Leadership Essentials: Leading Innovation Presentation & Facilitation Guide © 2011 SkillSoft Ireland Limited Introduction and Ground Rules • Presenter: [enter name of presenter or facilitator]. • Target audience: Supervisors, managers, directors, and individuals wanting to develop their leadership skills. • Goal: To build and support a culture of innovation, as a leader. • Ground rules: • List ground rules here. Leadership Essentials: Leading Innovation 2 Agenda • Course Overview. • Topic 1: A Business Innovation Culture. • Topic 2: Characteristics and Actions of an Innovation Leader. • Topic 3: Building an Innovative Culture. Leadership Essentials: Leading Innovation 3 Course Overview • Innovation means introducing something new. • Innovation has to happen rapidly. • An "innovation culture" is vital. Leadership Essentials: Leading Innovation 4 Course Overview Leadership Essentials: Leading Innovation 5 Topic 1: A Business Innovation Culture Classify examples of questions that can be used to assess characteristics of a business innovation culture. Leadership Essentials: Leading Innovation 6 Innovation • Implementing new ideas. • Result of incremental or breakthrough change. • Requires follow-through. • Flourishes with good leadership. Leadership Essentials: Leading Innovation 7 Reflect As a leader, you must diagnose your organization's culture to determine its strength in innovation. What do you think are some characteristics of an innovation culture? Leadership Essentials: Leading Innovation 8 Characteristics of an Innovation Culture Leadership Essentials: Leading Innovation 9 Organization-wide Commitment to Business and Innovation • Commitment to innovation: • People care about work, coworkers, company. • Sustained organization and improved workplace. • Resistance to innovation: • Lack of follow-through. • Lack of engagement. Leadership Essentials: Leading Innovation 10 Experiment Proactively • Companies that do this: • Challenge status quo. • Think outside the box. • Take risks and try new things. • Companies that don't do this: • "If it ain't broke, don't fix it." • "We've always done it this way." • "Customers like it this way." Leadership Essentials: Leading Innovation 11 Discussion Think of the company you work for. Is it a company that is willing to take risks in business, or is it more reluctant to change? Leadership Essentials: Leading Innovation 12 Manage Risk • Managing risk: • Strike a balance. • Assess risks before going ahead. • Not managing risk: • Avoidance of identifying risks. • Passion overwhelms analysis. Leadership Essentials: Leading Innovation 13 Characteristics of an Innovation Culture Ask questions based on indicators. Leadership Essentials: Leading Innovation 14 Practice Match each diagnostic question to the characteristic of a business innovation culture it helps to assess. Each characteristic may have more than one match. Questions Characteristics A. Do managers tend to think outside the box? ___ Shows organization-wide commitment to the business and to innovation. B. Is innovation part of the mission statement and is it reflected in the kinds of projects that get supported? C. Do leaders know how to control risk without discouraging innovators and entrepreneurs? D. Are employees committed to helping the company become an innovation leader? E. Is there a commitment to finding new ways of meeting customers' needs? Leadership Essentials: Leading Innovation 15 ___ Experiments proactively. ___ Manages risk. Implement Ideas Quickly • Always look out for opportunities. • Make quick decisions at all stages. • Speed in execution is important. Leadership Essentials: Leading Innovation 16 Reflect You've learned that an innovation culture implements ideas quickly. What do you think might happen at a company that exhibits the opposite culture? Leadership Essentials: Leading Innovation 17 Produce and Cultivate Innovators • Culture that cultivates innovators: • Managers allow ideas to be heard. • Innovators have space to develop and test. • Innovation is rewarded. • Culture that doesn't produce innovators: • Failure is discouraged or punished. • Employees are reluctant to bring up ideas. • Innovation is top-down. Leadership Essentials: Leading Innovation 18 Practice Match each diagnostic question to the characteristic of a business innovation culture it helps to assess. Each characteristic may have more than one match. Questions Characteristics A. Are employees constantly watching for new opportunities? ___ Can implement ideas quickly. B. Are managers and employees rewarded, not punished, for innovation? ___ Produces and cultivates innovators. C. Do managers encourage new ideas to be developed? D. Do you have the resources available to make immediate decisions at all stages of the innovation process? E. Is there space available for employees to develop and test new products? Leadership Essentials: Leading Innovation 19 