Tuesday, June 30, 2009
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Innovate, Ready, Aim!
Lately I’ve read some excellent articles and postings about innovating in tough economic times. Scott Anthony of just released his book Seize the Silver Lining: A Checklist For Innovation that talks about innovation being a competitive necessity, particularly in difficult times. The last ideaflow.com post by Justin Sutton offers examples of how down economies have been fertile grounds for industry-changing/industry-making innovation. And when speaking with clients and colleagues I’ve been on the “now’s-the-time” bandwagon as well.
But recently I’ve seen something that has caused me to stop and think. I’ve witnessed an almost frantic rush – not by all, but some – to do something “new” and “different.” A propensity to throw something, perhaps anything, against the wall and see what sticks. All in hopes of generating much-needed revenue.
I still believe we’re living in almost unprecedented times of opportunity when it comes to innovation – wise innovation, that is.
So with that in mind, I’d like to share a few excerpts from some past work I did with good friend and colleague Renee Hopkins on how companies can better understand upfront the what factors they must consider to make their innovation efforts successful. Essentially, by asking a series of questions, companies can avoid making mistakes and boost the chances of successful innovations.
Question #1: How well does this innovation effort fit our current organization? Although breakthrough innovations often come by *not* fitting an organization, they also require additional resources and/or different ways of thinking – things that the company should be actively recognize and address.
Question #2: Will this provide us with a strategic advantage, and if so, how much of an advantage and for how long? Answering this question will allow the business to consciously consider an idea’s potential return and decide whether it truly wants to move forward.
Question #3: Is there a demand for this innovation? Or said another way “Does this innovation address a need, either recognized or as yet unrecognized?” This question should help the company assess the amount of education and effort associated with launching an innovation.
Question #4: How might we pursue this innovation? Here, the company will need to assess whether it would be best to build, partner, or buy the resources and capabilities needed to execute the innovation.
Question #5: Is there a clear definition of success? The company should spend time identifying how to measure the innovation’s value, and whether it would be appropriate to use its current metrics and measurements, or create new ones.
Question #6: Will there be internal support for the innovation? Here the company should scrutinize whether it is capable of making any changes associated with pursuing an innovation, and whether it is willing to do so. This question should help it identify potential roadblocks, the activities to undertake in order to gain support, and whether the innovation is worth the effort.
Innovation at any time, but particularly now, should be well-thought through and be beneficial in both near and longer term. Hopefully these questions will prove helpful in making innovation a success.
Wednesday, June 17, 2009
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Today's post comes from guest blogger Justin Sutton. Justin is Manager, Insights & Innovation at Decision Analyst, and I’ve had the pleasure of working with him for the last couple of years. Before that he was RadioShack’s Regional Media Planner, and Product Development Manager for Value Added Services.
In these uncertain economic times, it’s difficult to turn on the news without hearing the word “recession” or comparisons to the state of the U.S. economy in the 1930s. Many companies are attempting to weather the storm (with mixed results), but others are taking a different approach. Rather than biding their time and, in some cases, waiting for their eventual demise, some companies are focusing on innovation as a survival technique and to elevate themselves to the top of the competitive heap.
William Pollard of The ServiceMaster Company once said, “Without change there is no innovation, creativity, or incentive for improvement. Those who initiate change will have a better opportunity to manage the change that is inevitable.” These words have special meaning now, but a look back in time shows this philosophy in practice.
American history is littered with examples of companies that have their backs to the wall, facing enumerable obstacles and dire straits, only to battle their way back to the top of their industry through a restored concentration on innovation. DuPont created nylon and neoprene during the Great Depression era, HP was founded during the Depression and went on to develop the first programmable pocket calculator during the stagflation of the 1970s, and more recently Apple conceived the first iPod during the dot-com mudslide.
Each company’s unfaltering dedication to innovation carried them through difficult times, but also positioned them to become industry leaders once the economy turned around. Even though the state of the economy is beyond a company’s control, the successful companies of tomorrow are hard at work claiming their piece of the pie today. This strategy may not be easy, and it may feel counter-intuitive to some, but the long-term dividends are undeniable (if it’s done thoughtfully and carefully).
Recent indications show that the U.S. economy may be near the bottom and potentially poised for a nice, albeit slow, recovery, so the time for innovation is now! Only time will tell who will fully take advantage of the opportunity and become the business leaders of tomorrow.
Onward and upward, innovators!
Justin Sutton
Contributing Editor
Ideaflow.com
Thursday, May 28, 2009
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I just finished participating in this week’s SMchat http://wthashtag.com/Smchat . SMchat is a Twitter chat group dedicated to discussing how social media as a communications platform is driving new methods of collaboration and the evolution of knowledge networks.
