Showing posts with label innovation. Show all posts
Showing posts with label innovation. Show all posts

Creating a Customer-Centered Culture: Leadership in Quality, Innovation, and Speed Review

Creating a Customer-Centered Culture: Leadership in Quality, Innovation, and Speed
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Creating a Customer-Centered Culture: Leadership in Quality, Innovation, and Speed ReviewWith the vast array of performance improvement and customer focus books on the market, readers need to be somewhat selective about what they read. This book should definitely be on any manager's list. The tools described in the book apply to any type of organization, public or private, and at any level of the organization. At the Missouri Department of Revenue, we've used Robin Lawton's customer-centered culture approach as a touchstone for many successful Performance Excellence Teams.
The only thing worse for a results-oriented leader than not reading this book would be to read it and not put it into action. Unlike so many performance improvement books, the clear guidance is more than matched by the clarity and simplicity of the steps to implementation.Creating a Customer-Centered Culture: Leadership in Quality, Innovation, and Speed Overview

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Anatomy of a Trend Review

Anatomy of a Trend
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Anatomy of a Trend ReviewThis concise book is superior to Malcolm Gladwell's best-seller, The Tipping Point. Gladwell's popular book was based on an appealingly superficial premise: that a trend spreads like a disease, multiplying geometrically until it reaches a population "tipping point," whereafter it increases to epidemic proportions. While that handy metaphor describes how a trend spreads, it doesn't really explain why, nor does it explain why one phenomenon becomes an enduring trend while another becomes just a mere short-lived fad. Unlike Gladwell, who is a journalist, Vejlgaard is a trained social scientist. Like an epidemiologist, he examines modern trends under a microscope, discovering the source of their unique power. He detects, moreover, a traceable and predictable pattern that all true trends tend to follow. An especially valuable book for professionals in advertising, marketing, and product development, and for all the rest of us who want to better understand the material forces that shape our lives.
Stephen Bertman, author, Hyperculture: The Human Cost of SpeedAnatomy of a Trend Overview

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Something Really New: Three Simple Steps to Creating Truly Innovative Products Review

Something Really New: Three Simple Steps to Creating Truly Innovative Products
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Something Really New: Three Simple Steps to Creating Truly Innovative Products ReviewThis book goes on the shelf right by Clayton Christensen's Innovator's Dilemma, and Gary Hamel's Leading the Revolution. But of the three, Hauptly's Something Really New might be the best, and certainly will be the most useful.
Innovation books frequently are written by business school professors about their clients. This leads to books that are heavy on theory, and inadequately critical of their subjects.
Hauptly's book is like other Innovation books in that it is concise, readable, and filled with helpful illustrative examples. But the effect is entirely different when the author is an actual Innovator writing for other Innovators about how to Innovate, rather than a color commentator describing action on a distant field.
Gone from Hauptly's account are the fawning success stories. Gone are the complex theories and graphs. Gone even are the unrealistically simple formulas that turn into traps when you try to do it in the real world (think Anthony Ulwick's What Customers Want). What remains is practical advice about how to innovate and how to avoid false innovation.
Hauptly takes us into mind of the Innovator like no other book I have read (even more than Joel Barker's classic, The Business of Paradigms). Not only does Hauptly pave the road for aspiring Innovators, but perhaps more importantly he sets out all the warning signs and side-markers to help avoid common psychological traps. Hauptly takes equal care to explain what is NOT an innovation, which in the real world may be the more vexing problem.
Something Really New is actually two books in one. Although Part One will stand as a major contribution to the literature simply by offering the first true Innovator's Deskbook, I was equally impressed by Part Two, which covers the people issues, organization, and culture of innovation. Where other books dance around these sensitive political issues, Hauptly is direct and pragmatic about how and where innovation can occur, who does it, who stops it, and how.
The book's chat-over-lunch tone and brain-teaser exercises are a sleight-of-hand that will lull some readers into thinking that the book lacks depth. However, the careful eye will note where the conceptual framework shows through (page 81 cannot resist a 2x2 grid; page 107 introduces the phrase "functional contiguity," and of course the concept of net utility is actually dynamite in the presence of false innovation).
The book will be least interesting to academics seeking theoretical exposition, and least welcome by senior executives who would cheer lead for innovation without actually aligning the organization and doing the work. For them, this book offers little.
But as a no-nonsense player's guide to the game, Something Really New is in a league of its own. It will be read by aspiring and experienced product development staff in all industries. Some of the concepts Hauptly introduces, like mutations, net utility, and task linking, may enter the popular lexicon of innovation. But the book is most to likely win the hearts of product developers working in the trenches, among whom word will spread of the brightest light yet shone on a notoriously dark terrain.Something Really New: Three Simple Steps to Creating Truly Innovative Products Overview

