CREATIVITY & INNOVATION IN BUSINESS by Norhaniza Abdul Latiff LECTURE 3 LEADING CREATIVITY ORGANIZATION EFFECTIVE LEADERS Leadership is the ability to influence a team towards the achievement of common goals 11-3 LEADERSHIP STYLES 11-4 LEADERSHIP TRAITS Vision Ambition and Desire Energy Honesty and Integrity Ability Self Motivated 11-5 INNOVATION LEADERSHIP Vision and goal setting Developing core competencies Motivating people Nurturing ideas 11-6 LEADERSHIP ROLES Gate keeping Sponsorship Championing Project or team leading Mentoring or coaching Idea generation 11-7 LEADERSHIP ATTRIBUTES 11-8 LEADERSHIP SKILLS Listening Empowering Adapting Delivering Self-understanding 11-9 LEADERSHIP AND CULTURE Goals are understood by all. Risk taking is encouraged and accepted. New ideas are welcomed. Information exchange is open and shared. Access to new knowledge is extensive and uncontrolled. Good ideas are supported. Innovations are recognized and rewarded. People are given room to be creative. There is a choice of structure. 1110 INNOVATIVE LEADERSHIP CHARACTERISTICS Positive, Visionary Outlook Impatience with Business as Usual Commitment to an Innovative Culture Tendency to Set Ambitious Targets Understands Exploratory Versus Judgmental Ability to Build Relationships of Trust Persuasive Communication Skills INNOVATION LEADERS 2006/07* Boeing (US) Virgin Atlantic (UK) Toyota (Japan) RBS (UK) Du Pont (US) Samsumg (S Korea) LEGO (Denmark) BP (UK) H&M (Sweden) Nokia (Finland) * Reckitt Benckiser (UK) PepsiCo (US) Tesco (UK) Apple (US) Aviva (UK) Google (US) Canon (Japan) Novartis (Switzerland) Microsoft (US) Adidas (Germany) # Note: No Malaysian Company 12 13 INNOVATION LEADERSHIP: ATTITUDES Deliberate climate creation and cultural influence Innovation vision Encourage challenge & risk taking Collaboration Resources for innovation Celebration 14 INNOVATION LEADERSHIP: INNOVATION COMPETENCE Model and coach for innovation and creativity Develop innovation teams and leaders Generate breakthrough ideas Capitalise on intrapeneurship Customer Service Insight into drivers and opportunities 15 INNOVATION LEADERSHIP: METRICS, SYSTEMS AND PRACTICES Measure innovation costs & benefits Incorporate innovation in performance management Establish supportive systems Use innovation to increase profit Seek to accelerate breakthrough thinking 16 PRACTICING LEADERSHIP When people ask for leadership, it is not always clear exactly what they want. What they want is effective leadership: Intended influence that creates change for the greater good. Leaders who listen to and understand their needs and who can relate to their circumstances. RECOGNIZING YOUR TRAITS Historical Leaders: What Traits Do They Display? Nelson Mandela (1932-2013). Conscience, self-reflection, sense of morality, unwavering commitment to principles, selfdiscipline, consensus builder, courage, patience, humility, and compassion. RECOGNIZING YOUR TRAITS Historical Leaders: What Traits Do They Display? Bill Gates (1954-). Intelligence, vision, task orientation, diligence, focus, aggressiveness, simplicity, straight-forwardness, lack of pretension, and altruism. Oprah Winfrey (1954-). Excellent communicator, intelligent, wellread, strong business sense, sincerity, determination, inspiration, charisma, spontaneity, openness, expresssiveness. LEADERSHIP EXAMPLE: STEVE LJEADERSHIP FACTORS OBS (TRANSFORMATIONAL ) Stimulates innovation & creativeness Challenges followers Supportive climate Act as coaches & advisors to encourage selfactualization & focuses on ‘transforming’ Creates valuable & positive change Attention to detail Vision & drive “Innovation distinguishes between a leader and a follower” - Steve Jobs THE 4 I’S • Idealized Influence – • Inspirational Motivation – • High standards of ethical & moral conduct Intellectual Stimulation – • Ability to act as strong role models Ability to stimulate innovation & creativity Individual Consideration – Provide a supportive climate & listen to followers A TRUE TRANSFORMATIONAL LEADER • What sets Steve Jobs apart from the great leaders of the past? His ability to take on challenges of being successful in a world of many competitors with the rapid capability to replicate ideas. – His ability to inspire individuals and audiences, employees and investors, the public and competitors. – He always knew what the public wanted before they did, leading the market rather than relying on market research. – LEADERSHIP EXAMPLE: RICHARD LBRANSON EADERSHIP FACTORS ATTRIBUTESRISK-SEEKING & INNOVATIVE Risk Seeking Evidence: His insatiable desire to take on Coca Cola and British Airways-the industry giants Careful plan for aggressive competition: make a lot of noise to irritate COMPETITORS, so that they tried to swat back. Then he waited for their mistakes ATTRIBUTESRISK-SEEKING & INNOVATIVE Innovative Evidence: tried out every mean to promote his company Example: 1) Drive a tank down 5th Avenue in N.Y city to introduce Virgin Cola to the States 2) Fly a hot air balloon across Atlantic to promote his Virgin Airlines 3) wear a wedding gown