Creativity and Strategic Innovation Management

Malcolm Goodman is Senior Teaching Fellow at Durham University, UK.Sandra M. Dingli is Associate Professor at The Edward de Bono Institute for the Design & Development of Thinking, University of Malta, Malta.

• Table of ContentsPART IThe challenge of changing times1 The changing business environmentLearning objectivesIntroductionContextWhat is change?Understanding the causes of changeSocio-cultural forcesEconomic forcesTechnological trendsEnvironmentalCause, effect and apprehensionComplexity and changeKey principlesCreating wealthFactors of productionCreativityWhat is creativity?Consequences of the business paradigm shiftTypes of changeIncremental changeTransitional changeTransformational changeChange driversPracticeBusiness paradigmsMarketing and management myopiaLeast cost production paradigmMarketing paradigmCustomer-perceived value paradigmService dominant logic paradigmPost-capitalist paradigmActionBackwards or forward into the future?The challenge of changeChallenges of initiating changeChallenges of sustaining momentumChallenges of system-wide thinkingChallenge to traditional managementSummaryDiscussion questionsCase exerciseNokia 1 Early success in the mobile phone industryReferencesSelected YouTubes2 Key business decisionsLearning objectivesIntroductionContextTime frame decisionsInformation overloadShareholder , finance and government pressureShortening business life-cyclesFeel or process?Key principlesBusiness decision processRational modelReal world complicationsContingency approachConcepts of efficiency and effectivenessThe S-curveThree strategic approachesLimpet strategyCautious strategyInnovative strategyPracticeTwo key questionsConcept of customer-perceived value revisitedManaging biasActionMaking decisions – blending knowledge with experience to achieve know-howLinking creativity, entrepreneurship and innovationSummaryDiscussion questionsCase exerciseTyrell’s – When the chips are down raise a glass!ReferencesSelected YouTubes3 Management revisitedLearning objectivesIntroductionHorse sense! ContextGlobal business environmentKey principlesA divertimentoDefining managementPrimary management processesRedefining management action – control or lead?Putting the emphasis on controlPutting the emphasis on leadershipManagement: quo vadis?PracticeEssential management skillsManaging self and individualsManaging groupsManaging an organisationEthical considerationsBroad management stylesOrganisational developmentIs there a correct style?Japanese management approachJapanese management cultureJapanese management techniquesTheory ZQuality of Work lifeQuality circlesActionNew skills for a new worldSummaryDiscussion questionsCase exerciseSASOLReferencesSelected YouTube videosPART IIInnovation from theory to practice1 Business creativityLearning objectivesIntroductionNasruddinContextWhat is creativity?DefinitionsProcessGenerate ideasCreative peopleStrive for originalityProvide examples of their workKey principlesUnderstanding thinkingPhysiology of the brainThe working brain – a synaptic wonderPracticeContextual factors affecting personal creativityOrganisations and creativityExpressing natural skillsActionAssessing personal creative potentialPersonal Creativity AuditPersonal creativity in actionWork environment and performanceLeft brain and right brain thinking modelLearning skillsIntroducing the Total Thinking modelPerceptionHalf-brained thinkers!Creative thinking applicationsSummaryDiscussion questionsExercisesSexismBeijing Express problemReferencesSelected YouTubesAppendicesCPS Toolbox notes5 Applied business creativityLearning objectivesIntroductionContextChallenge of changeStimulating creative thinkingCreativity and intelligenceKey principlesThe Quick-Fix approachThe creative problem solving approachNote-taking skillsMemory friendly informationLearning skillsPicture perspectivesGetting to grips with Creative Individual Problem SolvingDemonstration exercise: organising a perfect weddingPracticeBuilding an introductory CPS toolkitActionCPS facilitationIndividual or personal CPS activityGroup CPS activityOrganisational CPS activitySummaryDiscussion questionsCase ExerciseToymaker IReferencesSelected YouTubesAppendixCPS toolbox notes6 Business innovationLearning objectivesIntroduction ContextWhy innovate?What is innovation?Strategic innovation managementKey principlesCommitmentGetting startedInnovation championsLevels of innovationIncremental innovationRadical innovationArchitectural innovationTechnological innovationSources of ideasClosed sourcesOpen sourcesThe innovation processPhase 1: initial spark of creativityPhase 2: idea evaluationPhase 3: inventionPhase 4: external and internal launch Idea selectionIdea funnelStage-gate modelIntellectual capitalKnowledge and technology transferPracticeHarnessing systems thinkingHard systems approachSoft systems approach ActionPrivate sectorInnovation in MNCsInnovation in SMEsPublic sectorInnovation in NGOsInnovation in charitiesInnovation in state funded organisationsInnovation bottlenecksLack of ‘time to think’BureaucracyStructurePoor