Frank Dethier

Frank Dethier –

HOW TO INNOVATE?

ONE HOLISTIC FRAMEWORK

2

Strategy

Process

Organization

Resources

Culture

Frank Dethier –

HOW TO INNOVATE?

INNOVATION STRATEGY?

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Innova-

tion

Strategy

1. What’s your goal?

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2. A) How much investment? From where?

B) When?

C) Who?

3. Define & select your opportunities

(strategic innovation area’s)

Frank Dethier –

New &

Existing

MarketsTrends

• Technology

• Need

• Business

• LegalInnovation

challenges

Dev

Projects to obtain

understanding of

• Technology

• Customer Need

• Business

Internal &

External Ideas

INNOVATION PROCESS S

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Strategy

Idea

selection

Frank Dethier –

INNOVATION & DELIVERY PROCESS

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Mark

etsTrends

challe

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Dev

Projects

Strat

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• Experimentation

• Agile

• Linked to Strategy

• Execution

• Portfolio

• Funding based on

Gate approval

Frank Dethier –

HOW TO INNOVATE?

ORGANIZATION

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Explore Exploit

Ambidextrous Open Innovation

Frank Dethier –

HOW TO INNOVATE?

RESOURCES

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Right person,

Right job

Individuals Project Teams

Diversity

Leadership

Vision, listening

& advice

Frank Dethier

Session 6: Culture

Frank Dethier –

HOW TO INNOVATE?

COMPANY CULTURE

Wikipedia: “Organizational culture is the

collective behavior of humans who are part of an

organization and the meanings that the people

attach to their actions. Culture includes the

organization values, visions, norms, working

language, systems, symbols, beliefs and habits.”

Deal and Kennedy (1982) defined organizational

culture as the way things get done around here

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Frank Dethier –

HOW TO INNOVATE?

COMPANY CULTURE

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Which behavior is present in your company, not allowed to happen, but

nobody knows why?

The Monkey Experiment

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Frank Dethier –

HOW TO INNOVATE?

COMPANY CULTURE

Some company mindsets (not invented here, our

quarterly results, ...) do not go along with an

Innovative culture

Mindsets are stuck in companies/people while the

world around you changes

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Mistakes Insights+Innovation =

Sole focus of

most

companies

Frank Dethier –

HOW TO INNOVATE?

INNOVATIVE COMPANY CULTURE

Characteristics of Innovative Company Culture

Encourages being open

Allows interactions

Ecourages ‘different’ people to collaborate

Accept failures

Manages Risks

Learns

Shares know-how and experiences with each other

Explores new things

Embraces entrepreneurship

…

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Frank Dethier –

HOW TO INNOVATE?INNOVATIVE COMPANY CULTURE

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Several possible levers to redefine company culture

Attitudes vs

Risks

Communication &

Know-how sharingWorking environment Metrics & KPIs

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Development

Programs

Frank Dethier –

HOW TO INNOVATE?

DEVELOPMENT PROGRAMS

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Common

Language

Practical Tools

Offer ongoing

coaching

Externally

oriented

mindset

Inquisitive

mindset

Integrative

mindset Opportunity

driven mindset

Frank Dethier –

HOW TO INNOVATE?

ATTITUDE TOWARDS RISKS

Fail?!

Key

Not all ideas become successfull project

ok to fail

Ensure organization draws learnings

mistakes are ok, hiding them not!

Stop projects early and fast if you don’t

see value

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Frank Dethier –

HOW TO INNOVATE?

ATTITUDE TOWARDS RISKS

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Apple Messagepad - 1993

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Frank Dethier –

HOW TO INNOVATE?

ATTITUDE TOWARDS RISKS

Encourage Your Team to Take More Risks by being

explicit about what risk-taking really means:

Define smart risk. Distinguish the areas where risk is

encouraged, and where it is not. For example, you

want minimal “execution risk” regarding customer

commitments, but more “discovery risk” in

developing new solutions to customer problems.

Use the right words. Terms like “experiment” or

“scouting mission,” as opposed to “successful vs.

unsuccessful project,” signal a more open attitude

toward risk.

Establish clear phases for funding projects. Stop

providing blank checks and work in defined phases

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Frank Dethier –

HOW TO INNOVATE?

COMMUNICATION & KNOW-HOW SHARING

If you stop/change direction of an initiative, which

organization stops to

Study learning that drove that decision

Celebrate opportunity to redirect resources in more

promising direction

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Frank Dethier –

HOW TO INNOVATE?

COMMUNICATION & KNOW-HOW SHARING

Which organization praises people who fail for

the right reasons?

Identify roadblocks early on before the company has

invested significant sums

Have the guts to say that too much learning is

needed before value ambition level is met

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Frank Dethier –

HOW TO INNOVATE?

COMMUNICATION & KNOW-HOW SHARING

Communicate!

Home work, but for Innovation?

Formally and informally

Sharing of experiences and know-how

(incl failures)

Online tools

Face-2-face

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Frank Dethier –

HOW TO INNOVATE?

WORK ENVIRONMENT

Work environment is also crucial

element

Helps you thinking out-of-the box

Dedicated spaces

Both individually and even more

important, in groups

Creative room!?

Or at least out-of-the box sessions/spaces

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Frank Dethier –

HOW TO INNOVATE?

