Upgrade to Pro — share decks privately, control downloads, hide ads and more …

Organizational Dynamics of Innovation

Organizational Dynamics of Innovation

C. Todd Lombardo

April 21, 2016
Tweet

More Decks by C. Todd Lombardo

Other Decks in Business

Transcript

  1. Organizational Dynamics of Innovation C. Todd Lombardo Chief Design Strategist

    - Fresh Tilled Soil Adjunct Professor - IE Business School @iamctodd
  2. For Sale: Socks. Three. Different colors.

  3. A $5M Idea?

  4. A $25M Idea??

  5. None
  6. Why not Zara? H&M?

  7. Every major corporation in the 21st century is dealing with

    issues of disruption. Steve Blank, 8-TIME ENTREPRENEUR, AUTHOR, STARTUP GURU
  8. different measure of performance time performance time new market disruption

    compete against nonconsumption low end disruption adressing overserved customers with a low cost business model sustaining technology bringing a better product into an established market most demanding customers least demanding customers
  9. disruptive innovations low-end disruptions new-market disruptions SSD Hard Drives JetBlue

    / EasyJet Zipcar AirBnB
  10. Case Studies

  11. None
  12. None
  13. None
  14. None
  15. Formula…?

  16. Formula…? ◦ Raise some venture backing: $16M >> $41M

  17. Formula…? ◦ Raise some venture backing: $16M >> $41M ◦

    Hire the best engineers you can find
  18. Formula…? ◦ Raise some venture backing: $16M >> $41M ◦

    Hire the best engineers you can find ◦ Give them space (a 22,000 ft2)
  19. Formula…? ◦ Raise some venture backing: $16M >> $41M ◦

    Hire the best engineers you can find ◦ Give them space (a 22,000 ft2) ◦ Pray they make something valuable
  20. None
  21. None
  22. None
  23. None
  24. None
  25. None
  26. H4 H3 Innovation Emerging Scaling Operating Problem/Solution Product/Market Efficiency (core)

    H2 H1 Scale
  27. H4 H3 H2 H1 Product Development Innovation Services Startup Accelerator

    DESIGN SPRINTS, WORKSHOPS, EVENTS FIVE EXTERNAL STARTUPS
  28. CORE TODAY NEW FUTURE

  29. CORE TODAY NEW FUTURE

  30. Organizational Factors WHAT’S IT LIKE AT YOU COMPANY?

  31. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030 Source: XPLANE
  32. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030 Source: XPLANE Peak of II Industrial Revolution
  33. Slavery Average manufacturing had less than 4 employees Average lifespan

    of S&P500 is 67 years Pay by performance Capital budgeting Task design Divisionalization Brand management Women couldn’t vote Management 1.0 90% of people were in agriculture Ford makes 500K cars/yr Social segregation Colonialism No environmental care Communism No Google No Airbnb 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005 2015 2020 2025 2030 US Steel has $1B market capitalization Source: XPLANE Peak of II Industrial Revolution
  34. Slavery Average manufacturing had less than 4 employees US Steel

    has $1B market capitalization Pay by performance Capital budgeting Task design Divisionalization Brand management Women couldn’t vote Management 1.0 90% of people were in agriculture Ford makes 500K cars/yr Social segregation Colonialism No environmental care Communism No Google No Airbnb Peak of II Industrial Revolution 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005 2015 2020 2025 2030 Source: XPLANE
  35. Slavery Average manufacturing had less than 4 employees US Steel

    has $1B market capitalization Pay by performance Capital budgeting Task design Divisionalization Brand management Women couldn’t vote Management 1.0 90% of people were in agriculture Ford makes 500K cars/yr Social segregation Colonialism No environmental care Communism No Google No Airbnb Peak of II Industrial Revolution 2ND Innovation Consultants 3RD Venture Design Human-Centered Co-Creation Ethnography Customer Journey 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005 2015 2020 2025 2030 Rise of Design for Innovation Source: XPLANE 1ST Digital change agents
  36. Slavery Average manufacturing had less than 4 employees US Steel

    has $1B market capitalization Pay by performance Capital budgeting Task design Divisionalization Brand management Women couldn’t vote Management 1.0 90% of people were in agriculture Ford makes 500K cars/yr Social segregation Colonialism No environmental care Communism No Google No Airbnb Peak of II Industrial Revolution 2ND Innovation Consultants 3RD Venture Design Human-Centered Co-Creation Ethnography Customer Journey 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005 2015 2020 2025 2030 Rise of Design for Innovation Source: XPLANE 1ST Digital change agents
  37. Slavery Average manufacturing had less than 4 employees US Steel

    has $1B market capitalization Pay by performance Capital budgeting Task design Divisionalization Brand management Women couldn’t vote Management 1.0 90% of people were in agriculture Ford makes 500K cars/yr Social segregation Colonialism No environmental care Communism No Google No Airbnb Peak of II Industrial Revolution 2ND Innovation Consultants 3RD Venture Design Human-Centered Co-Creation Ethnography Customer Journey 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005 2015 2020 2025 2030 Rise of Design for Innovation Source: XPLANE Average lifespan of S&P500 is 67 years Average lifespan of S&P500 is 15 years 1ST Digital change agents
  38. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030
  39. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030 Traditional Organizations from the 20th Century
  40. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030 Traditional Organizations from the 20th Century Organizations with a more conscious approach
  41. 1850 1890 1900 1915 1940 1960 1970 1985 1995 2005

    2015 2020 2025 2030 Traditional Organizations from the 20th Century Organizations with a more conscious approach Modern Organizations from the 21st Century
  42. Traditional Organizations More Conscious Organizations Modern Organizations THREE ORG TYPES

