Yesterday, I gave a talk on Lean Innovation at the very first Edmunds Tech Conference. Before I started my talk, I played this Louis C.K. video:
Very funny, but it also set the tone for my talk. We do take innovation for granted. We do so because our expectations are continuously resetting and normalizing that unless we start teleporting people tomorrow, no one is impressed.
My talk defines innovation by stating what it is and what it is not, and how lean innovation is different. At my job at Edmunds, I took on two projects with highly uncertain business values: the open APIs and Facebook Timeline integration. Through the process of implementing both, I learned a lot about bringing highly uncertain products to customers and making them work. I felt I needed to share that with my colleagues and now with you.
Most importantly, I truly believe that if you cannot recognize innovation you can never create innovation.
Innovation has four cornerstones:
- Creativity: vision and ideas are impetus of innovation.
- Execution: acting on those ideas is the realization of innovation.
- Business Value: what separates innovation from invention is how the value proposition that consumers adopt.
- Evolution: innovation is iterative. If you’re not iterating, you’re not innovating.
What makes innovation lean is the high uncertainty surrounding the business value of the innovation. When you think you know what people want but you don’t really know. That’s when you have to innovate the lean way.
Effective innovators are:
- Dreamers: You gotta dream and dream big. Tune out the naysayers and the eye-rollers. Dare to see things differently and believe in your vision.
- Fighters: Armchair and fair-weather innovators are what gives innovation a bad rap. You need to fight for your vision.
- Doers: You can dream all you want but if you don’t do something about it, you’re not innovating.
Here’s how to ensure your lean innovation is effective:
- Set Daily Outcomes: when you’re innovating, time is not on your side. You need to test your hypotheses and validate them quickly. You can’t think in weeks or months. You need to think in hours and days. Set a daily outcome that you have to deliver on. You’ll be more productive, much happier as a person, and well .. more innovative!
- Know Your Tools: You cannot innovate without knowing how to build, test, deploy, market and measure your innovation!
- Measure Everything: Since you’re dealing with high uncertainty, you need to measure everything you can possibly measure. Otherwise, your results might be skewed (invalidating a valid guess or validating and invalid guess) and in turn your product won’t be successful.
- Find Your Allies: Like anything else, you cannot do anything worthwhile alone. Find people you trust to collaborate with you.
- Do It: If you don’t do it, it doesn’t matter. Doing can take on various forms. You can code or put together a team that does. Whatever it is, you need to do by being involved and ensuring that the project is moving forward.
- Sell It: Storytelling can make or break any innovation. If you can’t tell an engaging, compelling story of why this innovation makes sense, you failed.
You can see the entire talk in these four video installments:
I’d love to get a conversation going about Lean Innovation within companies. Feel free to post a comment below of tweet me at @ielshareef. Looking forward to it!
UPDATE (June 20, 2012): You can now watch my Lean Innovation talk here.