Activity Leading Innovation in Your Own Organization – Assessment Activity This activity provides you with an opportunity to reflect on and analyze innovations you have led in your organization. It can also assist you in assessing current and future innovations. Leadership Essentials: Leading Innovation 20 Topic 2: Characteristics and Actions of an Innovation Leader Associate the characteristics of an innovation leader with the actions that reflect them. Leadership Essentials: Leading Innovation 21 What is an Innovation Leader? • Passionate about the company. • Obsessed with restoring innovation. • Willing to take risks. • Can manage risks. • Can start projects quickly. Leadership Essentials: Leading Innovation 22 Innovation Leaders • Found at every level. • Vital part of a company's structure. • Keep organization focused on future. Leadership Essentials: Leading Innovation 23 Models of Innovation Leadership Essentials: Leading Innovation 24 Activity Implementing Innovation – Activity Guide This activity will act as a guide to implementing innovations in your organization, and can help identify the people and support you will need to turn the idea into a success. Leadership Essentials: Leading Innovation 25 Reflect Because innovation is different from most other business endeavors, it may require you to change your attitudes and behaviors. What do you think are some of the attitudes and behaviors that characterize innovation leaders? Leadership Essentials: Leading Innovation 26 Characteristics of an Innovation Leader Leadership Essentials: Leading Innovation 27 Passionate About Innovation • Become emotionally involved. • Communicate passion and confidence to staff. • Motivate employees. Leadership Essentials: Leading Innovation 28 Passionate About Innovation – Example Follow along as Jack meets with team members to discuss how they can jumpstart innovation. Jack: I've called you here for a meeting to find out if we can turn things around. As you know, our company hasn't come out with a new product in almost a year. Ella: But the products we have now are doing so well. How can we improve on that? Justin: And we're already so busy! Who has time to sit around brainstorming new ideas? Jack: Listen, I know I haven't been as involved as I should have, but I'm telling you that's going to change from this point forward. I know we can put our company back on top. Justin: Well, what do you suggest we do? I know I don't have any good ideas. Leadership Essentials: Leading Innovation 29 Passionate About Innovation – Example Jack: Justin, I know that's not true. We all have a role to play! Our team is great – wasn't it Ella who suggested changing suppliers last year to speed up production? Ella: Yes, that was me. Actually, I have another idea I'd like to run by you sometime. Jack: That's great Ella! Let's schedule a meeting to talk about it, and figure out if we can brainstorm even more ideas. How's Wednesday? Ella: Sure, I'll be there! Justin: Me too. I'm starting to realize that innovation is important. I've been pretty complacent about it. Jack: I have every confidence that you guys will have some great ideas. See you Wednesday! Leadership Essentials: Leading Innovation 30 Discussion How do you show employees that you are passionate about innovation? What techniques do you use to motivate them? Leadership Essentials: Leading Innovation 31 Willing to Experiment • Accept risks and uncertainty. • Model courage. • Demonstrate willingness to think outside the box. Leadership Essentials: Leading Innovation 32 Willing to Experiment – Example To push innovation in his company, Jack decides to try a radical new approach. Follow along as he meets with Devin, the Development Department manager. Devin: Hi Jack, what can I do for you? Jack: Well Devin, I've been doing some thinking, and I want to stop production of our most recent communications device. Devin (shocked): What? That product has only been on the market for a year! It's very popular! Jack: I know that. But here's what I'm thinking. Let's replace the device with a newer one that has more features! Devin (uncertain): So you're essentially getting rid of a popular product before its full potential is known and replacing it with a higher-performance, but unproven, product? Jack: Exactly! Let me put it this way. Let's make our own product obsolete before another company forces obsolescence by launching its own, even better product. Devin: Now I understand what you're saying. You know, that just might work! OK, let me work out the logistics and I'll meet with you again in a few days. Leadership Essentials: Leading Innovation 33 Practice Match the actions to the first two characteristics of an innovation leader that they represent. Each characteristic may have more than one match. Actions Characteristics A. Search for a new way of solving a problem. ___ Passionate about innovation. B. Fight for your idea even