What is Connect + Develop? “It's our version of open innovation: the practice of tapping externally developed intellectual property to accelerate internal innovation and sharing our internally developed assets and know-how to help others outside the Company.”
  32. 32. Shell GameChanger The programme started in 1996 and has long practised open innovation, inviting ideas from outside and working with others… …designed to prove the technical and commercial viability of an idea quickly and affordably… …worked with 1,500+ innovators; more than 100 ideas into reality.
  33. 33. What open innovation means Open innovation at Tate & Lyle means partnering with external innovators to bring products to market faster and develop innovations we cannot create alone. In short, the aim of open innovation is to deliver faster growth. John Stewart, Head of Open Innovation
  34. 34. This happens by… • partnering with companies (large and small) to bring new products to market • helping to grow our innovation pipeline with externally-sourced products and technologies • finding new products and technologies we cannot create alone John Stewart, Head of Open Innovation
  35. 35. What it does NOT mean… • Contract research • Academic collaborations into basic research (our technical teams do this directly) • Joint Ventures (other teams manage these directly) • Spinning out technologies or companies John Stewart, Head of Open Innovation
  36. 36. Two key questions: • What is your motivation for pursuing open innovation? • Why is open innovation relevant to your company, its present situation, and its mission and vision? Tie this into your strategic purpose and innovation mandate!
  37. 37. Danfoss: Man on the Moon • To identify and develop new ventures that creates significant growth and/or strategic advantages • To spot and develop talent • To change the culture and establish ”intrapreneurship” as a fourth career path
  38. 38. Intel (elements of a specific innovation drive) • Foster and encourage innovation and creative thinking • Challenge the status quo and embracing change • Provide a challenging work environment
  39. 39. Grundfos (part of an innovation intent) • Experiment with and develop towards future organizational paradigms • Create new career paths for Grundfos managers
  40. 40. “Executives and senior innovation leaders must develop an intention in the form of a strategic purpose, but they must also define the mandate given to the innovation leaders. A clearly given mandate can help work out the inevitable internal conflicts with regards to resources and authority given to an innovation team.” - Stefan Lindegaard
  41. 41. A clear innovation mandate should: • Lay out the resources and authority given to the innovation team • Clarify how potential conflicts are to be handled • Encourage stakeholders to solve problems on issues such as resource allocation and commitment without involving the executives
  42. 42. The TBX model or why middle managers stop…
  43. 43. ...innovation just by doing their job! • T (Top Down): Get executives onboard, personally committed to innovation. Without executive support, no change occurs • B (Bottom Up): Value creation begins with people, one by one, team by team. Nothing happens unless you get employees engaged • X (Across): Middle managers get the job done (for good and bad) – set the right objectives and incentives!
  44. 44. Think / Reflect • What is the most important question to have in mind when leading change driven initiatives such as open innovation? • It is simple yet a question that everyone will ask themselves… What’s in it for me?
  45. 45. “You should also have in mind that open innovation is just a piece of the overall innovation strategy, and it might not even work for all companies. So, again, start by being clear about what is motivating you to move towards open innovation.” - Stefan Lindegaard
  46. 46. Step 2: Assets and Needs
  47. 47. Think / Reflect • Have you identified the assets and resources (internally as well as externally in your ecosystem) that are relevant for your innovation projects? • Have you identified other assets and resources that are needed but are not available within your current ecosystem? • Do you have a process for getting access to these needed assets and resources? • Do you have a process for merging internal and external resources?
