Uncategorized

Abraham Lincoln: A Two-Way Innovator

Abraham Lincoln was a tinkerer.  He loved all things mechanical“He evinced a decided bent toward machinery or mechanical appliances, a trait he doubtless inherited from his father who was himself something of a mechanic and therefore skilled in the use of tools.”  Henry Whitney, a lawyer friend of Lincoln’s, recalled that “While we were traveling in ante-railway days, on the circuit, and would stop at a farm-house for dinner, Lincoln would improve the leisure in hunting up some farming implement, machine or tool, and he would carefully examine it all over, first generally and then critically.”  Abe was a man of considerable mechanical genius.  He had The Knack.  His patent, Patent No. 6469, a device for buoying vessels over shoals, makes him the only U.S. president to hold a patent.

What kind of innovator was Lincoln?  Was he a PROBLEM-TO-SOLUTION inventor?  Did he first observe problems and then create solutions? Or was he a SOLUTION-TO-PROBLEM inventor whereby he first envisioned hypothetical solutions and then connected them to worthy problems?  My sense is he was both.  He was “ambidextrous,” a two-way innovator.

The LAB: Monetizing Twitter with Attribute Dependency (February 2009)

Lab_2

Venture capitalists could increase the value of their investments by applying a corporate innovation method to those investments.  Take Twitter for example.  It just received its third round of funding – $35 million.  Yet it has no revenue, no business model…just the promise of such.  It is the perfect time to innovate.

I decided to take the challenge to create new concepts for the Twitter platform that have the potential to earn money.  Others are chasing this, too, including the Twitter management team.  It reminds me of the early days of Amazon when many (including me) wondered if the company would turn a profit.  The difference between Twitter and Amazon is an important one.  Amazon started with a business model in mind.  From there, it had to achieve economies of scale.  Twitter started with none.  Economies of scale do not matter until it can define a viable business model.

Let’s see how innovation can help.

I used the Attribute Dependency template of Systematic Inventive Thinking, a method of innovation that works like no other I have found.  Attribute Dependency (or AD for short) differs from the other templates in that it uses attributes (variables) of the situation rather than components.  It is a powerful tool and more challenging than the others in some respects.  It yields amazing results.  You start with an attribute list, then construct a 2 x 2 matrix of these, pairing each against the others.  Each cell represents a potential dependency (or potential break in an existing dependency) that forms a Virtual Product.  Using Function Follows Form, we work backwards and envision a potential benefit or problem that this hypothetical solution solves.  Innovation!

Wikinnovation!

Visit the Applied Marketing Innovation Wiki to see a collection of inventions across a wide array of product categories as well as information about innovation consultants.  The information is from students at The University of Cincinnati taking the graduate course, Applied Marketing Innovation.  Here is what you will find:

The LAB: Innovating The Kindle with Task Unification (January 2009)

Lab_2

As we await the arrival of Amazon’s Kindle 2.0, it is a perfect time to begin innovating their next generation device.  Anytime is a good time to innovate, but it is especially meaningful to innovate just as you launch your latest innovation.  It tells the world you are serious about creating a sustainable pipeline of new growth opportunities.

This month’s LAB uses the Task Unification tool of Systematic Inventive Thinking to create new concepts for the Kindle.  The definition of Task Unification is: assigning an additional job to an existing resource.  The general idea is to break the current product down into components and then systematically give each component a new task or activity.  This creates an abstract “pre-inventive” form that we then take and discover potential benefits, target markets, and adaptations that would make the innovation very useful and unique.  This is what I call “Solution-To-Problem” innovation.

My goal is to come up with innovations that are not obvious or mere incremental changes in functionality of the current device.  If that is all we wanted, we could look at the iPhone or other electronic gizmo for ideas.  I don’t own a Kindle (yet), so I will work from the Kindle User’s Guide to make my component list.

  1. Screen Display
  2. Control Buttons
  3. Keyboard
  4. Cursor bar
  5. Select Wheel
  6. Dictionary
  7. Speaker
  8. Wireless
  9. Storage
  10. Battery
  11. Search (Software)
  12. Music Player

As I try to do in all LAB sessions, I created the following innovations in about an hour:

1.  SCREEN:  Kindle makes reading easier.  It tracks how fast you read and adjusts the scrolling speed to a comfortable level.  The screen resolution adjusts to your eyeglass prescription to optimize readability (brightness, contrast, text size).

2.  SOFTWARE: Kindle helps you become a better reader.  It keeps track of how much you read, the level of difficulty, when you read, at what intervals, and at what speed.  It becomes a “reading trainer” by suggesting ways to improve your speed and comprehension based on your patterns.

