There are two initial steps that can help us immediately start improving how our organizations approach innovation. First, it’s worth spending time with our teams to teach them the skills needed to actively listen to, understand, and collaborate with current and potential customers. When we spend time interacting with and observing our customers, it often leads to identifying unmet needs that can lead to innovation (which is how P&G created the Swiffer, resulting in $500 million of revenue each year). We must also teach our teams how to vet good ideas, draft strong value propositions, create prototypes, and obtain regular feedback from a wide audience of stakeholders.
Second, it’s important to design a simple and straightforward system for taking these ideas and analyzing, developing, and delivering them to the marketplace.
How well an organization innovates determines more than anything else how well it will compete and survive over the long-term. The good news is, the possibilities for innovation in today’s digital world are limitless. There are opportunities all around us and the ability to learn to innovate is available to everyone. The not-so-great news is, most organizations don’t have a good understanding of what innovation truly is (much less, what digital innovation is), and those that do often don’t have a disciplined process around it. This quote is extremely telling:
“Every CEO will at least give lip service to the idea that the world is moving faster and that we need to do a better job at innovation. But if you go into an organization and ask people to describe their innovation system, you get blank looks. They have none.”
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