Legacy is all around us. Innovation and insights suffer greatly

Can we continue to battle with legacy? When you think we are on a roll, we are making that transformation in technology, systems, new organizational designs, you are suddenly stopped in your tracks. Legacy fights back, it holds you up, it stops you from advancing. You fail to connect as you wanted to, towards a complete transformation. The future eludes you as you hold onto those old ways.

You can surround legacy but it diverts so much “spent energy”, it becomes the critical impediment to making that real change you so urgently require to compete in today’s’ world. We still struggle with resolving legacy in our systems, processes, factories so we lose the ability to really advance and gain true connectivity.

Why do I worry so much about legacy?  The more we hang on to legacies within our companies, the more we hold up the vital changes we need to manage in the 21st century.

Can you imagine how hard legacy systems are hard to replace? They make up vital business processes that were designed years ago but not for the technology onslaught  we are witnessing today or see in the future. They were designed on outdated technologies, designed in a world where data was recorded perhaps but not stored nor mined 24 x 7.

I would recommend applying the Innovation Value Proposition

Thinking about my own identification with the IVP took me back to when I started out on my innovation journey 18 years ago. That now seems like ages ago, and a lot has changed in how we manage innovation since then. But, strangely enough, a lot has also stayed the same – especially the fact that delivering good innovation is hard work.

Yet, the one thing I firmly believe reduces the “pain” comes back to how you design and relate to your value proposition – your meaning of what innovation needs to do.

Building the Single Innovation Digital Platform Environment

Aras PLM Platform Image courtesy of Aras

Throughout the past couple of years, I have been constantly arguing about the need to put innovation management on a digital platform.

These have come in different thoughts on digital platforms, ready for cross-industry and having in place, a rapid digital innovation process that scales and evolves on new technology and insights.

We need a radical design, universal in design and approach.

What if you could manage your innovation in the ways shown in this diagram?

This is the way PLM innovation platforms are progressing and currently being assessed by CIMdata in a PLM Innovation Assessment Scorecard shown further below. Link to the position paper

The argument about what any innovation management system provides goes on and on and still, we seem not to be at the universal acceptance point that an innovation management process is critical and needs a better system of management.

What we should finally accept, a platform connects all users, both internally and externally in their ability to share their knowledge and information in exchanges, in one environment to cultivate collaborations and continuous collaborative creativity. The more we design and need to deliver smart, connected and innovative products the more we have this innovation platform need.

The majority of the present software providers fail to grasp this.

Entering 2019 – What Do Each of Us Need to Focus Upon?

As we enter 2019 I always like to take a day or so, to reflect and think about what I should be focusing upon in the next year, around innovation. What has influenced me in 2018 and what I feel is shaping my thinking going into 2019?

I can honestly say, it never fully works out as the year progresses, there are distractions, subjects that attract my eye, hold my attention or simply ones become bigger in my wish to pursue as important to understand or become more focused upon.

Innovation is constantly shifting in customer needs and issues to absorb, relate too, build into our thinking, in a world where many within the business community are “time-starved, often knowledge poor” I look to help them on different innovation insights.

What about you? Here are my thoughts coming from 2018 that are leading me into 2019

Firstly in the year just closing I have been taking a look back at what I wrote about in 2018.Digital and innovation dominate.

On this site paul4innovating, I wrote 34 posts, a drop on past years, but increasingly with the shift into the constant integrating of digital into all things innovation, continuing as the emerging trend and theme, I seemed to spend the most time upon. On my other main site focusing specifically on ecosystems and platform related work, I wrote 25 posts.

Also in this year I began to put some fresh  life on two new posting sites, one focusing specifically on coaching and mentoring “guide4innovating” and the other “connecting digital and innovation” looking more at the critical part of digital and innovation that is forming most of my posting and researching work in recent months to break it out. My one other continues a very tortuous journey of building the dynamics when linked, become the connecting points in building innovation in the needed capacity, capability, and competence, that I term the pursuit of innovation fitness dynamics

Why do I run so many posting sites?

The Need for Digital Innovation Platforms

I want to offer some thoughts that need us all involved in innovation to think about as we finish out 2018.

If you are frustrated with your current innovation process then read on. If you are not, then simply “click away” and certainly my best wishes by ignoring a very changing innovation world that we are all undergoing.

The reality is we are all moving towards becoming “Digital Enterprises”. Digital transformation is deepening into an enterprise-wide movement. and is modernizing how companies work.

As these Digital Enterprises effectively adapt and grow in an evolving digital economy, then it is clear that innovation certainly needs to be part of this but is it digitally ready? I think not. Much of the current innovation process you are currently working with is a Dinosaur, it should have disappeared long ago. Can we manage innovation the way many still are?

Innovation, in my view and many others, is rapidly becoming even more complex. Risks are actually rising not falling. Products continue not to meet customer needs in multiple ways. Without the “connected digital difference,” products are remaining limited in their appeal. Innovation is struggling to really perform and unleash breakthrough products due to many ‘inbuilt’ inhibitors. We need a radical redesign of the innovation process and that is becoming full connected up and have a distinct digital thread running through it. We need to think about complete digital innovation solutions in the future.

The problem of scaling can confuse those innovating.

The problem of scaling can confuse those innovating, can this be changed?

I have often been returning to scaling, struggling with finding the best answers. Many organizations struggle with scaling. This can be scaling their organization, their capabilities or more often, taking an idea into a fully scaled delivery.

