Посты с тэгом: corporate innovation method

Feature Creep

Published date: May 2, 2011 в 3:00 am

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Companies that struggle with innovation often make up for it by adding features to existing products.  They succumb to “feature creep” – the gradual and continuous addition of features and functions though nothing is truly new.  While it may look improved, the added features make your product more complex, difficult to use, and more costly to produce.  Over time, your core customers abandon you.

Here is an example – the Numi toilet by Kohler.  At $6400, it is promoted as the top-of-the-line toilet with lots of high-tech bells and whistles:

  • Custom bidet: User can control pressure, temperature and angle.
  • Tankless design; dual flush
  • Motion Sensor Lid: After 90 seconds of no movement, the toilet will close.
  • Seat warmer
  • Foot warmer: A vent beneath the bowl blows hot air to warm your feet and the cold tile beneath them.
  • Automatic seat: For male users, a motion sensor is activated by foot and causes the seat to rise and then lower when you’re away.
  • LED lit back panel: Frosted glass is lit in an energy-efficient way.
  • MP3 hook-up: So you never have to be without your music.
  • Remote control: This touch-screen pad lets the user control all of these features from a wireless control.
  • A flat white surface designed for easy cleaning.

Instead of adding features, companies can become more innovative by subtracting features.  Here is an example of the Subtraction template of the S.I.T. innovation method.  Kimberly-Clarke Corporation, a global producer of paper-based products, launched their new Scott Natural Tube-Free toilet paper. Just as the name asserts, the rolls come without the cardboard tubes while still being able to fit on the average toilet paper holder.

From Foxnews.com:

“The idea has been around for quite some time,” said Doug Daniels, brand manger for Scott brand. “The tube doesn’t really serve any consumer purpose. But we’ve had a breakthrough in our technology that’s finally allowed us to do this.”  For now, the process of taking out the tube remains a mystery, as Kimberly-Clarke won’t reveal its ground-breaking technology. Daniels says they’re keeping tight-lipped, since they might use the process for future products. But more importantly, he maintains that no cardboard tube means every single piece of toilet paper will be usable, without those last few sheets getting stuck to the roll.

Kimberly-Clarke estimates that the U.S. alone disposes of 17 billion cardboard tubes from bathroom tissue, equating to 160 million pounds of waste. To put that into perspective, that’s roughly the weight of 250 Boeing 747s and enough tubes to circle the earth’s equator 40 times. Daniels says that this marriage of consumer and ecological advantages will pave the way for the success of the tubeless initiative.”

The LAB: Innovating Cosmetics with S.I.T. (April 2011)

Published date: April 25, 2011 в 3:00 am

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 The cosmetic industry thrives on innovation and fashion design especially in the areas of product development and retail merchandising.  It generates nearly US$200 billion worldwide and is growing. For this month’s LAB, we will use the corporate innovation method, S.I.T., to create new innovations for lipstick, a product that dates back to the ancient Egyptians.

S.I.T. works by taking one of the five patterns (subtraction, task unification, division, multiplication, and attribute dependency) and applying it to an existing product or service.  This morphs it into a “virtual product,” which is an abstract, ambiguous notion with no clear purpose.  We then work backwards (Function Follows Form) to find new and useful benefits or markets for the virtual product.

Here are five innovations created by *students at the University of Cincinnati as part of the innovation tools course.

1.  TASK UNIFICATION:  The lipstick package has the additional task of carrying lip finishers in addition to the main stick.  The color-filled lipstick sits in the center with the three finishes surrounding it in different slots. Benefits: many potential color and finish combinations; multiple uses- lipstick, blush and eye color; combined in a single unit for convenience; refillable

Twisterless2 2.  SUBTRACTION:  The lipstick cap is removed.  Instead, it has a slide the mechanism that moves up or down to move the lipstick in place.   Benefits: allows for convenient one-handed operation which saves time; one-handed operation allows for more convenient application; capless design prevents cap and stick accidents.