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Game-Changing Strategies: How to Create New Market Space in Established Industries by Breaking the Rules (J-B US non-Franchise Leadership) Review

Game-Changing Strategies: How to Create New Market Space in Established Industries by Breaking the Rules (J-B US non-Franchise Leadership)
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Game-Changing Strategies: How to Create New Market Space in Established Industries by Breaking the Rules (J-B US non-Franchise Leadership) ReviewReaders of business books on innovation have all been victims of the hype of doing new things and doing things differently. Of course we all know that doing new things and finding new ways of doing things can be sources of considerable value, with payoffs that go far beyond increased efficiency and continuous improvement. But simply eulogizing the companies that have made it big with a new business model (the IKEAs, Body Shops, Entreprise Rent-a-Cars and Southwest Airlines of the world) against formidable established competitors, is eye-opening but somehow insufficient.
Business model innovation - how a company changes key parts of the value chain to create new space in an established industry - is the subject of Professor Markides' new book. Remarkably removed from the common hype Markides emphasizes:
1.That implementing the new business model is harder than inventing it.
2.For a start-up, business model innovation is more obvious and easier than for an established company.
3.There are more business model innovators who fail than succeed.
4.An established company that decides to run a new business model, has to simultaneously manage degrees of differentiation and integration, synergy and competition with the existing business model and different ways of managing these can be successful
5.Established firms have various strategic options when responding to disruptive competitors with new business models
6.Established firms should themselves be innovative in their business models
And much more. The book is partly based on the author's own research of a large sample of business model innovators and is full of well-known and not-so-well-known case-examples, all well-written and with business arguments clearly articulated.
Of course the author understands that innovation is impossible without creativity and he counterbalances his "Creativity is not enough" Chapter 3, with his Appendix B - "How to enhance corporate creativity".
All in all a fine business book.
Game-Changing Strategies: How to Create New Market Space in Established Industries by Breaking the Rules (J-B US non-Franchise Leadership) Overview

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Inspire: Why Customers Come Back Review

