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Innovation på IBM
Andreas Lundgren
External Relations
IBM
”Agenda”, or overview, or gameplan, or...

• Innovation, Definition and example, trends and aspects
• Structured and unstructured – a look at the IBM
  organization and innovation
   – Integrated Product Development – the very structured process
     for the very structured development
   – Tools and thinking around distributed, (initially) unstructured
     innovation
   – Example of employee innovation
• Tools discussion, Lotus Connections, Rational...
100 years of innovation




                          http://www.ibm.com/ibm100
Patent Leadership
                     2011 US Patent Leaders
 Number of Patents




                                              © 2012 IBM Corporation
                                              Source: IFI Patent Intelligence
What do we
  mean?
Innovation occurs at the intersection of invention and insight.
           It is about the application of invention.
                                Value, value, value!
     Something new
                                   New ideas that add value
Trends In Innovation

    • Collaborative
    • Multi-disciplinary
    • Global
    • Open
Facets of Innovation
• Top Down
   •   Lead and support from the top. Give permission to be innovative
   •   Support a culture of innovation and lead by example
   •   Proven capability to innovate part of promotion criteria
   •   Supporting IT framework – anyone can add content


• From the Base Up
   • Engage everyone – close to the ground and near the customers is where the challenges to innovate
       around can be found
   •   Use all brains of the organization


• In From the Side
   • Collaborative innovation, value networks, open innovation, Disruptive Business Platforms
Structured
or not so
structured
IBM’s
Organizational
Chart
Global Business Services
                     (Solutions, transformations)


               Global Technology Services
            (Service Catalogue, Outsourcing...)




                                                                   Clients/Markets
            Industry Frameworks
                                                   Sales
                                          (”One IBM” in front of
                                          the clients, Long term
                                              relationships)

                               Software Products and
                                     Solutions
                                 (Develop and sell)
       Research
 (Future technologies,
services and customer              Hardware Products and
   specific solutions)                  components
                                     (Develop and sell)
Structured Innovation in Product Development

•   Integrated Product Development
     – IBM’s process for structured development of products & services products
     – Since mid 1990:s


•   Used by parts of IBM that develop software (SWG), hardware (STG)
    and service products (GTS)

•   Has collaborative elements, brings in Lean and Agile, measurements
    and controls

•   Under constant refinement
Integrated Product Development
      (as shown externally)




http://asq.org/quality-progress/2006/08/one-good-idea/improve-product-development-using-ipd.html
Top down
 support
IBM, The Innovation Company
(top down support)
One cohesive, company-wide strategy for
defining, measuring, shaping and sparking
innovation, as the base for IBM’s culture




Examples in practice: Innovative things are held up as good examples and
awarded. The importance of innovation is stressed. Funding for innovative
solutions made available. New social tools used by executive leadership.
Formalized Technical Professions & Careers
Examples: Consultant, IT Architect, IT Specialist, Learning Specialist, Project Management, Project
Executive, Product Services, Sales Specialist, Services Solutions Mgmt…

Career steps, example from technical profession:                         IBM Fellow (approx 50)
                                              Distinguished Engineer (approx 500)
                             Executive IT Architect
               Senior IT Architect
      Advisory IT Architect
Associate IT Architect

