Category Archives: Innovation

Time for Innovation

Why keeping an eye on the clock matters in the world of bright ideas

Image: Dall-E via Bing

GUEST POST from John Bessant

On 29th September 1707 a fleet of 21 ships under the command of Admiral Cloudesley Shovell was returning from Gibraltar where it had been supporting action during the long-running war with the French. Crossing the Bay of Biscay the weather grew worse and they were struggling to make their home port of Plymouth in the south-west of England. At around 6pm they believed they were in safe waters but in fact were heading on to the rocks near St Agnes’s Bay in the Scilly Islands — fifty miles west of where they thought they were. Four ships were lost in the disaster including HMS Association, the flagship of the fleet which carried Sir Cloudesley and over 1400 other sailors to their deaths. It was one of the worst naval disasters to befall the British Navy.

And an avoidable one. The problem — which urgent follow-up enquiries highlighted — was familiar. The ships were lost because the experienced seamen steering them didn’t know where they were. Navigating the rocky coastline with hidden shelves and shallows depended on accurate awareness of position — but the methods available at the time weren’t up to it. Depth soundings could help but the key missing ingredient was an accurate measurement of longitude. For which they needed a reliable timepiece on board; despite an array of clocks and pocket watches the technology wasn’t good enough to maintain an accurate sense of the time relative to the Greenwich clock on which all naval longitude is based. Time slipped away — and with it any clear sense of where they were.

Cue one of many early innovation contests — attempts at crowdsourcing a good solution to the problem as fast as possible. The British government offered a huge prize of £20,000 in 1714 equivalent in today’s money to around £3m) to anyone who could construct a clock that would enable sailors to calculate their longitude at sea with an accuracy of within half a degree. It was famously won by John Harrison, a carpenter by trade who spent over twenty years working on the problem, producing four models of chronometer each improving on the previous one. His H4 model finally achieved the accuracy and reliability required and he duly won the prize. More important he — and the many others working on the problem — changed the face of seaborne navigation forever.

Image: Dall-E via Bing

We’re used to thinking about the Industrial Revolution in terms of Britain as the ‘workshop of the world’, driven by a steady stream of manufacturing technology innovations coming from men like Arkwright, Wedgwood, Boulton and Watt. But we should add the clockmakers to that list; without them the workshop of the world would not have been able to get its wares reliably to anywhere but the closest markets. Their innovation heralded the first wave of globalisation in world trade and we’re still building on that legacy.

Nor was their effort confined to seaborne navigation in its impact; with reliable clocks it became possible to standardise time itself. Prior to 1880 different cities in the UK kept different versions of time, each geared to a local standard timepiece. But the introduction of standardised time, all linked to Greenwich Mean time allowed for important shifts like the expansion of railways with trains running on a clear and predictable timetable.

Time is in many ways a key part of the enabling infrastructure, a foundation on which so much innovation can be built. Like today’s internet it enables things to happen which would not have been possible before — and in similar fashion the early days spent innovating towards a reliable infrastructure represent an important but often neglected innovation history.

So time deserves credit as a macro-level innovation enabler — but it also has an impressive history at the micro-level in terms of its innovation impact. In 1909 Frederick Taylor published his book on ‘The principles of Scientific Management’ which became, (in the view of the 2001 members of the Academy of Management) the most influential book on management ever. His principles laid the foundations for the ways in which factories and later many service businesses were constructed and operated and paved the way for Henry Ford’s mass production model. At heart the approach involved applying rigorous engineering principles to the flow and execution of activities throughout a process and they still underpin much of the industrial engineering curriculum today.

Its impact was huge — for example in Ford’s Highland Park factory where he began experimenting towards the model using Taylor’s ideas, the productivity gains were stunning. In the first assembly line, installed in 1913 for flywheel production for the Model T, the assembly time fell from 20 man minutes to 5. By 1914 three lines were being used in the chassis department to reduce assembly time from around 12 hours to less than 2.

Model A Ford 1928 Wikimedia Commons

Key contributors to enabling this to happen were an American couple, Frank and Lilian Gilbreth. They worked on what became known as ‘time and motion study’, analysing and breaking down work processes into individual motions, and then eliminating unnecessary motions to improve efficiency. (They also followed in the above illustrious tradition of creating reliable timepieces, in their case developing the micro-chronometer, a clock that could record time to the 1/2000th of a second).

The image of stop watches and clipboards goes back to their influence — and while (like Taylor) their work often receives a negative press (think Charlie Chaplin in the film ‘Modern Times’ in which he is literally caught up in the machine and under enormous time pressure), the reality is that the Gilbreth’s enabled major improvements not just in productivity but in working conditions and employee satisfaction.

They were early but key figures in what later became ‘lean thinking’ — essentially reducing unnecessary waste, especially in movement. Ergonomics owes a lot to their measurement approach which charmingly gave us a unit of measurement — the ‘therblig’ (Gilbreth spelled backwards) which they applied to analyse a set of 18 elemental motions involved in performing a task in the workplace. These elements include movements such as reach, move, grasp, release, load, use, assemble, and disassemble, as well as unnecessary ones like hold, rest, position, search, select, plan, unavoidable delay, avoidable delay, and inspect.

