Innovation at 50x презентация

Содержание

What is Innovation?

Слайд 1Innovation at 50x
Steve Blank
@sgblank
www.steveblank.com


Слайд 2What is Innovation?


Слайд 3Innovation ≠ Incubator
Innovation ≠ Accelerator
Innovation ≠ Startup
Innovation ≠ Lean Anything
Innovation ≠

Open

Innovation ≠ Reorganization


Слайд 4Innovation ≠ Incubator
Innovation ≠ Accelerator
Innovation ≠ Startup
Innovation ≠ Café’s
These are all

physical places to do innovation

Слайд 5Innovation ≠ Incubator
Innovation ≠ Accelerator
Innovation ≠ Startup
Innovation ≠ Café’s
These are all

physical places to do innovation

Having them does not guarantee any innovation will happen


Слайд 6Innovation Development
Places:
R&D, Engineering, Incubators, Accelerators, Hackathons, Open Innovation, etc.
Methodology:
Waterfall, Agile,

Lean
Pedagogy:
Lean LaunchPad/I-Corps, Case-studies, Mentors
Metrics:
KPI’s, StateGate®, ECV, Pivots, IRL, TRL, …
Funding
SBIR, VC, Corporate VC, M&A, etc.

Слайд 7Innovation Development
Places:
R&D, Engineering, Incubators, Accelerators, Hackathons, Open Innovation, etc.
Methodology:
Waterfall, Agile,

Lean
Pedagogy:
Lean LaunchPad/I-Corps, Case-studies, Mentors
Metrics:
KPI’s, StateGate®, ECV, Pivots, IRL, TRL,…
Funding
SBIR, VC, Corporate VC, M&A, Incremental, etc.


Слайд 8Innovation Is?
Satisfying users current or future wants/needs by turning an idea

into a product or service

Слайд 9Innovation Is?
Satisfying users current or future wants/needs by turning an idea

into a product or service with speed and urgency, using minimal resources and costs

Слайд 10Innovation Succeeds
Where there is a path to adoption
When it fits into

the overall mission and strategy
Because it performs, has metrics, …
It is managed as an innovation portfolio
And has management support (the spirit of “yes”)

Слайд 11Continuous disruption requires Continuous Innovation
Steve Blank


Слайд 12Continuous disruption requires Continuous Innovation
Steve Blank
what’s this mean?


Слайд 13Continuous disruption requires Continuous Innovation
Steve Blank

what’s this mean?
External Disruption
U.S. Navy assumed

carriers would always defend the Western Pacific

Asymmetric warfare = “Carrier-killer ICBMs” = disruption

Слайд 14Continuous disruption requires Continuous Innovation
Steve Blank

what’s this mean?
Internal Disruption
The military built

encryption hardware to protect classified data
Waterfall development process and long device lifecycle
Now they post software that enable their customers to implement their own solutions
Using commercial off-the-shelf software broke the traditional model = Disruption

Слайд 15Our Competitors Speed is a Threat technology, channels, etc.


Слайд 16Our Competitors Speed is a Threat
Our Speed is the Mitigation
Continuous innovation,

adaptability, lean, etc

Слайд 17Continuous Innovation requires new management tools
Steve Blank


Слайд 18Continuous Innovation requires new management tools

Lean Innovation Management
Steve Blank


Слайд 19Why Lean Innovation Management? 10x the number of initiatives in 1/5 the

amount of time 50x



Слайд 20The Problem


Слайд 21Agencies Start as Innovation Engines
New/Disruptive Innovation
Disruptive
Business Model Innovation
Better/faster/cheaper

Innovation requires no restrictions

by plans, procedures or processes

Success = finding a repeatable and scalable business model
Grows and scales

Steve Blank

Continuous Innovation


Слайд 22Success Creates “Debt”
Success creates
Technical debt
Organizational debt
Steve Blank
New/Disruptive Innovation


Слайд 23Type of Innovation
Innovation Becomes Execution
Process Execution
Disruptive Innovation
Success means scale

Scale requires plans,

procedures, processes, incentives, KPI’s

Innovation becomes execution


Refactoring Group

Steve Blank

Continuous Innovation


Слайд 24Type of Innovation
Innovators Leave or Start New Initiatives
Process Execution
Disruptive Innovation
Founders/early employees

don’t fit in execution organizations
Short-sighted companies: innovators leave
Far-sighted companies: they start the next cycle of innovation


Refactoring Group

Steve Blank

Continuous Innovation

Disruptive Innovation



Слайд 25Can You Create an Organization that Executes and Innovates?


