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Tools 4 Fools: Leading Innovation

  1. 1. Dave Cornelius, MBA, PMP, PMI-ACP, CSM, SSBB, ITIL v3 Taylor (1911) wrote, “In the past man has been first, in the future systems must be first”. © 2013 Dave Cornelius, Info Intel, Inc.
  2. 2. About Dave Cornelius  Agile PM Consultant - Invensys  Education and Certifications: MBA, BSCS, PMP, PMI- ACP, CSM, Six Sigma Black Belt, ITIL v3  Doctoral candidate in Organizational Leadership & Information Systems Technology (IST)  Current doctoral research project: “The Value of Scrum to Organizations: A Case Study”  30 years experience creating or leading sustaining and disruptive innovation via Information Systems Technology 2
  3. 3. Topics  What is Innovation?  Leadership Agility  Leading Organizational Change  Lean Startup  Social Networks, Mobile, Analytics, and Cloud (SMAC) 3
  4. 4. Learning Outcomes  At the conclusion of this presentation you will be able to: ◦ Articulate the differences between sustaining and disruptive innovation ◦ Explain your leadership agility style in leading sustaining and disruptive innovation projects ◦ Leverage Organization Change Management (OCM) to improve awareness of new products/services ◦ Know what SMAC can do for you 4
  5. 5. INNOVATION 5© 2013 Dave Cornelius, Info Intel, Inc. Drucker (1985) stated, “because the purpose of business is to create a customer, the business enterprise has two – and only two – basic functions: marketing and innovation. Marketing and innovation produce results; all the rest are costs”.
  6. 6. Innovation Is?  Creativity 6  Change  New Products/Services/Features  Wealth © 2013 Dave Cornelius, Info Intel, Inc.
  7. 7. Understanding Innovation  Innovation is a hypothesis, which means the outcome is uncertain.  Can follow a formal or informal process  Created by teams or individuals  Introduces leadership challenges because of product/service novelty  Requires a project to deliver innovation to market 7 © 2013 Dave Cornelius, Info Intel, Inc.
  8. 8. Importance of Innovation  A source of economic wealth – Agricultural to Industrial to Information age  Improves social economy – Social Security to sustain people during non-working years  Elevates Knowledge – Public school system  Encourages more Innovations – 3D Printers (MakerBot)  Supports competition – Apple vs. Microsoft 8Source: Global Innovation Index 2012
  9. 9. Two Modes of Innovation  Sustaining Innovation • Disruptive Innovation Incremental changes for a profit – i.e. Next year’s Ford model Radical change with a new market leader – i.e. Microsoft and Apple
  10. 10. Modes of Innovation Cont’d 10 • Disruptive Innovation Examples: • Online education • Personal computers • WikiSpeed Automotive • Smart phones and tablets • Sustaining Innovation – represents the change that incrementally improves the product for a profit (Christensen, 2010). • Disruptive Innovation – removes the market leader and provides a dramatic breakthrough by introducing a new customer base with a more simple and affordable product (Christensen, 2010). • Sustaining Innovation Examples: • Next year’s Ford model • Cheerios to Honey Nut Cheerios • A faster and lighter laptop • iPad2 to iPad4 © 2013 Dave Cornelius, Info Intel, Inc.
  11. 11. Personal Innovation Experience  Sustaining innovation will be most of our experiences  Most of us will have limited Disruptive innovation exposure 11 • My Sustaining Innovation Experiences: • 1996: Developed software to schedule gas delivery to gas stations based on predictive • 2005: Led the innovation to automate the information exchange with third party vendors that enabled a paperless environment • My Disruptive Innovation Experiences: • 1990: Developed shop floor control systems on the PC platform for the manufacturing industry © 2013 Dave Cornelius, Info Intel, Inc.
