1 LEADING INNOVATION: UNDERSTANDING BARRIERS AND FACILITATORS IN THE SINGAPOREAN CONTEXT ERNEST NG MICHELLE BLIGH Claremont Graduate University School of Behavioral and Organizational Sciences 123 East Eighth Avenue Claremont, CA 91711 Phone: (909) 607-3715 Fax: (909) 621-8905 Email: ernest.ng@cgu.edu Email: michelle.bligh@cgu.edu 2 ABSTRACT This study examines Singaporean managers’ ideas and experiences with innovation in organizations. We conducted five focus groups with practicing middle managers in various industries. We found that managers defined innovation primarily in incremental rather than radical terms, and focused primarily on market-driven process and product innovations. Facilitators included developing an innovative mindset, rewarding employees appropriately, and providing employees with freedom to develop new ideas. Barriers were lack of resources and attention to devote to innovation, cultural emphasis on harmony and avoiding failure, and the inability of local companies to retain talent. Managers discussed the government as a critical driver for innovation. Implications for developing innovative leadership in Singapore are discussed. KEYWORDS: innovation, creativity, leadership, management, Singapore, cross-cultural 3 “One of the basic challenges managers in a developing country face is to find and identify those parts of their own tradition, history, and culture that can be used as management building blocks.” – Peter Drucker The economic progress of Asian countries like Singapore, Taiwan, Korea, and China has been well documented, but a continual reliance on lower-cost efficient manufacturing as the main source of competitive advantage cannot continue. This is especially true in small exportdriven economies like Singapore, where economies of scale are more difficult to exploit and increased global competition continually stress margins. Without the development of sustainable innovation within the country, these nations will be continually dependent on external sources for economic growth. Understanding this relationship between innovation, progress and global competitiveness, small, developed Asian countries like Singapore have made investing in innovation infrastructure a strategic national priority (Tan & Phang, 2005). Therefore, any business or government leader attempting to implement innovation-centered strategic initiatives without a clear understanding of the innovation process and the cultivation of creativity in his or her cultural context will produce mediocre returns at best. Innovation is a hot ‘buzzword’ in the global business community these days, but the meaning and implications to practicing managers and executives is rather nebulous. Eisenberg (1999) defines innovation as the implementation of creativity to organizational-level products or processes, and Drucker (1993) best summarized the importance of innovation by labeling it one of the two basic functions of a business enterprise, along with marketing. While all leaders understand the necessity of innovation, many still seem unaware of the complexities and implications of an innovation driven policy in their organizations. Innovation is a discipline, not serendipity. Innovation must be viewed less as occasional product breakthroughs and reaction to the current competitive environment, but more as an ongoing pattern of strategic behavior ingrained in all of an organization’s operations (Milton-Smith, 2003). But as in any discipline, 4 there is not one nor should there be one uniform strategy for execution. Different people, groups, and organizations have different competencies, and require differentiated instruction to maximize results. The research is clear, management models are difficult to transfer between cultures (Black & Porter, 1991; Farh & Cheng, 2000; Gassmann, 2001), and much in the same way, Mumford and Licuanan (2004) conclude that current leadership models mainly developed to manage routine settings are also rarely applicable to the ambiguous situations characteristic of innovation projects. Therefore, this study attempts to lay the groundwork for a culturally based model of innovation leadership by understanding how current leaders view the innovation landscape and their specific organizational context. This study focuses on Singaporean organizations as an important place to examine innovation for two reasons: the vast differences between Singaporean culture and organizational characteristics that are believed to facilitate innovation, and Singapore’s ambition to become an innovation-based society. These reasons create a paradox in need of a solution, and understanding Singaporean-specific factors related to the advancement and hindrance of innovation is the first step in developing a viable solution. A leader’s role in the innovation process Innovation can be conceptualized as a value chain consisting of three main steps: idea generation, conversion, and diffusion (Hansen & Birkinshaw, 2007). The factors that facilitate this process are very fragile and disruptions in any part of the chain can prevent an idea from becoming a viable innovation. Much of the leadership work involving innovation either focuses on idea generation (Mumford, 2000) or diffusion (Rogers, 1995) and not how they work in sequence. What the research demonstrates is that some of the organizational characteristics vital to idea generation can negatively influence diffusion, and vice versa, if not for competent 5 leadership. A certain amount of dissent (Nemeth, 1997), disruption (Christensen, 2004), and disorder (Schein, 1997) are needed for idea generation, while structure, submission, and support (Rogers, 1995) are needed for the other links in the chain. Competent leadership is the linchpin that allows the innovation process to flow across the different environments in the value chain (de Jong & Den Hartog, 2007). Potential cultural obstacles to innovation Singapore is famous for the strictness and impartiality of its laws, and is considered one of the “world’s purest meritocracies” (Hampden-Turner, 2003). Characteristic to a meritcentered culture is their preference for predictability and order. Hofstede (1980) confirms these cultural assumptions by finding Singaporean managers to be high in power distance and uncertainty avoidance. Failure becomes unacceptable, so risky projects are avoided in favor of small, measured projects with tangible and sustaining effects on the bottom line. In a cultural climate such as this, the spirit of innovation within indigenous firms, predictably, remains low (Groth & Peters, 1999). This is not helped by Singaporean managers’ over-dependency on multi-national corporations (MNC) taking all the risk on developing innovations (Goh, 2006). The appetite for risk is too small for Singaporeans, so they leave all the innovating to the resource-rich MNCs. And as a result, Singapore produces fewer entrepreneurs per head of population than almost all advanced economies (Hampden-Turner, 2003). Potential facilitators of innovation Nevertheless, Singapore has many of the conditions that make it ripe for innovation. Javidan (2007) in his research on forward-thinking cultures found Singapore emerging as the most future oriented culture, meaning there is cultural support for delayed gratification, planning, 6 and investment. In addition, Singapore’s multi-cultural population is a possible facilitator, as research has found that diversity can increase creativity and innovation (Gassmann, 2001). Miron et al. (2004) finds that people have the ability to be creative and also be attentive to details and rules. These characteristics are not mutually exclusive. Basadur (1992) even documented how structure is used in Japanese organizations to promote creativity, motivation, and teamwork. Though there are many current barriers to innovation according to the research, not all is lost. Culture is not static; it is dynamic and malleable (Li & Karakowsky, 2002). Though it might seem that the current Singaporean culture does not support, stimulate or reward creativity, it is incorrect to say that the culture squashes or suppresses creativity (Sawyer et al., 2003). Creativity and innovation do exist. Singapore did not develop into the place it is today without innovation, but as the question remains, “What must it do to continue developing?” Are there any unique practices or barriers that exist that need to be resolved for Singapore and other Asian nations facing similar issues to succeed with innovation? These issues will be explored in this paper. METHODS Participants 31 executive MBA students (26 male and 5 female) were recruited from a Singaporean university. All participants had a minimum of several years of experience managing subordinates as part of their daily tasks and had substantial responsibilities in their organization. Participants came from various industries like high-tech manufacturing, health care, chemicals, and finance. About half of the participants were employed by multinational corporations. Procedure Five semi-structured focus groups of six to eight participants were held during the winter of 2007. Participants were offered extra credit in their class for participation. Each focus group 7 lasted approximately one hour. All participants were informed about the purpose of the study and then asked a series of questions. Participants’ responses and interactions were recorded and transcribed for analysis. Analysis Analysis followed procedures established by grounded theory (Glaser & Strauss, 1967). From the transcripts, two researchers worked independently to code initial key themes. The transcripts were coded using ATLAS/ti, a code-based theory building software package. Following Miles and Huberman (1994), coding of the data took place in two primary stages. The first stage involved a list of codes generated a priori from previous literature, as well as some initial inductive codes that developed from themes that emerged in the initial stages of data collection. In the second stage of coding, or pattern-level coding, the network capabilities of ATLAS/ti were utilized to help group the categories obtained in the first level of coding into analytic units and higher-order concepts and categories. These analytic units were then used to examine linkages and interrelationships among concepts. The data analysis process therefore remained partially inductive throughout these phases of initial and pattern-level