Charles,
I've started the Colorado Innovation Newsletter. It seems some of the
MG-ED-DV group might want to subscribe.
If v1n1, below, could be shared, then members could decide whether to opt
in.
Those that want the newsletter would sending an e-mail to
garyl@market-engineering with "subscribe" in the subject line.
It's up to you.
Best,
Gary
303-840-9929
GaryL@Market-Engineering.com
The 2004 Colorado Innovation Summit opened with a short speech organized
around intriguing quotes. Please share this newsletter with others.
The Colorado Innovation Newsletter, v1, no 1. 2/05
Perspectives on Innovation
Everyone has ideas about what innovation is, but we don't all have the same
ideas. For the next few minutes, I'd like to tickle your mind with several
intriguing viewpoints.
Geoff Nicholson, Former VP, 3M
"Research is the transformation
of money into knowledge.
Innovation is the transformation
of knowledge into money."
Nicholson has a great idea here. Innovation is part invention and part
commercialization. Part proof of concept and part delivery to customers.
And he has another perspective. Successful innovation first costs money and
then produces return on investment. Money in. Money out. Money in, of
course, pays for people, expertise, facilities, and other required
resources. Money out includes cash flow, competitive advantage, brand
equity, and other measures of financial success.
For all that I love this quote, Geoff isn't quite general enough for me.
You see, innovation happens everywhere in business. It happens all of the
time. Geoff talks here about product innovation, yet one of 3M's most
powerful innovations was a strategy - the gift of time - the suggestion that
every employee spend 10-15% of their work time thinking up new things.
Innovation is much, much larger and more important than products. We can
apply every innovation lesson to businesses, products, services, strategies,
processes, events, and more.
Capgemini, 2003
"Innovation is the realization of value
from a new solution to a problem."
Capgemini generalizes innovation to any kind of problem. For them,
innovation changes every aspect of business. Every year. And Capgemini
knows that new-ness is core to innovation. Radical innovation is new to the
world. Incremental innovation contains new features.
Of course, these authors still focus on investment. "Realization of value"
is actually a sly way of saying "making lots of money." Still, their
language invites us to see value realization from the customer side. Value
to customers is the sum of benefits gained by using the innovation. Market
success demands that we deliver unique and preferable value to our
customers.
Though Capgemini speaks of solutions to "problems," opportunities also drive
innovation. Think about the figurative doors you open every day, using
capabilities that reached market in just the last few years. You help create
opportunities for your customers every day, and you do so at productivity
levels no 1980's manager ever thought possible.
Innovation is bigger than solutions to problems. Innovation is the path to
the future. for you and for your customers. Innovation literally creates
the future. You and your peers around the world are changing what is
possible. I can hardly wait to see what you achieve.
Accenture, 2003
"It's not how many ideas you have.
It's how many you make happen."
Though more broadly focused, Capgemini still defines innovation as a result.
Accenture points out that creating that result is hard work. Of course,
innovation is both process and result. Both the process of developing
something new, and a new result that meets needs in new ways.
A group of innovation specialists recently brainstormed six principles of
innovation. Our Principle of Process suggested that innovation requires
five interlaced elements of process: Corporate focus, new product
development (including portfolio management, stage gate, etc.), project
management, branding/marketing, and decision making.
Whatever your principles, innovation simply doesn't happen without process.
Innovation takes the integration of ideas with leadership, management,
skilled professionals, and adequate resources, all coordinated by processes.
The Cheshire Cat to Alice
Under the Looking Glass
"If you don't know where you are going,
then any path will take you there."
Do you remember the dialog from Through the Looking Glass? Alice was lost
and asked for directions. The Cat, of course, asked her where she wanted to
go. When she said she didn't know, we got one of the most profound
statements in human history.
The Cheshire Cat would suggest that the path to innovation begins with a
vision of where we want to go. What should we envision? A completed
innovation? By itself, that isn't good enough. Not even close.
