In an earlier Linkage webinar delivered by Lonney Gregory, we explored behaviors to develop an innovative mindset and stimulate creativity. We believe in order to stay ahead of the competition, individuals and teams must be creative and innovative. And while that is true, creativity and innovative behaviors alone won’t guarantee innovation initiatives will succeed. But what if you could hedge your bets on innovation and increase the likelihood of success; would you do it? In addition to engaging in ways of thinking that inspire breakthroughs, repeatable organizational processes, cultural adaptations, and clearly defined approaches for integrating it all, including handling risks, will significantly increase the likeness of success for innovation in your organizations. This next session on innovation will introduce three basic concepts that lead toward successfully enabling an innovation capable organization; one that drives innovation throughout the organization. In this session, participants learn about: 1. Identifying market opportunities using one of the most profound approaches for understanding what consumers and non-consumers want by defining what Clayton Christensen calls the “Job to be Done” 2. How to lead ultra-productive solution seeking sessions based upon the world famous IDEO Design Thinking methodology. 3. Applying principles to overcome what Steven Shapiro calls the performance paradox and for growing high performance teams.

1. The Innovators
Mindset:
Three Rock-Solid Approaches to
Innovation

2. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Webinar Roadmap
High Performance Teams
And the
Performance Paradox
Job To Be Done
About Disruption
Are you Ready to
Innovate
Define Innovation
Design Thinking

3. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Learning Objectives
• Define innovation
• Determine an organization’s readiness for
innovation
• Identifying market opportunities using Clayton
Christensen’s ‘Job to be Done’ analogy
• Describe the difference between Sustaining and
Disruptive Innovation
• Describe IDEO’s Design Thinking methodology
to explore innovation competencies
• Discuss principles of the high performance
teams and the performance paradox

4. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Innovation Reasonably Defined
Innovation is the creation of better or more
effective products, processes, services,
technologies, or ideas that are accepted by
markets, governments, and society.

5. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Our Definition of Innovation Is:
Innovation is
something different
that has impact
The often unspoken
goal of innovation is to
solve a problem
The process of
translating an idea or
invention into a good
or service that creates
value or for which
customers will pay

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Linkage’s Organization Design Wheel

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To what degree (1 barely – 5 absolutely) do…
1. We have a specific innovation strategy
2. Employees know what competencies are required to innovate
(CPM)
3. We have specific innovation goals
4. Employees find it easy to collaborate across functions and
departments
5. We share customer information broadly at all levels of the
organization
6. Our leaders encourage employees to take risks
7. Employees are evaluated specifically on their ability to innovate
as part of our performance management process
Innovation Readiness

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To what degree (1 barely – 5 absolutely) do…
8. Employees solve problems using diverse teams (e.g., different
functions, levels)
9. We look for a candidate’s ability to be innovative as part of our
hiring process
10. It is easy to access key customer information
11. Employees are trained on how to innovate
12. Employees feel “safe” taking risks
13. We understand how our competitors use innovation to create
competitive advantage
14. We have a strategy to improve our overall innovation
capabilities
Innovation Readiness

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To what degree (1 barely – 5 absolutely) do…
15. We know the areas where our customers are most
dissatisfied
16. We have a separate budget for innovation in the
organization
17. We treat our colleagues like customers
18. We have an effective change management process that
builds commitment to a change
19. Our organization structure facilitates collaboration with
our customers
Innovation Readiness

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• 1
• 2
• 3
• 4
• 5
What was your average score?