Слайд 26Can You Create an Organization that Executes and Innovates?
It’s Called an


Ambidextrous Organization

Source: James March, Charles O’Reilly, Michael Tushman


Слайд 27An Ambidextrous organization achieves breakthrough innovations
Source: James March, Charles O’Reilly, Michael

Tushman

Слайд 28An Ambidextrous organization achieves breakthrough innovations while relentlessly improving the way

they execute current business model

Source: James March, Charles O’Reilly, Michael Tushman


Слайд 29An Ambidextrous organization achieves breakthrough innovations while relentlessly improving the way

they execute current business model and serve existing customers

Source: James March, Charles O’Reilly, Michael Tushman


Слайд 30An Ambidextrous organization achieves breakthrough innovations while relentlessly improving the way

they execute current business model and serve existing customers = We can chew gum and walk at the same time

Слайд 31Here’s How


Слайд 32Types of Company Innovation

Steve Blank


Слайд 33Three Horizons of Innovation
Source: Baghai, Coley, White
our established capabilities


Слайд 34Three Horizons of Innovation
Source: Baghai, Coley, White
Product
Product
Product


Слайд 35Three Horizons of Innovation
Source: modified Baghai, Coley, White
Products
Products
Products
programs
capabilities
our established capabilities


Слайд 36New Three Horizons of Innovation
Known
Unknown
Partially Known
Level of innovation is defined by

whether the business model is being executed, extended or explored!

Execute

Explore

Extend


Слайд 37Three Horizons of Innovation
Existing Business Model:
Process Innovation

Execute Core Mission
Known


Mission- Critical

Projects

Слайд 38Three Horizons of Innovation
Existing Business Model:
Process Innovation

Execute
Known
Partially Known


New Opportunities via Business Model

Innovation

Extends Core Mission



Mission- Critical Projects


Слайд 39Three Horizons of Innovation
Existing Business Model:
Process Innovation

Execute
New Opportunities via Business Model Innovation

Execute/Search
Known
Unknown
Partially

known




New/Disruptive Business Model

Explores



Mission- Critical Projects


Слайд 40Three Horizons of Innovation
Existing Business Model:
Process Innovation

Execute Programs
Continuous Improvement
New/Disruptive Business Model

Makes

MVP’s

New Opportunities via Business Model Innovation

Runs Pilots
Make Prototypes

Known

Unknown

Partially known

Mission- Critical Projects


Слайд 41Capabilities/Risk Assessment
Existing Capabilities
Low Risk
Need New Capabilities
High Risk
Some Capabilities Moderate Risk
Known
Unknown
Partially known
Mission- Critical

Projects

Слайд 42Innovation at All 3 Horizons
Existing Business Model:
Process Innovation
New/Disruptive Mission Model
New Opportunities

via Business Model Innovation

Known

Unknown

Partially known

Mission- Critical Projects


Слайд 43Innovation Portfolio
Process Innovation
Disruptive Innovation
Continuous Innovation
Build
Buy
Partner
Open

Types of Innovation
Innovation

Portfolio

Horizon 1

Horizon 2

Horizon 3

Steve Blank


Слайд 44Process Innovation
Product Mgmt Is the Current Process for Horizon 1
Horizon 1
Extend

the core

Product Management

Known
Stakeholders

Use traditional methodologies for Horizon 1 projects

Steve Blank


Слайд 45
Process Innovation
Disruptive Innovation
Continuous Innovation
Lean Is the Process for Horizon 2 &

3 Innovation

Horizon 1
Extend the core

Horizon 2

Horizon 3

Speed &
Urgency

Lean

Use Lean Methodologies for Horizon 2 and 3 projects


Steve Blank


Слайд 46Managing Three Horizons of Innovation - Current
Existing Business Model:
Process Innovation

