Tag Archives: transformation

Moneyball and the Beginning, Middle, and End of Innovation

Moneyball and the Beginning, Middle, and End of Innovation

GUEST POST from Robyn Bolton

Recently, 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 was still a lot of dark, dreary cold between then and Opening Day.  Perfect weather for watching baseball movies – Bull DurhamMajor LeagueThe NaturalField 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 credits: Pixabay

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‘Innovation’ is Killing Innovation. How Do We Save It?

'Innovation' is Killing Innovation. How Do We Save It?

GUEST POST from Robyn Bolton

How do people react when you say “innovation?”

  1. Lean forward, eyes glittering, eager to hear more
  2. Stare blankly and nod slowly
  3. Roll their eyes and sigh
  4. Wave their hands dismissively and tell you to focus on other, more urgent priorities.

If you answered C, you’re in good company.

Innovation is a buzzword. Quick searches of Amazon and Google Scholar result in 100,000+ books and 200,000+ articles on the topic, while a scan of the SEC’s database yields 8,000 K-1 filings with the word “innovation” in 2020 alone.

“Innovation” is meaningless, like all buzzwords. There’s a reason that practitioners and consultants insist on establishing a common definition before starting innovation work. I’ve been in meetings with ten people, asked each person to define “innovation,” and heard 12 different answers.

But all this pales in comparison to the emotional response it elicits. Some people get incredibly excited, bouncing out of their seats, ready to bring their latest idea to life (whether it should be brought to life is a different story.). Some nod solemnly as if confronted by a necessary evil, accepting a fate beyond their control. Most roll their eyes because they’ve been through this before and, like all management “flavors of the month,” this too shall pass.

“Innovation” is killing Innovation

The emotions and opinions we tie to “innovation” overwhelm the dictionary definition, making it difficult to believe that the process and, more importantly, the result will be different this time.

We need a different word.

One that has the same meaning and none of the baggage.

This may feel impossible, but if “literally” can mean “figuratively” (do NOT get me started on this 2013 decision) and the Oxford English Dictionary can add 700 new words in 2022, surely we can figure this out.

10 alternatives to ‘Innovation’

The following options are sourced primarily from conversations with other experts and practitioners.

  1. Invention
  2. Ideation
  3. Incubation
  4. Improvement
  5. Creation
  6. Design
  7. Growth
  8. Transformation
  9. Business R&D*

Yes, #10 is intentionally missing because…

What do you think?

Finding a new word (or maybe changing how “innovation” is perceived, understood, and pursued) is a group effort. One person alone can’t do it, and a few people on a call complaining about the state of things certainly won’t (we’ve tried).

What do you think?

Do we need a different word for “innovation,” or should we keep it and deal with the baggage?

If we need a different word, what could it be? What do YOU use?

If we keep it, how do you combat the misunderstanding, eye rolls, and emotional baggage?

Let us know in the comments.


* This option came directly from a conversation with a client last week, and I kinda love it. 

We discussed the challenge of getting engineers to stay in a discovery mindset rather than jumping immediately to solutions. Even though they work in R&D (the function), he observed that 99.9% of their work (and, honestly, their careers) is spent on the D in R&D (development).

That’s when it clicked.

Research begins with investigation and inquiry to understand a broad problem and then uses the resulting insights to solve a specific problem. It is a learning process, just like the early stages of Innovation. And, just like in the early days of Innovation, you can’t predict the result or routinize the work.

Development focuses on bringing the “new or modified product or process to production,” Just like the later phases of Innovation when prototyping and experimentation are required, and risk is driven out of the proposition.

Traditional R&D focuses on technical and scientific exploration and solutioning,

Innovation focuses on market, consumer/customer, and business model exploration and solutioning.

It is R&D for the business. 

Business R&D.

Image credits: Pixabay

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Innovation Is Driving Away Your Top Talent

Innovation Is Driving Away Your Top Talent

GUEST POST from Robyn Bolton

You want and need the best, most brilliant, most awesome-est people at your company. But with unemployment at a record low, the battle for top talent is fierce.

So, you vow not to enter the battle and invest in keeping your best people and building a reputation that attracts other extraordinary talents.

You offer high salaries, great benefits, flexible work arrangements, the prestige of working for your company, and the promise of rapid career progression. All things easily matched or beaten by other companies, so you get creative.

INNOVATION!

Your best people are full of ideas and have the confidence and energy to make things happen. So, you unleash them. You host hackathons and shark tanks. You install idea collection software and run contests. You offer training on how to be more innovative. You encourage employees to spend 20% of their time on passion projects.

And they quit.

They quit participating in all the opportunities you offer.

They quit sharing ideas.

They quit your company,

Not because they are ungrateful.

Or because they don’t want to innovate.

Or because they don’t have ideas.

They quit because they realize one of the following “truths”

They’re not “Innovators”

High performers believe they need to work on an innovation project to progress (because management explicitly or implicitly communicates this). But when they finally get their chance, they struggle. The project falls behind schedule, struggles to meet objectives, and is quietly canceled. They see this as a failure. They believe they failed.