Meritocracy – not pay-grades based on age/years in profession

Certifications
          Giveback, patents, publications, mentoring

              Proven innovation capabilities necessary for a successful technical career!
Tools for
unstructured
 innovation
• ”F a c e b o o k ”,
                              ”L i n k e d I n ”, P h o n e
                              b o o k , s i mp l e C V
Social tools – enablers.   Greasing thet wheels
                            • C o mmu n i     i e s ,
                              g a t h e r i n g t h e
                              o t h e r t o o l s a n d
                              s o me a d d i t i o n a l
                              s u c h a s f o r u ms
                            •St a t u s u p d a t e s
                              (”T w i t t e r ”)
                            •Bl o g s
                            • S o c i a l B o o k ma r k s
                              (”D e l i c i o u s ”)
                            • R e a l l y S i mp l e
                              p r o j e c t
                              ma n a g e me n t
                            •Fi l e s h a r i n g ,
                              l i k e ”D r o p b o x ”
                              wi t h a c t i v e
                              s h a r i n g a n d
                              s e a r c h
                            • Wi k i s i n g e n e r a l
Example from Swedish (Skånsk) colleague
[pau rijktigt]
400.000 profiles in IBM’s internal phone book
I want to be able to
  smartphone scan in
Profiles. Did not find it so
        I made it...
Collaborative
 innovation
Examples from IBM Software Group

• Open Source
   – Apache Foundation, Linux community, Eclipse
   – GPFS, UIMA, OpenOffice, MQTT
   – Java community, OpenStack
• Open Development
   – Jazz, Rational Team Concert
• DeveloperWorks and AlphaWorks
   – Developer community
   – Access to early
     technology
Change, Creativity
and innovation is back
External forces impacting the organization
         2004   2006   2008   2010   2012
                                      1     Technology factors
          1      1      1      1
                               2            People skills
          2      2      2             2

                 3      3                   Market factors
          3                   3       3

          4      4      4      4      4     Macro-economic factors

          5      5      5     5       5     Regulatory concerns
          6                                 Globalization
                 6      6     6       6

          7      7      7     7       7     Socio-economic factors

          8      8      8     8       8     Environmental issues

          9      9      9     9       9     Geopolitical factors


                                            Source: IBM Global Chief Executive Officer Study 2012
Outperformers focus more on integrating
technology with business for innovation
         %
   68    more

          69%
                      If we fail to anticipate a huge
                      technology step, we might go
                      out of business.”

                      Industrial Products CEO, France
   41%



                                           of the people who deal with your
                                           customers every day?”

                                           Insurance CEO, United Kingdom

   Underperformers
   Outperformers
                                                        Source: IBM Global Chief Executive Officer Study 2012
Organizational openness introduces
new opportunities to create value
through employee collaboration




                                       Differentiate through better
                                       data access, insight and
                                       translation into actions




Partner for innovation, disrupt, and
derive revenue from new sources




                                           Source: IBM Global Chief Executive Officer Study 2012
IBM Smarter Business 2012 - Innovation på IBM

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IBM Smarter Business 2012 - Innovation på IBM