  48. 48. Three main areas: 1) Internal Assets, 2) Ecosystem Assets and 3) Needs
  49. 49. “(Internal) assets are capabilities and resources that enable you to bring innovation to market faster. This includes physical resources such as R&D facilities, but it also includes nontangible capabilities, such as tested and proven processes that are in place to move innovation forward – and people.” - Stefan Lindegaard
  50. 50. Different companies, different assets: • Smaller companies: Higher need for ecosystem partners – find right place, ask if we can grow more together? • Big companies: Might have most in own corporate structure; still ask if we can grow more with others? Bonus for big companies! They get to decide where the bus is going and who should be onboard. Jackpot for OI leaders! Preferred partners get the first pick; others get the leftovers…
  51. 51. “Archer or magnet? Try to become a preferred partner of choice with either approach. Why? Any given industry will have lots of small winners, but there will only be one clear winner among the big companies – and several losers. Big companies have more at stake.” - Stefan Lindegaard
  52. 52. 3M also has an active external open innovation program. Can you describe it? ”Our corporate labs are continually bringing in new employees and technologies from universities and other sources. And we collaborate closely with customers. We have 30 customer technology centers around the world, where our technical and marketing employees meet with customers and expose them to the full range of 3M technology platforms.We ask them what their technical issues, problems, and opportunities are, and whether any of 3M’s many different technologies can help them.“ Fred J. Palensky, CTO at 3M Strategy + Business, May 11, 2011
  53. 53. Can you discuss a specific product that arose out of 3M’s open innovation process? ”Really, all of them. To take one example, we just introduced an entirely new kind of sandpaper… The mineral technology came from the abrasives division, some of the shape technology came from optical systems, coating technologies came from the tape division, and mathematical modeling and fracture analysis came from the corporate research center. Altogether, the abrasives division used seven different technologies to create the product, only two of which came from the division itself.” Fred J. Palensky, CTO at 3M Strategy + Business, May 11, 2011
  54. 54. 5 business groups, 88,000 employees, 40+ technology platforms, 30+ technology centers
  55. 55. Why is this relevant? • Internal open innovation = better internal collaboration, less silo mentality • Lots of white space = internal open innovation opportunities (3M excels here) • More than “just” corporate innovation; also a learning platform for external innovation • 60-80% of the same issues, challenges on i-OI and OI (mindset, approaches - not IPR) • Experimentation is much easier internally, less risk of back-fires, not public domain
  56. 56. Getting started – some key questions • What are the (learning) objectives? • Who are the project owners? Who sees the big picture? Are they committed? • Where is the right place to experiment? How do you prepare / motivate people in the right place? • Are you ready to learn? Do you have a “smartfailing” process? • What is the right balance between exploration and exploitation?
  57. 57. What tools can help make this happen?
  58. 58. Insights and inspiration
  59. 59. Can business model insights help companies go beyond R&D and include more functions? www.businessmodelsinc.com
  60. 60. Business plan competitions dig deep in the drawers, uncover white space opportunities… …and bring organizations together on innovation What if you invited external partners into such an initiative? Learn together!
  61. 61. Horizontal: disposition for collaboration across disciplines Vertical: depth of skill which allows to contribute Only T-shapes: “Occasionally, we have people who don’t really have a depth of skills, and they really struggle. They don’t get respect from the group.” Credit: Tim Brown / IDEO Only I-shapes: “…very hard for them to collaborate…each individual discipline represents its own point of view…becomes a negotiation…you get gray compromises… The results are never spectacular but at best average.” Not Invented Here versus Re-applied with Pride
  62. 62. Seed capital: Inventors can request seed capital from their business unit managers; if their request is denied, they can seek funding from other business units or corporate funding. New Venture Formation: Product inventors must recruit their own teams, reaping the benefit of 3M’s many networking forums as they seek the right people for the job at hand. If it fails, previous jobs are guaranteed. Dual career ladder: Scientists can continue to move up the ladder without becoming managers. 3M does not lose good scientists and engineers only to gain poor managers. Credit: Govindarajan / Srinivas
  63. 63. It’s almost fair to say that 3M does not need open or external innovation. They do so well by themselves…
  64. 64. CEO, Six Sigma key elements for crisis in 2007. Will a lack of understanding of open innovation lead to a new one?
