Chapter 11 Leading Innovation Applying Innovation By David

Chapter 11 Leading Innovation Applying Innovation By David O’Sullivan and Lawrence Dooley © Sage Publications 2008 11 -1

Reflections o o o Explain the main ideas behind project portfolio management. What are the four key overlapping approaches used in portfolio management? Name one tool that can be used for each of the four approaches. In a bubble diagram of risk versus reward, what are each of the four quadrants commonly called? Explain the portfolio dominant approach to balancing a portfolio of projects. Explain how organizations can end up with a large number of lowbenefit and high-risk projects (i. e. , white elephants). 2

Activities [Discussion of selected student ‘Activities’ from previous chapter] 3

Learning Targets o Explain the leadership role in the innovation process o Describe support roles played by individuals in the innovation process o Understand a number of alternative leadership styles o Explain how to develop an innovation culture o Describe the difference between empowerment and responsibility o Discuss some of the key issues of conflict resolution o List a number of core competencies necessary for successful leadership 4

Effective Leadership is the ability to influence a team towards the achievement of common goals 5

Leadership Styles 6

Leadership Traits o o o Vision Ambition and Desire Energy Honesty and Integrity Ability Self Motivated 7

Innovation Leadership o o Vision and goal setting Developing core competencies Motivating people Nurturing ideas 8

Leadership Roles o o o Gate keeping Sponsorship Championing Project or team leading Mentoring or coaching Idea generation 9

Leadership Attributes 10

Leadership Skills o o o Listening Empowering Adapting Delivering Self-understanding 11

Leadership and Culture o o o o o Goals are understood by all. Risk taking is encouraged and accepted. New ideas are welcomed. Information exchange is open and shared. Access to new knowledge is extensive and uncontrolled. Good ideas are supported. Innovations are recognized and rewarded. People are given room to be creative. There is a choice of structure. 12

Culture at 3 M o o o A conscious effort to recruit creative, independent people with specialist knowledge to support their divisions. A company mantra of “better to ask forgiveness than permission” that encourages people to pursue ideas they believe in even if not supported by their immediate boss. A 15% rule, which allows people to devote up to 15% of their work time to innovative initiatives they think will benefit the organization. This slack gives people the opportunity to experiment with concepts and make discoveries that may have commercial potential. A goal that 30% of the company’s annual turnover must be generated from products that are less than 4 years old. This ensures that all employees understand the importance of continuously developing new products rather than resting on past successes. Active training and development of all people to maximize their contribution to organizational sustainability. 13

Conflict “the result of incompatible potential influence relationships. The process begins when one party perceives that another party has impeded, or will frustrate, one or more of its concerns. ” (Gordon, 1991) 14

Conflict Management o Creating the right climate o Facilitating discussions o Achieving closure 15

Conflict Resolution “the process begins when one party perceives that another party has impeded, or will frustrate, one or more of its concerns” 16

Negotiation Techniques BATNA (Best Alternative to a Negotiated Agreement) http: //www. batna. com/ 18

Individuals vs. Objectives 19

Summary o Explain the leadership role in the innovation process o Describe support roles played by individuals in the innovation process o Understand a number of alternative leadership styles o Explain how to develop an innovation culture o Describe the difference between empowerment and responsibility o Discuss some of the key issues of conflict resolution o List a number of core competencies necessary for successful leadership 20

Activities 21

Search Online o http: //mitworld. mit. edu/ n The Innovation Economy: How Technology Is Transforming Existing Industries and Creating New Ones (Clayton Christensen) n Leading Innovation (Daniel Vasella) 22

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