WORK ENVIRONMENT

Dedicated Spaces allows team to be

Inspired by imagery from the field

Immersed in their post-it notes

Able to track progress of Innovation project

Better having 2 different office environments

(exploitation & exploration) than to ask team to

switch context in same environment

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Frank Dethier –

HOW TO INNOVATE?

WORK ENVIRONMENT

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Office space designed to collaborate

Frank Dethier –

HOW TO INNOVATE?

METRICS & KPIS

How do you need to reward your best Innovators?

Metrics & KPI’s determine your goal

(communicated or not)

Several possible ways

Input driven: %budget spent on new innovations,

#ideas generated, ...

Output driven: customer satisfaction, revenues new

products/services, ...

Culture: #employees recognized for innovative work,

%time leaders spent on Innovation, ...

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Frank Dethier –

HOW TO INNOVATE?

METRICS & KPIS

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Unique

career

opportunities

Public

recognitionFinancial (but

intrinsic still

better)

Opportunity

to learn

Frank Dethier –

HOW TO INNOVATE?

INNOVATIVE COMPANY CULTURE

Status Quo Culture Innovative Culture

Predictability Un-predictability

Seek stability Seek novelty

Focus on core competence Focus on edge competence

Reinforce organizational hierarchy Reinforce organizational networks

High success rate High failure rate

Avoid surprises Embrace surprises

Accept things as they are Ask tough questions

Extend the status quo Abandon the status quo

Senior managers have critical

knowledge

Everyone has critical knowledge

Look for certainty Embrace ambiguity

Protect the past Create the future

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Frank Dethier –

HOW TO INNOVATE?

CHANGE INNOVATIVE COMPANY CULTURE

Creating an Innovative Company Culture is a

Change Management trajectory

Change management is a systematic approach to

dealing with change both from the perspective of

an organization and the individual.

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Frank Dethier –

HOW TO INNOVATE?

CHANGE MANAGEMENT

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Frank Dethier –

DISRUPTIVE INNOVATION

EXPERIENCES FROM OTHERS

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Biggest video rental company

Pay per videoBased on mailing DVDs

Netflix founder Reed Hastings asked himself, “Why can’t you sell movies like

Amazon sells books?” while fuming over the fees he had incurred from his late

return of Apollo 13 to Blockbuster

Hastings combined Amazon’s book-selling approach with gym membership fee

Model and streaming movie & movie suggesting technologies

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Frank Dethier –

DISRUPTIVE INNOVATION

EXPERIENCES FROM OTHERS

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How can I make high-quality coffee drinks more enjoyable?

Inspiration by observing Italians from all walks of life enjoying

Espresso at their local watering holes

Roasting & packing business -> Howard Schultz was

sent to Italy as employee to scout equipment

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Frank Dethier –

HOW TO INNOVATE?

ENCOURAGE YOUR PEOPLE

Do your scope of activities encourage big, ambitious

thinking? On what scale?

To what degree do activities promote

experimentation and iteration?

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Frank Dethier –

HOW TO INNOVATE?

EXCERCISE

How will you create a more Innovative company culture?

Which levers will you use?

Development Programs

Attitudes towards Risks

Communication & know-how sharing

Work environment

Metrics & KPIs

Discuss with you neighbor

Time foreseen: 30 min32

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Frank Dethier –

How will you create a more Innovative company

culture?

Which levers will you use?

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Frank Dethier –

HOW TO INNOVATE?

BOOK

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Frank Dethier –

HOW TO INNOVATE?

FUTURE INSPIRATION?

3 basic rules

1. Reserve time

2. Get out of the door/office/mindset/….

3. Do something with it (if you feel it's relevant)

Additionally: experiment (outside work)

sometimes with something new

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Frank Dethier –

HOW TO INNOVATE?

FUTURE INSPIRATION?

TED talks

LinkedIn groups (I am subscribed to about 30 groups)

MeetUp groups (I am subscribed to about 15 groups)

Magazines (HBR and BloomBerg news)

Newsletters (HBR daily, Innovatie centrums, VOKA,

...)

Consultancy offices subscription (McKinsey, BCG,

PWC, Deloitte, ...)

Meet new people

Follow webinars

Organize something

…

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Frank Dethier –

HOW TO INNOVATE?

ONE HOLISTIC FRAMEWORK

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Strategy

Process

Organization

Resources

Culture

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Frank Dethier –

FRANK DETHIER

My professional passions

Help people and companies change to Innovation & Growth

Guide young companies/start-ups to sustainable growth

Act as Change Agent in Company Board

Can you help me? Of course

Contacts & Opportunities

Recommendations

...

Last but not least, do give me feedback

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Frank Dethier –

YOUR NEW ROLE

INNOVATION MANAGER

Building innovation capabilities

Developing the competencies and capacities to innovate

Creating breakthrough strategies

Developing new business models

Finding opportunities for innovation and new growth

Catalytic thinking

Knowing the emerging, leading and best practice of innovation

Recognizing innovation lifecycle management

Accelerating and bringing change

Enhancing the quality of inventive intellectual thinking

Strengthening the collaborating effect

Building innovation resources

Leading clearly for innovation

Long-term innovation

See more at: http://www.innovationexcellence.com/blog/2012/01/27/chief-innovation-officer-checklist/

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