Collaborative Innovation Reference Framework The Strategic Layers The essential layers that support innovation The first of the three integrated frameworks is the Innovation Business Architecture. It starts by “peeling” what we call as the innovation onion. We recommend starting at the highest level, at the strategic level, and working down through several other “layers”, including people and processes. The goal of this first model is to deconstruct the important drivers and influencers which will direct innovation activities. From this we identify a innovation framework. www.agilityinnovation.com www.ovoinnovation.com Our intention behind these different models of Innovation We are interested in explaining the many facets that make up a successful innovation endeavour. It can be extremely tough to capture and explain the complexity of innovation. We would like to see an emerging reference model for innovation from this starting point. The end result is to create a common innovation model or framework that accelerates acceptance, reduces mystery and rework and simplifies innovation efforts. Innovation is dynamic. Opening this set of models allows for it to be constantly improved for all to benefit - this is our stated aim in publishing these models. We submit these suggested models as a starting point to deconstruct how innovation works and to encourage a “common” innovation model across all geographies, industries and markets. Developing a common innovation model and approach reduces confusion and simplifies innovation work. We believe we can remove a lot of the mystique around innovation and help accelerate its adoption and implementation by firms everywhere if we can agree on basic models and principles. We would encourage you to feel free to send commentary, corrections, additions or changes to the models or types to Paul Hobcraft or Jeffrey Phillips. We in turn will re-publish the model as necessary under a Creative Commons License, so that anyone who cares can use it and adopt the innovation model. We want this to be open and a transparent process but we will retain copyright while allowing others to copy, distribute, and make some uses of their work as long as we are credited for the original creation. These are collaborative work-in-progress to achieve a common position for understanding innovation ► Go to the Wiki on http://cirf.pbworks.com www.agilityinnovation.com www.ovoinnovation.com Goals/Purpose • In the following set of slides we intend to outline an innovation model from the most “abstract” and philosophical perspective to the most tactical skills and processes you will need. • We layer this because each successive layer of strategy, skills, approaches and processes uncovers new thinking that requires a deeper understanding for building and sustaining innovation. • It sets about to resolve misunderstanding, it seeks to replaces myths with a practical, detailed understanding of innovation and all its ‘potential’ complexity. • We provide a structured business architecture for innovation choice www.agilityinnovation.com www.ovoinnovation.com Multiple Layers • We propose a model for innovation that consists of multiple layers • All of these layers must be fully considered in a systematic way. • These layers are called: – Strategic Needs – People, Skills & Culture – Processes & Platforms – Approach types • We recommend working from the “outside-in” for best results www.agilityinnovation.com www.ovoinnovation.com The Multi-Layers Building an Innovation Business Architecture Strategic Needs People, Skills & Culture Processes & Platforms Approach Type www.agilityinnovation.com www.ovoinnovation.com Strategic Needs • We start at the most primary layer- the strategic considerations. – At this level we concern ourselves with the strategic issues that must be in place before innovation can be attempted successfully. – We focus on the key core capabilities and place them into context that must all exist and ‘reside’ before innovation can be attempted successfully. This is the ‘decision point’ to clarify and identify these • The considerations need to cover the critical issues of – Strategic Intent – The culture & climate- past, existing and future – The value creation needs – Resource allocation & ongoing funding – Communication actions – Dynamics & Intensity clarification www.agilityinnovation.com www.ovoinnovation.com Strategic Needs We move from the fundamentals to the critical enablers to make innovation happen. For example: • Corporate Strategy – Where do we want to be as a company? – What role does innovation play in this vision? – What is our present status on innovation, what needs to change • Enabling Innovation within the organization – What key core capabilities do we need? – How do we align them into the appropriate corporate context – What must exist and ‘reside’, what can be outsourced? www.agilityinnovation.com www.ovoinnovation.com The four orientation points are briefly explained Align Market & Customer Environment Understand markets and customer needs and aligning your products & services to meet these needs. Understand existing competitors and new entrants to exploit gaps and white space opportunities Existing product and service portfolio and identified gaps resolution. Existing capabilities and capacity. Existing Portfolio and Capabilities Establish corporate strategies and where innovation links Strategic Alignment to Vision & MOST (Mission, Objectives, Strategies & Tactics) Establish