What is the “Secret Sauce” of Innovation?

1. What is the “Secret Sauce” of Innovation? Learn the 5 Discovery Skills of Out-Performing Innovators Based on the innovator’s DNA study by Christensen et al Presented by Linda Naiman Founder, Creativity at Work.com For ProductCamp, Vancouver 2013© Linda Naiman CreativityatWork.com

2. Business success in the 21stcentury resides in the ability to leadcreatively and innovateCreativity supported by WorkplaceCulture = Innovation© Linda Naiman CreativityatWork.com

3. The problem is, veryfew business leadersknow how to developcreativity andinnovation withinthemselves or withinthe workplace. Linda Naiman, Creativity at Work

4. Searching for Answers Eight year study by Dyer, Gregersen, and Christensen uncover the origins of creative—and often disruptive—business strategies in particularly innovative companies. At most companies, top executives do not feel personally responsible for coming up with strategic innovations.They facilitate the innovation process. In stark contrast, senior executives of the most innovativeInnovators in companies—a mere 15% in our study—don’t delegatethe study creative work. They do it themselves.included SteveJobs, Jeff Bezos, But how do they do it?Pierre Omidyar,and A.G. Lafley.© Linda Naiman CreativityatWork.com

5. Key Discoveries Specific patterns of behaviour emerged over and over: One’s ability to generate innovative ideas is not merely a function of the mind, but also a function of behaviours. Five discovery skills distinguish the most innovative entrepreneurs from other executives.© Linda Naiman CreativityatWork.com

6. 5 Discovery Skills of InnovatorsThese Innovator’s DNAbehaviours 1. Associatingcultivate newinsights 2. Questioning 3. Observing 4. Experimenting 5. Networking “Entrepreneurs (who are also CEOs) spend 50% more time on these discovery activities than do CEOs with no track record for innovation.” — Innovator’s DNA by Clayton M. Christensen et al.

7. Idea in actionCompete with yourtwin to create new Your Identical Twin who:biz idea venture in 1 1. talks with 10 diff people— ieweek: engineer, musician, designerWho will win? 2. visits 3 innovative start-ups to observe what they do,You? 3. samples 5 new productsWorking alone in yourcubicle to come up 4. shows a prototype she’s built towith ideas. 5 people, and 5. asks“What if I tried this?” and “Why do you do that?” at least 10 x a day

8. You could be as innovative andimpactful as the most creativepeople in business – if you changeyour behavior and develop these 5habits....© Linda Naiman CreativityatWork.com

9. 1. Associating “Creativity is connecting things.” —Steve Jobs The more diverse your experience and knowledge, the more connections your brain can make. Steve Jobs studied calligraphy and this influenced user-friendly, graphics- based Macs.

10. Associating Pierre Omidyar: Founder of ebay connected dots: 1. Fascination with creating more-efficient markets after having been shut out from a hot internet IPO in 1990s; 2. Fiancées desire to locate hard-to-find collectible Pez dispensers 3. Ineffectiveness of local ads to locate these items

11. 2. Questioning Innovators are consummate questioners who show a passion for inquiry. Their queries frequently challenges the status quo. Questions focus on two areas: 1.Describing the Territory "You dont invent the 2.Disrupting the Territory answers, you reveal the Tips: answers by finding the • Engage in QuestionStorming right questions.“ • Cultivate question thinking - Jonas Salk • Track your Q/A ratio • Keep a question-centered notebook

12. Eg: Questioning Status Quo in HealthCare AliveCor’s Heart Monitor Connecting dots: Medicineplugs into your iPhone and Tech"The ability to get an ECG on aSmartphone is remarkably David E. Albert, MD is atransformative—an icon of how physician, inventor andmedicine of the future will be founder of three techradically rebooted." companies, InnovAlarm, Eric Topol, M.D. Lifetone Technology andWatch story: h,p://www.nbcnews.com/id/21134540/ AliveCor.vp/50582822#50582822

13. 3. Observing Ratan Tata was inspired to create world’s cheapest car by observing the plight of a family of four packed onto a single motorized scooter. Tip: Be an anthropologist: observe human behaviours and actions to discover wasted effort that could be turned into an innovation challenge. “We dont know who discovered Nano $2500 1998 water, but we know it wasnt the fish.” Marshall McLuhan

14. Observing “Observation is the big game changer in our company” — Scott Cook, founder, Intuit Two key observations: • Wife’s frustration on keeping track of their finances • Sneak peek at Apple Lisa

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17. Visual Thinkingmakes tacit knowledge visible and helpspeople see what you mean. Client meeting in the boardroom of BP in NYC.

18. 4. Experimenting Three ways that innovators experiment • Try out new experiences • Take apart products, processes, and Ideas • Test ideas through pilots and prototypes Example: Michael Dell taking his new computer apart in his sixteenth birthday.

19. Eg. Prototyping Prototyping: Build to think “Effective prototyping may be the most valuable core competence an innovative organization can have.” Think about It. Innovation = Reaction to the Prototype —Michael Schrage, MIT “Encourage employees to go down blind alleys and experiment…” --Jeff Bezos

20. 5. Networking Rather than simply doing social networking, innovators spend a lot of time and energy finding and testing ideas through a diverse network of individuals who vary widely in their background and perspectives.Discovery driven executives Delivery-driven executives• Why they network: Idea • Why they network? Resources- Learn new, surprising things - Access resources- Gain new perspectives - Sell themselves or their company- Test Ideas “in process” - Future careers• Whom they target • Whom they target?- People who are not like them - People who are like them- Experts and nonexperts with very - People with substantial resources, different backgrounds and perspectives power, position, inﬂuence, etc.Source: Innovator’s DNA

21. If you want to see the future coming, 90percent of what you need to learn, you’ll learnoutside of your industry. There is nothing thatyou can learn from inside your industry thatwill help you get ready for the future. Literallynothing, because you already know it.~ Gary Hamel

22. Eg Networking inspired innovation Michael Lazaridis, says that the original inspiration for the BlackBerry came from a speaker at a 1987 conference, describing how a Coke wireless data system in vending machines can send out a notice when they need refilling. Key ideas for JetBlue (satellite TV at seat and at-home reservationists) came through networking at conferences and elsewhere

23. harvard business review • december 2009

24. The DNA of Disruptive Innovators Behavioral Courage & Skills Cognitive skill to motivation synthesize novel to Innovate inputs Questioning Challenges to status quo Observing Innovative Associational Business thinking Idea Taking risks Networking ExperimentingSource: Innovator’s DNA

25. What DNA Skills will you practice?1. Associating What associations can you make between the disparate data you gather through your discoveries, and your ﬁeld?2. Questioning Write down questions every day that challenge status quo in your work. Collect compelling questions from other leaders and innovators.3. Observing Take pictures and notes everywhere you go.4. Experimenting Attend seminars/ trade shows, outside your area of expertise. Create learning labs/salons that provoke new ideas and insights.5. Networking: meeting people with different ideas and perspectives. ProductCamp TedX Creative Fridays Sam Sullivanʼs Civic Society

26. Connecting: Please Creativityatwork.com Subscribe to my blog for updates Connect on Linkedin & Google Plus For Creativity & Innovation skills development via coaching and training please contact me at: LN@creativityatwork.com Tel: +1 604-327-1565 Thank you! Linda Naiman Linda Naiman, Creativity at Work