5 Resolutions to Make 2020 the Year that Innovation Actually Happens

5 Resolutions to Make 2020 the Year that Innovation Actually Happens

According to research by Strava, the social network for athletes, most people will have given up on their New Year’s Resolutions by Sunday, January 19.

While that’s probably good news for all the dedicated workout enthusiasts who will be glad to get their gyms back, given that the most common New Year’s resolution is to exercise more, it’s a bit discouraging for the rest of us.

But just because you’re about to stop hitting the gym to drop weight and build muscle (or whatever your resolutions are), it doesn’t mean that you can’t focus on improving other muscles. May I suggest, your innovation muscles?

Innovation mindsets, skills and behaviors can be learned, but if you don’t continuously use them, like muscles, they can weaken and atrophy. That’s why it’s important to create opportunities to flex them.

One of the tools I use with clients who are committed to building innovation as a capability, rather than scheduling it as an event, is QMWD: the quarterly, monthly, weekly and daily practices required to build and sustain innovation as a habit.

Quarterly

Leave the office and talk to at least three of your customers. It’s tempting to rely on survey results, research reports and listening in on customer service calls as a means to understand what your customers truly think and feel. But there’s incredible (and unintended) bias in those results.

Schedule a day each quarter to get out of the office and meet your customers. Ask them what they like and what they don’t. More importantly, watch them use your products, and share what you hear and see with your colleagues.

Monthly

Share a mistake you made with your team and what you learned from it. Silicon Valley mantras like “Fail fast and fail often” make for great office décor, but let’s be honest: No one likes to fail, and very few companies reward it.

Instead of repeating these slogans, reframe them as “Learn fast and learn often,” and model the behavior by sharing what you learned from things you did that didn’t go as expected. You’ll build a culture of psychological safety, make smart risks acceptable and increase your team’s resilience — all things required to innovate in a sustainable, repeatable and predictable manner.

Do one thing just for the fun of it. In the research that fed into their book, The Innovator’s DNA, professors Jeff Dyer, Hal Gregersen and Clayton Christensen found that the most common characteristic among the great innovators of our time was their ability to associate, “to make surprising connections across areas of knowledge, industries, even geographies.” Importantly, their associative thinking skills were fed by one or more discovery skills: questioning (asking why, why not and what if), observing, experimenting and networking.

Fuel your associative thinking ability by doing something unrelated to your job or other obligations. Do something simply because it interests you. You might be surprised where it takes you. After all, Steve Jobs studied calligraphy, meditation and car design and used all of those experiences in his day job.

Weekly

Make one small change for one day. Innovation requires change, and if you’re an innovator, that’s the exciting part. But most people struggle with change, a fact that can be frustrating for change agents.

In order to lead people through change, you need to empathize with them and their struggles, which is why you need to create regular moments of change in your work and life. One day each week, make a conscious change. Sit on the other side of the conference room table. Take a different route to the bathroom. Use a black pen instead of a blue one. Even small changes like this can be a bit annoying, and they’ll remind you that change isn’t always the fun adventure you think it is.

Daily

Ask, ‘How can we do this better?’ Innovation is something different that creates value. This is good news because it means that all it takes to be an innovator is to do something different and create value. The easiest way to do that is to find opportunities for improvement.

The next time you’re frustrated with or confused by a process, ask, “How can we do this better?” Better can mean simpler, faster, cheaper or even in a way that is more enjoyable, but whatever it means, the answer will point the way to creating value for you, your team and maybe even your company.

Block time on your calendar for these quarterly, monthly, weekly and daily habits. After all, the best reflection of your priorities is what’s in your calendar. And, if you stick with this, you’ll be among those who achieve their New Year’s goals.

How to Use Customer Research Tactics to Talk to Anyone about Anything

How to Use Customer Research Tactics to Talk to Anyone about Anything

A few weeks ago, I published a piece in Forbes with tips on how to learn from your toughest customers.