Inspire: Why Customers Come Back
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Inspire: Why Customers Come Back Review
Those who read Jim Champy's previous book, Outsmart!, know that in it he drew metaphorically from Charles Darwin's theories of survival that are, and I quote, "Species always breed beyond available resources," "Those species with favorable variations have a greater chance of survival and pass on their variations to their offspring," and "Adapted species force out weaker ones, producing whole new species." These theories help us to understand the strategies of successful, fast-growing organizations. "Inspire! Picks up where Outsmart! leaves off, showing how these kinds of organizations have been able to increase their market share." In it he explains why customers come back to businesses that know how to deliver on their promises. "That is why the next book in the series will focus on how companies achieve true operational excellence. Like Outsmart! and Inspire!, it will have a simple, direct title: Deliver! That's because delivering is what every successful business does every day, in good times and bad."
Customer "satisfaction" is based on a single transaction and customer "loyalty" will continue from one transaction to the next only so long as each is satisfactory. Presumably Champy agrees with Ben McConnell and Jackie Huba that the objective should be to create customer evangelists who will not only "come back" but also bring others with them and, whenever possible and appropriate, function as an extended sales force. What will inspire customers to become evangelists? Champy suggests eight factors and devotes a separate chapter to each. Here are the first three:
1. Engage customers with a cause that will enable them "to identify with your mission and will happily pray a premium for the emotional connection they get from supporting it."
2. "An engagement strategy of convenience requires a deep understanding of how your product or service will fill a customer need. And what works for one group of customers might not work for another."
3. "Most companies don't [but should] give enough thought to their market channels and channel partners, and how those partners can enhance a customer experience."
The other five factors are simplifying complexity (as Albert Einstein once suggested, "Make everything as simple as possible...but no simpler."); being completely honest (i.e. authentic in that, what is affirmed and what is done are seamlessly consistent); interact with your company the same way your the customer does (i.e. "being your own customer"); balance enthusiasm with reality and, as Jason Jennings suggests, "nail the fundamentals" every time; and finally, re-energize product mix with unusual combinations (e.g. "cool and sport") that surprise and delight. In each chapter, Chapter provides a reader-friendly section, "Rules of Engagement," that I really appreciate. It consolidates specific considerations and suggestions for each of the eight factors. In the final chapter, for example, "What Could Be More Inspiring than the Melding of Cool and Sport?," six rules are provided and then briefly discussed: (1) Build on your past, (2) Don't try to go head-to-head with entrenched market leaders, (3) Use outsiders to challenge insiders, (4) Follow a well-marked highway but also test side roads now, (5) If you're the underdog play it up, and (6) Keep your edge authentic. Comparable rules are also provided near the conclusion each of the previous seven chapters. This reader-friendly device will facilitate, indeed accelerate review of key points later.
I am fascinated by the development of Champy's thinking about business process transformation since the appearance in 1993 of Reengineering the Corporation: A Manifesto for Business Revolution that he co-authored with Michael Hammer and then Reengineering Management: The Mandate for New Leadership three years later. I am among those who had then -- and still have -- reservations and concerns about any change initiative "systems" and methodologies that do not focus primarily on those responsible for their effectiveness. In his more recently published books, Champy seems to have become much more people-centered. (The same can also be said of Michael Hammer and Gary Hamel.) In Outsmart! And then in Inspire!, for example, Champy immediately establishes a personal rapport with his reader. The tone throughout both books is informal, almost conversational. "Here's what I think you need to consider. Now let's take a closer look. And as we proceed together, be sure to keep an eye open for...." This approach is especially appropriate in a book that offers information and advice about establishing and strengthening relationships with customers and channel partners, viewing them and treating them as valued human beings rather than as segments of an organizational equation.
Well-done!Inspire: Why Customers Come Back Overview

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Brainsteering: A Better Approach to Breakthrough Ideas Review

