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Archive for January, 2010

Three Ways to Win With Your Great Ideas

I’ve been spending a fair bit of time recently talking about how ideas are cheap. I’ve been doing this for two reasons: the first is that ideas really are cheap; the second is that organisations often overinvest in idea generation when they’d be better served by getting better at executing ideas. I ran across two different things today that add some support to this idea.

The first is from an interview with the economist Robert Fogel in From Poverty to Prosperity by Arnold Kling and Nick Schulz:

We tend to heroize the person who gets there first, but usually there are a dozen people who were so close that you can feel their breath on the back of their neck, so that if one guy stumbled, it wouldn’t be that that scientific stream wouldn’t materialize. It would be that some other scientific group or individual is the one whose name is attached to it.

I really think science is a collective enterprise. What you can do depends not only on what happened before you but on what everybody else around you is doing. You’re talking to each other and hoping you’ll be a little bit luckier, or a little bit cleverer…

And then I saw a post by Fred Wilson talking about how a third of his firm’s VC portfolio is being attacked by ‘patent trolls’:

But anyone who has spent a significant time in technology based businesses will understand that two groups working completely independently from each other will often solve a problem similarly. One group is not copying or ripping off the other group. They are simply coming to similar conclusions about how to get something done.

In these cases, it makes no sense to protect one group from the other. Nobody has taken anyone’s “intellectual property.” Both groups should own their inventions outright without having to license technology from the other.

In my experience, this has been generally true (although Michael F. Martin doesn’t buy Wilson’s argument). For the moment, let’s assume that this is the case – whenever a new idea is ‘in the air’, several people or organisations will be working simultaneously to operationalise that idea so that they can make money on it. What’s the best way to do this?

I don’t like patenting or other legal IP approaches for a number of reasons. The main one being that in the end, legal protection doesn’t offer you much actual protection. And from a psychological point of view, I think that most people with a great idea want to make money off the idea itself, not from lawsuits. I’m not saying don’t patent, but rather that you should think carefully about three other ways to make money off your great ideas.

  1. Win through better execution: Edison was at best the 24th person to invent a working incandescent light bulb. Why do we think of him as its inventor then? He had much better execution than the previous 23 teams. His light bulb had a better filament, so it burned longer. More importantly, his group actually got electrical power stations built, and electrical cabling laid.
  2. Win by having a better network: Stefan Lindegaard revisits the Sony Betamax story today. My thought while reading his post is that Betamax really failed because its value network was worse than that of those backing VHS. Lindegaard frames it as a problem with insufficient openness, but ultimately, you win by having a stronger value network (and a better position within it). The Apple iPhone versus Google Android battle will not be won by the better technology, but ultimately it will be won by the better network.
  3. Win with a better business model: The Nintendo Wii is a good example of winning with a better business model. The product itself is technologically worse than Playstation or XBox – at least in terms of processor speed and graphics, which is what everyone thought they were competing on. But the innovation with the motion sensor in the controller meant that Nintendo had a different value proposition (play activity-based games), which allowed them to pursue a vastly different market segment (people other than 18-30 year old men).

These strategies obviously overlap a fair bit. For example, your value network is part of your business model, so if you innovate in one it’s likely that you’ll be innovating in the other as well. But if you are in an industry that can not take advantage of legal IP protection, then you must use one of these approaches in order to benefit from your great idea. I would argue that even if you are in an industry with a strong IP regime, you will benefit from thinking about these strategies. They will help you find a way around the problem of working on an idea that others are attacking at the same time. They will help you win with your great idea.

Note: We are seeing an increasing amount of work being done on business model innovation, which is great. I tend to use Henry Chesbrough’s approach, but you can also find some great resources on the websites of Alex Osterwalder and Anders Sundelin. With all these people working on the same idea at the same time, I guess the one that wins will be the one with the best execution. Of the best network. Or even the best business model!

