The Innovators Studio with Phil McKinney

September is National Peripheral Artery Disease Awareness month. In view of this, today's show is an edited re-broadcast of two shows from November 2017. Kym McNicholas and I interview Ra Medical founder, Dean Irwin. Dean shares his unusual path to medical innovation with some key lessons for innovators.

From TV Tubes to Thermonuclear Fusion

Dean started his journey of lifelong learning and discovery as a kid. Tinkering with old television sets led to working in a television repair shop as an early teen. He was self-taught, reading about electronics and buying test equipment with paper route money. Innate curiosity and boldness brought him to the door of Universal Voltronics at 16. That cold call opened the door to designing circuits. People came alongside. They taught Dean the corporate ropes and helped him develop his technical skills. It was here he had a chance to work with an M.I.T. group on the Alcator program. This introduction to thermonuclear fusion opened a new world for Dean.

At 17, Dean moved from the east coast to California and joined General Atomics. The physicists gave him exposure to different areas and helped him determine his strength in Applied Physics. With experience gained at General Atomics, Dean launched his first startup. He built custom designed equipment for General Atomics. He was 21. After a good run of six years, his company went bankrupt. Going through the bankruptcy was a learning experience. As Dean says, "You actually build up a tool chest to help you navigate." It gives you the "hindsight" to help "predict some of these issues before they arise."

Charting a New Path

The bankruptcy didn't stop him. He teamed up with another startup. This was the beginning of Dean's foray into medical innovation. Believe it or not, thermonuclear fusion was the groundwork for the medical innovation he spearheads today. According to Dean, the path was straight. And it was a clear link between thermonuclear fusion and designing a treatment for atherosclerotic disease. In fact, the transition from repairing televisions to working in thermonuclear fusion was no great leap. Dean has an innate curiosity. His transfer of knowledge and skills in one field to a seemingly unrelated field boils down to one question. Why not? The principles are the same with different constraints.

[shareable cite="Dean Irwin, Ra Medical CEO"]There are so many similarities in physics and in nature that you'll see the same problems solved perhaps many different ways, but with a very common thread. And that common thread can tie it all together. [/shareable]

Pushback? Persevere.

The Ra Medical excimer laser has proven itself in over 500 cases. It's used in six countries and has gained FDA approval. It's ease of use while cutting through plaque sets this product apart. Add to this the positive patient outcome and cost-efficiency.

Dean connected similarities from nuclear fusion to medical innovation. This has produced a design that is definitively outside of the box. Others said it would not work. Engineers, scientists and physicians were skeptical. Unfazed by naysayers, Dean persevered. He didn't let innovation antibodies distract him. He kept focus on the medical innovation that will impact people's lives. Breaking from the mold, he's developed a product that is truly innovative.

If you'd like to learn the latest from Ra Medical, check out Linkedin or the Ra Medical Systems website.

Are you battling innovation antibodies? Need some help with your innovation. Connect to a community of innovators who support each other through the innovation process? Join The Innovators Community.

A recent event brought back to mind a blog I posted in January 2017 on the innovation economy. A news agency reporting on a candidate running for governor referenced that blog post. The candidate's platform is the innovation economy. It seems to be gaining traction this political season. There is a drive for economic rebirth of urban areas or to reestablish the growth engine for states. This has turned eyes on the innovation economy.

Some term it the "creative economy." Gary Hamel calls it the "new economy." I refer to it as the "innovation economy." But what exactly is it? The ability of people to create, innovate, and develop ideas, products, and services that generate value. The value people place above the bill of materials is the innovation value. Done well that value elicits a margin premium, the growth engine of an innovation economy.

Turning the Downturn Around

Like the steel industry, which tanked in the 70s, a number of states in the U.S. have been facing economic downturn. Their economies relied on industries that have slowed, shrunk or halted. Politicians are seeking economic growth engines to re-energize their state and local economies. Places like Detroit are establishing programs, activities, and systems to attract creative people to relocate. They are seeking creative minds who will jump start the innovation economy with their ideas, products, and services.

There are success stories - Boulder, CO; Portland, OR; Austin, TX and Boston's Route 128. These places built an innovation economy that flourishes, creating jobs and economic growth. But it's not a quick fix. Establishing a thriving innovation economy takes long-term commitment.

Humble Beginnings to World Stage

From its beginning in a garage in Palo Alto, CA, HP became the match that started the flame. Silicon Valley became a thriving innovation economy. This sparked highly creative, rapid growth and expansion in the tech industry. Today, I can't go anywhere without seeing the effects of that, even in name. University of Illinois Urbana-Champaign has become known as the "Silicon Prairie."

