Why are so many breakthrough strategic possibilities killed off before they see the light of day? Years of research have provided us insight into the mistakes teams make that tend to kill off the most exciting ideas.
General Electric just announced it is selling off GE Digital, the much-hyped software business based in California and a keystone in GE’s strategy to transform itself from an unfocused conglomerate (in financial services and media) into a digital player that would usher in the next industrial era, creating the “industrial internet of things.”
We are passionate about understanding how the strategic conversations you hold – in boardrooms or hallways – can lead to breakthrough ideas … and why so often they don’t. We have found five mistakes teams often make that tend to kill off the most exciting strategic possibilities, and we’ve come up with a way to counter each mistake, called the IDEAS framework (Imagine, Dissect, Expand, Analyze, Sell).
In this article, I share this framework with you, in addition to a special announcement about a new program we are launching this month (see below).
I started my career in the 90s, as an external management consultant who worked on the business process reengineering aspects of large systems integrations. Our clients would spend millions of dollars reengineering the organization, but they often did not implement the changes. My personal experience reflected what research indicated: 80% of change projects fail.
US corporations invest more than $350 billion a year on innovation through R&D efforts. So it’s easy to assume that such formal efforts propel innovation more than any other factor.
Debbie Brackeen was in the “innovation” business before it was even called “innovation.” After completing her undergrad at Stanford University, she found herself in the heart of Silicon Valley. She spent her first years at Apple followed by stints at a variety of high-tech companies from HP to venture-baked start-ups. Today she is the chief strategy and innovation officer at CSAA Insurance Group, one of the largest AAA insurers in the world.
If someone handed you a sledgehammer and told you to start smashing your company’s products, would you do it? That’s exactly what Haier CEO Zhang Ruimin did to prove a point to his employees. That was the first in a long line of radical decisions that have transformed the company from a fledgling refrigerator maker to the world’s number one appliance manufacturer – and kept it there.
Three days are too few to fully unwind into what makes the Cayman Islands special. Lobster at the waterside cafe, sparkling blue water lapping white sand, genuinely nice people living in a safe country that feels, well, just happy. I was there to teach a two-day Outthinker course for a local university, training fast-rising government officials on how to sharpen their strategic and innovative thinking skills.
A hundred years before Uber popularized the “platform business,” an English teacher and a porcelain merchant were launching their own platform business in Canton, China, called Li & Fung. In 1906, Li To-ming and Fung Pak-liu started a trading company, exporting porcelain, fireworks, jade and silk. They eventually set up headquarters in Hong Kong.
The 150+ internal innovators I’ve interviewed over recent years all have precisely one thing in common. This thing they share is not any of the traits we typically associate with successful innovators: not creativity, customer insight, or influence; not technical knowledge, team leadership skills, or marketing prowess.
No … the one thing they share is this: persistence. They don’t give up.