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Is Franchising an Innovation Killer or Promoter? Osama Ghanim Founder and CEO

Is Franchising an Innovation Killer or Promoter?

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Is Franchising an Innovation Killer or Promoter?. Osama Ghanim. Founder and CEO. Big Mac. Jim Delligatti , an early McDonald's franchisee, invented McDonald's Big Mac sandwich in 1967. - PowerPoint PPT Presentation

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Page 1: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?

Osama GhanimFounder and CEO

Page 2: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?2

17 April 2013

Big Mac

Page 3: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?3

17 April 2013

Jim Delligatti, an early McDonald's franchisee, invented McDonald's Big Mac sandwich in 1967.

Delligatti said that inventing the Big Mac “wasn’t like discovering the light bulb. The bulb was already there. All I did was screw it in the socket.”

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Is Franchising an Innovation Killer or Promoter?4

OBAMA!

2009

17 April 2013

Page 5: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?5

17 April 2013

OBAMA in 25th Jan 2011: Obama’s answer to the US-crisis

“Go all in for innovation” and

“out-innovate the rest of the world”

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Why Innovation?

17 April 2013

Everybody have copied what everybody else have done.

All ideas have already been consumed.

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7Is Franchising an Innovation Killer or Promoter?

Innovation Improves Corporate Value

17 April 2013

In a tough economy, the most innovative companies have outperformed the S&P 500 as well as the S&P Global 100.

The index is derived from a combination of two rankings from the top 50 most innovative companies. The first is a qualitative ranking based on the company's position in the annual BusinessWeek/BCG survey. The second is a quantitative ranking based on three factors used to estimate a company's innovation—three-year earnings growth; three-year sales growth, and R&D as a percentage of sales.

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8Is Franchising an Innovation Killer or Promoter?

Accelerating Demand for Innovation

17 April 2013

On the Rise

“America is confronting a major economic threat as US firms face a crushing tidal wave of innovation demand.”Forrester Analyst

“We are pursuing too many things simultaneously, and our organization can’t successfully build and commercialize them all. Yet … we don’t want to miss the next big thing.” Boston Consulting Group

"Where once we optimized our organizations for efficiency and quality, now we must optimize our entire society for innovation." Council on Competitiveness

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9Is Franchising an Innovation Killer or Promoter?

Recent Study with 1500 CEO

17 April 2013

Page 10: Is Franchising an Innovation Killer or Promoter?

10Is Franchising an Innovation Killer or Promoter?

Recent Study with 1500 CEO

17 April 2013

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11

The illiterate of the 21st century will not be those who cannot read and write, but those who cannot learn, unlearn, and relearn.

Alvin TofFleR

17 April 2013 Is Franchising an Innovation Killer or Promoter?

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Is Franchising an Innovation Killer or Promoter?12

My favorite quote

17 April 2013

“Whatever made you successful in the past, WON’T in the Future”

Lew Platt VD HP

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1317 April 2013 Is Franchising an Innovation Killer or Promoter?

Red OceanCompete in

crowded markets

Blue OceanCreate and capture new market space

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Is Franchising an Innovation Killer or Promoter?14

What is INNOVATION?

17 April 2013

started with an IDEA

ended with a VALUE

Page 15: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?

Creativity = Innovation

17 April 2013

Page 16: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?

Creativity is Imagination*

17 April 2013

* In sense of being one way of getting ideas

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Is Franchising an Innovation Killer or Promoter?17

Albert Einstein (55 min formulating the question)

“If I had an hour to solve a problem I'd spend 55 minutes thinking about the problem and 5 minutes thinking about solutions.”

17 April 2013

Page 18: Is Franchising an Innovation Killer or Promoter?

Is Franchising an Innovation Killer or Promoter?

Innovation = Innovation Management

17 April 2013

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19Is Franchising an Innovation Killer or Promoter?17 April 2013

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20Is Franchising an Innovation Killer or Promoter?

IPOD Innovation ….

17 April 2013

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21Is Franchising an Innovation Killer or Promoter?17 April 2013

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Innovative Human do ….

see the linkages between seemingly thought by most to

be unrelated issues.

17 April 2013

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Is Franchising an Innovation Killer or Promoter?23

Tony Fadell

17 April 2013

• The iPod originated with a business idea dreamed up by Tony Fadell, an independent inventor.

• Fadell's idea was to take an MP3 player, build a Napster music sale service to complement it, and build a company around it.

• Apple hired Fadell in early 2001 and assigned him a team of about 30 people, including designers, programmers and hardware engineers.

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Is Franchising an Innovation Killer or Promoter?24

The creative … and the Innovative …

17 April 2013

The Creative The Innovative

•Imaginative beyond the rest•Relates things differently

•Sees the value•Takes the risk

•DOER

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Is Franchising an Innovation Killer or Promoter?25

Born or Learned?

