Accenture recently published a report on Managing Trust for High Performance. The essence of the report is that trust can be directly related to corporate performance, and that losing trust with customers and other stakeholders is one of the surest ways to destroy value. Trust can also be measured and managed.
As each year goes by it gets tougher to buy Christmas presents as you have to search harder for something original and at the same time desired. There is a strong parallel with Open Innovation (OI). You need to look harder and in new places to find new things. That’s where the concept of Directed Serendipity comes in. It simply means that to get lucky you need to be looking in the right places.
I’m passionate about innovation. I’m passionate about sport, particularly football – sorry, I should say soccer for a predominantly US audience. I also love sporting analogies and the use of sporting aphorisms in business. For example, when somebody says, “step up to the plate”, or “it’s a slam dunk”, the meaning is clear, even in countries where baseball and basketball aren’t played. So why is innovation like soccer?
The recent meeting in Harrogate jointly organised by Intelligent Formulation on “Formulated Product Design: Kick Starting Open Innovation” included a session on “Working with Large Companies”, organised by Dr Kevin McFarthing of Innovation Fixer Ltd. Here, Kevin gives a summary of the key points.
Kevin McFarthing of Innovation Fixer, in collaboration with Steve Sowerby of XPotential, gave a presentation at the ESOMAR Innovation Detonation conference in Barcelona on November 15th 2010, entitled "Creating and Connecting Communities of Innovation". The presentation was very well received, and you can view it here.
Let me first acknowledge the stimulus for this blog post – thank you to Jeffrey Phillips of OVO Innovation and his recent article on Blogging Innovation. Jeffrey correctly pointed out that markets with intense competition are more likely to contain innovative companies. It follows Darwinian logic - not survival of the fittest, but survival of those most able to adapt. The most successful are those who adapt best to the competitive pressure in their ecosystem.
It’s really a rhetorical question - should innovation management be a core competence? Well, of course it should, if you are serious about growing your business. Growth = survival more so now than ever before. If you’re lucky enough to be in an industry or company that can rely purely on market expansion for short-term growth, you’re unusual, and your position will be temporary.
Open Innovation is a challenge, even for those companies who have established competence and experience. Like any challenge, it’s easy to look at what can go wrong, be cautious and not embrace it. It’s the same with Open Innovation, which is why we have put together a series of blogs looking at some common myths of Open Innovation.
We hope reading these myths helps – please contact us if you need any more help.
Myth #1 – It takes longer
If you have managed large project portfolios, or worked as a consultant helping different companies, you’ll recognize the situation. It’s particularly apparent when you start a new leadership role or assignment. Remember the questions you asked early on, ones like “why are we doing this project?” and “why do we have so many projects?”.
The answers will also be familiar. “It’s important for (insert country)” and “marketing want it” or “it’s been going for a long time and it’s probably still important”.