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September 30, 2006

10 Radically Innovative College Programs

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Popular Mechanics has published a survey of 10 radically innovative college programs that could shape the next 20 years of U.S. higher education. For example, consider what's happening at Olin College in Massachusetts, which is experimenting with project-based curricula that go way beyond traditional book learning:

"The Needham, Massachusetts college opened its doors in 2002, thanks to a $460 million grant from the F.W. Olin Foundation. Its mission: Revamp engineering education, which critics say has become more academic and less practical in recent decades. “Instead of spending two years learning the theory, you start using it in projects right away,” says Katerina Blazek, a student from the inaugural class. Olin has an enrollment of fewer than 300, allowing the school to offer a full-tuition scholarship to every successful applicant.
Last year, through the school’s Senior Consulting Program for Engineering (SCOPE), 13 companies paid $50,000 each to hire teams of Olin seniors. SCOPE projects included a model solar-powered house and a tractor which sprays orchards automatically. [...] Olin’s project-based curriculum is as real-world as it gets. As technological innovation and problem solving become increasingly precious commodities, Olin grads may lead the way in transforming how engineering gets taught--and practiced.

Other universities mentioned in the Popular Mechanics report include: University of California-Irvine, Florida State University (Panama City), Carnegie Mellon, Rocky Mountain College of Art + Design, Tufts University, MIT, LSU, Art Center College of Design and Ohio State.

[image: Olin College's SCOPE Engineering Program]

S-curves; Good Technology Predictors or Self Fulfilling Prophecy?

At a recent conferences that I attended, some people questioned the predictive value of S-curves.

Pros and Cons:

Cons:

Last year, an academic paper was published by Ashish Sood & Gerard J. Tellis in the Journal of Marketing, which came out refuting the claim that many futurists and scientists make, asserting that most technologies evolve in the form of an s-curve. ( see my notes below)

Executive Summary

Technological change is perhaps the most powerful engine of growth in markets today. To harness this source of growth, firms need to answer key questions about the dynamics of technological change:

(1) How do new technologies evolve?

(2) How do rival technologies compete?

(3) How do firms deal with technological evolution?

Currently, the technology management literature suggests that the performance of a new technology starts below that of an existing technology, crosses the performance of the older technology once, and ends at a higher plateau, tracing a single S-shaped curve. Despite limited empirical support for these expectations, the S-curve of technological evolution is widely cited to determine at what point managers should shift investments from a mature technology to a new one.

In this study, Sood and Tellis tested this premise. They collected and compared technical data on product performance for 14 technologies across four markets (data transfer, computer memory, desktop printers, and display monitors). Their findings refute prevailing premises: Most technologies do not demonstrate an S-shape performance curve, technologies evolve through an irregular step function with long periods of no growth in performance interspersed with performance jumps, and a jump in performance appears to be largest after a long plateau of no improvement. They also find that new technologies may enter the market above or below the performance of existing technologies and that the performance curves of a pair of competing technologies rarely have a single crossing.

Thus, first-mover advantages may not be lasting, because entrants introduce even more innovations than do incumbent firms.

In addition, although new technologies compete with old on a primary dimension (an attribute of most importance to customers), the new technology also introduces a sequence of random secondary dimensions that subsequently offer a new basis of competition. Old technologies may be completely vulnerable to these dimensions.

Thus, relying on the status quo is deadly for any firm. Moreover, technological progress is occurring at an ever-increasing pace. As such, vigilance for the emergence of new technologies, coupled with efforts to improve the old technology, can help an incumbent sustain and advance its position or even preempt competitors.

Overall, these results suggest that the prevailing wisdom regarding technological evolution might lead managers to prematurely abandon a mature technology. Managers are better advised to study the internal dynamics of their technology when making resource investment decisions.

Source: Technological Evolution and Radical Innovation Ashish Sood & Gerard J. Tellis; Journal of Marketing, Volume 69, Number 3 July 2005

N.B. Possible Flaw in the above Study

Looks like this study possibly didn't disaggregate technology incremental improvements in a given generation of technology or clumped technology from various vendors together or didn't disagregate technology attributes from each other. If you don't do this you get get a scatter plot with dots all over the map vs a neat s-curve.

S -curves for market penetration or single attribute technologies have been fairly consistant for 100's of technologies for the past 30 years...Walter Derzko

Pros

In a related story titled: Forecasting emerging technologies with the aid of science and technology databases, which was published in the Sept 2006 issue of Technological Forecasting and Social Change , we see a different conclusion about S-curves

Abstract:

"Short term forecasting was applied to 20 emerging technologies under the "Machine and Materials" category based on the Vision 2023 foresight study previously conducted for Turkey. This scientometric approach uses the most suitable keywords linked to the technology in question and determines the number of publications and patents in those fields for a given year. Database analysis of publications and patents in the previous 11 years indicates that while the majority of the top 20 technologies identified by the experts are indeed emerging (i.e. the number of research and/or patenting in these technologies is increasing), some of them have not actually attracted too much interest in the science and technology (S&T) community. Forecasts based on S-curves indicate steady growth in some of the selected technologies. There is a high correlation between the number of scientific publications and patents in most of the technologies investigated. The method is proposed as a simple and efficient tool to link national foresight efforts to international S&T activities and to obtain quantitative information for prioritized technologies that could be used for technology management and decision making for research funding and technology investment."

© 2005-2006

Walter Derzko

It's not too late to be a genius

Whatkindofgenius

In the web/tech world (and many other domains), it seems the Big Ideas belong to the Young. Barely 27, David Heinemeier Hansson, creator of the Ruby on Rails framework, has changed the world and given the Ruby language a reason to live. Then there's Caterina and Stewart, creators of Flickr. And don't get me started on the creators of the blog service I'm entering this post in...Six Apart's Ben and Mena.
Trotts

Then there's Larry and Sergey, the "boys" behind Google, and Jeff Bezos was just 30 when he founded Amazon. At O'Reilly's first Foo Camp, I learned later that the young guy who kept bugging Bert about games was Bram Cohen, creator of BitTorrent (named to the Time 100 Most Influential People list).

If you're over 40, is there still hope? Could you be a late bloomer like Doc Searls who said in response to being called an "A-List Gatekeeper":
"Nearly all of what I'm known for I've done since I was fifty."

Apparently yes. Frank Lloyd Wright did his best work at 70. Alfred Hitchcock got it all together just shy of 60. Beethoven's 9th? 50's. You get the idea.

An economics researcher named David Galenson (a late-bloomer himself) plodded along for years and eventually discovered a way to reverse-engineer creativity... finding that creative innovators come in two flavors: Conceptual and Experimental. Conceptual

innovators, it seems, get their Big Ideas out early, many peaking out before they leave their 30's. They can change an industry (sometimes the world) almost overnight. Experimental innovators are those who quietly crunch along, doing creative trial and error but staying largely under the radar until much later, often having no visibility until their 50's or beyond.

There are, of course, some Big Idea people who've managed to start early and NOT peak out. Unlike many of their Conceptual counterparts, these folks didn't flame out after a spectacularly run through their twenties. My publisher and friend Tim O'Reilly is certainly one of those. Guy Kawasaki is another... as Apple's original Mac evangelist, he wrote a bestseller Selling the Dream (a classic, still useful!) in 1992 and just kept on going. And from what I know of David HH, he might just be getting warmed up. I reckon we'll be hearing (and using) more of his Big Ideas for years or decades to come.

All this is from an article (that most of you have probably already read) by one of my favorite people, Dan Pink, author of the life/business-changing book A Whole New Mind. The article titled, "What Kind of Genius Are You", appeared in the July issue of Wired, and you can read it online here.

I skimmed the article when it first came out, saving it for a long coffee break, but lost the magazine in the shuffle of moving and travelling, until this morning. I'll never be a genius, and given that the chances of me being in the "young/conceptual" camp are pretty much zero, I still found the article inspiring. There's hope for me-- and all of us who are past our 30's--still.

At the end of the article, he talks about how we need to make sure that the brash and bold aren't stifled by, say, their managers (or work policies too inflexible to handle a creative genius). So, yeah, another "duh" thing (one that all managers acknowledge but few really DO). He doesn't leave out the slow-starters, though, because he adds:

"But we should also leave room for those of us who have, er, avoided peaking too early, whose most innovative days lie ahead... we need to look at that more halting, less certain fellow and perhaps not write him off too early, give him a chance to ride the upward curve of middle age.
Of course, not every unaccomplished 65-year old is some undiscovered experimental innovator. This is a universal theory of creativity, not a Viagra for sagging baby boomer self-esteem. It's no justification for laziness or procrastination or indifference.
But it might bolster the resolve of the relentlessly curious, the constantly tinkering, the dedicated tortoises undaunted by the blur of the hares."

So... to all the hares out there... watch your back! We're coming. Just really, really s l o w l y. And we have an advantage today that previous generations didn't... the internet. Blogs. The opportunity to reach people online--across the globe--with nothing more than a free blogging account. See, there was actually more to Doc Searl's quote than I put at the beginning. What he really said was:

"Nearly all of what I'm known for I've done since I was fifty. And without the Net, there would hardly be any of it."

It's never too late to be creative. It's never too late to make a difference. Just...keep...trying s***. And remember the quote from the 90-something woman who, when asked about her regrets said, "If I'd known I was going to live this long, I'd have taken up the violin at 60. I'd have been playing for almost 40 years by now..."

So, what kind of genius are YOU?

(Whatever type you are--conceptual or experimental--note the computer both David and Doc are using in the pictures. I'm just sayin'...)