Paying attention to detail, especially around the time taken to carry out a task, and then redesigning it to reduce wasteful effort, movement, queuing, temporary storage, etc. lies at the heart of another revolutionary process innovation — lean thinking. Pioneered in Japanese factories during the post-war years lean is essentially a focus on waste elimination through the application of core principles and key tools. Amongst the ‘seven deadly wastes’ which lean focuses on is time — and not surprisingly the toolkit which emerges from that places a premium on reducing unnecessary expenditure of that precious commodity.

For example one of the early challenges to the emerging car industry was set-up time. With giant machines capable of pressing a piece of steel into the required shape the ability to make different models depends on how quickly those presses can be set-up for a new job. In the early days this typically took up to a day to reset; now (using the widely-applied techniques originally pioneered by Shigeo Shingo and captured in his excitingly titled book ‘Single minute exchange of die — the SMED system’) that time is routinely counted in single minutes.

The implications of this reach far beyond the car factory. Anywhere where rapid changeover of a key resource is needed can benefit from the approach — and has done. Formula 1 pitstop teams can ‘reset’ an entire car with new tyres, fuel and many other changes within seconds. Hospital operating theatres can maximise the productive (and life-saving) time for operations by applying the principles to changeovers. And the revolution in short-haul flying which we have seen in recent decades owes a great deal to the simple performance metric of turnaround time — how fast can a plane land, empty , be cleaned, refuelled and refilled with passengers and take off again? Southwest Airlines have held the crown for years with turnaround times typically around 15 minutes.

Saving time is at one end of an innovation spectrum — it’s worth looking at because wasted time adds no value and saving it enhances productivity. But there’s another end of this spectrum, one which William McKnight discovered in his work at 3M in their early years. It’s all about spending time.

Innovation is about ideas and sometimes coming up with the good ones , the ones which may offer a whole new angle on a problem, needs time for the innovation to incubate. He observed that by giving people a sense of having a little extra time in which they could play around paid off for the company. His 15% policy did just that, giving people the sense that they have time to think and explore without needing to show productivity — the opposite of the tightly-controlled time of the Gilbreths.

(In reality this didn’t cost much in the way of lost productivity since McKnight observed that 15% of a working day, is taken up with coffee and tea breaks, lunch and other time. Plus people don’t religiously take their 15% and then stop thinking about their innovation; most give much more of their own thinking time for free!)

Breakthroughs (of which 3M has many to be proud of) come more frequently if people have time to think — which is why the approach has been successfully adopted by many other organizations. Google, for example, links many major innovations like Gmail to allowing their engineers to spend 20% of their time on their own projects.

There’s another reason why time pressure shouldn’t always be too strong in the innovation area. By its nature innovation is uncertain — which means that we need to experiment and things will go wrong which need time to explore and fix. But sometimes the project level pressure is too strong — prestige, racing the competition, the need to meet performance targets — there are plenty of culprits turning the temporal screws. Think about the fateful Challenger space shuttle explosion back in 1986 which eventually was blamed on a faulty O-ring seal. But importantly — as the Rogers commission of enquiry commented later — it wasn’t the component which was the problem but the system which put so much pressure on the engineers to push past it and press ahead.

That’s sadly not a new tale; the novelist Nevil Shute spent much of his early life working in the aircraft industry and had first hand experience of the race to design an airship. In response to the German dominance with their Zeppelin designs in the 1920s the British government pushed for a challenger and backed two projects, the R-100 which was built on a shoestring by Shute’s company and the other the R-101 which was built with government resources. The latter had all the advantages of unlimited resources and budget but that came with enormous political pressure to get the job done — and fast.

Image: National Archives UK

Sadly on a test flight in 1930 the R101 ploughed into a French hillside killing all on board. Once again the enquiry found that the engineers had been pushed to cut corners and ignore safety concerns; Shute and his fellow engineers had enormous sympathy for the difficult situation in which their R101 colleagues had found themselves. As he describes in his book ‘Slide Rule’

‘The R101 team was working under impossible conditions; they had to design and build an airship that was larger and more complex than anything ever attempted before. They had to meet unrealistic deadlines and specifications imposed by the government. They had to cope with constant changes and revisions to their plans. They had to deal with political interference and public scrutiny…… they were doomed to fail’.

It would be good to think we’ve finally learned this lesson — but the 2022 well-researched Netflix documentary ‘Downfall’ which charts the disastrous history of the Boeing 737-Max points once again at the same kind of time pressure as being responsible for pushing too far too fast.

There are many more places where we can see time playing a role as a key innovation enabler or shaper. For example the challenge to board-level patience in the face of the long slow haul towards bringing innovation impact at scale. Evidence shows it takes a long time to move from pilot success to widespread impact. As Ray Croc (the architect behind the scaling of McDonalds) pointed out, ‘I was an overnight success all right, but 30 years is a long, long night’.

So providing support and commitment over the long-haul is going to be as important as having an innovation team with a clear vision and strategy to undertake the expedition. Not for nothing does the term ‘patient money’ first appear in the findings of the famous Project Sappho study back in the 1970s which looked at factors affecting success and failure in innovation.