The innovation economy is changing the world. Disruptions have spread across a variety of industries. Crowd sharing technologies have allowed unexpected disruption. Airbnb, the largest provider of overnight accommodation, does not own a hotel. Uber, the largest provider of passenger transport, does not own a fleet of vehicles. Brick and mortar retailers are closing as online retailers take over. The impact of the innovation economy is undeniable. Don't think any job is above that impact. One company uses chatbots and artificial agents to process and negotiate traffic tickets in court. X-rays are sent overseas for diagnostics. Like it or not, the innovation economy is here to stay. Don't let your sphere of influence sink. Get started building an innovation economy where you are.

Building the Innovation Economy in Your Sphere

So, what's a politician or anyone who cares about their livelihood, their business, the place they call home to do? Start by asking the questions:

• What are the rules by which an industry operates?
• What would totally disrupt that industry?
• What would happen if it turned on its head and completely changed?
• What is that impact? What is its unintended consequence? Or its intended consequences?

Perhaps this has already happened in your area and you are left to deal with the unintended consequences. Possibly an industry has dissolved and joblessness is an issue. Then you need to counter that by building a new, innovation economy.

Whether you foresee what may happen or are dealing with the aftermath, ask:

• What can I do to encourage a creative or innovation economy within my local area?

A good place to begin building the innovation economy is the education system. Shift the teaching model. Move toward emphasis on STEAM: Science, Technology, Engineering, Arts, Math. Students need to be prepared to compete in a new economy. Students need to know how to use technologies that have not yet been invented to solve problems that don't exist today. To do this, educators must develop their students' critical thinking skills. They must help students find and exercise their creativity. The classroom should be the incubator for teamwork, collaboration, leadership, and ideation.

Another segment of the population affected by disruption is the aging population. This is something communities and politicians should be aware of. When industries decline, older workers face a dilemma: be jobless, retrain, or retire. Left unaddressed, such concerns will put strain on the economy in areas such as social services. Make the investment now. Develop programs to prepare people for the innovation economy. The innovation economy can also bring amazing means to enrich the lives of the aging. Be attuned to the resources on the horizon that can make life better for the citizens in your community.

What's Stopping You?

Massachusetts is experiencing phenomenal growth through its innovation economy. It is a leader in economic output from the innovation sector. This takes years to cultivate. Having impact in the innovation economy comes from having prepared workers. This means education that prepares students to work in the innovation economy. In addition, it requires developing the means to attract creative talent.

The biggest barrier to an innovation economy is lack of ideas. That goes hand in hand with creativity. Creativity has been stifled in our education system. Yet, today the number one skill CEOs are looking for is creativity. Nurture creativity. And with that comes ideas. Allow those ideas to develop and translate into innovations. Innovation is ideas made real.

The innovation economy impacts us all. It is for us all. Anyone can take advantage of the innovation economy. Anyone can make their ideas real, make their innovations count, and contribute to economic growth.

I'd love to get your feedback on this show. Post your comments at Killer Innovations or wherever you get this podcast.

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Thanks for taking time out of your busy schedule to join me. If you have any comments or suggestions, drop me a note. Could I ask for a favor? Give us a rating wherever you get your podcast. Help spread the word by telling others about the show. This episode of Killer Innovations was produced by The Innovators Network.

In a recent show, I talked about setting innovation objectives. Listeners wrote in asking for details on how to include innovation in the objective setting process. So, in this week's show I share the steps to setting innovation objectives. Done well, innovation objectives can result in exponential success for your organization.

The purpose for setting objectives is to gain alignment in the organization. Innovation success depends on getting everyone in the boat and rowing in the same direction. When you incorporate innovation objectives into individual, team, and organizational objectives, you gain alignment. This will be evident around the innovation focus, funnel, and strategy.

Missteps

Setting innovation objectives is hard work. Over the years, my approach has changed. In my days leading teams at HP, objectives did not provide clear guidance leaving engineers to figure things out. When objectives are vague, people wonder whether what they're doing aligns with the organization.

Other issues arise when objectives are…

• Too task-oriented leaving no room for creativity.
• Too rigid, locked in concrete until annual performance reviews.
• Too broad or include too many things creating a fog.
• Measurable, hence tied to performance review and annual budget cycles.

Getting it Right

To help with setting innovation objectives, I've come to believe in OKRs (Objectives and Key Results). Andy Grove, co-founder of Intel, defined this objective setting process. Many major companies are using OKRs today. I use a simplified version of OKRs. Think of the objective as the vision or goal line. It's where you want to go. The key results are the measurable steps to get you there. When the objectives are clear and the key results align, the outcome is inspiring. People see a successful and meaningful impact in their efforts.

