1. Partial Client List: Private Sector

2. Partial Client List: Public Sector

3. Running an Office of Innovation™
I became aware that creativity and innovation were being blocked
Blocked because leadership was unaware of the hidden principles that drive innovation
And the main principle is this:

4. Companies Don’t Innovate…
People do!

5. What is Innovation?

6. Definition: Creativity vs. Innovation
Creativity: Generation of new and/or novel ideas
Innovation:
A creative act or solution that results in a quantifiable gain
Examples of Quantifiable gain
University – more students, increase number of publications
SAC - Strategic air command = no nuclear incidents
Local government = increase in # of jobs, increase in Social capital
School systems = increase in the number of students graduating

7. Revolutionary (Breakthrough) Greater Level of Change/Novelty
Innovation Continuum
Credit Suisse
October 2008
Evolutionary
(Incremental)
Expansionary
Revolutionary (Breakthrough)
SEEKS solutions from existing concepts
to do things better
CHALLENGES the problem definition
to do things differently
REDEFINES the problem definition
to break boundaries & create new paradigms
W. Edwards Deming
in Japan, circa 1980
Tom Peters
“stick to your knitting”
Thomas Kuhn
"The Structure of Scientific Revolutions"
Explain each category along the continuum , then <click>
Examples of people of thought that advocate for the different types of innovation
Different people prefer generating different types of ideas
_____________________________________________________
SEE PDF files with biographic info for more details:
W. Edwards Deming—
was an American statistician, professor, author, lecturer, and consultant. Deming is widely credited with improving production in the United States during World War II, although he is perhaps best known for his work in Japan.
Tom Peters –
is an American writer on business management practices, best- known for, In Search of Excellence
Thomas Kuhn –
was an American intellectual who wrote extensively on the history of science and developed several important notions in the philosophy of science, especially about paradigm shifts and how they occur.
Greater Level of Change/Novelty

8. Yin-Yang and Innovation
Revolutionary
Breakthrough
Disruptive
Unpredictable
Step function growth
Speculative
Expansionary
Evolutionary
Incremental
Controlled
Predictable
Step wise growth
Grounded

9. How do people impact innovation?

10. Defining Forces Affecting Innovation*
Credit Suisse
October 2008
DRIVING FORCES
OPPOSING FORCES
Business
Human/Organizational
Technical
Idea Connection Systems hosted many Innovation round tables for fortune 200 companies throughout the years. Executives, corporate leaders, R&D scientists, and community leaders attended these roundtables. We asked the participants what are the driving and opposing forces for making innovation happen…. This is what they always say…
BALANCE POINT
*Source: Innovation Round Table (1998)

11. The Human Spirit Drives Corporate Financial Success
Credit Suisse
October 2008
Creative Idea
Quantifiable Gain
CUSTOMER
CONCEPT
DEVELOPMENT
PRODUCTION
SALES & MARKETING
Note that innovation is not just about TECHNOLOGY. It is also about the BUSINESS and all the Processes, Systems, Structures, etc. that underlie each of them.
TECHNOLOGY
HUMAN
BUSINESS
But whatever field innovation is applied to, it’s the people who make it happen
Apply the DNA model to explain the role of human principles in achieving corporate success.
The human dynamic serves as the genetic code.
This “Invisible life force” is the glue that makes innovation happens – Human Principles
Emphasize that people drive innovation .
Innovation is not just about new products and services. It is about new processes, new systems, new organizations and structures, new strategies, etc.
Innovation is about the “creation of new”.
One last thought:
Are your systems, processes and structures designed for your people to fit into.
Or, are your systems, process and structures designed to serve your people.

12. Technology Business Human Innovation Breakdown
Credit Suisse
October 2008
Human
Business
Technology
When the human links in the organization or system or community start to come apart, innovation breaks down. If you don’t attend to your people, your organization implodes.
This workshop will demonstrate the truth of this concept from many perspectives primarily with eight human principles.
Examples: DBS Singapore (Developmental Bank of Singapore), People Express, Apple (did it right).

13. Human Principles for Sustaining Innovation
Our experience has taught us…
The Innovative Environment
The Essence of Innovation
Leverage differences
Passion is the fuel,
and pain is the
hidden ingredient
Innovation starts when problems are converted into ideas
Innovation needs a system
Co-locate for effective exchange
Trust is the Means,
and love the Unspoken Word
The elements of destruction are present at creation
Soft values drive the organization
Do not read – instead, emphasize the Essence and Environment
Innovation’s Principles are Timeless!