  12. 12. Impact of Innovation  The computer revolution began in the 1960s with hundreds of users and now billion of users globally. 12 Mainframes Minicomputers Personal Computers Mobile Devices Hundreds Thousands Millions Billions 1960’s 1970’s 2000’s 2013 NumberofUsers Time
  13. 13. Innovation Stagnation  For most of the 21st century the United States was number 1 in the global innovation index.  Between 1999 and 2009, the U.S. was last among the top 40 countries in innovation based on basic research, education, and corporate-tax policies.  In 2012, the United States dropped to tenth in the global innovation index, China ninth, and Switzerland is number 1.  Reduced GDP to 2.4% and education rankings dropped to 4th reading and 10th in math 13Source: Zakaria, F. 2011, Global Innovation Index 2012, The Standford Daily 2013
  14. 14. Without Innovation  Without innovation we would probably still wear fig leaves to cover our body like Adam and Eve  Without innovation doctors would still want to bleed us to remove diseases from our bodies  Without innovation those of us who drove or flew hear would have to find another method of transportation  Without innovation there would not be a formal knowledge worker class and we would not gather to share knowledge today 14
  15. 15. Innovation Summary  Requires Creativity  Produces Change  Introduces new Products/Services/Features  Generates Wealth 15
  16. 16. Innovation Open Discussions  Share Our Experiences 16
  17. 17. LEADERSHIP AGILITY 17
  18. 18. Leadership Agility  “Leadership agility is the master competency needed for sustained success in today’s complex and fast- paced business environment” (Joseph & Joiner, 2007).  Enables continual leadership transformation and improvement to make wise and effective decisions  Enables the ability to inspect and adapt to the uncertainties faced by the organization and business environment  Leadership agility is leading from the CORE versus from Behind or In-front 18 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  19. 19. Leadership Agility Competencies  Context-Setting agility: Situational awareness and sense of purpose  Stakeholder agility: Stakeholder understanding and power style  Creative agility: Reflective judgment and Connective awareness  Self-Leadership agility: Developmental motivation and Self- awareness 19 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  20. 20. Discovery Skills - Attributes  Questioning: Ask provocative questions that challenge the status quo  Observing: Observe the world like anthropologists to detect new ways of doing things  Networking: Connect with people who do not look or think like you to gain radically different perspectives  Experimenting: Experiment relentlessly to test new ideas and try out new experiences  Associating: Trigger new associations, which allow you to connect the unconnected, thereby producing disruptive innovations 20Source: Christensen, Dyer, & Gregersen – The Innovators DNA
  21. 21. Leadership Agility Levels  Expert Level: Solve Key Problems  Achiever Level: Accomplish Desired Outcomes  Catalyst Level: Mobilize Breakout Endeavors  Co-Creator Level: Realize Shared Purpose  Synergist Level: Evoke Unexpected Possibilities 21 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  22. 22. Expert Level: Solve Key Problems  45% of the managers are capable of performing at the Expert Level  View of Leadership: Tactical and believes followers respond to authority  Agility in Pivotal Conversations: Strongly assert opinions or holdback to accommodate others  Agility in Leading Teams: More of a supervisor than a manager  Agility in Leading Organization Change: Little attention to stakeholders and very task focused 22 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  23. 23. Achiever Level: Accomplish Desired Outcomes  35% of the managers are capable of performing at the Achiever Level  View of Leadership: Strategic outcome orientation and believes leaders motivate others through challenges  Agility in Pivotal Conversations: Willing to accept or initiate feedback  Agility in Leading Teams: Operates as a manager and provides strategic insights into the organization objectives  Agility in Leading Organization Change: Strategies to gain stakeholders buy-in range from one-way communication to soliciting input 23 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  24. 24. Catalyst Level: Mobilize Breakout Endeavors  5% of the managers are capable of performing at the Catalyst Level  View of Leadership: Visionary and facilitative orientation. Believes that leaders articulate an innovative, inspiring vision and bring the right people together to transform the vision into reality.  Agility in Pivotal Conversations: Articulate and question underlying assumptions. Genuinely interested in learning from diverse viewpoints.  