coding. Finally, significant quotes from each of the themes were identified. RESULTS Defining Innovation in the Singaporean Context. Figure 1 displays the most frequent themes that emerged in response to a question that asked participants to define innovation. The majority of responses were categorized as Process and Cost Related innovations: “Innovation to us is challenge the status quo, everyday you look at our process or product, the way we do things, we just want to do it differently in hopes of achieving quality, cost reduction, or anything that’s better, even safer.” Other frequent themes involved identifying ways to improve a product 8 incrementally to provide better service or cost savings, identifying market driven niches or opportunities, as well as identifying collaborative partnerships with other companies. Crosscutting these themes, innovation was frequently defined using an external, market-driven focus. For example, one manager put it this way: “to us innovation is really the ability to identify product line architecture and invest in it in a way that will give us market competitive advantages and at the same time able to fit into our customer’s product plans as well. If we invent something or innovate something that is technologically great but is not something they need or in their product, they are going into another direction and we are not innovating in that direction, then it will not be helpful.” Facilitators of Innovation. Overall, respondents spoke of a number of themes around what facilitates innovation in their organizations, and what specifically they can do as managers to play an important role in this process. Specifically, managers spoke of the important role of the culture of the organization in providing an open, yet critical or questioning forum for pursuing new ideas. In addition, managers discussed the role of providing some freedom or flexibility for their employees to develop creative ideas, but recognized that this does not work in all organizational contexts. They suggested that creating this freedom and relaxing their directive leadership style could also be interpreted as not providing enough structure, or as not doing their jobs effectively as managers. Finally, providing appropriate incentives (primarily monetary), having a structure or procedure in place for evaluating and recognizing innovative ideas, and allowing employees to work collaboratively in teams also emerged as important themes in our focus groups. The Singaporean Government. Another important theme that emerged across our five focus groups was the role of the government in driving Singaporean innovation. As one manager 9 put it, “I think a lot is driven by the Singapore government…innovations, finding funding, using IT to do all these. The Singapore government is very good in doing this, especially in public services, but even for the private sector the same you can apply for R&D funding. During my time as R&D director, 50% of my salary was paid by the government for 7 years. And certainly there is a lot of incentive for private organizations to invest in R& D because of all those government incentives.” Another manager emphasized this point even more strongly: “At this point of time innovation in Singapore is still very much government-driven in terms of R&D and innovation culture. Really, in Singapore at this point in time innovation is government.” In addition, there were comments that suggested this government-supported push for innovation went beyond financial incentives and agenda-setting to attempts in creating social support and norms for innovation as well. For example, one manager stated, “I think the government in Singapore is trying to start this, kind of making people aware that you need to innovate and that’s having that kind of support socially, the government will really make a lot of effort to help people to innovate.” Barriers to Innovation. One of the barriers to innovation that emerged in our focus groups was the importance of social harmony in the Asian context. According to one manager, Given the culture in Asia sometimes, more and more, in leading companies you are made to work in teams, and you have to be careful about how you give credit, especially to people who came up with the very first idea, or who worked the hardest, you’ve got to reward them and recognize them in a way that doesn’t make them feel left out, or give them some negative ramification afterwards, that the rest of the team members don’t think that this guy is too on the ball, right, he’s spoiling the market, everybody works 8 hours, and he works 12, and he gets ostracized. So there is an artwork to recognizing them because it’s important to let people know that innovating, taking risks, making things better, you will be rewarded, but at the same time, doing in such a way that preserves the team integrity, the healthy dynamics that goes on and encourages it instead of destabilizing it. 10 Another frequent theme was represented by the emphasis on avoiding failure in the Singaporean context. Managers discussed the fear of failure, the emphasis on following regulations and orders and meeting deadlines, as well as what they termed the “Kiasu syndrome” in Singaporean culture. One