Brainsteering: A Better Approach to Breakthrough Ideas
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Brainsteering: A Better Approach to Breakthrough Ideas ReviewAs the number of books about idea generation and innovation grows, it becomes more and more difficult to differentiate the books and their messages. Many, at first, paid homage to Alex Osborn and the other people who laid the foundations for business creativity and innovation. Lately, it has become more popular to point out all of the shortcomings of the creative problem solving approach as described by Osborne, and especially lay all the problems of innovation at the feet of that favorite whipping boy, the ubiquitous brainstorm.
It should come as no surprise to anyone, anywhere, that a frequently used technique like brainstorming is often poorly applied or misused. Even less surprising in today's environment is the discovery that some executives use brainstorming as a means to their own agendas, or that teams don't spend enough time preparing to generate ideas. If these "revelations" are news to you, you've missed quite a bit of the commentary on innovation.
So, what are we to say about "Brainsteering", the new book from Kevin and Shawn Coyne? The subtitle promises "A Better Approach To Breakthrough Ideas". The Coyne brothers present Brainsteering - their title for their approach to idea generation - as if it were wholly new and completely different. But the approach they describe is what most innovation practitioners would recognize as simply good idea generation methodology.
The Coyne brothers, like others who have written about idea generation recently, take great pains to identify all that's wrong with a traditional brainstorm. They recognize that executives may have unstated agendas, and that different power levels in a brainstorm may result in pre-conceived ideas. They point out that some people are more likely to dominate a discussion, while others for various reasons don't voice their ideas, or don't intend to share ideas at all. Further, they point out that many idea generation sessions are poorly planned, and many participants don't understand the goals of the idea generation session they've been invited to. So far this is fairly normal.
The Coyne brothers go further to state that much of Osborn's thinking and methods are incorrect. For example they point to research that shows that people are more creative individually than in a group. The Coyne brothers spend some time "debunking" what they claim are the general brainstorming approaches advocated by the general innovation community, most of which pull from Osborn's methods. However, the paper tiger they build would be unrecognizable to most innovation practitioners and many executives in Fortune 500 firms. While some firms run poorly organized, poorly planned brainstorms that are driven at the whim of the executives or the most boisterous participants, those sessions represent a small minority of the brainstorming sessions that occur every day. Further, there are strong rationales for group ideation, including the fact that most of the very creative people in an organization aren't always in tune with the needs and practical realities of bringing a product to market, and even if one person has a great idea, it takes many people to make an idea a reality as a product or service. The brothers don't comment on these facts, and seem to miss entirely the growing emphasis on "open" innovation, which isn't mentioned as a way to generate and capture ideas. In fact the book doesn't mention several of the emerging trends in innovation and creativity, open innovation being just the most important. In fact the brothers don't define innovation, and don't adequately distinguish between concepts like "incremental" and "disruptive" ideas. Further the brothers ignore other idea generation techniques, such as brainwriting, SCAMPER, analogies and so forth, that downplay the "dominance" issue. It's as if experts in a field didn't pay proper homage to the existing craft, and try to repackage good practice as a new vision.
The "big idea" in Brainsteering is the idea that a session should be effectively scoped and framed with Right Questions (their capitalization, not mine). These Right Questions are meant to ensure the team is focused on an important, relevant goal and the scope is well defined. The brothers go on to demonstrate the use of logic diagrams to show how the scope and planning should be MECE (mutually exclusive completely exhaustive). In other words, explore all the opportunities, especially the ones that aren't being explored by competition.
What's amazing is that the book presents this thinking as if it were new. The brothers don't reference any leading thinkers from the innovation or creativity space, other than to debunk Osborn. If they did any reading in the space, it doesn't show. Individuals like Tim Hurson, who wrote Think Better, or Keith Sawyer who wrote Group Genius, have both covered the points the Coyne brothers make in great detail. Of course Roger von Oech and other writers who focus on creativity have addressed many of these same issues. A quick glance at Slideshare lists hundreds of PowerPoint presentations on good idea generation practice which will look very familiar to what the Coyne Brothers propose. Here's a PowerPoint deck
[...] I placed on Slideshare in 2008, which points out the importance of pre-work, "framing" the idea generation session and excellent facilitation. There's really very little that's new in this book.
The book is eminently readable and should appeal to a wide audience of innovation practitioners and people who are new to innovation. The approach it lays out is a well-proven approach to help individuals or teams generate ideas and gain better ideas. What is unfortunate is that the book doesn't acknowledge the fact that little in the book is new or different. The book basically recaps good idea generation practices as if these practices didn't exist or weren't recognized, and completely fails to acknowledge much of the good work underway in existing innovation firms, and for that matter in many Fortune 500 firms. I suppose that the reason the book ignores much of what is happening in the innovation and creativity space and claims to introduce a completely new and different method is that will distinguish the book from others on the innovation shelves.
So overall a very readable book that claims to present some radically new thinking but in reality documents what most of us in the innovation and creativity space will recognize as best practices for running an idea generation session, which manages to completely ignore several rapidly growing trends in idea generation and management, the most important of which is "open innovation". At the minimum it would have been great for the authors to acknowledge much of what is being done well, every day in many firms where idea generation is concerned, or to have tipped their hats to all of the great work and research that has gone before them, that their work directly or indirectly is based on. I think Think Better
(http://www.amazon.com/Think-Better-Innovators-Productive-Thinking/dp/0071494936/ref=sr_1_1?ie=UTF8&qid=1299012728&sr=8-1) offers a better model for facilitation and Group Genius
(http://www.amazon.com/Group-Genius-Creative-Power-Collaboration/dp/0465071937/ref=sr_1_1?s=books&ie=UTF8&qid=1299012764&sr=1-1) is better at group creativity.Brainsteering: A Better Approach to Breakthrough Ideas Overview

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Open Services Innovation: Rethinking Your Business to Grow and Compete in a New Era Review

