Download - Open Collaborative Innovation Management
OCS Open Collaborative SystemsNew Excellence in the Fuzzy Frontend Innovation Management
April 2012
Dr. Joachim von HeimburgInnovation Architect and Executive Advisor. [email protected]
Telefon: 0049 172 6976534, 00966 5692 13145. www.jvhinnovation.de
Clemens Frowein
HLP entwicklungspartner GbR . Voltastraße 31 . D-60486 Frankfurt . [email protected]
Telefon: 0049(69)43 00 820-00 . Telefax: 0049(69)43 00 820-10 . www.hlp-entwicklungspartner.de
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Background – time for paradigm change in early stage innovation
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Strategic agenda for most cooperation's
� Relevant innovations are essential for the further future business growth and expansion
� Incremental innovations just not enough to stay in game
� Lack of more transformational and disruptive innovations for growth
..and the Top Management experience with front end innovation process
� Attempts in designing more performing early stage process far behind the expectations
� Result: No innovative top sellers in the past years - nor in the pipeline
The root causes to be reflected
� Clear innovation strategy and orientation missing
� Discovery activities limited to invention / R&D
� Weak in the culture of innovation
It’s time for change: leaders have to innovate the innovation
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Fuzzy Front End: Challenge and Benchmarking
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Early stage insights from innovation champions
� Strategy driven early stage management
� Radical change in paradigm:
� Open Innovation: Leading companies are opening up
� Idea Sourcing: New ways / Platforms for generating ideas
� Innovation Eco Systems: Network management becomes competitive advantage
� Collaboration as a core competence
� Managing the fringes becomes key capability (trends, unconventional insights, non-
obvious competitors,….)
� Differentiation between horizons: Breakthrough vs. transformational vs. incremental
� Broader view: From product innovation to business model innovation
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
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Champions in search for collaboration and openess
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Redesign Fuzzy Front End: Trend to Open Collaborative Systems
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
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“Invention comes in many forms and at many scales. The most radical and transformative of inventions are often those that empower others to unleash their creativity – to pursue their dreams. We are creating powerful self-service platforms that allow thousands of people to boldly experiment and accomplish things that would otherwise be impossible or impractical”
Amazon.com CEO & Founder Jeff Bezos.
Excellence in Fuzzy Frontend Innovation
Building the Open Collaborative System (OCS)
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• OCS is a change in paradigm:
� People driven – not process based
� Open: Use the outside potentials and power
� Innovation Eco System: Competitive advantage in the network
� Beyond products: More innovation in design, communication, business models
Mission of the OCS: Identify and
incubate powerful innovative ideas and
concepts (manage the fuzzy front-end)
Two elements:
“Collaborative Ideation Space (CIS)”Vessel for ideation: interdisciplinary
teams are creating ideas
“Open Innovation Ecosystem “Infusion of knowledge, insight and
support to the CIS teams
OCS Open Collaborative System
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Redesign Fuzzy Front End: Logic of the OCS
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Set focus and install CIS
Generate powerful ideas and solutions within a dedicated CIS team
Empower the idea generation by infusing knowledge
Discuss and decide on ideas to move further
Create concept for transfer to the development/innovation process
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Redesign Fuzzy Front End: What boosts innovativeness in OCS?
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CIS = team, room, platform, rules,
tools, space, etc.
Dedicated team for each CIS:
� Strong leader with power and end to
end responsibility
� Experts / champions in relevant
disciplines (formula, design etc.)
� Mix: Internal / external, young /
experienced, locals / hubs etc.
� Team members (max 7-8) with (min.)
25% time,
� No processes - CIS teams will organize on their own
� Setup: Meet often (weekly) / full days; dedicated CIS “war-room”, Greenhouse or Hub
� Knowledge platform for support and collaboration platform
� “Soft” success factors are: great people, diversity, excellent collaboration skills, attitude
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Redesign Fuzzy Front End: Design of the OCS Innovation Ecosystem
The Mission: Empower
CIS teams in their ability
to create and innovate
The Ecosystem provides
“FUEL” for CIS teams Data, information,
knowledge, ideas,
consumer insights,
technology etc.
Managed by a champion
and / or a team
� Every discipline is “OPEN”: Inside AND outside knowledge is available
� Challenge: Build a powerful network to the outside and learn
� Push / Pull interaction with CIS teams
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
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Redesign Fuzzy Front End: High Flexibility with the OCS
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Use Setup Outcome
CIS for Business Units
Initiatives
Every business unit can have one or
more CIS where they generate ideas.
Based on innovation strategy, within
the budget allocated to unit
More incremental approaches,
more focus on innovation of
products and communication
CIS for Cross Unit
(Focus Topic)
Initiatives
Focus Topics are defined as strategic
initiatives for growth. Mostly cross
unit innovations and funded by
central budget
Incremental to
transformational innovations,
focus on new platforms, new
business / customer groups
CIS for Greenhouse
initiatives
Broad and disruptive initiatives to
develop new rudiments for future
growth. An outside “Greenhouse”
or Hub approach can be useful.