11 Comments

The Pace of Economic Evolution

The pace of economic evolution is slow. Shockingly slow. Here are some examples:

The Difference Engine:

Invented: 1823 by Charles Babbage

First Built: 1998 by the London Science Museum

First Sold: Never

Photocopier

Invented & Prototype Built: 1938 by Chester Carlson

First commercial prototype: 1948 by Haloid (who licensed the patent from Carlson)

First Sold: 1949, but only in very small volume until 1959

Computer Mouse

Invented and Demo’d: 1968 by Doug Engelbart

First Commercial Prototype: 1974 by Xerox

First Sold: 1981 with the Xerox Star PC

Revolutionary new ideas seem like they come out of nowhere. However, as these examples show, even in the fast-moving technology world, the pace of this change is pretty slow. Incredibly slow.

This again illustrates the importance of executing ideas. There are enormous differences between having a great idea, and making it into something that actually works. Part of this involves leaping technological hurdles, and part of it involves devising a workable business model.

The delays also reflect the difficulty of diffusing new ideas, even when they are demonstrably better than the ones that they are replacing. Part of this is due to the difficulty of breaking existing connections within value networks, and part of this is due to the natural reluctance that many people have to take up new ideas.

This is true not just of new products, but also of new services and even new ways of doing things. All of these are really embodiments of new ideas. As innovators our number one challenge is to get our ideas to spread. This is true no matter what our role is, no matter what field we’re in.

So the next time you feel discouraged because your ideas aren’t picked up quickly enough, just remember the Difference Engine, the photocopier and the mouse. All great ideas, and all of them took a long time to get executed. We just have to keep at it.

Photos:

Difference Engine: Electronics Weekly

Chester Carlson and his photocopier: Wired

Engelbart’s Mouse: techgossip

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Information Overload?

How do we cope with the barrage of information that we face each day? Yesterday I suggested that the information glut has been with us for a long time. Stowe Boyd ended up talking about the same issue yesterday in a terrific post called The False Question of Attention Economics.

His contention is the same as mine – that we have always had too much data to contend with, and so arguments that claim that we currently face numerous problems because of an attention deficit are starting from a false premise. You should read the whole post, but here is one key section of Boyd’s argument:

In the final analysis, I am saying there is no ‘answer’ to those that say we are overloaded, that we are being driven mad by or enslaved to the tools we are experimenting with, or that there is some attention calculus that trumps all other value systems.

Instead, I suggest we continue experimenting, cooking up new ways to represent and experience the flow of information, our friends’ thoughts, recommendations, and whims, and the mess that is boiling in the huge cauldron we call the web.

I suggest we just haven’t experimented enough with ways to render information in more usable ways, and once we start to do so, it will like take 10 years (the 10,000 hour rule again) before anyone demonstrates real mastery of the techniques involved.

There is no “answer” since they are asking a false question, one that hides preconceived premises and biases. Starting out with the assumption that we have moved past our abilities to cope with the stream of information, and therefore something has to give, is a bias.

I think that this is correct. However, the issue of attention economics is still valid – the question of how we allocate limited attention to overwhelming amounts of available data is critical. And as Tom Peters suggests, there are significant advantages that accrue to those that are able to intelligently process larger amounts of data:

The biggest change that we face now is not the fact that there is too much information that we have to process, but rather the tools that are available to help us – we are much more able now to outsource aspects of data collection and processing. And fortunately, there are some very smart people thinking about how we can best take advantage of the available tools. In addition to the blog by Boyd, those of Harold Jarche and Venessa Miemis have many good ideas on this topic. So does George Siemens – who teaches a class which involves intentionally overwhelming the students with data. Their success in the course is then dependent upon how well they are able to build and use a data-gathering and -processing network.

I like the prescription to win by outreading the competition. But I’m still working out the best way to do it. If anyone has any further suggestions or tips, I’d love to hear them.

