Value Designing - Building Your Innovation & Ecosystem Intelligence

Focusing on the Learning Components of the Composable Innovation Framework

Within the Composable Innovation Enterprise Framework lies the core, the different innovation stacks, and the learning components. Here, I want to briefly talk about the importance of the learning components that support the innovation design and especially the different innovation stacks.

The elements of the innovation stack are designed to support innovation’s core tasks, including learning, absorbing, assessing knowledge management, creativity, design, experimentation, and testing. By modularizing these tasks and their interfaces, organizations can assess their innovation progress by having a complete innovation system available to them, designed on specific stack elements to address knowledge operation requirements in the stage of development to commercialization.

The Innovation Stacks are ready to support different steps in the innovation engagement process

Additionally, with the upgrade in technology and platform approach, we can support the rapidly emerging human-AI collaboration needed for each building block and component and provide a step-by-step validation.

Yet it is the sequence of how we learn that becomes vital to “feed” and build the innovation stacks.

Reducing today’s Volatility with Innovation Ecosystem Thinking and Design

Innovation ecosystem thinking and design, our growing need

Much of business today is caught up in managing short-term change that is growing in complexity and challenges.

So the challenges in the past year have been highly focused on supply chain disruptions, plugging gaps in technology solutions that can provide a higher flexible, agile, and advanced planning and production environment and continue to keep moving towards securing a more sustainable future that reflects the need to become carbon neutral, net zero.

Yet disruption is increasing; we are in a volatile world of constant change.

Today’s systems are highly stretched and have been designed and built for a steady, repeating business, the era of yesterday. Flexibility, agility, and adaptability have yet to be addressed sufficiently in design or mind shifts for our present and future operations to provide a different, more agile operating environment. Consistently has been the norm, whereas today it reacts to constant change coming from multiple, often unpredictable situations.

We need to change how we operate.

The building out of the Composable Innovation Enterprise Framework.

During May and June 2023, I worked through and concluded my thinking on why we needed to change our Innovation approach from far to often a linear one, and consider a new, more up-to-date, and dynamic solution for managing innovation, one that recognises the non-linear nature of so much of our undertakings today in innovation, from discovery to commercialisation.

I have called this the Composable Innovation Enterprise Framework– here is why and what went into this proposal that I feel should be adopted for managing innovation in the future.

As the investigation, validation, and viewpoints were built up over several posts, I felt summarising the series here gives you the appetite to delve into the posts themselves.

We need to shift our innovative thinking from static to dynamic.

We have been in very static, traditional approaches to innovation, very segmented and often insular, and as so often happens in innovation, it has complexities that seemingly grow and multiple changes, partly from what we discover in the development of new solutions but partly from far more rapid changes in the business landscape and our current innovation process often breaks down and limits the ability to manage this across the whole development to delivery lifecycle.

We need systems and processes that are flexible, adaptable, and can enable continuous improvements but are fully connected, transparent, and integrated across the entire business. We need to approach innovation differently through connected agility, have speed and automation more central, and provide roles for a great diverse set of participants.

A system that encourages forming strategic alliances, partnerships, and knowledge sharing to drive innovation and create shared value in open, thoughtful, and collaborative ways. This is where technology enables these connections and triggers different thinking in the quest for moving toward more extraordinary valuable solutions—the “connected” value of behaviours thinking ecosystems and operating on collaborative platforms.

Unlocking New Innovation Value through Collaborations

I believe that innovation ecosystems transform how we approach and manage innovation. The value is in developing them out and here is why

By embracing the power of ecosystems, we can tap into the collective intelligence and resources of diverse partners, leading to breakthrough solutions and sustained growth. This document will explore the key aspects of innovation ecosystems and their value proposition.

