Tag Archives: collaboration

Do Nothing More Often

GUEST POST from Robyn Bolton

“What do you plan to do on vacation?” my friend asked.

“Nothing…”

Long silence

“…And it will be amazing.”

We live in a world that confuses activity with achievement so I should not have been surprised that the idea of deliberately doing nothing stunned my friend into silence.

After all, when people say, “I wish I had nothing to do” they usually mean “I wish I could choose what I do with my time.” And, when they do have the opportunity to choose, very few choose to do nothing.

Why does the idea of doing nothing make us so uncomfortable?

To put it bluntly, busy-ness is a status symbol.

In their paper, “Conspicuous Consumption of Time: When Busyness and Lack of Leisure Time Become a Status Symbol,” professors Silvia Bellezza (Columbia Business School), Neeru Paharia (Georgetown University), and Anat Keinan (Harvard University), wrote that people’s desire to be perceived as time-starved is

“driven by the perceptions that a busy person possesses desired human capital characteristics (competence, ambition) and is scarce and in demand on the job market.”

We didn’t always believe this.

For most of human history, we’ve had a pretty balanced view of the need for both work and leisure. Aristotle argued that virtue was obtainable through contemplation, not through endless activity. Most major religions call for a day of rest and reflection. Even 19th-century moral debates, as recorded by historian EO Thompson, recognized the value of hard work AND the importance of rest.

So what happened?

While it’s easy to say that we have to work more because of the demands of our jobs, the data says otherwise. In fact, according to a working paper by Jonathan Gershuny, a time-expert based on the UK, actual time spent at work has not increased since the 1960s.

The actual reason may be that we want to work more. According to economist Robert Frank, those who identify as workaholics believe that:

“building wealth…is a creative process, and the closest thing they have to fun.”

We choose to spend time working because Work — “the job itself, the psychic benefits of accumulating money, the pursuit of status, and the ability to afford the many expensive enrichments of an upper-class lifestyle” according to an article in The Atlantic — is what we find most fulfilling.

It’s not that I like working, I just don’t like wasting time.

We tend to equate doing nothing with laziness, apathy, a poor work ethic, and a host of other personality flaws and social ills. But what if that’s not true.

What if, in the process of doing nothing, we are as productive as when we do something?

Science is increasingly showing this to be the case.

Multiple fMRI studies have revealed the existence of the default mode network (DMN), a large-scale brain network that is most active when we’re day-dreaming. Researchers at the University of Southern California argue that

“downtime is, in fact, essential to mental processes that affirm our identities, develop our understanding of human behavior and instill an internal code of ethics — processes that depend on the DMN.”

The results of harnessing the power of your DMN are immense:

More creativity. The research discussed in Scientific American suggests that DMN is more active in creative people. For example, according to Psychology Today:

The most recorded song of all time, “Yesterday” by The Beatles, was ‘heard’ by Paul McCartney as he was waking up one morning. The melody was fully formed in his mind, and he went straight to the piano in his bedroom to find the chords to go with it, and later found words to fit the melody.
Mozart described how his musical ideas ‘flow best and most abundantly.’ when he was alone ‘traveling in a carriage or walking after a good meal, or during the night when I cannot sleep… Whence and how they come, I know not, nor can I force them.’
Tchaikovsky described how the idea for a composition usually came ‘suddenly and unexpectedly… It takes root with extraordinary force and rapidity, shoots up through the earth, puts forth branches and leaves, and finally blossoms.’

More productivity. According to an essay in The New York Times, “Idleness is not just a vacation, an indulgence or a vice; it is as indispensable to the brain as vitamin D is to the body, and deprived of it we suffer a mental affliction as disfiguring as rickets. The space and quiet that idleness provides is a necessary condition for standing back from life and seeing it whole, for making unexpected connections and waiting for the wild summer lightning strikes of inspiration — it is, paradoxically, necessary to getting any work done.”

Less burnout. Regardless of how many hours you work, consider this: researchers have found that it takes 25 minutes to recover from a phone call or an e-mail. On average, we are interrupted every 11 minutes which means that we can never catch up, we’re always behind.

That feeling of always being behind leads to burn-out which the World Health Organization officially recognized as a medical condition defined as a “syndrome conceptualized as resulting from chronic workplace stress that has not been successfully managed” and manifests with the following symptoms:

Feelings of energy depletion or exhaustion
Increased mental distance from one’s job, or feelings of negativism or cynicism related to one’s job
Reduced professional efficacy

Doing nothing, quieting our minds and not focusing on any particular task, can actually help reset our bodies systems, quieting the release of stress chemicals, slowing our heart rates, and improving our mental and physical energy

Better health. Multiple studies indicate that idleness “produces many health benefits including, but not limited to, reduced heart rate, better digestion, improvements in mood, and a boost in overall emotional well-being — which, of course, affects everything on a biochemical and physiological level, thereby serving as a major deciding factor on whether or not we fall ill, and/or remain ill. Mental downtime also replenishes glucose and oxygen levels in the brain, and allows our brains to process and file things, which leaves us feeling more rested and clear-headed, promotes a stronger sense of self-confidence, and…more willing to we trust change.”