Maybe I have been looking at it all wrong?

The complexities of scaling can’t be lightly dismissed. You need very often, size to scale. This could be in a new plant, in where production should be situated, so it can be allowed to scale at a later date, in resources able to achieve scale or more importantly you scale according to the type of goods or demand so they can be readily available, closer to the market they are needed.

When you work in a global organization, scale takes on even greater set of dimensions, one that needs coordinating and managing.

So I was thinking through some points on scaling a little differently. They are partly ‘open questions’ or some thinking out loud. You can say they are “half-baked”, perhaps in more than one way!

Innovating in the digital age- a terrific report

The report from Arthur D Little “Innovating in the digital age- a cross-industry exploration” has to be the one report that really stands out for me from this year. I highly recommend it. They take a look at how digital technology will transform the way innovation will be managed in the future.

This report was produced by Dr. Michael Kolk, a partner, Digital  Innovation Lead in Arthur D Little and Heike Woerner, a principal, technology and innovation management.

Now that is music to my ears, a report that provides extra “jest” to my own arguments that digital innovation is going to take over in very significant ways the innovation management process from discovery to delivery.

So many of the current suppliers of software are asleep at the wheel still working the old tired model of how to set about innovation. That will change, it will change and I predict we will see significant movement into having digital solutions specifically for innovation management in 2019. As I know the continuing deepening of insights will eventually compel companies to change their innovation management thinking.

Adopting a Rapid Digital Innovation Process

As we start to think about the next year, (is it here already?) it is a time of reflection and some forward thinking. We do need to make some real changes.

From my standpoint, I am simply amazed at how the world seems to be spinning faster and faster. I am convinced my working days are shorter or the clock is moving faster or worse still, I am being “deflected” even more by everything “digital”.

I never seem to finish what I had intended to complete by the end of a day or week. I then get caught up in the spillover effect. Something always gets in the way, something has to give. So we make a resolution to change something to improve on this constant catch up state we find ourselves in. We all seem to be spinning faster but equally slowing down. Often our innovation activities face the same dilemma.

Innovation needs time, it needs evolution and resolution but also speeding up

Here are some thoughts for our future. The need for innovation results has sped up considerably. The belief that lean management principles will get the innovation out of the door quicker, has been one of those management adoptions that often trick us into believing we are achieving more than we actually are. Reality is, we have only been tackling part of the innovation process and the end results often remain the same – a slow process of innovation follows as lean hits organization reality, it gets caught up in internal roadblocks, countless discussions, and debates.

Certainly, in the majority of cases we have found nothing wrong at all with applying lean management, as it tends to lead to improvements in a final outcome, but does it actually speed up the process? I’m not sure it does. Leans slows down and becomes increasingly burdened by fat being layered on, further down the innovation execution process.

For me, I think the real need is in speeding up of the whole innovation process, approaching the whole innovation in a systematic way, as the only path to tread in the years ahead. We need to broaden out the whole process of rapid innovation application beyond the two current favorites of lean and design thinking. That requires it to be fully connected up and that means making the innovation process one that is fully digital, on a platform and accessible by all, those that can bring value and meaning to the process to deliver greater innovation outcomes. We need a greater innovation rapid prototype approach to the whole innovation process- test, learn, adapt, adjust, iterate, refine at speed and rapid scaling.

Why Are We Making Innovation So Complex?

It always amazes me how we limit growth by not investing fully in innovation. While most large companies want to become more agile and innovative, many of them fail to turn this wish into a reality.

There is this consistent need or pressure to grow, yet that specific needle stays stubbornly stuck in low growth numbers, even with all this innovation talk and desire. Why is that? We know you simply grow a business by choosing a mix of investing in innovation, merger, and acquisitions or releasing your resources into more profitable activities. Innovation as a dedicated activity still sits uncomfortably within many organizations.

To try and catalyze growth, companies undergo perennial reorganizations, often to revitalize themselves. According to a Deloitte report, 50 percent of companies are undergoing an organizational transformation, yet only 11 percent think they will succeed. What’s worse, 70 percent of transformation programs do fail. In these failures, we only seem to continue to layer on complexity as a further stop-gap measure.

It is no wonder we’re growing increasingly pessimistic about making a positive change to a different transforming model within organizations. Without innovation taking a more leading transforming role, most of our established companies will continue to struggle to break out of their existing approach to business. Far too many are mired in a past business mindset.

How do we measure success in our digital transformation? A journey of discovery

How do we find answers to knowing what measures give us for success in any digital transformation? Are today’s measures relevant to tomorrow, are they still based on our legacy system of measurement, when a business was operating in a stable, predictable environment?

Today, I think we certainly have a beginning point but all of us lack a clarity of the end point of where digital transformation will take us. Why, well I think this nicely puts it, we have to move or be moved. Nicely put Mirko

Yes, we can measure success in our progress but these are in both multiple and equally personal ways.

Each organization is unique. Never has this become crystal clear that when you face your own transformation journey. You can learn from others, you can adapt but you need to clearly understand where you are in your own evolution and capacity to undertake change as it is simply your journey. This has not been as well recognized as it is today when we attempt to make any transition, from the old ways of doing business to the new one; that is highly connected, collaborative and based on our growing reliance on technology and ‘everything’ digital. It can become life-changing.