Photo credit: pictures were taken by James Duncan Davidson who, uh, managed to create the Tomcat Java web container (and drove the astonishing effort that led Sun to donate it to Apache as open source), and Ant, all around the age of 30. Not content with being merely a tech genius, he recently launched a second part-time career as a pro photographer. Bastard! ; )

Civic Leaders Begin Mapping a Global Innovation Hotspot

Rocopedia_image The civic leadership of Rockford, Illinois is prototyping a new dynamic economic development model. The goal is to transform the Rock River Valley Region into a regional innovation ecosystem that adapts quickly to global markets and technological opportunities. Rockford is the third largest city in Illinois approximately 90 miles northwest of Chicago and home to more than 150,000 people. By maximizing linkages and relationships among local stakeholders with customers, suppliers and sources of creativity on a global basis the result will be faster commercialization of new products and services and the foundation for driving the next generation of economic growth, business start-ups and jobs.

Rockford's 20th Century industry revolved around machine tools, heavy machinery, automotive, aerospace, fastener and cabinet hardware products, and packaging devices and concepts. During the 1980s the Rockford area went in to a severe economic decline as foreign competition and demand shifts in the manufacturing sector severely impacted the economy and employment structure. In a typical American story of resilience, Rockford is re-inventing itself and is now in transition as the business, political and civic leadership look to new markets, entrepreneurship and technology based businesses to drive the future economy.

As an initial step in this process Rockford held an Innovation Forum August 17, 2006 at the EIGERlab facilities. The Forum was not the typical "talking head" conference consisting of keynote speeches and attendees in a classroom setting. The Forum was designed as a highly interactive “innovation café” to open minds and build trust, reciprocity, inspiration and critically important relationship capital to unlock the insights and pathways to a stronger innovation economy. The Forum was kicked-off by presentations by Larry Morrissey, Mayor of Rockford; Tom McDunn, vice president, EIGERlab; Egils Milbergs, president, Center for Accelerating Innovation; and Dr. James Kadtke, executive director, Accelerating Innovation Foundation.

Forum participants then assembled into tables of six to intensely interact about the innovation assets, opportunities, barriers and action alternatives. Participants rotated among the tables after each round of conversation and results were posted to the web on a real time basis. The entire day was also graphically visualized by Brandy Agerbeck. The Forum clearly demonstrated that innovation is a cross- organizational activity and is enabled by a “mindset” of collaboration wherein the assets, creativity and innovations of one stakeholder can be linked, shared and leveraged with others. You can see the methodology and results of the forum at www.eigerlab.org and by clicking on the link for RocoPedia which was launched by EIGERlab as an innovation”wiki” and portal for the Rock River Valley Region.

The Rockford Innovation Initiative is a collaboration between Rockford Area Ventures, EIGERlab, City of Rockford, Rockford Area Economic Development Council and the Center for Accelerating Innovation.

PARTNER LINKS:

EIGERlab: www.eigerlab.org

City of Rockford: www.ci.rockford.il.us

Rockford Area Ventures: www.rockfordareaventures.com

Rockford Area Economic Development Council:  www.rockfordil.com

Center for Accelerating Innovation: www.innovationecosystems.com

Rockford Innovation Forum presentation: Download egils_milbergs_rockford_in_the_global_innovation_age.pdf

SHiFT: Stop Designing Products

Peter Merholz's Stop Designing Products presentation at SHiFT 2006 made the case for designing systems instead of just the point solutions within (in most cases individual products). Merholz described how Adaptive Path's research when working on the redesign of a financial services Web site led them to discover that the Web site they were working on was only a single part of a much broader set of customer touch points for their client.

Merholz then walked through several examples of integrated systems in action. In addition to George Eastman's original Kodak "box camera", he described how iTunes, the iPod, and the iTunes Music Store all work together to create a cohesive experience. In particular, the iTunes software absorbs a lot of the functionality that other MP3 player companies try to cram into their player. Flickr, on the other is an example of a very open system (as opposed to Apple's tightly closed system) that allows others to expand the site's functionality.

Insight into these examples and more led Merholz to embrace Frog Design's mantra of "the system is the product" and to evolve Adaptive Path's work and principles to account for a broader set of customer experiences and increasing expectations. As a result, his firm and other designers have needed to address bigger problems.

Why the shift? Looking at the history of economic theory, Merholz explained how most approaches to date have focused on enabling optimization of efficiency and quality. Now these factors have run their course (Dell Computer differentiating by price alone is a notable example) and companies need creativity and innovation to move forward. As a result, the importance of design has begun to increase.

According to Merholz, the path forward is developing coherent "experience startegies" that establish a vision that defines how users engage with your entire organization (system). Not just your product.

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Stewart Brand on squatter innovation

Stewart Brand (the subject of a great new book by Fred Turner, by the way) is interviewed in Business Week about "Learning from Informal Urban Economies."

What's interesting is that nations have figured out that squatters simply aren't going away. They're realizing they have to be finessed rather than crushed. An interesting parallel is open-source culture. In the high-tech world, the street finds uses for things.... Squatters operate in the same way. Just getting by takes a lot of creativity. And now nations and businesses are seeing, perhaps thanks to the open-source movement, that everything that isn't a crime has an application....

Sometimes, when money isn't the most important thing and wowing peers is the main event, innovation occurs.

The short slide show is also worth a look.

Doubtless Brand (echoing Prahalad, Clay Christensen, Muhammad Yunus, and others) is right that much can be learned from squatter cities, favels, etc.. The concept of the "base of the pyramid" is already well-established; still, as always, Brand's take on the idea is interesting, even vivid.

One thing about the piece, though, that struck a discordant note: its take is a bit "We [in the Bay Area] Are the World." It describes Sausalito as a squatter community-turned-gentrified San Francisco suburb. Favelas are like Burning Man, the struggle to get electricity is like coding Linux, people hauling water to their homes is entrepreneurship.

[T]he street finds uses for things. The Internet is rife with things people are doing for free.

And then someone figures out how to make it commercial. Linux applications are a great example. There's so much innovation and creativity in free domain. And large numbers count. Events such as Burning Man produce a lot of creative things. Sometimes, when money isn't the most important thing and wowing peers is the main event, innovation occurs.

Squatters operate in the same way.

Metaphors are inescapable, but trying to understand the world on its own terms is a worthy ideal. However, I suspect that this kind of approach is inevitable when writing about Brand: the article describes the WELL as "an online community that's a predecessor of MySpace."

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September 23, 2006

Nick Carr on Innovation

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StartupJournal has an interesting interview with Nick Carr about innovation. Carr took a shot at I.T. with his "I.T. Doesn't Matter" article a few years ago. Now he is saying similar things about innovation.

Mr. Carr, 47 years old, also has turned a skeptical eye on another popular notion: If innovation is a good that companies should pursue, more innovation is even better, and the best innovations are those that upset existing markets or industries. Instead, Mr. Carr says, companies need to be prudent -- even conservative -- in where and how much they encourage innovation.
What he is really attacking here is the two ways most companies do business. First they use management-by-fad to mindlessly copy the hottest companies of the moment, then they use hammer-and-nail syndrome to apply that fad across the board, even when it doesn't make sense. So I think Carr's assertion that companies latch on to innovation and think that more is always better is accurate, but is symptomatic of a larger problem.

The other interesting quote is Carr's response to a question about being the first mover.

The studies that I've seen indicate that it's rarely the very first mover into a market who ends up winning that market. Today we think of the iPod as being an enormous innovation, and in one way it was. But in fact, when the iPod came along there were already MP3 players and there were already lots of digital jukeboxes.
The point here is that there are different types of innovation and functional innovation - the introduction of a product that does something new - isn't always the best kind to pursue since, as Carr said, first movers don't really have the advantage that everyone assumes they do.










Kimberly-Clark turns to outsiders on R&D

Kimberly-Clark turns to outsiders on R&D

As more companies enter the Innovation Arms race, those with maturing Innovation Infrastructures are looking to increase their innovation capabilities. One such way that has been getting a lot of press recently has seen the promotion of open innovation with the likes of P&G, Kraft Foods and now Kimberly Clark openly reporting their capabilities.

This change has seen Kimberly Clark look outside its Research & Development (R&D) department for innovation by doing away with their vertically integrated model of product development with remarkable results. For example, by turning in part to people outside their organization, Kimberly Clark has managed to slash the time to bring new products to market by 30 percent.

One of the key reasons for the switch in strategy was due to the demand on the product pipeline that Kimberly-Clark’s senior vice president and Chief Innovation Officer (CIO), Cheryl Perkins, adopted three years ago when she began leading the company’s R&D operations. Like many companies, the demand for continual growth is leading to an increase in the Innovation Revenue Growth Gap, between known and unknown innovations, as companies struggle to find new sources for innovative ideas. Kimberly-Clark has overcome this by changing their focus and engaging with outside parties in the development and launch of products. Last year alone, Kimberly-Clark formed more than 30 partnerships. This has created some remarkable results, including; Huggies liquid baby powder, Huggies Cleanteam that hit the market shelves in 12 months instead of the typical 2-3 years and SunSignals, which have increased the sales of the Huggies swim pants whilst reaching a wider audience.

Crucially, Kimberly-Clark has not forgotten the importance of people in the process. They have assigned relationship managers for each of the partnerships and from a very early stage they agreed on who owns the intellectual property, before unresolved issues get a chance to erupt acrimoniously. Furthermore, whilst product and technology innovations have been the main focus, Kimberly-Clark have also looked at other Innovation Dimensions, including design. This has resulted in Kimberly-Clark planning to open a design studio in early September 2006. Such focus has created a more advanced, disciplined and successful innovation process. This is a great read. Open innovation is on the march….

You Can Get an Idea to Market Without an Invention Submission Firm


Roger Brown at American Inventor Spot:

One of the questions I am constantly asked is how I got my inventions to market and how much did it cost me.

They are extremely surprised when I tell them it cost me less than $100 and I did it without the aid of the rip-off Invention Submission Firms.

There is a growing list of companies that Inventors can approach themselves without having to go through an Invention Submission Firm. You don’t have to have a patent and you don’t have to spend thousands of dollars to get your idea in front of them.

I actively looked online for companies that list that they look at outside ideas from Inventors. I also go into stores looking for contact information on products so that I can contact that company. You would be surprised how many are open to reviewing ideas without a patent, but don’t advertise it.