Or the challenge of innovation timing — we hear a lot about ‘first mover advantage’ and it would be easy to think that speed is always the key factor. But being too early is often as risky as being too late; pushing untried innovations into the market too soon can sometimes mean being cut by the bleeding edge of technology. And sometimes the innovation is so far advanced it has to wait for the wider infrastructure or for the social or political climate to catch up. Shai Agassi’s vision for making the world a better place through his electromobility solutions is a good example. The collapse what had been one of the world’s biggest start-ups came ten years before the underlying idea (of battery swap technology for electric vehicles) found widespread acceptance in niche markets like city taxi networks in China.

Time is a precious commodity which, used wisely, is a key part of the innovation story. So when you glance at your watch or the little clock running in the corner of your computer screen spare a thought for the innovators, thousands of them over the centuries, who solved the problem of measuring it reliably and accurately.

Additional Image Credit: Wikimedia Commons

You can find a podcast version of this here and a video version here

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Top 10 Human-Centered Change & Innovation Articles of June 2023

Top 10 Human-Centered Change & Innovation Articles of June 2023Drum roll please…

At the beginning of each month, we will profile the ten articles from the previous month that generated the most traffic to Human-Centered Change & Innovation. Did your favorite make the cut?

But enough delay, here are June’s ten most popular innovation posts:

  1. Generation AI Replacing Generation Z — by Braden Kelley
  2. Mission Critical Doesn’t Mean What You Think it Does — by Geoffrey A. Moore
  3. “I don’t know,” is a clue you’re doing it right — by Mike Shipulski
  4. 5 Tips for Leaders Navigating Uncertainty – From Executives at P&G, CVS, Hannaford, and Intel — by Robyn Bolton
  5. Reverse Innovation — by Mike Shipulski
  6. Change Management Best Practices for Maximum Adoption — by Art Inteligencia
  7. Making Employees Happy at Work — by David Burkus
  8. 4 Things Leaders Must Know About Artificial Intelligence and Automation — by Greg Satell
  9. Be Human – People Will Notice — by Mike Shipulski
  10. How to Fail Your Way to Success — by Robyn Bolton

BONUS – Here are five more strong articles published in May that continue to resonate with people:

If you’re not familiar with Human-Centered Change & Innovation, we publish 4-7 new articles every week built around innovation and transformation insights from our roster of contributing authors and ad hoc submissions from community members. Get the articles right in your Facebook, Twitter or Linkedin feeds too!

Have something to contribute?

Human-Centered Change & Innovation is open to contributions from any and all innovation and transformation professionals out there (practitioners, professors, researchers, consultants, authors, etc.) who have valuable human-centered change and innovation insights to share with everyone for the greater good. If you’d like to contribute, please contact me.

P.S. Here are our Top 40 Innovation Bloggers lists from the last three years:

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Want to Innovate like Google?

Be Careful What You Wish For

Want to Innovate like Google?

GUEST POST from Robyn Bolton

A few weeks ago, a Google researcher leaked an internal document asserting that Google (and open AI) will lose the AI “arms race” to Open Source AI.

I’ll be honest: I didn’t understand much of the tech speak – LLM, LLaMA, RLHF, and LoRA are just letters to me. But I understood why the memo’s writer believed that Google was about to lose out on a promising new technology to a non-traditional competitor.

They’re the same reasons EVERY large established company loses to startups.

Congratulations, big, established industry incumbents, you’re finally innovating like Google!

(Please note the heavy dose of sarcasm intended).

Innovation at Google Today

The document’s author lists several reasons why “the gap is closing astonishingly quickly” in terms of Google’s edge in AI, including:

  1. “Retraining models from scratch is the hard path” – the tendency to want to re-use (re-train) old models because of all the time and effort spent building them, rather than start from scratch using newer and more flexible tools
  2. “Large models aren’t more capable in the long run if we can iterate faster on small models” – the tendency to want to test on a grand scale, believing the results are more reliable than small tests and drive rapid improvements.
  3. “Directly competing with open source is a losing proposition” – most people aren’t willing to pay for perfect when “good enough” is free.
  4. “We need them more than they need us” – When talent leaves, they take knowledge and experience with them. Sometimes the competitors you don’t see coming.
  5. “Individuals are not constrained by licenses to the same degree as corporations” – Different customers operate by different rules, and you need to adjust and reflect that.
  6. “Being your own customer means you understand the use case” – There’s a huge difference between designing a solution because it’s your job and designing it because you are in pain and need a solution.

What it sounds like at other companies

Even the statements above are a bit tech industry-centric, so let me translate them into industry-agnostic phrases, all of which have been said in actual client engagements.

  1. Just use what we have. We already paid to make it.
  2. Lots of little experiments will take too long, and the dataset is too small to be trusted. Just test everything all at once in a test market, like Canada or Belgium.
  3. We make the best . If customers aren’t willing to pay for it because they don’t understand how good it is, they’re idiots.
  4. It’s a three-person startup. Why are we wasting time talking about them?
  5. Aren’t we supposed to move fast and test cheaply? Just throw it in Google Translate, and we’ll be done.
  6. Urban Millennials are entitled and want a reward. They’ll love this! (60-year-old Midwesterner)

How You (and Google) can get back to the Innovative Old Days

The remedy isn’t rocket (or computer) science. You’ve probably heard (and even advocated for) some of the practices that help you avoid the above mistakes:

  1. Call out the “sunk cost fallacy,” clarify priorities, and be transparent about trade-offs. Even if minimizing costs is the highest priority, is it worth it at the expense of good or even accurate data?
  2. Define what you need to learn before you decide how to learn it. Apply the scientific method to the business by stating your hypothesis and determining multiple ways to prove or disprove it. Once that’s done, ask decision-makers what they need to see to agree with the test’s result (the burden of proof you need to meet).
  3. Talk. To. Your. Customers. Don’t run a survey. Don’t hire a research firm. Stand up from your desk, walk out of your office, go to your customers, and ask them open-ended questions (Why, how, when, what). 
  4. Constantly scan the horizon and seek out the small players. Sure, most of them won’t be anything to worry about, but some will be on to something. Pay attention to them.
  5. See #3
  6. See #3

Big companies don’t struggle with innovation because the leaders aren’t innovative (Google’s founders are still at the helm), the employees aren’t smart (Google’s engineers are amongst the smartest in the world), or the industry is stagnating (the Tech industry has been accused of a lot, but never that).

Big companies struggle to innovate because operating requires incredible time, money, and energy. Adding innovation, something utterly different, to the mix feels impossible. But employees and execs know it’s essential. So they try to make innovation easier by using the tools, processes, and practices they already have. 

It makes sense. 

Until you wake up and realize you’re Google.

Image credit: Unsplash

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Don’t Be Strangled by Success

Don't Be Strangled by Success

GUEST POST from Mike Shipulski

Success demands people do what they did last time.

Success blocks fun.

Success walls off all things new.

Success has a half-life that is shortened by doubling down.

Success eats novelty for breakfast.

Success wants to scale, even when it’s time to obsolete itself.

Success doesn’t get caught from behind, it gets disrupted from the bottom.

Success fuels the Innovator’s Dilemma.

Success has a short attention span.

Success scuttles things that could reinvent the industry.

Success frustrates those who know it’s impermanent.

Success breeds standard work.

Success creates fear around making mistakes.

Success loves a best practice, even after it has matured into bad practice.

Success doesn’t like people with new ideas.

Success strangles.

Success breeds success, right up until the wheels fall off.

Success is the antidote to success.

Image credit: Pixabay

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A People-First Perspective on Corporate Innovation

A People-First Perspective on Corporate Innovation

GUEST POST from Stefan Lindegaard

As we ponder on corporate innovation, our minds often dart to the latest technologies, inventive solutions, or groundbreaking business models. While these components have their place, my 25-year journey, dotted with experiences from hundreds of innovation teams, has shown me a deeper truth: people form the core of corporate innovation. It is the individuals in an organization, their mental frameworks, and their team dynamics that truly drive innovation.

People-First Innovation: More Than Just Ideas and Tech

Innovation goes beyond simply developing new ideas or adopting the latest technologies. It’s about weaving the ethos of innovation into the fabric of our organizations. This means aligning innovation with our deeply-held values, principles, and strategic ambitions. It calls for a consistent commitment to continuous evolution, growth, and improvement.

A people-first approach stands at the heart of this innovation-friendly environment. This entails fostering a culture where creativity is celebrated, risk-taking is seen as courage, and learning from one’s actions is the norm. It requires an environment that champions psychological safety, a space where everyone feels comfortable voicing their ideas, taking calculated risks, and learning from their experiences, whether successful or not. In this environment, innovation is demystified and becomes a natural part of our day-to-day operations.

Leadership: Shaping a People-First Culture

Leaders play a pivotal role in molding a people-first culture. They have the responsibility to set the tone for an environment that cultivates innovation. This involves promoting open and respectful dialogue, appreciating the value of diverse viewpoints, and fostering collaborative and effective teamwork.

The challenge for leaders lies in harmonizing their attention between immediate operational tasks and the nurturing of this culture. It is common for leaders to become absorbed in the pressing tasks of today, inadvertently sidelining the equally important task of shaping tomorrow’s culture. To genuinely embrace a people-first approach, leaders need to prioritize building a supportive, innovation-friendly environment.

People: The Heart of Innovation

People are the driving force behind innovation. They generate the ideas, share them, evaluate them, and refine them into tangible, impactful outcomes. You can have the most brilliant minds in your organization, but without the conducive team dynamics to harness that intelligence, the innovation potential remains dormant.

The Innovation Ecosystem: A Collaborative Endeavor

Corporate innovation isn’t an isolated phenomenon confined within the walls of a company. It reaches out to external stakeholders – customers, partners, and even competitors. Innovation in today’s world is a collaborative endeavor, often taking place within intricate networks or ecosystems.

These ecosystems act as fertile grounds for the cross-pollination of diverse perspectives, varied knowledge bases, and a broad range of skills. This melting pot leads to more comprehensive and holistic solutions to complex problems. The interactions and collaborations within this ecosystem are the engines of innovation, highlighting the paramount importance of people and their relationships.

The Way Forward: Customizing Your Innovation Journey

Every organization is distinct, each with its unique set of values, principles, and strategic goals. Therefore, an approach to corporate innovation should be individually tailored to resonate with these unique characteristics.

In my experience, a people-first approach really works. It can be tough because it’s different from what most companies have been doing for years. But by putting people at the center and creating a supportive environment, companies can reach their full potential for innovation. Yes, it takes effort, but the results are worth it.

Remember, this is just one perspective in the vast and dynamic field of corporate innovation. It would be great to hear your thoughts on this people-first approach and your take on other key elements for successful corporate innovation.