But they didn’t fail. They learned something very uncomfortable – they’re not good at everything.

Innovation is different than Operation. When you’re operating, you’re working in a world full of knowledge, where cause and effect are predictable and “better” is easily defined. When you’re innovating, you’re working in a world full of assumptions, where things are unpredictable, patterns emerge slowly, and few things are defined. Most people are great at operating. Some people are great at innovating. Extraordinarily few are great at both.

Innovation is a hobby, not an imperative

The problem with innovation efforts like hackathons, shark tanks, and “20% Time” is that people pour their hearts and souls into them and get nothing in return. Sure, an award, a photo with the CEO, and bragging rights motivate them for a few weeks. But when their hard work isn’t nurtured, developed, and brought to a conclusion (either launched or shelved), they realize it was all a ruse.

They are disappointed but hope the next time will be different. It isn’t.

They stop participating to spend time on “more important” things (their “real” work). But they still care, so they keep tabs on other people’s efforts, quietly hoping this time will be different. It isn’t.

They grow cynical.

They choose to stay and accept that innovation isn’t valued or resign and go somewhere it is.

Their potential is bigger than your box

“I felt like Dorothy in the Wizard of Oz. Before the training, the world was black and white. After, it was full color. I don’t want to go back to black and white.”

For this person, the training had gone wonderfully awry.

The training built their innovation skills but motivated them to find another job because it opened their eyes. They realized that while they loved the uncertainty and creativity of innovation, their place in the organization wouldn’t allow them to innovate. They were in a box on an org chart. They no longer wanted to be in that box, but the company expected them to stay.

But are these “truths” true?

As Mom always said, actions speak louder than words.

  • Who does your company value more – innovators or operators? The answer lies in who you promote.
  • Is innovation a strategic priority? The answer lies in where and how you allocate resources (people, money, and time).
  • Do you want to retain the person or the resource? The answer lies in your willingness to support the person’s growth.

Speak the truth early and often

If a top performer struggles in an innovation role, don’t wait until the project “fails” to reassure them that operators are as (or more) important and loved as innovators. Connect them with senior execs who faced the same challenges. Make sure their next role is as desirable as their current one.

(Or, if innovators are truly valued more than operators, tell them that, too.)

If innovation is an imperative, commit as much time and effort to planning what happens after the event as you do planning the event itself. Have answers to how people will be freed up to continue to work on their projects, money will be allocated, and decisions will be made.

(Or, if innovation really is a corporate hobby, follow the model of top universities and let people participate f they want and give everyone else time off to pursue their hobbies).

If you want to retain the person more than the resource, work with them to plot a path to the next role. Be honest about the time and challenge of moving between boxes and the effects on their career. And if they still want to break out of the box, help them.

(Or, if you want them to stay in the box, tell them that, too.)

Don’t let Innovation! drive away your top talent. Use honesty to keep them.

Image credits: Pixabay

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3 Examples of Why Innovation is a Leadership Problem

Through the Looking Glass

3 Examples of Why Innovation is a Leadership Problem

GUEST POST from Robyn Bolton

Do you sometimes feel like you’re living in an alternate reality?

If so, you’re not alone.  Most innovators feel that way at some point.

After all, you see things that others don’t.

Question things that seem inevitable and true.

Make connections where others only see differences.

Do things that seem impossible.

It’s easy to believe that you’re the crazy one, the Mad Hatter and permanent resident of Wonderland.

But what if you’re not the crazy one?

What if you’re Alice?

And you’re stepping through the looking glass every time you go to work?

In Lewis Carroll’s book, the other side of the looking glass is a chessboard, and all its inhabitants are chess pieces that move in defined and prescribed ways, follow specific rules, and achieve defined goals.  Sound familiar?

Here are a few other things that may sound familiar, too

“The rule is, jam tomorrow and jam yesterday – but never jam today.” – The White Queen

In this scene, the White Queen offers to hire Alice as her lady’s maid and pay her “twopence a week and jam every other day.”  When Alice explains that she doesn’t want the job, doesn’t like jam, and certainly doesn’t want jam today, the queen scoffs and explains the rule.

The problem, Alice points out, is that it’s always today, and that means there’s never jam.

Replace “jam” with “innovation,” and this hits a little too close to home for most innovators.

How often do you hear about the “good old days” when the company was more entrepreneurial, willing to experiment and take risks, and encouraged everyone to innovate?

Innovation yesterday.

How often do you hear that the company will invest in innovation, restart its radical innovation efforts, and disrupt itself as soon as the economy rebounds, business improves, and things settle down a bit?  Innovation tomorrow.

But never innovation today.  After all, “it’s [innovation] every other day: today isn’t any other day, you know.”

“When I use a word, it means just what I choose it to mean – neither more, not less.” – Humpty Dumpty

In this scene, poor Alice tries to converse with Humpty Dumpty, but he keeps using the “wrong” words.  Except they’re not the wrong words because they mean exactly what he chooses them to mean.

Even worse, when Alice asks Humpty to define confusing terms, he gets angry, speaks in a “scornful tone,” and smiles “contemptuously” before “wagging his head gravely from side to side.

