Largest business model innovation programme in the Nordic region. Jorn Bang Andersen gives a background to the Nordic business innovation model programme measured and managed innovation programme MMI. The programme involves 100 Nordic companies and innovation agencies from the five Nordic countries.

1. Measured and Managed Innovation – MMI
A Nordic Innovation Centre Programme
Nordic National MMI Workshops November 2010
Iceland 12 Nov., Norway 15 Nov., Denmark 17 Nov. and
Finland 29 Nov 2010
Jørn Bang Andersen, Senior Innovation Advisor,
Nordic Innovation Centre
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2. The Agenda
 If it ain’t broken why do we need a new model
for innovation?
 Measured and Managed Innovation
 New tools, differentiation and change of
mindset
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© Jørn Bang Andersen 2010

3. “If it ain’t broken, why do we need a
new model for Innovation”?
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© Jørn Bang Andersen 2010

4. “No Battle Plan Survives Contact With the Enemy”
General Colin Powell
Charles Joseph Minard: Mapping Napoleon’s March, 1861
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5. …. And Few Innovation Plans Survive Contact
With Market Realities
The global innovation success
4% average, across all geographies and
all industries…
Imagine… what if we could
reach…40% in the Nordic region
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© Jørn Bang Andersen 2010

6. “…US today is more than 75%
wealthier than 30 years ago,
primarily due to productivity
gains driven by innovation.
“However, until now, few steps
have been in place to allow the
US to measure and
understand innovation.”
US Department of Commerce, 2008
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© Jørn Bang Andersen 2010

7. “Every CEO will at least give lip service to the
idea that the world is moving faster and that we
need to do a better job at innovation.
But if you go into an organization and ask
people to describe their innovation system,
you get blank looks...
They have none...”
Gary Hamel
Harvard University
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8. 8
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9. Measured and Managed Innovation
New Tool
+
Differentiation
+
Change of Mindset
= Successful Innovation
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© Jørn Bang Andersen 2010

10. The Results
New Tools Differentiate Changed Mindset
New Business More New Value
More
Models Competitive Creation
Innovative
New Markets Growth Profit
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11. New Tool
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12. Innovation Radar v. 2.0
Offering
(What)
Ecosystem Platform
Solution
Channel
Supply Customer
Chain Customers
Needs
(Where) (WHO)
(Who)
Management Customer
Experience
Value Capture Communication
Process
(How) 12

13. Innovation Radar 2.0 - Examples
Offering
Ecosystem Platform
Channel Solution
Supply Chain Customer Need
Customer
Management
Experience
Value Capture Communication
Process
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14. Food Products Firms’ Radar Profiles
Firm: A Firm: B
Offerings
Offerings
7
7
Brand Platform
Brand Platform
6
6
5
5
4
Networking Solutions
Networking Solutions
4
3
3
2
2 1
Presence 0 Customer
Presence 1 Customers
Supply Chain Customer Experie
Supply Chain Customer Experience
Organization Value Capture
Organization Value Capture
Process
Process
All Rights Reserved, Robert C. Wolcott, 2003 - 2007

15. Divergent Opinions
Firm: A Firm: B
Offerings Offerings
7 7
Brand Platform Brand Platform
6 6
5
5
4
Networking Solutions Networking 4 Solutions
3
3
2
2
1
Presence 0 Presence
Customers 1 Customers
Supply Chain Customer Experience Chain
Supply Customer Experien
Organization Value Capture Organization Value Capture
Process Process
All Rights Reserved, Robert C. Wolcott, 2003 - 2007

16. Divergence of Opinion
l Substantial disagreements
exists, though the strength
areas are mostly agree upon
l The areas that have
the most measured
disagreement are
Process, Supply Chain,
Channel, and Ecosystem
l A discussion regarding the
areas with most diver-
gence could be fruitful
All Rights Reserved, Robert C. Wolcott, 2003 - 2007

17. Tying Innovation to Corporate
Strategy
l Select 2 - 5 dimensions to get a clear focus in your innovation efforts
l Look for dimensions that differentiate your company from its competitors:
Dimensions of Differentiation & Dimensions of Parity
l Coordinate all internal functions
and external partners to innovate
around these differentiating
dimensions of your business system
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18. APPLICATIONS OF THE INNOVATION RADAR
l Detailed strategic understanding:
Explore dimensions of innovation in a strategic, systematic & holistic manner
l Diagnosis:
Identify your company’s current innovation efforts and strategy
l Benchmarking:
Benchmark your company’s innovation efforts within & across industries, and
take look into the future for each dimension
l Ongoing alignment of strategy:
Track and adjust your company’s complete business system & strategy
l Management across portfolio of projects/ventures:
Enable a holistic view across your company’s innovation projects
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19. Differentiate and Change Tracks
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© Jørn Bang Andersen 2010

20. Three Ways to Look at it…
1. The same as the industry– but a lot better.
2. Turn a dimension on its head.
3. Look across other industries for new solutions.
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21. The Same as the Industry
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22. …but a lot Better…
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23. Turn a Dimension on its Head
Rackspace Hosting
 Fanatical Support®
 Premium price 10%
plus…
 Ten years and industry
leader
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© Jørn Bang Andersen 2010

24. Look Across Industries for New Solutions
Tetette
Toyota Textiles
Ford Slaugther house
Fischer Violin builder
Ski
Nike Formula 1
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25. And Three Attributes to Compete on…
Functionality
Partnership/Management?
Price Experience
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26. Mindset: Present and Future
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27. Settlers versus Pioneers
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28. What business
What is our
are we in?
business?
Are we in the Who is the
right business? customer?
How do we Business Model Who is our
what we do? customer?
Innovation to
the Core
What will our What does the
business be? customer buy?
What solutions
What is the
do we provide?
value to the
© Jørn Bang Andersen 2010
customer? 28

29. Plus a Few Simple Steps…
• Visualize and brainstorm
• Differentiate on maximum 3-5 dimensions
• Prototype small scale and develop
• Communicate and align
• Review
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© Jørn Bang Andersen 2010

30. Sum up the Innovation Radar Applied…
2. Envision
- Strategic Dimensions
- Desired Future State
1. Profile 3. Enable
- Current State - Communicate
- Competition - Educate
- Diverse Perspectives - Empower
4. Track
- Progress
- Performance
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31. End Note: From Failure to Success
Быстро = bystro (quickly)
Changed mindset – Russian
Cossack soldiers
Differentiate – quick cooking
New business – Bistro concept
Thus the French Bistro was borne.
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© Jørn Bang Andersen 2010

32. Many thanks
Jørn Bang Andersen
Nordic Innovation Centre
j.andersen@nordicinnovation.net
Mobile +47 975 40 408