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Networks and the Information Glut

Everyone knows that we’re living in a time of unprecedented access to information, right? Personally, I’m always a bit skeptical of these grand narratives. To see why, watch this short video showing the social networks of correspondence among 18th Century scientists:

It’s great research that illustrates some important points:

  • When we talk about ‘social networks’ we don’t just mean facebook and twitter. People have always functioned within networks, and these have always been important in the development and spread of ideas. James Fowler makes this same point in his interview with Stephen Colbert.
  • Ideas diffuse through networks. The structure of the networks through which we are trying to get our ideas to spread has a significant influence on the diffusion of our innovations. Our connections within the network can enhance or hinder our ability to get our ideas to spread. One of the reasons that Darwin gets credited with the idea of evolution through natural selection instead of Alfred Russell Wallace is that Darwin’s connections within the scientific community at the time were more numerous, more widespread, and better.
  • Even though we often feel like we’re overwhelmed with information and data to be absorbed, the information glut is nothing new. Think about the volume of connections shown in the video. Or think about Charles Darwin – over the course of scientific career he sent over 15,000 letters. It’s safe to assume that he received just as many. Think about how much time he would have spent reading & writing letters, and how much new information and ideas would have been included in that – it’s probably more than we’re spending writing our blogs, updating our statuses and twittering. In fact, if you just look at the networks, you might argue that Darwin was the Chris Brogan of the 19th Century.

The fundamentals of innovative thought haven’t changed since the 18th Century – it’s always been aggregate, filter and connect. The great thinkers of earlier times corresponded extensively because it helped them aggregate information from a wide variety of disciplines and sources. Once they did this, they had to be skilled at filtering the data to figure out what was useful, and then they had to connect up the filtered data to create innovative ideas.

And, of course, once they had the great ideas, they had to execute them, and then get them to spread. Even though the media that transmits the data to us are different now, aside from that, not much has changed.

(hat tip to Mitch Joel for the video link)

21 Comments

Innovation Diffusion Lessons from Edison

How do we win with innovation? I’ve been arguing strongly that one of the key changes in thinking that we have to make is shift from an emphasis on the importance of ideas to one on the importance of execution. In other words, instead of spending so much time trying to have ideas, we’d be better off putting our time and resources into getting our best ideas to spread. Everett Rogers wrote the definitive book on innovation diffusion (unsurprisingly called The Diffusion of Innovations), and here’s what he had to say about the issue:

Many technologists think that advantageous innovations will sell themselves, that the obvious benefits of a new idea will be widely realized by potential adopters, and that the innovation will diffuse rapidly. Unfortunately, this is very seldom the case. Most innovations in fact diffuse at a surprisingly slow rate.

Let’s go back to the innovation metaphors that I was talking about yesterday – light bulbs versus shovels. Edison is famous because he invented the light bulb, right? That’s why we always use the light bulb as the symbol of innovation. One problem: at least 23 other people invented working light bulbs before Edison did. Twentythree!

Why does Edison get credit for the light bulb then? Because he was the first one to build power stations and distribution cables so that everyone could use his light bulb. He did it by paying people to dig up New York to put in the copper wires to carry the electricity from his Pearl Street Power Station.

This story reinforces a few conversations that we’ve been having here recently:

  • Edison’s key innovation was actually in the business model. He built a fundamentally different place for himself in the value network. Instead of waiting for others to build the infrastructure needed to get his idea to spread, his company built what they needed. Edison gets the credit because of the shovel, not the light bulb.
  • Second, to get his idea to spread, Edison had to get people to unconnect (literally) from their existing value network (gas lighting), and get them to reconnect to his new value network (electricity). The gas industry didn’t just sit by and watch the electrical cables get laid – they fought it all the way. The first 23 teams to invent light bulbs didn’t fight this battle – but Edison’s team did. The network that you’re trying to tap into and the strength of connections within it determines how quickly your new idea can spread.
  • Finally, I can’t think of a better illustration of why idea execution is more important than idea generation. If all that matters it the idea, we’d be talking about one of the other 23 teams that invented a working light bulb, not Edison’s.