14. SUSTAINED INNOVATION The Innovation House* TRUST IS FOUNDATIONAL
**Adapted from: Rosenfeld, R., Making The Invisible Visible The Human Principles for Sustaining Innovation. Xlibris, 2006.
Results
(Time Critical)
Visible
QUANTIFIABLE GAIN
(Wealth, Social Capital, Environmental)
INNOVATION PROCESSES
(Tame to Wicked)
Methods & Actions
(Time-Dependent)
INVISIBLE RULES OF ENGAGEMENT
(Communications, Decision Making, Learning)
ORGANIZATION ‘DNA’
(Culture, Trust, Risk Tolerance)
Values
(Individual & Organization)
LEVERAGE
DIFFERENCES
CO-LOCATION
PASSION / PAIN
PROBLEMS
TO IDEAS
INNOVATION
SYSTEMS
Basic
Principles
(Timeless)
ELEMENTS OF DESTRUCTION ARE PRESENT AT CREATION
SOFT VALUES DRIVE
THE ORGANIZATION
Invisible
TRUST IS FOUNDATIONAL
*Architectural Rendering

15. CREATING SOCIAL CAPITAL CREATING FINANCIAL CAPITAL
Systemic Integrators of Financial Capital and Social Capital
Reinvestment
Charity, taxes
TRUST
TRUST
PROFITS $
Business Entrepreneurial Cycle
Internal Networks
Social Entrepreneurial Cycle*
Funding Capital
CREATING
SOCIAL CAPITAL
CREATING
FINANCIAL CAPITAL
NETWORKS
Business Relationships
Social Relationships
Trust is the Lubricant
*Connects People for Opportunities

16. Our experience has taught us…
Innovation’s Principles are timeless
People, human dynamics, and politics are not
You cannot cut and paste innovation from one company to another
Innovation must be tailored to your goals, your people and your culture
I have been in innovation for over 40 years and worked with lots of company’s – this is what I have learned.

17. The Logistics of Innovation
© 2009 Idea Connection Systems, Inc. All right reserved.

18. The Logistics of Innovation
What are your GOALS on the innovation continuum?
What is your CULTURE?
Does it fit your goals and people?
If there is a gap, how do you shift?
Who are your PEOPLE?
Do their styles and roles fit your goals?
What are your innovation SYSTEMS?
Do they fit your goals, people and culture?
Thank you for having me here to discuss my favorite subject: innovation.
I’ve been around for a while… For over 40 years in the area of innovation.
Focus = Kodak, Book, My Focus – expertise =

19. People and Innovation Systems
Innovation Systems should tailored to the People who work inside of them

20. Making an Innovation System
Credit Suisse
January 2009
Formal New Business Development Systems
INNOVATION SYSTEM
Bootlegging Entrepreneurial Activities
Releases the creative potential of an organization
Provide a link from creativity to innovation
© 2008 Idea Connection Systems, Inc. All rights reserved.

21. Innovation Systems – Five Systemic Models
Credit Suisse
January 2009
Originator-Assisted, a process that helps employees transform their own ideas into business opportunities.
Targeted Innovation, a process for developing solutions to meet a specific need.
Internal Venturing, a launching process for new businesses that do not fit the company’s current lines of business.
Continuous Improvement, a process for incremental improvements that, in their aggregate, lead to cost savings or increased quality.
Strategic Transfer, a process of transferring technology or knowledge from one point to another for the purpose of leveraging capabilities.
I am going to focus on the top two of these … beginning with targeted innovation and then originator assisted.
Also – Refer to the Five Innovation Systems chart (next slide and in their book) – with all characteristics listed.
© 2008 Idea Connection Systems, Inc. All rights reserved.

22. Planned (Targeted Innovation):
Credit Suisse
January 2009
Planned (Targeted Innovation):
Top down
Part of normal management strategies
Many in response to specific problems or challenges
Generally produces incremental ideas
Unplanned (Originator Assisted):
Bottom up
Tend to be untidy, erratic and unpredictable
Often result from serendipity  when thing was sought and something else was found
Other sources include idle curiosity, chance ideas, and creative inspiration
Generally produces more breakthrough ideas
See Bob’s book for planned and unplanned. Also European Research about 60% breakthrough ideas being bottom up
1986 – reported in Financial Times
Dr Berth’s work, Sr. Fellow of International Management Institute of Geneva. Studied innovation.
Of the top 73 Innovations in Europe
12.5% were top down
75% WERE BOTTOM UP
67% had access to bootleg resources within the company
1992 Sam Stern
Most award winning product ideas come from bottom up and lateral within the corporation
Most typical products come from top down – 60%
Kettering story (Research Chemist at General Motors – bring an innovator with me ….
Conclusion: what type of ideas are you looking for? The answer to the question determines what system we need to put in place. We will address this in more detail during this workshop.
© 2008 Idea Connection Systems, Inc. All rights reserved.