lateral communicationExternal talentFinancial constraintsLimiting paradigmsInappropriate mental modesLimitations of traditional teaching and trainingSummaryDiscussion questionsCase exerciseNokia II: Out of the ashes of disaster grow the roses of successReferencesSelected YouTubes7 Organisational culture and climateLearning objectivesIntroductionContextNeed for group (collective) creativityKey principlesManagement commitmentManagement and creativityManagement stylesManager’s interestsGroup behaviourGroup participationLoyalty and group participationWorking in groupsEstablishing group beliefsEmpowering groups to performEncouraging group members to interactAttempting to understand interactionsPreparing for group activityLeadership roleGroup rewardsGroup selection and initial briefingManaging groupsAdvantagesDisadvantagesSolo or team run?Belbin’s Team RolesTuckman modelThe MBTI inventory/Jung’s personality typologiesThe KAI inventoryPracticeEmpowering peopleFirst task of a CPS facilitatorSecond task of a CPS facilitatorThird task of a CPS facilitatorProcess role of a CPS facilitatorKey process skillsConflict in groups and teamsActionConcepts of organisational culture and climateOrganisational attitude and commitmentOrganisational philosophyOrganisational climateKey factors for developing a climate that fosters innovationLeading individuals and teamsVertical and lateral communicationsTrustMotivationRewards and recognitionTraining and staff developmentSustaining an organisational climateCan climate and culture be assessed?Ekvall’s Creative Climate QuestionnaireIsaksen’s Situational Outlook QuestionnaireGreat Place to Work InstituteWorkplace democracySummaryDiscussion questionsCase exerciseSamsungReferencesSelected YouTubesAppendices7.1 Management traits assessment7.2 Group CPS Audit7.3 Assessing group performance8 Overcoming resistance: mindsets and paradigmsLearning objectivesIntroductionContextThe power of mindsets and paradigmsKey principlesGroup mindsetsOrganisational mindsetsChallenging mindsetsPsychological factor setsPerceptionLearningBeliefs and attitudesCreativity blockersPerceptualEmotionalProcess skill blockagesCommunication blockagesEnvironmental blockagesCultural blockagesPracticeObstacles to individual business creativityTirednessAnxietyNegativityFear of failureObstacles to group business creativityCommon problems that challenge the effectiveness of hard sytems thinkingDiagnosisBelief in measurementRisk spotsFaith in management techniquesActionWorking with othersViewing management problemsFixed vs. growth mindsetsNudges and wise interventionsSummaryDiscussion questionsCase exerciseRose Tree Garden CentreReferencesSelected YouTubesPART III Linking creativity to strategic innovation9 Applied business innovationLearning objectivesIntroductionContextInnovation idea sourcesKey principlesClosed innovationOpen innovationOpen-source software (OSS)Advantages of OSSThe impact of open-source softwarePracticeClosed innovation idea sourcesIdea management systemsOnsite creativity centresOpen innovation idea sourcesCapturing ideasExternal R&D agencies Idea scouts & idea connectorsKey personnel, technology transferContractual arrangementsDeveloping ideasCo-creationCrowdsourcingSocial networkingRisk factorsUnpredictability vs. certain successActionInnovation networksInnovation and entrepreneurshipSummaryDiscussion questionsCase exercisesToyotaReferencesSelected YouTubes10 Building a strategic innovation modelLearning objectivesIntroductionContextSTEP 1 Checking the now before thinking about the howRethinking timeRethinking spaceRethinking massLinking the Einstein metaphor with strategic innovationSTEP 2 Conventional approach to strategic innovationContentProcessToolsSTEP 3 Basic processes of strategic innovationsFour key stagesKey principlesSTEP 4 Innovation action planPracticeSTEP 5 Reviewing the businessChallenging paradigms and mindsetsSTEP 6 Reviewing the marketDeciding which customers to targetChallenging mindsets and paradigmsSTEP 7 Reviewing the market offeringApproach to innovationChallenging mindsets and paradigmsSTEP 8 Creating customer-perceived valueBuyer experience cycleThe customer-perceived value mapSTEP 9 Characteristics of strategically innovative organisationsCultureStructureProcessesSystemsPeopleActionSTEP 10 Purpose of strategic innovationSTEP 11 Transformation through strategic innovationSTEP 12 Holistics approach to strategic innovation managementSTEP 13 Key principlesCreate purposeMake innovation happenSustain model developmentSTEP 14 Final thoughtsSummaryQuestions for discussionCase exerciseYamaha Motor CompanyReferencesSelected YouTubesPART IV Strategic innovation in changing times11 The importance of leadershipLearning objectivesIntroductionContextAvoiding contextual myopiaKey principlesLeadership competenciesDifference between management and leadershipQualities of a managerQualities of a leaderComparison between managers and leadersTheories of leadership I: Trait theoriesTheories of leadership II: Behavioural theoriesTheories of leadership III: Contingency theoriesTheories of leadership IV: Emerging theoriesCharismatic