If that doesn’t convince you of the supremacy of the shovel over the light bulb, I don’t know what will!

(pictures from Global Edison)

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Craft or Scale? An Innovation Dilemma

In December of 1992, there were 50 websites on the internet. A year later, when they started building Yahoo, we had jumped to 623. So if you were going to build a search engine, what would be the best way to index things? Actually, at the time there weren’t any search ‘engines’ – we’d go to a search ‘index’ for information about the net. When the numbers were small, it made a lot of sense to build these by hand. People could look at each new site as it was built, and figure out in which categories it best fit. Why would you need an algorithm or an engine to do this? After all, it would take longer to make one than it would to look at everything that was there on the net at the time.

This is what Yahoo’s first home page looked like:

Each of these links (only 32,000!) was categorised by hand – at the time, indexing the internet was a craft. It took skill, some people were better at it than others. When we chose between Yahoo, Lycos or AltaVista, the choice was usually based on which had better people working for it. If one of them had someone that knew more about the area we were interested in, we would get better search results from that index. It was idiosyncratic, and often very frustrating when you tried to find something specific.

A bunch of stuff then happened, the indices added bots to search for new pages automatically, and they started figuring out ways to rank results more effectively. But there was still a significant amount of craft that went into building a search site. Then we had Google, with their algorithms. When I first used Google in 1997 or so, I was amazed at how much better the search results were. I could actually find what I wanted! At scale, Google’s algorithms were much more effective than Yahoo’s craft.

This poses a dilemma for innovators. When we start out with our new idea, first off, we just need to make sure that it works. Usually, this takes craft. The problem is, the methods that we use at the start often lock is in as our market grows. In the face of Google in the late 90s, the original search engines argued that human judgment provided better search results than an algorithm. The problem that they had was this:


Craft worked ok when there were 30,000 pages to index, but it didn’t work so well when there were 30 million. DMOZ tried to crowdsource indexing, and even that couldn’t keep up.

The transitions from markets that reward craft to those that reward scale is difficult to make. This is the point that Geoffrey Moore made in Crossing the Chasm – many innovative new firms fail when they have to make that jump. His book is a good starting point for developing a strategy to scale your new ideas.

A thought that I’ve had recently though is that in markets that reward scale, there are often innovation opportunities within niches for craft. Google search results are still based on popularity, so I think there actually is an opening for expert indexing of topics where popular isn’t necessarily best (you have the chance to be a good filter). When you’re competing against giants, there are bound to be some openings – and finding these are often the way that disruptive innovations start (see the Scott Anthony video here for more on that).

The other interesting thing is that when your big-scale market is eventually replaced by something else, it opens up craft opportunities again. For example, you can still buy buggy whips. Hand-crafted, beautifully made buggy whips. Despite the fact that cars made them obsolete over a century ago.

So there are two main points. First, if you’re bringing an innovation to market, figure out how it will scale. If you don’t, you’re likely to lose out to a fast follower that has. We tend to think that things increase along a straight line, not exponentially. Craft often scales along a straight line, but it doesn’t do very well on an S-Curve (which is what everything actually follows!) Second, if you’re looking to disrupt a scaled market, figure out a way to take advantage of craft. If you can figure out a way to scale craft, then you really have a winner!

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Digging In

I really don’t feel like writing a blog post today. It’s early in the morning. I didn’t get much sleep. I don’t have a cat on my lap. I have too many cats on my lap. I haven’t eaten yet. It’s raining. It’s too nice out to be inside. I don’t have anything to say. I’ve got so many ideas in my head I can’t figure out which one to write about. No one reads these things anyway. Everything just feels wrong!

And you probably wouldn’t be too disappointed if I didn’t write a post today. I know that a few people seem to like the blog, but missing a day wouldn’t be the end of the world. There are plenty of other things to read, plenty of other ways to spend your time.