Fine, you convinced me. How can I do nothing?

There are the usual suspects — vacations, meditation, and physical exercise — but, if you’re anything like me, the thought of even finding 5 minutes to listen to a meditation app is so overwhelming that I never even start.

An easier place to start, in my experience, is in intentionally working nothing into the moments that are already “free.” Here are three of my favorite ways to work a bit of nothing into my day.

Make the Snooze button work for you. When my alarm goes off, I instinctively hit the Snooze button because, I claim, it is my first and possibly only victory of the day. It’s also a great way to get 9 minutes of thoughtful quiet nothingness in which I can take a few deep breaths, scan my body for any aches and pains, and make sure that I’m calm and my mind is quiet when I get out of bed.

Stare out the window. I always place my computer next to a window so that I can stare out the window for a few minutes throughout the day and people think I’m thinking deep thoughts. Which I am. Subconsciously. Lest anyone accuse me of being lazy or unproductive while I watch the clouds roll by, I simply point them to research that shows “that individuals who took five to ten minute breaks from work to do nothing a few times a day displayed an approximately 50% increase in their ability to think clearly and creatively, thus rendering their work far more productive.

Bring the beach to you. Research from a variety of places, from the UK Census to The Journal of Coastal Zone Management, indicate that our brains and bodies benefit from time at the beach. But, if you can’t go to the beach, there are lots of ways to bring the beach to you. Perhaps the simplest is to bring more blue into your environment. Most people associate blue with feelings of calm and peace and a study published in the American Association for the Advancement of Science found that the color blue can boost creativity. Even putting a picture of a beach (or your own personal happy place) on your desk or computer screen can trigger your brain to slow down, relax, and possibly trigger your DMN.

With so many benefits, isn’t it time you started doing more nothing?

Image credit: Pexels

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These Forgotten Customers Are Key to Your Success

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These Forgotten Customers Are Key to Your Success

GUEST POST from Robyn Bolton

“There is only one boss. The customer.” – Sam Walton

With all the buzz around human-centered design, customer-centric businesses, and external-facing organizations, corporate America is (finally) waking up to the importance and value of creating things that people actually want and that solve people’s problems.

Teams of innovators, ethnographers, socialists, researchers, and consultants scurry about gathering customer insights, soliciting customer feedback, and generating reports that can be funneled back to R&D, innovation, and product development teams to inform the development of the Next Big Thing.

While this is all important work, amidst all of this activity, one customer is consistently overlooked. And it is this customer that often decides the fate of the Next Big Thing

There is only one first customer. Your boss.

Let’s start with what a customer is:

“The recipient of a good, service, product, or idea obtained from a seller, vendor, or supplier via a financial transaction or exchange for money or some other valuable consideration.

Yes, you should spend a lot of time getting to know the people outside your company who will eventually be asked to exchange money for the good, product, or service you are creating.

You also need to spend time getting to know the people inside your organization who you are currently asking to exchange money (give you a budget) or some other valuable consideration (time, people, permission) for your idea and its development.

And you need convince them that “a financial transaction” is worth it because, if you don’t they can and will spend their money elsewhere.

Your boss is a tough customer

No matter what type of company you are in — from a company of 10 to a company of 10,000 — you are faced with limited resources. A dollar spent in one place means a dollar not spent in another place. A person allocated to one team means one less person on another team.

Managers have to make resources allocation trade-offs all the time but are often moving pieces between functions and teams where they know the ROI of additional investments. This situation changes dramatically when a manager must decide whether to invest resources into a new and uncertain venture or to invest in the core, and much more certain, business.

Convincing your boss to buy your idea, especially if that idea is a new venture, is tough because you’re asking your boss to buy (or invest in) something with an uncertain ROI rather than buy (or invest in) something with a more certain ROI. But you can be successful if you understand your boss.

Your boss can be understood (and their decisions anticipated)

First, get comfortable with the fact that your boss is a human being. And, just like other human beings, your boss makes lots of decisions, believes that these decisions are based on logic and reason, and actually bases most decisions more on emotion and instinct.

As frustrating as this may be when you are at the receiving end of these decisions, take comfort in the fact that you can actually use the tools you use to understand external customers to understand, and even anticipate, your boss’ decisions.