Agility in Leading Teams: Intent on creating a highly participative team. Uses team development as a vehicle for leadership development.  Agility in Leading Organization Change: Proactive engagement with diverse stakeholders reflects a belief that their input increases the quality of decisions, not just buy-in. 24 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  25. 25. Co-Creator Level: Realize Shared Purpose  4% of the managers are capable of performing at the Co-Creator Level  View of Leadership: Oriented toward shared purpose and collaboration. Believes leadership is ultimately a service to others.  Agility in Pivotal Conversations: Able to process and seriously consider negative feedback even when highly charged emotionally.  Agility in Leading Teams: Develops a collaborative leadership team, that assumes responsibilities beyond the circle of influence  Agility in Leading Organization Change: Develops key stakeholders relationships characterized by deep levels of mutual influence and genuine dedication to the common good. 25 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  26. 26. Synergist Level: Evoke Unexpected Possibilities  1% of the managers are capable of performing at the Synergist Level  View of Leadership: Holistic Orientation. Palpable life purpose that benefits others while serving as a vehicle for personal transformation  Agility in Pivotal Conversations: Augments external feedback and supports a strong, subtle connection with others, even during challenging conversations.  Agility in Leading Teams: Can shape or amplify the energy dynamics to bring about mutual beneficial results  Agility in Leading Organization Change: Develops and maintains a deep, empathetic awareness of conflicting stakeholder interests 26 Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  27. 27. The Reflective Action Circle 27 Leadership Agility 1: Assess Situation and results 2: Diagnose 3: Set Intentions 4: Take Action Source: Joiner & Josephs (2007) “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change” Determine problems or opportunities need your attention Understand what’s causing the problem or preventing the opportunities from being realized Clarify the results you want to achieve and determine how you can achieve them Carry out the steps you’ve decided to take
  28. 28. Leadership Development Goals  Develop a plan  Evaluate current leadership agility level ◦ Expert: Solve key problem ◦ Achiever: Accomplish desired outcome ◦ Catalyst: Mobilize breakout endeavors ◦ Co-Creator: Realize shared purpose ◦ Synergist: Evoke unexpected possibilities  Identify the desired leadership agility level  Obtain 360 feedback from two to three people 28
  29. 29. Leadership Agility Summary  Understand the leadership agility levels  Practice your leadership Discovery Skills  Develop your leadership agility competencies  Establish a leadership growth plan 29
  30. 30. Leadership Agility Open Discussions  Share Our Experiences 30
  31. 31. LEADING ORGANIZATIONAL CHANGE 31
  32. 32. “Organizations don’t change – people within organizations change.” 32 New ERPFocus on the customer Updated IT systems New marketing approach New product Online HR benefits system New strategy Productivity improvement initiative Mergers and acquisitions Any business change requires individuals to do their jobs differently to be successful Source: www.change-management.com
  33. 33. Leading Organizational Change  Sustaining and Disruptive Innovation is change and change needs management and leadership  Change is hard and according to the Harvard Business Review 70% of all change effort fail  Organizational Change Management (OCM) is supported by two key change methods: ◦ ADKAR (Awareness, Desire, Knowledge, Ability, Reinforcement ) ◦ Kotter’s 8 Steps of Change 33
  34. 34. Change Requires Leadership and Management  Planning and Budgeting  Organizing and staffing  Controlling and problem solving 34Source: Harvard Business Review (2012). Based on the books and articles of John P. Kotter  Establishing direction  Aligning people  Motivating and inspiring Management Leadership Predictability and Order Change The larger the change, the more leadership is required.
  35. 35. Kotter’s 8 Steps Change Model 35Source: Harvard Business Review (2012). Based on the books and articles of John P. Kotter 1. Establish a sense of urgency 2. Form a powerful guiding coalition 3. Create a vision 4. Communicate the vision for Buy-in 5. Empower others to act on the vision 6. Plan for and create short term-wins 7. Never let up and create more change 8. Institutionalize change into the culture Create a climate for change Engage and Enable the whole organization Implement and sustain change Please Note: This sequential model works well in a stable environment.
