Five Things SI Leaders Need to Know about Innovation

Henry Ford on the cover of Time Magazine, Janu...

H. Ford: Innovation involves combining existing ideas

Leaders commonly speak the word innovation. It conveys a sense of excitement and newness that motivates people.

But let’s be honest. Many times leaders use the word as filler in a speech or press release: a buzzword that occasionally engenders cynicism. Innovation is important, and it deserves a spot in the strategic initiative leader’s toolbox.  Here are five things that leaders need to know about innovation:

ONE: Innovation is not the same thing as invention or as creativity

Innovation is best defined as “an idea, practice or object that is perceived as new by an individual or organization.”  So an innovation does not need to be new to the world, just new to a person. There are all kinds of great ideas and technologies already in existence. Innovators are people who search for outside of the familiar new ideas, and then bring the ideas into the existing culture. Thus, an important principle of innovation is:

The future is already here, it is just distributed unevenly.

For example, Henry Ford did not invent the automobile nor did he invent mass production. Ford revolutionized the auto industry by combining existing technologies from meatpacking experts (the assembly line approach), electric motors, continuous flow, and machine tools. Every technology Ford needed was there, it was his ability to find and combine the elements that made him a world-changing innovator. Ford’s genius was that he had a vision and the courage to look outside of his own industry for the best people and best ideas.

TWO: Innovations Do Not Sell Themselves

Scurvy was a killer of many ancient sailors on long voyages. In 1601, a doctor in the British Navy found that citrus juice would prevent the disease. However, it wasn’t until nearly 200 years later – with many unnecessary deaths – that the British Navy to made its use a policy. Whether it is a new technological gadget, or a quality improvement program, there is no assurance that people will adopt an innovation.

Leaders have an important role in developing the awareness of the innovation, positive attitude toward the innovation, and commitment to adopt the innovation.

This leads to an important implication for leadership…..

THREE:  Innovation Involves Choices and Decisions

People evaluate an innovation with five filters, which I call the TACOS criteria:

T -Trialability:  Can I try it out before committing? If I don’t like it, can I abandon the innovation?

A – Advantage:  Is this innovation better for me? Does it have greater relative advantage over what I am doing now or the alternatives?

C– Compatibility:  Is this compatible with my values?

O – Observability: Can I physically see and experience it?

S – Simplicity: Is it simple enough that I can understand its features, function, and benefits?

FOUR:  It is a Gross Exaggeration to Declare that People “Resist Change”

I have heard it said and written hundreds of times that people resist change, but that far overstates the reality.  It is more accurate to say that

People adopt innovations at different rates, with laggards the last to adopt the innovation.

  

The nearby graphic shows the distribution of a population of people into five categories of people, based on when they adopt.

  • Innovators are the smallest group. They are venturesome individuals who bring new ideas into the system. Henry Ford would be considered an innovator because he was successful at combining existing technologies found in other industries.
  • Early adopters are opinion leaders that have an important function of decreasing uncertainty for others by sharing their positive experiences with the innovation.
  • Early majority comprises people who consider the value of the innovation carefully – they deliberate – before committing.  They rely on information provided by the early adopters.
  • Late majority are people who are skeptical and need to have most of the uncertainty removed before they adopt the innovation.
  • Laggards may never adopt the innovation because,

 The innovation is inconsistent with their closely-held values.

FIVE: Leaders Help People Cross the Chasm

Notice “the chasm” on the graphic, where the innovation has penetrated 16% of population of potential users.  That’s less than 1 in 5! The chasm turns out to be particularly difficult to cross, and this is a place where championing behaviors are needed:

  • Influencing tactics such as presentations, use of status and celebrities, bargaining, and appeals to higher authority.
  • Relationship building tactics such as befriending others and building professional networks
  • Business case development, to show the economic benefits of making the change
  • Visioning to help people understand the anticipated future.

When the innovation “crosses the chasm” it gains the critical mass where the majorities adopt it.
Do you agree with these principles of innovation? How have you used them on your strategic initiatives?

This posting originally appeared in the Linked2Leadership blogazine.

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About Greg Githens

Thought leader who helps others think strategically, make strategy, and turn vision into action. Coach, advisor, board member, and hands-on leader. Seminar leader and speaker of popular offerings "How to Think Strategically & Apply Business Acumen" and "Leading Strategic Initiatives (Program Management)." Experience in driving change in Fortune 500 and mid-size companies through strategic initiatives and business transformation.
This entry was posted in Competencies of Strategic Initiative Leaders, Success Principles for Strategic Initiatives, Transforming the Organization and tagged , , , , , , , , , , , . Bookmark the permalink.

8 Responses to Five Things SI Leaders Need to Know about Innovation

  1. Greg: I liked this one a lot; I’ll cross blog it in a posting on my blog. Related: in the business section of the NY Times this past Sunday is a great article on innovation as described in piece at http://www.nytimes.com/2011/05/08/technology/08class.html?_r=1&scp=1&sq=innovation%20facebook%20stanford&st=Search

  2. Greg ,
    This is a great post. You nailed it when you said people do not resist change. If we look at the consumer behavior, we can better understand the attitude of most folks. When an innovative product comes to market most consumers wait out to make sure the product works and the bugs if any are fixed. Similarly management has to understand that innovation is not self explanatory and catch up like wild fire. There is always a threshold or chasm to cross before innovation can take root. Your post brought that out very clearly.

    Thanks,
    Shakeel

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