We all know what the words we use mean, but we too often think others share our definitions.  We use “innovation” and “growth,” assuming people know what we mean.  But they don’t.  They know what the words mean to them.  And that may or may not be what we mean.

When managers encourage people to share ideas, challenge the status quo, and take risks, things get even trickier.  People listen, share ideas, challenge the status quo, and take risks.  Then they are confused when management doesn’t acknowledge their efforts.  No one realizes that those requests meant one thing to the managers who gave them and a different thing to the people who did them.

“It takes all the running you can do, to keep in the same place.  If you want to go somewhere else, you must run at least twice as fast as that!” – The Red Queen

In this scene, the Red Queen introduces life on the other side of the looking glass and explains Alice’s new role as a pawn.  Of course, the explanation comes after a long sprint that seems to get them nowhere and only confuses Alice more.

When “tomorrow” finally comes, and it’s time for innovation, it often comes with a mandate to “act with urgency” to avoid falling behind.  I’ve seen managers set goals of creating and launching a business with $250M revenue in 3 years and leadership teams scrambling to develop a portfolio of businesses that would generate $16B in 10 years.

Yes, the world is moving faster, so companies need to increase the pace at which they operate and innovate.  But if you’re doing all you can, you can’t do twice as much.  You need help – more people and more funding, not more meetings or oversight.

“Life, what is it but a dream?”

Managers and executives, like the kings and queens, have roles to play.  They live in a defined space, an org chart rather than a chessboard, and they do their best to navigate it following rules set by tradition, culture, and HR.

But you are like Alice.  You see things differently.  You question what’s taken as given.  And, every now and then, you probably want to shake someone until they grow “shorter – and fatter – and softer – and rounder – and…[into] a kitten, after all.”

So how do you get back to reality and bring everyone with you?  You talk to people.  You ask questions and listen to the answers.  You seek to understand their point of view and then share yours.

Some will choose to stay where they are.

Some will choose to follow you back through the looking glass.

They will be the ones who transform a leadership problem into a leadership triumph.

Image credits: Pixabay

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A Different Approach to Well-being, Resilience and Creativity

A Different Approach to Well-being, Resilience and Creativity

GUEST POST from Janet Sernack

In our previous blogs, we outlined the need, in our chaotic world of unknowns, to reclaim our focus and attention and take charge of our own minds. By reclaiming these, and enhancing self-awareness we have a deeper understanding of the sources of our anxiety and distractions.  How to self-manage and self-regulate them through developing deliberate calm. To effectively create consciousness, and a safe space that potentially transforms the power of our minds and hearts to connect with others, cultivate well-being, harness people’s collective genius, and generate our resilience, through thinking about creativity differently.

Transforming fear and alarm

This mobilizes the energy our fears, anxiety, and alarm provide to transform the power of our minds and develop physical and psychological well-being. We can then apply proven neuroscience principles and coaching practices to cultivate resilience and think about creativity differently.

Transforming our fears and alarm in this way increases our resilience in responding to events in real-time, anticipating future events, and processing learning’s post events. It also enhances our well-being and creativity to enable us to be courageous and compassionate when inventing and innovating in an uncertain and constantly changing environment.

The potential outcomes include people experiencing more positive emotions, increased engagement at work, increased development of positive relationships, and more meaningful and purposeful work. These help us be adaptive, and transform the power of our hearts and minds to be creative, accomplish, learn, adapt, grow, and innovate through disruption.

Well-being is in crisis

In the latest report, by Udemy on “Workplace Learning Trends” they compare data collected from Australian workers (human capital) in early September 2022 with previous surveys in November 2019, August 2020, and May 2021.

They discovered three surprising truths about well-being, including:

  • Workers’ resilience levels are waning. More than two-thirds of workers (68.5%) felt like they were burning out at work. This is impacting workers’ levels of performance, job satisfaction, and commitment.
  • There is a crisis for meaningful work Only 39.1% of workers said their work was valuable and worthwhile, versus 47% in 2021, and 52.9% in 2020.
  • Many workplaces are wasting their well-being Workplaces have too much invested in EAP services (which are proving only slightly more effective than doing nothing) and not enough in more effective tools that workers are more comfortable accessing like Wellbeing Artificial Intelligence Bots, Wellbeing Apps, Wellbeing Workshops and Wellbeing Coaching.

This reinforces the need to think and act differently when we approach cultivating well-being, resilience, and creativity to better realize our human potential and human skills in times when they are our most valuable assets and needed the most and are crucial to future success!

Developing deliberate calm

“Deliberate calm” involves developing a practice of adaptive, intentional choices that anyone can develop by embracing what was once regarded as “soft” stuff: self-awareness, emotional intelligence, and mindfulness to learn proactively and lead dynamically amid the most uncertain circumstances, where according to Aaron De Smet, the co-author of “Deliberate Calm: How to Learn and Lead in a Volatile World”:

“Why do we say “deliberate”? Because if you’re not deliberate about it you will probably freak out. I need to be very deliberate in knowing that I’m in a chaotic situation, knowing the stakes are high, knowing there’s a lot of uncertainty, and then deliberately calming myself down and taking stock”.