Shade Perfection 3.  MULTIPLICATION:  The tube contains many different smaller sticks of different colors.  One lipstick provides a range of colors to suit any occasion. Benefits: eliminates the need for multiple lipsticks; saves space in your purse or cabinet; many potential color and finish combinations; easy to use; refillable.

  4. ATTRIBUTE DEPENDENCY:  The color changes over time.  One application provides a sleek, neutral color, perfect for all-day wear. But, with one or two smacks, lips become sexy and vibrant. This lipstick is ready for any occasion and can go anywhere. Benefits: eliminates the need for multiple lipsticks; saves space in your purse or cabinet; many potential color and finish combinations; easy to use.

5. DIVISION:  The stick is divided into many smaller versions (preserving the characteristics of the whole).  These become small, one to two-time use sachets rather than the traditional tube.  Color is applied by finger.  Benefits: small sachets allow for one time usage without having to purchase an entire lipstick; price is set at a level to become more affordable to a broader target audience.

*Students:  Elizabeth John, Julie Maines, Ronald Meyers, Ina-Maija Tillmanns, and Maria Zumdick

Innovation Pilot Program

Published date: April 18, 2011 в 3:00 am

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Companies can reduce the risk of adopting new innovation methods by testing them first. A short, pilot program that addresses a specific product or service line helps you understand whether a new method is right for your company.  Pilot programs help keep your costs in line, and they help you reduce resistance to adopting new methods.

To organize an innovation pilot program:

1.  Make the Case:  A pilot program will take time and money, so you will need to build the business case before you can secure funding. Positioning is critical. The key is to show what has changed in the market creating a need to do things differently.  Show the contrast how the firm’s future state would be improved if a new method is found.  Offer up the pilot as a way to experiment without making huge commitments.  Be sure not to attack the prevailing methods or departments responsible for innovation.  Otherwise, they will push back.

2.  Build the Base:  Enroll other divisions to share the risks…and rewards…from the pilot.  Ask peers to chip in part of the expense, even if it is a small amount.  By “syndicating” support of the pilot program, you broaden the exposure to the outcome.  If you try to go it alone and do the pilot without your peers, you may be seen as the “lone wolf.”  If the pilot flops, you are exposed.  If it is wildly successful, the others who were not involved may feel resentful.

3.  Select a Method:  Do your homework to understand how the method works.  Make sure you can explain it to others.  Study the data and know its efficacy.  Has it worked in the past and will it work on this project?  How is the method different from what is being done today?

4.  Choose the Consultant:  Once you have selected an innovation method to test, choose the right consultant to deliver it.  Be sure not to do it the other way around!  Innovation consultants fall into four broad categories:

  • INVENTION:  These are consultants that help you create new-to-the-world ideas.  They have a particular expertise in creativity methods or idea generation tools.  Their main focus is generation of many new product or service ideas.
  • DESIGN:  These are consultants that take an existing product, service, or idea and put some new, innovative form to it.  They have a particular expertise in industrial design or human factors design.  Their main focus is transforming the way a product is used or experienced.
  • ENGINEERING:  These are consultants that help you make the new idea work in practice.  They have a particular expertise in technology, science, research, and problem solving.  Their main focus is building it.
  • ACTUALIZATION:  These are consultants that help you get the innovation into the marketplace.  They have a particular expertise in marketing processes, brand, or commercial launch of a product or service.  Their main focus is selling it.

The challenge is many consultants claim to be all of these.  How do you know what type the firm really is?  Study the biography of their founder.  What was the founder’s education, experience, work background, interests, etc.  The founder is where the core orientation of the firm begins.  Select the consultant that is best suited to deliver the method and is well matched to the business case.

5.  Recruit the Team: Bring together a “dream team” of talent to participate in the exercise.  The ideal number of participants is twelve.  They should be from diverse, cross-functional areas of the company.  Strive for one third commercial, one third technical, and one third customer-oriented (sales, packaging, customer service).  Gender diversity is essential – an equal number of men and women is the ideal.  Be sure participants all commit to full participation.  Avoid those who want to selectively “surf” into the pilot off and on.  These are your eventual naysayers who will claim they experienced the method and “didn’t find it very useful.”  Chances are they beholden to another method – their sacred cow.