The session drew 400+ tweets from 70 different participants. Today’s topics and a few noteworthy tweets included:
1. What do we seek from a #chat that we can't find elsewhere (value prop)?
@ReneeCallahan: The value proposition for me is serendipity - the ability to connect with people I don't already know.
@Dannybrown: Ppl are less "restricted" online and may take more risks with ideas as opposed to what they'd normally do offline
@BrendaEdin: also offers the ability to engage in a very broad base of talent, expertise, industry, perspective. Exceptional give and take
@sourcepov: IMO, chats = accelearted learning opportunities from peers & colleagues. Invaluable!
@Gwen_Ishmael: SM great for co-creation only if the "S" is robust - the "M" alone won't do it.
2. What are drivers of productive online SME (subject matter expert) collaboration, and do rules/needs differ from chat?
@Jeffhurt: Drivers of productive online collab. - needs are same, tools to provide collaboration can be different like online whiteboarding
@marketingveep: Time is a key driver in productive online SM collaboration (Q2). It drives the pace.
@ marketingveep: A productivity moderator is a key driver too. Regardless of platform, humans create scope creep
3. Is Twitter needed for online/real-time chat?
@ajmunn Q# Twitter is 1 of many tools. Depends upon objectives and situation. Not good if it is yr only tool
@innovate: Twitter a quantum leap forward, but there is room for a disruptive innovator to replace it because Twitter has so many shortcomings
@ secretsushi: Considering all thats built "on top" of it. Twitter should be understood as a platform that many things connect to. That can confuse
If you haven’t experienced SMchat, it’s worth your while. Granted, it’s a bit like drinking water from a fire hose – tweets come fast and furious – but there are definitely profound snippets of thought to be found. Currently, SMchat is held from 1-2p EDT on Thursdays.
Thursday, April 23, 2009
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Beth Simon, one of our Innovation Facilitators here at Decision Analyst, is a director of Color Marketing Group www.colormarketing.org, a professional association of 1,000 color designers who determine the direction of color for products across every industry. She just returned from the 2009 Spring International Conference of Color Marketing Group and shares the latest in what’s happening with color:
What’s the Color Story?
This year’s theme was “it’s raining color” and we were fortunate to enjoy our beautiful sunny days. Leaving in a cold rain, the muted landscape reminded me of the various shades of gray projected in a future palette that will be offset by brights. Similarly in Seattle, the cloudy sky outside Pike Place Market is the backdrop for the tulips, daffodils, and chili peppers which are for sale in lively bunches. Consensus is that grays as neutrals seem newer than beige and brown.
Colors today have to be versatile and have longevity. In these days of limited resources, color can add value, define a line and provide a competitive edge. Included in the forecast colors are hybrids that could live in multiple color families. Is it yellow or orange? Brown or purple? Green or yellow? These colors are versatile because they can swing in more than one direction to complement other hues.
Future Design workshops explored several categories and participants were of mixed industries. As an example, one topic the Generations workshops tackled was Communication Technology: Resource vs. Lifestyle. Baby Boomers choose to use it as a resource but it is a lifestyle for younger generations.
- Key words: connected, flexible, instant gratification, on demand, control, Facebook, user expectations, user experience.
- Research surprises are that technology allows the younger generation to guide and encourage older generations. Life experience is exchanged for techno experience. The Millenials see technology as a lifestyle, not just a resource. An example of this crossover is Boomers increasingly embracing Facebook.
- Product design in 1-3 years: products and services need some sort of generational flexibility/sensitivity, so all can understand how to best use the product.
- Counter movements: less money means less technological advances, thus all generations can catch up. The speed of change is slowed down.
Dynamic speakers included David Shah, publisher and future strategy consultant from Amsterdam, Karin Henderson, Principal and Executive Creative Director of MK Advertising, and Allen Haveson of Showtime Networks, Inc. who discussed the use of Color by Showtime.
Some of my key takeaways:
- Make things witty.
- 68 % of people who use the Internet are women
- Virtue in Value
- It’s not what you like (designer) but what will sell
- Being safe will not get you where you want to go anymore
- Stand out, take a chance. (people are craving to be individuals)
- Have less – reevaluate what you like
- Is there anything good about bad times?
- Standing in line for a Wii is not like standing in line for bread in 1939.
- Bare necessity, simplicity
- Can do – Make do – Just do it!
- Have to have some sizzle!
Friday, April 10, 2009
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It was my privilege to speak about the use of community in open innovation at this week’s 3rd Annual Open Innovation conference held in Las Vegas. Unlike other events I’ve attended, the delegates spoke candidly about how they had achieved their successes and where they’re trying to improve.
The good news is that OI practitioners seem to be making progress when it comes to overcoming internal resistance to looking outside for ideas and capabilities. Companies such as P&G, General Mills, and Kodak continue to forge productive partnerships with other firms and universities, thus setting examples and establishing models for others to follow.