During most of the year, these “customers” tend to the people buying our products or using our services — people who don’t understand why our products or services cost so much, are so difficult to understand, or why they should choose them over other options.

During the holidays, though, these people tend to be our family members — people who don’t understand why we moved so far from home, don’t call or visit more often, or why we support a certain political party, politician, or cause.

Luckily, the same techniques we use to understand our business’ customers and craft solutions that help them solve their problems or achieve the progress they seek (their Jobs to be Done, according to Harvard Business Professor Clayton Christensen), can also be used to keep the peace at your next family gathering.

Here are some Customer Research Do’s and Don’ts to help you navigate your next visit with family:

1. DO establish the topic of conversation. DON’T lead with your opinion: When you start an in-depth qualitative interview with a customer, you don’t start the conversation with “I think what we do is awesome and that you’re a horrible person if you don’t agree with me.” You start with, “Thank you for taking the time to speak with me today. I’m very excited to hear your opinions about my business.”

We all know you’re not excited to hear Uncle Lenny’s opinion on gun control but starting the conversation with your opinion isn’t going to help things. So, when Uncle Lenny brings up the topic, simply acknowledge the topic and ask if others are interested in having the conversation. Who knows, maybe Aunt Jenny will shut the conversation down before it gets started.

2. DO listen more than you talk. DON’T try to win the argument. The purpose of customer interviews is to learn from your customer, not to convince them to do something. That’s why you try to talk only 20% of the time and listen 80%.

When Uncle Lenny, undeterred by Aunt Jenny’s pleas to move on, continues to expound on why he believes what he believes about gun control, don’t try to drown him out, overwhelm him with data, or win him over to your side. Instead, listen to what he has to say, ask open-ended questions, and, every so often, chime in with your point of view.

3. DO be curious. DON’T make assumptions. During customer interviews, you don’t take things at face value. When a customer says something is easy, you ask what makes it easy. When as customer says they want something to be more convenient, you ask what “more convenient” would look like. You don’t assume you know what the customer means, you ask.

When Grandpa Joe says that anyone who believes (fill in the topic) is a (fill in the negative stereotype), don’t assume that he’s talking about you. Ask why he thinks that people who believe X are Y. Maybe he’s never met anyone who believes X and is simply repeating something he heard. As a result, he may be surprised that the family member he loves who doesn’t fit the stereotype does believe X. Maybe he HAS met someone who believes X and they do fit the stereotype. Then you can remind him that 1 person doesn’t represent everyone in a group and that while yes, that person may not be his cup of tea, there are other people (like you) who are.

4. DO share your opinions. DON’T be dogmatic about it. In the rare instance when a customer starts to assert patently false things — a company has satanic roots, a product kills pets, an executive committed a crime — it’s your responsibility to speak-up and correct the falsehood. When you correct a customer, you don’t stand up and shout in their face, you speak slowly and calmly, gently acknowledging their opinion before sharing the facts, and you do this only a few times before moving on to the next topic.

When Grandpa Joe refuses to relent on his “anyone who believes X is a Y” stance, you have every right to disagree but doing it with the same absolute language and heated emotions isn’t going to change his mind. Instead, consider framing your opinion as a question, “Grandpa, what if I believe X. What would you think then?” If he persists, then gently explain that you hear him, respectfully disagree with him, and believe X for the following reasons.

5. DO know your limits. DON’T be afraid to leave when they’ve been reached. Customer interviews have a time limit and, no matter how chatty, interesting, or charming your customer is, you end the conversation when the time limit has been reached. Maybe you schedule time for a follow-up conversation but more often than not, you thank them for their time, hand them their check, and show them out the door.

Family time also has a limit. When you reach the limit of your patience, energy, civility, or sanity, thank everyone for their time and show yourself out the door. Yes, you may miss out on Grandma’s pie or your sibling’s vacation photos, but that’s a small price to pay for keeping the peace. And you can always schedule time late for conversations with select family members.