Execute
New/Disruptive Business

Model

Search

New Opportunities via Business Model Innovation

Execute/Search

Known

Unknown

Partially known

Lean Innovation Mgmt

Process Mgmt


Слайд 47Managing Three Horizons of Innovation - Goal
Existing Business Model:
Continuous Innovation

Execute
New/Disruptive Business

Model

Search

New Opportunities via Business Model Innovation

Execute/Search

Known

Unknown

Partially known

Lean Innovation Mgmt


Слайд 48
Disruptive Innovation
Continuous Innovation
Lean Means Getting Out of Your Office
Horizon 2
Horizon 3

Speed &
Urgency

Lean

Steve Blank

If you’re not talking to 10’s of customers, it’s not lean
If you’re not building iterative and incremental minimum viable products, it’s not lean


Слайд 49Horizon 3
Horizon 3 Needs To Leave Home
Process Innovation
Continuous Innovation
Disruptive Innovation
Physically separate

from operating divisions
Company Incubator, etc
Their own plans, procedures, policies, incentives and KPI’s
They operate with speed and urgency
Goal is to find a repeatable and scalable mission model


Steve Blank


Слайд 50Intrapreneurs are (Good) Rebels
Source: Carmen Medina www.rebelsatwork.com


Слайд 51Horizon 3 Protects Mavericks Horizon 1 Fires Mavericks
In Horizon 1
Pains in the

butt
Always looking at something different
Doesn’t get with the program
In Horizon 3
The head of your innovation project
Invents your next capability

Слайд 52Horizon 1 Procedures Meets a Horizon 3 Project
Steve Blank


Слайд 53Horizon 3 Project


Слайд 54Horizon 1 Management






Слайд 55Horizon 1 Management




Слайд 56Horizon 1 Management



Слайд 57“Get to Yes”
Corporate support of Innovation in
All 3 Horizons
Process

Innovation


Refactoring Group


Company support orgs

Steve Blank

Task Support Organizations to work inside Horizon 2/3
Assign Finance, Legal, HR, etc.
Job is helping all Horizon projects “get to yes”
leverage existing assets and capabilities is critical

Disruptive Innovation


Слайд 58Success Creates “Debt”
Success creates
Technical debt
Organizational debt
Steve Blank
New/Disruptive Innovation


Слайд 59Horizon 3
Refactoring is an Integral Part of Innovation
Process Innovation
Disruptive Innovation
Horizon 3

takes shortcuts
Technical shortcuts add up and become what is called Technical debt
People/process shortcuts are Organizational debt
Refactoring “cleans up” debt by restructuring it

You need a process organization dedicated to refactoring Horizon 3 projects


Refactoring Group

Steve Blank

Horizon 1


Слайд 60Company Incentives & Goals
In support of Innovation in All 3 Horizons
Disruptive

Innovation



Steve Blank

Companies operate on goals and incentives
Incent mavericks, incent support, incent adoption

Process Innovation

Refactoring Group

Company support orgs


Слайд 61Company Incentives & Goals
In support of Innovation in All 3 Horizons
Disruptive

Innovation



Steve Blank

Company operates on goals and incentives
Incent mavericks, incent support, incent adoption
If there are no Horizon 2/3 incentives in the company then there is no real commitment to innovation

Process Innovation

Refactoring Group

Company support orgs


Слайд 62Agency Incentives & Goals
In support of Innovation in All 3 Horizons
Disruptive

Innovation



Steve Blank

Company operates on goals and incentives
Incent mavericks, incent support, incent adoption
If supporting Horizon 2/3 is not part of Company goals & incentives then there is no real commitment to innovation

Process Innovation

Refactoring Group

Company support orgs

Positive – Financial Awards, Performance Bonuses, & Honorary Awards

Negative – You can lose product funding


Слайд 63Type of Innovation
Innovation Becomes Execution
Horizon 1 Adopts Horizon 2 & 3

Process

Execution

Steve Blank


Horizon 3 support orgs





Refactoring Group

Continuous Innovation

Success means scale

Scale requires plans, KPI’s procedures, processes, incentives

Innovation becomes execution

Disruptive Innovation

Horizon 2

Horizon 3

Horizon 1


Слайд 64Why Innovation Fails


Слайд 65Shiny Objects
Technical founder enamored with new tech (shiny object)
Abandons core Horizon