The images in my original LinkedIn post give you a further idea of my perspectives on corporate innovation. Get in touch if you want to discuss ideas or learn together!

Image Credit: Pexels

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An Executive’s Guide for Market Adaptability and Goal-Based Alignment

Shifting Sands

An Executive's Guide for Market Adaptability and Goal-Based Alignment

GUEST POST from Teresa Spangler

A rolling stone gathers no moss, but a business executive, unlike the stone, can’t just roll along. We’ve got to navigate the shifting sands of business markets while juggling not just two but a myriad of short-term and long-term goals. So, how do we get from being a ‘dazed and confused’ executive to a ‘smooth operator’? Buckle up; let’s embark on this wild ride together.

Welcome to the Quicksand!

Business markets these days change faster than a chameleon on a rainbow. Technology advances, consumer trends, competition – you name it. It’s like trying to build a sandcastle on quicksand. But with a strategic approach, even quicksand can become solid ground. Here’s how:

1. Turn into Business Chameleons

Agility is the still the new cool. Embrace it. An agile organization is like a well-oiled transformer, ready to change form and function with market trends. Bill Gates is known for being a long time agile leader. “Success today requires the agility and drive to rethink, reinvigorate, react, and reinvent.”  In the face of regenerative AI and so many technological advances this quote has never been truer!  Transforming your organization into business chameleon leaders could have significant benefits. You’re rarely left behind and always ready to grab new opportunities.

How to:

  • Promote a culture of flexibility: Encourage the “Yes, we can!” spirit.
  • Make innovation your best friend: Regular brainstorming sessions, innovation labs, or ‘Shark Tank’ style pitches can be fantastic.
  • Flex your strategies: Don’t stick to one path like a GPS with a weak signal. Adapt, change, and grow.

2. Balancing Act with Objectives

Picture this: You’re walking a tightrope, balancing a feather in one hand (short-term goal) and a bowling ball (long-term goal) in the other. Sounds tough? This scenario may be! So let’s come down to steadier grounds. Balancing short and long-term goals is an art and a science.

·      Strategic Planning and Prioritization

o  Planning is at the core of balancing short and long-term goals. It involves setting clear, measurable goals and creating a roadmap.

o  Begin with your long-term goals (3-5 years), and then break them down into shorter-term goals (1 year, quarterly, monthly). This way, you create a clear path towards your long-term vision.

o  Prioritize your goals based on their impact on your long-term objectives. This ensures you’re always working towards your big picture goals, even while tackling immediate tasks.

·      Flexible Resource Allocation

o  A flexible resource allocation strategy is key to balancing short and long-term goals.

o  Allocate resources (time, money, staff) to both short-term projects and long-term initiatives.

o  However, remain flexible and ready to reallocate resources as needed. For instance, you may temporarily divert more resources if a short-term opportunity arises that could greatly benefit the business.

·      Regular Progress Reviews

o  Regularly reviewing progress towards your goals is crucial.

o  Set specific milestones for both short-term and long-term goals. This will allow you to track progress and make necessary adjustments.

o  If you find you’re consistently missing short-term goals due to focusing too much on the long-term (or vice versa), it’s a sign that you need to reassess your balance and possibly adjust your strategy.

Balancing short-term and long-term goals is an ongoing process. It requires strategic planning, flexible resource allocation, and regular progress reviews. By employing these strategies, you can ensure your business stays focused on the present while keeping an eye on the future.

 Benefits:

  • Ensures survival today (short-term) and success tomorrow (long-term).
  • Enhances value for stakeholders.
  • Builds resilience in the organization.

Arm Yourself with Tools and Techniques

Like a Swiss army knife, these tools can get you out of any sticky situation:

  • Scenario Planning: Picture yourself as a fortune teller. Create different future scenarios based on market trends. Plan your strategies accordingly.
  • Key Performance Indicators (KPIs): These are your compasses in the business wilderness. They help you stay on track with both short and long-term goals.
  • Regular Strategy Reviews: Like annual medical check-ups, regular strategy reviews ensure your business is in good health and shape.
  • Stakeholder Engagement: This is not just a buzzword. Engage employees, customers, shareholders, etc. They provide valuable insights and help align business objectives.

3. Embracing Technological Disruption

In the business world, technology is the game-changer, the grand maestro orchestrating a symphony of innovation. For executives, it’s not just about staying up-to-date with the latest tech; it’s about anticipating the next ‘big thing’ and leveraging it to get an edge.

How to:

  • Build an innovation-focused IT team: Encourage them to explore emerging tech trends that can revolutionize your business.
  • Invest in training: Ensure your team has the skills to handle new technology.

Benefits:

  • Improved operational efficiency.
  • Greater customer satisfaction through personalized experiences.
  • Competitive advantage in the market.

4. Expansion into New Markets

Growing businesses often look to expand into new markets – it’s like exploring uncharted territories. It’s challenging but can be incredibly rewarding.

How to:

  • Research extensively: Understand the new market’s dynamics, customer behaviors, and potential competitors.
  • Adapt your product/service: Modify your offerings to cater to the needs of the new market.

Benefits:

  • Diversification of revenue streams.
  • Increased brand recognition and business growth.

5. Building Strategic Partnerships

Think of it as having a dance partner to help you waltz through the shifting sands. Strategic partnerships can provide resources, technology, or market access you don’t currently have.