In closing

Talking to customers isn’t easy. Neither is talking to your family. But by using the same techniques you use to understand and empathize with your customers, you can navigate the minefields of family gatherings, maintain your sanity, and maybe even make it to dessert.

Your customers aren’t stupid. You’re lazy

Your customers aren’t stupid. You’re lazy

“They put their modems in filing cabinet drawers! Can you believe it?!?!”

The crowd roared with laughter. I closed my eyes and started to breathe deeply. Mainly so I wouldn’t throw my chair at the speaker.

The speaker was an industry icon. The gentleman was responsible for many of the cable and telecommunications inventions that we take for granted. After regaling us with stories from the past, the type of adventures one can only have when an industry is still small and scrappy, he was asked about the future.

He talked about ambitious plans to make it easier for people to age at home — everything from connected devices to modular accessibility tools to building code changes. It was while speaking about that last ambition that he made the comment about modem placement. And, in return, a room full of engineers laughed, shook their heads and wondered how consumers could be so stupid.

Your customers are not stupid.

Yes, customers do a lot of unexpected things. But that doesn’t mean they’re stupid.

They’re doing unexpectedly and seemingly stupid things for a reason.

Maybe the modem is a drawer because it’s ugly and ruins the aesthetic of the room.

Maybe the modem’s constant hum irritates the people in the room, distracting them from the work they’re trying to do.

Maybe the modem’s blinking lights keep people awake or make it harder for them to sleep.

There are lots of reasons why modems are in drawers and very few of them have to do with the IQ of the modem’s owner.

You are being lazy

Yes, there is something that can’t be modified to be easier or more intuitive to use but those things are not nearly as numerous as we think.

Cars had to be big to be safe. Until the Japanese made small safe cars

Computers had to be screens in beige boxes next to beige towers. Until Apple made a teardrop-shaped desktop computer in 5 colors

Can-openers and carrot peelers used to be metal tools that required strength and a bit of courage to operate. Until OXO made them more ergonomic.

Saying, “Modems simply have to be black with loud fans and lots of blinky lights, and they must be kept out in the open,” is, at best, lazy and unimaginative and, at worst, profoundly arrogant.

3 steps to stop being lazy and start being smart

1. Ask your customers WHY they’re doing what they’re doing. Actually, go TALK to your customers and ask them why they’re putting their modems in drawers. Do not hide behind a survey — you can’t possibly know all the reasons why so forcing your customers to pick from a list you created or fill in an empty text box will only get you the answers you expect. If you want the truth, go talk to the humans that are buying and using your products

2. Shut-up and LISTEN. After you’ve asked why, stop talking. Don’t suggest possible reasons, thus biasing their answers. Don’t try to take the blame by asking if your design is too complicated or the print in the instruction manual is too small. Just ask the question and listen. If there is silence, wait patiently. Your customers will start talking and, when that happens, you’re likely to learn something.

3. Make changes based on what you heard. Once you’ve heard the answer to “Why?” do not try to convince the customer that their reasoning is wrong and explain to them why they should do things differently. Once you understand their Why, say “Thank You,” and go back to the lab or the office or the drawing board and start solving the problem

  • The modem is ugly. Can we change its shape, size, or color so that it blends in or stands out in a really cool way that transforms it into a status symbol (cough, white Apple earbuds, cough)?
  • The modem is loud. How can we reduce fan speed or improve soundproofing?
  • The blinky lights are keeping people awake at night. How can we eliminate the lights or reduce the number or change the color or change the placement?

Your customers aren’t stupid.

They’re giving you an opportunity to be smart

Take it.


Originally published (with some minor editorial tweaks) in Forbes as “How To Get Smart About Why Your Customers Do Confusing Things”

How to Thrive (and Survive) in a Career in Corporate Innovation

How to Thrive (and Survive) in a Career in Corporate Innovation

Do you want a job that offers some sort of stability without the soul-sucking repetition you equate with a 9–5 job? Maybe you want the intellectual challenge, problem-solving rush, and “we beat the odds” euphoria of doing the impossible AND to stay in a certain city or just have a steady paycheck and benefits for a few years.