1 business
Treats Horizon 1 as the “old guys who don’t get it”
Company is still dependent on Horizon 1 until new tech gets adopted
Apple and the Mac
Research In Motion and QNX
Solution:
Can’t demoralize current product team
Need transition plan
Make sure that $’s, people, and infrastructure are in place to cross the Tech Transfer “Valley of Death”

Слайд 66Leadership is Focused on Now
Leadership managing agency for current mission
Not investing

for the long term
CEO and/or mgmt incentives all on current mission and goals
No incentives for CEO or mgmt on innovation for Horizon 2 or 3

Solution:
Need a Corporate Chief Innovation Officer who understand innovation
Need Chief Innovation Officers in all Divisions

Слайд 67Innovation Is a Buzzword
Stop using it to describe everything

Solution:
Use the Horizon

1, 2 & 3 metaphor
Understand that Incubators, Café’s, Shark Tanks, etc. are just the innovation vehicles
Lean is the methodology for acceleration
I-Corps is the way to implement it


Слайд 68Failure is Career Retarding
A failed project is to be avoided at

all costs
Projects/programs are expensive (years, lots of $’s and people)
In a Lean organization failure is part of the process
It’s acceptable because failures are MVPs
Very low cost
Happens Rapidly
It’s how we get to 50x
Pivoting from a failure gets us new learning

Слайд 69
Horizon 1 Uses “Innovation” to Reinvent What Works
Loses sight that the

goal is to move forward, not reinvent what works
Rebuilds work already done by others and already available as a service
Doesn’t team with others
Build competing architectures
Use different source repositories, different standards, different ticketing systems, etc
Fundamental Problems:
Confusion about the goal of innovation in Horizon 1


Слайд 70Innovation Has No Incentives
No divisional incentives for Horizon 3
No divisional or

Senior-level job description for Horizon 3
No strategy/tactics for integration of Horizon 3 into operating divisions

Solution:
Develop meaningful incentives for Horizon 3
Develop written job description for Horizon 3 support
Develop strategy/tactics for integration of Horizon 3 into the rest of the organization



Слайд 71Bottleneck: The Intransigent Middle Turning Go into No
Top of the organization says,

“Do it”
Bottom of the organization (innovators) ready to go
Middle management kills it
Actively
Sabotage
Benign Neglect
Innovation programs die

Steve Blank

Innovation Groups Ready

Middle Mgmt Barrier

Executive Buy-In

GO

NO


Слайд 72Why the Bottleneck?
Threat
Power, ownership, turf, prestige, pay
Confused
Job spec’s are still the

same
No training on how to support, participate
No incentives to change behavior
No penalty for ignoring it

Steve Blank


Слайд 73Removing the Bottleneck
Prove that this can work
Then: Communicate, communicate, communicate
Big idea

– shared goal/mission
Strategy – big picture of how the pieces work together
Tactical implementation
Update job specs to include innovation support
Change incentives to include innovation support
Shower those who came before with appreciation
Support those who try and fail and try again

Steve Blank


Слайд 74Sales Freezes Talking to Customers
Sales says “no one can talk to

our customers”
Valid concern of pitching new capabilities in place of ones that exist
Belief that they understand all the users needs
But Customer Discovery is not pitching new products
It’s about understanding user problems/needs and how they use current solutions
Almost impossible for a single individual to predict all of users needs now and the future

Steve Blank


Слайд 75Engineering Is Not Talking to Customers
Engineering believes innovation is about technology
Just

talks to the Subject Matter Expert, or..
To the same small group of users they’ve talked to for the past 5 years
They’re not talking to the total available market, and so they miss solving the bigger problems
Solution:
Focus the organization on understanding customer problems
Focus on solving current or future problems

Steve Blank


Слайд 76What We Now Know


Слайд 77Horizon 2/3 Projects Are Not Smaller Versions of Horizon 1


Слайд 78Startups Are Not Smaller Versions of Large Companies
Horizon 1 Executes Known

Business Models

Слайд 79Startups Are Not Smaller Versions of Agencies
Horizon 2/3 Search for Unknown