though management doesn't support it. C. Tell employees that you're excited and confident about their ideas. D. Show an employee how she can learn from failure instead of punishing her for her mistake. E. Become emotionally involved in what team members are working on. Leadership Essentials: Leading Innovation 34 ___ Willing to experiment. Realistic and Informed • Balance creativity and emotion. • Pragmatic risk management: • Take calculated risks. • Consider level of risk tolerance. Leadership Essentials: Leading Innovation 35 Realistic and Informed – Example Jack introduces new product: • Good customer reviews initially. • Sales drop after a few months. • Production halted. Leadership Essentials: Leading Innovation 36 Capable of Rapid Project Execution • Have a knack for spotting opportunities. • Establish clear, achievable goals. • Pick a dream team. Leadership Essentials: Leading Innovation 37 Capable of Rapid Project Execution – Example Jack needs a new strategy: • Employees proven to be creative and talented. • Speed in execution. Leadership Essentials: Leading Innovation 38 Able to Attract and Nurture Innovators • Workplace should turn new ideas into success stories. • Attract and retain the best employees. Leadership Essentials: Leading Innovation 39 Practice Match the actions to the final three characteristics of an innovation leader that they represent. Each characteristic may have more than one match. Actions Characteristics A. Build a team of talented, enthusiastic employees to brainstorm ideas for a new project. B. Encourage creativity but balance it with pragmatic risk management. C. Encourage employees to generate new ideas and follow them through to completion. D. Pull the plug on a project after market research shows it won't be as successful as anticipated. E. Spot a great business idea and quickly work on bringing it to market. ___ Realistic and informed. Leadership Essentials: Leading Innovation 40 ___ Capable of rapid project execution. ___ Able to attract and nurture innovators. Activity Characteristics of an Innovation Leader – Assessment Activity This activity provides you with an opportunity to assess your leadership characteristics in relation to building and sustaining an innovation culture. Leadership Essentials: Leading Innovation 41 Topic 3: Building an Innovative Culture • Recognize actions that are likely to attract and nurture innovators. • Assess an organization's innovation culture and plan leadership actions to strengthen it in a given scenario. Leadership Essentials: Leading Innovation 42 To Attract and Nurture Innovators • Create an "innovation system". • Vet ideas and turn them into action. • Follow best practices for attracting and nurturing innovators. Leadership Essentials: Leading Innovation 43 Practice What do you think are some best practices for attracting and nurturing innovators? A. Celebrate and reward work that leads to innovation. B. Create a sense of ownership and responsibility. C. Discourage the discussion of new ideas among coworkers. D. Expose employees to new ideas. E. Hold on to the "tried and true" ways of doing things. F. Make a space for innovation to occur. G. See the best ideas and projects through. Leadership Essentials: Leading Innovation 44 Discussion Think of the hiring process in your company. Does it cater for innovation and the creation of new ideas and ways of thinking? If it does, how does it do so? If it doesn't, why do you think this is the case? And how can this be changed? Leadership Essentials: Leading Innovation 45 Expose Employees to New Ideas • Practice "cross-fertilization". • Ensure availability of training, coaching, and resources. Leadership Essentials: Leading Innovation 46 Create a Sense of Ownership and Responsibility • Clearly communicate actions. • Have people volunteer for projects. Leadership Essentials: Leading Innovation 47 Practice You're the human resources director at a health care facility. Which actions are likely to attract and nurture innovators? A. Allow employees to define their own way of dealing with patients. B. Move a lab technician from one department to another. C. Ask employees to volunteer for focus groups to brainstorm new ways of managing patient information. D. Discourage an administrator from taking a position in a different department. E. Offer employees the chance to attend a training session on a new health care technology. Leadership Essentials: Leading Innovation 48 Make a Space for Innovation to Occur • Prevent interference with creative process. • Create "buffer zones" for innovators. • Expect surprises and spontaneous innovation. • Give employees personal project time. Leadership Essentials: Leading Innovation 49 Stages of the Creative Process Leadership Essentials: Leading Innovation 50 See the Best Ideas and Projects Through • Encourages other innovators. • Employees more inclined to: • Show greater interest. • Become