  36. 36. Kotter’s 8 Steps Change Model 36Source: Harvard Business Review (2012). Based on the books and articles of John P. Kotter Dynamic Environments: 8 Steps becomes 8 Accelerators 1. Create a sense of urgency around a new innovative idea 2. Build and maintain a powerful guiding coalition 3. Create a strategic vision and develop change initiatives around a big idea 4. Communicate the vision and strategy to create buy-in and attract a growing “volunteer army” 5. Accelerate movement toward the vision and the opportunity by ensuring the network removes barriers 6. Celebrate visible short term wins 7. Never let up and keep learning from experiences. Don’t declare victory too soon. 8. Institutionalize strategic change into the culture
  37. 37. Implementing Change 37 1. Innovation Impact Assessment 3. Training Assessment & Training Plan 4. Develop Overall Project Communication Plan 2. Sponsor Assessment & Sponsor Activities 5. Develop the Sponsor, Manager, & User Communications 6. Develop Pre-implementation assessment Survey and Identify Desired Adoption Rate 7. Notify Stakeholders of upcoming Change & Training 8. Training Execution & Support 9. User Acceptance Workshop 10. Post-implementation Survey
  38. 38. Innovation Impact Assessment 38 Review & validate impact assessment with Project Team/ Sponsor and Owner Quantify impact level per group & process (High/Medium/Low/None) Identify impacted processes Identify impacted stakeholders Source: Prosci 2012
  39. 39. Sponsor Assessment & Sponsor Activities 39 Socialize Sponsor / Manager Communication Plan Sponsor / Manager Communication & Activities Plan Sponsor / Manager Communication Planning Develop Sponsor Model Identify Sponsors and Key Managers Executed through Meetings & Emails Change Management Plan: Source: Prosci 2012
  40. 40. Training Assessment & Training Plan 40 Draft training invitation Set up Course Registration (as needed) Review & validate Training Plan with Project Team / Sponsor or Owner Develop Training Curriculum Develop Training Plan Source: Prosci 2012
  41. 41. Develop Overall Project Communication & Training Plan 41 Publish communication plan Review & Approval of communication plan by project team Review & Revise communication plan with project team Draft high level communication plan & training plan Obtain High Level Timeline and/or Project Plan Executed through Meetings & Emails Change Management Plan: Source: Prosci 2012
  42. 42. Develop User & Sponsor/Manager Communications 42 Review & socialize templates and map to project timeline Management review, edit/feedback & approval Draft Sponsor/Manager communications/communication templates Draft user communications / communication templates Communication Plan: Source: Prosci 2012
  43. 43. Develop Pre-implementation assessment Survey and Identify Desired Adoption Rate 43 Review Survey Results & Feedback with Project Team / Owner Launch survey Identify adoption rate with Project Owner / Exec Sponsor Develop survey Source: Prosci 2012
  44. 44. Notify Users of Upcoming Change & Training 44 Send Training Reminder Send Training Invitation & Registration Link Initial User Communication of Change by Project Owner / Exec Sponsor Sponsor / Manager High Level Communication (leveraging templates) Obtain High Level Timeline and/or Project Plan Executed through Meetings & Emails Communication Plan: Source: Prosci 2012
  45. 45. Implementation & Post-Migration User Survey 45 Review Survey Results & Feedback with Project Team / Owner 30-90 Day Post-Implementation User Adoption Survey Deployment Go Live Notification by Project Owner / Exec Sponsor Implementation & Post-Migration User Survey Testing: User Acceptance Workshop(s) for targeted Stakeholders Validate User Audience and Distribution Lists Source: Prosci 2012
  46. 46. Organizational Change Management - Reinforcement  Formal and self-paced Training  Lunch-n-Learns  Annual Evaluations 46
  47. 47. Leading Organizational Change Summary  Change requires Management and Leadership  Leverage an established method to guide your success  Develop a plan to execute your change and innovation  Engage all stakeholders and request buy-in  Evaluate your success 47
  48. 48. Leading Organizational Change Discussions  Share Our Experiences 48
  49. 49. LEAN STARTUP 49
  50. 50. Lean Startup Principles  Lean Startup Principles ◦ Entrepreneurs are everywhere ◦ Entrepreneurship is management ◦ Minimum Viable Product (MVP) ◦ Validated Learning ◦ Innovation Accounting ◦ Build-Measure-Learn Feedback Loop 50Source: Reis (2011). Lean Startup
  51. 51.  In 2011, Eric Reis introduced the Lean Startup book and conceptual framework.  Lean Startup is based on lean and agile practices. The goal is to eliminate wasteful practices and increase value to the customer often. Ideas Build Product Measure Data Learn Source: Reis (2011). Lean Startup Lean Startup