How to:

  • Identify potential partners: Look for companies that complement your business and share your values.
  • Clearly define roles and objectives: Make sure both parties understand what they’re bringing to the table and what they expect in return.

Benefits:

  • Access to new resources, technology, or markets.
  • Shared risks and costs.

6. Customer-centric Approach

In a world where the customer is king, ignoring their needs is like shooting yourself in the foot. With every market shift, customer preferences change. It’s important to listen, learn, and adapt accordingly.

How to:

  • Gather feedback: Use surveys, interviews, or focus groups to understand your customer’s needs.
  • Incorporate feedback: Modify your products or services based on the insights gathered.

Benefits:

  • Increased customer loyalty and satisfaction.
  • Greater market share and profitability.

7. Sustainable Business Practices

The world is waking up to the importance of sustainability. And businesses are no different. Incorporating sustainable practices can help businesses stand out and thrive amidst market shifts.

How to:

  • Go green: Implement eco-friendly practices in your business operations.
  • Promote sustainability: Ensure that your business partners, suppliers, and customers know about your commitment to sustainability.

Benefits:

  • Enhanced brand image and reputation.
  • Attracting conscious consumers and, thus, increasing market share.

8. Effective Change Management

Change is scary. It’s the boogeyman under the business bed. But as the market shifts, change is inevitable. The key is managing it effectively so your business can adapt and your team is on board.

How to:

  • Communicate: Let your team know about upcoming changes and how it impacts them.
  • Train and support: Provide the necessary training and support to help your team adapt to the changes.

Benefits:

  • Smooth transition during periods of change.
  • Maintaining high morale and productivity levels in your team.

CASE STUDY EXAMPLES

Case Study: The Phoenix Rises

Remember Blockbuster? They were the big kid on the block in video rentals. Then, along came a little-known company called Netflix. Blockbuster didn’t adapt quickly, and we know how that story ends. Netflix, on the other hand, has continually adapted. They went from mailing DVDs to streaming, licensing content, and creating their own. It’s been quite the journey from the ‘little engine that could’ to the ‘big engine that did.’

Case Study: The Rise, Fall, and Rise Again of LEGO

LEGO, a beloved brand for many of us growing up, hit a wall in the early 2000s. Competition from video games and a lack of product focus almost led to their downfall. But they didn’t give up. LEGO turned things around by aligning their short-term and long-term goals, returning to their core product, and expanding into new ventures like movies and video games. It’s a testament to the fact that even when the sands shift beneath your feet, you can build a castle with the right strategies!

Case Study: The Digital Transformation of Domino’s Pizza

Once upon a time, Domino’s Pizza was just another pizza delivery company. But when online ordering began to gain traction, they seized the opportunity. They invested in their online ordering system and mobile app and embraced social media marketing. Today, Domino’s is seen as a tech-savvy pizza company. Their share price skyrocketed, and they’re now stiffly competing with Pizza Hut.

Case Study: Starbucks’ Embrace of Sustainability

Starbucks, one of the world’s largest coffee chains, took notice of the growing trend toward sustainability and decided to make a change. They’ve committed to reducing their environmental impact, from sustainable sourcing of their coffee to reducing waste. This commitment has helped Starbucks enhance its brand image and cater to environmentally conscious consumers.

Plazabridge Group Case Studies

The journey through the shifting sands of market change is daunting yet exciting. The real magic happens when we, as executives, adapt to these changes and ensure that our objectives align.

So, as you put on your boots to trudge through the sands, remember to keep your compass (goals) in hand, your team by your side, and your eyes on the horizon. And remember, the journey through the shifting sands is always easier when you’re not dragging your feet. So, let’s adapt, align, and conquer!

EMPLOYEES THE ENGINE TO YOUR BUSINESS

Let’s not forget, EMPLOYEES are not just cogs in the wheel. They’re the engine of your business. Engaging them in the efforts is like adding rocket fuel to your engine. They understand the ground realities, customer pain points, and operational hurdles. By involving them in decision-making, you benefit from their insights and build a more committed workforce. As the saying goes, “Alone we can do so little; together we can do so much.”

Staff engagement is like a secret weapon for businesses. It’s about creating an environment where employees feel valued, heard, and motivated to contribute their best. Here’s how you can tap into this powerful resource:

How to:

  • Encourage feedback: Let your team know their opinions matter. Whether through suggestion boxes, regular team meetings, or anonymous surveys, create channels for them to share their thoughts.
  • Involve them in decision-making: When making decisions that affect your team, include them. It could be through brainstorming sessions or by assigning them to task forces.
  • Recognize and reward: Appreciate the hard work and celebrate the wins. It could be a simple ‘thank you’ note or an employee of the month award. Recognition goes a long way in boosting morale and motivation.

Benefits:

  • Increased productivity: Employees who feel engaged and valued will likely be more productive.
  • Reduced turnover: Engaged employees are likelier to stick around, reducing the costs and disruptions associated with high staff turnover.
  • Better decision-making: By tapping into your team’s insights, you can make better-informed decisions.
  • Enhanced customer service: Happy employees often lead to happy customers. When your team is engaged, they’re more likely to deliver superior customer service.