There are still obstacles to overcome, key of which is finding meaningful and relevant measures of OI ROI. Embarq shared its approach based on Monte Carlo simulation in which the viability of an idea is assessed using potential sell scenarios and associated cash flows. And Kodak presented a six-question evaluative framework it uses to jointly define success with its partners.
But what I observed is that the companies present at this conference appear to have moved beyond the issues associated with the early stages of OI. They weren’t debating whether open innovation was a worthwhile effort, or the kinds of partners they should pursue. Instead, they were concerned with establishing relationships that would result in long-term, mutually beneficial collaboration. Jeff Bellairs, G-Win Director for General Mills, stated, “Open Innovation is not about being external. It’s about being connected.” Jason Husk, Group Manager Technology Brokerage for Clorox, presented a symbiotic relationship between technology, consumers, and business results as a model for connection. And Chris Thoen announced P&G’s launch of Connect + Develop 2.0 OI model through which the company will focus on collaborating with partners for mutual value creation.
In 2004 I saw Hank Chesbrough present his OI model at an international conference in Lisbon, and I remember the puzzled looks and blank stares of the audience. It’s gratifying to see how much progress has taken place in just a few years.
Thursday, April 02, 2009
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I'll be speaking at next week's 3rd Annual Open Innovation Conference in Las Vegas. Here's the overview of the topic I'll be presenting:
“The original goal of [Open Innovation: Researching a New Paradigm] was to provide an up-to-date and complete orientation to the academic study of open innovation ...when I went to write my keynote …on open innovation, I realized that we’d left out communities.” Joel West, 2008. If one of the most recognized authorities on open innovation overlooked communities, what are the chances open innovation practitioners also might overlook them? And why? Decision Analyst, a global marketing consulting and research firm, presents a compelling view of community as a viable open innovation source, as well as six steps for improving a community’s ability to contribute to successful innovation.
A huge thanks to Dr. Sonali Shah at the University of Washington for allowing me to use her as a sounding board and for her excellent research into the topic of community.
Other speakers include Chris Thoen, P&G’s Director of Innovation & Knowledge Management; Jeff Bellairs G-WIN Director, Worldwide Innovation Network at General Mills; Ginger Sorvari Best Buy’s Director, Winning with Women; and Brian Johnston, Director, Kodak External Alliances.
Monday, April 14, 2008
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One of my colleagues, Beth Simon, is a member of Color Marketing Group (www.colormarketing.org), a professional association of 1,000 color designers who determine the direction of color for the next one to three years across every industry imaginable – from cars to casinos to coffee packaging, this is the group who decides what colors are in and out.
Beth just attended the 2008 Spring International Conference in Montreal, Canada, and I asked her to share some of the more innovative things she saw happening with color. Not surprisingly, the Olympics are expected to influence color palettes. You can expect to see many of the colors from the athletes' uniforms reflected in packaging and products, with emphasis on reds and oranges inspired by countries such as India, China, and countries in South America.
With all the talk about sustainability and eco-systems, colors from nature and global influences will be very strong. Look for a major color shift in blue that leans toward green, which represents the influence of water and nature. White will be an important neutral, especially with bright colors. Interestingly, the bright colors are inspired not only by nature, but also by the Internet, video games, i-Phones, etc.
Several designers, Beth included, collaborated on a palette dubbed “Joie de Vivre” (The Joy of Life) a collection of bright colors designed to help offset the gloom and doom of economic recession and global warming. According to Beth, “No matter how bad things may get, we need hope and promise… and a splash of color does that.” In hard times, consumers tend to go “safe” when it comes to purchasing big ticket items, like buying a beige couch rather than a more colorful one. Joie de Vivre introduces a bit of “visual hope” by allowing consumers to accessorize with less expensive, colorful items, such as pillows, candles, and detailing on hard goods. The palette’s bright colors are influenced by the Internet and florals: sunny yellow, turquoise, lime green, Kelly green, purple, red, royal blue.
Wednesday, April 02, 2008
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I know we’ve just emerged from the haze of the holidays, but this fun bit of innovation information is worth sharing.
Each year, the American Floral Industry Association conducts a nationwide search for the best-decorated Christmas tree. Decorated trees from across the US country sent to Dallas to be judged on their creative use of product and trends, originality, and ease of re-creation.
Beth Simon, one of my colleagues here at Decision Analyst, has served as a judge for the past two years. She and her fellow judges will present the top three winners of this year’s competition with their awards this evening.
Here’s a look at some of the more interesting winners from the last couple of competitions:
Lights N' Such submitted a tree with lights on the inside, and leather and fringe on the outside.
Morris County Farms inverted a tree and decorated it with seaweed, shells, blown glass sea creatures. Why an inverted tree? More room for presents underneath!
By pairing Styrofoam with interior lights, Kebbie Hollingsworth Floral Designs created the illusion of snow and ice.