6.  Measure and Share:  Develop a factual and credible story of what happened in the pilot.  Don’t focus too much on downstream output, though.  These measures are often subjective and unsupportable.  Instead, focus on the only measure that counts – would the team leader from the pilot program recommend using the method to his or her colleagues?  Advice from one’s peers will ultimately move other teams to act.

7.  Make it Stick.  Can we continue to use the method without the consultant going forward?  Are the methods clear?  Are there training aids and tools to help teach others?  Can the pilot program be extended to a general training program?  What is the retention rate one month out?  Six months out?  How many people could be trained within your current budget cycle?  How do you continue to build innovation muscle?

Innovation Sighting: Task Unification in Surgical Procedures

Published date: March 14, 2011 в 3:00 am

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The Task Unification tool of the corporate innovation method, S.I.T., works by assigning a new task to an existing resource.  There are three ways to do it:  1. allocate an internal task to an external component, 2. allocate an external task to an internal component, or 3. an internal component peforms the task of another internal component.  It is a great tool to use when you have a general idea of what you are trying to accomplish.  It helps you find innovative ways to do it using non-obvious resources.

Here is a unique example of Task Unification from the world of surgery:

While limb-sparing surgery for bone cancer is becoming more common, very young children with bone cancer face significant challenges and have limited surgical options.  Such was the case of a five-year-old girl with Ewing’s sarcoma, a cancerous tumor, behind her left knee.  Surgeons at The Children’s Hospital of Philadelphia used a limb-sparing technique called rotationplasty to remove the diseased portion of bone, turn the shortened portion of the leg bone in a half-circle and reattach it, with the ankle joint functioning as a knee. With a prosthetic attached to the mobile joint, the child, now 13, enjoys gymnastics and cheerleading.

Using the Task Unification tool makes you more aware of the Closed World of the problem and the resources available to you.  The Closed World is an imaginary area in space and time around where the product or service is being used.  It is the collection of components “right under your nose.”  Using these components with the Task Unification tool produces innovations that have the element of surprise – “Gee, I never would have thought of that!”

Business Model Innovation

Published date: March 7, 2011 в 3:00 am

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Business model innovation was one of many hot topics at Innovation Suite 2011.  The conference hosted thirty two invitees from nine countries and a variety of companies including GE, Bayer, Kraft, and SAP.  On the minds of many was how to create new business models to transform a company and move to higher ground.

Business Model Innovation is defined as follows (from Wikipedia):

Business model innovation results in an entirely different type of company that competes not only on the value proposition of its offerings, but aligns its profit formula, resources and processes to enhance that value proposition, capture new market segments and alienate competitors.

Here are four ways to conceptualize a new business model:

The LAB: Innovating Inflight Services with S.I.T. (February 2011)

Published date: February 28, 2011 в 3:00 am

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 Airline service innovation seems like an oxymoron considering the industry’s reputation for low quality.  But the industry is fighting back to improve its image.  Companies that specialize in inflight entertainment as well as airframe manufacturers are accelerating the use of new technologies to deliver more value in the air.  That’s good news for an industry that has focused way too long on cost-cutting.  The next battle for supremacy will be won by airlines and aviation companies that innovate services across the experiential “journey” in a sustained way.  For this month’s LAB, we will create new-to-the-world concepts for the inflight service experience using the S.I.T. tool set.

Lufthansa-crew-1 We begin by creating a list of the components of the product or service.  We select a component and we further break it down to its sub-components or attributes that we can focus on.  We then apply a tool to that component to change it in some way.  This creates the Virtual Product.  Working backwards (“Function Follows Form”), we envision potential benefits of the modified service to both the customer and the company.