So, there you have it, visionary leaders! An eight-step playbook to help you navigate the shifting sands of market changes. From being agile to aligning your goals, embracing technology to involving your team – it’s all about staying adaptable. As we journey through the shifting sands together, remember – it’s not just about surviving the change. It’s about thriving amidst it and becoming stronger on the other side. Now, let’s get out there and conquer those sands!

Navigating through the ever-shifting business sands can feel like being in constant flux. But as we’ve seen, by becoming agile, balancing objectives, embracing technological disruption, expanding into new markets, and building strategic partnerships, businesses don’t just survive but thrive. Yes, we all know, in the world of business, change is the only constant. With greater adaptability and alignment of goals, you can ride the waves of change to success. So, roll up your sleeves and get ready to dive into the dunes!

Image credit: Unsplash

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Reverse Innovation

Reverse Innovation

GUEST POST from Mike Shipulski

Innovation is a result of accumulated knowledge acquired over decades that is made manifest with mundane means.

It can be helpful to understand the required mindset by working things backward.

If you want innovation, solve new problems.

If you want to solve new problems, wall off design space responsible for success.

Block the team from reusing the same old recipe for success so there will be discomfort.

Without discomfort, there can be no innovation. Seek it out.

Prohibit solutions that live in familiar design space to demand the product or service do new things.

When the product or service must do new things, new lines of customer goodness must be created.

To create new lines of customer goodness, you’ve got to look at new facets of the customers’ lives.

To look at new facets of the customers’ lives, look more broadly at the jobs customers want to do.

You can ask customers what new jobs they want to do, but they won’t be able to tell you.

When you want to understand which new jobs will change the game, watch the work.

When you watch the work, watch more than the work. Watch everything.

When you come back to the office with new jobs that will disrupt the industry, you will be misunderstood for at least a year.

Misunderstanding is a precursor to innovation. Seek it out.

Misunderstanding blocks support for new work, but at least you’ll know you’re on to something.

When you get no support for the new work, do it anyway.

Rinse and repeat, as needed.

Image credit: Pixabay

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Basketball, Banks and Banana Splits

Is failure everywhere?

Basketball, Banks and Banana Splits

GUEST POST from Robyn Bolton

When asked to describe his test for determining what is and isn’t hard-core pornography, Supreme Court Justice Potter Stewart responded, “I know it when I see it.”

In that sense, pornography and failure may have a lot in common.

By accident, I spent the month of April thinking, writing (here and here), and talking about failure. Then, in the last week, a bank failed, two top-seeded sports teams were eliminated in the first round of the playoffs, and the New York Times wrote a feature article on the new practice of celebrating college rejections.

Failure was everywhere.

But was it?

SVB, Signature, First Republic – Failure.

On Monday, First Republic Bank became the third bank this year to fail. Like Silicon Valley Bank and Signature Bank, it met the definition of bank failure according to the FDIC – “the closing of a bank by a federal or state banking regulatory agency…[because] it is unable to meet its obligations to depositors and others.”

It doesn’t matter if the bank is a central part of the entrepreneurial ecosystem, is on the cutting edge of new financial instruments like cryptocurrency, or caters to high-net-worth individuals. When you give money to a bank, an institution created to keep your money safe, and it cannot give it back because it spent it, that is a failure.

Milwaukee Bucks – Failure?

Even if you’re not an NBA fan, you probably heard about the Milwaukee Bucks star Giannis Antetokounmpo’s interview after the team’s playoff elimination. 

Here’s some quick context – the Milwaukee Bucks had the best regular season record and were widely favored to win the title. Instead, they lost in Game 5 to the 8th-ranked Miami Heat. After the game, a reporter asked Antetokounmpo if he viewed the season as a failure, to which Antetokounmpo responded:

“It’s not a failure; it’s steps to success. There’s always steps to it. Michael Jordan played 15 years, won six championships. The other nine years was a failure? That’s what you’re telling me? It’s a wrong question; there’s no failure in sports.”

If you haven’t seen the whole clip, it’s worth your time:

The media went nuts, fawning over Antetokounmpo’s thoughtful and philosophical response, the epitome of an athlete who gives his all and is graceful in defeat. One writer even went so far as to proclaim that “Antetokounmpo showed us another way to live.”

But not everyone shared that perspective. In the post-game show, four-time NBA champion Shaquille O’Neal was one of the first to disagree,

“I played 19 seasons and failed 15 seasons; when I didn’t win it, it was a failure, especially when I made it to the finals versus the (Houston) Rockets and lost, made it to the finals for the fourth time with the (Los Angeles) Lakers and lost, it was definitely a failure.

.

I can’t tell everybody how they think, but when I watch guys before me, the Birds, the Kareems, and you know that’s how they thought, so that’s how I was raised.

.

He’s not a failure as a player, but is it a failure as a season? I would say yes, but I also like his explanation. I can understand and respect his explanation, but for me, when we didn’t win it, it was always my fault, and it was definitely a failure.”

Did Antetokounmpo fail?  Are the Bucks a failure? Was their season a failure?

It depends.

College Rejections – Not Failure

Failure is rarely fun, but it can be absolutely devastating if all you’ve ever known is success. Just ask anyone who has ever applied to college. Whether it was slowly opening the mailbox to see if it contained a big envelope or a small one or hesitatingly opening an email to get the verdict, the college application process is often the first time people get a taste of failure.

Now, they also get a taste of ice cream.

