Leading Research and Innovation in Expert Organisations
Minna Takala - QISOctober 2010Materials Day 1
Leading Research and Innovation in Expert Organisations
Focused on innovation in governments, research centres, corporations and universities
Content Themes• Culture and leadership supporting open innovation• Governance models and service• Examples of companies, institutions and open source communities• Stakeholders and relationship management• Managing innovation from idea to innovation• New ways of working supported by social media• Portfolio management and projects management• Reward and recognition
Selected examples from IBM, Google, Lego, P&G, Toyota, Philips & Nokia, research and govermental institutions, universitiesopen source communities and social media
Minna Takalawww.minnatakala.com -
Twitter/@MinLii & @LinnaBikeShop SlideShare/MinLii, Delicious/MinLii, SecondLife/ MinLii Hanson
AGENDA AT A GLANCE 1st Day 2nd Day
09:00 OPENING 09:00 Opening of the day & review of previous days results
09:15 INTRODUCTION AND KICKOFF• Agenda review• Introduction to facilitators & participants • Expected outcome of the workshop
09:15 FROM IDEA TO INNOVATION
ECOSYSTEM VIEW TO INNOVATION
10:30 – Coffee break – 10.45 10:30 – Coffee break – 10.45
CULTURE & LEADERSHIP
GOVERNANCE MODELS & SERVICES
WORK GROUP SESSION
NEW WAYS OF WORKING SUPPORTED BY SOCIAL MEDIA
12:30 – Lunch – 13:30 12:30 – Lunch – 13:30
WHAT OTHERS ARE DOING• Examples from companies• Examples from institutions & universities• Examples from open source communities
PORTFOLIO MANAGEMENT &PROJECT MANAGEMENT
REWARD & RECOGNITION- HOW TO ENHANCE PASSION FOR INNOVATION
14:45 – Coffee break – 15:00 14:45 – Coffee break – 15:00
WORK GROUP SESSION
STAKEHOLDERS &RELATIONSHIP MGMT
CLOSING• Summary• Feedback
16:00 16:00
Theme 1Leadership & Culture
Views of the Future
Trust & Attitude
Creating conditions fos success
Leadership & Management
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Images of Innovation
”IMAGES OF CHANGE” Spatial image - the picture of the individual's location in the space around him.
Temporal image - an individual's picture of stream of time and his place in time.
Relational image - the picture of the universe as a system of regularities.
Personal image - the picture of an individual in the midst of the universe of persons, roles and organizations around him.
Value image - the ordering of the scale of better and worse of the various parts of the whole image.
Emotional image - various items in the rest of the image are imbued with feeling or affect
Conscious, unconscious & subconscious image
- an individual is capable being conscious of all parts of the image with the same degree of intensity, ability to perceive varies, a very small part of an image is exposed to our internal view at the same time.
Certain / uncertain, clear / vague images
- every aspect of a image is tinged with some degree of certainty and uncertainty.
Real / unreal image
- an image of the correspondence of the image "itself" with some "outside" reality.
Public / private image
- whether the image is shared by others or is peculiar to the individual.
Source: Kenneth Boulding (1956)
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Right balance between values based leadership and fact based
management is crucial
Fact-Based Management
Values-Based Leadership
• Clear targets • Common Management principles and tools• Common modular processes
• Achieving Together• Passion for Innovation• Engaging You • Very Human
Nokia Values
Leadership Role in Innovation System • Providing a long-term view for innovation via strategy,
target setting and portfolio
• Enhancing integrated view of key leaders and manager to the dynamics of innovation
• Nurturing key creation programs
• Managing relationships with key external stakeholders
• Assessing innovation implications of corporate, strategic initiatives
• Providing an expert opinion and crucial judgment
• Managing the balance between business and technology innovation such as organizational dynamics, portfolio, resources and processes.