To begin, I set the objective with two to five key results. It can be set for one year to five years. Key results are laid out in a six-month rolling process. Every six months, a key result is met and the next key result begins.

Alignment and autonomy are the overarching goals. Get the entire organization aligned. Give employees the goal and allow them to use their creativity to achieve it. Provide the direction and measurement of success. Leave the 'how' to them.

Advice on Setting Objectives

• Take time to set objectives.
  • I spend hundreds of hours, write and rewrite, and get feedback from others.
• Make sure there is clarity.
  • Wording is important.
  • Clarity is key to getting alignment.
• Be transparent.
  • Share objectives with others.
• Avoid too many objectives.
  • Three to five objectives with two to five key results for each.

• Objectives should be adaptable.
  • Change the objective based on learning.
• Objectives should be specific.

Good Innovation Objectives

A basic element of good innovation objectives is a framework. I use the FIRE framework. FIRE stands for Focus, Ideation, Ranking, Execution. I've done many blogs and shows over the past fourteen years on FIRE. It's also laid out in my book, Beyond the Obvious.

Below I describe the FIRE framework and give examples of using it to develop innovation objectives.

1. Focus.
   • Focusing the search for areas of innovation.
   • Three focus areas are "who", "what", "how".
     • Example of "who":
       • What could be the focus over the next six months to learn more about who your customer is?
     • Example of "what":
       • What focus areas should you set for your products or services.
     • Example of "how":
       • Focus on how you operate, how you innovate your team/organization to be better than the competition.
   • The objective is to expand your search for areas of innovation.
   • The Key Result would be the steps that need to be taken to do the search.
   • Another objective could be relooking at old ideas.
2. Ideation.
   • This is the generating of ideas. "The fuel for innovation."
   • Hundreds of ways to generate ideas (Thinkertoys, brainstorming)
   • Determine which tools work for your organization.
   • An objective could be "experiment with different approaches to creating ideas."
   • Another objective could be "deploy an Idea Management System" (IMS).
3. Ranking.
   • Fills your innovation funnel.
   • Score ideas and work on highest scored ideas first.
   • Examples of objectives around ranking:
     • Testing the scoring method
     • Determine if ranking approach draws out truly high-quality ideas.
     • Ensure the funnel is full of high quality ideas.
     • Re-score ideas in the IMS that are not in the funnel.
     • Search for external high-quality ideas.
4. Execution.
   • Examples of objectives:
     • How many ideas are there in each phase of execution?
       • How many in market validation, customer validation, prototype, commercial launch?
     • How many proof of concepts working on or have shown.
     • Measure the end result of innovations that shipped. What was the impact?
     • Track your kill rate. How many ideas in each phase don't make it to the next phase?

Things to Keep in Mind

• I keep a rolling 12 months of objectives and key results, broken up into 6-month increments. Work on and complete key results in first six months, but have second set ready for the next six months.
• Look back and assess which objectives and key results worked and which ones didn't. Adjust accordingly.
• Test objectives after a while to see if they contribute to the long-term success and impact of the overall objective.
• Share and learn from others. Find out how others set objectives. A great way to share and learn from other innovators is The Innovators Community, our online Slack community. Join to share and get coaching and advice from the community of innovators.

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Five Minutes to New Ideas is now available as a standalone show. It's designed for the creative mind looking for that next great idea. Listen on Apple iTunes, Spotify or at PhilMckinney.com.

A key mission for an innovation leader is to motivate, support, and help your teams learn good innovation habits.  This should occur daily with each interaction. Modeling leadership habits and exhibiting leadership skills inspires employees to become leaders.  In today’s show, I share six questions I ask my employees. These questions encourage good habits and sharpen innovation leadership skills within my organization.

I weave the questions into one on one meetings with my direct staff and skip levels (those who report to my direct staff).  The questions reflect an innovation culture that is essential to success. Another element of refining the innovation culture is organizational objectives.  This year, my organization is redefining objectives. Using the objectives and key results framework (OKRs), focus is on the long-range vision.  This promotes thinking long term rather than on annual goals that tie to budget, pay raises, and bonuses.  To build a high impact innovation organization, you need to instill good leadership skills and habits in line with long-range goals.  So, here are the six questions that can help move your organization in that direction.

Six Questions to Ask Your Employees

1. What went well since we last met?  

Once you ask the question, sit back and listen.  Give employees the opportunity to relate their successes and share….

* What their priorities were.

* Where they made good progress.

* Who played a key role in that success.

* Who helped, even outside the team/department.

* What's next.