  65. 65. Transformational Growth: Industry is accessing the world for innovation The “Want, Find, Get, Manage” Model® Want What external resources do we need to Manage What tools, metrics and management techniques will we use to implement the relationship? succeed in our mission? Find What mechanisms will we use to find these resources? Get What processes will we use to plan, structure and negotiate an agreement to access the resources?
  66. 66. Step 3: Value Pools and Channels
  67. 67. Think / Reflect • What value pools can you tap into to build value for your innovation initiatives? • Are these relationships solid or do you need to do additional work to build good, mutually beneficial working relationships? • Are there potential external value pools that you have not yet tapped at all? If so, what is your plan for reaching out to them? • Are your channels for communicating with your value pools strong or do they need further work?
  68. 68. Employees Managers Suppliers Academics / institutions Executives Alumni VCs Startups Business unit / function Users / consumers Government Competitors Inventors
  69. 69. “This is important. Most big companies have 8, 10 or perhaps even 12 different external value pools that they can look into. However, even companies that are doing well with open innovation are generally not capable of working with more than two to four value pools at the same time.” - Stefan Lindegaard
  70. 70. A quick and dirty exercise… • Write down a list of your current and potential value pools • Which of them are the most important? Rate their importance on a 1-10 scale. Why this grade? • Rate your current efforts on the top 5 rated value pools on a 1-10 scale
  71. 71. “More companies should ask themselves what it takes to become a preferred partner of choice within their innovation ecosystems. They will discover that building the foundation and creating the perception are equally important.” - Stefan Lindegaard
  72. 72. Build the foundation • You cannot build a strong reputation and a perception of being a preferred partner if you do not have the infrastructure in place to deliver on your open innovation efforts. Be careful about inviting guests into a home that is not in order…
  73. 73. Create the perception • Once the foundation is in place, you must make others believe that your company has what it takes to be a “preferred partner of choice” within your industry. More focus on stakeholder management and communication efforts, please!
  74. 74. Best potential vs least resistance • Do not always start out where the biggest potential lies. See the bigger picture and balance two factors against each other when selecting the starting projects Internal resistance = fear of change in general, bad risk management attitudes such as low tolerance for failure and worries on sharing intellectual property
  75. 75. “As with value pools,most companies can only be successful in managing two to four channels at a time, especially when you are new to open innovation. You need to experiment to determine which channels work best for you.” - Stefan Lindegaard
  76. 76. InnoCentive Alliances / joint ventures Campaigns (Comm / Public) Entrepreneur Day Consortia MyStarbucks Idea.com Campaigns (Comm / Public) Supplier Summit CREDIT: OVO Innovation
  77. 77. Step 4: Internal readiness
  78. 78. Think / Reflect • What is your company’s state of internal readiness for open innovation? • Does your culture support networking across internal units and with external organizations? • Is senior management up to speed on how innovation really works? • Do you have the right people in place to make open innovation happen?
  79. 79. Every corporate culture is innovative! Find the pockets, build the foundation and perception
  80. 80. Today, innovation is about having groups of people come together – internally as well as externally. This requires a networking culture that is designed, supported, and modeled by your company’s leaders. You simply can’t have a strong innovation culture without a strong networking culture. - Stefan Lindegaard
  81. 81. What does a good networking culture look like?
  82. 82. Networking efforts require direction, training and time. Few executives get this.
  83. 83. Embrace experimentation – and the failures that come along with it!
  84. 84. Most companies are not ready for this… • Small failures are accepted, but not big ones: 47 % • Failure is not accepted here: 7 % • More than half of the companies do not recognize failure as an inherent part of an innovation culture!
