{"id":50947,"date":"2019-08-14T18:53:00","date_gmt":"2022-10-18T18:53:16","guid":{"rendered":"https:\/\/www.salesforce.com\/?p=50947"},"modified":"2022-11-06T19:46:56","modified_gmt":"2022-11-07T03:46:56","slug":"3-stages-of-creating-an-innovative-organisation","status":"publish","type":"post","link":"https:\/\/www.salesforce.com\/au\/blog\/3-stages-of-creating-an-innovative-organisation\/","title":{"rendered":"3 stages of creating an innovative organisation"},"content":{"rendered":"\n

There\u2019s no shortcut to achieving a truly innovative mindset. But there are three important stages that will help your organisation get there.<\/p>\n\n\n\n

There are three innovation mindsets. They all have the ability to drive transformation, but only the last one is about real opportunity. It is not until a business reaches the third innovation mindset that it is truly able to unlock new value chains and to disrupt businesses, both in its own industry and in others. <\/p>\n\n\n\n

  1. Renovate<\/b>: The renovate mindset is dominated by the idea of driving efficiencies into your current business. It\u2019s a pouring of new technology over old business processes. This is very common in mature markets within well-established companies.<\/span> <\/li>
  2. Evolve<\/b>: In an evolve mindset, a business is asking core principle questions. How are my organisation\u2019s business processes going? Are they centred on the customer? Is my organisation organised around the customer journey? Do my people have the right incentives and rewards? Are they focused on customer success? Do I have the leanest possible technology stack to execute that vision?<\/span> <\/li>
  3. Transcend<\/b>: Here, you\u2019re looking for the creation of new value chains. You\u2019re discovering entirely new opportunities in industries that are adjacent to your own. A great example is Marriott, a hotel and hospitality company, becoming an end-to-end travel experience company.<\/span> <\/li><\/ol>\n\n\n\n

    So how does a business navigate to the transcend stage of innovative strategy? What are the essential ingredients for innovation success? The path begins with the discovery of your core competency.<\/p>\n\n\n\n

    What\u2019s your superpower?<\/h2>\n\n\n\n

    It\u2019s impossible to recognise potential adjacencies in related industries if you don\u2019t understand your business\u2019s core competency, or its \u2018superpower\u2019.<\/p>\n\n\n\n

    Most business leaders understand their company superpower to be related to its performance in the third industrial revolution (3IR), but we have now moved into the fourth industrial revolution (4IR)<\/a>. Let me explain.<\/p>\n\n\n\n

    I recently sat with executives at a major Asian company and asked what the business\u2019s superpower is \u2013 the one thing it does really well.<\/p>\n\n\n\n

    They spoke about having the best product, the best fibre network, the best manufacturing capability, the best distribution network.<\/p>\n\n\n\n

    I said, \u201cThat\u2019s great, but that\u2019s about connecting supply and demand, and it\u2019s about scarcity of product. Your job in the 3IR was manufacturing things quicker, better and cheaper than anybody else. Now, in the 4IR, it\u2019s all about creating compelling customer experience. What\u2019s your superpower?\u201d<\/p>\n\n\n\n

    Inevitably what people realise is that their superpowers are their people and culture. Their people are smart and, most importantly, they could leave tomorrow, move into a different industry and be just as successful. So why is your business stuck with the thought that you have to be in this one industry?<\/p>\n\n\n\n

    In a transcend mindset, you\u2019re looking at an entirely new value chain. But critically, you can\u2019t get there without going through the evolve mindset first. You can\u2019t go from a renovate mindset, where you\u2019re just iteratively improving technology, people and process, to one where you recognise entirely new and innovative opportunities. You have to first ask the deeper questions in the evolve stage.<\/p>\n\n\n\n