  52. 52. Lean Startup  Innovation is a Startup experience in a new or establish organization  The Lean Startup focus on operating with minimal waste  The concept emphasize building a minimum viable product (MVP)  Evaluate the viability of the new concept by testing the innovation continually with customers  Attempts to reduce risks by incremental deliverables and validated learning 52Source: Reis (2011). Lean Startup
  53. 53. Entrepreneurs are Everywhere  Drucker (1985) stated, "the entrepreneur always searches for change, responds to it, and exploits it as an opportunity”  Every organization have smart people capable of producing sustaining and disruptive innovation to increase the firm's competitive advantage  Progressive organizations encourage Intrapreneurship  An Intrapreneur is a person within a large corporation who takes direct responsibility for turning an idea into a profitable finished product through assertive risk-taking and innovation. (intrapreneur.com) 53Source: Reis (2011). Lean Startup
  54. 54. Entrepreneurship is Management  Ries (2011) viewed the entrepreneur as a vital role in “organizations that depends on innovation for future growth”  The person in this role is responsible for leveraging known management principles to manage uncertainty and harness the opportunity  The management principles include Lean and agile methods, design thinking, product management, and customer development  The entrepreneur must protect the innovation outcome by applying boundaries (scope, budget, schedule, quality, resources, risk, and customer satisfaction) 54Source: Reis (2011). Lean Startup
  55. 55. Innovation without Management  What happens when innovation is not managed? ◦ Revenue loss to investors, companies, and employees ◦ Loss of time, passion, and skills  How is innovation managed in your organization? 55
  56. 56. Entrepreneurship is Leadership  Establishes direction  Leads the innovation outcome  Applies leadership agility skills to influence people, markets, and outcomes  Align people to achieve a common goal  Motivate and inspire to deliver when things seem impossible 56
  57. 57. Minimum Viable Product (MVP)  An MVP is “that product which has just those features and no more that allows you to ship a product that early adopters see and, at least some of whom resonate with, pay you money for, and start to give you feedback on”  MVP’s are for testing assumptions through validated learning  MVP’s target the ideal early adopter customer and invite them to help you build a product that can truly impress and succeed with a broader market  An MVP does not have to be perfect but has to be good enough to be viable to that particular market segment and its early adopters 57Source: Reis (2011). Lean Startup
  58. 58. Minimum Viable Product (MVP) – Cont’d  Dropbox is a company that actually used this method to bring its product to market  The emphasis is creating an experience that insists users have “skin in the game” because you want them to be vested  Convert early adopters to passionate customers to support your word-of-mouth marketing 58Source: Reis (2011). Lean Startup
  59. 59. Validated Learning  In 1987 Ronald Reagan at the signing of the Intermediate- Range Nuclear Forces (INF) Treaty said "Trust but Verify".  Validated learning is testing an initial idea and backed up by empirical data collected from real customers to confirm or disprove the accuracy of the initial idea  The data collected provide the essential metrics to minimize waste and understand the customer’s needs  Validated learning follows the teachings of Taiichi Ohno and Shigeo Shingo who started the lean manufacturing revolution in Toyota 59Source: Reis (2011). Lean Startup
  60. 60. Validated Learning – Cont’d  Establishes the value and growth hypothesis to test the MVP  The value hypothesis tests the viability of the product or service in the market, and its ability to deliver value to the customers  The growth hypothesis tests the sustainability of the product and its ability to grow without too much coercion thus ensuring its stickiness to customers  The results of validated learning metrics determine if you persevere (continue what you are doing) or pivot (stop what you are doing and go in a different direction) 60Source: Reis (2011). Lean Startup
  61. 61. Innovation Accounting  Rigorous process of defining, empirically measuring, and communicating true progress of innovation  Provides a true indication of the progress of the team/product  The metrics include customer retention and usage patterns  Measurement and analysis will evolves as the product matures  The product graph usually resembles a hockey-stick. Illustrating the team/product is uncovering a business model that works 61Source: Reis (2011). Lean Startup
