Innovation Makes the World Go Round: Sweden

Posted: January 27th, 2012 in Innovation

By: Gabriela Mendieta

Travel, particularly international travel, has always been a great love of mine. I’ve decided to combine that love with my passion for innovation into a blog series that focuses on what’s happening in innovation internationally.  When you say the word “innovation” and ask people to say the first thing that comes to their mind, the immediate response is usually “Apple” or “Google.”  While those companies are incredibly innovative, I do want to break the mold a bit and demonstrate how innovation is making an impact in other ways round the world, with results that are not just about market defining devices or web capabilities.

Our first stop is Sweden. Sweden is a fantastic example of how innovation is being leveraged in the government/public sector, with incredibly successful results.  Sweden has made it their priority in the last decade to improve national road safety and decrease traffic fatalities. Road safety has been a national passion ever since Nils Bohlin developed the three-point seatbelt (which everyone has in their cars today) while working for Volvo in 1959.  Since then, the Swedes and Swedish companies have been behind a very long list of safety innovations in cars, including the laminated windshield, side airbags, and rear facing child seats.

 The country has a number of governmental agencies and commissions dedicated exclusively to road safety, such as the Swedish National Road Administration and the Swedish Road Safety Commission. They have been behind much of the progress made in road safety, including the financing of an Intelligent Safety Systems program to develop the next generation of Alcolocks and allowing researchers to leverage military technology to develop systems in cars that can track body heat, making it safer for pedestrians and drivers. Most recently, Swedish Road Safety Commission and Volvo implemented the Speed Camera Lottery in Stockholm, which photographs both speeders and speed-limit adherents with a portion of the subsequent fines levied against speeders being pooled in a lottery, with a random winner periodically drawn from the group of speed-limit adherents.  The results of the initial tests yielded a 22% reduction in speed, with the average speed of drivers going from 32 mph to 25 mph.

As a result of this national focus on innovating in this particular category and having governing bodies providing both funding and guidance, Sweden now has the lowest per capita traffic fatalities in the world, and they are now working to completely eliminate traffic fatalities by 2020 through a program called Vision Zero.   So it just goes to show you, you don’t have come up with the next computer or device to be innovative, and focusing on this key need and category has allowed Sweden to improve the safety and lives of its citizens for years to come.

The Hospital of the Future isn’t Just About Technology

Posted: January 20th, 2012 in Addressing Consumer Needs, Innovation

By Megan Portanova

“The Tower”, Rush University Medical Center’s new hospital, opened last week.  Driving down I-290 in Chicago you can’t help but notice the building.  It doesn’t look anything like the other buildings in that area, and definitely not like any of the other hospitals in the Chicago-area.  Its curved, white façade looks more like the corporate headquarters some tech company might dream up.  Rush’s website talks about all of the new important technological advancements in the hospital: from the lobby that can quickly convert to usable space if there is a disaster in the Chicago area to the interventional platform.  However, one of the most interesting parts of this new building for me is the use of qualitative research and innovative architecture to solve some of the problems of a hospital.

 The design for the building emerged from conversations the architect had with doctors and nurses in order to uncover how best to situate the building to improve the work that goes on within it.  This is such a fundamental step in any successful innovation – and one of K&A’s Innovation Best Practices.  You need to understand the needs of the end-user in order to create a solution that truly solves a problem.  One of the outputs of these conversations is the most striking visual aspect of the building: the curved bed tower.  The tower was designed to provide a central nurses’ station on each floor that allows easy access to patients.  Talking to doctors and nurses also influenced the windowed corridors by surgery and the green roof, in order to provide some relief from the pressures of the job.

 Hopefully, by taking into account the needs of the end-users in the space, “The Tower” will help Rush provide better healthcare.

Consultants Don’t Kill Innovation, but Risk Aversion Does

Posted: January 11th, 2012 in Innovation Culture

By Amy Larson

A recent Fast Company article poses the question, “Do Innovation Consultants Kill Innovation?” And as an Innovation Consultant myself, I feel compelled to shout from the rooftops, “NO! Of course not!” But my cooler head has prevailed and I am forced to admit that this article makes some valid points about why companies, especially big ones, fail at innovation and what it takes to be a successful innovator, whether you hire a consultant or not.

