مرکزی صفحہ Journal of Product Innovation Management The Innovator's DNA: Mastering the Five Skills of Disruptive Innovators Jeff Dyer, Hal Gregersen,...
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J PROD INNOV MANAG 2012;29(4):681–683 © 2012 Product Development & Management Association DOI: 10.1111/j.1540-5885.2012.00933.x Book Reviews Book Review Editor: Teresa Jurgens-Kowal, NPDP Books reviewed in this issue: • • • Key Concepts in Innovation The Innovator’s DNA: Mastering the Five Skills of Disruptive Innovators The Power of Co-Creation Key Concepts in Innovation Hamsa Thota, Zunaira Munir. Los Altos, CA: Palgrave Macmillan, 2011. 328 + viii pages. US$25.00. The subject of innovation is so multifaceted and diverse that the new product development (NPD) professional is challenged to become familiar with the various bodies of knowledge that have their own unique concepts and terminology. I have witnessed the challenges when product development teams try to communicate crossfunctionally. The same word can mean different things to each team member. Many organizations have standardized terminology. Rare is the individual who has depth and experience in all facets of product development and innovation. Even more difficult is the time commitment needed to create such a vast body of knowledge. Having been involved in past attempts by the Product Development and Management Association (PDMA) to create a body of knowledge (BoK) around product development, I can appreciate the value of Thota and Munir creating a resource for product development professionals. Key Concepts in Innovation is an ambitious effort to aggregate the various terminology and concepts related to the practice of innovation. More than just a glossary of terms, Thota and Munir have provided relevant background information, cross-references, and examples appropriate for product development. While not exhaustive in depth, the authors have attempted to be comprehensive in breadth. A good example is the term “Concurrent Engineering” (pp. 55–56). Popularized in the mid-1990s, it is considered by many to be similar to new product development though it has a stronger focus on simultaneous development. Someone new to the NPD profession may; not be familiar with the concept of concurrent engineering but would be able to get a general understanding of the concept and pursue additional research to develop a deeper level of knowledge. Another example is the term “persona” (p. 61). Personas (defined as archetypal users, or customers, that represent real user or customer types) originated in the software industry but were embraced by others who could appreciate how personas could be applied to new product development regardless of industry. As a matter of fact, the reader may soon observe how many innovation concepts experience their own “diffusion of innovation” (pp. 91–92) and become adopted into the broader body of knowledge. Some may take issue with how various concepts are defined and how articles are selected for further reading. I experienced this with the term “Quality” (pp. 230–31). The authors do not provide a broad definition but focus mainly on design and delivery quality with some discussion on innovation and total quality management (TQM). Nevertheless, Key Concepts in Innovation is a great first attempt, and I look forward to future revisions by the authors to keep the book relevant. Key Concepts in Innovation is a valuable reference for the new professional who is on a steep learning curve to grasp innovation concepts. For the more experienced professional, this book should be part of their collection of important reference library. Thota and Munir should be commended for their efforts to compile a much-needed reference book for the product development professional. Donovan Ray Hardenbrook NPDP Leap Innovation LLC The Innovator’s DNA: Mastering the Five Skills of Disruptive Innovators Jeff Dyer, Hal Gregersen, and Clayton Christensen. Boston, MA: Harvard Business Review Press, 2011. 296 + vi pages. US$29.95. This final entry in coauthor Christensen’s innovation trilogy complements his influential The Innovator’s 682 J PROD INNOV MANAG 2012;29(4):681–683 Dilemma (1997) and coauthored The Innovator’s Solution (2003) with a notably accessible style. Still resonating today, the dilemma is that businesses focusing on expertly serving current customer demand often bypass ideas that can open new markets, only to see competitors ride the next wave of innovation; the solution is for organizations to strategically seek and fund disruptive concepts, thereby embracing future growth avenues. The Innovator’s DNA holds that large public companies, which the marketplace expects to continue innovating, receive premium valuations, and that institutionalizing selected practices within a holistically inventive