The companies that licensed my ideas all paid for the patent out of their pocket, not mine, in order to protect their investment. I get a royalty based on the sales of each item.

Inventors are very creative people, but for some reason they don’t use that same creativity to find companies waiting for ideas.

Photo by RogerBrown.net.


Presidential doodling and creativity

President%20Kennedy%20Doodle.jpgA new book on presidential doodles shows off the "random sketches and drawings" of the nation's presidents, including those of Herbert Hoover ("the nation's foremost executive doodler"), Abraham Lincoln, John F. Kennedy and Ronald Reagan. Anyway, it's interesting to see what insights these doodles offer about the personalities and characters of the various presidents:

"Personalities emerge at a glance: John Adams' hard, straight lines and precise geometrical patterns; Theodore Roosevelt's rugged sketch of two dogs staring across a campfire; Dwight Eisenhower's plain, practical illustrations; Ronald Reagan's childlike portraits, including of himself in a cowboy hat.
President Kennedy, known for separating his life into compartments, would enclose words and numbers inside circles and boxes. Events long after his death give one doodle an unintended chill: A small circle with the numbers "9-11" contained within. Just to the lower left on the page, the word "conspiracy" is underlined...
Hoover's work is the subject of 16 pages, six more than the man who displaced him from office and, for the most part, from history: Franklin Delano Roosevelt. Trained as an engineer, Hoover sketched out designs that read like building projects gone awry, or one's own imprisoned thoughts — circles within circles and diamonds inside diamonds, dark spirals reminiscent of spider webs or of wheels turning madly."

[image: Yahoo News]

Where's the discipline?

If you're teaching creativity and teamwork by having executives build paper planes and go on rafting trips, there's something wrong with your organization, argues Curtis Carlson, CEO of SRI, the firm that developed the computer mouse. Curtis has recently co-authored a book entitled Innovation: The Five Discipline of Creating What Your Customers Want.

According to the authors, the five disciplines involve being able to:

1. Pick important, not merely interesting, problems.

2. Assess each innovation for its value to customers. Master a value proposition (and be able to articulate it).

3. Appoint an insanely commited project champion.

4. Build effective teams.

5. Build the team across the organization.

This book focuses more on product development rather than the efficiency side of things. You can listen to a Time podcast about the book.

Integrating "status skills" into your offering

pgvirtualcampus.jpgTrendwatching.com has an interesting article on the importance of integrating "status skills" into your offerings.

No matter what you market, people will consume your offering based on how the product or service makes them feel about themselves in the presence of that product or service. The authors of the article refer to this as "providing your customers and clients with status" - perhaps a little too consumer-focused, but true for all industry segments nonetheless. As the authors rightfully point out: "there is little that consumers do that isn't consciously or subconsciously influenced by a desire for recognition from family, friends, and any fellow consumers they come into contact with."

In consumer goods, providing status may be conveyed through luxury, smart-buying, or eco-friendly symbols - symbols that will often be based on "too expensive," "too scarce," "too inaccessible," or other physical and experience based status symbols that will impress others. In the B2B space, status symbols could be conveyed through smart-buying, well negotiated, achieving results - symbols that are often based on the characteristics that make for a model employee in a particular business culture, and which would likely result in career advancement or increased reputation amongst peers.

According to the authors, consumers increasingly value creativity over passive consumption - a trend that originated in the online world - where your fighting skills may not be what is most valued anymore, but perhaps the originality of your avatar, the number of friends in your tribe, or the uniqueness of your home page. They call it "status skills," and define it as follows: "In economies that increasingly depend on (and thus value) creative thinking and acting, well-known status symbols tied to owning and consuming goods and services will find worthy competition from 'STATUS SKILLS': those skills that consumers are mastering to make the most of those same goods and services, bringing them status by being good at something, and the story telling that comes with it."

Several brands are already incorporating "status skills" into their customer interactions - including
Craft, Switch, BMW, Volkswagen, Nikon, Home Depot, Lego, and many other companies which are described in the article. Another example recently covered is the open source beer, which combines a new business model with the belief that many people will want to brew their own beer and improve their reputation as beer connoisseurs through the widespread adoption of their recipe enhancements.

With sites like Flickr and YouTube, where consumers can easily show off their creativity, it shouldn't be that hard for brands to embed at least some basic "status skills" into their offerings.

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September 16, 2006

101 Ways to Think Up a Great New Idea

Craps%20table.jpgScott Baradell of the Marketing Profs: Daily Fix blog offers up a comprehensive list of 101 ways to brew up an innovative idea. As Baradell points out, the 101 suggestions are actually from a favorite coffee mug that was sent to him by Maddock Douglas, a Chicago-based ad and design firm.

Anyway, some of the ideas are truly inspiring ("create an idea that would get you fired," "ask a child"), some are whimsical ("sing a show tune in a crowded elevator"), some are eminently practical ("watch old black & white reruns"), while others are perhaps too tempting to even think about ("Go to Vegas, play a lot of craps"). My guess is that a lot of corporations eventually choose this Vegas option. Or maybe suggestion #15 ("Pray for a little help").

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[image: At the casino]

Seeing what's not there

I was thinking recently about how to shake up the way some folks in our organization look at things - just trying to get a different perspective on how we approach a problem.  One of them said something like - "it's all right here in front of you".  That got me thinking about what's "in front of us" and what's not.  Many people are defined by what they do.  I think you are probably just as easily defined by what you don't do.

Too many times we define something - a person, an organization, a culture - by what they display or by what's visible.  To look at things another way, consider what's not there, what's missing.  Here's the reason:

Any organization over time becomes similar to velcro.  Things stick to a team or a workspace through inaction or general sloth.  Even a well-honed and trained team will eventually have attributes that don't quite align to the organization or culture, flotsam and jetsam of daily work.  It's easy to add many factors to a culture, and most cultures and teams accumulate patterns of thinking, methods of working and so forth over time, as new people enter the team or as a training program is completed or as someone finds something new on the web.  It's almost inevitable that the culture will accumulate new "Stuff", whether that stuff is new ways of thinking, new processes or other apparatus. 

Since we are all basically lazy in some regard, most of that "stuff" tends to stick around, just because we get used to it and since no one has strong feelings about it, the stuff tends to stay.  Except for things that don't stay around.  In almost every organization there are a few people who draw a line in the sand and eliminate or remove artifacts that find their way into the organization, but for one reason or another don't belong.  This removal requires a proactive stance, and may ruffle some feathers, so it is only done when people feel strongly about the process or approach or method and decide that it is not right for their organization.  Since removing an artifact is much less common than the acceptance of one, it may be as important to notice what's not there, than what is there, since the culture of the organization is working more diligently to remove a few strongly offending items than many artifacts that are not so worrisome.

If it takes more work, more effort and more risk to remove artifacts from the culture than it does to add artifacts to the culture, and if, as is likely, many people ignore small items that don't impact them dramatically, then noticing what's not in an organization will probably tell you more about how that organization works and how that culture evolves, than what is exhibited as part of the culture.

It's all right there in the open.  Look for the gaps, not the stuff that's evident.

Most important trends for global business in the next 5 years

mckinsey trends.jpgMcKinsey quarterly just reported (requires subscription) on a survey which they conducted with executives from around the world. In it they asked those executives to identify the top three trends that would affect global business and how those trends would impact their company's profitability.

The top three trends to affect global business over the next five years are:

  • the growing number of consumers in emerging economies
  • the shift of economic activity between and within regions
  • the greater ease of obtaining information and developing knowledge

Other noteworthy trends from the top 10 include: the increasing communication/interaction in business and social realms as a result of technological innovation (#6), shifting structures/emerging forms of corporate organization (#7), and more social backlash against business (#9).

Interestingly enough, the survey found that executives perceived the potential impact of those trends to be significantly larger on global business than on their own company's profitability - perhaps signaling a weakness in their ability to translate global trends into corporate strategy.

Another finding - perhaps predictable considering who was surveyed - is that 85% of the executives describe their business environment as more competitive than it was 5 years ago.

When asked what single factor contributes most to the accelerating pace of change in the global business environment today they identified the main reason as innovation in products, services and business models. Other interesting reasons were greater ease of obtaining information, developing knowledge (#2), and rising consumer awareness and activism (#8).


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Sustaining Innovation in larger firms

Let's face it - innovation is easy in an entrepreneurial firm. After all, an entrepreneur seeks to upset the status quo and has nothing to defend. A large firm has established products and services, and first seeks to defend its market share and customers. This fact is one of the reasons that large firms struggle to innovate consistently - they are playing defense rather than offense. In this

Future Frequencies

Future Frequencies delivers a unique insight into how innovative approaches in the realm of progressive culture can stimulate revolutionary thinking for thinking about the future. Future Frequencies appeals to anyone interested in how futurists juggle ideas and insights and apply their thinking in the world of business. The concepts described in the book also inform, entertain and intrigue those interested in a progressive culture. Derek Woodgate is Founder and President of The Futures Lab Inc. With experience as an executive on the board of two major corporations and over 15 years Senior Vice-President-level management and operational responsibilities in international businesses. Derek is widely recognized as a global specialist in marketing, innovation, business and futures-based consulting. He is currently on the Board of Directors of Austin based Blastro, Planet U in Dallas and the Central Texas Chapter of the World Futures Society. Wayne R. Pethrick is a consulting futurist with The Futures Lab. (text from Innovation Watch)

Ten ways to think about innovation

Technology Review editor Jason Pontin has an excellent “From the Editor” piece on innovation in the magazine’s September/October 2006 issue. The article offers innovation insights drawn from the work and perspectives of members of the last two TR35 lists, the publication’s roster of 35 leading innovators under the age of 35.

