Innovation Needs Change to Work
Many organizations struggle with innovation and growth because they simply can’t change internally enough to be successful.
The Problem
Plenty of companies world-wide in every conceivable industry and market know they need to be more innovative. Their own internal cultures, structures and processes often are the Achilles Heel that inhibits their ability to create, innovate and grow profitably.
As an example, consider a company I know that is a division of a larger Fortune 500 firm that manufacturers plastic products. Company management knew they needed to become more innovative in terms of developing new and improved products in the current markets they serve, as well as find new markets to drive growth. After months of work generating and evaluating a variety of ideas that came from a cross-functional team, they zeroed in on the two best product ideas that would open new markets if successful. At this point, work plans were developed to further evaluate and develop the product ideas and team leaders were assigned to each product.
And then progress came to a stand still. Why? Because these team leaders were expected to develop these new products and markets essentially in their spare time, with little if any support. Not a good recipe for success, do you think?
The problem was that the company’s culture, structure and processes never changed to support a new effort aimed at innovation and profitable growth. It’s nearly impossible to inject “innovation juice” into a company if people continue to do things they same way they always have. Bigger changes are needed for organizations to be more creative and innovative. Minor changes just won’t work, it’s Big Change that is needed.
Opportunity Drives Innovation
Innovation and growth strategies must be built on a foundation of opportunity, that is meaningful and connects to everyone in the company, not just the product development or marketing groups. This is where company leadership must articulate what the big opportunity really is for everyone in the company.
Jim Collins from Good to Great fame calls this Vision, having a long-term vision that will require a major effort to achieve and substantial change in how the organization operates and gets the hard work of innovation and growth done. The vision or opportunity must be about more than just making more money, it must relate to what the organization stands for - values - and is very good at doing - purpose - as well.
Company leaders must change the conversation about what needs to get done from “selling more of widget or service A” to how customers will benefit from the products or services the company wants to sell. This shift must be about “helping people accomplish things or improving their lives and businesses”. These types of shared visions and opportunities can get everyone in the company excited about innovation and growth and help create the changes needed to be successful long-term.
Charlie Alter specializes in Business Growth, Innovation, and Coaching. Follow Charlie on Twitter at: https://twitter.com/#!/cpalter or check out https://bentbrookadvisors.com.
