Pushing Boundaries with Strategic Innovations
17
1 Copyright © 2014 The Inovo Group LLC Pushing Boundaries Pursuing strategic white space opportunities
-
Upload
the-inovo-group -
Category
Business
-
view
366 -
download
1
Transcript of Pushing Boundaries with Strategic Innovations
1Copyright © 2014 The Inovo Group LLC
Pushing Boundaries
Pursuing strategic white space opportunities
The New Strategic Imperative
2Copyright © 2014 The Inovo Group LLC
The ChallengesMaintain excellence in existing business
Prepare for possible disruption
Change the company culture
Create new businesses in new areas
Sustaining – Meat Industry
Strategic – Medical Industry
In a Harvard Business Review article, Maletz and Nohria describe white space as an area within a company where the existing corporate culture does not apply.
Mark Johnson in Seizing the Whitespacemakes the case for white space within the business unit, white space between business units, and white space beyond existing customers and products.
Adam Hartung in Create Marketplace Disruption: How to Stay Ahead of the Competition said “Companies use the white space to evolve new formulae for business success free from the existing Defend and Extend culture.”
Chris Trimble and Vijay Govindarajanin Beyond the Idea: How to Execute Innovation in Any Organization describe a Model-C for running an innovation initiative outside the company’s existing “performance engine”.
White Space Definitions
3Copyright © 2014 The Inovo Group LLC
2001 2010
2008 2013
What is a Whitespace?
4Copyright © 2014 The Inovo Group LLC
“A white space is something that fits our
core mission but doesn't fit our core business.”
The Tether Metaphor
Core
StrategicWhite Space
How far can you ‘fly’?
You NEED to Pursue Whitespace Opportunities
5Copyright © 2014 The Inovo Group LLC
Doctor-centric -> Patient-centric
Healthcare Transportation
Metal & Plastic -> Electronic & Aware
Manufacturing
Manual & Mass -> Connected & Custom
Retail
Physical & Static -> Mobile & Interactive
The Boundary Zone – Pushing the Boundary
6Copyright © 2014 The Inovo Group LLC
Disruptive
Incremental
Operational Transformational
Newness to the World
Newness to the Company
Speculative
Strategic
Sustaining
The new whitespace
It’s Just not Us
7Copyright © 2014 The Inovo Group LLC
The two most anti-innovative words that can be uttered – ‘prove it’
Roger Martin
Data, information, facts and analysis are not the answer
Intangible and unarticulated ‘feelings’ will make or break a strategic opportunity
Building a White Space Capability
8Copyright © 2014 The Inovo Group LLC
Ambidextrous Behavior
Learning & Partnering
Scaled Rounds
Experimental Mindset
Protected Teams & Projects
IncubationSpace & Time
CultureStructure
The Culture Side
9Copyright © 2014 The Inovo Group LLC
Leadership
People & Team Competency
The Structure Side
10Copyright © 2014 The Inovo Group LLC
Organization
Funding Process
A Cautionary Story
• Result– Terminated project
• What Happened– Identified opportunity
– Technical challenges, large R&D investment
– Business Unit killed project –couldn’t ‘make it work’
• Patterns– Time & $ incompatibility
between core R&D & BU
11Copyright © 2014 The Inovo Group LLC
Diesel Particulate Filters
Organization
• Success Factors
– Independent, protected group
– Transactional authority
– Effective networking & influence
• Failure Modes
– ‘Siloing’ of group
– Coping with ‘pushback’
–Wrong mix of skills
12Copyright © 2014 The Inovo Group LLC
“Be an extremely good communicator. Be objective and clear about where the project is and where it is going. Know how to network and remember, things will get political.”
Operational
Transformational
Funding
• Success Factors
– Protected & scaled funding
– A start-up period
– Balanced technical & commercial funding
• Failure Modes
– A priori commitment
– Scale too soon or late
– NPV evaluation
13Copyright © 2014 The Inovo Group LLC
“Think about committing resources as if you are a small business.”
Process
• Success Factors– The ‘right’ number of
projects
–Move fast, know when to stop
– Incubation ‘Space’
• Failure Modes– Lack of transparency
–No decision criteria
– Incompatible timescales
14Copyright © 2014 The Inovo Group LLC
“There is a mechanism in place to transfer the project to a business but you can't transfer excitement about something or the experience of being involved from the beginning.”
Pushing Your Strategic Boundary
15Copyright © 2014 The Inovo Group LLC
Organization
Funding Process
Leadership
People & Teams
Competencies
Systems Support a Strategic Innovation Culture
16Copyright © 2014 The Inovo Group LLC
Find the People
Create a System
Those who should and could pursue strategic white space opportunities
Support them with a system that creates a culture of strategic innovation
Connect with Us
17Copyright © 2014 The Inovo Group LLC
Larry SchmittThe Inovo Group, LLC213 South Ashley St., Suite 300Ann Arbor, MI 48104 USA
P: +1 (734) 604-3887E: [email protected]
Call us at 1-888-464-6686
E-mail us at [email protected]
Visit us at www.theinovogroup.com
Join the Innovate Innovation Now group on LinkedIn and contribute to the conversation
Follow us on Twitter
Follow our Company on LinkedIn
Read our blog and comment on what we have to say
