1. 1 Realizing Innovation July 18, 2012

2. 2 Agenda: A Common vocabulary about innovation Network Building Capturing Ideas Next Steps Agenda: A Common vocabulary about innovation Network Building Capturing Ideas Next Steps

3. What is Innovation? Apple iPod? Introducing iPad to classroom? AP Purchase Order Processing Improvement? Automated UA testing? Voice Recognition Software? Online College Courses? 3

4. For our discussions…. Innovation - the creation, use, and dissemination of better processes, products, services, or technologies. 'Better' can refer to doing something more effectively or doing something differently. 4

5. Who Participates in Innovation We all have something to contribute to innovation. Involvement in the strategy and ongoing operations of the organization is extremely important for all.

6. Who Participates in Innovation (continued) In order to contribute, we need to know the strategic focus, know how the strategic focus applies to us, and know that our efforts are contributing to the successful attainment of the strategic vision.

7. Incremental or Radical Innovation Incremental Innovation –‘do the same thing, but do it better’ – small changes, huge collective impact Radical Innovation –‘do something differently’ – breakthrough or disruptive 7

8. What is Innovation? - revisited Apple iPod? Incremental, iPlatform – Radical Introducing iPad to classroom? Incremental AP Purchase Order Processing Improvement Incremental Automated UA testing? Incremental Voice Recognition Software? Radical Online College Courses? Incremental or Radical 8

9. Network Building Network – a complex, interconnected group Create Networks for efficiency, learning, and intersection of knowledge sets Improves quality and quantity of ideas Reach outside of your group 9

10. Capturing Ideas Search – what is the idea space? Idea Generation – how do we come up with ideas? Idea Capture – document the idea. Incubation – discuss and debate to further the idea. 10

11. What stifles innovation Environmental factors that stifle innovation Dominance of restrictive vertical relationships Poor lateral communications Limited tools and resources Top-down dictates Formal, restricted vehicles for change Unfocused innovative activity Non-supporting accounting practices Reinforced culture of inferiority 11 Kanter, R. ed. ( 1997) Innovation: Breakthrough thinking at 3M, DuPont, GE, Pfizer, and Rubbermaid, Harper Business, New York

12. Discussion – Next Steps Where are we now? Do we appreciate incremental and breakthrough ideas? How can we form networks and encourage self organizing groups? What are our challenges? What are our un-tapped strengths? 12

13. Thank you 13

14. Ideation Approach Approach% of sample used Use Rank How Effective ( Scale of 1 – 10) Effectiveness Rank Ethnography12.9136.81 Customer visit teams30.646.62 Customer focus groups for problem detection 25.556.43 Lead user methods2466.44 User Design17.4116.05 Customer brainstorming17.4115.96 Peripheral viewing tools33.125.97 Customer advisory board17.6105.88 Community of enthusiast8155.79 Disruptive technologies2285.710 Internal Idea Capture3815.511 Source: Cooper, R and S. Edgett ( 2008) Ideation for Product Innovation: What are the best methods? PDMA Visions, Product Development Management Association, March 12-16

15. Idea Bank 15

16. Agile Innovation Build around positively engaged team members. Give them the environment, tools, training, and support to get the job done. Leverage open discussion and debate, invite others to table. Continuous attention to technical excellence and good design enhances agility. Simplicity - the art of maximizing work not done - is essential. Structure happens. The best suggestions, ideas, designs evolve from self-organizing team. Reflect on how to become more effective and tune behavior at regular intervals. 16

17. The Innovation Space Product or Service innovation – changes the product or service Process innovation – changes the way it is made or delivered Position innovation – changes the context of the offering Paradigm innovation – changes the underlying model 17