Twenty years ago, the key to innovation was having a systematic process, so now we all have some version of a Stage-Gate system. Ten years ago we realized that process alone was not the answer; without strategic focus and goals, we would not get the results we wanted. Enter the Innovation Strategy. But something was still missing. As this article appropriately points out, successful innovators take risks. So an innovative company needs an Innovation Culture and Mindset that encourages and supports risk-taking. 

And it’s true, big companies tend to develop systematic processes that help manage risk. And that’s for good reason; they have a lot at stake. But you can use a systematic process to develop the next Burnt Sienna crayon color, or you can use it to develop Crayola Color Wonder™ markers that don’t color on anything except the paper for which they’re intended. The difference is not in the process itself, but in the Innovation Strategy, Process, and Culture that collectively bring about innovation results.

So what do you do it you’re tasked with leading innovation, but you work in an inherently risk-averse environment? Fundamentally, you need to inject some risk-taking attitudes and behaviors; you need to address culture. And as the article suggests getting the right people and looking outside the company/industry can be great ways to do this … or, if all else fails, you could talk to someone with expertise in innovation culture and mindset … like a consultant. 

Introducing New Ideas into the Innovation Funnel

Posted: January 6th, 2012 in Addressing Consumer Needs, Innovation, Innovation Training, Solution Generation

By Rishu Mendolia

Although innovation is best executed (with the highest rates of success) by using a disciplined customer-centric process, it is not uncommon for creative thinkers to come up with unprompted ideas for new products, services, and businesses. This is especially true for those closest to the market, as they are regularly exposed to customer needs and market opportunities. But how can the individual decide how to best evaluate the idea before bringing it to a larger group? Here’s a set of 5 questions that can help you think through an idea. Not all of these questions can be completely answered at this early stage. But by thinking through these topics, the idea can be better defined and evaluated.

 

1. Strategically, how does the idea fit the company’s growth goals? Which specific company strategies does the idea address?

2. How does this idea benefit the company? Is it new revenue through incremental business? It is higher customer retention? What are the potential financial returns?

3. Who is the target market for this idea? What need/opportunity does this address? Would customers change their behaviors to make use of it?

4. What does the current competitive space look like, including direct competitors and possible substitute solutions? How easy would it be for someone to copy this idea?

5. What kind of developmental effort would it take to commercialize this idea?

Of course, extreme care should be taken that this does not become the start of the innovation process – real innovation starts by identifying customer needs and THEN generating ideas. But in such an instance where an individual first comes up with an idea, the company should carefully conduct primary market research around the opportunity this idea is attempting to address, and then reevaluate – and shape - the idea if it still fits the uncovered needs. Additionally, thorough prototyping and market testing would also be required to maximize the impact of the idea.

Taking an idea through the rigorous innovation process is generally a lengthier effort than hurried commercialization. But by doing so the company can maximize the chances of its success and avoid substantial losses that would otherwise be realized by launching the untested offering.  

From the Cattle Ranch

Posted: December 16th, 2011 in Innovation

By Marci Jacobs

Having grown up on a cattle ranch in Oklahoma – a business and location not necessarily buzzing with innovation - I was excited to recently discover a major initiative occurring within the beef industry aimed at universally decreasing its carbon footprint.

The effort involves an unlikely partnership between the National Cattleman’s Beef Association and European chemical company BASF. BASF was once considered one of the least green companies in Europe, however, the company undertook an eco-cleanup 16 years ago, developing sophisticated systems to measure and track internal operations efficiencies. Together with the National Cattleman’s Beef Association, BASF will adapt these systems to measure efficiencies along the beef production chain.

Interestingly, research will blend qualitative and quantitative science. While BASF systems are in place to measure quantifiable energy outputs, plans have also been made to conduct first-hand interviews with key members of the beef production chain, from ranch hands to cow-calf operators to stockyard managers.

These interviews are designed to surface stakeholder perceptions and needs around a variety of topics, from animal husbandry practices to business needs to perceptions about the environment and sustainability. In so doing, the National Cattleman’s Beef Association is ensuring that sustainable solutions will be tailored around beef producers’ enduring behaviors, preferences, and business considerations – a critical step finely aligned with innovation best practices -and, ultimately, that green solutions will not just exist in labs, but will actually be adopted by real users for long-term sustainability.