  1. Successful innovators are famously untroubled by failure.
  2. Many innovators appreciate failure.
  3. Innovators commonly recognize that “problems and questions are the limiting resource in innovation.”
  4. Innovators find inspiration in disparate disciplines.
  5. Innovation flourishes when organizations allow third-party experimentation with their products.
  6. Fragility is the enemy of innovation: systems should boast broad applications and be unbreakable.
  7. Real innovators delight in giving us what we want: solutions to our difficulties and expansive alternatives to our established ways.
  8. Real innovators are sometimes perplexed by our ignorance of our own needs.
  9. Successful innovators do not depend on what economists call “network externalities,” i.e., the innovation is valuable to the very first user.
  10. Many innovators become technologists because they want to better the world.

One of the common threads weaving through this list is the increasingly outward-facing orientation of innovation. Instead of continuing to treat innovation as a compartmentalized and cloistered activity, organizations are opening it up to customers and other contributors, the marketplace and the world. It is precisely this approach that associations should follow in their pursuit of innovation, both because it will help us create new value in concert with those we serve and make it possible for us to realize the underlying values we espouse and claim to hold dear. Both elements of innovation–value and values–are critical to its success.

The question of fragility and innovation is an intriguing one for associations. Because association leaders often focus primarily on scarcity and the constraints their organizations face, it is not wildly speculative to suggest they might regard creating less fragile innovations as a more challenging obstacle to overcome. On the other hand, the inherent fragility of new ideas also creates a strategic opportunity for associations to build and leverage their own innovation networks to increase knowledge flows and decrease risk. So, perhaps in the association context, fragility isn’t so much an enemy as a catalyst for action.

Technology Review is a great publication and I highly recommend it to all association leaders seeking to build their scientific and technological literacy, as well as their understanding of innovation.


Mr. Supplier Why Do You Hate My Innovation

As we become more connected less and less of what is needed to get a product done is owned by the company. Instead things like part measurement, design, or artowkr is contracted out to other companies. The benefits of the contracts arethat the resources is available when needed, but are not payed when idle.

One problem, the "not having to pay for it when it is not needed part" forces companies to find other paying customers.

Hence the problem.

My "innovative product" often is a low volume job that requires some of the same things that "boring" high volume products have. Because the resource is not on staff my product has to wait in queue. The queue exitsts because the company is forced to get other paying jobs rather than wait for my products. Hence a delay. Hence it feels like they hate my innovation.

In today's connected world our innovations still encounter old world delays and this means that the old world skills of project management and coordination are still as relevent as ever.

Gary Hamel: Strategy innovation is the key

Gary%20Hamel.jpgAccording to management guru Gary Hamel, "strategy innovation" has replaced "total quality" and "business re-engineering" as the new business catchphrase in CEO suites around the world. Speaking at the IndiaTimes Strategy Summit in New Delhi, Hamel spread the gospel of management innovation to the business leaders of India:

"Ten years ago the challenge was re-engineering. Now it is strategy innovation, For the last 10 years, firms have been reinventing their supply chain but now it's time for them to reinvent their management process if they intend to relaunch themselves on the success path" [...] Elaborating on how firms can ensure a deep-rooted capacity for strategy innovation, he unveiled steps like imbibing new passions in employees, a never-ending effort to engage and capture the imagination of every single individual and a need for top management to surrender its monopoly on setting strategic direction. He said innovation should no longer be business process innovation as done by Toyota, product and services innovation as evident from the flat screen televisions unveiled by Samsung or business model innovation by Dell 20 years ago for that matter but industry architecture innovation in the form of recently launched iTunes by Apple."

Doesn't it seem like the topic of innovation always comes back to Apple?

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Impact on Organizational Creativity

We (at the Tom Peters Company) have known for a long time that innovation is important and that companies must become more innovative if they are to survive. We also know that the talented people in an organization are capable of solving the most complex of business issues and are a wellspring of great ideas. As Tom has espoused, "All the answers to our problems are inside the front line staff, if we would only bother to ask them!" Well, in recent Gallup research, they studied the impact of employee engagement on the creation of innovative ideas. So, it should be of no surprise as to the results. Drumroll, please ......

When Gallup asked people to agree or not with this statement: " My current job brings out my most creative ideas," the responses based on levels of engagement are as follows:

Engaged Employees = 59% agree

Not Engaged Employees = 17% agree

Actively Disengaged Employees = 3% agree

See the report of the study here.

The more engaged employees are, the more they are able to generate creative ideas. How do we foster high levels of engagement? What keeps you engaged and what makes you disengaged?

Posted by Val Willis | Comments?

September 13, 2006

Why Students Make Great Entrepreneurs

Dharmesh Shah at OnStartUps.com:

Having been involved, either in an informal or formal capacity over the years, I have found that many startup founders that I know began their companies while they were still students (undergraduate or graduate) or shortly after they graduated.

Why Students Make Great Entrepreneurs:

1. Starry-Eyed Optimism: Let’s face it, starting a company takes a fair amount of optimism. You have minimal resources, and the odds are severely stacked against you. To overcome this potentially troubling reality, founders must to some degree exercise suspension of disbelief and demonstrate a degree of optimism to take that initial step.

2. Trusted Peer Network: One of the great things about being a student is that you have the opportunity to meet and work with a lot of different people. If you do it right, you can get to know some of these people pretty well by working on projects with them and hanging out with them outside of class.

3. Higher Risk Tolerance: Let’s face it, when you’re a student your opportunity cost is likely lower than most other points in your career (even if you’ve been in the workforce for a little while and decided to go back and get that MBA). When you’re sitting there in class and an idea comes to you, it doesn’t really cost all that much to give things a try.

4. Abstract Thinking: In many academic programs (and especially the better ones), students spend a fair amount of time thinking about abstract concepts. This is particularly true in an engineering, computer science or even a business program.

5. Applied Learning: As a student, you’re quite often “drinking from a fire hose” and bringing all sorts of new information into your brain. Some of which “sticks” and some of which doesn’t.

If you’re a student or recent graduate, this is a great time to think about starting a company. Keep your mind open. See if you can find patterns in the problems that you’re seeing and try and find unique and compelling ways to solve problems people care about. It often is really that simple.

Photo by drs2biz.


Clayton M. Christensen: Spotting 'High-End' Disruptions

Scott Anthony’s recent front-page article in Strategy & Innovation (“When Can You Sustain and Win?” available by subscribing here) discusses circumstances when upstart innovations can succeed by offering best-in-class performance at premium prices. These success stories are important to study and understand, but be careful not to apply the label “high-end disruption” too quickly.

Take Whole Foods Market, the highly successful retailer of organic foods. The company’s prices are notoriously high relative to traditional grocers and the quality of its products are seemingly well-beyond the “good enough” performance one expects from a disruptive business. So, is Whole Foods a high-end disruptor?

The jobs-to-be-done framework offers a suprising answer to this question. What jobs are Whole Foods customers trying to get done? Presumably, most want to buy fresh, organic or naturally-raised foods that they feel good about serving to their family.

Seen in this light, Whole Foods really is not competing with traditional grocers, which in the past offered almost no organic or all-natural products. To accomplish the above job, customers needed to go to either small, specialty natural food stores or perhaps local farmers’ markets.

Independent natural food stores are hard to find, and they tend to have limited selection and rather low turnover, meaning their prices are often even higher than Whole Foods’. Farmers’ markets also tend to have high prices and they normally are open only a few times per week.

When one considers the jobs that customers are trying to accomplish, Whole Foods in fact seems to be a classic disruptor: Not only is it offering (slightly) lower prices, but the added convenience of prominent locations, regular hours, and wide selection is enabling new and greater consumption in a variety of contexts.

Whenever you think you’ve spotted a high-end disruptor, spend some time carefully thinking through the jobs customers are trying to get done. Then, determine which companies, if any, in the market are actually helping them accomplish those jobs. This jobs-based approach can offer surprising insights into how successful companies are actually competing.

—By Clayton M. Christensen

Lo-tech innovations still being made

picphone.jpg

Ronsonic's TeleFace phone looks a lot like the phone I had in my room as a zitty teenager. Aside from the cool semi-translucent effect, the back of the receiver holds 5 photos for crazy quick speed-dialing. Be careful--this could be just as, if not more lethal to your social life than a Myspace Top 8 debacle.

BTW, it's seems almost bizarre to see a new product launch that still has a cord.

via blogofwishes

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The Chinese soul now includes a special place for innovation

China%20Business%20Summit.jpgAt the China Business Summit in Beijing, Chinese government leaders talked up the vital importance of innovation as an engine of economic growth. It looks like the onsite Chinese-to-English translator got a bit carried away, though, when putting together an English language version of Vice-Premier Zeng Peiyan's speech about technological innovation:

"Innovation is the soul of a nation's advancement, as well as the everlasting driving force for national prosperity. During the new phase of further modernization, China wants to achieve scientific development through innovation. Problems often occur when people tend to pay more attention to quantitative expansion and speed, while ignoring quality. This has often resulted in inefficient and irrational growth. We cannot afford to continue with the traditional development approach. Instead, we have to upgrade our development strategies, transforming our growth pattern and optimizing the industrial structure."

Just for kicks, try reading Zeng Peiyan's speech again, this time substituting the word "Communism" for the word "innovation." (According to the official bio for Zeng Peiyan, the Vice-Premier joined the Chinese Communist Party in 1978.)

Anyway, there's extensive coverage of the China Business Summit here.

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[image: Xinhua]

Innovation Sandbox

Strategy+Business has a good article on the "innovation sandbox." The idea is to play around while still having some constraints.

This approach could be called an innovation "sandbox" because it involves fairly complex, free-form exploration and even playful experimentation (the sand, with its flowing, shifting boundaries) within extremely fixed specified constraints (the walls, straight and rigid, that box in the sand). The value of this approach is keenly felt at the bottom-of-the-pyramid market, but any industry, in any locale, can generate similar breakthroughs by creating a similar context for itself.
The article is a bit long, but it's worth the read. The best advice from the whole thing - immerse yourself in the lives of your target customers. Customers sometimes fail to accurately articulate what they want. By understanding them on a deeper level, you can achieve the kind of innovation that provides them a new product or service they didn't even realize they wanted.