So I think I’ll skip it today.

And yet…

And yet, one of the things I promised myself was that I’d post every day, unless something really unusual happens. It’s no big thing, just a promise to myself. I ended up writing the most popular post I’ve ever done on Christmas Day. If I can write a good post on Christmas Day, what’s my excuse for skipping January 7th? I can’t really think of one. And sometimes, if a thing is worth doing, you just have to dig in. Grind it out. Work at it until something good happens.

That’s why I hate all these books about innovation that have a light bulb on the cover. Innovation isn’t about inspiration. Innovation is about working hard. Sure, making novel connections is what it’s all about – but you can’t do that if you haven’t done the hard work to know what the connections mean. Here’s Gordon Gould, one of the people that invented the laser, talking about the moment of inspiration:

In the middle of one Saturday night… the whole thing suddenly popped into my head and I saw how to build the laser… But that flash of insight required the 20 years of work I had done in physics and optics to put all of the bricks of that invention in there.

So instead of light bulbs, I think that innovation books should all have a picture like this on the cover:

The symbol for innovation should be a person with a shovel in the middle of a big hole. That’s a better representation of what it takes to innovate. That’s why I went ahead and wrote a blog post today, despite all the good reasons not to. That’s why I’m heading in now to write a paper, review a couple others, and read. Have to do the digging so that I know what it actually means when I make some new connections. What are you going to work on today?

(the Gould quote is from Scott Berkun’s terrific book The Myths of Innovation)

(photo from flickr/Wessex Archaeology under a Creative Commons license)

15 Comments

The Best Innovation Opportunity Ever!

We are facing the best innovation opportunity in the history of business right now, and everyone is missing it. The sector that provides the best opportunity for innovation right now is older adults. And you can tap into this market with one fairly simple change to your business model.

My wife Nancy is a geropsychologist. When she asks her students at the start of each semester what words come to mind when they think about aging, and nearly everything is negative: sick, alzheimer’s, nursing home, dementia. These thoughts dominate our thinking about business opportunities in this sector as well. Everyone knows that all of the populations in developed countries are aging rapidly. People that are 65+ are going from 10-15% of the population in 2000 in most countries to 25-40% of the population by 2025. So what opportunities does this present?

A recent cover story in Business Review Weekly here in Australia talked about how the baby boomers can make you rich. Their suggestions: invest in nursing homes and health care.

This is wrong!

Most firms start with an older adult business model based on the assumption that these people are sick, and they need care, and that is where the opportunities lie. In most western countries, how many older adults are in nursing homes? About 5%. How many are sick? Less than 10%. Why are we building our business models around less than 10% of the biggest segment of the population? This is insane. So my prescription is this: start with a simple business model innovation – your target market is actually the 90% of older adults that are healthy and active!

Tom Peters has been talking about this for a while. So has Ken Dychtwald. Here are some facts about older adults:

  • There are lots of them, and soon there will be even more.
  • The overwhelming majority of them are active and healthy.
  • They have TONS of money (70% of the wealth in America, according to Peters).
  • They see more movies, buy more clothes and more cars and more, well, everything than any other segment of the population.
  • They have time on their hands and they want interesting things to do.
  • They’re the fastest growing age group on Facebook, and their use of other social media outlets is also growing rapidly.

Whatever you do, change your business model to target these older people, not the sick ones. Once you have done that, do what Saul Kaplan suggests and start learning what they want. Then start innovating.

We need iPhone apps for older adults. We need movies, vacations and consumer products that meet their needs. We need them in our social networks and focus groups. Peters recounts a number of cases of firms that have successfully made a product or two targeting older adults then says:

These are all great cases. But they are just… cases. Isolated events in a Grand Marketing Narrative that continues to treat Youth as its hero.
They are a far cry from Strategic Realignment. And anything less than Strategic Realignment – that is, reorienting your enterprise from the ground up to serve the emerging [older adult market] will you in the cramped, low-growth world of ‘niche’ marketing.
Review the numbers: If a group controls the vast majority of wealth and discretionary income, then it is the market.