Business Models

Слайд 80We Can Build a Process to Search
Before we Execute


Слайд 81Lean Innovation Delivers Products and Services that users want and need

in a fraction of the time



Слайд 82Lean Works for Everyone
Gov’t Agencies, Corporations, Startups


Слайд 83Adopted by the NSF (National Science Foundation)
550+ teams, 1,700+ team members
Taught by

50 NSF Sponsored Universities

Слайд 84Lean for Life Sciences at UCSF
Therapeutics
Diagnostics
Devices
Digital Health
75 teams, 350 clinicians and

researchers

Слайд 85Lean at the NIH (National Institutes of Health)
Pilot with: NCI, NHBLI,

NINDS, NCATS

Слайд 86Lean at the DOE (Department of Energy)
LabCorps – first teams this Fall


Слайд 87Goal of I-Corps in Companies
Horizon 1 and 2
Validate that products and

services are what customers want and need
With speed and urgency
Horizon 3
Validate that products and services customers never imagined were possible

Do all with minimal resources (time, money, people) in a fraction of the time


Слайд 88The Lean Methodology


Слайд 89Lean = 3 parts
Business Model Canvas
Part 1
Value Proposition
Activities
Resources
Partners
Costs


Слайд 90Business Model Canvas = summary of the hypotheses of how you

create and deliver mission value for the company and its stakeholders

Part 1

Value Proposition

Activities

Resources

Partners

Costs


Слайд 911. Frame Hypotheses
Frame Hypotheses
?


Слайд 921. Frame Hypotheses
Frame Hypotheses
Business Model Canvas
?


Слайд 93Business Model Canvas


Слайд 942. Test Hypotheses
Frame Hypotheses
Test Hypotheses

Business Model
Customer Development
?
?
Customer Development is how

you search for the model

Слайд 95Customer Development
Turning the Business Model Canvas Into Facts


Слайд 969 Guesses
Guess
Guess
Guess
Guess
Guess
Guess
Guess
Guess
Guess


Слайд 97Customer Development is Hypothesis Testing


Слайд 983. Build Incrementally & Iteratively
Frame Hypotheses
Test Hypotheses
Build the product incrementally &

Iteratively

Business Model
Customer Development
Agile Engineering

?

?

?


Слайд 99The Minimum Viable Product (MVP)
Smallest feature set that gets you

the most …
- learning, feedback, failure, orders, …
- incremental and iterative
It is not a prototype
It is not a deployable version with the fewest features
It is whatever enables us to validate/invalidate a stated hypothesis
Early on it may be a drawing, a slide, a wireframe, clickable workflow, etc…

Слайд 100The Pivot
Definition: A substantive change to one or more of

the business model canvas components
Iteration without crisis
Fast, agile and opportunistic
Weeks and $100K

Слайд 101Pivot Cycle Time Matters
Speed of cycle minimizes cash needs
Minimum

feature set speeds up cycle time
Near instantaneous customer feedback drives feature set










Customer Discovery

Customer Validation


Company
Building

Customer Creation







Execution


Search

Pivot


Слайд 102Part 1
Agile Engineering
+
Part 2
Part 3
Elements of Lean Startup


Слайд 103Lean Startup
Part 1
Agile Engineering
+
+
Part 2
Agile Engineering
Part 3


Слайд 104How to Start an Innovation Engine- 0
Reorganize around Mission + Innovation
Each

Horizon 1 division needs a Chief Innovation Officer
Drives Continuous Innovation
Finds Horizon 2 opportunities
Starts and Funds 10x the new initiatives for MVP’s
Each Company needs a deputy director of Innovation
Runs/funds Horizon 3 incubators with I-Corps methodology
Runs open innovation incubators
Provides staff and infrastructure support for Divisional Innovation

Steve Blank


Слайд 105How to Start an Innovation Engine- 1
Identify Lean Innovation Vehicles
R&D, Engineering,

