The Real Key to an Innovative Organization

May 29, 2016

THE REAL KEY TO AN INNOVATIVE ORGANIZATION? STOP WAITING FOR THE “BIG IDEA”!

by Michael T. Mitchell

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Disruptive innovation is the concept of new ideas dramatically and successfully changing the status quo. A new idea catches on like wildfire, wipes out the competition and forever changes the landscape. Disruptive innovation is exciting, captivating and naturally receives a lot of attention. The drama of David slaying Goliath has captured our collective imagination for generations and we are naturally fascinated by the triumph of an underdog. Stories of disruptive ideas fuel our need for hope and the dream of fame and fortune.

However, recent research by the Smith Brain Trust challenges the excessive attention given to disruptive innovation as a goal and model. The research clearly shows that disruptive innovation is a rare occurrence and not as predictable as scholars have stated. In essence, the Smith Brain Trust research is disrupting the model of disruptive innovation and giving business leaders reason to rethink how they approach innovation. The finding from the research is reinforced by the fact that there are only a few common stories of disruptive innovation. How many times have you heard the story of iTunes disrupting the music industry? The iTunes story is repeatable and familiar because it is one of the few modern stories of disruptive innovation there is to tell. When you think about it, the model of disruptive innovation is the exception, not the rule.

At the Center for Creative Leadership we subscribe to the philosophy that disruptive innovation is an admirable aspiration and a real possibility. However, we also believe that a singular obsession with disruptive innovation can disrupt an organization’s innovation efforts and success. A sole focus on the “big hit” drains resources and, as the new research indicates, is perhaps hoping a bit too much for a very rare occurrence to happen. Therefore, we also advocate for the value of continuous innovation, a focus on gradual improvement and change. A focus on continuous innovation helps to ensure a steady stream of improvement that is the true key to a sustainable organization. Additionally, continuous innovation is not without merit in the hope of someday achieving a disruptive innovation. A focus on continuous innovation builds momentum and organizational “innovation muscle” that increases the possibility of creating the next big thing.

To use a baseball analogy, we think of disruptive innovation as a homerun. A homerun is an admirable goal and a real possibility. However, if a baseball team only focuses on homeruns they can lose the game. The Smith Brain Trust research supports the idea that homeruns are rare, impossible to predict and a misleading focus. Therefore, we believe in the importance of creating conditions that allow for frequent singles, doubles or triples to occur. By focusing simply on getting on base, an organization not only achieves innovation more frequently but is more assured of moving forward.

So what are the conditions for a realistic steady stream of innovation? We believe it all comes down to the right leadership. At the Center for Creative Leadership we believe in developing leaders of innovation who understand:

How to set and communicate clear innovation goals that are ambitious, yet achievable. Leadership that works towards the homerun, but also highly values, encourages and rewards the base hits is leadership that builds momentum and innovation success.

Innovation is a team effort. Contrary to what stories sometimes convey, innovation in organizations is almost never the result of a lone inventor – the dramatic homerun by an allstar batter. Instead, innovation is a result of cross-functional teams cooperating, collaborating and sharing a vision. Valuing, involving and leading multiple perspectives are at the heart of successful innovation leadership.

Innovation does not happen in a silo. Instead, innovation happens when boundaries are spanned and silos are connected and forged together. Boundary spanning creates a web to capture multiple innovation possibilities and turn possibility into reality.

How to balance the tension between managing the day-to-day business while simultaneously driving for improvement and reinvention. Navigating the polarities of existing business and new ideas is both the art and practice of a successful leader of innovation.

Theories come and go. Fantastic glory comes infrequently and quickly fades. What remains a constant is the importance and value of great leadership. Great leadership is what sustains innovation – both the base hits and the homeruns necessary to win the game.

This article was originally published by the Center for Creative Leadership, click here to see the original piece.

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