Innovation is a skill that you can learn, practice and become

proficient at.

17 April 2013

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Creativity is a mind issue

Innovation is a system issue

17 April 2013

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Is Franchising an Innovation Killer or Promoter?27

Define Innovation in two words only?

17 April 2013

from

VALUE IDEA

“innovation is value from idea”

osama ghanim

* In the coming book “:value from idea”

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28Is Franchising an Innovation Killer or Promoter?

Pre-Idea and Post-Idea

Pre-Idea Idea Post-Idea

17 April 2013

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Is Franchising an Innovation Killer or Promoter?29

Creativity …. To .... Innovation

17 April 2013

Creativity

What drives people to use their imagination to get creative ideas?

How to get value from the most fruitful ideas. i.e. Highest ROI

Atmosphere & Motives

Value Creation

The healthy balance between the three makes innovative organization

Otherwise ….. Innovation may happen and not sure to happen

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30Is Franchising an Innovation Killer or Promoter?

Pre-Idea and Post-Idea

Pre-Idea Idea Generation Post-Idea

17 April 2013

Policies, Systems, Culture,

Stimulus, Reward

Creativity

Research, Study, Development,

Marketing,Prototyping

Innovation GuideTool KitInnovation IndexEducating InnovationInnovation Model

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Yes it is a CULTURE

17 April 2013

• President Kennedy

• NASA early 1970s

I am helping to put a man on the moon

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32Is Franchising an Innovation Killer or Promoter?

Creativity Techniques

• Random Word Association

• Forced Combination

• Negative Idea Generation

• What If?

• The Dream Trip

• Lab Work

• Visual Confetti

• Headline Mania

• 6-3-5

• Fishing Stories

• Idea Propping

• Merlin

• Your Creative Idol

• The Relay Baton

• Zooming Out

• The Lotus Blossom

• Trend storming

• Upside Down

• The Brain Pool

17 April 2013

Brainstorming

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Is Franchising an Innovation Killer or Promoter?33

As per Wikipedia

17 April 2013

77 Step ModelAAIDAARIZAdaptive ReasoningAdvantages, Limitations and Unique QualitiesAlgorithm of Inventive Problem SolvingAlternative ScenariosAnalogiesAnonymous VotingAssumption BustingAssumption SurfacingAttribute ListingBBackwards Forwards PlanningBodystormingBoundary ExaminationBoundary RelaxationBrainSketchingBrainstormingBrainwritingBrowsingBrutethinkBug ListingBulletProofingBunches of BananasCCATWOECard Story BoardsCartoon Story BoardCausal MappingCharretteCherry SplitChunkingCircle TimeCircle of OpportunityClarificationClassic BrainstormingCognitive AccelerationCollective NotebookComparison tablesComponent DetailingConcept FanConsensus MappingConstrained BrainWritingContradiction AnalysisControlling ImageryCrawford Slip WritingCreative Problem Solving - CPSCriteria for idea-finding potentialCritical Path Diagrams

KKJ-MethodKeeping a Dream DiaryKepner and Tregoe methodLLadderingLateral ThinkingListingListing Pros and ConsMMetaplan Information MarketMind MappingMorphological AnalysisMorphological Forced ConnectionsMultiple RedefinitionNNAFNLPNegative BrainstormingNominal Group TechniqueNominal-Interacting TechniqueNotebookOObserver and Merged ViewpointsOsborn's ChecklistOther Peoples DefinitionsOther Peoples ViewpointsPPDCAPIPSPMIPaired ComparisonPanel ConsensusParaphrasing Key WordsPersonal Balance SheetPictures as Idea TriggersPin CardsPlusses Potentials and ConcernsPotential Problem AnalysisPreliminary QuestionsProblem Centred LeadershipProblem Inventory Analysis - PIAProblem ReversalProductive Thinking ModelP cont.Progressive HurdlesProgressive RevelationProvocationQQ-SortQuality Circles

DDO ITDecision seminarDelphiDialectical ApproachesDimensional AnalysisDisney Creativity StrategyDo NothingDrawingEEscape ThinkingEssay WritingEstimate-Discuss-EstimateExaggerationExcursionsFF-R-E-E-WritingFactors in selling ideasFalse FacesF cont.Fishbone DiagramFive Ws and HFlow chartsFocus GroupsFocusingForce-Field AnalysisForce-Fit GameFree AssociationFresh eyeGGallery methodGap AnalysisGoal OrientationGreetings CardsHHelp-HinderHeuristic Ideation TechniqueHexagon ModellingHighlightingIIdea AdvocateIdea BoxIdeal Final ResultImagery ManipulationImagery for Answering QuestionsImaginary BrainstormingImplementation ChecklistsImproved Nominal Group TechniqueInterpretive structural modelingIshikawa Diagram