Opening up our thinking toward ecosystems has a powerful effect: As we shift our mindset to embrace ecosystems, we experience a profound shift in our perspectives. Engaging different partners fosters emergent thinking and evolves our approach to managing relationships within these ecosystems.
Increased interactions and tightly controlled activities drive synergies: Ecosystem designs require enhanced interactions within the community. Activities within the ecosystem need to be tightly controlled to unlock the synergistic effects. Effective relationship management becomes crucial in driving innovation and adapting to the evolving ecosystem concept.
Agility and strong orchestration are essential for new business models: Ecosystems that give rise to new business models require a high capacity for agility within participating organizations. The dynamics of these ecosystems stretch internal capabilities and competencies. A strong orchestrator is needed to manage the challenges and cultural biases that can hinder progress.
Aligning partners based on needs rather than organizational priorities: Aligning partners within an ecosystem is different from aligning them solely to one organization’s needs. In the past, we adapted to the requirements of dominant organizations. In an ecosystem, partners align based on the platform’s needs, requiring a shift in perspective and a collaborative approach.
Nurturing the health of the ecosystem: The health of an ecosystem depends on three fundamental aspects: a. Recognizing the value each participant brings to the ecosystem, even if their values differ. b. Achieving critical mass within the ecosystem enhances robustness and maximizes combined effects. c. Fostering continuous performance and improvement through joint learning, leading to optimization effects and increased relevance.
Assessing partners’ capabilities and managing strategic questions: Assessing partners’ ability to deliver their commitments is crucial, as it is often an unknown factor. Strategic questions need to be addressed, such as measuring the offering’s value within the ecosystem, understanding dependencies, managing risk, and estimating the timing for adoption.
The value of collaboration in tackling complex challenges: Innovation ecosystems offer significant benefits when addressing complex challenges that no single organization can solve alone. By fostering collaboration, knowledge exchange, and discovery, these ecosystems enable the development of innovative solutions that leverage diverse expertise.
The power of digital platforms and ecosystem design: Digital platforms play a central role in enabling collaborative environments within innovation ecosystems. Ecosystem design relies on building networks and relationships around valuable focal points, allowing for continuous interactions, knowledge sharing, and co-creation.
Benefits of innovation ecosystems: Participating in innovation ecosystems offers several advantages, including a. Access to a broader range of resources and expertise. b. Increased collaborations and co-creation opportunities. c. Scalability and speed in innovation efforts. d. Flexibility and adaptability in response to market changes. e. Potential for sustainability and social impact.

Conclusion:

Innovation ecosystems provide a powerful framework for driving collaborative innovation and unlocking new value. By embracing these ecosystems, organizations can tap into the collective intelligence, resources, and diverse perspectives necessary to tackle complex challenges, achieve sustainable growth, and make a lasting impact.

Through digital platforms and strategic partnerships, we can shape the future of innovation and create a more connected and prosperous world.

The benefits of participating in cross-sector innovation ecosystems

I can remember getting completely “hooked” on Business Ecosystems by a series from Deliottes and one specific report, introduced and coordinated by Eamonn Kelley, with many contributors including Kelly Machese, Anna Muoio, John Hagel, and Larry Keeley. It was called “Business ecosystems come of age” and maybe it did not change my life, but it gave it a clearer focus- innovation ecosystems. Take a read, it is well worth it, its value then, 2015 has only matured in my mind.

I was also looking at another great piece by Deloitte on tapping into the Silicon Valley innovation ecosystem under a report called “How to Innovate the Silicon Valley Way” that came out in 2016. Another great motivation for focusing on innovation ecosystems.

One question asked in the Silicon Valley piece was “Why should enterprises give up transactional approaches in favor of dynamic, ecosystem-led innovation?

Today I would reverse that question “Why would any company still be locked into transactional approaches only functioning on its own resources?”

Today the struggle is to deal with increasing complexity, undoing the “knot” of difficult challenges and these cannot be undone or solved without collaborations outside one organization’s walls. We need to push this even further and totally accept that the hardest but best collaborations come from being involved in cross-industry or sector innovation systems.

Visualizing the Composable Innovation Enterprise Framework

The design concept of the Composable Innovation Enterprise Framework

After a series of posts introducing and explaining the thinking and design behind the Composable Innovation Enterprise Framework, I thought it would be a good idea to put this into a sequence of visuals that should take you through this to provide a decent understanding of its make-up and logic.

Organizations in today’s business environment need to adapt rapidly and dynamically, have the need to bring the innovation management process into a constant technological advancement, and be more tailored in its design by their own specific needs and not “offered” as a rigid set of solutions. We need to embrace a significant change in the way we “set about” innovation.

If you are interested in reading more in the series I have been posting then here are the links in the order of posting.

The importance here is recognizing the shift in mindset and thinking towards a Building Block approach to build up the Innovation Stacks. Each stack “sits” on a technology platform. Thinking through what this means requires understanding, relating, and putting a clear context of innovation, what you want to achieve, and how to set about this.

The planning out of this Composable Innovation Enterprise Framework

As I mentioned in a previous post, for any innovation enterprise change, I do not recommend a “big bang” solution; it should be phased to validate and grow to understand, build up validation, justify making the changes, bedding in the thinking needed and approaches to provide the level of returns and the growing understanding of cost/ benefit conversion.