environment can be a pathway to similar success. Reflecting strategic demands to tap valuable human assets, the authors’ learnable skills-based program comprises peopling businesses with individuals talented in five specific innovation tactics. The organization-level adoption process entails assessing existing innovation capabilities, hiring innovative people, and training current employees, enculturating frequent use of the five behaviors toward organization-wide inventiveness. The book provides readers with a readily understood model and guidelines for helping organizations become more innovative. The authors’ raison d’être—disruptive innovation—is threaded throughout the well-paced volume’s two parts. Part One is comprised of an introduction and six numbered chapters that contextualize and describe behaviors to be acquired. Part Two’s four numbered chapters, conclusion, and appendices inform the text’s People-Process-Philosophy (3P) framework for organizational use. The introduction sets the stage by citing a recent survey of 1500 chief executive officers or CEOs wherein creativity was named the top leadership capability of the future. The first numbered chapter introduces the authors’ business idea generation concept (p. 27), whereby people associate or link various personal knowledge and environmental data to innovate. Individuals are described as deliverers of task-driven results when using four “delivery skills” and as innovators when implementing five “discovery skills” (p. 33). A short delivery/discovery selfassessment exercise caps Chapter 1 and helps traject the book’s focus to the discovery behaviors that are more fully explained in the five successive chapters. Chapter 2 asserts that how one associates or connects knowledge, and new data are the chief of five behaviors fundamental to an innovator’s makeup, with several random-centered think-outside-the-box exercises included. Chapter 3 illustrates how questioning the status quo across fields has led to innovation, and that dogged question sets essentially following journalistic practice BOOK REVIEWS (who, what, where, when, why, how) can lead to disruptive ideas. Direct observation that intersperses alert questioning is the subject of the next chapter. Chapter 5 covers effective networking to access more data for ideation, and Chapter 6 elaborates on idea testing through mental and physical experimentation. The overall thrust of Part One, with attendant exercises and appendices, is to enlarge one’s knowledge base and data access for associational thinking and innovation. Part Two offers practical guidance on integrating the five discovery areas within organizations. Chapter 7 explains the innovation premium concept regarding how a company’s future innovativeness can be monetized in its valuation. Chapters 8, 9, and 10 examine the three components of the 3P framework, respectively. First, the people piece underscores the need for expertise diversity achieved in part by intermingling innovator types with a company’s technical and business experts. Second, readers are led to how organizational processes should include and combine the five discovery areas, and finally that philosophically inculcating innovativeness can yield optimal results. Notable through this second part—and the book in toto—are innovation success anecdotes from Amazon, Apple, Dell, eBay, Google, Intuit, JetBlue, Microsoft, traditional new product development (NPD) powerhouse P&G, Salesforce.com, Starbucks, and many others. The brief concluding chapter wraps up the case for innovativeness using the authors’ model. NPD thought leaders may reflect on the book’s linchpin behavior, associating, in light of think-inside-the-box constrained-resource innovation methods (Johnson, 2010). Also, fully formed versus iteratively developed innovative products—think Mozart versus Beethoven— may indicate dramatic creative style differences (Finke, Ward, and Smith, 1992); useful could be further consideration of differently creative individuals’ generative, exploratory, and interpretive innovating styles’ potentially disparate strategies and processes. Taken as a whole, The Innovators’ DNA serves several valuable purposes. Its executive audience can benefit from an engaging, exercise-framed window on innovative organizations’ practice. NPD researchers, strategists, and practitioners can ponder a product of substantive innovation research, teaching, and experience. Yet the book’s lead value could be in highlighting a question: Have advancing technology and globalization brought competitive strategy to a tipping point where organizational leaders must identify and engage all possible innovation actors and resources through assessment, hiring, training, and artful management . . . or risk Schumpeterian decline? If so, the book may serve as a BOOK REVIEWS J PROD INNOV MANAG 2012;29(4):681–683 thought-provoking call to entertain emergent NPD 3.0 challenges. In any case, this last Innovator’s series release lucidly exhorts leaders and managers to consider carefully adopting, where appropriate, behaviors and thinking that champion innovativeness. Erik A. J. Johnson Columbia University References Christensen, C. M. 1997. The innovator’s dilemma: When new technologies cause great firms to fail. Boston, MA: Harvard Business School Press. Christensen, C. M., and M. E. Raynor. 