Offer sincere support and appreciation.  Stay in the loop on where they're heading.  Provide coaching and mentoring. Reinforce that innovation is a team sport.  Help them get into the habit of giving credit to others who’ve contributed to the team’s success.  Giving credit to others is vital to good innovation leadership skills.

2. What went wrong and what did you learn from it?

We will always have things that go wrong, mistakes that happen.  Nothing is completely in our control.  The key is to put it on the table. Don’t hide it when things go off course.  Encourage employees to share what went wrong and what they’ve learned.

The benefits of doing this…

* Others in the organization can learn how to avoid the same or similar pitfalls.  

* They’re in good company.  Good innovation teams tend to have an 80 to 90% failure rate.  

* It’s liberating for the organization if leaders are willing to share their mistakes or failures.  

* It shows support for experimentation.

3. What did you find that was broken or could be improved?  What did you do to fix or improve it?

This gives people permission to go fix things.  IF YOU SEE IT, FIX IT.

What employees learn from this:

* We are all in this together.    

* Don’t find something wrong, then point to someone else to fix it.

* Silos and turf should not exist.  If you can fix it, don’t worry that it’s not in your department.

4. What did you do to help create a motivating environment?  Who did you catch doing something right?

When someone pitches an innovation idea, what is the reaction?    In our organization, we give out gift cards to recognize employees’ efforts and good innovation habits.  

To create a motivating environment…

* Be an active listener.

* Be approachable.

*

A key mission for an innovation leader is to motivate, support, and help your teams learn good innovation habits. This should occur daily with each interaction. Modeling leadership habits and exhibiting leadership skills inspires employees to become leaders. In today's show, I share six questions I ask my employees. These questions encourage good habits and sharpen innovation leadership skills within my organization.

I weave the questions into one on one meetings with my direct staff and skip levels (those who report to my direct staff). The questions reflect an innovation culture that is essential to success. Another element of refining the innovation culture is organizational objectives. This year, my organization is redefining objectives. Using the objectives and key results framework (OKRs), focus is on the long-range vision. This promotes thinking long term rather than on annual goals that tie to budget, pay raises, and bonuses. To build a high impact innovation organization, you need to instill good leadership skills and habits in line with long-range goals. So, here are the six questions that can help move your organization in that direction.

Six Questions to Ask Your Employees

1. What went well since we last met?

Once you ask the question, sit back and listen. Give employees the opportunity to relate their successes and share….

• What their priorities were.
• Where they made good progress.
• Who played a key role in that success.
• Who helped, even outside the team/department.
• What's next.

Offer sincere support and appreciation. Stay in the loop on where they're heading. Provide coaching and mentoring. Reinforce that innovation is a team sport. Help them get into the habit of giving credit to others who've contributed to the team's success. Giving credit to others is vital to good innovation leadership skills.

2. What went wrong and what did you learn from it?

We will always have things that go wrong, mistakes that happen. Nothing is completely in our control. The key is to put it on the table. Don't hide it when things go off course. Encourage employees to share what went wrong and what they've learned.

The benefits of doing this…

• Others in the organization can learn how to avoid the same or similar pitfalls.
• They're in good company. Good innovation teams tend to have an 80 to 90% failure rate.
• It's liberating for the organization if leaders are willing to share their mistakes or failures.
• It shows support for experimentation.

3. What did you find that was broken or could be improved? What did you do to fix or improve it?

This gives people permission to go fix things. IF YOU SEE IT, FIX IT.

What employees learn from this:

• We are all in this together.
• Don't find something wrong, then point to someone else to fix it.
• Silos and turf should not exist. If you can fix it, don't worry that it's not in your department.

4. What did you do to help create a motivating environment? Who did you catch doing something right?

When someone pitches an innovation idea, what is the reaction? In our organization, we give out gift cards to recognize employees' efforts and good innovation habits.

To create a motivating environment…

• Be an active listener.
• Be approachable.
• Recognize your people.
• Give encouragement.

Good leaders find people who are doing right. Then they reinforce it by acknowledging it publicly. This shows others what habits and actions to strive for in their team and organization.

5. What roadblocks are you facing that I could help clear for you and your team?

As a leader, your job is to be the filter, sifting out things that hinder team productivity. Roadblocks can be anything from issues with purchasing to a cumbersome process for expense reporting. Nothing is too insignificant. If there is an admin issue they've tried to resolve, but can't, you as the leader should step in. Leaders should remove the barriers so that their teams can stay focused on what's important. Don't let sand get in the gears and slow things down. The pace of innovations is accelerating. We have to find ways to drive productivity and efficiency.