manager described it as follows: “We have this so called ‘Kiasu syndrome’: In Singapore anything that is defective they want to overhaul. They just want to strip everything apart, just look into every single point, which we are trying to eradicate. This does not help. This is not what the customer wants. The customer just wants repair, and at a minimum so that it costs less … So, to me innovation is like trying to change from this mentality into not doing what the customer doesn’t want.” Another manager described it as being “afraid to lose” or the fear of being left behind. Another set of obstacles revolved around the lack of time, energy, and resources permitted in employees’ daily work schedules and lives to devote to innovation. The lack of time in most employees schedules “retards innovation because nobody just has the time to really look what can we do, how can we do things better, because we are really achieving for deadlines, just to meet deadlines.” Similarly, lack of resources was often cited as a reason for the inability to innovate, along with the idea that innovation is “easy to say, but it’s really tough to push innovative ideas through,” especially in light of strict government regulations and standards. Finally, managers mentioned the inability to retain key talent as an important limitation to innovation. Figure 3 provides an overview of the most frequently mentioned themes in response to innovation barriers. DISCUSSION Our study makes three significant contributions to the research on innovation and leadership that are valuable to organizations and governments committed to improving 11 innovation in Asia and one finding specific to Singapore. First, there is a growing desire to innovate, but in a culture rooted in hierarchies and obedience, a significant cultural gap between the young and old creates obstacles. The younger generation is more vocal and voices their opinions freely, only to have the older generation insist on obedience and consistency, which leaves more progressive managers with the difficulty of balancing contradicting management strategies. Compromises are made in terms of resources and time to appease both sides, which only serve to handicap new projects towards failure. Therefore, if innovation is to flourish, there must be clear alignment between business strategy, senior leadership, and organizational culture paying special attention to how those things interact with the native cultural values. Second, while researchers (Amabile, Hennessey, & Grossman, 1986) have found that rewards significantly reduce the intrinsic motivation needed for innovation and creativity, our results demonstrate that without clear rewards, external motivation, and properly defined channels Asian employees in the region are content to maintain the status quo. Without external cues and specific directions, it becomes difficult to preserve social harmony and employees are satisfied at maintaining wu wei1. Consistent with this idea, Niu and Sternberg (2003) found that once Chinese students were given permission to be creative, their creative products were judged as creatively no different than U.S. students. When the Chinese students were not specifically given the instruction to be creative, their products were significantly less creative than U.S. students. Together, these findings support the need to develop new models of creativity and innovation management specific for the values and practices of Asia. Thirdly, the hesitation towards investing in innovation is fueled by misunderstandings of innovation and has lead to a policy of adaptation and customer-driven improvements rather than 1 Taoist philosophy that has been translated as “creative quietude,” or the art of letting be. 12 innovations driven on developing market leadership through the identification of new spaces and neglected markets. The current strategy merely aims to maintain the current position in the market with the hopes that improvements may somehow expand their market. In addition, the constant focus on cost and process efficiency as primary innovation products only serve to further reduce employee resources and attention needed to reflect and be creative. Obviously, it is impossible for indigenous small to medium enterprises to compete head-to-head with MNCs on a resource level, but unlimited resources does not necessarily guarantee successful innovations. In fact, Nohria and Gulati (1996) found an inverse U-curve in the relationship between resources and innovation. As a matter of fact, large MNCs can actually create significant space for indigenous disruptive innovators to enter markets neglected by the MNCs. For Singapore specifically, the effective and efficient governance of the nation’s needs creates a vacuum of initiative on the part of the indigenous private sector. The government has taken the lead by restructuring the education system, importing foreign talent, and developing the necessary infrastructure to attract MNCs, which combined with the “Kiasu syndrome,” has unexpectedly created a psychological chip on the shoulders of the indigenous people. It is not enough to leave it up to the next generations, who have been schooled differently to have the creative