and align the vision, mission, objectives, strategy and tactics for realization, The value of consistently mapping back to these four reference points is important to gain consistency and validation of return on innovation investment Clarify the desire and motivation of the organization to innovate. Ensure that business leaders are prepared to innovate. Align compensation and evaluation to innovation activity Organizational Readiness, Motivation & Desire www.agilityinnovation.com www.ovoinnovation.com Innovation Management Universal Need Environment Critical Strategic Questions and Considerations Align Market & Customer Environment Alignment & Orientation of Product & Services Strategic Leadership & Direction Foresight, Scenarios Context & Visioning Customer needs / wants Strategic Alignment to Vision & MOST (Mission, Objectives, Strategies & Tactics) Strategic Intent Value creation objectives Likely new entrants and competitive challenges Capability gaps Thinking through the Strategic and Organizational Issues Strategic Needs Ability to deliver Communications Resource Allocation & People Considerations Culture & Climate Clarify the Innovation Dynamics Needed Changing environmental conditions (legal, regulatory, etc) Training Existing Portfolio and Capabilities Capability & Competency Build Innovation Funding Organizational Readiness. Motivation & Desire Considerations for Time www.agilityinnovation.com www.ovoinnovation.com Strategic & Organizational Issues If you move too quickly through this stage you will NEVER get the results you want. Each of these strategic “considerations” is important and must be addressed prior to building about any innovation effort. • You need to have clear strategic goals and innovative strategies and communicate these effectively to provide direction and scope for the innovators. • You must establish clear links between Strategic goals and innovations contribution • This needs to be robust, well considered and well resourced • You must account for the customer needs and market realities within this review • You must understand your existing innovation activities, what they provide and where the limitations are so as to be clear on the gaps you need to address/ change. If you proceed without addressing all the strategic consideration, your team will struggle by having a poorly understood strategic framework to work within www.agilityinnovation.com www.ovoinnovation.com People, Skills & Culture Strategy People, Skills & Culture Processes & Platforms Approach Types No fear of risk www.agilityinnovation.com www.ovoinnovation.com People, Culture, Skills & Structures to promote a winning solution People are the “active ingredients” in innovation, they are the catalysts that turn novelty into real benefit. • The pivotal role of people to act as innovation carriers- their networks and engagement, their collaboration skills, the way that their knowledge flows • Developing a climate where people are openly encouraged to have consistent interactions encouraging their tacit knowledge to flow • Seek to provide a clear understanding of how innovation itself is a potent competitive force that drives economic wealth, productivity and growth needs harnessing. Innovation above all is a social process and not a technical one. Establishing the ‘sense of shared purpose’ in spirit, ideas, culture and innovation is a MUST www.agilityinnovation.com www.ovoinnovation.com Thinking through the People, skills & competencies Align Market & Customer Environment Creativity Invention & Innovation People, skills, competencies Culture & Climate for Innovation Innovation Techniques Training Strategic Alignment & Validation Reward & Recognition People, Skills & Structures Recruiting new Skills Existing Portfolio and Capabilities Encouraging Leadership & Knowledge Relationship Building Capability Building Operational Readiness, Motivation & Desire www.agilityinnovation.com www.ovoinnovation.com Capability & Capacity Building Internal markets for ideas, talent and resources Building that sense of community purpose. Broad Leadership Facilitation Governance & Managing Risk Resolving Barriers & Constraints Strive to humanize the process-people are the active ingredient Encouraging Leadership & Knowledge Addressing the People, Culture, Skills & Structure Culture & Climate for Innovation Building new Skills & habits Encourage Creativity Invention & Innovation Innovation Techniques & Training Dealing with Fear & Change Depoliticize decision-making and personal bias Communicating Listening & Feedback Recruiting new Skills Relationship Building Accumulating Tacit Knowledge and putting it to different use Relationship & Trust Building Reward & Recognition Building ‘thinking time’ into the process Capability Building Exposure to new perspectives Emotional Equity needs to be forward focused Find new ways to ‘unleash’ human imagination Value of networks, teams and the individual Challenging the status quo and inertia Achieve a sense of identity and passion Encouraging Diversity & Creative Tension www.agilityinnovation.com www.ovoinnovation.com Processes & Platforms Strategy People, Skills & Culture Processes & Platforms Approaches Information Gathering www.agilityinnovation.com www.ovoinnovation.com Processes & Platforms • Finally, you need a clear process that is… – actively managed – able to deal with different approaches to and types of innovation – be sustainable and totally visible. • In particular, the