to promote his new bride chains EXAMPLE: VIRGIN ATLANTIC What did Branson demonstrate? His…… Courage - Vision Self-Confidence - Commitment Embrace to Changes Dreaming Impossible Dreams ; Challenge Act in unconventional ways CREATIVITY AND LEADERSHIP: How Much Are They the Same? How Much Are They Different? WHY IS THIS QUESTION IMPORTANT? The significance of creativity and leadership in both the workplace and the world at large, and thus the need to understand how creativity and leadership actually operate in domains, organizations, and the general society to enhance, whenever possible and necessary, the amount of creativity and leadership manifested in a domain, organization or society PREVAILING LEADING EMERGING? WHAT ARE CREATIVITY AND LEADERSHIP? What is leadership? The traditional answer: Charisma, magnetism, dynamism, etc., etc. The scientific answer: Impact That is, that member of a group whose influence on group performance appreciably exceeds that of the average group member Group performance = productivity and/or decision-making HOW MIGHT THESE DEFINITIONS BE INTEGRATED? Impact through products - innovative ideas, inventions, solutions, policies, programs, strategies, tactics, reforms, initiatives, laws, regulations, etc. Examples: Creativity and leadership in Small problem-solving groups (R & D units, research laboratories) Professional domains, economic systems, and political institutions THE EFFECTIVE INNOVATOR CAN EXPLAIN “WHY” AND “WHY” IT IS A BIG IDEA WORTH DOING. “Discovery consists of seeing what everybody has seen and thinking what nobody has thought” Albert Szent-Gyorgyi de Nagyrapolt (Hungarian physiologist, Nobel Prize winner 1937 Traditional entrepreneurs focus on performance measures and the bottom line TRADITIONAL V. CREATIVE Creative Entrepreneurs associate with a broader ideal Creative Entrepreneurs are possessed by a good cause that they have attachment to* *Paulo C. De Miranda, Jose Alberto S. Aranha and Julia, Zardo, “Creativity: People, Environment and Culture, the Key Elements in its Understanding and Interpretation.” Science and Public Policy. 2009 Creative Entrepreneurs turn creative ideas into innovation Organizational Learning and Creativity • • • Organizational learning: Process through which managers seek to improve a employee’s desire and ability to understand and manage the organization and its task environment Creativity: Decision maker’s ability to discover original and novel ideas that lead to feasible alternative courses of action Innovation: Implementation of creative ideas in an organization 5-33 Senge’s Principles for Creating a Learning Organization 5-34 Promoting Individual Creativity • • Creativity results when employees have an opportunity to experiment, to take risks, and to make mistakes and learn from them Creativity can be fostered by giving constructive feedback and rewarding employees who come up with creative ideas 5-35 Promoting Group Creativity • Brainstorming • • • • • One manager describes in broad outline the problem the group is to address Group members share their ideas and generate alternatives Each alternative is described, and one member records the alternatives on a flip chart Group members are encouraged to be as innovative and radical as possible When all are listed, the pros and cons of each are discussed and a short list created 5-36 Promoting Group Creativity • • Production blocking: Loss of productivity in brainstorming sessions due to the unstructured nature of brainstorming Nominal group technique: Decision-making technique in which group members write down ideas and solutions, read their suggestions to the whole group, and discuss and then rank the alternatives 5-37 Promoting Group Creativity • Delphi technique: Decision-making technique in which group members do not meet face-to-face but respond in writing to questions posed by the group leader 5-38 PROMOTING CREATIVITY Training People to be Creative 39 Encourage openness to new ideas Take the time to understand the problem Develop divergent thinking Morphology: An approach to analyzing problems in which basic elements are combined in systematically different ways Developing Creative Work Environments © Copyrig ht Prentice -Hall 2004 DEVELOPING CREATIVE ENVIRONMENTS 40 Ensure autonomy Provide exposure to other creative people Allow ideas to cross-pollinate Make jobs intrinsically interesting Set your own creative goals Support creativity at high organizational levels © Copyrig ht Prentice -Hall 2004 CREATIVITY: RESEARCH FINDINGS 41 © Copyrig ht Prentice -Hall 2004 BOOSTING CREATIVITY 42 © Copyrig ht Prentice -Hall 2004 ORGANIZATIONAL CULTURES THAT SUPPORT CREATIVITY Take insights, hunches, intuitions, & ideas seriously Reward good ideas/ creativity/ thinking out of the Give freedom to make mistakes Support diverse workforce Less supervision, more autonomy Be able to recognize good ideas Support the use of teams Allow use of org. resources for personal projects Make environment fun, relaxed, playful, interactive. “Bringing together ideas that were previously unrelated”