ideas and innovations. Innovation can occur now, and Singapore’s small market size is not necessarily a disadvantage. Peter Drucker (1985) states, “those entrepreneurs who start out with the idea that they’ll make it big- and in a hurry- can be guaranteed failure” (pg. 34). Most innovators start small, but their recognition of innovation opportunities allow them to grow as the market they chose to exploit matures. Concluding Thoughts 13 What the results of our study emphasize is the difficulty of developing significant innovations within an established business. Small process-based or social innovations can be accomplished through continuous problem finding, problem solving, and implementation to create a more efficient and effective workforce, but the innovations that contribute to market leadership take an organizational climate significantly different from one that sustains the current business (Christensen, 2002). In addition, while global R&D networks are flourishing and Singapore has come to house many companies’ R&D units, MNCs have become very adept at keeping core innovation in their home countries according to the National Academies study on innovation in global industries (Macher & Mowery, 2008). So even though MNC R&D facilities are springing up around the globe, the core innovation, the profit generating innovation, is still situated at home. If a nation like Singapore is to compete globally, continual dependence on attracting MNC R&D networks as a means to spur indigenous innovation is unlikely given the tendency of the population for the security and prestige offered by global MNCs. Finally, innovation occurs when an idea meets a need. Innovation is not about risk taking; it is about focusing on opportunities (Drucker, 1985). This pragmatic philosophy is well suited for the Singaporean cultural landscape. The clear rules, the ease of starting a business, and enormous government support in Singapore all provide great infrastructure for indigenous innovators to capitalize on. Now it is about debunking the myth of innovation as a highly risky endeavor, and reworking it into the disciplined, pragmatic approach that Drucker first wrote about in the mid-80s. Limitations, Implications, and Directions for Future Research 14 The results of this study will need to be replicated in a variety of industry and organizational settings in order to establish the extent to which the initial themes uncovered in these focus groups generalize to other contexts. In addition, it is important to keep in mind that focus group data are a reflection of respondents’ perspectives, rather than completely objective accounts of reality. Further research will be necessary in order to assess whether the perceptions of innovation managers reported here differ in practice from how employees perceive and discuss it from their perspectives. Finally, the potential for reactivity, social desirability and impression management are all important limitations of qualitative research of this nature. In order to overcome these limitations, every effort was made to ensure informants of confidentiality, and respondents reported a high level of comfort in discussing these issues with their peers from different companies and industries. While further research is necessary to explore innovative leadership in a variety of industry and organizational settings in Singapore, this study takes an important first step toward identifying how effective managers may facilitate innovation. In turn, this information can be used to identify areas of training and education in order to foster innovative cultures, rewards, collaborative partnerships, and teamwork. Employees who are educated about the types of leadership behaviors and resources that are most effective in facilitating innovation can make an important difference in helping to foster more innovative cultures and processes. In addition, starting a dialog with future business leaders about how they can begin to support their subordinates, and learn how their actions might be affecting their employees’ production of innovative ideas, may well better inform managers, business executives, and policy makers about how to improve their business performance and make Singapore more competitive in the global marketplace. 15 This study is somewhat unique in its emphasis on uncovering managers’ own interpretations and concerns of innovation in the Singaporean context. Managers at very different stages of their careers, across different industries and contexts were given the opportunity to reflect on their needs for leadership support to help drive innovation, and provide suggestions and input into how innovation could be facilitated or hindered. Existing studies have not examined the innovation process at this level of detail in the Singaporean context, and future research could utilize survey methodologies to examine the extent to which these themes resonate differently in various organizations and contexts. In addition, capturing employee perspectives would provide an important supplement to the current research. REFERENCES Amabile, T.M., Hennessey, B.A., & Grossman, B.S. 1986. Social influences on creativity: The effects of contracted-for reward. Journal