He’s right. It’s the best innovation opportunity ever. How will you take advantage of it?

I’ve written this in response to Braden Kelley’s call for posts on the topic: What product or sector is in greatest need of innovation. His Blogging Innovation site is a terrific resource, which you should definitely check out!

(Photo from flickr/OSU HHS under a Creative Commons license)

6 Comments

Oh, the Academics & the Managers Should be Friends

If I gave you the choice between two training courses – How to Use Twitter for Business or Principles of Social Media, which would you rather take?

Now, let’s say it is 2004, and your choices are How to Use Friendster for Business or Principles of Social Media – which of those would you rather take?

In case you don’t remember, Friendster was the first big social network. In 2004 was about where twitter was in late 2008 in terms of the number of users, and it was the dominant social media site of the day. Now it is the subject of The Onion’s Archaeological expeditions:


Internet Archaeologists Find Ruins Of ‘Friendster’ Civilization

One of the issues that I run into when I’m teaching MBA and Executive Education classes is that people want things that are practical – things they can go out and apply right away. They want things like How to Use Friendster. Well, now, they want How to Use Twitter. But if academics are doing their job well, they should be able to teach general principles that apply across similar situations. If you had taken a Friendster class in 2004, what you learned in it now wouldn’t be doing you much good. On the other hand, if you had taken a Principles of Social Media class in 2004, you should have learned things that will still be helping you on Twitter, or LinkedIn, or on whatever comes next. This is one of the fundamental tensions that we face – trying to balance the teaching of general principles with the teaching of specific useful tools.

teaching

I’ve been told a couple of times recently that I’ve been being ‘too academic’, which is part of what prompted this thinking. I think that being ‘too academic’ can mean a few different things:

  • Academics tend to think in terms of general principles and theories, but people learn best from stories. A lot of academics think that telling stories is somehow inappropriate, or beneath them. So being ‘too academic’ can mean talking only in theory, with no stories.
  • Closely related to that, many people in business don’t value academic ideas because the people spouting them don’t have business experience. Sometimes this is a valid criticism, but sometimes it means that the academic is telling them something they don’t want to hear. In the latter case, discounting the discussion as being too academic is a defensive posture to avoid having to do something that they don’t want to do.
  • Often, academic research uses specific words to mean specific things. This usage is different from field to field, and if you are not trained in the field, it just sounds like jargon. If academics are using too much jargon, whatever they’re saying simply won’t make sense to a non-academic audience. Sometimes you need to understand the jargon to understand the concepts, so you have to do a little work to learn about the topic. Other times, the jargon is simply a smokescreen used to hide the fact that the academic doesn’t really understand the topic well enough to explain it simply. There’s an irony in this one too – academics often think that if they simplify their ideas too much, people will assume that they don’t know what they’re talking about, when in fact the opposite is nearly always the case.

So where does this leave us? The point that I’m trying to make is that sometimes the accusation of being too academic is a valid one to which professors and lecturers really need to pay attention. If we’re not telling enough stories, or if we’re using too much jargon, we’re not communicating in a way that will help our audience. On the other hand, sometimes the accusation of being too academic is being used to avoid having to think about what is being said, or to avoid having to act on it. Good research often discovers things that contradict common sense. Good researchers can explain why this is the case, and what people should do about it (Bob Sutton is an absolute master at doing this – his blog, books and talks are all good examples of excellent communication of academic results).

A good academic can tell you a story, then use it to illustrate a general point, and talk about the situations in which that general point is true and false. The last point is critical – many of the people that are popular business gurus can do the first two, but not the last, because they haven’t done any actual research. And it is the last bit that is critical. Just because Bill Gates has done something and it has worked for him, it doesn’t mean that it will work for everyone. Or, in particular, it doesn’t mean that it will work for you.