leadersLeadership characteristicsVisionary leadersTransactional leadersContemporary leadership thinkingCourageous leadershipLeadership and management – are they mutually exclusive?PracticeAssessing individual leadership skills auditActionSeizing the initiativeLeadership challengesLeaders and InnovationChanging role of leadershipSummaryDiscussion questionsCase exerciseAfrican leaders ReferencesSelected YouTubesAppendixAssessing individual leadership skills audit interpretation12 Business social responsibilityLearning objectivesIntroductionContextBusiness socialisationRevivalLeading issuesKey principlesDefinition of Business Social Responsibility (BSR)Business ethicsValue of high ethical standardsCorporate social responsibility (CSR)Carroll’s pyramidGenerating and sharing social valueWell-beingPracticeExploring the bottom linePeople issuesPlanet issuesEnvironmental responsibilityResource sustainabilityCircular economyProfit issuesExecutive payRank and file payBusiness profiteeringEffects of MNC profit strategies on SMEsActionBusiness solidarity: implementing CSRCommunityWorkplaceMarket placeEnvironmentGlobal recognition of Business Social responsibility (BSR)Organisational approaches to CSRGlobal or local?A matter of attitudeSummaryDiscussion questionsCase ExerciseMalinos Rio de la Plata ReferencesSelected YouTubes13 Organisational renewal for strategic innovation managementLearning objectivesIntroductionContextView from the boardroomKey principlesBusiness game componentsBenefactorsThe risk paradox and casino market gamesBets, sweats and debtsInvestmentBusiness game playersMultinational corporations (MNCs)MNCs are gaining strength in Africa, Asia and South AmericaThe importance of small medium sized enterprises (SMEs)Corporate game playersProfit questGrowth questCorporate game strategiesOperating paradigmsThe Three-way Stretch modelPracticeAssessing organisational cultureSelecting organisational styleInside or outside track?Theory Z revisitedTheory WB approachManaging change to boost well-being, creativity and innovationWell-beingManaging change to boost well-being, creativity and innovationA new workplace democracy modelDisadvantages of workplace democracyActionConventional planning practiceReasons for pre-planningUnderstand the peopleEncourage well-beingUnderstand the taskUnderstand the organisationDevelop plansPre-planning a culture change programmeStrategic approaches of Theory Y and Theory WB organisationsImportance of gaining and retaining trustSummaryDiscussion questionsCase ExerciseSemcoReferencesSelected YouTubesAppendix13.1 Organisational creativity audit interpretation14 ReflectionsLearning objectivesIntroductionContextBusiness trendsAfrican trendsInstant availabilityResponsible consumptionTransaction convenienceGender equalityImproved online servicesAsian trendsNetwork connectionsCorporate social responsibilityHeritage appealResponsible businessThe informal economy meets smartphone cultureEuropean trendsThe Euro: means not an end in itselfConnecting customersTargeting MillennialsImportance of SMEsNeed for product and service informationCall for strategic innovationSouth American trendsImmigration and integrationUrbanisationMarketing to the time poorCo-creating customer-perceived valueDigital opportunities for SMEsKey principlesManagement and organisationKey trendsOrganisational cultureTheory WB modelDeterminants of organisational cultureLeadershipEmergence of multiple layered leadershipKey trendsCreativity and innovationGrowing importance of creativity and innovationGroup creativity and self-managementThe pursuit of happinessPracticeRevisiting the practices of wealth creatorsEconomic systemThe trumpet soundsEnvironmentThe trumpet soundsSocietyThe trumpet soundsActionTime for a rethinkSummaryDiscussion questionsCase ExerciseSemcoReferencesSelected YouTubesAppendix13.1 Organisational creativity audit interpretation

Creativity and Strategic Innovation Management is a useful guide for both academics and practitioners who are interested in the link between creativity and the strategic management of innovation in an organisational context.Steven Pattinson, Senior Lecturer in Strategy, Entrepreneurship and Innovation, Course Leader Executive MBA (part-time), Sheffield Business School, UKThis text provides a practical and timely socially responsible insight into the need for and advice on how to design a strategic innovation strategy in times of discontinuous change in the business environment.Asif Majid, Senior Lecturer, Enterprise and Strategic Management, Sheffield Business School, UKThis is a key text for anyone seriously interested in innovation management. It combines the most current thinking with excellent examples to guide the reader through the maze of innovation. The text provides a clear roadmap for innovation mangers and students on how to deal with the practical challenge of building innovative organisations in a rapidly changing environment.Christos Tsinopoulos, Senior Lecturer in Operations & Project Management & Director of Master in Management Programmes in the Business School, Durham University, UK.