Here’s how:

What is the current business situation? While this is usually an easy question to answer, it can be hard to anticipate what impact it will have on your boss’ willingness to invest. Just as most people are hesitant to invest in something new when the current business environment is poor, many people are equally hesitant to invest when business is booming. This is usually because investments in the core business are generating more than usual upside and that’s great for your boss and/or there is no urgency to do anything new because people assume the good times will go on forever (news flash: they wont’). So while you can’t anticipate what impact the answer to this question will have on your odds of securing investment, you do need to know the context within which you are asking.
What is your boss being asked to deliver? How is she measured and rewarded? Is your boss expected to deliver revenue increases? She’ll be drawn to new ideas that increase revenue. Cost savings? Then pitch ways to improve efficiency. How much time does she have to deliver results? If she needs to show results quarterly, you have to generate results quickly. If she has a year to show improvement, you have a longer runway to show results.
What is your boss’ reputation? Does she like it? Humans are hard-wired to be social creatures so, whether we admit it or not, we really care how other people see us. What is your boss’ reputation — is she known for being a steady hand that consistently delivers or a renegade willing to rock the boat and take risks? And how does she feel about her reputation? Does she like it or does she see herself differently? If you have a boss that likes being seen as reliable and a defender of the status quo, you’re going to have a much harder time selling your new idea than if you boss is seen (or wants to be seen) as the next Steve Jobs.

With the answers to these questions, you can figure out the likelihood that your boss will buy your idea. If you boss is managing a business that is struggling, is expected to increase revenue after years of decreases, and is happy to be known as someone who always delivers, it’s unlikely she’ll be willing to invest resources in a new and unproven idea. But if your boss is managing a struggling business, is expected to develop new revenue streams that will replace the old ones, and enjoys a reputation as a someone who challenges the status quo, odds are she’ll support a reasonably well-thought out proposal for initial investment in a new venture.

Bottom Line

Before you get the opportunity to sell a new product or service to external customers, you need to sell your idea to internal customers…your boss. Take the time to understand you boss, the things that motivate her and the issues and challenges that she faces. Then, just as you create a product or service to solve your external customers’ problems, you can create a pitch that shows your boss how your idea solves her challenges.

Approach your boss as you would a customer and you’re likely to get the support you need. Forget that your boss is your first customer and you may never get the chance to pitch to the ones you’ve spent so much time studying.

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Is Disruption About to Claim a New Victim?

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Kodak. Blockbuster. Google?

GUEST POST from Robyn Bolton

You know the stories. Kodak developed a digital camera in the 1970s, but its images weren’t as good as film images, so it ended the project. Decades later, that decision ended Kodak. Blockbuster was given the chance to buy Netflix but declined due to its paltry library of titles (and the absence of late fees). A few years later, that decision led to Blockbuster’s decline and demise. Now, in the age of AI, disruption may be about to claim another victim – Google.

A very brief history of Google’s AI efforts

In 2017, Google Research invented Transformer, a neural network architecture that could be trained to read sentences and paragraphs, pay attention to how the words relate to each other, and predict the words that would come next.

In 2020, Google developed LaMDA, or Language Model for Dialogue Applications, using Transformer-based models trained on dialogue and able to chat.

Three years later, Google began developing its own conversational AI using its LaMDA system. The only wrinkle is that OpenAI launched ChatGPT in November 2022.

Now to The Financial Times for the current state of things

“In early 2023, months after the launch of OpenAI’s groundbreaking ChatGPT, Google was gearing up to launch its competitor to the model that underpinned the chatbot.

.

The search company had been testing generative AI software internally for several months by then. But as the company rallied its resources, multiple competing models emerged from different divisions within Google, vying for internal attention.”

That last sentence is worrying. Competition in the early days of innovation can be great because it pushes people to think differently, ask tough questions, and take risks. But, eventually, one solution should emerge as superior to the others so you can focus your scarce resources on refining, launching, and scaling it. Multiple models “vying for internal attention” so close to launch indicate that something isn’t right and about to go very wrong.

“None was considered good enough to launch as the singular competitor to OpenAI’s model, known as ChatGPT-4. The company was forced to postpone its plans while it tried to sort through the scramble of research projects. Meanwhile, it pushed out a chatbot, Bard, that was widely viewed to be far less sophisticated than ChatGPT.”

Nothing signals the threat of disruption more than “good enough.” If Google, like most incumbent companies, defined “good enough” as “better than the best thing out there,” then it’s no surprise that they wouldn’t want to launch anything.

What’s weird is that instead of launching one of the “not good enough” models, they launched Bard, an obviously inferior product. Either the other models were terrible (or non-functional), or different people were making different decisions to achieve different definitions of success. Neither is a good sign.

“When Google’s finished product, Gemini, was finally ready nearly a year later, it came with flaws in image generation that CEO Sundar Pichai called ‘completely unacceptable’ – a let-down for what was meant to be a demonstration of Google’s lead in a key new technology.”

“A let-down” is an understatement. You don’t have to be first. You don’t have to be the best. But you also shouldn’t embarrass yourself. And you definitely shouldn’t launch things that are “completely unacceptable.”

What happens next?