Deliberate calm looks at the inner world, the outer world, the context, and the dynamic between those and starts by slowing down to create a safe space for people to enjoy the benefits of deliberate calm.  This helps activate, focus, and unleash our creative brains and facilitates thinking about creativity differently.

Hitting our pause buttons

Creating deliberate calm is one of the most critically urgent human skill sets to develop.

It involves creating for ourselves and co-creating, with others, more normalized states of equilibrium and calmness. This enables us to cultivate our physical and psychological well-being, develop resilience and unleash creativity differently by accessing our collective intelligence, skills, and experience through applying proven neuroscience principles and coaching practices.

It starts with initiating a habit of pausing long enough to take deep breaths, retreat, reflect, and access these inner parts of ourselves; including noticing our emotions, identifying our triggers, observing our physical reactions to normalize our equilibrium, coherence, and calmness, and focusing on thinking about creativity differently.

Re-appraising our situation

We can then reappraise what is really going on, by identifying what our emotions are telling us, sustaining the most resourceful emotions and letting negative ones go, and finally, by identifying the key options for taking positive actions. Ultimately take smarter risks, make smarter decisions, and take more intelligent actions that cultivate our well-being, develop our resilience, unleash creativity differently, and satisfy our desire for meaning, purpose, and accomplishment.

As evidenced by our global coaching practice, this personally empowering and energizing activity focuses our attention, minds, and hearts on what really matters, and on what we can truly influence and control in a world of unknowns, and engages people deeply in doing the value-adding, productive and meaningful work that delivers it.

Three new deliberate calming practices to access and unleash our creative brains

  • Being grounded: involves being fully embodied, whole, centered, and balanced in ourselves and our relationships, we are in complete control of our mental, physical, and emotional selves, and are not easily influenced or shaken by other ideas or individuals.
  • Our unconscious mind, through our brains’ default mode network (DMN), is freed to wander, and be spontaneous in emerging and generating novel and surprising ideas and patterns.

This is usually achieved by regularly practicing a range of very simple activities that help us get centered, including removing any distractions (mobile phones), deep breathing (box breathing), and slow grounding repetitive exercises such as Feldenkrais.

  • Being mindful: involves focusing our conscious attention on the present moment, our physical sensations, thoughts, and emotions in an accepting, nonjudgmental, and discerning way. It involves training our unconscious minds to notice, focus and pay deep attention to what is really going on, for ourselves, for others, and in the system, we are operating within.
  • Our conscious minds are now provided with the focus necessary for guided problem-solving and for identifying the actions required to deliver the desired outcomes.

This is usually achieved by simple activities, by directing your focus when walking during the day (in nature without headsets), yoga, swimming, golf, tennis, listening to music, cooking, or by simple mindful meditation practices.

  • Being conscious: involves being in the present moment, or fully in the “here and now,” and means that we are grounded, fully aware, and mindful of what is happening at every moment because we are now consciously aware and able to shift our minds and generate creative thinking strategies.
  • Our conscious minds are able to exploit possibilities and make sense of the ideas that surface in the mind-wandering phase, by accessing the salience network, which then recruits the executive control networks, in our brains to refine and develop an idea. We can then exploit the range of creative ideas to make unexpected connections and to emerge, diverge and converge novel ideas for thinking about creativity differently, as well as for smart risk-taking, decision-making, and innovative problem-solving.

Empowering people to envision and transform

Creating a safe space, to transform the power of our minds and hearts to connect with others cultivates our well-being, harnesses peoples’ collective genius, generates resilience, and unleashes creativity by thinking about creativity differently.

This manifests as an opportunity to empower people to plan and make the nudges necessary to kickstart change, envision and plan for the future of unknowns.

Rather than unintentionally colluding with their unconscious panicking and retreating from the fears, anxiety, and risks currently emerging in an uncertain world full of disruption and crises.

Find out about our collective, learning products and tools, including The Coach for Innovators, Leaders, and Teams Certified Program, presented by Janet Sernack, is a collaborative, intimate, and deeply personalized innovation coaching and learning program, supported by a global group of peers over 9-weeks, starting Friday, May 12, 2023.

It is a blended and transformational change and learning program that will give you a deep understanding of the language, principles, and applications of an ecosystem focus, human-centric approach, and emergent structure (Theory U) to innovation, and upskill people and teams and develop their future fitness, within your unique innovation context.

Image Credit: Pixabay

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How Has Innovation Changed Since the Pandemic?

The Answer in Three Charts

How Has Innovation Changed Since the Pandemic?

GUEST POST from Robyn Bolton

“Everything changed since the pandemic.”

At this point, my husband, a Navy veteran, is very likely to moo (yes, like a cow). It’s a habit he picked up as a submarine officer, something the crew would do whenever someone said something blindingly obvious because “moo” is not just a noise. It’s an acronym – Master Of the Obvious.

But HOW did things change?

From what, to what?

So what?

It can be hard to see the changes when you’re living and working in the midst of them. This is why I found “Benchmarking Innovation Impact, from InnoLead,” a new report from InnoLead and KPMG US, so interesting, insightful, and helpful.