    Source: XPLANE
  43. Traditional ORG - The “Pyramid” Source: XPLANE

  44. Rigid Organizations ◦ No formal innovation framework ◦ Innovation initiatives

    untied to company strategy ◦ Siloed ◦ Misaligned metrics
  45. Conscious ORG - The “Family” Source: XPLANE

  46. Modern ORG - The “Organism” Source: XPLANE

  47. An Evolution? Pyramid Family Organism Source: XPLANE

  48. 20TH TO 21ST CENTURY ORG MODELS Change Source: XPLANE

  49. 20TH TO 21ST CENTURY ORG MODELS Change Source: XPLANE

  50. CORE TODAY NEW FUTURE

  51. Allocation of Resources MONEY WHERE YOUR MOUTH IS?

  52. Twenty percent of our new products are now required to

    be driven by innovation. CHIEF STRATEGY OFFICER, FORTUNE 500 COMPANY
  53. Twenty percent of our new products are now required to

    be driven by innovation. CHIEF STRATEGY OFFICER, FORTUNE 500 COMPANY Do you set aside 20% of your company’s time & resources??
  54. Twenty percent of our new products are now required to

    be driven by innovation. CHIEF STRATEGY OFFICER, FORTUNE 500 COMPANY Do you set aside 20% of your company’s time & resources?? ME
  55. Source: Innovation Leader Total exceeds 100% as many respondents cited

    more than one reason.
  56. Source: Innovation Leader Total exceeds 100% as many respondents cited

    more than one reason.
  57. Valuing Design DO YOU, REALLY?

  58. Design leads to innovation and innovation demands design. Indra Nooyi

    CEO, PEPSICO
  59. Source: UK Design Council

  60. Creative Tension BRUTALLY HONEST

  61. None
  62. What tools are you using? 21ST CENTURY TOOLS FOR 21ST

    CENTURY PROBLEMS
  63. Source: STRATEGYZER

  64. Product Roadmapping VISION OBJECTIVES PRIORITIZE ROADMAP USER 
 GOALS SOLUTIONS

    THEMES
  65. Programmatic Factors INNOVATION PROGRAMS? WHAT CAN WE DO?

  66. None
  67. None
  68. None
  69. Top-down sponsorship and bottom-up effort is essential to make meaningful

    culture transformation progress. Dane Howard DIRECTOR OF USER EXPERIENCE, EBAY
  70. } } } DESIGN SPRINT INTERVALS AGILE SCRUM Define Understand

    Build Test Ideate WEEK 1 Refine Build Test WEEK 2 Refine Build Test WEEK 3 Refine Build Test WEEK 4 Refine Build Test WEEK n
  71. Individual Factors HOW DO YOU THINK?

  72. You have 3 sheets of paper Build the Tallest Tower

    In 3 minutes Challenge
  73. 00:03:00

  74. 00:02:30

  75. 00:02:00

  76. 00:01:30

  77. 00:01:00

  78. 00:00:30

  79. 00:00:00

  80. Designtist (DESIGNER + SCIENTIST)

  81. DESIGNER SCIENTIST EMPATHIC MAKER FORWARD LOOKING RIGOROUS EXPERIMENTAL HYPOTHESIS DRIVEN

  82. Focus on a Human Problem

  83. Focus on the “job” NOT THE TECH, NOR THE PRODUCT

  84. People Business Technology

  85. SCIENTIFIC METHOD DESIGN PROCESS AGILE PHILOSOPHY design sprint

  86. http://designsprintbook.com

  87. None
  88. OPPORTUNITY IDENTIFICATION PROJECT ACCEPTANCE V0.1 V0.2 V0.3 LAUNCH

  89. OPPORTUNITY IDENTIFICATION PROJECT ACCEPTANCE INVENTOR V0.1 V0.2 V0.3 LAUNCH TECHNICAL

    CREATIVITY
  90. OPPORTUNITY IDENTIFICATION PROJECT ACCEPTANCE INVENTOR CHAMPION V0.1 V0.2 V0.3 LAUNCH

    TECHNICAL CREATIVITY POLITICAL SAVVY
  91. OPPORTUNITY IDENTIFICATION PROJECT ACCEPTANCE INVENTOR CHAMPION IMPLEMENTER V0.1 V0.2 V0.3

    LAUNCH TECHNICAL CREATIVITY POLITICAL SAVVY PROJECT MANAGEMENT
  92. OPPORTUNITY IDENTIFICATION PROJECT ACCEPTANCE INVENTOR CHAMPION IMPLEMENTER V0.1 V0.2 V0.3

    LAUNCH TECHNICAL CREATIVITY POLITICAL SAVVY PROJECT MANAGEMENT SERIAL INNOVATOR
  93. None
  94. MAKE PEOPLE WANT THINGS

  95. MAKE THINGS PEOPLE WANT MAKE PEOPLE WANT THINGS

  96. None
  97. Tension Brutal Honesty. Mixed Viewpoints.

  98. Tension Brutal Honesty. Mixed Viewpoints. Agility Quickly change. Learn fast.

  99. Tension Brutal Honesty. Mixed Viewpoints. Agility Quickly change. Learn fast.

    Space Experiment. Fail. Collaborate.
  100. Tension Brutal Honesty. Mixed Viewpoints. Agility Quickly change. Learn fast.

    Space Experiment. Fail. Collaborate. Mindset Designer + Scientist. FOCUS ON PEOPLE PROBLEMS
  101. None
  102. None
  103. C. Todd Lombardo @iamctodd freshtilledsoil.com http://bit.ly/mce2016