more involved. Leadership Essentials: Leading Innovation 51 Celebrate and Reward Work that Leads to Innovation • Celebrate differences. • Provide time for pet projects. • Offer tailored training. Leadership Essentials: Leading Innovation 52 Practice You're a leader at a customer contact center. Which actions are likely to attract and nurture innovators? A. Ensure that innovators have all the materials they need so they can focus on finding new ways of improving customer satisfaction. B. Focus on having many projects on the go instead of seeing any projects through. C. Encourage all employees to develop a similar telephone manner. D. Recognize a team member at the next meeting for her idea about how to reduce call times. E. Reward an employee for her high customer satisfaction rating by offering her training tailored to her specific strengths. Leadership Essentials: Leading Innovation 53 Activity Building an Innovative Culture – Assessment Activity This activity provides you with an opportunity to assess your abilities to attract and nurture innovators. It can also help you to make a plan for improving any weaker areas that might be hindering your overall ability to build an innovative culture in your organization. Leadership Essentials: Leading Innovation 54 Build an Innovation Culture – Example Bill's company: • Doesn't shy away from risk. • Quick to make decisions. • Managers hear and discuss new ideas. Leadership Essentials: Leading Innovation 55 Practice You've gathered some good information during your conversation with Bill, but you still need to explore some issues. What should you ask him now to uncover whether this organization has the characteristics of a business innovation culture? You can use the learning aid "Food Wholesaler Case Study" to help answer the question. A. Are employees committed to helping the company become an innovation leader? B. Are employees constantly watching for opportunities to seize? C. Do managers tend to think outside the box? D. Is innovation part of the mission statement and is it reflected in the kinds of projects that get supported? E. Does the company identify known risk factors for all new initiatives and properly manage them? F. Do leaders know how to control risk without discouraging innovators and entrepreneurs? Leadership Essentials: Leading Innovation 56 Build an Innovation Culture – Example • Bill's company: • Many employees are ambivalent. • Some managers motivate using fear. • People don't point out risk factors. • Assess characteristics of an innovation culture. Leadership Essentials: Leading Innovation 57 Practice You know some employees are ambivalent about their work and also that employees avoid pointing out risks. To find out other information, use the learning aid "Food Wholesaler Case Study". How would you describe the company in terms of the characteristics of an innovation culture? Classify the organization as "strong" or "weak" on each characteristic. You may use each classification more than once. Classifications Characteristics A. Strong. ___ Shows organization-wide commitment to the business and to innovation. ___ Experiments proactively. ___ Manages risk. ___ Can implement ideas quickly. ___ Produces and cultivates innovators. B. Weak. Leadership Essentials: Leading Innovation 58 Practice What actions will you take as a leader to specifically address weak areas and make the food wholesaler a stronger innovation culture? Use the job aid "Best Practices for Innovation Leaders" and the learning aid "Food Wholesaler Case Study" to help answer the question. A. Show employees how they can learn from failure instead of punishing them for mistakes. B. Make sure employees know you're excited and confident about their ideas to improve the shipping process. C. Show team members that you're emotionally involved in their project to improve the shipping process. D. Encourage employees to use creativity to come up with ways to improve the shipping process, but balance it with pragmatic risk management. E. Give innovators the space they need to analyze the new order-tracking system. F. Identify a great idea to speed up shipping and quickly work on implementing it in your company. Leadership Essentials: Leading Innovation 59 Build an Innovation Culture – Example Leadership Essentials: Leading Innovation 60 Wrap-up / Q&A • Topic 1: A Business Innovation Culture. • Classify examples of questions that can be used to assess characteristics of a business innovation culture. • Topic 2: Characteristics and Actions of an Innovation Leader. • Associate the characteristics of an innovation leader with the actions that reflect them. • Topic 3: Building an Innovative Culture. • Recognize actions that are likely to attract and nurture innovators. • Assess an organization's innovation culture and plan leadership actions to strengthen it in a given scenario. Leadership Essentials: Leading Innovation 61