Tuesday 29 May 2012

Words Words Words

Just finished reading a great book - Sense of an Ending by Julian Barnes. One of the themes that stood out for me was that of Perception. How we perceive things is really coloured by the sum of our life's experiences.

When LEAN Management was discussed at an event Create and Innovate presented at last week, I thought "great concept but why give it such a negative name". LEAN to me has connections with job cuts, budget cuts, doing more with less and so on and so forth. In its true form, all LEAN means is getting rid of the waste, and that usually refers to wasteful practices. There is definitley no harm in that!

In an ideal world though I would call it something like LEAP - Learn Easier Alternate Practices. DEAP would be better - Develop Easier Alternate Practices but it doesn't conjure up the same light images as the word LEAP. Am I making any sense at all? Can you see the leprechaun taking off?

BAE Systems at Williamtown have achieved remarkable things through the introduction of LEAN Management - I wish Create and Innovate had been involved. That's real results for a real company in real time. When I google LEAN Management and see the fluff written by way of definition of the practice, you have to wonder how the principles of LEAN ever took off. Except that it started not as LEAN but as the Toyota Production System. And that's my point. The term grew out of an action.

Most of the terms we use, or even overuse to the point of cliche, came from somewhere. Creativity has existed through time immemorial. But if you look for a definition opf creativity, you get everything from the occurrence of a new novel, to a special class of problem solving. Truth is you need creativity in every facet of a business. To come up with a new concept you require creativity, to produce a new product you require creativity, to market a product you require creativity, to commercialise a new product you need to do it creatively. We act Creatively all the time...

Innovation has yet to become a part of the business culture in most companies and organisations in Australia and yet the word is already almost cliche. It is thrown around with much abandon and some individuals and organisations even hide behind it. There is an article worth reading You Call That Innovation? Companies say they love to Innovate but the term has begun to lose it's meaning. It's in the Wall Street Journal and written by Leslie Kwoh. Google it (a name that has become an action and has it's own definition - like Band-Aid or Apple).

Before I go, I also like the term Disruptive Innovation.

Disruptive innovation can be defined as an improvement or advancement that enhances a service or a product in a manner that has never been expected by the market. Jonathon Pitts

But isn't that what any Innovation is? I get the emphasis is on enhancement here, but any change for us at Create and Innovate is an Innovation - whether it be space travel or the use of tweezers and a hammer to remove a broken key from a door. In someone's perception both acts were essential, both innovative.

Words are words. In business these days you need your actions to be as loud if not louder than your words. Rhetoric can buy you short term. Action buys you respect and long term survival. Ideas are great but flutter into the ether unless followed by action.  

Friday 18 May 2012

Who Should Be Involved in Innovation?

It's a strange question really. One that really shouldn't have to be asked. Innovation should be like those other "in" words - innate, intuitive, indefinite - it should be a "given" that everyone should be involved.

So ideally, we need to convince everyone that there is no such things as a bad IDEA and that one IDEA can grow and evolve into another IDEA. The practice of innovation needs champions, people to push the cause, people who are passionate. The practice of innovation needs the ideas people - the innovators. It needs supporters - those who can help get the ideas over the line. It needs people to action ideas and it needs people to promote the innovation.

Children innovate all the time! They change the rules of games and the games parameters to suit the new kid that wants to join in. My second son was Bionicle mad when he was younger but he never once built to the picture on the cylinder. His Bionicles always had seven heads, four bodies and eight arms - reminds me of me this morning trying to get everyone out of bed and out of the house on time!

We innovate all the time. I love the Dyson vacuum story. I may be biased because the character at the centre of the tale is a male obsessed with vacuuming! Picture this - James Dyson is vacuuming his house but he becomes frustrated because his top of the line vacuum cleaner gets clogged, loses suction and stops sucking up dirt. He has a solution - drop the bag - that would be a bagless vacuum cleaner. Literally 5,126 prototypes later the problem is solved. Some display of resilience. To top it off, he had to back his own company to manufacture it.

Educators need to encourage innovative and creative thinking.

Managers need to champion innovation in their organisations and businesses.

Governments need to support innovation.

If only we could turn things upside down and instead of the easy cost cutting options to improve profits, we would promote innovative practices instead?

Finally  a sensible innovative thought about the Greek crises - instead of austerity measures, outrightly rejected by the Greek people (well do you blame them - what if you were told your wages were going to be halved and taxes would be imposed) the new approach is to stimulate the economy...

There is a post on the createninnovate Facebook page Why are we so Afraid of Failure Worth a read! http://www.smh.com.au/technology/technology-news/brain-drain-why-young-entrepreneurs-leave-home-20120517-1ytoo.html 

Monday 7 May 2012

Innovation in the USA

I have just returned from the USA in awe of the role that Creativity and Innovation play in businesses, companies and organisations. Everywhere I turned I saw the words Creativity, Innovation, Imagination – or a wonderful variation – Imaginate! These words were written across billboards, in all forms of advertising, on the front cover of the Harvard Business Review, in the subway/met/bart. The concepts of Creativity and Innovation are embedded in the business psyche as “givens”. 