Then you, my friend, should be an Intrapreneur.

A career in innovation is not for the faint of heart. While start-ups and entrepreneurs get all the press, intrapreneurs ride a similar roller-coaster of uncertainty.

According to research conducted by Innovation Leader, the average tenure of executives in innovation specific roles is 4.4 years. Tenures get are a bit longer for VPs (5.4 year) and a bit shorter for Manager (3.3 years).

This data is consistent with my decades of experience working with corporate innovators, also known as intrapreneurs.

  • Year 1, senior executives jump on the innovation bandwagon and create lots of activities (shark tanks, ideation sessions), establish innovation and corporate venture capital (CVC) teams, and proclaim their commitment to innovation loudly and broadly.
  • Year 2, the fanfare dies down, the events have become memories, and the teams are hard at work generating opportunities and testing new businesses.
  • Year 3, the $500M silver bullet has yet to manifest, the company has yet to be described as the “Apple of [industry],” and the attention and investment once dedicated to innovation gets re-routed to the core business.
  • Year 4, it’s back to business as usual.

But for those brave souls who, like me and like my clients, decide to strap in and ride the ride…Welcome! Here are 4 tips to help you have the best and safest possible corporate innovation career

1. Build Your Internal Network

Yes, you need to keep your finger on the pulse of all that is new and happening in the market and the best way to do that is by building and maintain your external network of advisors, experts, and thought leaders.

But, as an intrapreneur, you also need to keep your finger on the pulse of all that is new and happening in your company. Invest time in building relationships outside of your immediate team. Reach out across functions and business units to meet people, build trust, and share ideas. Over time, these connections will become the advocates and sponsors you need to break through organizational barriers, sources of vital information about evolving corporate priorities, and even guides to new roles in the (highly likely) event that your innovation group gets “wound down.”

2. Show off transferrable skills

It’s easy to get pegged as the “Innovation Person” in the group. The person who gets called in when a team wants to “be creative” or faces a particularly difficult problem that requires “thinking differently.” There’s nothing wrong with being the Go To resource for these things but it makes you very expendable when the organization decides that it needs to “get back to its roots” and “return to what made us successful.”

Instead, identify and share the skills that are at the heart of what makes you great at innovation, the skills that create value. Perhaps you’re able to talk to a customer for 30 minutes and learn things never before conceived by R&D, offer to do that for another team or teach others your skills. Perhaps you’re able to simplify and communicate the most complex topics, offer to help someone with their presentation.

Sharing the skills that make you a great innovator and showing others how to apply them in their “not innovative” jobs not only helps establish a culture of innovation, it establishes you as an essential resource no matter where innovation falls on the priority list.

3. Don’t go Stealth

It’s tempting for intrapreneurs, like entrepreneurs, to work in Stealth Mode. I’ve heard lots of reasons for this:

  • We don’t have results yet
  • Management should stay focused on the core because we need the money made there to fund our work
  • If they don’t know what we’re doing, they can’t stop us.

This thinking is fundamentally flawed. Not only is “out of sight, out of mind” a very real thing in companies, it ignores the essential fact that start-ups in Stealth Mode are “hiding” from the market, not their investors.

Intrapreneurs need to stay on management’s radar screens. They need to generate and communicate results, even if it’s primarily learnings, on a regular basis. They need to consistently prove to management that they are as important to the short- and long-term prospects of the company as existing businesses.

The best evidence of a manager’s priorities are the appointments on her calendar. If you’re not on there, you’re not a priority.

4. Channel your inner Gambler

For an intrapreneur, there is no better advice than the following:

You’ve got to know when to hold ‘em

Know when to fold ‘em

Know when to walk away

And know when to run

Change is hard for everyone and it always takes longer than you think it should. It’s normal to feel frustrated. The key is to know when your frustration has evolved to cynicism and, even worse, burn-out.