There’s lots of great stuff in the report (and no, this is not a sponsored post though I am a member), so I limited myself to the three charts that answer executives’ most frequently asked innovation questions.

Innovation Leader Research 2023 Chart 1

Question #1: What type of innovation should I pursue?

2023 Answer: Companies are investing more than half of their resources in incremental innovation

So What?:  I may very well be alone in this opinion, but I think this is great news for several reasons:

  1. Some innovation is better than none – Companies shifting their innovation spending to safer, shorter-term bets is infinitely better than shutting down all innovation, which is what usually happens during economic uncertainty
  2. Play to your strengths – Established companies are, on average, better at incremental and adjacent innovation because they have the experience, expertise, resources, and culture required to do those well and other ways (e.g., corporate venture capital, joint ventures) to pursue Transformational innovation.
  3. Adjacent Innovation is increasing –This is the sweet spot for corporate innovation (I may also be biased because Swiffer is an adjacent innovation) because it stretches the business into new customers, offerings, and/or business models without breaking the company or executives’ identities.

Innovation Leader Research 2023 Chart 2

Question #2: Is innovation really a leadership problem (or do you just have issues with authority)?

2023 Answer: Yes (and it depends on the situation). “Lack of Executive Support” is the #6 biggest challenge to innovation, up from #8 in 2020.

So What?: This is a good news/bad news chart.

The good news is that fewer companies are experiencing the top 5 challenges to innovation. Of course, leadership is central to fostering/eliminating turf wars, setting culture, acting on signals, allocating budgets, and setting strategy. Hence, leadership has a role in resolving these issues, too.

The bad news is that MORE innovators are experiencing a lack of executive support (24.3% vs. 19.7% in 2020) and “Other” challenges (17.3% vs. 16.4%), including:

  • Different agendas held by certain leadership as to how to measure innovation and therefore how we go after innovation. Also, the time it takes to ‘sell’ an innovative idea or opportunity into the business; corporate bureaucracy.”
  • Lack of actual strategy. Often, goals or visions are treated as strategy, which results in frustration with the organization’s ability to advance viable work and creates an unnecessary churn, resulting in confused decision-making.”
  • “Innovations are stalling after piloting due to lack of funding and executive support in order to shift to scaling. Many are just happy with PR innovation.”

Innovation Leader Research 2023 Chart 3

Question #3: How much should I invest in innovation?

2023 Answer: Most companies are maintaining past years’ budgets and team sizes.

So What?:  This is another good news/bad news set of charts.

The good news is that investment is staying steady. Companies that cut back or kill innovation investments due to economic uncertainty often find that they are behind competitors when the economy improves. Even worse, it takes longer than expected to catch up because they are starting from scratch regarding talent, strategy, and a pipeline.

The bad news is that investment is staying steady. If you want different results, you need to take different actions. And I don’t know any company that is thrilled with the results of its innovation efforts. Indeed, companies can do different things with existing budgets and teams, but there needs to be flexibility and a willingness to grow the budget and the team as projects progress closer to launch and scale-up.

Not MOO

Yes, everything has changed since the pandemic, but not as much as we think.

Companies are still investing in incremental, adjacent, and transformational innovation. They’re just investing more in incremental innovation.

Innovation is still a leadership problem, but leadership is less of a problem (congrats!)

Investment is still happening, but it’s holding steady rather than increasing.

And that is nothing to “moo” at.

Image credits: Pixabay, InnoLead

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Innovation and the Silicon Valley Bank Collapse

Why It’s Bad News and Good News for Corporate Innovation

Innovation and the Silicon Valley Bank Collapse

GUEST POST from Robyn Bolton

Last week, as news of Silicon Valley Bank’s losses and eventual collapse, took over the news cycle, attention understandably turned to the devastating impact on the startup ecosystem.

Prospects brightened a bit on Monday with news that the federal government would make all depositors whole. Startups, VCs, and others in the ecosystem would be able to continue operations and make payroll, and SVB’s collapse would be just another cautionary tale.

But the impact of SVB’s collapse isn’t confined to the startup ecosystem or the banking industry.

Its impact (should have) struck fear and excitement into the hearts of every executive tasked with growing their business.

Your Portfolio’s Risk Profile Just Changed

The early 2000s were the heyday of innovation teams and skunkworks, but as these internal efforts struggled to produce significant results, companies started looking beyond their walls for innovation. Thus began the era of Corporate Venture Capital (CVC).

Innovation, companies realized, didn’t need to be incubated. It could be purchased.

Often at a lower price than the cost of an in-house team.

And it felt less risky. After all, other companies were doing it and it was a hot topic in the business press. Plus, making investments felt much more familiar and comfortable than running small-scale experiments and questioning the status quo.

Between 2010 and 2020, the number of corporate investors increased more than 6x to over 4,000, investment ballooned to nearly $170B in 2021 (up 142% from 2020), and 1,317 CVC-backed deals were closed in Q1 of 2020.

But, with SVB’s collapse, the perceived risk of startup investing suddenly changed.