There is an interesting article in the May 2012 edition of the Harvard Business Review titled Managing Your Innovation Portfolio. It's worth a read if you can get your hands on it. (On-line taster at http://hbr.org/2012/05/managing-your-innovation-portfolio/ar/1). It begins:

Management knows it and so does Wall Street. 
The year to year viability of a company depends on its ability to be innovative

The article discusses transformational rather than incremental innovation - that is - developing break throughs and inventing things for markets that don't yet exist. This doesn't necessarily happen however at the expense or detriment of your core market, where existing products are optimised for existing customers.

I loved Berkeley College in San Francisco...Sorority houses with Greek letters on them DO exist - they are not just a Hollywood myth! And there were lunch time parties happening at each of them on this particular Saturday. Right at the peak of the mountain is the St Lawrence Science Centre. Parents take their children there for playgroup, birthday parties and general "hanging out". The place is full of playgrounds and interactive science  activities - what a way to develop a young mind! It was also full of posters with the words...

 Imaginate - Turn Imagination into Innovation 

(see it at https://www.facebook.com/createninnovate).

I spoke to several students of Middle School, equivalent to our years 6 to 9 and I was struck by their ability to problem solve. This skill (threatening to become extinct in certain tribes), appears to be encouraged and rewarded in the USA - both at school and at home. The students also seem to enjoy a higher sense of self confidence and a "can do" attitude - an optimism. Surprisingly, I didn't find this attitude specific to any particular socio-economic group either.

The themes we've been talking about on Julian Campbell's radio show on 2NUR FM - Business, The Law and You - appear to be universal! Innovation needs to be managed, coordinated and integrated into business culture. 

The Harvard article concludes simply with,

When it's done efficiently, innovation is a driver of growth.

Simple and true...

Saturday 5 May 2012

Rules are Meant to Broken - or at the Very Least Bent

I was listening to Bill Gates talk about philanthropy, education and innovation the other night on Radio National and was delighted by the announcer's closing statement, "To draw more people into thinking big and outside the square, we must change how we teach". Well, for my money that means teaching EVERYONE - from school children to the elderly - that it's OK to MAKE MISTAKES and it's OK TAKE A CHANCE (no my keyboard isn't stuck on caps lock - yes I am shouting).

Of course, the best risk takers are the ones who have nothing to lose...

Amy Cosper, Editor in Chief of Entrepreneur, opens her May editor's note with "Rules - I never met one I liked" (see full article http://entrepreneur.coverleaf.com/entrepreneur/201205?folio=16#pg18). I couldn't resist - I instantly fell in love with her thinking. A few years ago we went with several other families to a camping site for a long weekend. This holiday location was full of signs that started with DON'T!

Don't Run
Don't Ride Bikes
Don't Disturb Other Guests
Don't Leave Your Rubbish...

Get the picture? We were on the lookout for the "Don't Have Fun" sign. As you could perhaps imagine, there were several comments made about the Nazi sound and strict operations of the park. We couldn't contain our laughter when the Park Supervisor appeared on a small moped with a helmet like Schultz used to wear in Hogan's Heroes.

There are a couple of entrepreneurs with colourful "Oops I think I broke the Rules" stories. Sara Blakely is the founding CEO of Spanx, a hosiery brand.She launched the brand from her home and it's now worth more than $1Billion. The story goes that Nieman Marcus, a department store in the USA, agreed to stock Spanx (well the buyers did) and try the range out with its customers. They tucked the product up the back of the store and let the big names occupy the point of sale positions.

Sara Blakely took herself off to Target and visited the hardware section where she purchased a quantity of metal shelving. Somehow this metal shelving found itself at Nieman Marcus, near the front of the registers. Miraculously, the shelves were soon occupied by Spanx hosiery. The only reason  the "ghost who installs shelves and stocks them with Spanx" was identified, was because Sara Blakely was caught on CCTV.

Richard Branson talks about the intrapraneur - entrepreneurs little brother. An intrapraneur is an employee given freedom and financial support to create new products and systems without having to follow company protocols and routines.

Jack Dorsey (Twitter), Mark Zuckerberg (Facebook) and Steve Jobs (Apple) were all risk takers and they all broke Rules. They challenged the status quo and jumped (at times leapt) outside the square. Happy crawling, hopping, jumping, leaping...

Come along to our workshop, May 16, at Fort Scratchley Historic Site, Newcastle and we'll show you how to take the first leap forward. www.createandinnovate.com.au for more details.