For more than 75% of companies, innovation is in the top 3 for priorities (Source: BCG 2013).
Innovation is based on an organizational mindset, which includes:
1. Inspiration
o Failure of imagination…Borders (Amazon), Blockbuster (Netflix)
o Clarity of direction vs. empowerment
2. Periscope – see threats/opportunities that are around corners
o Risk taking vs. stability
o Efficiency vs. growth
3. Process to place bets, as well as cut losses
o Discipline vs. flexible adaptation
o ROI – why is it that innovation is the only project having to prove ROI, and legacy projects don’t?!
Organizational innovation barriers:
1. Short term performance focus neglects long term competitiveness
o Small investments
o Disaggregated investment
2. Extended life cycles lengthens decision making
o Believe past performance is indicative of future results
o Execute existing models instead of building new ones
3. Organizational structure
o Rigid policies
o Political infighting
o Fragmented
Is your organizational mindset inspired and insightful, with a fair amount of risk?