Now startups feel riskier. Venture Capital firms are pulling back, and traditional banks are prohibited from stepping forward to provide the venture debt many startups rely on. While some see this as an opportunity for CVC to step up, that optimism ignores the fact that companies are, by nature and necessity, risk averse and more likely to follow the herd than lead it.

Why This is Bad News

As CVC, Open Innovation, and joint ventures became the preferred path to innovation and growth, internal innovation shifted to events – hackathons, shark tanks, and Silicon Valley field trips.

Employees were given the “freedom” to innovate within a set time and maybe even some training on tools like Design Thinking and Lean Startup. But behind closed doors, executives spoke of these events as employee retention efforts, not serious efforts to grow the business or advance critical strategies.

Employees eventually saw these events for what they were – innovation theater, activities designed to appease them and create feel-good stories for investors. In response, employees either left for places where innovation (or at least the curiosity and questions required) was welcomed, or they stayed, wiser and more cynical about management’s true intentions.

Then came the pandemic and a recession. Companies retreated further into themselves, focused more on core operations, and cut anything that wouldn’t generate financial results in 12 months or less.

Innovation muscles atrophied.

Just at the moment they need to be flexed most.

Why This is Good News

As the risk of investment in external innovation increases, companies will start looking for other ways to innovate and grow. Ways that feel less risky and give them more control.

They’ll rediscover Internal Innovation.

This is the silver lining of the dark SVB cloud – renewed investment in innovation, not as an event or activity to appease employees, but as a strategic tool critical to delivering strategic priorities and accelerating growth.

And, because this is our 2nd time around, we know it’s not about internal innovation teams OR external partners/investments. It’s about internal innovation teams AND external partners/investments.

Both are needed, and both can be successful if they:

  1. Are critical enablers of strategic priorities
  2. Pursue realistic goals (stretch, don’t splatter!)
  3. Receive the people and resources required to deliver against those goals
  4. Are empowered to choose progress over process
  5. Are supported by senior leaders with words AND actions

What To Do Now

When it comes to corporate innovation teams, many companies are starting from nothing. Some companies have files and playbooks they can dust off. A few have 1 or 2 people already working.

Whatever your starting point is, start now.

Just do me one favor. When you start pulling the team together, remember LL Cool J, “Don’t call it a comeback, I been here for years.”

Image credit: Wikimedia Commons

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Take Charge of Your Mind to Reclaim Your Potential

Take Charge of Your Mind to Reclaim Your Potential

GUEST POST from Janet Sernack

In our recent blog, we explored how our focus and attention have been stolen, and how our ability to pay attention is collapsing and described why we need to be intentional in reclaiming it. Yet, many of us are constantly challenged by very short attention spans, where we can often be found sitting at our desks, dealing with a range of very urgent deadlines with a distracted, and unfocussed mind. Despite being intrinsically motivated to meet our deadlines, and being self-aware of needing to focus on completing the tasks in front of us, many of us often still struggle to disrupt and stop our thoughts from wandering randomly and haphazardly. Because, we are no longer being in charge of our minds, our time, or of our cognitive capacities and abilities that help us self-regulate, concentrate and focus our attention, kickstart change, innovate and become resilient.

A recent article in Psychology Today “The War For Your Attention” reinforces this problem by stating:

 “We live in a time when attention has become our most valuable asset, one for which multiple stakeholders are competing. Political parties, media outlets, companies, and individuals want a share of it, and if they can have it, they want it all. As a result, remaining in charge of our minds has become a daily challenge. Our attention defines our experience, which sets the mindset of our minds”.

Become Resilient

Because we don’t know if companies will ever return to their pre-pandemic-like worlds, and what new technologies will emerge, we need to become resilient to be future-fit, in this new world of unknowns.

This requires people to unlearn some of their less resourceful “bad pre and post-pandemic habits” and be:

  • Open towards relearning and reskilling in how to focus, concentrate and observe, and how to manage, direct and expand our attention spans.
  •  Intentional, outcome-focused, and therefore, effective, agile, adaptive, and resilient in an uncertain world full of disruption and crises.

This is reinforced by a recent article “Seizing the momentum to build resilience for a future of sustainable inclusive growth” by McKinsey & Co:

“In the past year, leaders have been confronted with a lifetime’s worth of disruption and crises: global conflict, energy uncertainty, food shortages, accelerating inflation, and severe climate events. Natural and human-made disruptions will only persist. To enable long-term, sustainable, and inclusive growth, today’s business leaders and policymakers must strengthen resilience beyond a survival capacity.”

  • From surviving to thriving

The nature and speed of change are not going to slow down, at the same time, our uncertain world full of disruption and crises is having a harsh psychological toll on everyone, impacting negatively on people’s states of emotional and physical health.

If we want people to thrive, we have to start helping people to live better than we ever have.

Taking the first baby steps requires people to confidently and courageously be, think and act differently.

Starting with empowering and enabling people to take charge of their hearts and minds, and commit to focusing their attention on building their resilience.

