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Clyde Dildine
Editor
It’s often been
said that in business, “You either grow or you die!” And a
recent research study by the Corporate Executive Board indicates
that innovation lies at the heart of profitable, long term
business growth strategies. The following two articles by Joyce
Wycoff of the Innovation Network provides valuable insights into
the key barriers to workplace innovation and some ideas on how
to keep innovation alive and well in your organization.
Ten Big Innovation Killers
While it's
probably impossible to compute the exact percentage of business
initiatives that fail, it is widely acknowledged that
most do. After years of
research and observation, it is clear that the same reasons for any
change initiative failure tend to be the same culprits that make
innovation initiatives fail. Here are the top ten reasons for
innovation failure:
-
Not creating a
culture that supports innovation
-
Not getting buy-in and
ownership from business unit managers
-
Not having a widely understood, system-wide
process
-
Not allocating
resources to the process
-
Not tying projects to company
strategy
-
Not spending enough time and energy on the
fuzzy front-end
-
Not building sufficient
diversity into the process
-
Not developing
criteria and metrics in advance
-
Not training and
coaching innovation teams
-
Not having an
idea management system
Culture
–
culture is the playing field of innovation. Unless the culture
honors ideas and supports risk-taking, innovation will be stifled
before it begins. Culture is like our immune system … its job is to
kill intruders before they can harm the body. Culture can change but
it is a slow process.
Ownership –
once great ideas
have shown up, they have to be implemented somewhere. Generally that
means a business unit manager has to take on the idea and devote
scarce resources of time and budget to the new project. If that
manager has not bought into the new project fully, it generally
doesn't succeed. Business unit managers need to be engaged from the
very beginning of an innovation initiative and they need to have the
option of “buying” new concepts.
Process
–
when organizations want to embrace innovation, they often hold a
two-day kickoff to hype innovation and provide some training in
tools and techniques. They set up a few innovation teams, schedule
some brainstorming sessions and then are shocked to learn (about six
weeks later) that “innovation isn't working.” In today's world where
people are already overloaded, a piecemeal approach to innovation
just doesn't work, not if you want real, bottom line results.
Innovation needs a process that focuses people on the right
challenges and leads them through an organized process of releasing
creativity and evaluating results so that the right concepts move
into the implementation process.
Resources
– too
often the CEO stands up at an annual meeting and says, “We need to
be more innovative,” and then goes on to the next topic. Innovation
takes time, energy and money. People need some freedom and time to
think and tinker around with new possibilities. They also need new
skills and systems that support thinking and collaboration.
Innovation is critical to the future; but it depends on the
investment of today's resources.
Strategy
–
somewhere along the line, as people were taught to “think out of the
box,” a false impression was created. People began to believe that
there should be no rules, no boundaries, no constraints. This turns
out to be a counter-productive approach that produces popcorn – wild
ideas bouncing around with no purpose in sight. Once in a millennium
this might produce a breakthrough … but it is not a cost-effective
process. What is more effective is focusing creativity within the
scope of a well-constructed company strategy. Of course, this
requires a strategy that is both narrow enough to define the
company's core competency and broad enough to allow exploration into
related areas.
Fuzzy
Front-End
– there are a lot
of unexpressed ideas lurking in organizations. However, to find the
truly new and different ideas … the ones that could create a
breakthrough
requires a process of looking outside and inside; at customers,
suppliers and competitors; at changes in demographics, trends,
economics, regulations, and political environments. Innovation that
begins with an internal brainstorming session will seldom result in
anything other than pale, incremental concepts.
Diversity –
diversity is the
difference between “same-old, same-old” thinking and “Wow! I never
thought of that!” possibilities. In the old days, cross-functional
teams were a daring foray into diversity. Now they are standard fare
and the true value of diversity comes when we deliberately focus
diverse thinking styles, experiences, perspectives, and expertise on
a challenging problem or opportunity. The process of innovation
should include all functions; all genders, ages, races, all thinking
styles, as well as all stakeholders, customers, suppliers,
competitors.
Criteria
& Metrics
– in a healthy
innovation environment and process, more ideas will be generated
than can possibly be implemented. This can lead to overload and
frustration unless there is a mechanism for sorting and
prioritizing. Developing criteria guides long before going into idea
generation mode can provide the rational means for evaluating ideas
and prevent going over the edge on a seductive idea that doesn't
fit.
Training
& Coaching –
a mistake often
made by organizations is assuming that innovation teams are the same
as other project teams. In a recent survey by the Innovation
Network, responses indicated that people participated on an average
of 3.7 innovation projects per year. However, only 21% of the
respondents had had some training on how to participate on an
innovation team and less than 10% had actually had training
as part of the innovation team.
No wonder over 70% of all projects fail.
Innovation
requires new ways of thinking and new skills. Developing a
just-in-time, active-learning training process insures that
innovation teams develop the desired results effectively and
efficiently. As with any new set of skills, innovation competency
develops over time while working on real projects. Coaching is a
critical piece of developing this competency.
Idea
Management System –
Many innovation
projects have died on a sticky-note covered wall as participants
lost energy trying to figure out what to do with those yellow pieces
of paper fluttering to the floor. Having an effective system that
captures ideas and engages people in developing, modifying,
enlarging and evaluating those ideas is just as critical to
innovation as accounting systems are to the financial health of an
organization.