Innovation & organisational transformation through enterprise Professor David Rae Director of Enterprise & Innovation Lincoln Business School

What we mean… Innovation: doing new things, in new ways Applying solutions to defined needs Enterprise: the skills of applying creativity to create & fulfil opportunities Transforming organisations: redefining expectations & experiences of users, providers, regulators & funders

The new era We are in a new economic era: 20 th century economic economy is broken Increasing demand for public services: demographics & economic change Rising user expectations of quality & personalisation Reducing UK public spending & debt will affect jobs, public sector demand, & communities Anticipate 20-30% reductions in public spending Rising costs – energy, stealth taxes, inflation Increasing environmental, ethical & social influences Power of new ideas & technologies to stimulate innovation & regeneration Enterprise & business innovation are vital for economic & social regeneration

Applications of service innovation & design Health & social care Local government & services Young people’s services Community transport All levels of education Professional services & administration Social enterprise & 3 rd sector organisations Potentially, any public service….

Examples…. Social Innovation Lab for Kent (SILK) provides a creative environment for staff to work together on the toughest challenges by drawing upon best practice from business, design and social science Use person-centred approaches to inform strategic policy making Build capacity to work in a person-centred way Connect people and build networks

How to undertake service design – some principles Engage service users collaboratively, Really understand their needs, Follow their journeys Encourage people to act creatively Set clear objectives, define end goals cost factors & constraints Create visual & sensory models of users experiences: Colour, shape, flow, story Use technology sensibly Experiment, pilot, prototype Review & learn from what works Where is value created? Where are costs incurred? Who does the work? Be minimalist: Take away what is not needed Conserve scarce resources Attend to details: Small things matter Use capable designers who understand

Follow the flow: The BUPA service journey DEMOS 2006:20

Understanding user needs How are you segmenting your users? How do you combine data use to create insights? Who is responsible for ‘user intelligence’? Do management of your organisation talk to them? Are you genuinely looking at your services from the vantage point of the user interface? Can you map all the touchpoints of your service? Do you know how people feel about these touchpoints? How do the different channels of online, phone and face to face interact for different kinds of service users? How are you ‘designing in’ deliberation, dialogue and opportunities for co-creation to the touchpoints and channels of delivery? DEMOS 2006:21

The Bureaucratic – Corporate – Entrepreneurial Dilemma Government / Educational Focus wants: Entrepreneurial / Enterprising people are: OrderUntidy FormalityInformal AccountabilityTrusting InformationPersonality observing Clear demarcationOverlapping PlanningIntuitive Corporate strategyTactically strategic Control measuresPersonally led Formal standardsPersonally observed TransparencyAmbiguous Functional ExpertiseHolistic SystemsReliant on ‘feel’ Positional AuthorityOwner managed Formal Performance AppraisalCustomer / network exposed (Gibb 2002) Big organisation cultures can enable or disable creativity & enterprise

Time to reflect…. Is there commitment to change? Or a need to generate commitment? What are the alternatives? Evidence of measurable benefits & cost savings? How best to engage providers & users? Where & who has expertise & experience? How can learning be shared? Is there potential for a shared-use facility: ‘Lincolnshire service design studio’?