Get Innovative!Some insights from Australian organizations trying to leverage IT fororganizations trying to leverage IT for innovation

Professor Dr Jan ReckerWoolworths Chair of Retail Innovation

Information Systems School Queensland University of TechnologyInformation Systems School, Queensland University of Technology

The Innovation P f i lProfessional

–Thinks in constraints, not problems–Shows Foresight, not hindsightg , g

–Evidence‐based, not confidence‐based–Conscious, not unconscious competence, p

Problem driven InnovationProblem‐driven Innovation

• We innovate, because we have to…

• High level of maturity in terms of f iawareness for internal problems

• Rich set of problem analysis t h i d t t itechniques and response strategies

• Can free up time and secure efficiency gainsefficiency gains

• Predictable, incremental outcomes

Constraint based innovationConstraint‐based innovation

Ralph Norris, ex‐CEO Commonwealth Bank of Australia*11 August 2011

*102 years old, 22 billion dollars revenue, 7 billion 

“The future competition stems from the likes of Facebook.”

dollars profit in 2012

Constraint based innovationConstraint‐based innovation

<3 years from Ralph<3 years from Ralph Norris’ prediction to 

Facebook’s announcement.

Did you realise how Commbank turns more and more into a 

technology company?

And how Commbank is perceived to be anperceived to be an innovative bank?

Constraint based innovationConstraint‐based innovation

Ralph Norris, ex‐CEO Commonwealth Bank of Australia*11 August 2011

*102 years old, 22 billion dollars revenue, 7 billion dollars profit in 2012

Constraint based innovationConstraint‐based innovation

Ralph Norris, ex‐CEO Commonwealth Bank of Australia*11 August 2011

*102 years old, 22 billion dollars revenue, 7 billion dollars profit in 2012

Texting is not the distraction…g

Texting is not the distraction…Driving is.g g

Example – E‐Vehicles

What is the biggestggconstraintf l i hi l ?of electric vehicles?

http://files.shareholder.com/downloads/ABEA‐4CW8X0/2895786596x0x720221/5647bed2‐1c27‐4b40‐abd3‐

dd11f8bc474e/Investor%20Presentation%20‐%20Jan%202014.pdf

ForesightForesightInnovatorsInnovators “Skate to where the puck will be“Skate to where the puck will be,

not to where it is.”

Foresight Innovation pre‐empts Future Constraintsempts Future Constraints

What will be a

strategic riskstrategic risk in five years?

How do we secure a revenue stream in the world of the NBN?stream in the world of the NBN?

How do we secure a revenue stream in the world of the NBN?stream in the world of the NBN?

Valve Steam: moreValve Steam: more than 75 million users and exponentially 

growing!g g

De facto standard platform for gamers 

to buy shareto buy, share, consume, collaborate 

in gaming

iTunes, Youtube and Facebook for serious 

computer games

How do we sell car insurance in a world of driverless cars?a world of driverless cars?

Thinking about this now makes sense 

because it will bebecause it will be reality in only a few 

years.

Evidence basedEvidence‐basedInnovatorsInnovators “The collected wisdom of baseball“The collected wisdom of baseball insiders is subjective and flawed.“

“If the decision is going to be made by f t  th   ’  f t  [ ]   facts, then everyone’s facts […] are equal.If th  d i i  i   i  t  b   d    If the decision is going to be made on the basis of people’s opinions, then 

mine count for a lot more.“

James BarksdaleJames Barksdaleformer CEO Netscape

Evidence based InnovationEvidence‐based Innovation

Evidence based InnovationEvidence‐based Innovation

UPS saved millions of minutes by avoiding left turns in the 

Northern Hemisphere.

Drivers get warnings if they are backing up too much –most accidents happen when 

drivers reverse.

The result: 20 million miles less 

traveled.10 million gallons of gas 

saved.Reduced CO2 emissions by 100,000 metric tons (5,300 , ( ,passenger cars off the road 

for an entire year).

ConsciousConsciousInnovatorsInnovators 

“Learn from the best not from the“Learn from the best, not from the worst”

Negative Deviants

P i i D iPositive Deviants

Four Stages of LearningFour Stages of Learning

Unconscious UnconsciousIncompetence Competence

Conscious ConsciousConsciousIncompetence

ConsciousCompetence

Final Advice…Innovation doesn’t need to cost a dimeInnovation doesn’t need to cost a dime.

https://www.youtube.com/watch?v=o‐Fpsw_yYPg

Prof. Jan Recker, PhD

Woolworths Chair of Retail InnovationInformation Systems SchoolInformation Systems SchoolScience and Engineering FacultyQueensland University of Technology

email j.recker@qut.edu.auemail j.recker@qut.edu.auweb www.janrecker.comtwitter janrecker