Nicholas Carr: Innovation doesn't matter

Nicholas%20Carr%202.jpgFormer Harvard Business Review editor Nicholas Carr is attempting to stir up the hornet's nest again. In May 2003, he penned the now infamous article "IT Doesn't Matter," suggesting that investment in information technology no longer gives companies a competitive advantage. Now, he's back with an interview in the Wall Street Journal (subscription required), suggesting that investment in innovation may not give companies a competitive advantage. On his Rough Type blog, Carr explains why he's concerned about the "cult of innovation" that has formed in Corporate America:

"I question the popular notion that "companies should be innovating everywhere," arguing instead that companies should narrow their sights when it comes to innovation: "You need to bring the same kind of discipline to deciding where you innovate as you'd bring to any other kind of management question. You want to make sure that you innovate in those few areas where innovation can really pay off and create a competitive advantage and not innovate in other areas where it won't pay off." One of the dangers of placing too much emphasis on innovation, I suggest, is that a company can end up devaluing the work of the "merely competent." In fact, having highly competent employees is usually every bit as important to a business's success as having highly creative ones."

The bottom line, suggests Carr, is that "innovation isn't free... innovation is actually quite expensive and quite risky."

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September 10, 2006

Study the Obvious and Boring!

vanbezooyen_core77_apriltsui.jpg

April just launched the website Dynamic Textures a very visual summary of her earlier material explorations, her thesis work at the Art Center College of Design. Not yet another smart material - April prefers the not so smart materials, or as she calls them, dumb materials.

"We as designers rarely study the obvious and boring materials around us", for instance bubblegum. Trial and error and smart thinking allows April to realize several patterns that are able to morph into textures affecting current materials in design. A practical example is the coffee cup's skin that changes into a thorn-like texture to prevent the user from handling an extremely hot cup of coffee (see photo).

April Tsui is currently based in NYC and does her 'material gigs' with concept car developers and textiles makers. We say "Go and morph" and keep in touch!

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5 Secrets to a Successful Launch

Business 2.0's 5 secrets to a successful launch:

Do your homework - Instead of wild brainstorming, start by getting a handle on what's really happening in the world. Go shopping. Watch how customers interact with products in everyday settings like their homes, cars, or offices.

Aim for excitement - Simple innovations aren't understated. They have to be tangibly more effective than anything already on the market. Otherwise they're just line extensions.

Whittle, shape, iterate, repeat - Instead of rushing to identify a breakthrough, simple innovators treat product development as an iterative process that's very different from the rigid "spec, freeze, and implement" approach used by most companies.

Get real - Memos and presentation slides aren't fertile ground for shaping product ideas, yet that's where managers spend most of their time during the specification and development process.

Don't fail the 'Sky Mall' test - To avoid creating a gizmo, ask yourself, "Would this be a natural fit in the Sky Mall catalog?" If the answer is yes, you're probably creating something with limited innovative value.

Innovation Pipeline

What do you think would happen to a sales executive in a large organization who was asked about his pipeline and could not produce one? As we all know, sales management is constantly hounding the sales team for up to date sales projections. A typical salesperson spends at least an hour a day updating his or her sales pipeline, noting the opportunities being pursued, the size and scope of the opportunity and the likelihood of winning the deal. Various levels of sales management receive these updates, apply "judgement" to the reporting and consolidate the report into a final pipeline.

A good sales manager knows what deals will happen next week, next month and next quarter. Every large organization has some form of sales reporting and pipeline management. Otherwise, they'd be driving blind, going into the future without a good sense of near term potential revenue.

Contrast that with the state of innovation today. There are teams and individuals working on new ideas which may become new products or services. Unlike the sales teams, these innovation teams do not have an integrated management structure, don't report to the same people and don't generally have any incentive to report their status or prospects. Additionally, they don't share a common methodology or philosophy, naming convention or set of reporting tools to collect and report their status. In fact, many of these teams seek to keep their work secret (skunkworks) to keep it from being influenced or killed by management or other teams.

So, in many "innovative" firms it is difficult if not impossible to get any sense of an innovation pipeline similar to a sales pipeline. Want to know what ideas people are currently working on that might become that new product in six months? Go ask each team, if they'll tell you. What's the potential return on the innovation investment for a particular idea? What measurement should the team use in order to report that? How likely is an idea to become a valuable new product or service? What are the odds of a successful launch and winning in the marketplace? Whose definitions should we use?

Too often, ideas are wrangled through disparate systems and processes by idea champions who quite literally pick up the flag and carry it through the muck and push and cajole and beg until their idea is considered and moved forward. If you are lucky enough to identify these people and have them report consistently to you, then you might be able to create a reasonable picture of your innovation pipeline. Otherwise, trying to find the ideas and teams and trying to apply judgement to the ideas to determine the value of your innovation pipeline and its potential timing is close to impossible.

Why should this be? If innovation - defined as bringing a new idea to market as a valuable product or service - is the driving force for new organic growth, and if innovation is a top three priority for most businesses, certainly we'd want to know where the investment is going and what the likely return is on that investment, and the relevant timeframes. If the sales teams can create a reasonable, quantifiable sales pipeline that is used by industry analysts and Wall Street experts to judge the financial well being of the company, certainly any firm that prides itself and differentiates itself on innovation should be able to create an innovation pipeline.

What's standing in the way? A lack of enterprise systems to capture the ideas, a lack of corporate standards to judge the ideas according to their viability and potential return, rosy scenarios about the length of time it will take for the idea to blossom and the real cost of bringing the new product or service to market. Sales guys figured out a long time ago how to quantify their opportunities, and sales management applies the relevant judgement on those reports to create a viable pipeline. Innovation managers need to create their own standards and begin reporting the likely return on innovation and the timeframes or they won't be taken seriously for very long.

Sales management benefits from the fact that all sales people belong to and report to the same business function, and are compensated not only for closing deals but for reporting their progress and pipeline. Obviously the sales team has an easier job capturing and managing the information, but that does not excuse the fact that the important innovative ideas that will drive future growth are not well managed or reported today.

Study shows worldwide sourcing of innovation growing quickly

A new study by Booz Allen Hamilton and India's National Association of Software and Service Companies (NASSCOM), the first study to assess the evolving global market for engineering and technical services, finds that the worldwide sourcing of innovation is growing far more rapidly in such nations as India, China, Thailand, and Brazil than anyone expected a few years ago. This means that global companies are now even off-shoring the heart of their corporate strategy! Click here, to read the full article.

DIY Web 2.0; Success Algorithm or Next Tech Bubble?

DIY Web 2.0; Next Tech Bubble?

Wired Magazine has a cute tongue -and-cheek piece:

Diy_web_20

"The new, new, new economy– wait, how many news was that? – it's easier than ever to start your own Web 2.0 company. Just use our handy StartUp-O-TronTM algorithm. It generates pitches, critical for persuading venture capitalists to throw money at you. "What's your company?" they'll ask. "It's a [market] site that uses [hyped tech] and [hyped tech] to do [service] in a [architecture]," you'll confidently reply. We've provided the tools below. Mix and match, then slap on a name with a pun or a rogue capital letter somewhere, and bang! Pretty soon you're driving a Z4 and looking at second-round funding. Hey, don't forget us during IPO allocation."

© 2005-2006

September 09, 2006

"Success" should not mean "Management"

Measuringsuccess

We might all say that career success should be measured by how fulfilled you are on the job, but in practice, most people and companies still measure success by how high you climbed the corporate ladder. Clawed yourself near the top of the org chart? You ARE successful. But if you're not on a leadership track, playing the "my number of direct reports is bigger than yours" game, you're probably not. We all know this is lunacy, especially in the tech world, so why do so many companies still have only a single path for promotions? You either move into management or your career (pay, benefits, perks, control, etc.) stands still.

Isn't it about time we quit measuring professional success in one dimension, vertically, and start considering how much your actual work matches your desired work?

And isn't it about time more companies started offering multiple career tracks, where management is no more valuable or important than the highly-skilled work of an individual contributor? (Sun is a good example of a company that offers two clear paths--one for management, and one for individual contributors who'd rather bathe cats than be a boss.)

What happens when a company gives an employee no option for growth other than management? Yes, lots of individual contributors (even programmers) want the challenge of a management role, but some of the best feel forced into trading the work they love best for more "advancement opportunities". How senseless is it to take a star programmer and make her do Gantt charts? How lame it is to take your best designer and make him run budget meetings, review TPS reports, and consolidate time sheets?

This post was partly inspired by Anne 2.0's Where Are The Women Redux, which (among other things) talks about conferences that claim they can't find enough women speakers because their aren't enough women in those top leadership roles. Anne makes a fabulous point with:
"It’s no surprise that you might find more “smart” women speakers elsewhere than in the upper reaches of large tech and media companies. Part of being smart is weighing your options and making tradeoffs. Women face a radically different opportunity landscape than do men. I’m not going to say one or the other landscape is better–they’re different. But if you care about having more women as speakers at your tech conference, you might have to go with someone other than a senior level executive or dealmaker type."

So, yes, I'm thinking that we should wean ourselves from evaluating professional success on management level (even if it's within a company we started and own). Rather than asking about someone's rank, position, job title, number of direct reports, power, etc. we should focus on one simple question: how closely does the work you do match the work you want to do? We should start thinking of ways to make sure that kick-ass individual contributors can be compensated just as well as managers, so that they aren't torn between getting a promotion that sucks (into management) or sticking with what they're good at and love, for less pay.

[And yes, I realize that this is all way over-simplified with tons of big, tricky issues including the whole ugly mess about how some jobs (engineers) are considered so much more valuable than others (teachers), etc. But even if I were smart enough to take that all on (I'm not), we can't do it all in one blog.]

We should start thinking in Venn diagrams instead of hierarchical org charts. But I want to know what you think--I've seen this from only one side--as an individual contributor who'd rather program in punch cards than do an Employee Performance Review.