Theme 1 – Leadership & CultureGroup Work options & Examples
Group Work• Values Exercise –
TOP 3 values for innovation work
• Leadership versus Management
Examples • IBM – Values for innovation
• P&G – Connect & Develop
• Nokia – ”Passion for Innovation”
• Aalto University Design Factory
• User driven innovation in Finnish context
• Reaktori
• Lulu Lemon
Theme 2Governance Models & Services
Structure
Decision making
Processes
Products, services & solutions
Operational model defines organization, processes and information system needs that are needed to implement strategies
and operationalize the business model
Beyond products and services
Product
Solution
Outsourcing
Service
Experience Trans-formation
“Increased demand for advice and support drives value from products, to services to solutions and outsourcing.”(Slywotzky, 1996)
“Progression of economic value:make goods -> deliver services -> stage experiences -> facilitate transformations “
( Pine et all, 1999)
I SYSTEMS VIEW:Services within and between different systems
Socialsystem
People & High - touch
Physicalsystem
Atoms& High tech
Informationsystems
Bits& High tech
People OrganizationsStakeholders
Socialenvironment
People <->
People
People <->
Machines
People <->IT
MachinesBuildings
Physicalenvironment
People <->
Machines
Machine<->
Machine
Machine<->IT
InformationTechnologyNetwork
Virtualenvironment
People <->IT
IT<->
Machine
IT<->IT
People <->
People
People <->
Machine
People <->IT
Machine<->IT
IT<->IT
Machine<->
People
IT<->
People
Machine<->
Machine
IT<->
Machine
Theme 2 – Governance Models & ServicesGroup Work options & Examples
Group Work• Reality process – what
are desired outcomes?• Governance model
basics
Examples • IBM – innovation activities
across the company and with customers
• Toyota – lean mgmt principles
• Tekes – program portfolio
• SITRA – orchestrating societal change
• Hub Helsinki
IBM’s Approach to Innovation
Challenge /Opportunity Idea
GenerationIncubation Validation Value realized
Research, Corporate
IBM Lines of Business
GTO / GIO /IBV
Client (and IBM) Challenges
ClientChallenges
InnovationJam
ThinkPlace
Communities of Practice
Extreme Blue
Biz Tech
Emerging Business
Opportunities
TAP
Alpha Works –LOB with developer
community
IBM Internal
IBM Offerings
Partners
Clients
Clients
IBM innovation programs
Joint Innovation Partnerships
First of a Kind
Strong governance
is crucial
Theme 3Stakeholders & Relationships
Who are your stakeholders?
Value adding relationships
Infinite & Finite games
Stakeholders & Relationships
• Customers
• Suppliers
• Employees
• Shareholders
• Government
• 3rd sector organizations …
• Stakeholders !!!
• Friends• Partners• Enemies• Competitors• Family members• Strangers, VIPs • Guests, visitors…• Associates...
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Co-operation in Service Research Stakeholders in Finland
Governmental Institutions & Industry Associations
• The Federation of Finnish Technology Industries
• TEKES - Finnish Funding Agency for Technology and Innovation
• SITRA – The Finnish Innovation Fund
• The Academy of Finland
• VTT - The Finnish Research Center
Universities & Polytechnics
• Helsinki University of Technology TKK
• Lappeenranta University of Technology LUT
• Tampere University of Technology TUT
• Oulu University
• Stadia Polytechnic
• ...
The Federation of Technology Industries activates stakeholders with BestServ Forum
• Joint collaborative network, funded by Technology Industries & members
• The vision: World Class industrial service business is a competitive advantage of Finnish Companies in Global Markets. Services boost industries’ international growth and success.