23. Pilot Innovation Systems to meet your Expanding Goals
Product Portfolio Development
Enabling Growth Initiatives
Targeted Innovation
Solutions to meet a specific need
Originator Assisted
Employees transform ideas into business opportunities
Business Sustaining
Translations
Continuous Improvement
Aggregate into cost savings or increased quality
Strategic Transfer
Move technology from one point to another to leverage capabilities
Thank you for having me here to discuss my favorite subject: innovation.
I’ve been around for a while… For over 40 years in the area of innovation.
Focus = Kodak, Book, My Focus – expertise =
Underpinning
Internal Venturing
May not fit organizations current lines of business or enabling

24. Different types of people are attracted to different types of Innovation Systems
How do you determine who is attracted?

25. The ISPI – Maximizing Innovation Results
Credit Suisse
January 2009
Innovation Style Preference Indicator™ TM
Why created. Who’s it for. What we did.
The need for an indicator, not an instrument. Example – plugging in a light vs. using a volt meter to know if a wall socket is working.
We are not psychologists looking to measure something to the 6th decimal place. What we need is an indicator that will tell us what we need to know.
That is our “extreme preferences” which can help us put together more effective teams. If we could all work alone in caves, we wouldn’t need this. But that's not the case.
As leaders, we all need to be fluent in leveraging human differences.
© 2008 Idea Connection Systems, Inc. All rights reserved.

26. The Reasoning Behind the ISPI
Credit Suisse
January 2009
Innovation Style Preference Indicator TM
The most important, and indeed the truly unique, contribution of management in the 20th century was the fifty-fold increase in the productivity of the MANUAL WORKER in manufacturing.
The most important contribution management needs to make in the 21st century is similarly to increase the productivity of KNOWLEDGE WORK and the KNOWLEDGE WORKER.
Synergize – the challenge
Drucker giving the case that we should be leveraging differences to increase the productivity of knowledge workers.
~ Peter Drucker ( ), author and consultant on strategy and policy for top management, businesses and non-profits.
© 2008 Idea Connection Systems, Inc. All rights reserved.

27. What is different? Gender Race Visible Age Photographic Language
Feedback Form TM
Gender
Race
Age
Language
Credentials
Experience
Communication
Values
Culture
Affect Style
Conative Style
Cognitive Style
Visible
Photographic
Resume
Behavioral
Psychological
Invisible

28. AFFECT Cognition: How I think. Affect: How I express my needs.
ISPI™ Focus
Feedback Form
Page 44 TM TM
Cognition: How I think.
Taking in and Processing Information.
Putting Information to work:
making decisions
solving problems.
Affect: How I express my needs.
Through Relationships
Through Networks
Through Control
Conation: How I instinctively behave.
Mental processes or behavior directed toward action or change
COGNITION
CONATION
AFFECT
Innovation Strengths Preference Indicator™
What differences matter?
Culture
Values
Language
Knowledge
Gender
Race
Cognitive Style
Emotions, etc, etc.
They all matter.
The clash of any difference can either support the creation of new or, more often that not, kill it!
© 2008 Idea Connection Systems, Inc. All rights reserved.

29. Problem-Solving Styles - iO™
Innovation Style Preference Indicator TM
Builder
Pioneer P B

30. Personal Process of Illumination
Innovation Strengths Preference Indicator™ TM
Personal Process of Illumination
Builder Insight
Pioneer Insight
PONG!!!
PINGGG!!!!
Association is the connection of thoughts on a single plane to produce new thought = Linear.
Bisociation is the connection of the thoughts or elements from different planes to product novel thought.
Koestler, A. (1964). The Act of Creation. New York: The Macmillan Co.

31. Components of Problem-Solving Style
Feedback Book Pg
Ideation Orientation
Risk Orientation
Process Orientation
Creation of Ideas
Sensitivity to Rules & Group Consensus
Development of Systems & Structures
Builders
Offer a sufficient number of ideas.
Will self-censor irrelevant ideas.
Seek to build and maintain group consensus.
Demonstrate respect and for rules/norms.
De-risk situations.
Create systems that are external to the creator (and visible to others).
Pioneers
Generate large numbers of ideas.
Toy with ideas that may or may not be relevant.
Prefer to rock the boat.
Are irreverent to norms and rules.
Take risks.
Create systems that are internal to the creator (and invisible to others).
© 2008 Idea Connection Systems, Inc. All rights reserved.