Disruption takes a long time and doesn’t always mean death. Blackberry still exists, and integrated steel mills, one of Clayton Christensen’s original examples of disruption, still operate.

AI, LLMs, and LaMDAs are still in their infancy, so it’s too early to declare a winner. Market creation and consumer behavior change take time, and Google certainly has the knowledge and resources to stage a comeback.

Except that that knowledge may be their undoing. Companies aren’t disrupted because their executives are idiots. They’re disrupted because their executives focus on extending existing technologies and business models to better serve their best customers with higher-profit offerings. In fact, Professor Christensen often warned that one of the first signs of disruption was a year of record profits.

In 2021, Google posted a profit of $76.033 billion. An 88.81% increase from the previous year.

2022 and 2023 profits have both been lower.

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Top 10 Human-Centered Change & Innovation Articles of June 2024

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Drum 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:

The Surprising Downside of Collaboration in Problem-Solving — by Robyn Bolton
Designing Organizational Change and Transformation — by Stefan Lindegaard
Four Principles of Successful Digital Transformation — by Greg Satell
Managers Make the Difference – Four Common Mistakes Managers Make — by David Burkus
Learning to Innovate — by Janet Sernack
Think Outside Which Box? — by Howard Tiersky
Innovation the Amazon Way — by Greg Satell
Irrelevant Innovation — by John Bessant
Nike Should Stop Blaming Working from Home for Their Innovation Struggles — by Robyn Bolton
Time is a Flat Circle – Jamie Dimon’s Comments on AI Just Proved It — by Robyn Bolton

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

Why Organizations Struggle with Innovation — by Howard Tiersky
Time is Not Fundamental — by Geoffrey A. Moore
AI Strategy Should Have Nothing to do with AI — by Robyn Bolton
Six Steps to Creating a Brand Experience Personality — by Shep Hyken
Bad Questions to Ask When Developing Technology — by Mike Shipulski

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 four years:

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How Eavesdropping Can Unlocked Exponential Growth

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How Eavesdropping Can Unlocked Exponential Growth

GUEST POST from Robyn Bolton

It’s easy to get caught up in the hunt for unique insights that will transform your business, conquer your competition, and put you on an ever-accelerating path to growth. But sometimes, the most valuable insights can come from listening to customers in their natural environment. That’s precisely what happened when I eavesdropped on a conversation at a local pizza joint. What I learned could be worth millions to your business.

A guy walked into a pizza place.

Last Wednesday, I met a friend for lunch. As usual, I was unreasonably early to the local wood-fired pizza joint, so I settled into my chair, content to spend time engaged in one of my favorite activities – watching people and eavesdropping on their conversations.

Although the restaurant is on the main street of one of the wealthier Boston suburbs, it draws an eclectic crowd, so I was surprised when a rather burly man in a paint-stained hoodie flung open the front door. As he stomped to the take-out order window, dust fell from his shoes, and you could hear the clanging of tools in his tool belt. He placed his order and thumped down at the table next to me.

A Multi-Million Dollar Chat

He pulled out his cell phone and made a call. “Hey, yeah, I’m at the pizza place, and they need your help. Yeah, they hate their current system, but they don’t have the time to figure out a new one or how to convert. Yeah, ok, I’ll get his number. Ok if I give him yours. Great. Thanks.”

A few minutes later, his order was ready, and the manager walked over with his pizza.

Hoodie-guy: “Hey, do you have a card?”

Manager: “No, I don’t. Something I can help you with?”

H: “I just called a friend of mine. He runs an IT shop, and I told him you’re using the RST restaurant management system, and you hate it…”

M: “I hate it so much…”

H: “So my buddy’s business can help you change it. He’s helped other restaurants convert away from RST, and he’d love to talk to you or the owner.”

M: “I’m one of the co-owners, and I’d love to stop using RST, but we use it for everything – our website, online ordering, managing our books, everything. I can’t risk changing.”

H: “That’s the thing, my friend does it all for you. He’ll help you pick the new system, set it up, migrate you from the other system, and ensure everything runs smoothly. You have nothing to worry about.”

M: “That would be amazing. Here’s my direct line. Have him give me a call. And if he’s good, I can guarantee you that every other restaurant on this street will change, too. We all use RST, and we all hate it. We even talked about working together to find something better, but no one had time to figure everything out.”

They exchanged numbers, and the hoodie guy walked out with his pizza. The manager/owner walked back to the open kitchen, told his staff about the conversation, and they cheered. Cheered!

Are You Listening?

In just a few minutes of eavesdropping, I uncovered a potential goldmine for a B2B business – 15 frustrated customers, all desperate to switch from a system they hate but unable to do so due to time and resource constraints. The implications are staggering – an entire local market worth tens of millions of dollars ripe for the taking simply by being willing to listen and offer a solution.