You see, we need to envision our innovation being chosen over competitive
alternatives and now in use by its logical customers that are so pleased
with its performance that they gladly deliver market loyalty and repeat
business. Wow! That' quite a vision! The Cat would be impressed!
To grow such a vision, begin with the value promise. the key, unique,
preferable benefits your innovation will deliver. Stating such a promise
means knowing a lot about both your market and your own potential. Then
envision what it will take to deliver on that promise - what you must do to
make and keep satisfied customers, over time, at a profit, in a competitive
environment.
The innovation itself is just part of the vision. Don't stop there. Put
your vision into context of the real world. In turn, the real world will
thank you with funding, purchases, and investment.
Gary Lundquist, 1997
"How?" is not the most important question.
To be strategic, first ask, "Why?"
With vision in mind, we've taken a huge step toward innovation. We could
jump right into development. or. we could take time to build a strategy. I
chose to quote myself because I know the pain of weak strategy. I innovated
a software business in the '80s. Our tactics were elegant, yet we lost the
company on strategy.
Only later did I learn this fundamental truth. "Why?" is the core skill of
leaders and strategists. "How?" is the core skill of managers and
tacticians. We need both, yet in the rush to market, we all too often
forget to ask, "Why?"
Strategy begins with long term goals and near term objectives - the "Why?"
As you then work through "How?" with possible strategies, keep resources in
mind. It makes little sense to choose strategies you can't implement. On
the other hand, if your resources are limited, consider adding a strategy to
increase resources (e.g., a strategy to find new investment).
Your result will be a nested context for innovation: goals, objectives,
strategies, tactics, delegation, resourcing, and the truly hard work of
innovation. Without strategic foundation, that hard work could implement
tactics that implement strategies that reach objectives not in your
company's strategic focus.
Strategy is both a powerful and practical way to accelerate innovation and
empower the skills and energy of everyone on your team.
Francis Ford Coppola
"The difference between a good movie
and a bad movie
is getting everyone to make the same movie."
I love this quote because it so clearly applies to us all. Movie makers
have such obviously cross-functional teams. They employ actors, directors,
staging, cinematography, sound, music, marketing, and on and on and on.
Every innovation project faces the same challenge of building and sustaining
multi-functional teams of people with distinctly different skills and
mindsets. We want them all on the same page, working together, making the
same innovation.
A culture of innovation creates needed coherence. Such businesses attract
top talent because their cultures build positive reputation. Top talent in
the right culture, in turn, enables an engine of innovation that
consistently spins out winning products. When we all work together from a
shared vision, clear strategies, and adequate resources, there is no limit
to what we can accomplish.
Whew! Return on investment, value to customers, process, vision, strategy,
culture, and engine of innovation. That's a lot. Yet it still isn't
enough.
SAP, 2003
"Today's innovation
is tomorrow's commodity."
SAP says it succinctly. Innovation must go on! The end of every innovation
cycle is an opportunity to begin another. At today's pace of business, we
really don't have a choice.
Innovation must be reinvigorated, at every level, every year, for the
foreseeable future. People and processes. Management and staff. Vision,
strategy and tactics. Re-envisioned, re-invented, and constantly renewed.
Re-ignited to keep up with the pace of change.
To sustain the pace, we need to refresh our minds and re-energize our teams
with new ideas. And we need to apply our skills and vision to our own
innovation processes, from major revamps to ongoing fine tuning.
Glance back at the quotes again. Let them tickle your mind. To get the
best out of our innovation efforts, we all need a tickle once in a while.
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To receive our white paper, Innovation and Wealth Creation, reply with
"White Paper" in subject line or text.
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Author: Gary Lundquist accelerates both innovation and branding by helping
management and project teams make essential decisions early in processes.
Through powerful innovation visions and shared strategies, he accelerates
both wealth creation and consistent increases in the win-win value of
relationships with customers, investors, and allies. Gary serves clients
through consulting, speaking, and training.
GaryL@Market-Engineering.com
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