McKinsey: Testing for Innovation
By Shlomo Maital
McKinsey Global Research April 2015 has circulated a lovely article on Innovation: “The eight essentials of innovation” by Marc de Jong, Nathan Marston, and Erik Roth. It includes a short self-test for you and your organization. Their key point: (often repeated in this space): “Since innovation is a complex, company-wide endeavor, it requires a set of crosscutting [and at times paradoxical] practices and processes to structure, organize, and encourage it.”
Here are the eight questions you should ask:
- ASPIRE Do you regard innovation-led growth as critical and do you have cascaded targets that reflect this? Yes/No
- CHOOSE Do you invest in a coherent time- and risk-balanced portfolio of intiatives with sufficient resources to win? Yes/No
- DISCOVER Do you have differentiated business, market and technology insights that translate into winning value propositions? Yes/No
- EVOLVE Do you create new business models that provide defensible and scalable profit sources? Yes/No
- ACCELERATE Do you beat the competition by developing and launching innovations quickly and effectively? Yes/No
- SCALE Do you launch innovations at the right scale in the relevant markets and segments? Yes/No
- EXTEND Do you win by creating and capitalizing on external networks?
- MOBILIZE Are your people motivated, rewarded, and organized to innovate repeatedly?
Score yourself and your organization. Six out of 8 or above? You’re an innovator. Five and below – you need to make some urgent changes.