The potential returns, including increased agility, improved innovation outcomes, enhanced collaboration, and long-term competitiveness, make this radical change worthwhile for organizations aspiring to thrive in today’s dynamic business environment. The ability to build the context and show its (ongoing) value makes the difference. You need a systematic approach and project staging plan.

The implementation of the Composable Innovation Enterprise Framework.

Planing out the Composable Innovation Enterprise framework, unlocking its power

How difficult would it be to embrace this Composable Innovation Enterprise Framework, as it is often argued that most people want to keep innovation management and its process simple? I wonder if that is the current incumbents, be these current innovation management software providers or individuals inside the organizations resisting change, as it brings significant uncertainty of change and disruption to the (inadequate) process, one that I feel is not fit for today’s and tomorrow’s innovation purpose.

So how to set about making this change and who should be involved as it is a more radical design of a holistic nature is what I am outlining in this post and the next one focuses more on the project organization needed.

Organizations in today’s business environment need to adapt rapidly and dynamically, the need to bring the innovation management process into a constant technological advancement, and more designed by their own specific needs and not “offered” as a rigid set of solutions. We need to embrace a significant change in the way we “set about” innovation.

It needs increased agility and looks to have innovation consistently redesigned to meet different challenges and needs. It needs a better set of flexible design elements and system thinking to gain from reuse and redesign rapidly. I like the term I saw the other day “systems of gravity” to get tasks completed faster than what is being offered today in innovating software solutions.

The need is to set about building a compelling business case to make the move to embrace this (radical) design change and its potential value in returns and flexibility. I want to begin to sketch out the pathway of change this might need. It will be hard work, but doing this in stages gives growing understanding and value, and I believe ultimately rewarding.

We cannot afford not to avoid changing our innovation processes as we deal with a far more complex and challenging world. We seem to be keeping innovation as a disappointing and often frustrating outcome for many leaders of organizations today, innovation needs to be top of mind and better equipped to deliver.

The Potential Returns of the Composable Innovation Enterprise Framework

Unlocking potential returns from the Composable Innovation enterprise Framework

I proposed a new Framework for managing innovation this week, called the Final Perspective: A Composable Innovation Enterprise Framework. This is approaching innovation and its management in more of a holistic, technology-enabled way based on the use of a cloud-enabled Platform and Ecosystem thinking and design.

The thrust of the framework is “Organizations can create a more comprehensive and effective innovation ecosystem by utilizing building blocks as components of the innovation stack, guiding platform development using the innovation stack, and supporting the innovation stack with a platform. Equally, components are oriented towards learning, knowledge, creativity, design, and testing—essential tasks in the innovation process“.

I am suggesting a vertical and horizontal design applying innovation stack and building block approaches, which may be new concepts for many. Still, they do have value in enabling a more dynamic environment for innovation to connect to the potential it so often promises but fails to deliver upon.

Much stands in the way of taking an idea or concept and getting it to a successful launch, recognition, and, most importantly, adoption. Innovation management and its process need changing, seriously updating with more of an enterprise framework. I am proposing one.

I wrote a post “Building Up to the Composable Innovation Enterprise Framework Validation“, providing the investigations and subsequent posts I provided to build the argument towards this solution. They are concise synopsises to get this base for my thinking and understanding of why innovation processes and their management need to change.

Building the innovation stack

The need to think of innovation stacks for new design concepts

Developing the innovation stack takes the view that innovation is a series of building blocks stacked on top of each other with different layers to work through. These stacks follow an established logic, such as working through idea discovery, relating to given problems, exploring solutions, and determining the final model or design and the execution delivery to achieve this. Combining these “building blocks” modularly in innovation stacks creates a unique design that adapts to your specific needs and goals.

Today, innovation processes are partly designed this way but are more rigid and hold knowledge often as “islands” within a possible solution. We can mix and match different emerging or established innovation approaches but sometimes miss valuable points and due to this lack of “being connected up” we lose flexibility, sometimes meaning and miss some of the potential value as the parts are not as well interlinked or dynamic; we screen out more than we add-in. Our approach today is to reduce complexity as early as possible and make decisions perhaps too early; we often stop the additional learning by further probing and gathering.

I believe in approaching innovation differently by combining the ingenuity of human and artificial intelligence in a more modern way, through the application of building blocks delivering specific API solutions, and innovation stacks that connect it all up, based on a technology platform that flows across all our innovation processes.