As a B2B leader, the question is: are you truly tapping into the insights right in front of you? When was the last time you left your desk, observed your customers in their natural habitat, and listened to their unvarnished feedback? If you’re not doing that, you’re missing out on opportunities that could transform your business.

The choice is yours. Will you stay in your office and rely on well-worn tools, or venture into the wild and listen to your customers? Your answer could be worth millions.

Image credit: Pixabay

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The Surprising Downside of Collaboration in Problem-Solving

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The Surprising Downside of Collaboration in Problem-Solving

GUEST POST from Robyn Bolton

You are a natural-born problem solver. From the moment you were born, you’ve solved problems. Hungry? Start crying. Learning to walk? Stand up, take a step, fall over, repeat. Want to grow your business? Fall in love with a problem, then solve it more delightfully than anyone else.

Did you notice the slight shift in how you solve problems?

Initially, you solved problems on your own. As communication became easier, you started working with others. Now, you instinctively collaborate to solve complex problems, assembling teams to tackle challenges together.

But research indicates your instincts are wrong. In fact, while collaboration can be beneficial for gathering information, it hinders the process of developing innovative solutions. This counterintuitive finding has significant implications for how teams approach problem-solving.

What a Terrorism Study Reveals About Your Team

In a 2015 study, researchers used a simulation developed by the U.S. Department of Defense to examine how collaboration impacts the problem-solving process. 417 undergrads were randomly assigned to 16-person teams with varying levels of “interconnectedness” (clarity in their team structure and information-sharing permissions) and asked to solve aspects of an imaginary terrorist attack scenario, such as identifying the perpetrators and target. Teams had 25 minutes to tackle the problem, with monetary incentives for solving it quickly.

Highly interconnected teams “gathered 5 percent more information than the least-clustered groups because clustering prevented network members from unknowingly conducting duplicative searches. ‘By being in a cluster, individuals tended to contribute more to the collective exploration through information space—not from more search but rather by being more coordinated in their search,’”

The Least Interconnected teams developed 17.5% more theories and solutions and were more likely to develop the correct solution because they were less likely to “copy an incorrect theory from a neighbor.”

How You Can Help Your Team Create More Successful Solutions

You and your team rarely face problems as dire as terrorist attacks, but you can use these results to adapt your problem-solving practices and improve results.

Work together to gather and share information. This goes beyond emailing around research reports, interview summaries, and meeting notes. “Working together” requires your team to take action, like conducting interviews or writing surveys, with one another in real-time (not asynchronously through email, text, or “collaboration” platforms).
Start solving the problem alone. For example, at the start of every ideation session, I ask people to spend 5 minutes privately jotting down their ideas before group brainstorming. This prevents copying others’ theories and ensures all voices are heard. (not just the loudest or most senior)
Invite the “Unusual Suspects” into the process. Most executives know that diversity amplifies creativity, so they invite a mix of genders, ages, races, ethnicities, tenures, and industry experiences to brainstorming sessions. While that’s great, it also results in the same people being invited to every brainstorm and, ultimately, creating a highly interconnected group. So, mix it up even more. Invite people never before invited to brainstorming into the process. Instead of spending a day brainstorming, break it up into one-hour bursts at different times of the day.

Are You Willing to Take the Risk?

For most of your working life, collaboration has been the default approach to problem-solving. However, this research suggests that rethinking when and how to leverage collaboration can lead to greater success.

Making such a change isn’t easy – it invites skepticism and judgment as it deviates from the proven “status quo” process.

Are you willing to take that risk, separating information gathering from solution development, for the potential of achieving better, more innovative outcomes? Or will you remain content with “good enough” solutions from conventional methods?

Image credit: Unsplash

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Time is a Flat Circle

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Jamie Dimon’s Comments on AI Just Proved It

Time is a Flat Circle

GUEST POST from Robyn Bolton

“Time is a flat circle. Everything we have done or will do we will do over and over and over and over again – forever.” –- Rusty Cohle, played by Matthew McConaughey, in True Detective

For the whole of human existence, we have created new things with no idea if, when, or how they will affect humanity, society, or business. New things can be a distraction, sucking up time and money and offering nothing in return. Or they can be a bridge to a better future.

As a leader, it’s your job to figure out which things are a bridge (i.e., innovation) and which things suck (i.e., shiny objects).

Innovation is a flat circle

The concept of eternal recurrence, that time repeats itself in an infinite loop, was first taught by Pythagoras (of Pythagorean theorem fame) in the 6^th century BC. It remerged (thereby proving its own truth) in Friedreich Nietzsche’s writings in the 19th century, then again in 2014’s first season of True Detective, and then again on Monday in Jamie Dimon’s Annual Letter to Shareholders.

Mr. Dimon, the CEO and Chairman of JPMorgan Chase & Co, first mentioned AI in his 2017 Letter to Shareholders. So, it wasn’t the mention of AI that was newsworthy. It was how it was mentioned. Before mentioning geopolitical risks, regulatory issues, or the recent acquisition of First Republic, Mr. Dimon spends nine paragraphs talking about AI, its impact on banking, and how JPMorgan Chase is responding.

