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Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 1 11.06.2015 Holistic innovation – a game-changer for leadership

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Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 1 11.06.2015

Holistic innovation –

a game-changer for leadership

Innovation is not an option…

1.

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 2 11.06.2015

The pressure on innovation leadership is increasing

Ø retention of top 500 US companies within S&P’s 500 index [# years]

61

18 15

1958 2015 2025

Firms may

disappear in 15

years if they don’t

innovate

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 4 11.06.2015

Do you remember these companies?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 5 11.06.2015

And what about these companies?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 6 11.06.2015

40.4%

24.5%

35.9%

15.6%

10.0%

7.1%

13.7%

52.8%

1971 2010

Innovation is not only a matter of business sector…

Netherlands - Religious affiliation [members in % of total population]

By 2018 the NL will close down…

• 1,000-1,200 churches

• 150 out of 170 existing monasteries

Roman-Catholic

Protestant

Other religions

Unaffiliated with any religion

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 7 11.06.2015

The “recipe for innovation” has changed

2.

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 8 11.06.2015

Innovation leaders are the darling of stock markets

Market capitalization / Net Sales June 2015 [P/S ratio]

15.8

12.9

8.7

5.5

3.4 1.6 1.1 0.8 0.6

Alibaba Facebook Tesla Google Apple Amazon Siemens adidas Daimler(Mercedes)

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 9 11.06.2015

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 11 11.06.2015

Holistic innovation is about us!

3.

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 12 11.06.2015

People

Innovation-

centric

LEADERSHIP

Organizational set-up

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 13 11.06.2015

People

Innovation-

centric

LEADERSHIP

Organizational set-up

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 14 11.06.2015

“Keep the engine

running”

Top-down driven

innovation process

Based on R&D Avoiding risk

Focused on NPD

Rigid budgeting

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 15 11.06.2015

Flexible budgeting

(“Pilot fund”)

Encourage

employees to

experiment

Broad innovation

approach

Innovation from

everyone

(trickle-up innovation)

Innovation-centric

leadership

(Why not?)

Open source

(internal + external)

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 16 11.06.2015

People

Innovation-

centric

LEADERSHIP

Organizational set-up

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 17 11.06.2015

Highly structured

hierarchical set-up

Responsibility upwards

Small entrepreneurial units

(‘Tent’ organization)

Peer based responsibility

(lateral approach)

Push driven concept

(assignment)

Demand driven concept

(commitment)

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 18 11.06.2015

People

Innovation-

centric

LEADERSHIP

Organizational set-up

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 19 11.06.2015

Hiring mainly for

“knowledge and skills”

Employees as

“cost drivers”

Employees follow the

obvious practice

Hiring also for

“obsession to invent”

Employees as

“out-of-box thinkers”

Employees act as entrepreneurs

(eager to challenge status quo)

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 20 11.06.2015

Highly specialized skill set

Uniform employee profile

X-functional generalist mindset

Quest for diversity

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 21 11.06.2015

People

Innovation-

centric

LEADERSHIP

HR Organizational

set-up

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 22 11.06.2015

Can a subsidiary drive “holistic innovation”?

4.

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 23 11.06.2015

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 24 11.06.2015

adidas Run Base Prague

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 25 11.06.2015

STRATEGIC CHALLENGE

• Create differentation in Running in Prague

• Focus on young urban runner

• No inhouse solution with edge available 26

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 26 11.06.2015

PARTNER OF PRAGUE MARATHON

FROM THE BEGINNING IN 1995

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 27 11.06.2015

OPEN SOURCE - CARLO CAPALBO

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 28 11.06.2015

EMPOWERMENT OF LOCAL TEAM

SHARED RISK APPROACH

JOINT VENTURE WITH CARLO CAPALBO

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 29 11.06.2015

ADIDAS RUN BASE PRAGUE

Conference rooms Sport Lounge adidas running shop

RunCzech Elite Racing team Water bar & showers Running Community

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 30 11.06.2015

BOOST your Career

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 31 11.06.2015

BOOST YOUR CAREER

The Challenge

• - To hire the BEST interns

• - QUICKLY and EFFICIENTLY

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 32 11.06.2015

BOOST YOUR CAREER

Innovation:

• - Organized in our SHOWROOMS

• - Testimonials from REAL people

• - Real case study with our EMPLOYEES

33 11.06.2015 Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 33 11.06.2015

• Line Managers could OBSERVE and

PRE-SELECT their future interns

• High IMPACT and SPEED for affordable

cost

• The concept is now considered to be

used in GERMANY

BOOST YOUR CAREER

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 34 11.06.2015 Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 34 11.06.2015

How to challenge ourselves?

5.

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 35 11.06.2015

Which areas of innovation do we

need to focus on locally?

Where can we take own initiative?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 36 11.06.2015

How can we position our subsidiary as a

“pilot incubator” to HQ?

How can we mobilize project

funding outside of our department /

subsidiary?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 37 11.06.2015

Can we share resources with other

subsidiaries?

How can we leverage our teams

with external resources / business

partners?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 38 11.06.2015

If it’s not strictly forbidden, LET’S GO FOR IT!

Do we really need formal approval

from HQ for everything?

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 39 11.06.2015

Let’s be bold to

CREATE THE NEW!

Holistic innovation – a game-changer for leadership - Peter-Marcus Virsík & Gabriela Koleková 40 11.06.2015