Innovation and Creativity Yu Fu Email: yu.fu@heig-vd.chyu.fu@heig-vd.ch

Innovation and Creativity

Yu Fu

Email: yu.fu@heig-vd.ch

Learning objectives

• Define innovation and creativity

• Explain the personality traits of creative people

• Describe the creative process

• Explain the organisational conditions that hinder and promote creativity

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Creativity

• Creativity is the development of ideas about products, practices, services, or procedures that are new and potentially useful to the organisation.

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Innovation

• Innovation is the implementation of new ideas at the individual, group or organisational level.

• “I have not failed, I’ve just found 10,000 ways that won’t work”. - Thomas Edison

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Types of innovation

• Invention – creation of a new (novel) product or service. Something that has not been tired before.

• Extension – expansion of an existing product or service. This would mean that the entrepreneur takes an existing idea and applies it differently e.g. a new use for a product.

• Duplication – copying (replicating) an existing product or service and then adding the entrepreneurs own creative touch. In order to improve it.

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Innovation leaders

• Boeing (US)

• Virgin Atlantic (UK)

• Toyota (Japan)

• RBS (UK)

• Du Pont (US)

• Samsumg (S Korea)

• LEGO (Denmark)

• BP (UK)

• H&M (Sweden)

• Reckitt Benckiser (UK)

• PepsiCo (US)

• Tesco (UK)

• Apple (US)

• Aviva (UK)

• Google (US)

• Canon (Japan)

• Novartis (Switzerland)

• Microsoft (US)

• Adidas (Germany)

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The creative people

How are they different?

• Personality traits • Cognitive creativity skills• Domain-specific knowledge• Intrinsic motivation

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Personality traits of creative people

• Persistence• Self-confidence• Independence• Attraction to

complexity• Tolerance of

ambiguity• Intuitiveness

• Have broad interests

• Energetic• Drive to achieve• Love their work• Take risks

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Cognitive creativity skills

• Think creatively

• Generate alternatives

• Engage in divergent thinking

• Suspend judgment

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Stages in the creative process

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Idea generation

Incubation

Verification Illumination

Preparation

Stages in the creative process

• Idea generation - the seeding stage of a new idea. It is the stage where the entrepreneur recognises an opportunity exist.

• Preparation - the innovator consciously searches for information. He/she gathers, sort, and integrates information to provide for a breakthrough.

• Incubation - is the subconscious assimilation of information. It is basically fantasising.

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Stages in the creative process

• Illumination - is when the idea pops up clearly and the individual recognises the idea as feasible and realisable, ready for launch.

• Verification - is where the idea is verified to prove that it has value. This is the most difficult phase of creativity as obstacles begin to appear. The idea may also start evolving and taking a different direction. Some times the individual is forced to go back to the previous phases.

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Determinants of organisational creativity and innovation

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Organisational Innovation

Organisational ClimateResources & Skills

Structure & SystemOrganisational culture

Leadership styles

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How can organisations foster creativity?

Hire creative & diverse workforce

Design complex & challenging jobs

Set clear org. goals

Recognize & reward creativity

Set creativity goals

Use diverse teams

Create the rightorg. culture

Provide resourcesesp. time

“Be Creative!”

Management style and creativity

• Encourage risk taking• Provide autonomy• Encourage productivity• Supportive supervision, climate, and work

group• Participative leadership

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Organisational design and creativity

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FlexibleFlat

Structures

Internal &External

Interaction

Close Contact with Customers

That promote

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Creativity killers

• Excessive focus on extrinsic motivation• Limits set by superiors• Critical evaluation• Close, controlling supervision• Competition in a win-lose situation• Control of decision making• Control of information

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Creative thinking techniques

• Brainstorming rules– Expressiveness - say whatever ideas come to

mind without focusing on constraints– Non-evaluation - no criticism allowed; all are

valuable– Quantity - produce as many ideas as possible– Building - expand on other people’s ideas

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Innovation within the organisation

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ManagementPractices

Organizational Motivation

Resources

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Innovation within the organisation depends upon:

• Organisational motivation – the basic orientation of the organisation toward innovation; shared vision; providing rewards and recognition; lack of internal politics, and lack of overemphasis on the status quo.

• Resources – everything the organisation has available to aid in the area targeted for innovation, including time, funding, information and materials.

• Management practices – allowing freedom and autonomy in the practice of work; providing challenge; specifying clear strategic goals and forming work teams comprised of individuals with diverse skills and perspectives.

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Innovation leadership: attitudes

• Deliberate climate creation and cultural influence• Innovation vision• Encourage challenge & risk taking• Collaboration• Resources for innovation• Celebration

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Innovation leadership: innovation competence

• Model and coach for innovation and creativity

• Develop innovation teams and leaders• Generate breakthrough ideas• Capitalise on entrepreneurship• Customer service• Insight into drivers and opportunities

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Innovation leadership:metrics, systems and practices

• Measure innovation costs & benefits• Incorporate innovation in performance

management• Establish supportive systems• Use innovation to increase profit• Seek to accelerate breakthrough

thinking

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