Open Services Innovation: Rethinking Your Business to Grow and Compete in a New Era
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Open Services Innovation: Rethinking Your Business to Grow and Compete in a New Era ReviewHenry Chesbrough literally "wrote the book" on Open Innovation years ago. Today (2011 timeframe) every firm is trying to understand how to gain more ideas from customers and business partners, and frankly, few have really figured it out. And that's just focused on product innovation and the pipelines and structures that Chesbrough introduced in his first book. Which makes Open Services Innovation interesting and problematic at the same time.
Problematic because so many firms are just really beginning to understand "open" innovation, and taking small steps to understand how to best interact with customers and partners. That means that the graduate level class of open services innovation is valuable, but probably beyond many firms at this point. After all, asking a firm to innovate around services or business models is difficult, and asking them to use open innovation is difficult. Combining the two is a huge leap for many firms. I suspect that this book will become really popular in three to five years, once the frameworks for open innovation have been accepted and become more established.
The book is interesting because it assumes that the reader is familiar with and has implemented some aspects of open innovation, and it spends far much more of its time and focus on service and business model innovation. In fact it does a lot of what White Space Innovation by Mark Johnson did, only without Johnson's framework. The book is valuable because it discusses innovation in areas where many firms are only getting started - innovation in processes, services, business models and customer experiences. So in that regard, a firm or individual new to innovation can pick up the book and ignore the "open" aspects, which are relatively few, and learn a fair amount of innovation in services, business models and experiences, which is equally valuable and in fact is probably best suited for many firms.
The book also points out what I consider to be a real problem with book publishing. Chesbrough has a good idea and conveys it in four or five solid chapters. After that, he is forced to stretch the material to consider Open Services Innovation for Large firms, Open Services Innovation for Smaller Firms, Open Services Innovation for Services Industries, and so forth. I don't think these concepts add a lot to the discussion and they feel like filler in order to stretch the content to legitimate book length. You can get all the value you need from this book by reading the first 130 pages. That's not a critique on the content, but a comment on the format and the expectations of a publisher.
Chesbrough is to open innovation what Christensen is to innovation in general, and his concepts and ideas are spot on. What's possibly unfortunate about this book is that he is covering a subject that is akin to quantum physics for many firms, who are still trying to get the grasp of the Newtonian Physics of simple, open innovation. Many firms will buy this book, but I suspect most of them won't be able to use it effectively until they have a better grasp of "open" innovation, unless they toss out the open focus and think through innovation around services and business models.
One brief complaint - Many open innovation practitioners fail to communicate effectively that Open Innovation is a generic term for a number of different approaches to working with clients and customers to gather and manage ideas. You can see different types of Open Innovation in IdeaStorm, from Dell, IdeaJams, from IBM, Innovation Contests like the X-Prize, technology transfer organizations and solution providers like Innocentive. Be careful when considering Open Innovation, as it is only a catchall phrase for a lot of different tools and techniques, which have different applications and different downstream implications. I wish that authors writing about Open would address this. I've written a short chapter on this in the book A guide to Open Innovation and Crowdsourcing edited by Paul Sloane: [...]Open Services Innovation: Rethinking Your Business to Grow and Compete in a New Era Overview

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The Experience Economy: Work Is Theater & Every Business a Stage Review

The Experience Economy: Work Is Theater and Every Business a Stage
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The Experience Economy: Work Is Theater & Every Business a Stage ReviewThe book takes a very logical, reasoned approach towards the theoretical next steps of economic expansion. It reasons that margins drive profits and that by constantly searching for higher margin offerings, a company will naturally improve and increase its profitability.
The logic is understandable... Commodity goods have small margins, as they are undifferentiated from each other and relativly easy to reproduce. Manufactured goods take things one step further, providing higher margins due to some level of product differentiation and brand specificity. Above that are Services, where the products don't last long enough to be copied and are customized enough to prevent easy manipulation. The higher margins should lead to higher profitability and better staying power. Fair enough.
Where the book's logic becomes strained, however, is where it strethes out towards the next generation of higher margin offerings, "Experiences."While it is true that experience companies my be able to provide higher margins than can older economy companies, experience companies tend to suffer from a fatal flaw that has infected many of the companies praised in the book. That flaw is the utter lack of repeat business generated by most experience economy companies.
Take two of the companies mentioned in the book as companies to emulate -- Planet Hollywood, the restaurant chain, and Peapod, the online grocery store. Planet Hollywood is under bankruptcy protection, because people are simply unwilling to pay through the nose repeatedly for the same experience over and over again. Peapod ran out of cash and is limping along only after being bought out by a Dutch firm. Hardly two stellar companies to emulate when searching for ever expanding profits.
Throughout the book, by expounding the virtues of ever expanding margins, rather than focusing on goods, services, and 'experiences' that people would be willing to repeatedly pay to have, the authors make the mistake of ignoring the overall forest for the sake of a single tree.
In the real world, experience companies know their limitations and create their pricing scheme to represent that fact. Amusement parks sell season passes for less than the cost of two visits -- acknowledging the fact that people may pay more for experiences, but only once, and repeat business depends heavily on making the repeat worth the cost.
Had the book focused more on successful ways for experience economy companies to thrive, rather than spending its time drolling on about the virtues of failing companies with the right plan, it would have been far more believable and enjoyable.The Experience Economy: Work Is Theater & Every Business a Stage Overview