  62. 62. Innovation Accounting – Cont’d Actionable Metrics Cohort Analysis Establish a Baseline Pivot or Persevere Tune the Engine 62 Innovation Accounting Process: Innovation Accounting Engine of Growth:  Sticky engine of growth – Focus on retaining existing customers for the long term.  Viral engine of growth – Word of mouth and have the product advertise itself. Requires product to be incredible.  Paid engine of growth – Every customer must yield a
  63. 63. Build-Measure-Learn  Provides a rigorous lean method to validate your innovation hypothesis – Learning Loop  Turn ideas into products, measure customers response, and learn whether to pivot or persevere. 63 Ideas Build Product Measure Data Learn Focus Lean / Agile Analysis Source: Reis (2011). Lean Startup
  64. 64. Build  Based on a vision/hypothesis  Determine what needs to be gathered to draw a conclusion about your product  Evaluate customer behavior and determine the appropriate action  Leverage agile and lean methods for iterative delivery 64Source: Reis (2011). Lean Startup
  65. 65. Measure  Measure and steer the trajectory of the product/team  Gather data and make conclusions (iterate your product idea and start over with a modified hypothesis or start building)  Evaluate case studies on pivots (change of direction) and minimum viable product customer response  Provide key indicators to pivot or persevere 65Source: Reis (2011). Lean Startup
  66. 66. Learn  Learn and accelerate the product growth  Evaluate your application of practices in customer development  Continually learn and grow 66Source: Reis (2011). Lean Startup
  67. 67. Lean Startup Summary  Encourage entrepreneurship in your organization  Build a Minimum Viable Product (MVP) to understand your customer’s needs and develop loyal fans  Encourage validated learning to determine when to pivot or persevere  Leverage innovation accounting to rigorously define, empirically measure, and communicate the true progress of innovation  Apply the Build-Measure-Learn model to guide the outcome of innovation 67
  68. 68. Lean Startup Discussions  Share Our Experiences 68
  69. 69. SMAC AND TRANSFORMING INNOVATION 69 SMAC = Social Media, Mobile, Analytics, & Cloud Computing
  70. 70. SMAC  The convergence of social media, mobile technology, analytics, and cloud-computing.  SMAC is Agile  Increases the anytime, anywhere, and any person opportunity for connecting, collaborating, and creating  The SMAC ecosystem connects customers to new innovations and supports commerce in digital stores and storefronts 70
  71. 71. SMAC Transforming Innovation Ideas Cloud Mobile Innovation Analytic s Social Media SMAC = Social Media, Mobile, Analytics, & Cloud Computing
  72. 72. Social Media  Enables collaboration and expand the way people interact  Information captured represent behaviors and attitudes towards product, services, organizations, and individuals  Social media as a strategy to engage customers can influence behaviors and responses to existing and new brands 72
  73. 73. Mobile Technology  More than 7 billion devices connected by the end of 2013 (Cisco, 2013)  Mobile devices extend the reach to customers and increase the connections to information from various sources (Simhan, 2012).  More people use Social Media on mobile devices than desktop computers 73
  74. 74. Analytics  Analytics provide insight into customers’ interaction and experiences with products and services  Sentiment analysis provides insight into a customer’s opinion about the organization, product, or service (King, 2011).  Predictive analytics provide information to direct decisions based on past and present observed behaviors. 74
  75. 75. Cloud Computing  The practice of using a network of remote servers hosted on the Internet to store, manage, and process information  Pervasive and supports public, private, and hybrid models  Think of Microsoft Office 365, Intuit QuickBooks online, and Salesforce.com  Cloud computing has the potential to reduce energy consumption and carbon emissions by 30 percent or more (Rashid, 2010) 75
  76. 76. SMAC Example in Banking & Retail  Mobile Money as a payment method  Check deposits via a mobile device to your bank  MIT “Path Intelligence” technology tracks mobile devices connected to mobile networks ◦ Used to track your location to a shopping mall ◦ Benefits the stores subscribed to the tracking service ◦ They know when you are coming