  85. 85. “Two types of failure: • honorable failure is where an honest attempt at something new or different has been tried unsuccessfully and • incompetent failure where people fail for lack of effort or competence in standard operations.” Credit: Paul Sloane
  86. 86. “A mistake is when you do something wrong, even though you knew the right way to do it. Failure is when you are trying something new, and you don’t know ahead of time how to make it successful. Credit: Jamie Notter
  87. 87. Developing a culture that is constructive about failure requires a new vocabulary. Smartfailing When an organization embraces smartfailing, it de-stigmatizes failure internally and uses failure as an opportunity to learn and to find a better course.
  88. 88. System failure (collapse of communism) System component failure (stock market crash) Major firm failure (Enron going out of business) Start-up failure (Pets.com going out of business) Product failure (New Coke tanking) Idea failure (Apple Navigator protype, no launch Credit: Tim Kastelle
  89. 89. The failure to anticipate / execute on… …markets and technologies …platforms for bringing innovation to market …how companies innovate External change is faster than internal change! You win or lose in these pockets of opportunity!
  90. 90. Full survey: http://www.15inno.com/2012/11/08/surveyresults/
  91. 91. There are no quick fixes because the top executives that got us into this mess are not ready to lead us out of it!
  92. 92. Too much focus on products, technology Unrealistic expectations on time, resources Lack of resources in budget, people, infrastrucure Silo rather than collaborative approaches Poorly defined innovation strategy (if any)
  93. 93. Don’t make your platform too complicated! - but learn from your mistakes…
  94. 94. Identify reasons, create learning process! Go beyond products and technologies! Be open – more communication, new terms! Reward learning behaviors! Educate up and down on innovation!
  95. 95. Intrapreneurship is an overlooked tool!
  96. 96. “Intrapreneur: a person within a large corporation who takes direct responsibility for turning an idea into a profitable finished product through assertive risk-taking and innovation.” American Heritage Dictionary, 1992
  97. 97. The Man on The Moon competition • To identify and develop new ventures that creates significant growth and/or strategic advantaages • To spot and develop talent • To change the culture and establish ”intrapreneurship” as a fourth career path
  98. 98. “…an intrapreneur must have the ability to see and pursue possibilities by piecing together innovations across three or more business functions simultaneously.” Paul Campbell, former VP, HP
  99. 99. A career path for trouble-makers? “When someone tries to innovate within a traditional organization, few will understand what he/she is doing, but everybody will understand who is a trouble-maker. After the innovation has been embraced by the organization, few will remember who started it, but everybody will remember who was a trouble-maker. This is the dilemma encountered by many intrapreneurs - they risk punishment for success.” David Nordfos, Stanford
  100. 100. The Lean Startup approach relies on validated learning, scientific experimentation, and iterative product releases to shorten product development cycles, measure progress, and gain valuable customer feedback. Fail fast, fail often and fail cheap!
  101. 101. Stage 1: Shock and Surprise Stage 2: Denial Stage 3: Anger and Blame Stage 4: Depression Stage 5: Acceptance Stage 6: Insights and Change Credit: Steve Blank
  102. 102. Six stages of failure and redemption Don’t get stuck in 2, 3 or 4 – move forward Don’t skip acceptance of your role Get to insights to change behavior… …commit to challenge / do different next time Credit: Steve Blank
  103. 103. Innovation metrics – what and how?
  104. 104. Number of innovation-related rewards and recognitions Numbers from various feedback mechanisms, showing employee acceptance and understanding of the initiative Results from the innovation self assessment capability maturity framework (survey measuring five levels of maturity related to innovation behavior) Percentage of our budget dedicated to innovation, research, and exploration of emerging technologies Shareholder value created from innovation activities. (Shareholder Value = IT Efficiencies + Business Value provided to the IT customers) # of ideas generated in specific innovation harvesting campaigns # of ideas harvested from campaigns, turned into implementable projects # of Intel patent submissions #Number of white papers published
  105. 105. Inspiration Jeff Murphy, former Executive Director • Focus on engagement, training and participation of individuals. Get critical mass • Shift / add focus on innovation pipeline (active projects by stage, flow of projects, development, launch and kill) • Shift / add focus on end goals (ROI, successful products/services, revenue/savings from new launches, optimized processes)
  106. 106. Inspiration Jimm Feldborg, Director Global Projects • Lag indicator: Results are historic and can’t be changed (rewards, number of patents) • Current indicator: Results are present, indicators can be changed (# of ideas, ongoing projects) • Lead indicator: Results are predictive for future and can be changed to high degree (hard to identify)
  107. 107. Why you should not pay too much attention to this! Open innovation changes perspectives and approaches
  108. 108. If you really want to change a culture… Reward behaviors, not just outcomes!