  • 1. Innovation på IBM Andreas Lundgren External Relations IBM
  • 2. ”Agenda”, or overview, or gameplan, or... • Innovation, Definition and example, trends and aspects • Structured and unstructured – a look at the IBM organization and innovation – Integrated Product Development – the very structured process for the very structured development – Tools and thinking around distributed, (initially) unstructured innovation – Example of employee innovation • Tools discussion, Lotus Connections, Rational...
  • 3.
  • 4.
  • 5. 100 years of innovation http://www.ibm.com/ibm100
  • 6. Patent Leadership 2011 US Patent Leaders Number of Patents © 2012 IBM Corporation Source: IFI Patent Intelligence
  • 7. What do we mean?
  • 8. Innovation occurs at the intersection of invention and insight. It is about the application of invention. Value, value, value! Something new New ideas that add value
  • 9.
  • 10.
  • 11.
  • 12. Trends In Innovation • Collaborative • Multi-disciplinary • Global • Open
  • 13.
  • 14. Facets of Innovation • Top Down • Lead and support from the top. Give permission to be innovative • Support a culture of innovation and lead by example • Proven capability to innovate part of promotion criteria • Supporting IT framework – anyone can add content • From the Base Up • Engage everyone – close to the ground and near the customers is where the challenges to innovate around can be found • Use all brains of the organization • In From the Side • Collaborative innovation, value networks, open innovation, Disruptive Business Platforms
  • 17. Global Business Services (Solutions, transformations) Global Technology Services (Service Catalogue, Outsourcing...) Clients/Markets Industry Frameworks Sales (”One IBM” in front of the clients, Long term relationships) Software Products and Solutions (Develop and sell) Research (Future technologies, services and customer Hardware Products and specific solutions) components (Develop and sell)
  • 18. Structured Innovation in Product Development • Integrated Product Development – IBM’s process for structured development of products & services products – Since mid 1990:s • Used by parts of IBM that develop software (SWG), hardware (STG) and service products (GTS) • Has collaborative elements, brings in Lean and Agile, measurements and controls • Under constant refinement
  • 19. Integrated Product Development (as shown externally) http://asq.org/quality-progress/2006/08/one-good-idea/improve-product-development-using-ipd.html
  • 21. IBM, The Innovation Company (top down support) One cohesive, company-wide strategy for defining, measuring, shaping and sparking innovation, as the base for IBM’s culture Examples in practice: Innovative things are held up as good examples and awarded. The importance of innovation is stressed. Funding for innovative solutions made available. New social tools used by executive leadership.
  • 22. Formalized Technical Professions & Careers Examples: Consultant, IT Architect, IT Specialist, Learning Specialist, Project Management, Project Executive, Product Services, Sales Specialist, Services Solutions Mgmt… Career steps, example from technical profession: IBM Fellow (approx 50) Distinguished Engineer (approx 500) Executive IT Architect Senior IT Architect Advisory IT Architect Associate IT Architect Meritocracy – not pay-grades based on age/years in profession Certifications Giveback, patents, publications, mentoring Proven innovation capabilities necessary for a successful technical career!
  • 24. • ”F a c e b o o k ”, ”L i n k e d I n ”, P h o n e b o o k , s i mp l e C V Social tools – enablers. Greasing thet wheels • C o mmu n i i e s , g a t h e r i n g t h e o t h e r t o o l s a n d s o me a d d i t i o n a l s u c h a s f o r u ms •St a t u s u p d a t e s (”T w i t t e r ”) •Bl o g s • S o c i a l B o o k ma r k s (”D e l i c i o u s ”) • R e a l l y S i mp l e p r o j e c t ma n a g e me n t •Fi l e s h a r i n g , l i k e ”D r o p b o x ” wi t h a c t i v e s h a r i n g a n d s e a r c h • Wi k i s i n g e n e r a l
  • 25.
  • 26. Example from Swedish (Skånsk) colleague [pau rijktigt] 400.000 profiles in IBM’s internal phone book
  • 27. I want to be able to smartphone scan in Profiles. Did not find it so I made it...
  • 29. Examples from IBM Software Group • Open Source – Apache Foundation, Linux community, Eclipse – GPFS, UIMA, OpenOffice, MQTT – Java community, OpenStack • Open Development – Jazz, Rational Team Concert • DeveloperWorks and AlphaWorks – Developer community – Access to early technology
  • 31. External forces impacting the organization 2004 2006 2008 2010 2012 1 Technology factors 1 1 1 1 2 People skills 2 2 2 2 3 3 Market factors 3 3 3 4 4 4 4 4 Macro-economic factors 5 5 5 5 5 Regulatory concerns 6 Globalization 6 6 6 6 7 7 7 7 7 Socio-economic factors 8 8 8 8 8 Environmental issues 9 9 9 9 9 Geopolitical factors Source: IBM Global Chief Executive Officer Study 2012
  • 32. Outperformers focus more on integrating technology with business for innovation % 68 more 69% If we fail to anticipate a huge technology step, we might go out of business.” Industrial Products CEO, France 41% of the people who deal with your customers every day?” Insurance CEO, United Kingdom Underperformers Outperformers Source: IBM Global Chief Executive Officer Study 2012
  • 33. Organizational openness introduces new opportunities to create value through employee collaboration Differentiate through better data access, insight and translation into actions Partner for innovation, disrupt, and derive revenue from new sources Source: IBM Global Chief Executive Officer Study 2012