3.  STORAGE:  Kindle is a book management system.  It keeps a complete inventory of all books you own or have access to, digital and physical.  It relates the material you are reading now in a newspaper article or blog to books that you own so that you are aware of the connection.  It flags you to view material in books you own as it may be relevant to what you are reading now.  It connects context.

4.  CONTROL BUTTONS:  Kindle controls other things in your home.  It becomes a universal remote to control room lights, stereo, and TV.

5.  WIRELESS:  Kindle is a social tool.  It connects you with others who have a Kindle.  It alerts them on what you are reading at that moment in Twitter-like fashion.  It connects members of a book club who are all reading the same book, and it allows members to bookmark and comment on parts of the book, all shared wirelessly or perhaps via Instant Messaging.  Kindle sends what you are reading to your Facebook, LinkedIn, MySpace, or blog so that others can see what you are reading…now.

6.  SPEAKER:  Kindle translates words and speech.  It has Text-to-Speech function so you can highlight a written passage and then hear it spoken in words over the speaker.Google-maps-street-views

7.  WIRELESS:  Kindle enhances your imagination.  It integrates Google Maps with what you are reading so that you can visually see the location that is being discussed or described.

I can’t wait for Kindle…3.0!

Mapping the Innovation Gap

Published date: January 28, 2009 в 4:11 pm

Written by:

Category: Uncategorized

Tags: ,,,,

Once you have a systematic and routine way to innovate, you are confronted with a new problem – how to decide how much innovation is enough.  For many, this is an odd question.  If innovation is essential for survival and growth, most people would want all the innovation they can get.  But that is oversimplifying.  Too much innovation can overload the system, confuse the organization, and lead to ideation fatigue.  So how much is enough?

Here is a useful analysis that can tell you how many ideas are needed to reach your specific growth targets called “Mapping the Innovation Gap.”  The steps are:

  1. Determine your revenue goals in each year over a specific time horizon.  Base this on your firm’s strategic planning time horizon (usually 3 to 10 years depending on the industry).  Use the actual revenue targets from your company’s business plan.
  2. Break these annual revenue targets down over a mix of products, new and existing, in each year.  Some firms call this a revenue cascade or revenue waterfall.  It shows for each year how much of the revenue comes from existing products and how much comes from new products.
  3. Estimate your Innovation Yield (number of new ideas needed to produce one new product).  This varies by industry and by company depending on factors such as level of investment, core competencies, and access to technology.  Various think tanks and consultancies have estimates such as the curve pictured above.
  4. Estimate your typical idea-to-launch Lead Time (how much time it takes to develop and launch a product once it is conceived).  As with the Innovation Yield, this will vary.  Take a look at past product development experience and determine an average time (in years).
  5. Plot the number of new ideas needed in each year to produce the necessary new products in subsequent years.  Take the number of new products needed in a specific year and divide it by the Innovation Yield.  Then plot this number back in time by the amount of Lead Time to develop ideas.

What you end up with is the number of new ideas that need to be generated each year to have a realistic chance of achieving future revenue growth targets.  It can be a sobering number depending on how aggressive your targets are.  With this number, a general manager can then task the team to “schedule” innovation, and then hold them accountable for generating the necessary number of ideas.

The bottom line:  to grow, companies need a systematic innovation method, and it needs to be applied systematically.

Download “Mapping the Innovation Gap” here.

Applied Marketing Innovation

Learning a corporate innovation method begins with formal training, and there is no better place to do that than in graduate business school.  I am looking forward to meeting the 37 students enrolled in my MBA course at the University of Cincinnati this month. The course, “Applied Marketing Innovation,” is a full credit course.  It is a fusion of Systematic Inventive Thinking and The Big Picture marketing framework.  The Syllabus can be downloaded, but here are some details about it:

“This course focuses on how to create value and growth through innovation in new and existing markets. Students will learn the skills of innovation and how to apply those skills within the context of a marketing strategy framework. Students will apply innovation methods across the entire marketing management continuum including strategy, segmentation, targeting, positioning, and the 4P’s. The course will be taught using interactive workshop methods and techniques throughout. Students will first experience these facilitation techniques while learning innovation. They will then learn and practice these techniques so that they can apply them routinely throughout their graduate experience and beyond.”