  77. 77. Example of SMAC in Automotive  Joe Justice and Wikispeed team developed a 100-mpg car in three months and won the X-Prize $10 million for innovation (Denning, 2012)  How? ◦ Agile radical delivery management practices ◦ Collaboration with 150 team members in 15 countries using SMAC technologies (Denning, 2012)  Differentiators ◦ Every 7-days iterate the entire care vs. 5- to 14-years (Denning, 2012) ◦ Sells for $17,995 for a complete car and $10,000 for a kit (Denning, 2012) Source: Denning (2012). Forbes.com
  78. 78. Example of SMAC in Politics  President Barack Obama election machine leveraged: ◦ Social Media ◦ Mobile Technology ◦ Analytics ◦ Cloud Computing  Why? ◦ Drive behavior and Outcome  Developed predictive profiles about Obama voters Source: Scherer (2012). swampland.time.com
  79. 79. SMAC Benefits  Enables global or local collaboration  Reduced cost to market ◦ The Spanx lingerie line launched for $5,000 in 2000 and is now worth more than $1 billion without advertising (Tulshyan, 2012)  Provides anytime anywhere access to customers  Offers individual innovators and organizations an alternate way to connect with customers, measure their engagement, and accelerate the adoption rates of new innovations 79
  80. 80. SMAC & Risks  SMAC introduces the following risks: ◦ Availability ◦ Security ◦ Reputation  Requires risk mitigation strategies  Establish contingency plans 80
  81. 81. Risk Process  Identify potential risks  Document the risks  Evaluate risks with stakeholders  Mitigate risks through an execution plan 81 Identify Document Evaluate Mitigate
  82. 82. SMAC & Procurement  Define service level agreements (SLA) to provide predictability of the SMAC platform availability  Evaluate the viability of the SMAC vendors to ensure availability and security by the service provider  Negotiate an agreement to support scaling for business growth or reduction  Entertain at least three bids 82
  83. 83. SMAC & Project Managers 83 Strategic Facilitative Leadership Agility Scalable Project Manager
  84. 84. SMAC Summary  SMAC provides a vehicle for innovation acceleration  Ubiquitous and applicable to many industries  Drives connection with customers 84
  85. 85. SMAC Discussions  Share Our Experiences 85
  86. 86. Your Turn!  How will you support innovation in your organization? 86
  87. 87. References  (1) Zakaria, F. (2011). The Future of Innovation: Can America Keep Pace?. Retrieved from www.time.com.  (2) Benavente, D. & Dutta, S. (2012). The Global Innovation Index 2012: Stronger Innovation Linkages for Global Growth.  (3) Gao, H. (2013). U.S. global education ranking is misleading, School of Education scholar argues. Retrieved from http://www.stanforddaily.com/.  (4) Christensen, C. M., Dyer, J., Gregersen, H. (2011). The innovator’s DNA: Mastering the five skills of disruptive innovation. Boston, MA: Harvard Business School Publishing  (5) Joiner, W. & Josephs, S. (2007). Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change. San Francisco, CA: Jossey- Boss, A Wiley Imprint  (6) Forbes Magazine. (2012). The World’s Most Innovative Companies. Retrieved from forbes.com.  (7) Drucker, P. F. (1985), Innovation and entrepreneurship: Principles and practices. New York, NY: HarperCollins Publishing, Inc.  (8) Reis, E. (2011). The lean startup: How today’s entrepreneurs use continuous innovation to create radically successful businesses. New York, NY: Crown Publishing Group. 87
  88. 88. References Cont’d  (9) Denning, S. (2012). Wikispeed: How a 100 mpg car was developed in 3 months. Retrieved on August 29, 2013 from http://www.forbes.com.  (10) Cisco. (2013). Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update, 2012–2017. Retrieved on August 07, 2013 from http://www.cisco.com.  (11) Simhan, T.E.R. (2012). The new buzzword for software firms [Electronic Version]. Retrieved on August 09, 2013 from http://www.thehindubusinessline.com/features.  (12) Rashid, F. Y. (2010). Microsoft found cloud computing is good for the environment. Retrieved on August 29, 2013 from http://www.eweek.com/c/a/Cloud- Computing/Microsoft-Study-Finds-Cloud-Computing-Is-Good-for-the-Environment- 768593/  (13) Scherer, M. (2012, November). Inside the secret world of the data crunchers who helped Obama win [Electronic Version]. Retrieved on August 14, 2013 from http://swampland.time.com.  (14) Forbes Magazine. (2012). The World’s Most Innovative Companies. Retrieved from forbes.com.  (15) Drucker, P. F. (1985), Innovation and entrepreneurship: Principles and practices. New York, NY: HarperCollins Publishing, Inc.  (16) Reis, E. (2011). The lean startup: How today’s entrepreneurs use continuous innovation to create radically successful businesses. New York, NY: Crown Publishing Group. 88

Notes de l'éditeur

  • Christensen (2011) stated, Innovation is the economic lifeblood of our economy and the strategic priority of virtually every business leader globally.What other descriptions comes to mind when you hear the word “Innovation”?