Here is a list of components:

Innovation Tools – The Course

Published date: February 14, 2011 в 3:00 am

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It’s that time of year again for “Innovation Tools,” the graduate marketing course at the University of Cincinnati.   The course teaches how to use Systematic Inventive Thinking, a method based on three ideas.  First, most successful innovations over time followed one of five patterns, and these patterns are like the DNA of products that can be re-applied to innovate any product or service.  Second, innovation happens when we start with a configuration (the “solution”) and work backwards to the “problem” that it solves.  It turns out that humans are better at this than the traditional “problem-to-solution” approach to innovating.  Finally, better innovation happens when we start within the world of the problem (the Closed World).  Innovations that use elements of the problem or surrounding environment are more novel and surprising.  We innovate “inside the box,” not outside.

Students not only learn how to innovate, but they also learn how to link it to marketing strategy.  We teach a bit of the Big Picture marketing framework so that students know how to tie innovation and strategy to create an innovation roadmap.

We have 45 graduate students, mostly from our master of science of marketing program.  It is a diverse group and includes masters and doctoral candidates from other colleges.  From this class, we created eight teams working different projects.  The mix of products, services, and government programs should demonstrate that innovation methods can be applied virtually anywhere.  Here are the projects:

Innovation for the Non-Profit Sector

Published date: January 17, 2011 в 3:00 am

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Non-profit organizations need innovation every bit as much as for-profit firms.  Some might argue they need it more because they lack the resources and cash flow of large commercial firms.  Non-profits need innovation in:

  • Fund Raising
  • Expanding their reach
  • Mission delivery
  • Resource utilization

The need for innovation in the non-profit sector is widely recognizedAwards, grants, and other forms of recognition for innovative programs help stimulate managers to be more aggressive.

While the need is recognized, the approach to innovating non-profits is not.  These organizations should use the same methods found so effective in corporate innovation.  Structured methods based on patterns inherent in inventive solutions can be applied to the non-profit business model just as effectively as the for-profit model.  A method like S.I.T. can help an organization “break fixedness” about its role, resources, and process, thus opening new possibilities and approaches.

Here is how I would do it.  Start by making a list of the components of the non-profit, both internal to the firm as well as external.  The list might include:

  1. the office
  2. volunteers
  3. phones
  4. fund raising events
  5. website
  6. promotional material
  7. donations and grants
  8. beneficiaries
  9. benefactors
  10. mission statement
  11. management board
  12. executive director

Start with a tool like Subtraction.  Try removing an essential internal component (for example, donations and grants).  Use “Function Follows Form” to imagine benefits and uses of all the remaining components.  Try it with other components.  Next, use the Task Unification tool.  This tool helps you see existing resources in a new light, usually creating innovative ways to use those resources.  Finish the exercise with one of the three remaining tools.  Division, for example, will likely create new configurations of the non-profit and stimulate innovative ideas.  For example, try dividing out some of the executive director’s roles but placing them somewhere else back in the “Closed World.”  Where would those roles go and why would that be beneficial?

Here are some creative examples from the non-profit sector (courtesy of PSFK):

  1. Nonprofit Shopping Mall is a new service that turns consumer dollars into charitable donations. The organization partners with major online retailers like Target, Amazon, Home Depot, Bloomingdales, Expedia, Petco, and iTunes.  They donate a percentage of each purchase to the nonprofit of choice.  A shopper begins on Nonprofit Shopping Mall, choosing a charity and clicking through to a retailer. Tracking data is used to identify which shoppers came via Nonprofit Shopping Mall, and which charities they’ve chosen to donate to.
  2. Holiday Matinee recently worked with a local, non-profit charter school-offering its students an opportunity to design their own silkscreen tees, which they then voted on which designs to take part in their Artist Series. 100% of all the proceeds from these shirts go to school funding.
  3. Can Too is an Australian non-profit program that provides professional training in running and swimming in exchange for charitable fund raising. Members are given twice-weekly training sessions, daily guides, speakers and social events.  In return, they have to raise funds for Cure Cancer Australia. Runners can train for 10K or half marathon and full marathon events while swimmers can choose from among 1 km, 2 km and 2.7 km ocean swims and raise funds when they participate in their respective events. Can Too has raised more than AUD 4 million for Cure Cancer Australia.
  4. The MarkProf Foundation is a non-profit organization in Manila.  Its main event is an all-expenses paid, seven week “boot camp” led by multinational CEOs and reputable captains of local industry. Participants from diverse socio-economic backgrounds are ranked based on two core virtues: innovation and inquisitiveness.  The proof of success is in quality job creation. “MarkProf is already the biggest source of management trainees for some of the top multinational companies in the Philippines” says current president, Jem Perez who also refers to the organization as a “resume equalizer”.