Take breaks. Whether it’s a night off, a weekend away, a two weeks’ vacation, or a several month sabbatical. Step away from the table, unplug the devices, and rest. After all,

“Every gambler knows

That the secret to survivin’

Is knowin’ what to throw away

And knowin’ what to keep.”

In closing

Even though Innovation should be viewed as a discipline, on par with Marketing and Finance, in terms of corporate capabilities and operations, that’s unlikely to happen any time soon. Until that day comes, corporate innovation will remain a roller coaster that only the bravest dare to ride. Hopefully, these tips make that ride longer than just a few years.

4 Steps to Get the Resources You Need to Innovate

4 Steps to Get the Resources You Need to Innovate

It’s that time of year again.

The time of year when people everywhere write up their wish lists, hope to gain favor with those who can bestow gifts, and dream of the bounty that will greet them in a few weeks’ time.

Yes, it’s Annual Planning and Budgeting time.

The process of setting annual goals and budgets can be frustrating and even demoralizing for employees and managers alike as their visions and budgets get slashed in each round of management reviews.

This process can be especially painful for Innovators who feel like they are expected to do more with less and, as a result, can’t even try to do anything new or game-changing because they barely have the resources to operate the current business.

Resource constraints are a reality in every organization. The trick is not to give up when you run into them, but to figure out how to work with them and, more importantly, the people who control them.

1. Acknowledge reality

Yes, we all know that, when funding innovation, corporations should act more like VCs and follow a milestone-based approach to releasing funds. But the reality is that the budgeting processes in most companies are so rigid that you get your budget at the beginning of the year and you don’t get a penny even if circumstances change and additional investment could yield wildly positive results.

Instead of trying to change the system or asking only for what you’ll need in the first quarter or the first half of the year, work with the system and ask for your annual budget up-front.

2. Know where there’s flexibility

During my first year at Harvard Business School, my accounting professor would often run around the room yelling “No Rules! No Rules!” which often left me more confused than when the class started.

I’m still not certain what point he was trying to make but I like to believe that he was trying to shock us out of our rigid black-and-white thinking about accounting and to see that there is room for flexibility (while staying on the right side of the law).

As you draft your budget, understand which line items are more flexible than others. For example, a client of mine had to break her budget request into Fixed (salary, benefits, and overhead) and Flexible (travel and project-specific) costs. Fixed costs were locked in, but she had almost complete autonomy over how Flexible funds were spent. As a result, given the uncertainty of staffing required for innovation projects, she maintained a skeleton crew of FTEs and relied on temps, interns, and consultants to staff up projects when needed.

3. Channel your inner Mick Jagger

The Rolling Stones said it best when they sang, “You can’t always get what you want/ But if you try sometimes, you might find/ You get what you need.”

As you look at your innovation projects, estimate what you want (i.e. the resources you need if everything goes perfectly) and what you need (the bare minimum to required to operate if a project runs for the full year). Assuming that what you want isn’t a laughable number, ask for it. When the inevitable cuts are made, acted pained until you get to about halfway between your Want budget and your Need budget then, once you reach the halfway point, start talking about tradeoffs and highlighting the things that won’t happen if budgets continue to get slashed.

4. Make your case

Even if you do everything listed above, the fact remains that there are only so many dollars to go around. This means that a dollar allocated to your project is a dollar NOT allocated to another project.

Large companies crave certainty and they reward executives who are able to consistently deliver results. This system of rewards and incentives amplifies our already innate tendency to prefer avoiding losses to acquiring gains and drives most managers to fund “Safe Bets” and “Sure Things.”

As a result, it’s not enough to pitch your idea and request for funds, you need to emphasize the potential gains, explain how you’ll minimize losses, and make the case for why your project is a better investment than others.

In conclusion

Annual Planning and Budgeting season is stressful for everyone and, inevitably, there will be brilliant ideas and game-changing projects that go unfunded. But by acknowledging the reality and constraints of the process and learning to work within them and with the people making resource allocation decisions, you can significantly increase the odds that some of the items on your innovation wish list will become a reality.