orbiting the giant hairball
DESCRIPTION
Innovation is essentially legalized corporate gambling. How do you set the odss so that the house always wins?TRANSCRIPT
Orbiting the Giant Hairball
Joe KleinwaechterDirector, Innovation & DesignFiserv.
A hairball is an entangled pattern of behavior. It's bureaucracy, which doesn't allow much space for original thinking and creativity. It's the corporate tendency to rely on past policies, decisions, and processes as a formula for future success.
Gordon MacKenzieOrbiting the Giant Hairball
Orbiting is operating beyond the bounds of the corporate perception of reality.
Gordon MacKenzie
“If an organization is to choose vigor over an ultimate state of entropy, it must support both the
rational exploitation of success and the irrational art of groping.”
Gordon MacKenzie
hairballorbit
Innovation represented 2/3 of UK private sector productivity growth (2000-2007).
Kelley/GibsonStoking Your Innovation Bonfire
Why
?
2007 2008 2009 201060%
62%
64%
66%
68%
70%
72%
74%
66% 66%
64%
72%
Innovation as a Top 3 PriorityWhy
?
RTECTransformational Growth Through Innovation
72% ofExecutives
Not a Top Concern
Top Concern
RTECTransformational Growth Through Innovation
Why
?
Executives Concerned about Transformational Innovation
75%
25%
600 Headlines Written 18 Published
3% Success Rateeveryweek
Ugh!
This American Life, PBS Tough Room, 8-Feb-2008
30% poorly timed
30% random
40% good
Ugh!
Ideas
Kevin CoyneBrainsteering
16%
24%60%
Scuttled Rescinded
Clayton Christianson The Innovator’s Solution
Innovation ProjectsUgh
!
Ugh!
16190
148
All Products Major Products
36%
Release Failures
The Next Web 17-Oct-2011
93% of successful innovation starts in the wrong direction.
Drew Cannon 30-Aug-2011
Which direction is this bus going, left or right?Ugh
!
Innovation
is essentially legalized gambling.
What is Innovation?
Inspiration
Idea
Invention
Innovation
The4
Eyes Model
Inspire Ideas
Inventions
Innovative
that create
which are
Lexico
n
Ideas
Inventions
Value
are
which have
Lexico
n
Inventions
Innovations
Demand
are
which have
Lexico
n
Lexico
n
Core(70%)
Adjacent(20%)
Transformational(10%)
Managing Your Innovation PortfolioHBR May 2012
48%
33%
19%
2010ActualLe
xico
n
DisruptiveInnovation
ExistingProduct
Perf
orm
ance
Time
Degra
ded
Clayton ChristensenThe Innovator’s Dilemma
Lexico
n
Innovation
is essentially legalized gambling.
where you are the house.
..
What’s Your Call?
You
video clip of Pats/Colts Nov 2009 game removed to reduce file sizeVideo link [ ]
1.The house is going to lose a lot of bets.2.The house is going to win some bets.3.No one knows ahead of time which ones.4.The only way to lose is to not take enough bets
using house odds.
My 4 Laws of Innovation
Law of Large Numbers
Creating House Odds
Focus Early
1 2 3
Creating House Odds
Decide Fast
1 2 3
Creating House Odds
Capture Everythin
g
1 2 3
$ $
Focu
s
Early Ineffective
InnovatorsSustainedInnovators
Vital Few
Ideas
Concepts
Projects
Releases
Steep Slope
74%55%
Focu
s
Early Be Brutal!
Corporate Executive BoardEnhance the Commercial Impact of Innovation Investments
Decid
e
Fast
Self-Check
Biz-Check
Tech-Check
15 min
4 hours
16 hours
Corporate Executive BoardEnhance the Commercial Impact of Innovation Investments
{No Time Limit
Captu
re
Ever
ythi
ng
Captu
re
Ever
ythi
ng
If you are only counting the gains from successful projects, you are leaving half of the value of innovation on the table.
Captu
re
Ever
ythi
ng
40 years is a long time to
remember
Yes, it’s but you are the
Set the house odds by
Don’t let any individual bet affect your approach. When you stick to the system
the house always wins.
.
., and,
,