RRandom StimuliRawlinson BrainstormingReceptivity to IdeasReciprocal ModelReframing ValuesRelational WordsRelaxationReversalsRoleStormingSSCAMMPERRSCAMPERSDISODASWOT AnalysisSculpturesSearch ConferenceSequential-Attributes MatrixSimilarities and DifferencesSimple Rating MethodsSimplexSix Thinking HatsSlice and DiceSnowball TechniqueSoft Systems MethodStakeholder AnalysisSticking DotsStimulus AnalysisStory WritingStrategic Assumption TestingStrategic Choice ApproachStrategic Management ProcessSuccessive Element IntegrationSuperGroupSuperHeroesSynecticsSystematic Inventive ThinkingTTILMAGTRIZTalking PicturesTechnology MonitoringThink TankThinkxThrilTransactional PlanningTrigger MethodTrigger SessionsTug of War

UUnified Structured Inventive ThinkingUsing Crazy IdeasUsing ExpertsVValue BrainstormingValue EngineeringVisual BrainstormingVisualising a GoalWWho Are YouWhy Why WhyWishingWorking with Dreams and Images

Creativity Techniques

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Innovation (Ideation) Cycle

ProblemOrNeed

Convert into Innovation Challenge

Challenge

Ideation & Collaborate

Combine & Evaluate Ideas

Develop Ideas

ImplementMost

PromisingIdeas

VALUE

17 April 2013 Is Franchising an Innovation Killer or Promoter?

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Stages: Gates:1. Strategic Direction Direction Clear2. Idea Generation Ideas Scored3. Concept Definition Concept Approved4. Funding Case Funding

Approved5. Pilot and Test Launch

Approved6. Launch Final Evaluation

Stage 1 Gate1 Stage 2 Gate

2 Stage 3 Gate3 Stage 4 Gate

4 Stage 5 Gate5 Stage 6 Gate

6

Strategic Direction

HOW GATES WORK:YES, gate criteria are met, move to next step.NO, criteria are not met, idea is parked.

Innovation Stage-Gate Process

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Traditional vs. Open Innovation

Traditional Innovation

Relies on internal experts who don’t have all the

answers

Rigid “not invented here” culture with focus on who

solves the problem

Open InnovationAcknowledges that problem solvers and knowledge are

widely dispersed

Open & collaborative culture focused on solutions

* Henry Chesbrough, Professor & Executive Director of the Center for Open Innovation, Haas School of Business, UC Berkeley

* *

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37Is Franchising an Innovation Killer or Promoter?

Innovation Roles

17 April 2013

Leader

Criticizer

Marketer

Problem/Challenge identifier

PipelineController

Collector

Idea Champion

CreativeGenius

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17 April 2013

Block 18Office 243rd Floor

Our Partners

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Is Franchising an Innovation Killer or Promoter?39

Osama [email protected]

@oghanimwww.twitter.com/oghanim

http://ae.linkedin.com/in/osamaghanim

Osama GhanimFounder and Managing Executive as CEO& Chief Innovation Director

17 April 2013

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40Is Franchising an Innovation Killer or Promoter?

• Doing our job = using brain power via stored skills & knowledge in our brain.

• Thinking hours we give?

• Its BRAIN DRAINAGE

9am to 5pm (8 hours)

Thinking

Skills (Knowledge)

17 April 2013

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Social Media

Web

OpenInnovation

BrainStorming

Experts Networks

Customer

Vendor

Employees

Public

Atmosphere Media Collectors Innovation FunnelThinkers

StimulusMotivation

Reward AttitudeSkills

MediaValue

Matrix (MVM)

Collectors List + Collector Location, strength

Quality + Quantity

(Enrichment)Stages & Gates

Growth

Customer

Goals and Objectives

Play with the environment

InnovationSelection Team

InnovationSponsor

CollectionExpert

MediaExpert

PeoplesExperts

AtmosphereExpert

Start with the end is pictured in mind

Innovation Climate

Innovation Weather

Signal Capture

Hunt

Magnet Pull

Sensor Capture

Benefits Beneficiary

Cost Saving

Image

Marketing

Products

Image

Organization

Inherited Culture

Culture

Under Construction

Culture

Narrowing

Feasibility

Pilot

GO

Refine, Discuss

Correlate, Combine

Evaluate, feasibility (Market,

Financial etc.)

Prototyping or Trial testing e

Execution of the idea

CLIMATE INNOVATION MODEL

17 April 2013Is Franchising an Innovation Killer or Promoter?

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European Quality Model (EFQM)

17 April 2013

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Natural Evolution

17 April 2013 Is Franchising an Innovation Killer or Promoter?

“Everything that can be invented has been invented”

“640K ought to be enough for anybody”

“Never before in history has innovation offered promise of so much to so many in so short a time.”

Chalres Duell, Commissioner US Office of Patents

Bill gates Bill gates

1899 1980 2008 2012

?