process needs to manage within the "4 Ps" – Pipeline – Platforms – Portfolio – Product Lifecyle Management www.agilityinnovation.com www.ovoinnovation.com Strategic Considerations People and Skills Process & Platforms Generate Incubate Filter Evaluate Select Prototype Platform, Pipeline & Portfolio Management Regular Innovation Development Program is Established Synchronize Build Manage Monitor Measure Providing Feedback www.agilityinnovation.com www.ovoinnovation.com Detailed Innovation Process • The need for a consistent innovation process is composed of a number of steps or phases which need to be defined • To be consistent you need to have a vigorous, consistent idea management process that moves through its different stages • We “drill down” here as it is important to expose all of the underlying steps and assumptions. These need capturing, constantly evaluating and deciding upon to ‘kill or progress’ www.agilityinnovation.com www.ovoinnovation.com A Consistent Innovation Process Needs to Be In Place Generate Incubate Filter Evaluate Select Prototype Platform, Pipeline & Portfolio Management Synchronize Build Manage Monitor Measure Generate Generate ideas about a specific problem or opportunity using idea generation techniques such as brainstorming or a distributed community Incubate Capture the ideas in a public forum or applicable application to allow team members to comment on, review and rank ideas. Tag and categorize ideas for easy searching and filtering. Filter Filter all ideas to find the ones that are relevant to a specific need, challenge or opportunity Evaluate Using established transparent criteria, evaluate all ideas that address a specific challenge or problem Providing Feedback Select Prototype Once the evaluation Develop rough is complete, rank rapid prototypes the ideas that are that demonstrate relevant to a problem the main concepts or challenge and of the idea and select the ideas gain feedback according to their from potential ranking, evaluation, customers ability to address the problem or challenge. www.agilityinnovation.com www.ovoinnovation.com The essential ‘4 P’s within the process Platform Management This is the connecting point between strategic need and innovation activity where you establish broad strategic themes that are potentially more profitable Portfolio management A portfolio tracks all of a firm’s existing products and concepts to identify where the firm is placing its investments and prioritize multiple competing objectives so as to align these behind the most effective strategy for the goal of finding value and optimal growth. An innovation portfolio will indicate where the firm has its innovation investments and expose gaps or opportunities for new innovation efforts. Pipeline management Much like a sales pipeline is made up of prospects, opportunities and finally closed deals; innovation requires an innovation pipeline which needs constant monitoring to ensure there is a systematic movement of ideas from generation to evaluation and selection. The innovation pipeline must be constantly refreshed with new ideas, and each phase follows a type of “stage”/”gate” model requiring that the idea meet conditions or criteria for advancement This needs to be systematic and sustainable in its application of process, evaluation and methodology. Product Lifecycle Management A Product Lifecycle Management software solution offers one ‘version of truth’ for all existing product iterations. PLM can overcome potential isolated activities, islands of information and disconnected systems and poor cross-functional coordination and often a lack of innovation visibility for critical activity. www.agilityinnovation.com www.ovoinnovation.com Finally within Process & Platforms Stepping back and viewing the approach so far We establish a more ‘holistic’ view of building an innovation business architecture and the four alignment points. www.agilityinnovation.com www.ovoinnovation.com The Innovation Business Architecture Layered Process and the 4 Orientation Points Strategic Considerations Align Market & Customer Environment Strategic Alignment & Validation People , Skills & Culture Processes & Platforms Approach Type To be discussed in next presentations Existing Portfolio and Capabilities Organizational Readiness, Motivation & Desire www.agilityinnovation.com www.ovoinnovation.com Moving to the Mapping the 4 orientations within the 5 focal points (next deck). Align Market & Customer Environment Strategic Alignment & Validation Strategies, Strategic Intent Resources and funding 1. Strategic Context Desire & Motivation for innovation Existing Capabilities & Skills 4.Go-tomarket execution Scouting Voice of Customer . 2. Front End 3. Systematic Innovation Process Trend Spotting Product Development Launch Execution Scenario Planning Common Environment, Networking & Collaboration-Building Tools Existing Product & Service Management 5. Enabling Infrastructure Software Infrastructure New idea Generation & Opportunity Identification www.agilityinnovation.com www.ovoinnovation.com Contact Details Collaborative Innovation Reference Framework Paul Hobcraft Jeffrey Philips • Email : [email protected] • Phone Number +65 91 751 4350 For Europe, Africa, Middle East & Asia • Email: [email protected] • Phone Number +01 919-844-5644 For North & South America ►Go to the Wiki on http://cirf.pbworks.com www.agilityinnovation.com www.ovoinnovation.com
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