32. Leveraging differences in idea generation
Credit Suisse
September 2008
INNOVATION CONTINUUM
Since people have different predispositions to generate ideas at different places along the Idea Continuum … there must also be ALIGNMENT between the TYPE OF IDEAS required, and the interplay between PEOPLE generating the ideas and the TECHNIQUES used.

33. Different idea generation/solution pathways
Revolutionary Solution
PIONEER TEAM
(Pinging)
Solution Uniqueness
Evolutionary Solution
BUILDER TEAM
(Steady Progress)
Ideation / Solution Pathway
What type of solutions are needed?

34. The Innovation Relay Race…
Innovation Style Preference Indicator TM
X, Y, Z = New Product Line X Y Z
Builder
Utilization of Different Problem-Solving Orientations
Pioneer
Past – 20 year cycles, Now 2 -3 months – some say weeks!
Notice that the majority of the time, the Builder is needed, but eventually, continuous improvement or 6-sigma run into a dead end and then you need a Pioneer.
The balance between Builders and Pioneers differs by industry. Technology companies for example may need more Pioneers more often. Automobile manufacturers might be more typical as seen in the diagram above and a mining company might need few Pioneers.
But when you need a Pioneer – you need one!
Time
* “Business and Creativity: Making Ideas Connect” by R.B. Rosenfeld and J. C. Servo. The Futurist, Vol. XVIII, No. 4, Chosen for their Special Section on Creativity.

35. iOM™ – Innovation Orientation Modifiers
Innovation Strengths Preference Indicator TM
How you prefer to work in concert with others and what roles you’re best suited for on teams:
A. Interface Predisposition
Control Orientation
Relationship Orientation
Networking Orientation
B. Mental Model Predisposition
Input Orientation
Flow Orientation
C. Visible Predisposition
Passion Orientation
Output Orientation
Energy Orientation
page13
Friedrich
Wilhelm
Herschel
Astronomer
Leonardo
da Vinci
Renaissance
Man

36. Affective iOM™ – Innovation Orientation Modifiers
Feedback Form Page
14-16
Affective iOM™ – Innovation Orientation Modifiers
How you express your needs when working in concert with others thus what roles you may be best suited for on teams No
Flex
Yes
Control Orientation
what are my control needs?
I initiate
(I Like) Others (to) initiate
Relationship Orientation
(depth) – how open am I to building relationships with others?
Networking Orientation
(breadth) – to what extent do I connect with others and respond when others reach out to me? 36
© 2008 Idea Connection Systems, Inc. All rights reserved.

37. iOM™ – Innovation Orientation Modifiers
Input Orientation
do I want the details first or the big picture?
Concrete
Flex
Visionary
Flow Orientation
do I prefer to focus or to generate options?
Converge
Diverge
Passion Orientation
do I prefer to act immediately on an idea, or be prudent?
Prudent
Depends
Action
Output Orientation
do I prefer to make decisions based on facts or values?
Heart
Head
Energy Orientation
do I prefer to work and interact with others or work by myself ?
Self
People
Feedback Form Page
17-19 37
© 2008 Idea Connection Systems, Inc. All rights reserved.

38. Prudent
Feedback Form
Page 5 TM
ISPITMTotem

39. A “Classic” Creativity Leader
A “Classic” Business Leader
Prudent

40. Innovation Teams: Role Descriptions and Champions
Feedback Form
Page 20-23

41. Two Innovation Systems that can be implemented in pockets
Helpful in a “risk averse” environment

42. Top Down Approach “Tell us where we should go digging for gold…”
Targeted Innovation
Top Down Approach
“Tell us where we should go digging for gold…”

43. Typically creates evolutionary to expansionary results
Targeted Innovation
Typically creates evolutionary to expansionary results
Some revolutionary may also occur
Depending on the goal, generally ideation sessions start with Pioneers
Honing and integration shift to Bridger's and Builders
For success, ideas must be connected back to the organization and navigated into innovations
Thank you for having me here to discuss my favorite subject: innovation.
I’ve been around for a while… For over 40 years in the area of innovation.
Focus = Kodak, Book, My Focus – expertise =

44. Effective Targeted Innovation requires …
Credit Suisse
January 2009
Integration of the right:
1. Problem Identification 1 2 3
2. People
3. Process
© 2008 Idea Connection Systems, Inc. All rights reserved.