  • Can anyone tell me why Innovation requires a project to be delivered to market? Because it requires scope, schedule, budget, resources, quality, risk, and customer satisfaction.
  • I also worked for a global consulting firm with a defined business unit (BU) focused on inspiring innovation through the concept of Intrapreneurship. Intrapreneurship is an inside entrepreneur, or an entrepreneur within a large firm, who uses entrepreneurial skills without incurring the risks associated with those activities.Discuss experience with Stanford D.School presentation about Design Thinking
  • William Joiner and Stephen Josephs “Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change”
  • Context-Setting agility: Entails stepping back to determine the best initiatives to take, given the changes taking place in the larger environmentStakeholder agility: Requires you to step back from your own views and objectives to consider the needs and perspectives of those who have a stake in your initiativesCreative agility: Involves stepping back from your habitual assumptions and developing optimal solutions to the often novel and complex issues your faceSelf-Leadership agility: Entails stepping back; becoming more aware of your thoughts, feelings, and behaviors; and experimenting with new and more effective approaches
  • Only 90% operates in the Leadership Agility Levels. The remaining 10% are less than the expert level.
  • Assess situation and results: Scan you environment and determine what issues (problems or opportunities) need your attentionDiagnose: When you identify an issue that needs attention; before you take action, try to understand what’s causing the problem or preventing the opportunities from being realizedSet Intentions: Clarify the results you want to achieve and determine how you can achieve themTake actions: Carry out the steps you’ve decided to take
  • Can you think of new products that did not last very long on the market? How about changes in your organization that made you go hmm… Thank was dumb!
  • As project managers when we plan, execute, monitor and control, close which provides a sense of predictability for the stakeholders.
  • 1. If you attended a town hall meeting and the CEO said “our goal is to increase profits by 20% over 5 years so we can make sure our organization do not have to go through a layoff”. We need all hands on deck.
  • In circumstances where the pace of change has sped up exponentially, the eight steps must become eight accelerators. The accelerators are similar to the steps, but they are used continuously rather than sequentially.These are the eight accelerators. They are always at work and often overlap with one another. Organizations use them to drive problem solving, collaboration, and creativity and to push change forward toward a big opportunity.
  • Change requires a plan. All good projects have a plan to execute.
  • Take the ideas and make them innovationsBuild a product or service Develop the product or service based on customer feedbackMeasure the response of customers to your product or serviceAnalyze the dataLearn from the data analyticsImprove your ideas
  • The MVP and incremental deliverables must meet the customers needBig Hairy Audacious Goals (BHAG)
  • I consult at a company that has many employees contributing to their success. As you walk into offices and around the office space, plaques are displayed with employee names listed on patents certificates. A unique example of crowd sourcing in the organization to improve innovation for competitive advantage.Do you have people in your organization inspiring innovation and Intrapreneurship? Anyone care to share their experiences?
  • It is tempting for the entrepreneur to find a new sense of freedom and not manage the desired outcome.
  • There is a economic loss to investors, companies, and employees. Also there is a loss of individuals time passion, and skills.I am an entrepreneur at heart. I once owned a business and I knew how to manage, however, what was lacking was the ability to lead innovation.
  • 3) The gaming industry is known for this practice4) You can’t put junk out and expect customers to be loyal to your program
  • In the 21st century, we are aware of the importance of efficiency and economic value of productivity gains.
  • Mobile Money – enables retailers to know your preferences
  • Created celebrity events and gave away the opportunity for a good time for free
  • More involvement in strategic activities, especially in portfolio activitiesA shift from the team leadership focus to risk, financial, and communications management

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