6. What else would you like to talk about?

This open-ended question allows your employees to share something that might be weighing on their mind. It gives you the opportunity to see where you could make a difference. One of my organization's core values is "candor with respect." This gives employees confidence to be honest and transparent free from concern about negative reactions. Protect confidentiality so employees feel they can open up. I've had employees present challenges in their personal lives. In some cases, I've been able to help. The results have improved employee morale and generated positive change for the organization.

I hope these questions will help you inspire innovation leadership skills in your sphere of influence.

Want to share your experiences and learn from others in the innovation world? Join The Innovators Community.

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Five Minutes to New Ideas is now available as a standalone show. It's designed for the creative mind looking for that next great idea. Listen on Apple iTunes, Spotify or at PhilMckinney.com.

A common question I get from listeners is how to fight against the roadblocks and barriers to innovation. In this week's show, I address five of the biggest barriers to innovation. The list is based on the 2018 Innovation Leader study done in partnership with KPMG. The study surveyed Chief Innovation Officers in organizations ranging from small to large. As many of you have let me know, these barriers resonate with you. As we walk through the list, I will share my thoughts on each of these barriers to innovation.

The Roadblocks and Speed Bumps

First, here's the list of barriers to innovation and how they rank among Chief Innovation Officers surveyed.

1. Politics, turf wars, no alignment. 55% of innovation leaders say this is the #1 issue.
2. Cultural issues. 45% claim this as the #2 barrier to innovation.
3. Inability to act on signals. 41% placed this at #3.
4. Lack of budget. 40% of innovation leaders found this to be the #4 obstacle.
5. Lack of strategy, lack of vision. 35% put this at #5.

Let's take a closer look at these and what I would do to get around these barriers to innovation.

Number One: Politics, Turf Wars, No Alignment

There are many manifestations of politics be it people vying for credit or the corporate antibody. Politics can be a big challenge especially in large organizations. The higher people rise within an organization, the more risk averse and defensive they tend to become.

Turf wars can erupt when "innovation" is used in a team name or a position title. The innovation team creates an innovation for a product group. The product group team gives it an icy reception. It's an invasion of their turf.

No alignment occurs when people within the organization are going in different directions. Leaders announce the need for innovation fast, but give no guidance. There's no alignment of the activities or the overall organizational vision. This is a lack of leadership.

Here are ways to bring down these barriers:

Politics

• Don't worry about getting credit. It's about the impact to the organization. Good leadership will recognize where the credit is due.
• Don't use the word "innovation" in a team name or job title. Innovation is not the realm of a single team. It should permeate the organization.

Turf Wars

• Don't innovate in isolation. Open up opportunities for innovation across the organization. Think ecosystem.

No alignment

• Have focus up front and communicate that focus to your organization. When you define the where and what, you get maximum leverage. Quantity and quality of ideas will increase.

Number Two: Culture

Some of the underlying issues I've seen with culture are fear of failure and unwillingness to experiment. If these are concerns, a work around is to go stealth with your innovation.

But, if you really want to fix the problem…

• Identify core values that encourage innovation.
• Include the core values in employees' performance reviews.

Number Three: Inability to Act on Signals

The inability to act on signals signifies inflexibility within the organization. Maybe you see a new opportunity or risk on the horizon but all resources are committed until the next budget cycle. Or maybe you do not have a mechanism in place to identify weak signals.

The key to breaking this barrier to innovation:

• Identify weak signals.
• Be willing to change.
• Have the flexibility to change.

Number Four: Lack of Budget

Budget is a challenge for innovation because budget cycles tend to be annual, but innovation does not follow an annual cycle. Budget does not support or align with innovation. It creates a start-stop interference to innovation programs. I've been experimenting with trended spending in my organization. It gives innovation teams flexibility to adjust funding and confidence funds will be there when needed.

The Rule of 18 also comes into play as a barrier. It is the length of time senior leaders are willing to commit to a project before they expect to see some form of impact. If the innovation project does not show impact within 18 months, it's likely to be axed.

My advice for budget related barriers to innovation:

• Chunk down your projects to show impact and deliverables on an 18-month cycle.
• CEOs and Chief Innovation Officers: make a multi-year commitment and stick with it.
• Don't underspend. Budget is not the metric in innovation.

Number Five: Lack of Vision, Lack of Strategy

If an organization's overall vision does not include the innovation vision and strategy, it's unlikely innovations will succeed.

My advice:

• Define an innovation vision and innovation strategy.
• Need help with this? There's a lot of good material available. Drop me an email and I will point you to some sources.

If you've got a specific example or you're struggling with an innovation issue, drop me an email.

Better yet, join us at The Innovators Community, a private slack community of leading innovators from around the world. Post your questions or direct message for advice and feedback.