Exposing assumptions that block innovation

It's very difficult trying to "tell" people that their assumptions, prejudices and stereotypical views of other nationalities (country-markets) are often miles off the mark. You can often use brain teasers and lateral thinking puzzles to help people discover these for themselves. The first time I was asked to figure this one out I couldn't get beyond my own narrow (but "correct") view of the world. Try it yourself!

How can you throw a ball as hard as you can and have it come back to you, even if it doesn't hit anything, there is nothing attached to it, and no one else catches or throws it?

For the answer, go to the earlier post with the photo with the double yellow lines and the manhole cover.



"Solution Neutral"

I have a chart which demonstrates the need to move from "message neutral" (advertising) to "channel neutral" (communications) to "campaign neutral" (conversation) to "solution neutral" (innovation)

In the May 1st edition of Ad Age, there was an interesting cover story (R&D vs. ads in battle for bucks) which focused on this very topic and whilst, I think it was a little too sensationalist i.e. "...the share of money spent on R&D increasing relative to the amount spent on advertising" which implies some kind of causal relationship, I do agree with the premise.

Here are the facts:

  • 50 years ago: Advertising:R&D ratio was 3:1
  • By 1970, this had dropped to below $2
  • By 1995 it was down to $1.52
  • Today, $1.34 is spent on advertising for every $1 spent on R&D

The article continues with a comparison of 18 Leading National Advertisers who disclosed both their worldwide ad and R&D spending and shows how ad spending as a % of revenue dropped 1.35 % points from 1995 to 2005, whereas R&D spending as a % of revenue increased by .32 % points from 1995 to 2005.

Here's my take. Think about some of the most prominent launches or success stories of recent times: The Motorola Razr; The Apple iPod; Toyota's Prius. They all have their roots in significant R&D innovation; they also have a strong marketing and advertising relationship.

The insight/implication is simple: R&D and advertising (let's call it communications) are - or perhaps should be - inextricably linked and the combination of both makes for an incredibly strong 1-2 punch.

Arguably R&D/innovation is a precursor to advertising (with the former giving the latter something actually newsworthy to talk about), however in reality the two are in fact part of a fluid circle - a closed loop - and continuous cycle.

In an age where R&D and advertising are quickly becoming synonymous with oil and water, I believe "new marketing" can play a major role in terms of not only bridging this gap, but indeed forging stronger bonds and interrelated dyamics or synergy points between the two disciplines.

C.K. Prahalad's innovation sandbox

Innovation%20sandbox.jpgIn the current issue of strategy + business magazine, management guru CK Prahalad describes in comprehensive detail how "bottom-of-the-pyramid" thinking can lead to the creation of "an impossibly low-cost, high-quality new business model." The key, as Prahalad points out, is to embrace the notion of resource constraints. Citing examples from the hospitality industry as well as the healthcare industry, Prahalad includes a long list of companies that are playing in the "innovation sandbox" to create low-cost, high-quality products and services.

In Bangalore, for example, the indiOne hotel charges $20 for a Western-style hotel room in the heart of India's Silicon Valley -- a mere one-tenth of what other hotel chains typically charge. For such a low price, you would expect to be staying in the equivalent of a cardboard box - but you'd be wrong: "The indiOne is modern; every room includes an attached bathroom, an LCD television, a wireless broadband connection, a small refrigerator, a coffeemaker, and a work area. The common areas include a pleasant cafeteria, an ATM, a business center, and a small gym." Instead of attempting to replicate "best practices," the low-cost hospitality provider is working on "next practices." At a time when luxury hotels eye 30-40% margins, the indiOne hotel chain is reporting gross margins that are close to 65%.

With that in mind, Prahalad outlines the four conditions that must be present for similar types of breakthrough innovations to occur:

(1) The innovation must result in a product or service of world-class quality;

(2) The innovation must achieve a significant price reduction — at least 90% off the cost of a comparable product or service in the West;

(3) The innovation must be scalable: It must be able to be produced, marketed, and used in many locales and circumstances;

(4) The innovation must be affordable at the bottom of the economic pyramid, reaching people with the lowest levels of income in any given society.

Obviously, this "bottom of the pyramid" thinking has taken off in India, which has more than 700 million bottom-of-the-pyramid consumers.

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[image: strategy + business]

Important Now vs Important Later

As a guy who has suffered through more than his share of economics and finance courses, I know the answer to just about any question about money.  The answer is:  it depends.  For example, is a dollar now worth a dollar in six months or a year from now?  Depends on the interest rates and time value of money.

I bring this up because I am struck that we in business are constantly focused on such short term outcomes that we frequently miss spending time and money on longer term objectives.  I was working with a firm recently that has a person with a title of "Long Range planning".  Leave aside the fact that they needed to give someone a title and responsibility to look to the "long range".  Leave aside the fact that only ONE PERSON in the organization is chartered to look beyond a 18 month horizon.  What does this say to the rest of the organization?  Ignore the long term, let Charlie worry about it.  When we get there, it will be the short term.

I started thinking about the value of the "short term" versus the value of the long term because of my interest in innovation.  See www.ovoinnovation.com for where I place a significant portion of my time and thinking currently.  Unfortunately for most firms, innovation is all about the future.  Innovation is something we'll do soon, and it will have benefits well down the road.  The problem with most firms is that they never get to that "soon" landmark.  There's always something more pressing right now.

So, that should say to us that we need some objective milestones and rationale for innovation.  What better than money?  That's what's driving the short term focus, the need to bring in the costs and revenue in line with the quarterly estimates.  Let's quantify the value of innovation and use a time value of money approach to emphasize why spending time on innovation which pays off in several years is worth the investment and focus NOW.  Ah, but you'll say that the next quarter is already in the pipeline, and even if we can quantify the Value of innovation, can we accurately predict the success of a given project?  If not, now we are working on two estimates - the estimate of value, and the chance of success.  All things considered, a highly likely bird in the hard with worth two birds with a less than perfect chance of success.  And, since we work to eliminate failure from our systems, innovation just became a lot harder to focus on now.

OK, so what's clear is we need to provide a mechanism for fairly certain innovation in the short term.  This means building incremental innovation initiatives into the fabric of your day to day operations, things that can pay off in under 4 to 6 months.  The only way that will happen is to incorporate these innovations or processes into your day to day activities, so that innovation becomes a natural part of your business, rather than something you'll get to at some point in your life, career or whatever.  Then, once you've incorporated and mastered the incremental innovation and have the right to look beyond the 4 to 6 month window, you can put in place the methods and processes for larger scale innovation, since you've won the right to innovate over a longer period of time and take greater chances.

A farmer who constantly eats his seed corn will not go to be hungry this week, but might find the planting difficult the next season.

A new e-book on innovation strategies

Innovation%20ebook.jpgBased on his analysis of companies commonly cited in the mainstream business media as being paragons of innovation goodness, Daniel Montaño of the User Experience + Innovation blog has just released an e-Book on Innovation Strategies. The book, which is currently available only as a 156-page PDF document, examines the innovation strategies at companies like Apple, IBM, GE, Target and Toyota:

"Rather than debate if those are really the most innovative companies in the world I decided to take a look at how each of these companies is innovating. The result is this book, where we find out some methods and strategies they are using, the kind of design awards they are winning, the type of criteria they're focusing on, where they're headed next, etc. The goal is to learn from those companies that spend thousands of dollars learning how to innovate, so others who don't have the budget can save some money and still innovate on the same tracks. Innovation is no longer just what happens in R&D, nor in the design shops, innovation is happening at every level of the organization. Every staff member can contribute to the innovation efforts."

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Another type of innovation: aesthetic innovation

Regular readers of this blog know that there are dozens of "types" of innovation. Open any book on innovation and you'll see reference to product innovation, process innovation, operations innovation, value innovation, market innovation etc. etc. Some books include many of these types while others offer just a couple.

The variation of types of innovation can lead to a lot of confusion. However, you can often place these types into two broader categories: innovation that occurs on the value-creating side and innovation that occurs on the cost side. That said, doing this for service-heavy product offerings becomes a difficult task. Is a bus driver creating value or is he a cost?

After reading a bit of The Substance of Style by Virginia Postrel the other day at the book store, I thought I'd add yet another type to the ever-growing list of innovation types: aesthetic innovation. One of the main messages in this book is that product quality is pretty much a given these days and that aesthetics are, contrary to what some people argue, indeed valued by customers. Here's a taster of the tone of the book:

"GE believes in the aesthetic age. This is not a hip San Francisco style shop. These executives don't get their photos in fashion magazines or go to celebrity-filled parties. They don't dress in black, pierce their eyebrows or wear Euro-style narrow eyeglasses. This is General Electric. Jack Welch's company. Thomas Edison's company. An enterprise dedicated to science, engineering and ruthless financial expectations. GE doesn't invest in ideas because they sound cool. When a trend comes to Selkirk, it's no passing fancy." (p. 4)

But how can firms get aesthetics right? This must surely be a huge challenge. Here in Taiwan, Asus, an OEM/ODM firm that is trying to build its own brand, has added a bit of leather to some of its own-brand notebook computers. How will Asus' country-markets respond to this mash-up of hardware and skin, or as Asus puts it, "fusion of technology and craftsmanship"? Will the Germans go for it? Will the Australians lap it up? Will the Indians reject it?


The Entrepreneurial Spirit

Fred Karl, designer of the Viking range and owner of that company said, "I was a weird kid—I began designing towns when I was 12." We all know that "weird" can be good, if we don't judge others through our lens ... Being weird increases creativity if we allow it to flourish. Fred Karl, founder of Viking Range, let his weirdness flourish abundantly.

Karl's headquarters for Viking is located in his home town of Greenwood, Mississippi. Karl has restored old buildings to house his operations, so not only does his product, the Viking range, generate income for the small Mississippi town, Karl is revitalizing the town through his restoration work. He remembered a bustling place in the '60s that had "gone way downhill" by the time he returned there after a tour of duty in Vietnam. The little town of Greenwood, previously sustained by the cotton industry, wasn't ever going to be the same. But Fred Karl saw the possibilities and brought all his talents to bear to create a new Greenwood.