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Disruptive InnovationPerformance
Time
Disruptive
Innovations
Good strategies for established
companies in established markets
Good strategies for firms seeking to
create new growth businesses (or
defend against attacks from below)
Most
demanding
customers
Least
demanding
customers

12. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Sustaining versus Disruptive Innovation
Sustaining Disruptive
• Better performance along
traditional dimensions
• Targets the mainstream or
most demanding customers in
an established market
• Features a proven, winning
business model
• Follows an approach that
market leaders find attractive
and easy to mimic
• “Good enough” along traditional
dimensions, better along new
dimensions
• Targets nonconsumers or
overshot customers
• Features a low-cost, low-
overhead business model
• Follows an approach that
natural competitors would find
unattractive or difficult to mimic

13. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
True or False
1. One company’s disruptive innovation is another
company sustaining innovation
2. Disruption is only for technology
3. Companies can either pursue disruptive or sustaining
innovations but not both
4. Disruptive innovations are harder to achieve than
sustaining innovations
5. The customer is always right
Polling Question

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World’s Top Ten Most Innovative Companies
The 2012 Global Innovation 1000 Key Findings, Booz & Company
Where did they
disrupt?
How do they
sustain?

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2014’s Most Innovative Companies (Fast Company)
Who Why
1 Google 350 billion $ giant that reinvents itself and society with every
mouse click
2 Bloomberg Philanthropies Data driven philanthropy
3 Xiaomi Low-cost feature rich mobile phones. Reengineering the smart
phone business model
4 Dropbox For becoming the everything cloud
5 Netflix Creating great TV in a new context using an already proven
model
6 AirBNB The new world’s largest hotel chain - almost
7 Nike For setting a sustainable example – database of materials
8 Zipdial Making missed calls an asset
9 Donors Choose .org Setting its sights on education reform. 225 millions from
crowed sourcing
10 Yelp Bridging the online and off line world
http://www.fastcompany.com/section/most-innovative-companies-2014

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Jobs-To-Be-Done
What’s the job?
Who are the candidates?
What are the hiring
criteria?
HELP
WANTED

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Non-Consumers to Consumers: Focus on
Constraints
What
constrains
consumption?
Wealth
Access
Time
Skills

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What’s Unique about Jobs-To-Be-Done?
• Puts the customer in the center of the
innovation equation
• Determines how the customer views
quality
• Incredibly actionable
• Identifies the real competition
Understanding jobs provides a blueprint for innovation

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Job, Criteria, or Candidate?
Job Criteria Candidate
Small package
Aspirin
Feel healthy
Easy on the stomach
Feel less pain
Stretching exercises
Feel well-rested
Meditative breathing
Faster pain relief
X
X
X
X
X
X
X
X
X

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The Goal of Design Thinking
The solution that emerges at
the end of the DT innovation
Process should be the overlap
of these three qualities:
• Desirability
• Feasibility
• Viability
Hit the sweet spot. They want it, you can deliver it , and it serves its purpose.

21. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
Design Thinking Process
Authentic
Non-obvious
Reveling
Inspirational
Connected
Relevant
Low Risk
Quick, easy
Generative

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Innovation Framework
Ask:
• The right questions
• The right way
• Of the right people
• In the right way

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A Simple Innovation Process — Defining
Challenges
Phase 0
Prepare the
Organization
Phase 1
Define the
Challenge
Phase 2
Generate
Solutions
Phase 3
Plan and
Execute
Phase 4
Engage
the Hearts
and Minds

24. ©1998 and 2015, Linkage Inc. All Rights Reserved Worldwide.
High-Performing Teams
Phase 0
Prepare the
Organization
Phase 1
Define the
Challenge
Phase 2
Generate
Solutions
Phase 3
Plan and
Execute
Phase 4
Engage the
Hearts & Minds
Personality Poker Suites Defined
♠ Represents the analytical, data-oriented people. They like facts and tend to be a bit more cerebral
than the other styles.
♣ They are the people who “plan the work and work the plans.” Low clubs (5-9) are great planners
while the high clubs (10-A) are more bottom-line focused.
♥ Are about the relationships and often make decisions based on how others will feel. Low hearts(5-
9) are nurtuing and empathetic, while the high hearts (10-A) are outgoing and great networkers.
♦ Like new ideas and experiences. Low diamonds (5-9) are quite creative, while the high diamonds
(10-A) value variety and flexibility.

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The Performance Paradox
Tip 22
The
Performance
Paradox
Motivation
Performance

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Do You Have a Strong and Balanced Team?

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Growth Through Innovation Model