Five Minutes to New Ideas is now available as a standalone show. It's designed for the creative mind looking for that next great idea. Listen on Apple iTunes, Spotify or at PhilMckinney.com.

Success in the innovation game requires strong innovation leadership. But there is confusion about what defines leadership. To understand leadership, we need to boil it down to the essence – what it is and what it isn't. We need to identify a key leadership skill and determine how this skill can elicit success. There are leaders who stand out in my mind. They have had an effect on me through my career and life. They have one common leadership skill: influence.

What It's Not

I've had the title of Chief Technology Officer at HP. Now I have the title of CEO leading 200 bright and motivated people. But a title does not make a leader. Some may think leadership is directing people in what to do. It's assigning tasks, then watching from on high while others do the work. That is not leadership. There are those who confuse leadership with micromanagement. They expect their managers to clear every decision with them before they make it. That is not leadership. How do you distinguish true leaders from managers, supervisors or those who just have control?

Essence of Leadership

Leadership is about inspiring others. It's about motivating others to achieve success beyond what they could've ever imagined. One leader who's inspired me is Bob Davis. He hired me in my first real job and became my mentor. He modeled leadership and I was drawn to the projects and teams he led. When I considered what made Bob different from others in management, it came down to leadership skills. His skills in leadership led to success. What made him stand out was his ability to influence.

Innovation Leadership

Leadership isn't just for managers. It's essential to any team. You need leadership skills when you are a team contributor, self-leading, and when there is no clear person in charge. That is why leadership is crucial in innovation. Innovation leadership drives innovation from ideas on a whiteboard or in a notebook to something mind-blowing. How do you hone the skills of innovation leadership? Let's examine one key skill.

The Key

Influence is the key skill in innovation leadership.

Two definitions of influence are

1. The power to cause change without forcing the change to happen.
   • Not making the change happen.
   • Not doing the task.
   • Not giving the answer.
2. A person who affects someone in an important way.
   • Someone you admire who has inspired you.
   • Someone whose behavior you want to model.
   • Could be your spouse, an old boss, a teacher, a professor, a friend.

Attributes of Influence

There are three attributes of influence that leaders have.

1. Knowledge
   • Experience – successful work in the past that is the same or similar to the work at hand.
   • Expertise – relevant training (such as college) or working for an expert in the field.
2. Credibility
   • Past actions – how the leader achieved success and handled failure.
   • Thinking beyond self – working for the larger, mutually beneficial goal.
   • Follow through – leaders do what they say they're going to do
3. Integrity
   • The core set of values that guide what one does.
   • Projected through actions.
   • Core values include
     • Honesty and truthfulness
     • Win-win always
     • Transparency
     • Team first

How to Influence for Success

Influence is core to innovation leadership. Those who have the ability to elicit positive change have mastered the skill of influence. How can you influence others? It's a non-obvious answer. The most powerful influence you can have is often not trying to influence.

How to exert influence without authority?

Step One: Understand those you want to influence.

• Learn their motivations, objectives, dreams, fears and desires.
• Craft a win-win. Achieve what you want to achieve while supporting and enabling those you want to influence to reach their objectives.

Step Two: Active listening.

• Shut up and listen.
• Let others feel they are part of the conversation, that they're contributing.

Step Three: Ask questions.

• Well thought out questions that do not convey an agenda or define a target
• Questions that prompt conversation and allow others to share their opinions, thoughts, experience and expertise.

Innovation needs innovation leadership and influence is the key to success.

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Five Minutes to New Ideas is now available as a standalone show. It's designed for the creative mind looking for that next great idea. Listen on Apple iTunes, Spotify or at PhilMckinney.com.

Today’s show is unique.  I recorded it as I drove back to Denver from an annual event in Keystone, Colorado.  The event centers around what’s coming in the next three to eight years in technology and innovation.  So, sit back and enjoy the ride as I share my thoughts on innovation and the near future.

Pondering AI and Ethics

I delivered two keynotes at the event.  During one, I got a question about Artificial Intelligence.  To be specific, did I agree or disagree with what other tech leaders were saying about AI.  This prompted a lively talk during the keynote and afterwards. The discourse kept me mulling over thoughts on innovation, AI and the future.

We’ve featured some shows this year that touch on the use of AI.  Recently, the Box Chief Product Officer shared how Box is using AI for content management.  Earlier in the year, Microsoft’s Corporate VP for AI, Steve Guggenheimer, gave insight into applying AI for innovative solutions.  