of Personality and Social Psychology, 50: 1423. Basadur, M. 1992. Managing creativity: A Japanese model. Academy of Management Executive, 6: 29-40. Black, J.S., & Porter, L.W. 1991. Managerial behaviors and job performance: A successful manager in Los Angeles may not succeed in Hong Kong. Journal of International Business Studies, 22: 99-113. Christensen, C. 2002. The rules of innovation. Technology Review, 105(5): 33-38. de Jong, J., & Den Hartog, D.N. 2007. How leaders influence employees’ innovative behaviour. European Journal of Innovation Management, 10: 41-64. Drucker, P.F 1993. Management: Tasks, responsibilities, practices. NewYork: HarperCollins. Drucker, P.F. 1985. Innovation and entrepreneurship. New York: HaperCollins. Eisenberg, J. 1999. How Individualism-Collectivism moderates the effects of rewards on creativity and innovation: A comparative review of practices in Japan and the US. Creativity and Innovation Management, 8: 251-261. 16 Farh, J., & Cheng, B. 2000. A cultural analysis of paternalistic leadership in Chinese organizations. In J.T. Li, A.S. Tsui, and E. Weldon (Eds.), Management and organizations in the Chinese context: 84-130. New York: St. Martin’s Press, Inc. Gassmann, O. 2001. Multicultural teams: Increasing creativity and innovation by diversity. Creativity and Innovation Management, 10: 88-95. Glaser, B.G., & Strauss, A.L. 1967. The discovery of grounded theory: Strategies for qualitative research. Hawthorne, NY: Aldine de Gruyter. Goh, A.L.S. 2006. Evolution of industrial policy-making in support of innovation: The case of Singapore. International Journal of Innovation and Learning, 3: 110-125. Groth, J.C., & Peters, J. 1999. What blocks creativity? A managerial perspective. Creativity and Innovation Management, 8: 179-187. Hampden-Turner, C.M. 2003. Culture and management in Singapore. In M. Warner (Eds.), Culture and management in Asia: 171-186. London: RoutledgeCurzon. Hansen, M.T., & Birkinshaw, J. 2007. The innovation value chain. Harvard Business Review, 85(6): 121-130. Hofstede, G. 1980. Cultural consequences: International differences in work-related values. Beverly Hill, CA: Sage. Javidan, M. (2007, July). Forward-thinking cultures. Harvard Business Review, 85(7/8): 20. Li, J. & Karakowsky, L. 2002. Cultural malleability in an east Asian context: An illustration of the relationship between government policy, national culture, and firm behavior. Administration & Society, 34: 176-201. Macher, J.T. & Mowery, D.C. 2008. Innovation in global industries: U.S. firms competing in the new world. Washington, D.C.: The National Academies Press. Miles, M. B., & Huberman, A. M. 1994. Qualitative data analysis: A sourcebook of new methods. Beverly Hills, CA: Sage. Milton-Smith, J. 2003. Cultivating innovative, high-technology enterprises: Insights from the Asian experience. Paper presented at the XX IASP World Conference on Science & Technology Parks, Lisboa, Portugal. Miron, E., Erez, M., & Naveh, E. 2004. Do personal characteristics and cultural values that promote innovation, quality, and efficiency compete or complement each other? Journal of Organizational Behavior, 25: 175-1999. 17 Mumford, M.D. 2000. Managing creative people: Strategies and tactics for innovation. Human Resource Management Review, 10: 313-351. Mumford, M.D., & Licuanan, B. 2004. Leading for innovation: Conclusions, issues, and directions. The Leadership Quarterly, 15: 163-171. Niu, W., & Sternberg, R.J. 2003. Societal and school influences on student creativity: The case of China. Psychology in the Schools, 40: 103-115. Nemeth, C.J. 1997. Managing innovation: When less is more. California Management Review, 40: 59-74. Nohria, N., & Gulati, R. 1996. Is slack good or bad for innovation? The Academy of Management Journal, 39: 1245-1264. Rogers, E.M. 1995. Diffusion of innovations. New York: The Free Press. Sawyer, R.K., John-Steiner, V., Moran, S., Sternberg, R.J., Feldman, D.H., Nakamura, J., & Csikszentmihalyi, M. 2003. Creativity and development. New York: Oxford University Press. Schein, E.H. 1997. Strategic pragmatism. Cambridge, MA: MIT Press. Tan, K.S., & Phang, S.Y. (2005, April). From efficiency-driven to innovation-driven economic growth: Perspectives from Singapore. World Bank Policy Research Working Papers. 18 FIGURE 1. Most Frequently Cited Definitions of Innovation 14 12 10 8 6 4 2 0 Process and cost Service New technology utilization Market based solutions Collaborative partnerships Sample Quotations for Innovation Definitions Code Process and Cost (n = 12) Service (n = 6) New Technology Utilization (n = 4) Market Based Solutions (n = 2) Partnerships (n = 2) Sample Quotation “Innovation to us is challenge the status quo, everyday you look at our process or product, the way we do things, we just want to do it differently in hopes of achieving quality, cost reduction, or anything that’s better, even safer” “We produce products for others. We don’t have our own products. So it is basically not really innovation, it’s not really a new product. But it’s a really new way, new ways to the things which can add value to the product, which can add value to the cost and which can add value to the customer.” “For us innovation means migrating the product line to a newer technology” “Innovation here is to identify what is in the market and then be able to think about a product that we may be able to do” “So it is something that, I mean we have to, it is a collaborative approach, we often have to share our product roadmaps, at least at a higher level with some of our key customers, and they do likewise, so that we can see how we can work together, partner with them to win in the marketplace for them, and also for us eventually. So I think in a way that is how we look at innovation.” 