Fred Karl designed the first Viking range for his wife and hoped that he would sell 1,000 a year; now he sells that many in a week. Just like most startups today, he had little money. Fred Karl bartered his building design skills to obtain office space to work in. The local people called the new range Fred was designing his "Stove Project." What kept his spirit going was the encouragement from the town—support he knew he wouldn't get if he moved to a big city. That little "Stove Project" eventually became the big business of Viking Range.

Feeling a little weird lately? Take time to see where your passion and entrepreneurial spirit is calling you. Even in corporate America, the entrepreneurial spirit must remain alive. That spirit can solve the toughest of corporate problems, if only we let it.

See the article in INC about the entrepreneurial spirit of Fred Karl.

Posted by Val Willis | Comments?

How MTV lost its creative mojo

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Of late, the Wall Street Journal has been beating up on Viacom and its various media holdings. It's not hard to do, especially with the ongoing, highly-publicized spat between Sumner Redstone and Tom Cruise, the firing of CEO Tom Freston earlier this week and the growing realization that MTV Networks, the flagship cable network for the company, has lost its way. Today in the Wall Street Journal, there's a story called "Does MTV Still Rock?" that traces the slow, sad decline of MTV into a has-been network that doesn't even register on the radar of the MySpace/YouTube generation. Whereas once MTV was a poster child for the 18-to-34 demographic, it has apparently lost its creative mojo:

"MTV grew into a cultural juggernaut not just because it took risks on innovative content, but because its own culture was innovative, even subversive, say former MTV Network officials. Executives came to work late because they had been out partying with rock stars until the early hours - and that was fine because it fostered an atmosphere of creativity.
Many visitors to Viacom's 54-story Times Square headquarters are startled by the near total absence of corporate decorum. MTV Networks has no dress code and lacks many of the other regimens of corporate life. Mr. Freston (the departed CEO) believed that a relaxed atmosphere fostered creativity in his staff. As long as MTV was successful, the approach was embraced, even celebrated. But as the company grew older and larger, some former executives say it has become allergic to criticism. Management's decentralized approach has, at times, allowed problems to fester. The cadre of executives who founded the network have been reluctant to open their ranks to outsiders, institutionalized thought has crept in and management fiefdoms and silos have been created, former executives say."

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[image: The day before the MTV Video Music Awards]

September 07, 2006

$25,000 Pet Product Invention Contest - Here's Your Chance!!

MyPetIdea.com

Pet Safe sent in the following press release:

Have you ever wished you had a product for your pet that hasn’t been invented yet? Now you have the chance to help bring that product to market and win up to $25,000 - just for having a great idea for your dog or cat!

Drs. Foster & Smith Partners with PetSafe to Present “My Pet Idea”

Drs. Foster & Smith, the nation’s most trusted name in pet supplies, has teamed up with PetSafe, the industry leader in pet training, safety and lifestyle product solutions, to search for the next great pet product invention in the United States. “My Pet Idea” is an innovative, fun and consumer-driven national contest to find new pet products that enhance the relationship between pet owners and their pets and ultimately improve a pet’s quality of life. You don’t have to be an inventor, engineer or have financial backing to enter; all you need is an idea and love for pets.

You’re invited to submit your creative pet product ideas via the contest web site - http://www.mypetidea.com - for a chance to win $2,500, $5,000, or the Grand Prize of $25,000! My Pet Idea contest categories include: products to eliminate a pet’s separation anxiety; giving pet owners more flexibility over their schedules while ensuring their pets are cared for; training ideas for puppies; health and well-being products for dogs and cats; products to eliminate destructive behavior and ideas for enhancing the pet/pet owner bond.

In addition to entering ideas, the public is invited to help select the contest winner by voting online for their favorite entry. Consumer votes determine the top 100 pet product ideas. From the top ten, three winners will be chosen. The contest begins Sept 6th and runs through Nov 30th, 2006. Finalist ideas will be open for public voting until Dec 11th.

All pet ideas submitted will be viewed and voted on by anyone who registers at the contest website. The most popular ideas will then be considered by PetSafe for cash prizes and future product development. By registering your idea or to vote on other peoples’ ideas, you also qualify to win a $250 Drs. Foster & Smith Gift Certificate. One winner will be randomly drawn weekly.

MyPetIdea.com also features fun stuff for all ages, including daily trivia, petcare tips, and a quiz to discover what kind of animal you would be. For more information, contest details, and idea starters, please visit DrsFosterSmith.com/mypetidea.

About Foster & Smith
Foster & Smith is the nation’s leading veterinary-owned pet supplier, providing pet owners with veterinary advice and quality pet supplies at affordable prices for over 20 years. Since their modest beginnings in the early 1980s operating four veterinary clinics in northern Wisconsin, Dr. Race Foster and Dr. Marty Smith have become the nation’s foremost authorities on pet care and education, earning a strong reputation for the scope of their veterinary expertise on dogs, cats, fish, birds, reptiles, pond life, and small animals. For more information visit: http://www.drsfostersmith.com.

About PetSafe
Headquartered in Knoxville, Tennessee, PetSafe is the industry leader in pet training, safety and lifestyle product solutions. PetSafe introduced the first do-it-yourself electronic fence to the pet market in 1991 and the first wireless fence in 1998. PetSafe’s product line up includes: bark control systems, a selection of remote training equipment; electronic containment systems; pet doors, GPS and pet identification, heated wellness products, pet feeders and a growing line of lifestyle products. For more information about PetSafe visit: www.petsafe.net.


Gartner Hype cycle 2006

David pointed me on this instantiation of the Gartner Hype Cyle 2006:

Location-aware technologies seem to be in the end of the disillusionment phase; I agree with the disillusionment thing and hope that it’s reaching the end with innovative and user-oriented potentialities…

How to turn a deserted steel town into an innovation hub

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In Australia, a town once known for its steel mills and a migrant arrivals center is being transformed into a world-class innovation hub, thanks to a collaboration project between Wollongong University and the New South Wales government. As The Age explains, the new $300 million innovation campus could become a center of breakthrough research in areas ranging from biotechnology to artificial intelligence:

"About an hour south of Sydney, along the coast, lies a big paddock. The 33-hectare site, once home to a migrant arrivals centre, is an inauspicious place for a technology rejuvenation, but it is this greenfields site on which Wollongong University pins its hopes to revitalise an area once known for its beaches and steel mills.
The institution is preparing a blueprint to build a $300 million innovation campus to attract the best and brightest minds from across the country and around the world to research and commercialise technology in areas as diverse as image recognition and artificial intelligence, biotechnology, intelligent materials, polymers, superconductors and information and communications technology. The director of the innovation campus, David Fuller, is charged with building an environment in which researchers, innovative companies and postgraduate research students can work together and create the world of the future..."

The inspiration for the new innovation campus in Australia is a similar type of facility in Canada's Saskatchewan province - a site that is "300 kilometers from anywhere."

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[image: The Age]

Wants or Needs?

I've worked in marketing for quite a while, and it seems we marketers have a compunction about wants and needs. I think these are fairly poorly defined and often used synonymously. That presents a risk when we talk about the drivers for innovation.

I may want to lose weight, or I may need to lose weight. The first is an expression of interest, the second is a requirement. Too often we focus on what people say they want, rather than what they really need. Innovation is often too focused on what people say they want, and unfortunately history is littered with things that seemed to fulfill what customers said they wanted but were judged as market flops. Or, we as marketers can make assumptions about what people want, and bring new products and services to market based on those intuited wants. That is still very risky, as the wants are not expressed in terms of dollars or tradeoffs.

From an innovation perspective, what's important is to discover the needs that individuals, prospects and markets have, and translate those needs into features of a new product or service. There are several different types of needs:

- Unmet needs. I have a need that is not met by current products or services. For example, an inexpensive pump and filter to provide fresh, clean water to poor communities in third world countries.

- Somewhat met needs. For example, I have a need to travel quickly to distant locations, so I fly there. However, my experience based on most flights is less than satisfactory. That opened up the discount airline industry.

- Overmet needs. For example, any Microsoft Office product. There are more features than I can possibly use or even understand. It seems that someone soon will innovate a spreadsheet, a word processor or a project management application that is less complex and easier to use, with far fewer features and a lower price. Of course, Basecamp has done this for Project Management.

There's another way to look at wants and needs as well in the context of innovation. Most firms WANT to be considered innovators and WANT to increase revenues and margins, but NEED to cut costs. That's why many firms treat innovation as a cost cutting measure rather than a growth initiative. I was recently asked how we help firms rationalize an investment in innovation. My response was - from a marketer's perspective I'd like to talk and focus on growth, but from a needs perspective we look at the customer's situation. If their focus on idea management and innovation is driven by cost cutting, then that's the way we justify innovation.

As you consider your innovation initiative, what are your focus areas? Have you focused on what you think your customer wants, or what you know the market needs?

Innovation Meet Mr. Reality

A lot of the talk about Innovation is out of context. Most of what is out there is about thinking “different”, pushing the frontier, treading where others are not inspired enough to go. While this pretext has a kernel of truth it is useless without the context of execution. Talking about innovation without talking about execution is like talking about a bicycle race with no bikes; it’s irrelevant.

For example, I’m currently working on project that will solve some of our consumer’s problems in a way that nothing else can. The problem is that we ran into some execution delays, and due to the nature of the market, will not be able to introduce the product as anticipated. We have a great idea, but it means nothing – no revenue, no profit, no good – until someone can buy the darn thing.

Finding the right “blue ocean” is a necessary, but not sufficient, component of Innovation. In addition to knowing “what value you need to bring to what target market”, you need to be able to translate that value, through systems engineering, into a set of actionable specifications. You then need a world-class project management component to drive those specifications to reality.

