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ILLUMINATING WHAT ' S NEXT

ILLUMINATING WHAT ' S NEXT. ACTIONABLE INNOVATION PRACTICE (AIP). TL;DR 1.

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ILLUMINATING WHAT ' S NEXT

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  1. ILLUMINATING WHAT'S NEXT

  2. ACTIONABLEINNOVATIONPRACTICE(AIP)

  3. TL;DR 1 Innovation isn't a press release, isn't a one-off, and can't be limited to one department. To succeed in today's high-velocity environment, innovation must be at the heart of an organization's culture, practices and strategy.

  4. TL;DR 2 Combining • Sharpest-edge trends insights and research into what organizations can do to innovate with • Proven best practices in how to do it. The Center for the Digital Future's Actionable Innovation Practice (AIP) helps organizations achieve strategic and sustainable transformation.

  5. TL;DR 2 To do this, AIP deploys a three-part process: • Determine the nature of the organization's challengeor opportunity, • Create new strategies and new IP to address the challenge or opportunity in an offsite or workshop, and • Commit to a precise plan that turns strategy into reality, and then execute that plan. We help organizations cultivate innovation biomes.

  6. THE PROBLEM

  7. QUESTIONS THAT WAKE UPCEOS AT 2AM • How do I transform our organization so we can succeed in a digital world where nothing ever stands still? • What needs to change? • How do we change it?

  8. ANSWERS FROM CEOS

  9. "The only way you survive is you continuously transform into something else. It'sthis idea of continuous transformation that makes you an innovation company." —GinniRometti, CEO, IBM

  10. "Most people have a very strong sense of organizational ownership, but I think what people have to own is an innovation agenda, and everything is shared in terms of the implementation." —Satya Nadella CEO, Microsoft

  11. INNOVATION ISN'T A COST CENTER: IT'S A GROWTH CENTER

  12. BUT HOW DO YOU GET THERE?

  13. THE AIP IS HERE TO HELP.

  14. "HOW" ISN'T A NEW QUESTION… Two business legends collided at Intel many years ago when founder CEO Andy Grove asked Harvard Business professor Clayton Christensen how to move the company's Celeron microprocessor chips into the lower end of the market to fight off incursions by rival chipmakers AMD and Citrix. Christensen started to describe creating a new autonomous business unit when Grove interrupted: "You are such a naïve academic. I asked you how to do it, and you told me what I should do. I know what I need to do. I just don't know how to do it!" GROVE CHRISTENSEN

  15. TRANSFORMATION IS HARD • Many organizations cannot build a bridge from a great new idea (the what) to goal-achieving execution (the how). • When it comes to innovation—a key word that can mean different things to different departments and even individuals—sometimes the bridge doesn't even make it out of the blueprint stage. • To make innovation achievable, AIP deploys a three-part process.

  16. Part One:COLLABORATIVE DISCOVERYAND INNOVATION AUDIT

  17. WHAT IS THE SHAPE OF THE ORGANIZATION'S CHALLENGEOR OPPORTUNITY? Led by Center Chief Strategy Officer Brad Berens, through stakeholder interviews and competitive analysis the AIP helps the organization determine the shape of its challenge or opportunity in the context of the Center's unique, 20-year World Internet Project that researches how digital technology is changing attitudes, behavior, culture and business around the planet.

  18. WHAT IS THE SHAPE OF THE ORGANIZATION'S CHALLENGEOR OPPORTUNITY? At the same time, the AIP measures the organization's state of innovation using the methods developed in Senior Fellow Kumar Mehta's book, The Innovation Biome. A key part of this process is an Innovation Audit of the organization's current ideas and concepts. What is in the pipeline? Which ideas involve advancement, reframingor new experiences?

  19. ABOUT THE INNOVATION BIOME The Innovation Biome neatly decants and advances the last 20 years of innovation research into a cogent and actionable framework. Seamlessly fusing academic expertise with C-Suite experience and insight, this book is an indispensable guide to creating a thriving culture of innovation at the heart of any organization. • "From Roger Bannister to the smallpox vaccine, Kumar Mehta will help you think deeply about innovation(and how you can find your breakthrough)." • —Seth Godin, author of Linchpin: Are You Indispensable?

  20. STAKEHOLDER INTERVIEWS Start with the C-Suite and then move elsewhere in the organization, asking questions like: • What sort of innovation are different departments chasing? • Who are the influencers, supporters and obstacles? • Where do people agree and disagree? • How is the company positioned within its industry? • Who are the direct competitors? • Where are the blind spots?

  21. STAKEHOLDER INTERVIEWS Start with the C-Suite and then move elsewhere in the organization, asking questions like: • Who is the customer? • Do different departments have different answers? • How do different customer stories benchmark against the Center's research? • What is the organization's innovation map? • What are possible models for an Experience Delta?