Two aspects of this course are unique.  First, we don’t just talk about innovation…we DO innovation.  MBA students in particular are aggressive and skillful when learning and applying innovation. I am sure this group of students will be no different.  The other unique aspect is the creation of new products and services that are formalized in a hypothetical company catalog – The Dream Catalog.  This is a clever way to take new innovations and rationalize them into a coherent pipeline for growth.  Students work in teams to create an actual Dream Catalog within a business of their choice.  In past courses, some students have used this assignment for their own companies.  It is a graded assignment.  I will publish the results of this exercise here on the blog.

The final exam is scary!  Students will be given a product randomly (with no advance preparation).  They must use each of the five templates of innovation (Subtraction, Task Unification, Multiplication, Division, and Attribute Dependency) on that product to create new-to-the-world inventions.  They have to take each invention and plot what strategic quadrant of The Big Picture would be most suitable.  It is a tough exercise.  It demonstrates: 1. mastery of the skills of innovation, and 2.  the ability innovate within the context of marketing strategy.  I will also post some of the results from the final exam here on the blog. 

If you have a product that you would like to see innovated by my students on the final exam, please let me know!

I want to thank Professor Jacob Goldenberg at Columbia Business School and Professor Christie Nordhielm at the Ross School of Business at The University of Michigan for their support in developing this course.  It is intended to be a blend of their tremendous contributions.  It is a privilege to teach it.

The LAB: Innovating a Refrigerator with the Division Template (December 2008)

A corporate innovation method should be robust enough to produce incremental as well as disruptive ideas.  One of my favorite templates in the S.I.T. method is called Division because it does just that.  The Division template takes a product or service, divides it or its components, and rearranges them to form a new product or service.  It is a particularly useful template to help people see their product or service in completely new ways.  It helps people get unstuck from the “fixed” frame that we all have naturally about our products or services.

My favorite example of Division happened during an innovation training session.  One of the participants was a bit cynical about the method and using patterns to innovate anything.  To help him overcome this, I let him select any product or service that he was convinced could not be innovated further.  He chose the refrigerator, a concept that has been with us since 1000 BC.  What follows is how we used Division in this spontaneous exercise to change his mind.

Teaching Your Children to Innovate

Published date: December 21, 2008 в 10:24 pm

Written by:

Category: Uncategorized

Tags: ,,

Parents teach their children many things: morals, etiquette, religion, sports, cleanliness, walking, cooking, riding a bicycle, reading, writing, math, discipline, safety, driving a car…the list goes on and on.  What if you could give your child the  life-long ability to innovate?  What a gift indeed.  This issue surfaced after a string of emails with one of our blog readers who wants her child to learn innovation (thanks, Trish!).  Can children learn a corporate innovation method at such an early age?

I’ve taught children how to innovate, and it is one of the most rewarding feelings you can have.  I taught 6th, 7th, and 8th graders the method called Systematic Inventive Thinking.  I was surprised and a bit unnerved how well they did.  After teaching the five templates of innovation (over a five weekly sessions), each child completed a “final exam” by innovating a new-to-the-world product using one of the templates in just 30 minutes!  I was amazed.  The PowerPoint slides I used for this training are in the READING section of the blog if you wish to download them.

Here are some pointers for teaching your children to innovate:

1.  Equate innovation to other skills-based activities.  Innovating takes skill just like sports or dancing.  Don’t let your children think innovation is some special, innate talent that only certain people have.  This creates an artificial barrier, one that I see too often in the corporate environment, and it prevents people from trying to be innovative.  Innovating is a skill, and it can be learned by anyone, even those who are not creative in the traditional sense.

2.  De-emphasize patents.  For some reason, kids are fascinated with patents.  They tend to see patents as the ultimate reward of innovation.  Patents do not equate to successful innovation; rather, they equate to getting legal status regarding an invention.  If a child invents something that has already been invented, this is a success.  In fact, it is a huge success because it shows an ability to create novel ideas that have a track record of success.  Be sure to reward your child if they invent something that exists.  Send the message: if you can invent something that is already shown to be successful, you can definitely be the first to invent something new and useful.

3.  Apply innovation across a wide variety of situations.  It is not just for inventing new products.  Teach you children to apply innovation methods to things like writing a poem, doing school work, or getting dressed in the morning.  Have them invent a new way to clean their room or play with a toy.  Help them equate innovation with creating novelty in the everyday things.  Make innovation a routine way to tackle new situations.

4.  Distinguish between innovation skills and problem solving skills.  Both are useful, but are often confused as the same.  They are related, but different.  Help them see problem solving as what to use when the problem is very well defined and must be solved.  Help them see innovating as the set of tools to use when new approaches are needed for an existing task.  Example:  Innovate a new way to clean their room, but problem-solve when they want to avoid having to do it.