Around the world, schools are using the college application and rejection process as a learning experience:

  • LA: Seniors gather to feed their rejection letters into a shredder and receive an ice cream sundae. The student with the most rejections receives a Barnes & Noble gift card. “You have to learn that you will survive and there is a rainbow at the other end,” said one of the college counselors.
  • NYC: After adding their rejection letters to the Rejection Wall, students pull a prize from the rejection grab bag and enjoy encouraging notes from classmates like, “You’re too sexy for Vassar” or “You’ve been rejected, you’re too smart. Love, NYU.”
  • Sydney, Australia: a professor started a Rejection Wall of Fame after receiving two rejections in one day, sharing his disappointment with a colleague only to hear how reassured they were that they weren’t alone.

“I know it when I see it” – Failure

I still don’t know a single definition or objective test for failure.

But I do know that using “I’ll know it when I see it” to define failure is a failure. 

It’s a failure because we can define success and failure before we start. 

Sometimes failure is easy to define – if you are a bank and I give you money, and you don’t give it back to me with interest, that is a failure. Sometimes the definition is subjective and even personal, like defining failure as not making the playoffs vs. not winning a championship, or not applying to a school vs. not getting in.

Maybe failure is everywhere. Maybe it’s not.

I’ll know it when I define it.

Image credit: Pixabay

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Mission Critical Doesn’t Mean What You Think it Does

Mission Critical Doesn't Mean What You Think it Does

GUEST POST from Geoffrey A. Moore

God bless NASA for giving us the phrase “mission critical,” and God bless The Princess Bride for teaching us that not all words mean what we think they do.

In the case of mission-critical, specifically, the term has two distinct connotations, each of which leads to a distinctively different management priority.

1. Must achieve this outcome to succeed. This is what most people first think of when they hear the phrase. We will put a man on the moon and bring him back by the end of the decade. Anything that is on the critical path to that objective is mission critical.

2. Must not fall below this standard or we will be disqualified. This refers to a host of other things that, if not done properly, could have catastrophic consequences for the mission. Securing adequate funding, managing finances carefully, acquiring and maintaining proper facilities, and complying with pertinent regulations all come under this heading. You get no prize for doing any of these things right, but there can be a whopping penalty for getting them wrong.

When mission-critical equates to achieving success, the goal is to allocate the maximum amount of resources to the activity in question because it is the source of highest return. Indeed, it is your whole reason to be. Often in this situation there is no fixed upper boundary as to how much success can be achieved, so more is always going to be better here. That is why managers seeking budget for their efforts like to position them as mission-critical.

When mission-critical equates to disqualification risk, however, this approach backfires. That’s because there is a natural human tendency in risk-bearing situations to over-allocate resources as a hedge against what potentially could be a catastrophic failure. No one wants to get blamed for anything like this. Thus there is almost always an unproductive use of resources associated with these workloads and processes.

The proper goal for managing disqualification risk is to deploy the least amount of resources needed to achieve an acceptable level of risk, understanding that risk itself can never be eliminated entirely. To do this requires investing both in governance systems and in cultural discipline—the better the systems, the more disciplined the culture, the fewer the resources will be required.

Entrepreneurial cultures who grew up with the mantra “We don’t need no stinkin’ systems” will find it hard to execute this playbook, but until they do, they will be unable to scale. Conversely, risk-averse cultures who are unwilling to even approach the efficient frontier of risk will also fail here as well. You cannot compete effectively if a host of your best players are tied up on the sidelines. In short, there is no substitute for getting disqualification risk right, and successful organizations will testify this is always a work in progress.

So the next time you hear the word mission-critical, perk your ears up and apply this filter. Whatever is under discussion, for sure you are going to want to do this thing right. But before that, make sure you are doing the right thing.

That’s what I think. What do you think?

Image Credit: Pixabay

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“I don’t know,” is a clue you’re doing it right

“I don’t know,” is a clue you’re doing it right

GUEST POST from Mike Shipulski

If you know how to do it, it’s because you’ve done it before. You may feel comfortable with your knowledge, but you shouldn’t. You should feel deeply uncomfortable with your comfort. You’re not trying hard enough, and your learning rate is zero.

Seek out “don’t know.”

If you don’t know how to do it, acknowledge you don’t know, and then go figure it out. Be afraid, but go figure it out. You’ll make mistakes, but without mistakes, there can be no learning.

No mistakes, no learning. That’s a rule.

If you’re getting pressure to do what you did last time because you’re good at it, well, you’re your own worst enemy. There may be good profits from a repeat performance, but there is no personal growth.

Why not find someone with “don’t know” mind and teach them?

Find someone worthy of your time and attention and teach them how. The company gets the profits, an important person gets a new skill, and you get the satisfaction of helping someone grow.

No learning, no growth. That’s a rule.

No teaching, no learning. That’s a rule, too.

If you know what to do, it’s because you have a static mindset. The world has changed, but you haven’t. You’re walking an old cowpath. It’s time to try something new.

Seek out “don’t know” mind.

If you don’t know what to do, it’s because you recognize that the old way won’t cut it. You know have a forcing function to follow. Follow your fear.

No fear, no growth. That’s a rule.

Embrace the “don’t know” mind. It will help you find and follow your fear. And don’t shun your fear because it’s a leading indicator of novelty, learning, and growth.

Image credit: Pixabay

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