Here’s a screenshot of the first two paragraphs:

JP Morgan Annual Letter 2017

He’s right. We don’t know “the full effect or the precise rate at which AI will change our business—or how it will affect society at large.” We were similarly clueless in 1436 (when the printing press was invented), 1712 (when the first commercially successful steam engine was invented), 1882 (when electricity was first commercially distributed), and 1993 (when the World Wide Web was released to the public).

Innovation, it seems, is also a flat circle.

Our response doesn’t have to be.

Historically, people responded to innovation in one of two ways: panic because it’s a sign of the apocalypse or rejoice because it will be our salvation. And those reactions aren’t confined to just “transformational” innovations. In 2015, a visiting professor at Kings College London declared that the humble eraser (1770) was “an instrument of the devil” because it creates “a culture of shame about error. It’s a way of lying to the world, which says, ‘I didn’t make a mistake. I got it right the first time.’”

Neither reaction is true. Fortunately, as time passes, more people recognize that the truth is somewhere between the apocalypse and salvation and that we can influence what that “between” place is through intentional experimentation and learning.

JPMorgan started experimenting with AI over a decade ago, well before most of its competitors. As a result, they “now have over 400 use cases in production in areas such as marketing, fraud, and risk” that are producing quantifiable financial value for the company.

It’s not just JPMorgan. Organizations as varied as John Deere, BMW, Amazon, the US Department of Energy, Vanguard, and Johns Hopkins Hospital have been experimenting with AI for years, trying to understand if and how it could improve their operations and enable them to serve customers better. Some experiments worked. Some didn’t. But every company brave enough to try learned something and, as a result, got smarter and more confident about “the full effect or the precise rate at which AI will change our business.”

You have free will. Use it to learn.

Cynics believe that time is a flat circle. Leaders believe it is an ever-ascending spiral, one in which we can learn, evolve, and influence what’s next. They also have the courage to act on (and invest in) that belief.

What do you believe? More importantly, what are you doing about it?

Image credit: Pixabay

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AI Strategy Should Have Nothing to do with AI

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AI Strategy Should Have Nothing to do with AI

GUEST POST from Robyn Bolton

You’ve heard the adage that “culture eats strategy for breakfast.” Well, AI is the fruit bowl on the side of your Denny’s Grand Slam Strategy, and culture is eating that, too.

1 tool + 2 companies = 2 strategies

On an Innovation Leader call about AI, two people from two different companies shared stories about what happened when an AI notetaking tool unexpectedly joined a call and started taking notes. In both stories, everyone on the calls was surprised, uncomfortable, and a little bit angry that even some of the conversation was recorded and transcribed (understandable because both calls were about highly sensitive topics).

The storyteller from Company A shared that the senior executive on the call was so irate that, after the call, he contacted people in Legal, IT, and Risk Management. By the end of the day, all AI tools were shut down, and an extensive “ask permission or face termination” policy was issued.

Company B’s story ended differently. Everyone on the call, including senior executives and government officials, was surprised, but instead of demanding that the tool be turned off, they asked why it was necessary. After a quick discussion about whether the tool was necessary, when it would be used, and how to ensure the accuracy of the transcript, everyone agreed to keep the note-taker running. After the call, the senior executive asked everyone using an AI note-taker on a call to ask attendees’ permission before turning it on.

Why such a difference between the approaches of two companies of relatively the same size, operating in the same industry, using the same type of tool in a similar situation?

1 tool + 2 CULTURES = 2 strategies

Neither storyteller dove into details or described their companies’ cultures, but from other comments and details, I’m comfortable saying that the culture at Company A is quite different from the one at Company B. It is this difference, more than anything else, that drove Company A’s draconian response compared to Company B’s more forgiving and guiding one.

This is both good and bad news for you as an innovation leader.

It’s good news because it means that you don’t have to pour hours, days, or even weeks of your life into finding, testing, and evaluating an ever-growing universe of AI tools to feel confident that you found the right one.

It’s bad news because even if you do develop the perfect AI strategy, it won’t matter if you’re in a culture that isn’t open to exploration, learning, and even a tiny amount of risk-taking.

Curious whether you’re facing more good news than bad news? Start here.

8 culture = 8+ strategies

In 2018, Boris Groysberg, a professor at Harvard Business School, and his colleagues published “The Leader’s Guide to Corporate Culture,” a meta-study of “more than 100 of the most commonly used social and behavior models [and] identified eight styles that distinguish a culture and can be measured. I’m a big fan of the model, having used it with clients and taught it to hundreds of executives, and I see it actively defining and driving companies’ AI strategies*.