  22. WHAT IS AN EXPERIENCE DELTA? • The experience delta is the difference between a current experience journey and the new or enhanced experience journey. This change between the two experiences becomes the foundation or the vision for an innovation. The experience delta is the currency for defining an innovation, the force behind all activities, and the standard by which to measure the progress of the effort. The larger the experience delta, the greater the societal value provided by the innovation. • As we know now, Google became big—very big. The "big" happened not by executing a plan to build a world-changing company, but by providing a big improvement to the experience of users—a large experience delta that created over half a trillion dollars of market value. —Kumar Mehta

  23. At the end of Part One, the AIP shares findings to the internal client along with an Innovation Quotient (IQ2) score that measures the organization's current innovation practice.

  24. Part Two:INFLECTION POINT WORKSHOP

  25. THE PROBLEM Many companies offer "jazz hands" two-day innovation workshops. • A few key employees from an organization go offsite to a nice hotel conference room where—joined by charming external participants and a cartoonist—a consultancy leads them through a workshop process. • Although this can yield strategic insights, too often it is a feel-good exercise after which nothing changes because the right people weren't in the room.

  26. THE ANSWER The AIP works with the internal client to determine who must attend a multi-day offsite meeting so that execution can follow exploration. Unless those people RSVP, there is no point to having the meeting.

  27. THE PROCESS The AIP team meets with stakeholders and attendees ahead of the workshop to develop an agenda, goals and concerns, tweaking until everybody buys in with questions that need answers like: • What are the goals that can be determined ahead of time? • What decisions need to be made, and who makes them? • What and who are the obstacles we can already see? • How do we tackle them? • Will there be external participants? Although pre-event meetings will determine the precise workshop shape, there will generally be four sections, of which the first two are the the "what" and the second two are the "how."

  28. SECTION ONE The Center team and the internal client present Part One findings. • Then, Center founder and director Dr. Jeffrey Cole explores how the Center's path-breaking work illuminates those findings and points toward exciting new directions for the organization. • Next, Dr. Kumar Mehta trains participants in the philosophy and methods behind The Innovation Biome, describing the foundational elements of innovation, how to build an innovation biome, and the strategic advantage of experience deltas.

  29. SECTION TWO Participants dig into the organization's challenges and opportunities: • What are they? • Does the shape of the organization's innovation biome support or subvert innovation? • What needs to change? • What new experience deltas can the organization create? • What are the group's success metrics?

  30. SECTION THREE: Stakeholders negotiate the next-step processes and deliverables and establish commitments among participants. More concretely participants will: • Identify the concrete deliverables needed for change, • Create an action plan with owners for that plan, • Negotiate commitments for specific deadlines, • Determine internal and external project management, • Produce a shared deliverables matrix tracker, and • Schedule recurring touch points and/or meetings.

  31. SECTION FOUR Before the workshop ends, the group will collectively decide and schedule when to get back together (physically or virtually) to see what has been accomplished.

  32. Part Three:EXECUTION

  33. THE DIRTY-HANDS PHASE Center Organizational Transformation fellow and Roebling-Strauss principal consultant Bill Sanders co-manages the organizational transition. With close monitoring by the internal client, this is where the goals established in the first two phases turn into actual change. • Reconvene: At the time selected at the end of Part Two the group will gather either physically (preferred) or virtually to evaluate how things are working using the chosen metrics. Does anything need to change? Concretely, do participants need to renegotiate parts of the deliverables matrix? • Reconsider: C-Suite client and the AIP meet to determine next steps.

  34. NEXT STEPS • Service and Credentials Overview – complete • Initial call with internal client • Call or meeting with stakeholders • Project proposal submitted, reviewed, revised • Proposal accepted • Kickoff!

  35. THE TEAM & THE CENTER

  36. Founder & Director JEFFREY COLE, PH.D. Dr. Jeffrey Cole has been at the forefront of media and communication technology issues both in the United States and internationally for the past 25 years. He serves as an adviser to governments and many of the largest and most successful companies around the world as they craft digital strategies. • "Cole is a true visionary providing the public with information onhow to understand the impactof media." • —Vice President Al Gore Dr. Cole has privately briefed over 50 of the world's leading brands on digital trends and personally delivered more than 500 keynote addresses across the globe. He works closely with leading global companies in developing and implementing their media anddigital strategies. Dr. Cole directs the Center for the Digital Future at the USC Annenberg School for Communication & Journalism where he serves as Research Professor. Prior to joining USC, he was a member of the UCLA faculty where he won the Distinguished Teaching Award. In his academic career, Dr. Cole has taught over 35,000 students.