5.  Teach “ambidextrous” innovation.  Help them understand the two directions of innovation: Problem-to-Solution and Solution-to-Problem.  Example: if the kitchen toaster burns the bread every morning, and they see a novel way to fix it, that is Problem-to-Solution.  Other the other hand, if they imagine the toaster is like a TV that is “on demand,” then make the connection that this would help mom get toast ready precisely when everything else is ready, that is Solution-to-Problem innovation.

6.  Set an example.  Parents struggle teaching children anything unless the parents demonstrate those skills themselves.  Whether it is table manners, proper grammar, or how to treat other people, parents must “walk the talk.”  Innovation is no different.  Let children see how you and others, especially other children, use innovation methods to do cool things, fun things, important things.

(Pictured are two future innovators, Emerson and Margo, from Cincinnati, Ohio)

Innovation in Practice: One Year Later

Published date: December 8, 2008 в 7:34 pm

Written by:

Category: Uncategorized

Tags: ,,,,

A year of blogging in the innovation space has taught me a few things:

  • Blogging is discovery. There are a lot of very bright people out there with many useful insights about how to make innovation happen. I’m impressed with the diversity of views as well as the constant stream of new thinking.  Special recognition and thanks to:
    • Amnon Levav, Yoni Stern, Jacob Goldenberg and the whole team at SIT for teaching me the method of innovating.
    • Fellow bloggers like Jim Todhunter, Paul Sloane, Katy Konrath, Jeffrey Phillips, Keith Sawyer and many others for refreshing ideas about innovation.
    • Chuck Frey for the way he recognizes and inspires others (thanks, Chuck!).
    • Fellow J&J colleagues who push the envelope of innovation like Jeff Murphy, Mike Clem, Stuart Morgan, and Shelly Cropper.
  • Blogging is hard work. It takes a constant sense of awareness of what’s going on around you to spot new blog ideas. To be a good blogger, you need to be even better at reading and commenting on other blogs (I learned this and everything else about blogging from Chris Allen).
  • Blogging is a conversation. The long tail will prevail. (Read “The Cluetrain Manifesto” if you don’t believe me). I appreciate those of you who comment on this blog and take a different point-of-view. None of us is as smart as all of us.
  • Blogging gets you noticed. Be careful what you say because people are paying attention. Readership of this blog is growing steadily, and the media and others are taking note.

What is ahead for 2009?

  • The LAB: I enjoy this and I hope my readers do as well. My point is to spend an hour or two at most on a product or service, selected at random. Then I use an innovation tool to create interesting and useful new-to-the-world inventions. Innovation is a skill, not a gift, and anyone can learn it. My hope is to inspire others to do so.
  • Innovation on Request: This is a new feature where I plan invite readers to submit things they need innovated. No strings attached, no property rights issues, no fees. Just pure innovation to continue to make the point that all of us need to acquire these skills if we want to remain productive and competitive in the global marketplace.
  • Guest blogging on other sites. I like this idea, and I plan to follow through with other bloggers that have asked me to do that.
  • New Blog Design: I will be launching a new blog design reflecting the theme of the corporate perspective. All businesses, large and small, need innovation. Within the corporate walls, innovation is sought after, brokered, and driven. The corporate perspective on what, why, when, who, and how innovation happens is the focus here. I want to continue sharing what’s inside those walls.

Drew

The LAB: Innovating a Fishing Pole with Multiplication (November 2008)

Published date: November 30, 2008 в 8:21 am

Written by:

Category: Uncategorized

Tags: ,,,,,

Lab_2

Can you innovate a mature product?  Consider the fishing pole which dates back to the ancient Egyptians – it certainly qualifies as a mature product. This month’s LAB will innovate it by using the systematic innovation method called Multiplication.

Fishing is the largest sporting activity in the U.S. with 40 million participants, far more than golf or tennis combined, the next two on the list.  Recreational fishing generates more than $125 billion in economic output and more than one million American jobs. If sport fishing were a corporation, it would rank above Bank of America or IBM on the Fortune 100 list of largest American companies.  The pathway to growth for any large, mature industry is: innovation!

We start by listing the components of the product.  We then make a copy (or copies) of each component, one at a time.  The new copies must be different in some way from the original component.  We then use Function Follows Form and work backwards to envision what the “pre-inventive form” could be used for.  We innovate by taking something that doesn’t make sense at first, then find a legitimate purpose for it.  Here is what I came up with (about an hour’s worth of work):

Get our innovation model that has worked for 1000+ companies.

    No thanks, not now.