Building Culture of Innovation, Developed at IDEO

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BUILDING CULTURES OF INNOVATION Tatyana Mamut, PhD & Kate Piper

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Developed while at IDEO... thank you, IDEO!

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Vision that drives innovation, articulated & supported from the top EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Employee drive to go above & beyond day-to-day tasks EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Seeking new ideas from outside the organization EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Working together across functions & backgrounds EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Quick cycles of prototyping, testing & iteration EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Generation of new provocations, insights, and questions EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Ability for the organization to evolve itself quickly to take on new challenges EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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INNOVATION ELEMENTS DIRECTION MOTIVATION INSPIRATION COLLABORATION Ongoing resource allocation & decision-making that move new ideas to implementation EXPERIMENTATION LEARNING AGILITY PRIORITIZATION

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— INNOVATION ARCHETYPES —

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tolerance for org risk tolerance for product risk

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tolerance for product risk NAVIGATOR VISIONARY TINKERER EXPLORER tolerance for org risk

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Visionary DIRECTION Examples: Virgin, Louis Vuitton, Tesla INSPIRATION COLLABORATION EXPERIMENTATION “Innovation from the Top” MOTIVATION LEARNING AGILITY PRIORITIZATION Advantages: Ability to maximize efficiency and innovation Pitfalls: Without the leader, the organization is in danger

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Tinkerer DIRECTION Examples: Google, 3M, Whole Foods, Xerox PARC INSPIRATION COLLABORATION EXPERIMENTATION “Let 1,000 Flowers Bloom” MOTIVATION LEARNING AGILITY PRIORITIZATION Advantages: High engagement and lots of ideas, disruptive ideas can emerge from within Pitfalls: Initiatives can be fragmented and disorganized

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Explorer DIRECTION Examples: ABInbev, Samsung, Microsoft INSPIRATION COLLABORATION EXPERIMENTATION “Good at the D in R&D” MOTIVATION LEARNING AGILITY PRIORITIZATION Advantages: Bring in proven technology Pitfalls: Can be too reliant on others and eventually lose focus

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Navigator DIRECTION Examples: Amazon, Netflix, Treehouse, Intuit INSPIRATION COLLABORATION EXPERIMENTATION “Let a Dozen Flowers Bloom” MOTIVATION LEARNING AGILITY PRIORITIZATION Advantages: Coordinated innovation based on strategic goals Pitfalls: Hinges on talents of executive team

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NAVIGATOR/GRANDSTANDER TINKERER/MAD SCIENTIST VISIONARY/AUTOCRAT EXPLORER/NOMAD

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Take a look at your organization. Does it resemble an innovator archetype? Does it seem to be a healthy archetype?

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— CRAFTING ORGANIZATIONAL EXPERIMENTS —

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What can we design to change the organization, and its culture?

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Breaking down what you can design internally (4S model) STORYand our place in it A compelling vision of the future STRUCTUREgoverned The way people are organized and SYSTEMS and tools Formal and informal work processes SKILLS access to The human talents we have

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STORY A compelling vision of the future and our place in it Storytelling models: common modes of telling stories in organizations TOP DOWN INCLUSIVE IMMERSIVE EXPERIENTIAL Top executives communicate to employees, for example via creating a video, hosting a town hall conversation, or sending emails. Host a conversation and capture common themes, for example via an online community. Create an immersive experience to tell a story, for example a gallery space in the office. Create a lived experience that communicates the desired state, for example wargame or immersion with customers.

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STRUCTURE The way people are organized and governed Innovation patterns: common models for structuring for innovation efforts INCUBATE SPIN-OFF INTEGRATE OUTSOURCE Create a new department or capability that identifies, inspires, shepherds and incubates innovation (Intuit, Ford, ABI Beer Garage) Build a stand-alone business or spin-off to develop innovative and disruptive businesses (Ditto, Bold Italic) Make innovation everyone’s job and create new processes to enable innovation in many places within the organization (Google, 3M, Life Technologies) Create a fund to invest in new ideas or hire consultants to develop new ideas and the process to implement and scale these ideas (ConAgra, P&G Connect and Develop, Mayo Clinic Ventures)

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SYSTEMS Formal and informal work processes and tools RESOURCE ALLOCATION DECISION MAKING How are money, time, and people distributed across different priorities in an organization? How are decisions made about which projects and initiatives move forward? Who has the power to develop and try out new ideas? COMMUNICATION How do people communicate with each other and external partners in the organization? PRODUCT DEVELOPMENT PROCESS How are new ideas created, developed, prototyped, and marketed? SPACE What does the workspace look like and how does it frame, enable, and nudge the behaviors and beliefs of employees, leaders, and customers?

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SKILLS The human talents we have access to The talent lifecycle: the factors that can be designed for within an org related to talent BUILDING NETWORKS ATTRACTING TALENT MOTIVATING MEASURING + REWARDING + EVALUATING SELECTING + HIRING SAYING GOODBYE GROWTH + LEARNING STAYING IN TOUCH

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Pick one Innovation Element you would like to build in your org, and design 2-3 experiments you can run with your organization

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Do something small this week. Learn. Do something bigger next week. Learn. Repeat.

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Thank you! Tatyana Mamut, PhD tatymamut@gmail.com

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