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This presentation was part of a joint Nokia-Aalto workshop in order to improve the idea management and innovation processes at Nokia Salo
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08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 1
CEMS Block Seminar
Innovate@Salo
Group 1Jenna Hakkarainen, Sven Ahrens
Thomas Henry, Jan Kešelak
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 2
Nokia’s innovation process has poor stats1
• No transparency• Low ideator involvement/
“Black box”• Low implementation
ratio (1%)• Slow process (up to
3 years)• Partial specialists• Lack of motivation
“Idea Innovation” today
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 3
Nokia is not alone: innovation barriers across industries1
Marketing or communcation failure
Death of ideas
Inadequate measurement tools
Poor idea selection
Limited customer insight
Risk-averse culture
Lack of coordination
Lengthy development/implementation
18%
18%
21%
21%
25%
26%
28%
32%
Innovation Barriers
Marketing or communcation failure
Death of ideas
Inadequate measurement tools
Poor idea selection
Limited customer insight
Risk-averse culture
Lack of coordination
Lengthy development/implementation
18%
18%
21%
21%
25%
26%
28%
32%
Innovation Barriers
Source: Boston Consulting Group
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 4
Innovation will be process improved along several KPIs1
+
• Provide 100% process transparency• Offer 100% ideator involvement• Increase implementation ratio to 10%• Speed up “T2D” to 1 week for critical and 1 month for non-critical ideas• Guarantee 100% impartial assessment• Increase motivation along several dimensions
Target KPIs for the new innovation process
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 5
Top management support and changes in working environment drive idea creation2
Nokia wants more innovation in Salo? Then there should be a company-wide spirit that encourages every single employee to drive every single of his/her ideas forward.
• Use time to work on ideas with colleagues
• “Idea corners”/garage
15% off-time1
• Annual awards for teams/individuals with more than €1m in 3 years (cost/add. revenue)
• E.g. trip to research labs
Recognition2
No immediate monetary incentives
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 6
We propose a streamlined idea suggestion process2Idea(tor)
Automated screening
Standardized input tool Manage valves
• Urgency• Process related• Product related• Unrelated• Cost/Value
Category Red
Category Yellow
Category Green
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 7
We propose a streamlined idea suggestion process2Idea(tor)
Automated screening
Immediate handling of idea1 FTE
Yes
Human screening
1-2 FTE
Case-by-case sorting
Action within 24 hours Action within 1 month
Category Red Category Yellow
Category Green
No
Yes No
Yes No
Yes No
Budget and HR allocation, inclusion of ideator
Budget and HR allocation, inclusion of ideator
Budget and HR allocation, inclusion of ideator
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 8
Bias is prevented through a cross-functional assessment board 2
Case-by-case sorting
Action within 24 hours Action within 1 month
Category Red Category Yellow
Yes NoYes No
Budget and HR allocation, inclusion of ideator
Budget and HR allocation, inclusion of ideator
Marketing/Sales
Continuous improvement specialists
Area specialists
Non-involved assessors
Open innovators (externals)
Plant management
1
2
3
4
5
6
Ideator
0
08.04.2023 Aalto/GSOM Block Seminar - Nokia Case 9
Innovation process will improve along several KPIsS
+
• Provide 100% process transparency• Offer 100% ideator involvement• Increase implementation ratio to 10%• Speed up “T2D” to 1 week for critical and 1 month for non-critical ideas• Guarantee 100% impartial assessment• Increase motivation along several dimensions
Target KPIs for the new innovation process