Results (89% of companies): Achievement and winning

AI strategy: Be first and be right. Experimentation is happening on an individual or team level in an effort to gain an advantage over competitors and peers.

Caring (63%): Relationships and mutual trust

AI strategy: A slow, cautious, and collaborative approach to exploring and testing AI so as to avoid ruffling feathers

Order (15%): Respect, structure, and shared norms

AI strategy: Given the “ask permission, not forgiveness” nature of the culture, AI exploration and strategy are centralized in a single function, and everyone waits on the verdict

Purpose (9%): Idealism and altruism

AI strategy: Torn between the undeniable productivity benefits AI offers and the myriad ethical and sustainability issues involved, strategies are more about monitoring than acting.

Safety (8%): Planning, caution, and preparedness

AI strategy: Like Order, this culture takes a centralized approach. Unlike Order, it hopes that if it closes its eyes, all of this will just go away.

Learning (7%): Exploration, expansiveness, creativity

AI strategy: Slightly more deliberate and guided than Purpose cultures, this culture encourages thoughtful and intentional experimentation to inform its overall strategy

Authority (4%): Strength, decisiveness, and boldness

AI strategy: If the AI strategies from Results and Order had a baby, it would be Authority’s AI strategy – centralized control with a single-minded mission to win quickly

Enjoyment (2%): Fun and excitement

AI strategy: It’s a glorious free-for-all with everyone doing what they want. Strategies and guidelines will be set if and when needed.

What do you think?

Based on the story above, what culture best describes Company A? Company B?

What culture best describes your team or company? What about your AI strategy?

*Disclaimer. Culture is an “elusive lever” because it is based on assumptions, mindsets, social patterns, and unconscious actions. As a result, the eight cultures aren’t MECE (mutually exclusive, collectively exhaustive), and multiple cultures often exist in a single team, function, and company. Bottom line, the eight cultures are a tool, not a law (and I glossed over a lot of stuff from the report)

Image credit: Wikimedia Commons

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The Beginning, Middle, and End of Innovation

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And How Moneyball Fits In

The Beginning, Middle, and End of Innovation

GUEST POST from Robyn Bolton

Not long ago, pitchers and catchers reported to MLB Spring Training facilities in Florida and Arizona. For baseball fans, this is the first sign of Spring, an occasion that heralds months of warmth and sunshine, ballparks filled (hopefully) with cheering fans, dinners of beers and brats, and the undying belief that this year will be the year.

Of course, there’s still a lot of dark, dreary cold between now and Opening Day. Perfect weather for watching baseball movies – Bull Durham, Major League, The Natural, Field of Dreams, and, of course, Moneyball.

Moneyball is based on the book of the same name by Michael Lewis and chronicles the 2002 Oakland Athletics season. The ’02 Oakland A’s, led by General Manager Billy Beane (played by Brad Pitt), forever changed baseball by adopting an approach that valued rigorous statistical analysis over the collective wisdom of baseball insiders (coaches, scouts, front office personnel) when building a team. This approach, termed “Moneyball,” enabled the A’s to reach the postseason with a team that cost only $44M in salary, compared to the NY Yankees that spent $125M to achieve the same outcome.

While the whole movie (and book) is a testament to the courage and perseverance required to challenge and change the status quo, time and again I come back to three lines that perfectly sum up the journey of every successful intrapreneur I’ve ever met.

The Beginning

“I know you’ve taken it in the teeth out there, but the first guy through the wall…he always gets bloody…always always gets bloody. This is threatening not just a way of doing business… but in their minds, it’s threatening the game. Really what it’s threatening is their livelihood, their jobs. It’s threatening the way they do things… and every time that happens, whether it’s the government, a way of doing business, whatever, the people who are holding the reins – they have their hands on the switch – they go batshit crazy.”John Henry, Owner of the Boston Red Sox

Context

The 2002 season is over, and the A’s were eliminated in the first round of the playoffs. John Henry, an owner of the Boston Red Sox, has invited Bill Beane to Boston to offer him the Red Sox GM job.

Lesson

This is what you sign up for when you decide to be an Intrapreneur. The more you challenge the status quo, the more you question how business is done, the more you ask Why and demand an answer, the closer you get to “tak(ing) it in the teeth.”

This is why courage, perseverance, and an unshakeable belief that things can and should be better are absolutely essential for intrapreneurs. Your job is to run at the wall over and over until you get through it.

People will follow. The Red Sox did. They won the World Series in 2004, breaking an 84-year-old curse.

The Middle

“It’s a process, it’s a process, it’s a process” — Bill Beane

Context

Billy has to convince the ballplayers to forget all the habits that made them great and embrace the philosophy of Moneyball. To stop stealing bases, turning double plays on bunts, and swinging for the fences and to start taking walks, throwing to first for the easy out, and prioritize getting on base over hitting a home run.

The players are confused and frustrated. Suddenly, everything that they once did right is wrong and what was not valued is deeply prized.