  109. 109. Step 3: External Readiness
  110. 110. Think / Reflect • How ready is your industry for open innovation? • What are the obstacles and drivers for open innovation within your industry? • What are you doing to persuade your partners to work with you on open innovation? • How strong is the trust between your organization and your external partners?
  111. 111. P&G MEDTECH PHARMA Cycle time, money, IPR, conservatism, government regulations and internal readiness
  112. 112. If you are the visionary in your industry… 1) educate others in the industry, bring them up to speed and get them to experiment with you 2) find new partners that are ready for open innovation outside your industry You can of course do both…
  113. 113. Some key questions • What should our future innovation eco-system look like? • How will current and potential partners perceive our open innovation initiative? How can we adjust as we get feedback on what we say and more importantly how we act? • Can we develop systems and processes that enable us to deal with external input and handle this in a proper way and in reasonable time? • How can we work with external consultants, service providers and innovation intermediaries?
  114. 114. …create a new business model for the manufacturing industry by harnessing open innovation, the maker movement, and community involvement to build a revolutionary new wave of smart appliances. Goal: 100 micro-factories in the next decade Image: Colin West McDonald / CNET
  115. 115. Change how we innovate Be competitively unpredictable Develop the right conditions and framework
  116. 116. Lessons from Psion Todd Boone, former Director, Corp Comms • Biggest obstacle? Getting partners to understand the full scope of our efforts Solution? We brought all partners together • Communication messages were focused on an industry opportunity; not just a Psion initiative
  117. 117. Some thoughts on trust • What does it take for you to trust others? What can you do to convince others to trust you? • Trust is a personal thing; it is first and foremost established between people and then perhaps between organizations • Transparency is essential to trust. Without transparency, trust will not take root
  118. 118. Trust barriers in your ecosystem • Most organizational structures foster an internal rather than an external perspective • Partners are viewed as someone paid to deliver a service rather than a source of co-creation • Most companies are more focused on protecting own knowledge and intellectual property rather than opening up and exploring new opportunities • Forging strong relationships takes time and personal commitment
  119. 119. “There are a number of elements that are critical in building a successful innovation partnership, but the key is for everyone to be the partner they’re looking for.” - Chris Thoen, former Managing Director, Global Open Innovation Office at P&G
  120. 120. Good advice from Chris Thoen • Don’t think in terms of one-off deals • Unless win-win is the mentality, there are no wins in the long run • Grow the total pie versus growing your piece of the pie • Be up front and transparent
  121. 121. Step 6: New Skills and Mindset
  122. 122. Think / Reflect • Do your company’s leaders understand that people matter more than ideas when it comes to making innovation happen? • Have you identified people who are best suited for working at the different stages of innovation? • Do you hire for potential or is your hiring based on past experience and competencies? • Are your hiring and training programs geared toward developing the characteristics and skills needed for innovation?
  123. 123. A CFO is wary about investing in the training and education of the employees. He asks the CEO: ”What happens if we invest in developing our people and then they leave the company?” The CEO is a bright person and replies: ”What happens if we don’t and they stay?”
  124. 124. Discovery – Incubation – Acceleration: Have the right people at the right time!
  125. 125. What skills / key people do you need now, short and long term? How do you get access to them?