45. Targeted Idea Generation in action
Credit Suisse
January 2009
Identify type of ideas needed:
evolutionary / expansionary / revolutionary
Identify participants incl. facilitator(s), content expert(s)
Determine approach to be used
Identify appropriate environment
Conduct the session
Integrate the output into final concepts
Identify key champions
Move concepts forward quickly
Communicate concepts appropriately
Here’s the Innovation Leader’s Role in transforming problems into ideas:
Bullet points 1-5 must be done ahead of the actual ideation session(s) to help insure success.
Bullet points 6-7 may done by different subsets of people. Point 6 focuses more on “diverging” and point 7 more on “converging” which can be done immediately after the ideation session (same night or next morning)
Bullet points 8-10 are the final steps to insure that ideas are transformed into a quantifiable gain
© 2008 Idea Connection Systems, Inc. All rights reserved.

46. Targeted Innovation Clients
Credit Suisse
January 2009
Many organizations, over the years, have adopted an originator assisted system
Let’s look at what makes them up.
© 2008 Idea Connection Systems, Inc. All rights reserved.

47. Originator Assisted System
Bottom Up Approach
“Let’s us tell you where we should go digging”

48. Originator Assisted System
Typically creates revolutionary results/game changers
Attracts Pioneers: 20% of people provide 80% of ideas
Once new is created, big time ROI
Thank you for having me here to discuss my favorite subject: innovation.
I’ve been around for a while… For over 40 years in the area of innovation.
Focus = Kodak, Book, My Focus – expertise =

49. Originator-Assisted Systems: Organizations and Models
Credit Suisse
January 2009
Many organizations, over the years, have adopted an originator assisted system
Let’s look at what makes them up.
© 2008 Idea Connection Systems, Inc. All rights reserved.

50. Innovation is Multi Facetted
Credit Suisse
January 2009
“Raytheon Space and Airborne Systems (SAS) business has adopted Christensen's "The Innovator’s Solution" and Rosenfeld’s “Making the Invisible Visible: The Human Principles for Sustaining Innovation” as the models to address the business and human elements for accelerating innovation.
People without the business perspective won't provide the required focus; the business perspective without the people side will not give you the execution.
Christensen provides the focus and Rosenfeld provides the execution.”
~ Michael D. Vahey, Innovation Champion, Raytheon Space and Airborne Systems Division
If one has the correct business and tech strategy, then the only question everyone is asking is “how do we do this”!
Innovation requires focus and execution
Here are some practices followed at Innovation Centers at Raytheon:
Used to tinker, build prototypes, and do experiments for concept development
Streamlined methods for procurement, fabricate, and test
No charge number required – use as desired
- Two Rules
Be Safe
No deliverable hardware
Fabrication and test facilities
Hand tools, machine shops, and unique fabrication facilities are available for engineers to use
Scopes, meters, optics tables, …
Common materials and stock available for general use
© 2008 Idea Connection Systems, Inc. All rights reserved.

51. Originator Assisted Model
Credit Suisse
January 2009
IDEA GENERATION AND ENHANCEMENT
BUSINESS CONCEPT AND DOCUMENTATION
PEER REVIEW
TEAM
SECURING SUPPORT
© 2008 Idea Connection Systems, Inc. All rights reserved.

52. Office of InnovationTM
Credit Suisse
January 2009
Office of Innovation Principles:
Ideas are fragile (and so are people).
Ideas are organic and need to be nurtured (and so do people).
Only potentially valuable ideas will be brought to management for a decision.
Through consultation with experts the spark of truth will emerge.
Note: this includes all ideas – evolutionary, expansionary and revolutionary
© 2008 Idea Connection Systems, Inc. All rights reserved.

53. Job Functions: Innovation Advocate
The Innovation Advocate must become an “Ambassador for Innovation” for the local area.

54. Job Functions: Innovation Advocate
There are four fundamental functions performed by every Innovation Advocate:
Enhancement
Administration
Communication
Connection
Each of these functions is designed to promote the fundamental goal of a New Ideas Office:
The creation of a climate of trust and challenge for the originator in which their ideas can be nurtured, enhanced and a sponsor found.

55. The Logistics of Innovation
© 2009 Idea Connection Systems, Inc. All right reserved.

56. The Logistics of Innovation
What are your GOALS on the innovation continuum?
What is your CULTURE?
Does it fit your goals and people?
If there is a gap, how do you shift?
Who are your PEOPLE?
Do their styles and roles fit your goals?
What are your innovation SYSTEMS?
Do they fit your goals, people and culture?
Thank you for having me here to discuss my favorite subject: innovation.
I’ve been around for a while… For over 40 years in the area of innovation.
Focus = Kodak, Book, My Focus – expertise =

57. Any Questions?

58. Idea Connection Systems, Inc.
Credit Suisse
October 2008
Making the Invisible Visible
Crossing the Cultural Divide Towards Quantifiable Gain Since 1988
693 East Avenue
Rochester NY USA