Could be funded e.g. with corporate
venture
Transformational to disruptive
innovations; focus on
fundamentally new
opportunities, can also be used
for strategic initiatives
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
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Redesign Fuzzy Front End: Connecting OCS to the implementation process
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Rapid Concept Design
evaluate first concept prepare gate 1
Evaluate Idea:
Business potential
Develop or source
Product challenges
Fit to regions
From Idea to Concept Design:
Design Thinking, value max.
First Product / Pack Design
Communication basics (selling
idea etc.)
Business Model Design (Supply,
Price, Markets etc.)
Evaluate Concept:
Customer Test
Pre Check Region
Prepare Gate 1
max. 3 months - responsible: CIS team
Idea Gate: Global
Innovation Board
decision (go, hold,
kill) – based on
innovation strategy
Deliverables: Idea
Sketch, rough
business scenario,
view idea portfolio
IdeaGate
Gate 1
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Change & Innovation Culture: Towards a New OCS Culture
What should top management do to foster an innovation culture?
� Become open to change -> learning culture which encourages challenging the status quo
� Any change carries risk. Accept it and reward managing risk - not avoiding risk
� Accept failure as part of learning
� Fail early and cheaply - not in a full scale plant. Vital sign: People share their failures
� Keep R&D focused on creating inventions but make innovation everybody’s job
� Do not worry about activities – only results count
To make the point:
� People are creative and many are ready to innovate – organization is often the limitation
� Top Management - and only the Top Management - sets the culture
� It needs to motivate managers / staff to integrate innovation into their daily operations
� All this requires personal, long term commitment, leading by example
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Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
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Average Performance Excellence / High Performance
BUSINESS RESULTS
Business growth driven mainly by
invention (invention turns money into
knowledge → commercial success is
uncertain)
Business growth powered by innovation
(Innovation turns knowledge into money
→ commercial success is more likely)
ENGAGEMENT
Innovation and change driven by a few
(mainly R&D)
Innovation and change driven by many /
all (cross-functional involvement and
excellent collaboration)
PACE OF CHANGE
Moving slowly and minimize risk (never
fail, never learn)
Moving fast and manage risk (fail
cheaply and learn from failures)
INTEGRATION OF IDEATION - EXECUTION
Ideas needs to be sponsored by top to
make it to execution (cross “valley of
death” between idea and project)
Seamless integration of ideation with
execution process (idea funnel feeding
the stage gate process)
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The Benefits of Excellence in Early Stage Innovation with OCS
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
OCS created by..
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Dr. Joachim von HeimburgInnovating to create business value is
the theme of my professional life. I
design and implement innovation
processes and structures and make
them operational driving the business.
As an independent Executive Advisor
and Innovation Architect I help
companies to deliver better business
results by growing the innovation
capabilities of their organizations and
people. I enable higher levels of
innovation by introducing and
operating new innovation processes,
e.g. Open
Innovation, and new organizational structures, e.g. Corporate
Venturing. I build diverse collaborative relationships across
organizational and functional boundaries via networking and
partnering enabling the whole organisation to contribute to
innovation.
Strong technical background (Ph.D. in physics) and commercial
sense (member of European Business Leadership Teams, studies
in economics). Multi-cultural experience through working in 7
countries. Over 30 years of diverse work experience in Brand,
Product and Technology Development.
Clemens FroweinStudium des Wirtschaftingenieur-
wesens und der Betriebswirtschaft an
den Universitäten TH Darmstadt und
JWG Frankfurt / Main. Assistent des
Vorstands bei einem führenden
Systemhaus.
Von 2004 bis 2011 war er
Gesellschafter bei HLP Hirzel Leder &
Partner, seit Oktober 2010 Partner bei
HLP entwicklungspartner GbR.
Clemens Frowein berät mit den Schwerpunkten Unternehmens-
und Geschäftsfeldstrategie, Innovationsmanagement,
Projektmanagement und Organisationsentwicklung. Nach
Branchen liegen die Erfahrungen in der Konsumgüterbranche,
Chemische Industrie, Dienstleistungsbereich, bei IT Diensten und
auch im landwirtschaftlichen Bereich. Er unterstützt
Unternehmen in der Orientierung und der Geschäftsentwicklung
insbesondere mit dem Konzept „Strategie Coaching“, wobei in
besonderer Weise „harte“ Faktoren (Geschäftslogik) kombiniert
mit „weichen“ Faktoren (Dynamik der Organisation) in den Blick
genommen werden. Veröffentlichung zahlreicher Artikeln und
Beiträgen sowie Vorträge zu den Themen Strategie und
Innovation.
Open Collaborative SystemsExcellence in Fuzzy Frontend Innovation
Process Consulting for OCS
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Consulting based on outstanding senior team of experts with a good mix of skills,
knowledge and experience. We believe in process consulting: creating skills, build
capacities, enabling the people and the organization
Therefore we…
1. offer new, state-of-the-art approaches and perspectives
2. propose option of models and concepts for the solution
3. help to tailor strong concepts – we do not believe in pre-fabricated approaches from
consultants
4. connect the competences and ideas in the organization – and we organize involvement
5. facilitate collaboration and cooperation. This ensures energy for successful change
6. coach top management, leaders and teams for orientation and change
We ensure best results / impact by building and supporting a strong internal project team
and powerful governance. Step by step we will involve more people in the process.