• Collaborative working practices & WebPortal for sharing information
• Focus on service business research
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SITRA – the Finnish Innovation Fundpromotes service research for Finnish government and provides support with programs
• On-going innovation policy work for Finnish Society – one of the themes service business
• The report will be given to Finnish Government in March 2008
• On–going program on network-based operating models 2008 - 2010
• Mikko Kosonen (ex- Nokia executive) heading SITRA
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TEKES - Finnish Funding Agency for Technology and Innovationsupports service research with collaborative programs
Collaborative research and development programs
with companies, research centers and universities
Examples of programs enhancing service research :
New Industrial Paradigm program (UTT - Uusi Teollinen Toimintatapa)
• 2000 - 2004
Innovative business Competence and Management
( LIITO Uudistuva liiketoiminta ja johtaminen)
• 2006 - 2010
Nokia participation in Liito projects - examples• Innovation Practices in New Business Creation in Nokia Research Center – ONIONS• Knowledge creation in Collaborative Innovation and Networked R&D - INNOSPRING ACCESS • Renewal and Redirection- New Management Models for Supporting Innovation Implementation - RENDEZ
Examples of Innovation practicesCompany Example
IBM Innovation with clients, use of social media to support communities, facilitated innovation community, “Technology Adaption Program” and “First of the Kind” projects
P&G Focus on involving external stakeholder into innovation activities, global 50% target set for new products
Philips InnoHubs (Singapore & Espoo, Finland) – places for innovation accelleration and early user co-operation
F-Secure Encouraging employees and linking innovation champaigns with agile/lean SW development
Lego Co-creation with users & developers, transformation of R&D / innovation practices
Dell Using user feedback extensily, crowd sourcing with Dell Idea Storm
Google Innovation practices integrated in R&D ways of working , systematic mechanisms for ideation,validation, investment & rewarding
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23Source – P&G
© 2009 Noki 24
Stakeholder view:Relationship with whom ?
Company
Financiers
Suppliers
Partners
Society
Employees
Customers
Finite and Infinite Games...
Finite Games• The purpose is to win
• Improves by fittest surviving
• Winners exclude losers
• Winner takes all
• Aims are identical
• Relative simplicity
• Rules fixed in advance
• Rules resemble debating contests
• Compete for mature markets
• Short term decisive contests
• Externally defined
Infinite Games• The purpose is to improve the game
• Improves by game evolving
• Winners teach losers better plays
• Winning widely shared
• Aims are diverse
• Relatively complexity
• Rules changed by agreement
• Rules resemble grammar of original utterances
• Grow new markets
• Long term
• Internally defined
“A finite game is played for the purpose
of winning, the infinite game for
the purpose of continuing the game …” (Carse, 1986)
Integration possibilities- co-creation ??
From Value Adding to Value Co-creation 1 (2)
• Industrial view
• Value creation is sequential, unidirectionally transitive, best
described in “value chains”• All managed values can be
measured in monetary terms• Value is added
• Value is a function of utility and rarity
• Values are “objective” (exchange) and
“subjective” (utility)• Customers destroy value
• Co-productive view
• Value creation is synchronic, interactive, best described in “value constellations”
• Some managed values cannot be measured or monetized
• Values are co-invented, combined and reconciled
• Exchange the source of utility and rarity
• Values are”contingent” and “actual” established interactively
• Customers and suppliers co-create value
From Value Adding to Value Co-creation 2 (2)
• Industrial view• Value is “realized” in transaction,
only for supplier (event)
• Three sector statistical models applicable
• Services are a “separate” activity
• Consumption not a factor of production
• Economic actors analyzed holding one primary role at a time
• Firm and activity are units of analysis
• Co-productive view• Value is co-produced, with
customers and suppliers over time - for both co-producers (relationship)
• Three sector statistical models no longer applicable
• Services a framework for all activities considered co-produced
• Consumers managed as factors of production (assets)
• Economic actors analyzed as holding several roles simultaneously
• Interactions (offerings) are units of analysis (Raminez , 1999)
Options in relationships...
• Design TO - >or WITH <-> ?
• Inactive ?• Proactive ?• Reactive ?• Interactive ?• … postactive...
?EXIT
LOYALTY
VOICE
(Hirchman, Albert, 1970)(Ackoff, Russel )
Life cycle of a relationship
Time aspects ?• Short term / long term
• Continuous / discontinuous …
• Temporary / permanent
Phases ?• In the beginning… during …
at the end
Crisis ?• Mergers & acquisitions
• Intensive growth / decline
• Transformation
Theme 3 – Stakeholders & RelationshipsGroup Work options & Examples
Group Work• Stakeholder
identification• Role analysis
Examples • Nokia – co-creation with lead
users
• Philips – opening up & InnoHub
• University -Industy Collaboration
• Rendez research project
• Hub Helsinki
• Friendpreneurs