Moving innovation into our core – Part three

Not fit for future purposeThis is the third and final part of this series on the rethinking within the management of the innovation system.

Part threeTechnology will drive innovation change.

We are in need of a different sustaining capacity, one build around innovation as its continuous core; constantly evolving, adapting, learning and adjusting, in perpetual motion.

We are heading for transformational change

Digital technology and the cloud are offering us a radically different conduit to achieve a new engagement process within our organizations. Innovation is going to be very much caught up in this transformational change.

Technology and data will be innovation’s catalyst for change.

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Moving Innovation into our Core – Part Two

Papering over the innovation cracksA three-part series on rethinking the management of the innovation system.

Part two, recognizing the broken process we currently have.

The innovation process and the structures build into our organization certainly need to be changed.

I outline here different barriers that require change to bring innovation more into the core of a business.

Today, we are needing to build greater agility and responsiveness into our innovation design to counter for a more rapidly  changing market, sensing changing conditions and to ‘seize’ breaking opportunities. . A new combination of speed, flexibility, networking and focusing on adapting and fusing the skills and capabilities needed, will require changes in our innovation work.

Our current structures and processes for innovation are holding us back and will continue to not deliver the expected results needed today or the future, giving real growth and sustainability. We do need a far more radical approach to a solution for managing innovation inside our organizations.

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Moving innovation into our Core- Part One

Innovation at the CoreInnovation has sat outside the core of organizations central systems for long enough. Arguably this lack of being a core central focus holds the deeper understanding of innovation back.

A core that could offer up the sustaining value and contribution innovation can make, into the growth and future well-being of organizations and having available the level of resources and commitments it needs. Today innovation seems to be falling short in delivering on its promise. Why?

A three part series on rethinking the management of the innovation system.

Part one, building the business case of needed change in how we manage innovation.

Those constant top level concerns need finally addressing

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Seeking strategic and innovation alignment conversations

Alignment of Strategic Innovation ConversationsInnovation stands in service to the strategic goals of our organization, or it certainly should!

The first thing is you need to have a solid, thoughtful conversation around the type of strategic emphasis you wish to achieve from your innovation activity, how will it support the organizations strategic direction..

These can be aligned to general strategic needs such as growing market share, differentiation and disrupting adjacent markets, serving the consistent changing and demanding customer needs, or by honing the delivery process, by spotting those and then exploiting them rapidly and effectively. All these become alignment conversations.

Creating clear goals and linking / aligning innovation to those, gives a more agile top-level strategy dialogue as a vital step before you get into the actual innovation concept – delivery stage. Senior executives must establish the manner in which innovation fits within the strategic context established by goals, vision and strategies.

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Figuring out a different strategic alignment with innovation being central.

Strategy as we have previously known it is officially dead. Strategy is stuck! Competitive advantages have become transient. We are facing situations where advantages are copied quickly, technology is just one constant change, and our customers seek other alternatives and things move on faster and faster.

In a new book written by Rita Gunther McGrath, a professor at Columbia Business School in New York and one of the world’s leading experts on strategy, she has been exploring the changes rapidly taking place called  “ The End of Competitive Advantage: How to Keep Your Strategy Moving as Fast as Your Business

 “Strategy (in the past) was all about finding a favourable position in a well-defined industry and then exploiting a long-term competitive advantage. Innovation was about creating new businesses and was seen as something separate from the business’s core set of activities.” “Sustainable competitive is not just ineffective, it’s actually counter productive” says Professor McGrath.

She rightly states:“Think about it: the presumption of stability creates all the wrong reflexes. It allows for inertia and power to build up along the lines of an existing business model. It allows people to fall into routines and habits of mind. It creates the conditions for turf wars and organizational rigidity. It inhibits innovation.

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Identification sits at the core of innovation

There are so many aspects to get right in innovation. These can be ensuring the culture, climate and environment for innovation are working well, it could mean setting up processes, well-designed procedures and structures, it can be providing innovation governance. Each part has a vital part to play in being combined for innovation, so it can function but these are not the core. Our identification with innovation is that core.

The core lies in the scope and definitions, the context that innovation is set and the identification with these. How often do organizations fail because they rushed into innovation, along those classic lines of: “let’s experiment and learn as we go” as their mentality.  We fail because we don’t take the necessary time to examine the significant differences in innovation terminology, in the different ways or types of innovation, in gaining from ‘evidence based’ research and experimentation. What we expect to see from our day-to-day work seems not to apply to our innovation selection criteria. We experiment indiscriminately, poking a stick around the opportunity haystack looking for that elusive ‘golden’ needle.

Random selection and discarding practices

Organizations have been randomly selecting, then discarding practices constantly, in a never-ending search of more of other organizations best practices, without understanding what these truly entail, or what this truly requires in commitment. No wonder innovation continues to receive a bad ‘rap’ when you often have the innovation blind, leading the blind. There are so many facets within innovation that need a much deeper, extensive understanding that is so often lacking. We love to collect or synthesise and then quickly dismiss what doesn’t work, dispensing with some valuable utility on the way, as we move onto the next ‘complete’ package. Then the cycle repeats itself, perhaps not immediately but in its quiet eroding way that throws innovation even more into question and doubt.

Lost identities, lost opportunities

We have lost our identification, yet this one word strikes at the core of innovation as the essential to have. Everything we do should have an overly binding context to it. If we don’t place innovation within its appropriate framework we fail to contextualize our activities, the intended fit, which offers the real relationship we need. We need to fit our work to the strategic goals.  If this is simply missing then innovation is likely misfiring, or not hitting the targets because it is scatter-gun in approach and its interpretation.