Lesson

Innovation is something new that creates value. Something new doesn’t just require change, it requires people to stop doing things that work and start doing things that seem strange or even wrong.

Change doesn’t happen overnight. It’s not a switch to be flipped. It’s a process to be learned. It takes time, practice, reminders, and patience.

The End

“When you get an answer you’re looking for, hang up.” — Billy Beane

Context

In this scene, Billy has offered one of his players to multiple teams, searching for the best deal. When the phone rings with a deal he likes, he and the other General Manager (GM) agree to it, Billy hangs up. Even though the other GM was in the middle of a sentence. When Peter Brand, the Assistant GM played by Jonah Hill, points out that Billy had just hung up on the other GM, Billy responds with this nugget of wisdom.

Lesson

It’s advice intrapreneurs should take very much to heart. I often see Innovation teams walk into management presentations with long presentations, full of data and projections, anxious to share their progress, and hoping for continued funding and support. When the meeting starts, a senior exec will say something like, “We’re excited by the progress we’re hearing about and what it will take to continue.”

That’s the cue to “hang up.”

Instead of starting the presentation from the beginning, start with “what it will take to continue.” You got the answer you’re looking for – they’re excited about the progress you’ve made – don’t spend time giving them the info they already have or, worse, could raise questions and dim their enthusiasm. Hang up on the conversation you want to have and have the conversation they want to have.

In closing

Moneyball was an innovation that fundamentally changed one of the most tradition-bound businesses in sports. To be successful, it required someone willing to take it in the teeth, to coach people through a process, and to hang up when they got the answer they wanted. It wasn’t easy but real change rarely is.

The same is true in corporations. They need their own Bill Beanes.

Are you willing to step up to the plate?

Image credit: Wikimedia Commons

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Do You Find Growth By Searching, Seeking, or Stalking?

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GUEST POST from Robyn Bolton

Growth is the lifeblood of any organization, and the quest for growth opportunities is not just a strategic imperative. It is a fundamental necessity because the ability to identify and capitalize on opportunities is a game-changer for companies wanting to achieve sustainable success and stay ahead of the competition.

The challenge, however, is that not all opportunities are the same – some are head-smackingly obvious, while others are like trying to nail down JELL-O. Yet companies take a “one size fits all” approach to finding, developing, and capitalizing on them.

SEARCH when need to transform

What do you do when you need information but don’t know precisely what you need and certainly don’t know where to find it? You Google it or, in less-branded terms, you search for it.

When searching for growth opportunities, you’re looking for something but don’t know exactly what you need or where you’ll find it. Finding opportunities requires you to go beyond traditional market analysis and adopt a learner’s mindset to see ways to disrupt the status quo, challenge existing paradigms, and create new value propositions for your customers.

Searching is a creative process that entails investing in R&D, fostering a culture of intrapreneurship, and experimenting with new technologies. It requires a culture of creativity, experimentation, and agility to adapt to changing market dynamics. You have to be willing to be wrong on your way to being right, to move slowly so you can act quickly, and to throw out the timeline to harness the game-changing opportunity.

SEEK when you need to innovate

What do you do when you know what you need and generally where to find it? You seek it out – you go to where you think it will be, and, on the off-chance it’s not there, you pivot to Option B.

When you’re seeking growth opportunities, you have a target in mind but are not 100% sure how to hit it. Maybe you know you want to enter a new geography, but you need to figure out how to do it successfully and avoid the mistakes of previous entrants. Maybe it’s a new industry or category, but you must understand if and how to do it without disrupting your existing business model.

Seeking is both creative and analytical. You look for data and market intelligence, interview experts and individuals, analyze industry trends and explore untapped segments. It also requires you to stay open to surprises and new possibilities and take calculated risks to capitalize on emerging trends or consumer preferences. Like searching, it requires patience. Unlike searching, it respects a deadline.

STALK when you need to improve

Just like a lioness stalking a wildebeest, you do this when you see an opportunity and know exactly how to capture it. Yes, there will be zigs and zags along the way, and an unexpected competitor may pop up. But this is who you are and what you do.

When stalking opportunities, you bring the full value and power of your experience, expertise, resources, and capabilities to bear on an opportunity. This may happen when you’re operating and improving your core business. It may also occur after you’ve searched (and found) an opportunity, sought (and decided on) a strategy, and now you have the confidence to launch and scale.

Do Your Approaches Align with Your Goals?

Most companies say that they want to transform. Still, very few have the patience or intestinal fortitude to search because there is no Google for Transformation that produces the exact plan you need to transform successfully.

Companies also tend to stalk when they want to innovate, leaving opportunities to change the game and build sustainable competitive advantage on the sideline because they’re too uncertain or take too long.

Growth requires all three approaches – search, seek, and stalk – but only happens when your chosen approach aligns with your goals.

Image credit: Pexels

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