  126. 126. 1) Holistic point of view (intrapreneurial skills) 2) Ability to constructively handle conflict 3) Optimism, passion and drive 4) Curiosity and belief in change 5) Tolerance for / ability to deal with uncertainty 6) Adaptive fast learner with sense of urgency 7) Talent for networking / strategic influencing 8) Communication skills
  127. 127. 58 replies, 62% working in companies with more than 5000 people 45% work with innovation in full-time position as leaders/managers, 18% full-time with no leadership role and 27% on ad-hoc basis Full survey = search “survey” on 15inno.com
  128. 128. Please rate these qualifications for a team working to create a stronger innovation culture. N e t w o r k i n g c a p a b i l i t i e s S t a C k e o m h F m o u a l n d A i i b e r i c l P a i m l t t i a e a n t r i s t A b y o a i i g t n o s l o e A k n b i g t m / e i i e l p t l t n n c y r t l i
  129. 129. Please rate these ways for leaders to motivate employees to become more innovative, help create better culture for innovation. S e t c l e a r o b j e c t i v e s a P r o v i d e f i n a n c i a l G i v e R f e r w e a e r d d o s m g t P r o v i
  130. 130. Innovation is a team sport. To which extent do these statements resonate with you. T e a m s " O n n e b e o d Y a o t o u r n i d i T n e n e c a d g l t " u m d r E o t x c h u e m h e l a t c e o u e s r n
  131. 131. Companies need to upgrade their innovation capabilities. How relevant are these initiatives and activities for this? T r a i n T r i a n i g t n D e i h n r v g o e t u l I h g o n h p r o w t t e r u r a b a g p i
  132. 132. No networking culture? No innovation culture! - future winners get communities to work!
  133. 133. Networking efforts require direction, training and time. Few executives get this.
  134. 134. Horizontal: disposition for collaboration across disciplines Vertical: depth of skill which allows to contribute Only T-shapes: “Occasionally, we have people who don’t really have a depth of skills, and they really struggle. They don’t get respect from the group.” Credit: Tim Brown / IDEO Only I-shapes: “…very hard for them to collaborate…each individual discipline represents its own point of view…becomes a negotiation…you get gray compromises… The results are never spectacular but at best average.”
  135. 135. Thoughts on training programs • Begin by training the trainer • Intrapreneurship-like programs are one of the best ways of identifying and developing people who will drive innovation forward • Bring in real life experiences • Training program itself must be agile to keep up with emerging trends in innovation • Don’t forget the executives
  136. 136. Finding and developing the right people • Future potential versus past competencies • Adaptability is key – but in what direction? • Future innovation leaders create communities (shared sense of purpose, values and rules of engagement) • Future innovators are intelligent in many ways • Build the right conditions and frameworks
  137. 137. Step 1: Common language and Understanding, Motivation, Mandate and Strategic Purpose
  138. 138. Think / Reflect • Do you have clear messaging that lets people know why innovation is important to the company? • Are you working cohesively with the corporate communications team on communicating about innovation? (You might have to train them.) • Are you doing a good job of communicating with internal and external stakeholders? • Do you train your innovators to become better communicators?
  139. 139. Great innovators are great communicators! • Have a plan in place… • View communication in the broad sense – include networking and stakeholder management • Have clear messages that resonate with the audience – go beyond the corporate speak • Use a range of communication tools – too few innovators know about social media
  140. 140. Identify and interact with innovation partners Generate more ideas, faster Get market and competitor insights Promote corporate innovation capabilities
  141. 141. Identify 10 keywords / terms and work with them on LinkedIn and Twitter. What happens?
  142. 142. It’s about execution! People first, processes next, then ideas…
  143. 143. Get in touch! Send me your questions! Let’s connect on LinkedIn! Join my LinkedIn group: 15inno by Stefan Lindegaard Check my blog on www.15inno.com - share it! stefanlindegaard@me.com / @lindegaard

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