Innovation cries out for an integrated innovation framework.

Offering an integrated innovation framework is the place where we can gain the necessary identification. It is central to what we should be doing; it establishes the boundaries within which innovation should take place. This is the one essential place for leadership engagement. If innovation is never placed in its context, then how do we expect the results often asked for by the CEO? Innovation is adrift, it is actually unsupported, and we don’t achieve that precious identification.

If we don’t  have provided that innovation framework, we leap into innovation, often in good faith, as asked, so we become often hyper-active as we all find our own ways forward. Eventually we stumble along and finally work out our own language and understanding of what innovation means, different to even the persons sitting at the next desk. Just take a look at all the different definitions of innovation you will find, just in one large organization alone. This lack of a clear context is so harmful we add further unnecessary complexity and over time frustrate the organization and confuse the majority.

People disconnect because they lack what is needed to connect! They continue to work hard, often very hard, but sometimes never truly understanding how their tasks and roles contribute to the strategic direction. We need to make sure each person makes their specific connections to an integrated approach for themselves. To achieve these connections you need a shared understanding, a common framework and a common language, to reduce the mental traps and misunderstandings of what innovation is individually meaning. We need everyone to try to get onto the same page.

Educating formulates the understanding

Educating, informing, clarifying constantly simply helps formulate understanding and aids execution. We need to find ways to communicate a common language, a common way to frame the needs expected from innovation.  That needs to come from the top of organizations and then built up by a growing contribution from all as they become engaged. If you can achieve this, you can move to a growing consensus but this takes time. You can eventually achieve a common identity that begins to move ‘mountains’ through collective achievement, that is both distinctive and unique to your organization. A uniqueness that can never be copied, perhaps just admired or envied.

CEO’s that are seen to be successful achieve connections, what is often called that emotional connection through describing the context, setting the values and vision driven criteria and by often pushing the organization towards ‘impossible goals’. It is amazing how this brings alignment as long as it is consistent, constant in its messages and widely shared and understood. Then the leadership makes it their business to position individuals and the decisions over what, where, when and how in the context of this, to allow them to make their decisions, as individuals and within their teams. Innovation activity becomes ‘orchestrated’ not micro-managed.

The value of the middle makes for the new connectors we need.

Middle managers tasks should be increasingly become more those of connectors and facilitators, not the guardians and gatekeepers for the decision makers.  Their work should include the encouragement that everyone is engaged in innovation work, for each person to constantly go back and check against this integrated innovation framework to work out their place to relate to this and become aligned. The middle manager carries through connection and identification.

Through this new work they achieve this ‘shared understanding’ or set about correcting any areas of concern through their own dialogues with senior managers of where any shifts have taken place or seem in conflict with the understanding. This is identification again, for it lies at the core of innovation. Making sure everyone has a ‘sight-line’ and identification into this innovation framework so they stay well-connected. Communication and relationships becomes the key.

Today we are living in a world of knowledge-intensive innovation

To build distinctive competences for sustaining those often elusive competitive advantages, is very much context specific. We need to provide learning events as competence is actually firmly embedded in the specific context in which it is created. If an organization lacks that context of innovation then how can it acquire the appropriate knowledge to give it any advantage? If the CEO and his leadership team can’t articulate the context, then they can’t expect winning at the innovation game. It is not their people failing to deliver innovation, it is them, as leaders, failing to deliver this integrated innovation framework where context sits and identification is gained to seek out knowledge-specifics needed.

Until the CEO identifies with his core role in innovation, the organization remains rudderless.  If he can’t supply what is expected, then it is more than likely the corporate strategy will be ignored, as it has not been placed in its appropriate context.  It fails because it is not communicate in ways that can be understood, it lacks personal identification.

Without the appropriate identification of the opportunities seen for growth not communicated then how can the right innovation be applied? Innovation stays disconnected to strategy. It is arbitrary based on interpretation and choice designated down the organization hoping it aligns. Context set in a clear framework for innovation changes that. It gives innovation a real chance to contribute.

Boundaries and Freedom

How we harness our innovation activity does not need the advocating of tighter controls, it needs articulating the potential and releasing people by underpinning how that will be managed through innovations organization. Ideally this can come through having a clear governance structure and providing the right environment that is needed, so as to allow others to do the work that needs to get done and see how they contribute in meaningful ways. Management’s dictates or rules should not stand in the way, they should be swept aside.  What should be put in that critical space is a common set of agreed organization definitions, a real clarity made up of what connects and why and then ensuring the resources are made available to achieve the innovation ‘called for’. This calls for a focused yet adaptive and flexible leadership, that constantly looks to engage and provides the clarity necessary within a corporate  innovation framework that can cascade down the organization. Leaders need to actively ensure through clear designation that everything is in place for all the appropriate conversations, and is equally ready and listening to the new ‘pulse’ of innovation, they are generating from this new intensity of focus.

Identification becomes the core to innovation

Eventually with enough of this leadership engagement, constantly being articulated and framed for the challenges identified, there emerges a common consensus and organizational language around innovation and its intent. It connects and gains both organization and personal identification and this ‘identification’ sits at the core of innovation.

We get closer to achieving a consistent, more vibrant innovation as it becomes more routine and embedded, for it becomes increasingly linked to everyone’s goals, a certain oneness and because of this, it is sustaining. We identify as we understand what our contribution will be, then the leadership has done its primary job, its aligned innovation purpose to the goals, by laying out the parameters to achieve this.