The LAB: Innovating the Book with S.I.T. (January 2011)

Published date: January 10, 2011 в 3:00 am

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 Book publishing faces turbulent times.  While the market is growing, key parts of the business model are coming apart at the seams.  Market segments are fragmenting, price points are changing, channel power is shifting, and barriers to entry are lowering.  Even the definition of “a book” is in question.  Is it the medium (printed pages between two pieces of cardboard, electronic, online)?  Or is it the message (the story, the characters, the themes)?  When an industry faces turmoil, there is only one thing to do – innovate!

For this month’s LAB, lets innovate the plain old, everyday book, an idea that goes back 5000 years.  We will use the corporate innovation method, S.I.T..  It is based on five patterns.  We use the patterns to create hypothetical, abstract “solutions.” Then we work backwards from the solution to try and identify potential problems that it solves.  The term for it is called Function Follows Form.

D Book We start by listing the components:

  1. cover
  2. table of contents
  3. preface
  4. introduction
  5. chapters
  6. pages
  7. words
  8. page numbers
  9. spine
  10. appendix
  11. endorsements
  12. author
  13. title
  14. jacket
  15. bibliography

We apply one pattern at a time to a few of the components.  Applying a pattern morphs what we once new as a book into something strange and ambiguous.  The secret to being successful with the S.I.T. method is to be comfortable with the abstract concept even when it assaults your sense and sensibilities.  The templates help you automate the creation of these abstractions – you don’t need any special talents to use them.  But then you have to push through your discomfort to imagine the abstraction having benefits and potential users.

Here are five innovations for the book industry, one for each pattern.

1.  SUBTRACTIONRemove the author.  What are the benefits of a book with no author?  Perhaps it is a way to create marketing buzz as it did with Primary Colors by that famous author, Anonymous.  It is not a new idea, so let’s push further. Here is how it might work.  The author’s name is left off the book until it has sold a certain number of copies.  Once it reaches the threshold, the publisher prints a new run with the author’s name.  This would motivate authors, especially well established ones, to write great stuff.

2.  MULTIPLICATIONMake copies of the words.  To use this pattern correctly, you need to make the copy but change it in some way.  The key is to change it some way without first figuring out why it would be beneficial.  In this example, I would make copies of the words, but change color of the copied words.  Perhaps the copied words (different color) are placed at the bottom of the page.  Maybe this is for people who just want to skim the book or a chapter.  The colored words are the same as what is in the original book, but the page also has those few key words that help the reader skim through it quicker.  This is like having a “Cliffsnotes” version already within the book.  It would help publishers compete with those publishers who print summarized versions of their books.

3.  TASK UNIFICATION:  The page has an additional job of making you more efficient. Reading is hard work, but enjoyable for many, so it would be beneficial if there was a way to help readers enjoy the book more while being more efficient.  For example, what if a page in the book could tell readers when to take a break.  Or perhaps that page alerts the reader NOT to take a break because something ahead is really important.  Perhaps the page has a role in conveying the emotion of what readers feel while reading the words on that page – perhaps it is a certain color or type of paper related to the story.  Or, perhaps the page alerts you when you should go back to a certain page and re-read it to make sure you understand what is happening on that page.