Ambiance Today used yarn, foil, mohair, unusual colors, and whimsical shape to symbolize the child-like joy of the season.
Mention "Blue Bell Ice Cream" to anyone who has lived in Texas, and a look of sheer ecstasy will cross their face! Blue Bell Creameries submitted a tree covered with ornaments made from ice cream containers and lids.
So, how much of this will we see in stores next season? Money says my kids are going to lobby for the inverted tree!
Monday, January 07, 2008
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Voice of the customer/consumer… I think I was first exposed to the term in the early ‘90s when TQM was the bandwagon of choice. Businesses large and small were worshipping at the altar of the consumer, the customer was king, and no one made a decision without first consulting a customer advisory panel. (I recall attending a planning session once where a sales colleague showed up in her old high school cheerleading outfit – complete with a megaphone labeled “VOC” hanging around her neck – and firmly announced, “I am the voice of the customer, and you should listen to me!”)
Companies launched countless strategies and initiatives designed to develop new products, improve quality, and enhance customer service – all based on what they believed customers and consumers were telling them. And most of those efforts failed or were discontinued because they fell far short of expectations. Over time, VOC went the way of most bandwagons, and people would roll their eyes at the very mention of the term. Not because the concept was invalid, but because it had been so poorly applied.
Well, VOC is back again, and possibly stronger than ever. And what I see is reminiscent of the past: organizations exerting great efforts to conduct focus groups and quantitative research to elicit input and guidance from its customers and consumers, and then not quite understanding how to use it once they have it.
Personally, I’ve found it useful to stop thinking about VOC and start thinking about MOC – Mind of the Customer/Consumer. It’s not enough for me to hear and see the words that customers use; I need to understand the myriad of drivers that underlie those words – emotions, rationale, motivators, fears, etc.
Here are some simple things I’ve found helpful to me in terms of trying to understand MOC and tapping into it as a source of innovation. I’d be interested in hearing what others are doing as well:
- Listening with more than the ear. What customers/consumers say is important, yet equally important are the things they offer that are not words – images, sounds, gestures, objects all have stories to tell, and they play a key role in better understanding MOC. If this sounds like Qualitative Research 101, it is! But it’s something that is seldom practiced successfully because it takes time and effort.
- Blur the lines. I’m finding there are times it’s helpful to use idea generation techniques when I’m conducting customer/consumer research, and vice versa. Introducing tools such as SCAMPER or mind mapping into a discussion can help consumers be more introspective and expressive. Also, I’ve begun to kick off innovation projects with traditional qualitative research as a way of identifying what I call “Innovation Springboards” – themes or areas of opportunity around which to ideate. It’s a great way of creating the parameters in which to do idea generation.
- Use of word association. Memetic analysis is my new favorite tool! It helps unveil how customers/consumers feel about brands, companies, products, etc. through the use of word associations and the analysis of the relationships between those associations. I’ll share more about memetic analysis in a later posting.
- Look at what they’re doing. I’ve taken what Clayton Christensen advocates to heart – it’s much more informative to examine what customers/consumers are trying to accomplish rather than simply listen to what they’re saying. Actions speak louder than words when it comes to understanding MOC.
- Pause and wonder, “Why?” Again, this seems simple, but when I continue to peel back the layers there’s almost always a discovery that can serve as a platform for great innovation and strategy.
So what do you think? Is MOC different from VOC? And how do you go about knowing what customers/consumers are saying?
Finally, on a different note… thank you very much to Renee Hopkins Callahan who very generously has transferred IdeaFlow to my care. I had the good fortune and honor of working with Renee for more than five years, and she truly is an amazing individual and a great friend.
Gwen Smith Ishmael
SVP Insights & Innovation
Decision Analyst, Inc.
Wednesday, August 01, 2007
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It's been very quiet on this blog for a long time, because I'm transitioning into a new job and a new blog.
I've said sad farewells to my colleagues at Decision Analyst, and joined Sentient Services, a start-up knowledge studio in Austin, Texas. That has meant getting used to doing things differently and doing different kinds of work. It's been fun!
A couple of last-minute notes for long-time IdeaFlow readers: I've updated the blogroll on the IdeaFlow home page, which now has a very robust list of the best innovation and creativity blogs around. When I started IdeaFlow in 2002, there were not many blogs on these subjects. Now there are dozens, some focused on very niche areas of the subject. All those on the blogroll are thought-provoking and worth checking out.
Gwen Ishmael, Decision Analyst's Senior Vice President, Insights and Innovation, will be blogging here at IdeaFlow as she has time. You can find me posting on marketing, innovation, and virtual worlds at Awareness Is Everything, a brand-new blog.
Thanks for sticking with IdeaFlow, especially those who've been reading this blog since 2002. Good-bye!
By Renee Hopkins Callahan