Yet, some have negative views on AI and where it could lead.  They preach a doomsday message – job losses, robots taking over.   Where am I in this spectrum? In my response to the question, one of my points was to consider ethical innovation.  The innovation doesn’t matter. People can innovate for good or evil. What we need to think about is how we define ethical innovation.  Are there innovations that should not be made for ethical reasons?  And we must consider the unintended consequences of innovations.

I don’t have all the answers.  But the conversation should continue.  Innovators must ponder, discuss, and debate the ethics.  I’m interested in your thoughts on ethical innovation. Hop on over to Killer Innovations, look at the show notes, and post your comments.  Let’s raise the visibility. If we in the innovation game don’t address this now, there could be greater issues and dire effects in the future.

Keeping up with the Pace of Innovation

Continuing my thoughts on innovation is another topic.  The pace of innovation and absorption. As the pace of innovation increases, it impacts industries.  It especially affects those dependent on ecosystems. The window to develop innovation, bring it to market and get a return on investment is short.  As the cycle concludes, the next round of innovation pushes forward. Customers can’t always keep up with the pace. Absorption becomes an issue.

How do you synchronize it?  How do you mesh the creation of innovation with the customers’ ability to implement? And is it worth it to the customer to keep up with the constant influx of innovations?

The Near Future

One of the highlights of the event is the premiere of the latest in the vision video series The Near Future.  We’ve been doing this since 2016 at CableLabs.  I’ve worked on vision videos most of my career. During my tenure at HP, I made a series of six vision videos.  One influential video was Roku Reward – The Future of AR Gaming produced in 2006.  It became a popular pitch lead in for entrepreneurs.  The video predates iTunes, connectivity, and mobile apps.  It’s a precursor to the now popular Pokémon Go. At the time Roku Reward was made, we were anticipating this technology would arrive within eight years.  It actually took ten,

Today's show is unique. I recorded it as I drove back to Denver from an annual event in Keystone, Colorado. The event centers around what's coming in the next three to eight years in technology and innovation. So, sit back and enjoy the ride as I share my thoughts on innovation and the near future.

Pondering AI and Ethics

I delivered two keynotes at the event. During one, I got a question about Artificial Intelligence. To be specific, did I agree or disagree with what other tech leaders were saying about AI. This prompted a lively talk during the keynote and afterwards. The discourse kept me mulling over thoughts on innovation, AI and the future.

We've featured some shows this year that touch on the use of AI. Recently, the Box Chief Product Officer shared how Box is using AI for content management. Earlier in the year, Microsoft's Corporate VP for AI, Steve Guggenheimer, gave insight into applying AI for innovative solutions.

Yet, some have negative views on AI and where it could lead. They preach a doomsday message - job losses, robots taking over. Where am I in this spectrum? In my response to the question, one of my points was to consider ethical innovation. The innovation doesn't matter. People can innovate for good or evil. What we need to think about is how we define ethical innovation. Are there innovations that should not be made for ethical reasons? And we must consider the unintended consequences of innovations.

I don't have all the answers. But the conversation should continue. Innovators must ponder, discuss, and debate the ethics. I'm interested in your thoughts on ethical innovation. Hop on over to Killer Innovations, look at the show notes, and post your comments. Let's raise the visibility. If we in the innovation game don't address this now, there could be greater issues and dire effects in the future.

Keeping up with the Pace of Innovation

Continuing my thoughts on innovation is another topic. The pace of innovation and absorption. As the pace of innovation increases, it impacts industries. It especially affects those dependent on ecosystems. The window to develop innovation, bring it to market and get a return on investment is short. As the cycle concludes, the next round of innovation pushes forward. Customers can't always keep up with the pace. Absorption becomes an issue.

How do you synchronize it? How do you mesh the creation of innovation with the customers' ability to implement? And is it worth it to the customer to keep up with the constant influx of innovations?

The Near Future

One of the highlights of the event is the premiere of the latest in the vision video series The Near Future. We've been doing this since 2016 at CableLabs. I've worked on vision videos most of my career. During my tenure at HP, I made a series of six vision videos. One influential video was Roku Reward – The Future of AR Gaming produced in 2006. It became a popular pitch lead in for entrepreneurs. The video predates iTunes, connectivity, and mobile apps. It's a precursor to the now popular Pokémon Go. At the time Roku Reward was made, we were anticipating this technology would arrive within eight years. It actually took ten, but the vision was there.

The intent of The Near Future series is to create a visual on innovations in everyday life three to eight years out. The 2016 film, called The Near Future: Bring It On, opens up a window into what the future looks like in a home with ultra-high-speed bandwidth. In 2017, the video The Near Future: A Better Place, featured Rance Howard, actor and father of director Ron Howard. This video gives a glimpse of the future for older adults. It shows how innovation can enable independent living, mobility and immediate access to healthcare.

