Posts Tagged ‘innovation’

Having the courage to be different

Many business leaders, not just in our sector, are often heard saying how innovation is vital for growth or key to differentiation.  In truth though many struggle to actually deliver innovation.  So why is that the case?  Simple really, it’s difficult.  Having an idea can be the easy part, making it happen can be tough.  It can involve risk, time, money, resources, politics etc and for many these are enough reasons to delay or just give up.  Your business may be comfortable and if your ambitions are relatively modest so why bother in an unfavorable economic climate?  Lastly, we work in a regulated industry obsessed with best practice rather than “new” practice so it’s hardly surprising that innovation sometimes struggles to get airtime.   

Alternatively you could take a different view.  I’m proud of our industry’s heritage and tradition but it also feels ripe for challenge and change.  As competition increases, as the economic outlook improves, is now actually a great time to develop ideas that make us more efficient, drive sales or improve customer service?  We also want marketing activity to deliver strong returns yet many intermediaries struggle to articulate unique selling points.  In the future will “we are local, experienced and give good service” be enough to be successful?    

Many innovative organizations display particular qualities and behaviors.  They are also usually good at tapping into the ideas and creativity of their own people.  Most often I have observed these qualities in small brokers who have just started out.  They have energy, an ability to collaborate, try things out quickly and there is an absence of red tape and processes getting in the way.   Maintaining that culture as your business grows is a real challenge. So what practical steps can you take to make innovation live in your business?  Here are ten tips to consider:

• Strong Leadership: be clear about the role of innovation in your business, the reasons for it and your level of ambition. Without this endorsement and clarity there is a risk that innovation will take a back seat

• Decide how you will manage innovation?  This isn’t a huge governance framework but it is being able to describe how you will approach simple things like how ideas will be assessed and prioritized.  Without this colleagues can become disillusioned.  Take inspiration from brands you have heard about or admire and create a process that is going to work for your business.   

In Google for example they have a well-known 70 / 20 / 10 rule.  It simply means that employees spend 70% of their time on their core search business, 20% on projects related to their core business and 10% of their time on completely unrelated business.  Google believe that giving people time to explore ideas outside of their day-to-day jobs is essential for innovation.  It’s a completely inclusive model where every employee has a role to play in innovation and generating ideas.  Contrast that with Apple where the real idea generation happens within a very small team close to Steve Jobs.

• Give your team what they need. This might be time, resources, the right environment, skills or just the opportunity to get really close to customers and obtain new insight. 

• Effective Communication.  If innovation is important to your business then let this be reflected in the amount of activity spent in this area.  Leaders of creative companies often do this well by talking a great deal about successes and failures in equal measures.     

• Recognise and reward innovation.  Make innovation relevant to individuals through clear roles and targets.  Celebrate and reward innovation when it delivers and even when it doesn’t!  Trying new things requires bravery and how you react to and learn from a failed project sends a powerful message about the culture of your business. Being able to demonstrate how you recognise and reward innovation also makes your business more attractive to creative talent in the market.      

• Search for telling insight. Innovation is often described as insight x ideas x implementation.  Creative businesses therefore invest time and energy in intimately understanding their customer’s issues and tend to be less reliant on sources of secondary information or research that is available to everyone.     

• Encourage the right attitude.  We live in a world where cynicism is respected, often seen as clever and even rewarded.  It can however destroy the belief that innovation is important and deter people from sharing ideas.  Make clear what behaviors are acceptable in your business and integrate that into how you manage performance.     

• Allow young ideas to grow.  It’s relatively easy to find reasons why an idea may be impractical or difficult to implement.  Discounting ideas quickly can save time but we also run a greater risk of never seeing ideas develop into their full potential.  Let ideas mature before making your judgment and never let an opportunity slip away.

• Create momentum.  Making new things happen is difficult and along the way you can expect obstacles and setbacks.  Creating momentum amongst your team can help you get through these times.  It’s not about working even harder but understanding the value of the application of focus and energy.  Ultimately it’s about prioritization and since time is not free, it’s about finding it from elsewhere.  

• Bring your ideas to life quickly.  We write an awful lot in our industry……… Presentations, emails, business cases etc. The trouble is that too much detail can actually hinder innovation and the saying “a picture is worth a thousand words” really is true when it comes to ideas.  The secret is to do this quickly and don’t seek perfection.  If it’s a new product or service mock up an advert, slip it inside a copy of Insurance Age and pass it round the office. You will get more feedback more quickly than a presentation ever will!   

Mike Butler. Ignition.

General Manager and Innovation Practitioner.

Tags: innovation
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