4.  DIVISIONThe introduction is divided out physically and put somewhere else in the book.  This is a clever idea because we typically think of “introduction” as being at the front a book.  We all have “fixedness” about where introductions should be located.  In this example, perhaps we put the introduction in the middle of the book, after the reader has had a chance to get through some of it.  Now the person who is “introducing” the book can write it with a different tone and message.  “Hey, now that you’ve read half the book, let me tell you my thoughts.”  This would make the role of introductions much more interesting and useful.

5.  ATTRIBUTE DEPENDENCY:  To use this pattern correctly, we do not use components of a book, but rather use the attributes (characteristics) of the book.  We create correlations between attributes – when one changes, so does the other.  I created a correlation between the “type of endorsement” and the “message of the book.”  Here is how it would work.  A book is digitally scanned and analyzed for things like word count, readability, tone, and style.  Then it is compared to a database to identify other books that are similar.  The publisher offers this as a service to readers so they have better information about the book they are considering buying.  The “endorsement” is not from a person, but rather from other books that are most similar.

The LAB: Innovating Athletic Shoes with S.I.T. (December 2010)

Published date: December 27, 2010 в 3:00 am

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 The athletic footwear market is maturing, so it will need sustained innovation to keep growing.  “Performance footwear” emerged with the ancient Greeks and has since grown to a $50 billion global industry.  Innovations such as vulcanized rubber, high tops, arch support, specialized functions, endorsements, and branding have kept the industry vibrant and growing, especially for the dominant three players: Nike, Adidas, and Reebok.  Now it’s crunch time!

For this month’s LAB, we will use the corporate innovation method, S.I.T., to create new athletic shoe concepts.  The method works by taking one of the five patterns (subtraction, task unification, division, multiplication, and attribute dependency) and applying it to an existing product or service.  This morphs it into a “virtual product,” which is an abstract, ambiguous notion with no clear purpose.  We then work backwards (Function Follows Form) to find new and useful benefits or markets for the virtual product.
Here are five innovations created by graduate students at the University of Cincinnati as part of their graded requirements in the innovation tools course.
Feet Heat 1.  FEET HEAT:  Insole of the shoe heats up and keeps the feet of the athlete warm even in extreme conditions. A battery in the sole provides power to a metal plate-heater. Shoe can be connected to regular power-outlets and recharged within minutes.  (SIT TOOL: task unification – assigning an additional job to an existing resource)
2.  COLOR EX: The color of the fabric changes according to the physiological signs of the athlete (heart rate, lactic acid level).  Different colors are designated to different levels of exertion/intensity that the athlete’s body has been enduring.  Color EX Benefits: allows athletes to see whether they need to work harder or slower.  Helps athletes train within a specific performance range.  Also alerts coaches, trainers, and teammates as to how hard the athlete is really working. (SIT TOOL:  attribute dependency – one  feature of the product changes as another feature of the product or the environment changes)
3.  SMART SOLE:  The surface of the sole adjusts to the type or conditions of the ground to improve performance.  As ground conditions change (example:  hard wood floor, gravel, wet cement, rocky terrain, grass), the thickness, stickiness, and durometer of the sole adjusts to optimal configurations for that surface.  Benefit:  allows athletes in sports that cross over different surfaces to perform better.  (SIT TOOL: attribute dependency – one feature of the product changes as another feature of the product or the environment changes)

Strength pro 4.  STRENGTH PRO:  Holes in the soles allow athletes to add various sized weights to the shoe. Weights can be exchanged or completely removed.  Training device to increase stamina, speed, endurance, strength, and vertical leaps. Weight is easily removed so that the shoe can be used regularly (same shoe for practice and competition). Weights can be quickly increased or decreased based on workout purpose and individual needs.  (SIT TOOL: task unification – assigning an additional job to an existing resource)

5.  INVERTED SPIKES:  The spikes of the shoe are inverted into the bottom into the athletes foot.  The spikes are softned and dulled so as to provide a message therapy as the athlete moves.  Benefit:  improves foot circulation, endurance, and comfort.  (SIT TOOL:  multiplication – copying a component and changing it in some way such as size, location, etc)

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