Last week we premiered The Near Future: Ready for Anything. It takes a look at education of the future. From a virtual chemistry lab to connecting students globally, see how the next generation will learn in the near future.

Vision videos are a great way to tell your product's story. If you'd like to do a vision video, reach out. I could give advice, guidance, and make introductions to help bring your story to life.

Thanks for joining me as I share my thoughts on innovation. I would love to get your comments on any of the topics mentioned and start the dialogue. Leave your comments after the show notes at Killer Innovations.

Want to discuss these and other innovation issues with your fellow innovators? Join The Innovators Community.

Five Minutes to New Ideas

Price is king. Build 'em cheap stack 'em high. It's practically the motto for most segments of the tech industry. It's a core assumption about what the majority of customers want. But that assumption is not always true. Take the sales of the HP DreamScreen in India, for example. Value sometimes outweighs price in a customer's decision. If the value the product brings to lives justifies the cost, they will go to the ends of the earth to find a way to make that purchase. Price and value are not the same thing. Listen to Five Minutes to New Ideas for more on customer perceptions and innovative ways to bring value at the right price.

Often when we think about innovation, it's high tech or a game changing breakthrough. Today, we look at innovation through a different set of glasses. Rather than innovating a product or service, "costovation" innovates on the business model. Stephen Wunker talks about innovating behind the scenes, creating customer value through cost innovation.

New Markets Advisors founder and managing director, Stephen has had a successful and varied career. From innovation consultant to leading innovator developing the first smartphone, he's come full circle. Back in consulting, he's worked with Harvard professor and innovation great Clayton Christensen for many years. (If you've never read Clayton's books, they're a must.) Stephen has co-authored Costovation: Innovation that Gives Your Customers Exactly What They Want—and Nothing More. His book opens up a new way of thinking about innovation.

What is Costovation?

If you're like me, the initial thought on cost innovation may be that it's just cutting costs and going down market. But Stephen demonstrates that it's much more and the result is not a cheap offering. It's not about delivering an inexpensive product or service that is less than adequate. Costovation is finding the "opportunity in the guts of the business". Then, delivering customer value while minimizing costs.

Cost innovation on the overall business model can create immediate profits or make products more affordable.

The Importance of Costovation

While the U.S. economy has experienced a long recession-free streak, it would be foolhardy not to plan for a downturn. Furthermore, median incomes are flat and many people are not growing with the economy. There is a market for people who deserve value. They can't afford the top of the line and don't need all the bells and whistles. The focus in costovation is to delight the customer with what they need at a price point they can afford.

Costovation Success Stories

Costovation is stocked with success stories. Stephen's book gives many examples from a spectrum of industries. BMW's re-release of the Mini Cooper is one example. BMW turned around the generally low profit market of small cars. The Mini is low-cost to produce. Yet, BMW found a way to a market premium. They offer post production detail options to customize the Mini. Their cost innovations have succeeded in creating customer value. The Mini is well built and a market success.

Another example is the electric toothbrush company quip. By selling customer direct and using their own brand name, quip offers an electric toothbrush at much lower cost.

How to Costovate

The three common steps to cost innovation are

1. Get a breakthrough perspective.

• Step back from industry
• Critically look at long held industry assumptions
• Take a fresh look

1. Have a relentless focus
2. • Know the customer
   • Know what the customer wants
   • Look at all aspects of the business
   • How to reach the customer
   • The service
   • The experience
3. Blur the boundaries

Through cost innovation, you can unlock new markets and deliver customer value for less.

For more on costovation, read Costovation: Innovation that Gives Your Customers Exactly What They Want—and Nothing More. You can also read Stephen's articles in Harvard Business Review and other publications.

To keep up with what Stephen's working on, visit the New Markets Advisors blog, join him on Twitter @costovation, or visit the New Markets Advisors website.

Five Minutes to New Ideas

It's not enough to know what your customer needs and wants. Dig deeper. You need to understand the internal philosophy of what the customer's doing and why. If you don't, your product may miss the mark.

This week's Five Minutes to New Ideas challenges you to ask the questions that will reveal a deeper understanding of your customer.

If you know someone that you think would be a great guest on the show, drop me a note. I would love to give people the spotlight who are doing interesting things, thinking about things in a different way and transforming their business, their community, their lives through innovation and creativity.

Check out The Innovators Network, the producer of this show and others. Kym McNicholas's show, "Kym on Innovation", is over there. Kym has been on my show many times. She's an Emmy Award winning Forbes reporter living in Silicon Valley.