Idea management Creative Edge 2011 Matt Chapman – Innovation Strategy Director

Structure Introduction to idea management How companies benefit? The 3 key success factors and 3 most common pitfalls Summary & Q&A

Spigit Spigit is the leading provider of collective idea management software, connecting employees, customers and business partners for innovation and insight discovery. Multiplatform provider - Java, Jive, Facebook & SharePoint Integration with Social Media Platforms – Facebook, LinkedIn & Yammer Over 150 Customers & 4m+ users The Largest & Fastest Growing Idea Management Company in the world - 300%+ YOY Growth Actively used by more F500 companies than any other vendor A Warburg Pincus Backed Company

What is idea management?

Rocket Powered Idea management EMERGENT BEHAVIOR CULTURE FUNDING INCENTIVES PROCESS TECHNOLOGY

Enterprise Idea Management Web 2.0 Brainstorming 24/7 Connects your total innovation capability to create ideas All employees incl. R&D, NPD, IT etc. Partners e.g. supply chain, retailers etc. Customers Future Customers Software benefits Capture, store and search for all ideas in your company Segment Idea Communities – Enterprise, Department, Customers Pipeline management – incl. decision making workflow, action settings, communication feedback etc.

Process Overview Mobilize the wisdom of the crowd to generate innovative ideas for your organization. Engage communities to proactively collaborate, and improve and refine ideas through incentives and competition. Select and transform ideas into products, services and processes by balancing creativity with process discipline. PARTNERS CUSTOMERS SYSTEMS EMPLOYEES

Drive Results SELECT CREATE PLAN MANAGE Top Down Portfolio Management Select and transform ideas into new processes, products and services CREATE PLAN MANAGE Issues and Risk Management 1 2 3 4 5 6 1 Top Down Portfolio Management 1 2 3 4 5 6 Time Management 2 Project Reporting 3 1 Idea Management Resource Management 4 2 Portfolio Reporting Project Scheduling 5 3 Capacity Planning Bottom Up Project Management Team Collaboration 6 Portfolio Prioritization 4 5 Portfolio Optimization 6 Business Case Definition

Why do we need idea management? Complex organizations struggle to gain a regular pipeline of ideas which consistently deliver material benefit across their organizations But why? Common sense tells us we should be able to do this? We should be able to put in a process which addresses the challenge...... ........the problem is, the answers are not as straight forward as you would imagine given the need and wealth of case studies in existence Need to get this on the leadership agenda Create the right funding and support model to create and sustain it Create a strategy including your path to adoption (the Culture bit) Design and deploy the right process Prove that it works here Create that break through innovation Don’t stop there!

Build your Business Case Leadership & Strategy Process & Resources Culture & Engagement Maybe something to do with software Partner with someone who can help

Who has the most valuable ideas? 50/50

Where are the most valuable ideas? 20/80

Add a little imagination

What can it look like?

whatever your imagination allows

How do companies Benefits? Provide a common and centralized workspace where ideas can be captured, shared, evaluated, and rated. Empower everyone both in and outside of the organization to contribute to the innovation process and prevent great ideas from getting lost or overlooked. Align worthy ideas to specific organizational strategies and perform what-if exercises based on funding, risks, resources, and other variables. PROOF POINT ‒ ROI (RETURN ON IDEAS) $89 million in new revenue £21 million in hard savings 7% profit increase in one quarter The nation’s eighth largest retailer and a leading membership warehouse club Leading $17.8 billion U.S. department store retailer

Business & technical benefits Expand the quantity and quality of creative ideas Choose the right ideas in a timely and informed manner Rapidly convert selected ideas into actionable outcomes BUSINESS Simplify deployment, adoption, extensibility, and maintenance Support business need with agility Leverage current IT investments TECHNICAL

What is the right question that drives us? What ideas do I need? - Strategy What ideas am I able to implement? - Process Do I take the red or the blue pill?

Idea Management – Engagement models Lower Value Higher Value Suggestion Box Lots of ideas Initially high engagement Wide focus Broad spread of incremental ideas Continuous Improvement Constant path of ideas Improves particular processes or areas Process focus Segmented improvement ideas Challenge High impact, implementable ideas Strategically aligned to business need Strategic focus High quality, new to world impact ideas

What Challenges do Companies focus on? New to World Incremental Innovation Operation Innovation

3 key success factors Leadership Culture Process

Leadership Top-down meets bottom-up Sponsors/Leaders set the strategy & process No unauthorized conversations Business focused collaborations only Measurable benefits (ROI) Cultural improvements Employees at the coal face of operations solve business challenges with a strong customer centric focus Senior management discover new ideas/solutions they’d not thought of from the edge 80% of the best ideas come from people who are not usually engaged in traditional brainstorming activities

Culture Creates a culture of collaboration Discovers new talent Reduces waste and increases best practise sharing Breaks down silos Allows people to connect across geographies and time/work practise differences Discovers new talent Fast track innovation and leadership talent Reduces resistance to change Employees consulted as part of the program Time to implement ideas far shorter through this method compared to more traditional approaches Employees share far more in a collaborative environment with management than they do when engaged directly

process Business focus tool and process that leverages social technology and collaboration to generate measurable business value An Idea Management Process is a discipline Idea Management supports all phases - not just a suggestion box Collaboration, game dynamics, rewards and communications are built-in Scales to hundreds and thousands in one collaboration Can be accessed 24/7 including mobile devices Easy to run parallel processes & challenges across the business Create value and hub-spoke support model of expertise to run local challenges Decision making workflow and action setting Tools for experts and review teams A convergent – outcome oriented – approach Structured and unstructured data capture Powerful feedback loops Control of communication

3 most common pitfalls Leadership Culture Process

summary Idea Management is becoming a key competency for industry leading companies and emerging competitors Tapping into the wisdom of crowds is leading to significant ROI and the discovery of New to World ideas from people at the edge Build your business case and engage with experts to help guide you

questions

Contact details Matt Chapman - Strategy Innovation Director Email: mchapman@spigit.com Blog: www.mattchapmanblog.com Twitter: chapman_matt Phone +44-7703-670-138