  37. KUMAR MEHTA, PH.D. Dr. Kumar Mehta is an expert on innovation science and is dedicated to providing knowledge that helps accelerate the rate of innovation in the world. The founder of Bridges Insight, a think tank, Kumar was studying innovation long before the term became a buzzword, basing his 1990 dissertation on how groundbreaking ideas and technologies are adopted. Since then he has created the conditions for innovative thought throughout his tenure in a large corporation as well as in other imaginative and forward-thinking companies. Senior Fellow "One of the more compelling concepts that Kumar has taught me is the 'experience delta' – the difference between the current experience journey and the new one. Now I know I need to focus our innovation activity on what really impacts people's lives." —Mike Bennetts, CEO, Z Energy Kumar spent nine years as the CEO of an enterprise that employs more than 1,200 professionals worldwide. For 13 years, he worked at Microsoft, honing his skills in innovation, business strategy, data analytics, and research. He frequently speaks on these topics at programs worldwide, and he is the author of the book The Innovation Biome: a Sustained Business Environment Where Business Thrives, which is the theoretical basis for much of the Center's Accountable Innovation Practice (AIP).

  38. BRAD BERENS, PH.D. "Brad combines a unique ability to synthesize trends with strategic business savvy.  He has presented internally to my team, invited me to present on stages all over the world, and one night over beers we cooked up the PepsiCo10 —the first time a major organization matched startups with brands in a accelerator format." —Bonin Bough, Host of CNBC's Cleveland Hustles, former Chief Media and eCommerce Officer for Mondelēz Int'l Chief Strategy Officer Brad helps shape how the Center works withpartners and the media. He also leads the Futureof Transportation project and the forthcomingFuture of Health Project. Brad is an advisor to executives and companiesaround the world, and he is principal at BigDigital Idea Consulting, a boutique strategy shop.Previously, Brad spend several years as theworldwide head of programming for a portfolioof events about where digital technology, marketing and advertising collide, including ad:tech, the iMedia Summits, and the CMO Collective. Before that, Brad was the editor of all things digital at EarthLink. He began his career as a teacher and Shakespearean scholar at UC Berkeley. He is also a science fiction writer, and he hopes that you will check out his novel, Redcrosse. "Brad Berens is my go-to source of inspiration for understanding how consumers are dealing with media and technology. His ideas are sharp and insightful, and he always connects the dots to what it means for business and marketing. Brad asks the right questions, provides relevant answers, and delivers his insights with the sly hilarity of a modern Mark Twain."." —Carol Phillips, Professor of Marketing, University of Notre Dame, and President of Brand Amplitude

  39. BILL SANDERS Organizational Transformation Fellow Bill Sanders is the founder and managing director of Roebling Strauss, a business transformation and process innovation consultancy in the San Francisco Bay Area. Prior to establishing Roebling Strauss, Bill held executive positions at Publicis Dialog and Real Branding. Bill was a founding member of ROCG Consulting, and helped launch and later ran the first ecommerce site for Mattel Interactive. "Bill combines far-reaching vision and passion with practical, hands-on effort and intelligence." —Doug Kirkpatrick, US Partner, NuFocus Strategic Group Bill has helped more than 200 organizations, including such global brands as Google, Microsoft, PepsiCo, General Mills, Lipton,Hewlett-Packard, Sprint, and WebEx. He has conducted business in three continents, is a past president of the San Francisco American Marketing Association, has published in the American Management Association's quarterly journal, and provides commentary in the media on issues in organizational culture, productivity, and innovation. Bill is also co-author of From Hierarchy to High Performance.

  40. THE CENTER FOR THE DIGITAL FUTURE For close to 20 years, the Center has provided digital research, strategy and guidance to the world's most successful brands, organizations and governments including: • A track-record advising presidents, Prime Ministers and leaders of over 20 countries • Briefings with more than 50 of the world's leading corporations on digital trends • A highly diverse team of researchers, academics and business experts with a single common passion: we live and breathe all things digital • A world-class board of governors, comprised of CEOs of major media and marketing companies, oversees the efforts of our expert research and industry fellows. • "The center is the premier educational institution setting trends in media." • —President Bill Clinton Learn more about the Center's mission, research, and team at our website: www.digitalcenter.org.

  41. SOME ORGANIZATIONS WE WORK WITH

  42. SIGNATURE RESEARCH:THE WORLD INTERNET PROJECT We were investigating digital media at the outset of the internet revolution, and we believe that the importance and influenceof digital technology and the internet will dwarf that of television. Realizing that researchers missed the opportunity to study and track the profound changes brought about by the widespread adoption of television, we conceived a long-term research project at the beginning of the digital revolution to track its adoption. This is the study of the Internet thatshould have been conducted of televisionin the 1940s. Since 2000 we have been the only organization running a large-scale longitudinal panel study on the views and behavior of Internet/digital media users and non-users. Our project now encompasses more than 30 countries. We have unique data collected over 18 years and possess insights available nowhere else.

  43. THANK YOU Center for the Digital Future 11444 West Olympic Blvd., Suite 120 Los Angeles, CA 90064 (310) 651-6976 berens@digitalcenter.orgwww.digitalcenter.org

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