Improve existing tasks

In order to be innovative, one needs to ensure that all existing tasks are done in the most optimal way. Routine matters are often dealt with automatically and inefficiency often creeps in, eating into the profitability of the organization. The techniques of innovation see existing tasks as a vast area, with great potential for improvement. The Japanese are always looking for better ways of doing anything. They say in effect, “This is being done very well. Let us study how to do it better.” This is what drives them to amaze the world, incessantly, with their miraculous creations. While it allows the status quo to remain, they are constantly looking for ways to do existing things more efficiently. A well-known manufacturer of travel luggage in India was deeply concerned about the high cost of transporting bags. During a brainstorming session, one of the members asked “Why do you transport air? All the bags are just full of air.” In effect, a nesting system was created, where one bag sat snugly inside a larger bag. The reduction in logistics costs led to the company buying up its nearest rival and enjoying a virtual monopoly for many years.

Do away with unnecessary tasks

A great deal of organizational energy is wasted by duplication of activities that are being done by others and duplication of activities that can be done by suppliers or other stakeholders. This is a result of overlapping responsibilities. Once unnecessary tasks are eliminated, there will be a focus on relevant activities and with it will come relevant innovation.

Doing the right things

This concerns choosing the right way to do things by benchmarking with the best organizations in the world. The internet provides us with direct access to best practices from around the world. Once good and better ways of doing things right are discovered, they must be shared across the organization on a consistent and relevant basis. Unilever has Innovation Centers in every region that are dedicated to studying the best way of doing everything. These processes are then replicated across the globe

Doing things right

Mistakes can be expensive. The cost of rejection is a major source of concern in manufacturing. Doing things right is essential before companies can think of doing new things. Doing things right happens through: • Training • Retraining • Building-in quality consciousness • Reward and feedback systems • Process improvement • Communicating and affirming a culture of excellence • Building teams that co-operate rather than compete

Organizational Culture

Organizational Culture has the great Emphasis on Innovation. Without the oxygen of support and applause, ideas often die in infancy. The creativity improvement program can be the foundation that enables all other company programs to be effective. There are a number of steps to ensure that the program encourages innovation.

Necessity is the mother of innovation

A small bank, which did not have the funds to pay for expensive real estate, came up with the idea of using other people’s premises: schools, petrol pumps and super-markets. Then they moved seamlessly into a growth path, starting thousands of ATMs and mobile banks. Today, they are one of the largest banks in India. More recently, many banks have introduced the concept of 24-hour direct banking with business being carried out by anonymous people at the end of a telephone. This is neutralizing the competitive advantage, which established banks enjoyed by virtue of functioning from prime sites in Mumbai.

Drivers of Innovation

Leadership and consumer relevance are the top drivers of innovation. There are two essential ingredients for successful innovation: Leadership and Consumer Relevance. Innovative processes do not begin in the R&D laboratory. They are initiated with a mandate from the highest level of the corporation. Identifying the consumer’s needs is an equally integral part of the innovation process. Ensuring employee participation in planning and a complete buy-in into innovative strategy is critical. At Unilever, top management strongly believes that innovation has to be closely linked to the business strategy.