The Switch-Cost Effect

In his best-selling book Johann Hari – Stolen Focus, describes how Professor Earl Miller, a specialist in neuroscience, at the Massachusetts Institute of Technology, states that “our brains can only produce one or two thoughts” in our conscious minds at once.

Because “we are very, very single-minded” and have “very limited cognitive capacity.”

  • Multi-tasking is an illusion

The delusion that we can multitask, or juggle a number of thoughts and activities at the same time, is revealed, through robust research, as actually “switching, back and forth.”

He states that we don’t notice the switching because:

“Our brain sort of papers it over to give a seamless experience of consciousness, but what they’re actually doing is switching and reconfiguring their brain moment-to-moment, task-to-task – which comes with a cost.”

  • Losing time to refocus

This is described as the “switch-cost effect” and means that every time we switch tasks while trying to work, we are actually losing a huge amount of time required to concentrate and manage our attention spans to refocus afterward.

“For example, one study at Carnegie Mellon University’s human-computer interaction lab took 136 students and got them to sit a test. Some of them had to have their phones switched off, and others had their phones on and received intermittent text messages. The students who received messages performed, on average, 20% worse. It seems to me that almost all of us are currently losing that 20% of our brainpower, almost all the time. Miller told me that as a result we now live in “a perfect storm of cognitive degradation”.

Reducing Cognitive Degradation

There are a number of simple and obvious ways to reduce our cognitive degradation and heal our unconscious “attention deficit syndromes”, and cognitively reappraise to be in charge of our minds, concentrate and effectively manage our attention spans.

It is also the first step we need to take to empower and enable ourselves and others, in taking charge of our hearts and minds and demonstrating our commitment to focusing our attention and becoming initially resilient.

These simple actions require us to be self-disciplined, methodical, and rigorous and open to re-learning how to concentrate and self-regulated our attention spans by habitually:

  • Stripping out distractions,
  • Ceasing to multi-task,
  • Getting more quality sleep,
  • Taking regular short breaks,
  • Doing brain exercises,
  • Doing physical exercises,
  • Listening to music,
  • Setting priorities,
  • Using a timer.

How to be in charge of our own minds

If we want to cultivate a calmer, coherent, and resourceful psychological state, to achieve the outcomes we want to have in our lives, then focus and place our attention on both what we want to manifest (our intention), and on what we want your attention to move away from, to cease.

  • Attention activates

When choosing to consciously slow down, hit our pause buttons, and retreat into stillness and silence, opens the sacred space, that allows us to reflect, focus and pay deeper attention to the impact of our emotions and beliefs on our thoughts.

We can then also attend to, and break down any unresourceful beliefs, emotions, and cognitive distortions about what we can really and truly influence and control to:

  • Create a more normalised state of equilibrium and calm, get grounded and fully present and manage our attention spans to concentrate on what really matters to us, in ways that are self-compassionate and optimistic about the future.
  • Support ourselves by believing that we can succeed in handling our situations, responsibly, creatively, and effectively.
  • Become resilient by knowing how to respond to events in real-time, anticipate events and problems that may occur in the future, and bounce from adversity whilst processing the insights and learnings gained by conquering key challenges.

Developing Resilience

We can then be in charge of our minds, become resilient, and create a safe space and generosity for others to fully show up and connect with us. We can open our eyes, minds, and hearts to all options, unleash possibilities and opportunities, make smart change choices, and innovate, rather than panicking and retreating from the risks emerging in an uncertain world full of disruption and crises.

Find out about our collective, learning products and tools, including The Coach for Innovators, Leaders, and Teams Certified Program, presented by Janet Sernack, is a collaborative, intimate, and deeply personalized innovation coaching and learning program, supported by a global group of peers over 9-weeks, starting Friday, May 12, 2023.

Image Credit: Pixabay, Pexels

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The Life of a Corporate Innovator

As Told in Three Sonnets

The Life of a Corporate Innovator

GUEST POST from Robyn Bolton

Day 1

Oh innovation, a journey just begun

A bold quest filled with challenges, risks, and dreams,

A path of creativity, knowledge and fun,

That will bring change, growth and a brighter scene.

Do not be afraid, though unknowns abound,

For greatness starts with small unsteady steps

Take courage and embrace each change that’s found,

And trust that success will be the final event.

Remember, every challenge is a chance,

To learn, grow, and shape thy future bright,

And every obstacle a valuable dance,

That helps thee forge a path that’s just and right.

So go forth, my friend, and boldly strive,

To make innovation flourish and thrive.

The Abyss (Death and Rebirth)

Fight on corporate innovator, who art so bold

And brave despite the trials that thou hast,

Thou hast persevered through promises cold,

And fought through budget cuts that came so fast.

Thou hast not faltered, nor did thou despair,

Despite the lack of resources at thy door,

Thou hast with passion, worked beyond repair,

And shown a steel spine that’s hard to ignore.

Thou art a shining example to us all,

A beacon of hope in times that are so bleak,

Thou art a hero, standing tall and strong,

And leading us to victories that we seek.

So let us celebrate thy unwavering faith,

And honor thee, innovator of great grace.