There are a couple of reasons, I think, that project management is not the focus of much of the latest Innovation literature. First, it has been around since the Pilgrims landed on Plymouth Rock (a fallacy it turns out according to the book Mayflower) so there is not much new news in the subject. Second, very few people actually want to read about project management because at most companies project management is a thankless front line job that most people try and get “out of” rather than “in to”.

Regardless, if you are serious about being a successful Innovation player you need to couple the latest Innovation ideas with a bias towards execution because the cool product prototype that is sitting on my desk is just a giant paper weigh until we can get it commercialized.

Insights into the innovation competence process

Innovation%20Competence%20Process.jpgIn an extended post about harnessing the innovation capabilities within an organization, Alex Osterwalder of the Business Model Design and Innovation blog explains the inner workings of the Innovation Competence Process. As Alex points out, the Innovation Competence Process consists of five basic steps:

(1) Appreciate: the most important basic principle of this process is the true appreciation of everybody's capacity to contribute to innovation - from the secretary to the CEO;

(2) Self-Assess: Once the basic principles are set, the group seeking to improve its innovation competences should proceed to a self-assessment done in an open participatory discussion;

(3) Prioritize: The outcome of the self-assessment is the recognition of strengths and weaknesses in the innovation process of a group or organization;

(4) Reach Out: After constituting the action plan and prioritizing the group should reach out in order to find others that can share their experience;

(5) Connect, Share & Learn: After finding interesting countreparts based on the self-assessment of one's innovation competences the energy should go into connecting, sharing and learning.

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[graphic: Innovation Competence Process]

When "Near Enough" Isn't

Here's an interesting quote from Edward de Bono (of lateral thinking fame), courtesy of Management Issues for August 28th, 2006:
If you have an obvious problem and think you have a solution, what is the need for creative thinking? Actually, there is a real need, because an adequate solution is not necessarily the best solution. Too often, the adequate blocks the best when it comes to problem solving.
When people are rushed, harried, anxious, and desperate to meet the deadline or this month's financial targets, even an adequate solution seems like a godsend. The quick fix, the "near enough" solution, is chosen right away. Who has time to stop and think again?

I wonder how many great opportunities are lost forever, simply because a harassed employee jumped at an adequate solution instead of taking his or her time to find a really good one? I've used software that positively reeked of "near enough," received answers to questions that I'm sure weren't anywhere near the best the customer service agent could do, and suffered from trying to help organizations whose executives grabbed the first, roughly workable solution, and weren't interested in anything better. I'll bet you have seen all of these things too.

Taking enough time isn't only about being "laid back" or even having a better life (though both sound great to me). It's mostly about getting a good result instead of one that barely makes a passing grade.

September 01, 2006

Six Factor's of Walt's Genius

Qualities%20of%20Walt
In his book How to Be Like Walt, Pat Williams cites what are considered the six qualities that made the work Walt Disney did so creative and innovative. Here's how he explains it in his book...

The Six Factors of Walt's Genius

Paul Anderson, a Disney historian and a professor at Brigham Young University teaches a course called "Walt Disney and American Culture." Anderson spent years studying, interviewing, and reading about Walt to determine the source of Walt's genius. The six factors they concluded are...
  • Knowledge - Walt had a thirst for knowledge. He tried to impart this love of knowledge to everyone around him... He knew that it would pay dividends for the studio.
  • Experimentation - Walt was always pushing the envelope and testing new ideas. He was on a continual quest for discovery, and he encouraged that same spirit in his staff.
  • Quality at All Costs - Walt's philosophy was "Whatever you do, do it right." He was always reaching for perfection, and his eye never missed a detail.
  • Control - Walt hired the best people and gave them a lot of creative freedom. but he always had control of the final results.
  • Vision - Walt's special gift. He had a unique sense of what would sell and what the public wanted to see.
And the greatest of Walt's qualities...
  • Curiosity - Walt was intensely curious about everything life had to offer... He had a childlike curiosity about anything and everything.

Imagine a more creative Toronto

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Sara Diamond, president of the Ontario College of Art & Design, explains in an op-ed piece for the Toronto Star that Toronto needs to embrace creativity and innovation if it plans to remain competitive on a global basis. As Diamond points out, a recently released report called Imagine a Toronto: Strategies for a Creative City provides "an articulate blueprint from which to build the energetic, imaginative and powerful city that many of us imagine..." While Diamond's focus is primarily on the arts and culture, it's clear that a creative Toronto linked together by Wi-Fi and social media would also have an impact on business innovation within sectors such as gaming, media and even biotechnology:

"Cultural and scientific innovators need face-to-face engagement. Let's create a networked Imagination Laboratory — an action-oriented innovation hub that invents attractive and sustainable technologies that we will love to use; sensitive, affordable health care; ecologically wise architecture; and new business methods. We need to ensure that Canadians are culture makers as well as consumers; game designers as well as players.
Dublin boomed when it focused on building successful cultural industries, resulting in great content and economic health. It built an internationally competitive media industry, and found cultural and educational solutions to social problems. A cultural research network will galvanize cultural post-secondary researchers, companies and non-profit organizations..."

For any readers interested in how Toronto plans to build and nurture a creative class, the Imagine a Toronto report is available as a 44-page PDF here.

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Innovate Strong or What would Edison Do?

After much consideration, I think I've got the answer to what has seemed to be a big disconnect between what is said about innovation, and what is done in the name of innovation. It all came about because of a wristband.

My daughter is a huge fan of Lance Armstrong, and has had a LiveStrong bracelet for quite some time. The LiveStrong bracelets became such a huge fad that it seemed everyone I knew was wearing one at some point. And, since a lot of the money went to fight cancer, the more wristbands, the merrier. What do wristbands have to do with innovation? Quite a lot.

Nobody ordered everyone to go out and buy (and wear) a LiveStrong wristband. People bought them because they saw their friends wearing them, asked them about the wristband, heard the story and decided to get on board. In other words, the LiveStrong wristband was a word of mouth success which eventually became a media story. That's when the whole think probably jumped the shark. What's interesting about this is that much of the attention and awareness of the wristband and its meaning and value passed from person to person - people committed themselves to buy and to wear the wristband because they thought it stood for something - curing cancer, and even their small contribution put them in solidarity with others who wanted to fight cancer. It became a cause to join.

That's where there's an intersection between innovation and wristbands. Innovation, for the last few years, has been an interesting hobby horse for CEOs and senior executives to trot out to Wall Street and their investors. "Look at our focus on innovation" they'll say. Yet in the mid-management levels, little has changed. Little additional money or resource has been set aside in many of these firms. As we've discussed previously, innovation needs top level involvement and a groundswell from the troops to be successful. It's time for the WWED wristband. WHAT WOULD EDISON DO?

We need for people in the trenches to get onboard with innovation - most firms need to create a cause that their employees, business partners and vendors can join to improve the prospects of the firm and become more innovative. Yes, they'll still be underfunded and yes, there will be high expectations for innovation and yes, the innovation teams won't get all the resources they need - but as people begin to wear the wristbands, innovators in business units and functions across the organization will recognize each other and learn to work together across the business units and in spite of the inadequate resources and slothful culture.

Most businesses don't need to be told that they need to become more innovative - they know that. What they need is something - a mission, something to belong to, that people within the organization can join in and support, so innovation become a bonding opportunity and a method to bring everyone together on the same page. If Lance can do that for Cancer, what can we do for innovation?

Yahoo discovers the next generation of innovation

Yahoo%20lollipop.jpgThe "Edible Interface" was one of 10 different innovations featured at Yahoo's University Design Expo, an annual event that explores how humans interact with technology. By tapping into the unbridled creativity of university students, companies like Yahoo are developing an innovation framework that can anticipate future changes in technology:

"They are really wacky, creative ideas that make us think about the future,'' said Joy Mountford, a senior director of the expo who launched the event 17 years ago at Apple Computer. At the time, Mountford managed Apple's Human Interface Group. She needed creative, technically adept people to develop the next generation of computer technology. Skilled engineers were not hard to find, but Mountford was looking for brilliant geeks who were also artists.
She began holding the expo to identify talent and promote new ways of thinking about computers and design. Over the years, she estimated, 1,800 students participated. Some ended up at tech companies like Apple or Yahoo. Others ended up teaching at places like the Interactive Telecommunications Program at New York University's Tisch School of the Arts. [...] While the ideas may seem far out, Larry Tesler, vice president of user experience and design at Yahoo, said they can help Yahoo employees see where technology could be headed...

Anyway, for additional pictures of the Yahoo! event, be sure to check out University Design Expo 2006 on Flickr.

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[image: A Design Expo at Yahoo]

Neuroscience and the scientific link to creative genius

The%20Creating%20Brain.jpgIn a Q&A with USA Today, neuroscientist Nancy Andreasen discusses her book The Creating Brain: The Neuroscience of Genius and then offers four tips on how anyone can develop and nurture their inner creativity. Apparently, it's possible to build a better, more creative brain in only 30 minutes a day:

(1) Explore an unfamiliar area of knowledge. For example, people who use a lot of math on the job should sign up for a painting class;

(2) Spend time each day thinking. Don't censor your thoughts, but allow your mind to go freely to a problem and see what kinds of solutions or ideas surface;

(3) Practice the art of paying attention. Look for and really observe a person, an object or something in your daily commute that you hadn't really noticed before. Try describing or drawing that object in a journal or sketchbook;

(4) Use your imagination. Spend time each day imagining a different world. What would it look like? What would you do there?


Don't worry, nobody's expecting you to become the next Van Gogh or Picasso while working on an Excel spreadsheet or PowerPoint presentation. In fact, as Andreasen points out, there is such a thing as ordinary creativity: "Creativity is not limited to the masterpiece work of art but can be found in everyday tasks such as cooking or gardening. A cook who changes a recipe or even makes one up using ingredients he or she has on hand is using the creative process to create novel taste sensations. A gardener who picks out colors and a pattern for a flower garden also is tapping into his or her creative potential..."

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