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Blue Ocean Strategy: How to Create Uncontested Market Space and Make Competition Irrelevant Review

Blue Ocean Strategy: How to Create Uncontested Market Space and Make Competition Irrelevant
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Blue Ocean Strategy: How to Create Uncontested Market Space and Make Competition Irrelevant ReviewThe authors have published many articles over the last decade on Value Innovation. This is their first book. It summarizes their extensive knowledge on out-of-the-box strategic thinking.
What is a BLUE OCEAN STRATEGY? The authors explain it by comparing it to a red ocean strategy (traditional strategic thinking):
1. DO NOT compete in existing market space. INSTEAD you should create uncontested market space.
2. DO NOT beat the competition. INSTEAD you should make the competition irrelevant.
3. DO NOT exploit existing demand. INSTEAD you should create and capture new demand.
4. DO NOT make the value/cost trade-off. INSTEAD you should break the value/cost trade-off.
5. DO NOT align the whole system of a company's activities with its strategic choice of differentiation or low cost. INSTEAD you should align the whole system of a company's activities in pursuit of both differentiation and low cost.
A red ocean strategy is based on traditional strategic thinking - e.g. Harvard's strategy guru Michael Porter.
Some cases:
* Airline industry price wars result in bankruptcies and low profit margins. Southwest Airlines creates a new market by offering the speed of air travel with the low cost and flexibility of driving.
* Golf equipment industry competes to win a greater share of existing golf customers. Callaway Golf creates "Big Bertha", a golf club with a large head that attracted new customers to golf that had been frustrated by the difficulty of hitting the ball.
* The cosmetic industry creates a red ocean with models, expensive advertising, and promises of youth and beauty. The Body Shop creates a blue ocean that lasts more than a decade by creating functional cosmetics that defied the industry which sold emotionally appealing cosmetics.
* The wine industry gluts the market with a red ocean of thousands of brands competing on the finest oaks and tannins and legacy winey names. Casella wines creates [yellow tail], a blue ocean wine that succeeded by eliminating complexity, elitism and consumer confusion and creating a fun simple image that non-wine drinkers could enjoy.
A blue ocean is created in the region where a company's actions favourably affect both its cost structure and it value proposition to buyers. Cost savings are made from eliminating and reducing the factors an industry competes on. Buyer value is lifted by raising and creating elements the industry has never offered. Over time, costs are reduced further as scale economies kick in, due to the high sales volumes that superior value generates.
Examples of strategic moves that created blue oceans of new, untapped demand:
- NetJets (fractional Jet ownership)
- Cirque du Soleil (the circus reinvented for the entertainment market)
- Starbucks (coffee as low-cost luxury for high-end consumers)
- Ebay (online auctioning)
- Sony (the Walkman - personal portable stereos)
- Cars: Japanese fuel-efficient autos (mid-70s) and Chrysler minivan (1984)
- Computers: Apple personal computer (1978) and Dell's built-to-order computers (mid-1990s).
The INSEAD professors Kim and Mauborgne have written regularly on the subject of Value Innovation since 1997 in Harvard Business Review. Being a business development manager, their thought leadership on strategic innovation has inspired me tremendously over the years. Their articles have been standard texts for many MBA students for some time (e.g. "Value Innovation", "Creating New Market Space", "Charting your Company's Future"). I expect their first book to be just as dominant in any strategy library as Michael Porter's books (the guru behind the classic red ocean strategies).
Peter Leerskov,
M.Sc. in International Business (Marketing & Management) and Graduate Diploma in E-businessBlue Ocean Strategy: How to Create Uncontested Market Space and Make Competition Irrelevant Overview

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