2003. The innovator’s solution: Creating and sustaining successful growth. Boston, MA: Harvard Business School Press. Finke, R. A., T. B. Ward, and S. M. Smith. 1992. Creative cognition: Theory, research, and applications. Cambridge, MA: MIT Press. Johnson, E. A. J. 2010. Review of the book Cracking the Ad Code, by J. Goldenberg, A. Levav, D. Mazursky, & S. Solomon. Journal of Product Innovation Management 27 (4): 618–20. The Power of Co-Creation Venkat Ramaswamy and Francis Gouillart. New York: Free Press, 2010. 276 + ix pages. US$28. If you like learning case studies, then you will love this book! The Power of Co-Creation offers real-life stories across a breadth of industries where firms have demonstrated success by opening up product and service delivery to new players. Defined as “the practice of development systems, products, or services through collaboration with customers, managers, employees, and other company stakeholders” (p. 4), the authors present a theme of ideas to encourage customer-centric value creation. As product development practitioners are generally aware, engaging customers leads to many innovation benefits, such as learning and the ability to generate new ideas rapidly. Co-creation can be applied to nearly any innovation or business growth effort. In the introductory chapter, Ramaswamy and Gouillart present a compelling example of Nike expanding their footprint to the running community through a multitude of customer interface platforms. These platforms included Web-based tools for runners to log favorite music playlists and routes that can be downloaded to the users’ GPS. Chapters Two through Six continue the stories of firms who demonstrated successful new platforms to add value. The platforms of co-creation tend to be highly linked with the explosion of technology and anytime/anywhere 683 connectivity. For example, three of the four core principles of co-creation (p. 36) involve higher connection with customers and other stakeholders: engagement platforms, network relationships, and context of interactions. Many products and services even deploy significant technology via the fourth co-principle of experience mindset. Many of the case studies in the text show that Web-based platforms tactically facilitate these core principles. In Chapter Three, the authors make a case that innovation within a co-creative environment must engage employee experiences as much as tapping on networks of customers and situations outside of the firm. Chapter Four, “Engaging People Among Business Networks,” describes the two key elements for co-creation as learning and choice. Part Two of The Power of Co-Creation, called the Management of Co-Creation, presents even more detailed case studies in Chapter Seven through Eleven. In particular, Chapter Nine, “Going Beyond Processes to Co-Creative Engagement” makes a striking analogy between innovation and an everyday activity. Companies that fail to engage and interact with stakeholders are like a person dancing with a rag doll, while firms that carefully engage with and involve customer employees in new product and service delivery are like a tango—two fabulous dancers incorporating the dance floor, the music, and the shared moves to create something more wonderful. A question that many business leaders have—”if we open up, how can we protect ourselves from competitors?”—is addressed through yet another case study in Chapter Ten, “Opening Up Strategy.” The authors offer the conclusion that co-creation is a competitive advantage in and of itself. Finally, after an exploration of case studies in the banking industry and governmental institutions, the epilogue presents a 25-point co-creation manifesto. This co-creation manifesto summarizes the learnings from the multitude of case studies investigated in the earlier chapters. While The Power of Co-Creation will leave the reader feeling inspired about the general philosophy of stakeholder engagement and the successes documented in the many case studies, those that seek “how-to” cocreate will also be looking for a sequel with additional guidance, offering tips and tricks beyond Web-based community interaction for product and service differentiation. After all, “co-creation relies on learning from actual people” (p. 199). Teresa Jurgens-Kowal Global NP Solutions, LLC