Innovation: Do or Die
By Ron Immink
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About this ebook
A perspective on innovation, execution, organisational structure, technology, purpose and the need to understand exponential.
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Innovation - Ron Immink
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Innovation: Do or Die
At Bookbuzz, we work with lots of large and small companies on innovation and future-proofing, but I have to immediately admit that future-proofing is a false term because there are no guarantees. The book to read here is Future Babble. No one can predict the future; what you try to do is to create a mind-set and awareness so can you assess which trends are a threat, and which are an opportunity.
Innovation is already here
My job is to create a larger awareness of the importance of innovation and to create a platform to make innovation in your company more explicit. I know all the building blocks are already there – in your projects, your people, your clients and your ecosystem.
Execution
Is anyone into cooking? Watching Masterchef? If you like execution, you will like Working Clean. This book takes the process and way of thinking of a master chef and translates it into business practices. The title says it: Work clean. It also focuses on mise-en-place; commitment and grounding yourselves in the job; and choosing excellence. Any planning nerd will love it.
In some ways that book is not far off from The Navy SEAL Art of War. What can you learn from Special Forces? A real macho book full of steroids. Same theme: Do or Die. Excellence as a habit. Commit or quit. There are quite a few books now on Special Forces, and a lot is on mind-set.
The one book I did not include is The Code of the Extraordinary Mind. That’s one everyone should read. It will change your life.
Organisational structure
Employees First, Customer Second is the story of HCLT, a very successful Indian ICT company. How the CEO completely reorganised the business and inverted the organisational structure to give most of the power to what he calls the ‘Value Zone’, which is where the company meets their clients. Decentralised decision making with complete transparency. The CEO and the MT are accountable to the Value Zone to ensure ongoing delivery of value to the customers. For example, the CEO gets a 360° performance from all his / her staff. The CEO can get fired if his / her staff are not happy!
There are a lot of books that suggest that culture is too slow and that the organisational structures we apply are no longer suitable for the weird and wonderful world we live in, including The Network Always Wins. Did anyone hear of Zappos? It has become completely self-organising. Peter Hinssen suggests it is the only way forward. He also talks about internal and external clock speed. If your organisation is slower than the outside world, you will perish. What is the clock speed of your business?
Technology
If you want a sense of how quickly things go, the book to read is The Second Machine Age or The Inevitable. These books are about technologies such as AI, robotics, genetics, sensors, material science, nanny, health, energy, biology, quantum physics, etc. I am writing a book about future-proofing and so far I have counted 120 technology trends. All are going at an exponential rate. Understanding exponential is important.
Anyone familiar with Moore’s Law? Double the capacity, half the price. Every year. Best explained as with a chess board. If you double rice per square, how much rice do you have at the end of the chessboard? Ten times the world production.
Every technology at the moment is rocket-boosting. AI, biology, data, ICT, genetics, robotics, drones, augmentation, quantum computing, you name it. Getting combined like Lego. Science fiction is becoming science fact. Hence Tomorrowland. Watson reads 800 million pages per second. Every second. Watson is twice as good as a surgeon at making the right diagnosis. If Watson is already better than a top surgeon, what else is it capable of? Is it a threat or an opportunity?
Imagine what your company could do with AI. Audi has self-driving cars with different personalities (nobody knows how / why). The ghost is in the machine. Google has two AI computers talking to each other in an encrypted language and a third one trying to break the encryption. So far without success. We now have two AIs talking to each other, and we have no idea what they are talking about. That is a potential Skynet.
ERP will soon include IoT, where everything is made smart. Smart metering is just the start. What will that do to your ERP?
Cybersecurity
IoT is very scary if you read Future Crimes. IoT devices have on average 25 fundamental security breaches. Everything that can be hacked will be hacked. Your coffee pot, your Nest, your car, etc. Cybersecurity and reputation management will become a huge issue. Also for your clients. Another big opportunity?
Climate change
Climate change is going to transform business models. Another scary book is Climate Change. If we get to four degrees, our children will not have children. It is also one of the biggest business opportunities. Your clients will start asking about this.
Pressure on margin
Chris Anderson wrote about 3D printing in Makers. He also wrote a book called Free. The ultimate consequence of Moore’s law, hypercompetition and globalisation is commoditisation and pressure on margin. With ‘Free’ as the ultimate consequence.
Innovation
Oren Harari (now dead) wrote Break from the Pack about 15 years ago. A classic. Staying out of what he calls ‘commodity hell’. That is what innovation is all about.
Disrupt your own model. With urgency. Digital Disruption talks about how platforms can now scale within hours. Big bang disruption.
Reinvention talks about that as being the key to survival for the 21st century.
Future Vision explains that the faster you go, the further you need to look ahead. How far ahead are you looking?
The Science of Serendipity talks about the need for mess, the unexpected. The focus on execution potentially takes the serendipity out of the company. Map the unexpected, the weak signals and the weird.
Brilliant Mistakes talks about the need for failure. How much money are you allowed to lose on trying new things? How big is your ‘failure fund’?
That is why I included What Would Google Do?. It is always useful to learn from the masters. Google has the 20% rule: where 20% of the time, employees can play and develop new things.
On purpose, I did not include lots of books on Innovation. Originals is one to read. It takes a lot of the BS out of innovation. You need three things: common passion, mavericks and volume.
Transformative purpose
Common passion is an interesting one. Which is why I included Exponential Organisations. The key message is the importance of ‘transformative purpose’ as a key success factor. What is the transformative purpose