The Triumph

My dear intrapreneur, well done,

The launch of thy innovation is a feat,

A result of years of hard work, and fun,

That sets a shining example for all to meet.

Thou hast persevered through many a trial,

With unwavering determination and drive,

And now, thy hard work doth make thee smile,

As thy business doth grow and thrive.

This triumph is a testament to thee,

Of thy creativity, passion, and might,

And serves as a reminder of what can be,

When we pour our hearts into what is right.

So let us raise a glass and celebrate,

Thy success, and the joy innovation hath created!

These sonnets were created with the help of ChatGPT

Image credit: Pixabay

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The AI Apocalypse is Here

3 Reasons You Should Celebrate!

The AI Apocalypse is Here

GUEST POST from Robyn Bolton

Whelp, the apocalypse is upon us. Again.

This time the end of the world is brought to you by AI.

How else do you explain the unending stream of headlines declaring that AI will eliminate jobsdestroy the education system, and rip the heart and soul out of culture and the arts? What more proof do you need of our imminent demise than that AI is as intelligent as a Wharton MBA?

We are doomed!

(Deep breath)

Did you get the panic out of your system? Feel better?

Good.

Because AI is also creating incredible opportunities for you, as a leader and innovator, to break through the inertia of the status quo, drive meaningful change, and create enormous value.

Here are just three of the ways AI will help you achieve your innovation goals:

1. Surface and question assumptions

Every company has assumptions that have been held and believed for so long that they hardened into fact. Questioning these assumptions is akin to heresy and done only by people without regard for job security or their professional reputation.

My favorite example of an assumption comes from the NYC public school district whose spokesperson explained the decision to ban ChatGPT by saying, “While the tool may be able to provide quick and easy answers to questions, it does not build critical-thinking and problem-solving skills, which are essential for academic and lifelong success,”

Buried just under the surface of this statement is the assumption that current teaching methods, specifically essays, do build critical thinking and problem-solving skills.

But is that true?

Or have we gotten so used to believing that essays demonstrate critical thinking and problem-solving that we’ve become blind to the fact that most students (yes, even, and maybe especially, the best students) follow the recipe that produces an essay that mirrors teachers’ expectations?

Before ChatGPT, only the bravest teachers questioned the value of essays as a barometer of critical thinking and problem-solving. After ChatGPT, scores of teachers took to Tik Tok and other social media platforms to share how they’re embracing the tool, using it alongside traditional tools like essays, to help their students build skills “essential for academic and lifelong success.”

2. EQ, not IQ, drives success

When all you need to do is type a question into a chatbot, and the world’s knowledge is synthesized and fed back to you in a conversational tone (or any tone you prefer), it’s easier to be the smartest person in the room.

Yes, there will always be a need for deep subject-matter experts, academics, and researchers who can push our knowledge beyond its current frontiers. But most people in most companies don’t need that depth of expertise.

Instead, you need to know enough to evaluate the options in front of you, make intelligent decisions, and communicate those decisions to others in a way that (ideally) inspires them to follow.

It’s that last step that creates an incredible opportunity for you. If facts and knowledge were all people needed to act, we would all be fit, healthy, and have absolutely no bad habits.

For example, the first question I asked ChatGPT was, “Why is it hard for big companies to innovate?” When it finished typing its 7-point answer, I nodded and thought, “Yep, that’s exactly right.”

The same thing happened when I asked the next question, “What should big companies do to be more innovative?”  I burst out laughing when the answer started with “It depends” and then nodded at the rest of its extremely accurate response.

It would be easy (and not entirely untrue) to say that this is the beginning of the end of consultants, but ChatGPT didn’t write anything that wasn’t already written in thousands of articles, books, and research papers.

Change doesn’t happen just because you know the answer. Change happens when you believe the answer and trust the people leading and walking alongside you on the journey.

3. Eliminate the Suck

Years ago, I spoke with Michael. B Jordan, Pixar’s Head of R&D, and he said something I’ll never forget – “Pain is temporary. Suck is forever.”

He meant this, of course, in the context of making a movie. There are periods of pain in movie-making – long days and nights, times when vast swaths of work get thrown out, moments of brutal and public feedback – but that pain is temporary. The movie you make is forever. And if it sucks, it sucks forever,

Sometimes the work we do is painful but temporary. Sometimes doing the work sucks, and we will need to keep doing it forever. Expense reports. Weekly update emails. Timesheets. These things suck. But they must be done.

Let AI do them and free yourself up to do things that don’t suck. Imagine the conversations you could have, ideas you could try, experiments you could run, and people you could meet if you no longer have to do things that suck.

Change is coming. And that’s good news.

Change can be scary, and it can be difficult. There will be people who lose more than they gain. But, overall, we will gain far more than we lose because of this new technology.

If you have any more doubts, I double-checked with an expert.

“ChatGPT is not a sign of the apocalypse. It is a tool created by humans to assist with language-based tasks. While artificial intelligence and other advanced technologies can bring about significant changes in the way we live and work, they do not necessarily signal the end of the world.”

ChatGPT in response to “Is ChatGPT a sign of the apocalypse?”

Image credit: Pixabay

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