We need to stop saying that things are ‘too academic’, and get better at specifying what we really mean by it. Don’t let your desire for hearing stories lead you to learn about Friendster or other ephemeral things when you have a chance to learn something of more lasting value. And I’ll do my best to get better at saying what I’m trying to say more clearly. How does that sound?

(And, if you can figure out what the blog title is referencing, I’ll buy you a drink next time I see you)

Photo by Phil Long (still not quite sure how he managed to catch me when I wasn’t waving my hands wildly…)

8 Comments

Using Jams to Select Ideas

I have talked a couple of times recently about some results from the assignments in my MBA class this year. In assessing the Innovation Value Chains within their firms, 3 out of 60 identified their organisation as ideas-poor, while the other 57 had bigger problems with idea selection and idea execution. The paradox is that when firms try to become more innovative the first thing they usually do is take steps to generate more ideas.

In part, I think that this is due to the fact that we have relatively more resources available to help with this part of the process. There are plenty of books on improving idea generation and creativity. There are plenty of consultants around with methods for doing the same. It is the area where it is the easiest to see quick results, which makes it attractive. This is deceptive though, because the data from my MBA students strongly suggests that this is the area where organisations actually need the least help.

What do we have that can help with idea selection and idea execution? One approach that is very good to use for idea selection is idea jams – a technique originally developed by IBM. I’ve been talking about this some recently with my friend Kate Morrison, who uses this approach in her firm Vulture Street Innovation Software and Services. Here is how she describes the jam process:

A jam is an online, time-limited collaboration event specific to an invited group of participants and focused on a particular organisational problem, opportunity or challenge.

Compared with traditional problem solving and group decision-making techniques, the jam approach offers significant benefits because it is:

* focused around specific themes or challenges, as defined by management – hence avoiding non-productive and open-ended solicitations (such as suggestion boxes) or community discussions;

* specific to the group invited to participate, which can include customers and suppliers as well as employees;

* scalable beyond the limits of physical get-togethers, able to accommodate hundreds of participants; and

* time-limited, allowing a concentration of attention and energy and preventing the process from fading into the background of business-as-usual.

So it is a crowd-sourcing method, but it uses a specific, hand-picked crowd. The thing that I particular like about this approach is that it doesn’t just generate ideas, it selects them. As ideas come in, people are able to comment on them, and vote on the ones that they like. Here are some results from one of Kate’s projects showing the contributions of all of the people participating in a small jam, along with the 6 most popular ideas (indicated by the stars):

These results from illustrate some interesting points:

  • Contributions follow a power law (roughly). This is very normal for interactive networks of people. There are usually a small number of people with really large contributions (in this case, the top 3 idea contributers generated 38% of the total ideas!), a slightly bigger number of people with a few contributions, and a majority of people who contribute only one or two ideas (Clay Shirky explains this really well in one of my favourite TED talks). In many situations, it is difficult to solicit the ideas from this last, largest group, which is important because:
  • Idea quality is unrelated to idea volume! The idea voted the best was contributed by the 14th most prolific idea generator, and the one voted second best was contributed by the least prolific idea generator. The top two idea contributors support Linus Pauling’s contention that ‘the way to get good ideas is to get lots of ideas, and throw the bads ones away.’ But in good news for us introverts, the people talking the most aren’t necessarily the ones coming up with the best contributions.
  • The key point is that at the end of this process, you end up not just with a bunch of ideas, but with an idea of what the best ideas are. This is what I like about jams as innovation tools – it is actually a selection tool, which is one of the areas that firms are often weak. At the end of the process, you don’t have hundreds of new ideas, you have 3 or 4 really promising ones.

So this is one method you can use to improve your capability in selecting new innovation ideas. There are more formal processes available like Stage-Gate too. If you’re going to invest time and money in improving innovation within your organisation, I think it’s essential that you focus on getting better at selecting and executing new ideas, rather than simply generating them.

8 Comments

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