19 FIGURE 2 Most Frequently Cited Facilitators of Innovation 18 16 14 12 10 8 6 4 2 0 Culture/Innovation Mindset Rewards Freedom Disciplined process Teams Sample Quotations for Innovation Facilitators Code Culture/Innovation Mindset (n = 16) Rewards (n = 8) Freedom (n = 8) Disciplined process (n = 4) Teams (n = 2) Sample Quotation “I think sometimes it also depends on the company’s culture, I have two jobs so, the first job I had, it goes without saying, it’s very easy to get ideas across and because you feel quite comfortable talking about things and bringing up new things, and if you just say la, this is the job, well ok, it’s done, it will be carry out in some way, which everyway it doesn’t matter, but in some companies they are just not tune to that, so if there is no culture of critical thinking in the company, no matter how much room you give, it won’t work, because the subordinates will feel lost about ‘oh how should I execute the work with so little instruction.’ “If the idea is good, we give them certain amounts, there’s a bigger monetary reward.” “I think what I can do as a manager to improve innovation is stop being so directive, do not give step by step instructions. Just give them my end objective and see what creative ideas they come up with. And based on my experience, I can evaluate and adopt the best thing.” “The three of us actually sit inside the conference room to review each and every idea. When an idea is rejected, we give them an explanation why it is not accepted and give some kind of recommendation of where they should work on, and they revise it and resubmit. We actually have an all-employee meeting and for that month the top three ideas will get selected, we ask them to come out, we talk about what they have, what idea was contributed, how does it benefit the company, give out the monetary reward in cash, shake their hands and thank them. We actually reply to them why is it, if it is accepted, there will be a resource assigned so they work on it. If it is rejected we actually tell them why it is rejected, it could be a repeated idea, or something that is already implemented, so they know what happened to their idea.” “So it is something that, I mean we have to, it is a collaborative approach, we often have to share our product roadmaps, at least at a higher level with some of our key customers, and they do likewise, so that we can see how we can work together, partner with them to win in the marketplace for them, and also for us eventually. So I think in a way that is how we look at innovation.” 20 FIGURE 3 Most Frequently Cited Barriers to Innovation 12 10 8 6 4 2 an d m lh ia oc /s re ltu cu n ia As Fe ar of Fa ilu re ar te At & e m Ti of ck La Ta G le ov nt er R nm et en en tio tR n es tri ct io ns /R eg ul at io ns on io nt rc ou es R of ck La Ki as u y n es 0 Sample Quotations for Innovation Barriers Code Lack of Resources (n = 10) Lack of Time & Attention (n = 8) Asian Culture/ Social Harmony (n = 6) Fear of Failure/ Kiasu (n = 6) Talent Retention (n = 6) Government Regulations/ Restrictions (n = 2) Sample Quotation “The other constraint that I see is that the organization is always pushing for the productivity improvement so what happen is resources is always limited, today you have 4 engineers they are trying to cut down one, and the next day you have 3 then 2 then 1.” “People actually spend more time at work, and they have less time to reflect, they are just trying to meet deadlines.” “There is a mentality that ‘I just have what I have. I live enough. I feed my family enough and everything, the rest is that I have to devote my time to religion and family. I don’t want to have the responsibility to innovate… If I have that, I can’t do this.’” “I actually don’t think the environment here is very encouraging for innovation because, of the fact that the cost of failure is high in our society, when there is a failure, the cost of it is very high, so people are more focused on accomplishing the task.” “They have a so called pick up scheme to encourage researchers from government research institute to go work in the local companies for two years, the salary is paid by the government. But the local companies to take advantage of those schemes hire one or two to work for two years on a certain project, but after that they are not usually able to retain scientists to continue to work for the company as permanent staff. Those people after two years will go back and join some bigger company.” “In Singapore I think there are too many restrictions, like if you say you are in the food business, first of all you must meet certain regulations before you can even set up a kitchen, so all these are very restricting.”