Incubators, Café’s, Accelerators, Hackathons, Open Innovation, etc.
Adopt Lean Product Development: Digital Services Playbook..
Adopt Lean Metrics: Hypotheses tested, Pivots, IRL, TRL, …
Adopt Lean Funding and acquisition: TechFar ..
Adopt Lean Pedagogy: Lean LaunchPad/I-Corps
Use Lean Mgmt processes
Agree how to “Hand-off” and “scale” small efforts (hard)
Develop organizational processes/procedures/incentives that support innovation (hard)

Steve Blank


Слайд 106Start an Innovation Engine - 2
Educate the company on Innovation
Communicate

goals
Communicate process (hard)
Everyone expects detailed specs like Horizon 1 - bad
Consolidate innovation efforts (hard)
Recruit teams (3-4 people)
Recruit mentors - one per team (hard)
Get divisional cooperation (hard)
Train the Trainers

Steve Blank


Слайд 107Start an Innovation Engine- 3
Design Programs
Emphasis on speed, urgency, evidence, pivots

day “Train-the-Trainers”
6/8-week “I-Corps” programs
Investments and adoption of H1 and H2 by divisions
Run Programs



Steve Blank


Слайд 108Start an Innovation Engine - 4
Rally around a mission not theory
Pick

something everyone agrees is a good goal and congruent with the company’s mission
Legitimatize the need for exploration and exploitation

For example, for a cybersecurity software company:

“Advance and promote real-time security to protect information and outmaneuver hackers”



Steve Blank


Слайд 109Start an Innovation Engine -5
Leadership that is capable of managing the

issues associated with multiple simultaneous Horizons
Resource allocation
Incentives
Etc.
Needs to balance a culture of risk taking, speed = mitigation, quick to opportunities, receptive to innovation



Steve Blank


Слайд 110Summary
Lean Innovation Management is not about efficiency and innovation
It’s about developing

the capabilities necessary to offset competitors who may have equal or better technologies
It’s how to integrate, build, and reconfigure internal and external competencies to address rapidly changing environments
It’s about survival in the 21st Century


Слайд 111Thanks!

sblank@kandsranch.com


Слайд 112One More Thing


Слайд 113Innovation Metrics


Слайд 115NASA/DOD Technology Readiness Level (TRL)
Formal Way to assess project maturity
Quantify Relative

Risks
Data Driven
Adopted by NASA, DOD, FAA, ESA…

Слайд 116NASA/DOD Technology Readiness: Levels 1 & 2


Basic Technology Research
Basic principles

observed
Technology concept formulated

Concept


Слайд 117NASA/DOD Technology Readiness Levels 3 & 4





Research to prove Feasibility

Experimental proof of concept
Breadboard validation in lab

Research

Concept


Слайд 118NASA/DOD Technology Readiness Levels 5 & 6





Demo Prototype
Breadboard validation

outside the building
System demo in real-world

Research

Concept

Demo


Слайд 119NASA/DOD Technology Readiness Levels 7, 8, 9


Deployment
System Development
System deployed

in real-world

Research

Concept

Demo


Слайд 120What Can We Do With All This Data?
The Investment Readiness Level


Слайд 121Investment Readiness Level


Слайд 122Investment Readiness Level
We can do the same
for new ventures


Слайд 123Investment Readiness Level
We can do the same
for new ventures

Emphasis is

on data

Слайд 124Investment Readiness Level
A Formal Way to Quantify Relative Risks
Data Driven
Analog to

NASA/DOD Technology Readiness Level (TRL)
Use IRL as a way to establish immediate funding increments

Слайд 125Investment Readiness: Levels 1 & 2


Hypotheses
Value Proposition summarized
Canvas hypotheses

articulated

Hypotheses


Слайд 126Investment Readiness: Levels 3 & 4


Problem / Solution Fit
Problem Solution

fit
Low fidelity MVP

Hypotheses

Problem/Solution


Слайд 127Investment Readiness: Levels 5 & 6


Validate
Product/Market fit
Right side of

canvas

Hypotheses

Problem/Solution

Product/Market fit


Слайд 128Investment Readiness: Levels 7 & 8


Validate
Left side of canvas
Hypotheses
Problem/Solution
Product/Market fit


Слайд 129Investment Readiness: Levels 9


Metrics That Matter
Hypotheses
Problem/Solution
Product/Market fit
Left side of the canvas


Слайд 131Thanks!
sblank@kandsranch.com


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