Posts Tagged ‘idea management’

Open Innovation at Crowdspring

In a true entrepreneurial spirit, quite a number of employees at Innovation Factory have their own side projects which they work on in the weekends and evenings. For one of those projects, Green at Work (in which I participate), a logo needed to be designed. It was done through Crowdspring, a crowd-sourcing platform. Even the seemingly simple process of having a logo designed by a crowd has many aspects of open innovation to it. I would like to share the experience with you and place it in the context of idea management.

Crowdspring

Clear question
First of all, the logo design contest was initiated on Crowdspring.com with a preset running time of two weeks. To start a contest, Crowdspring has a submission form to describe your briefing. Their template takes you through a number of steps: You need to supply background information, what you need, who your target audience is, what kind of designs you like, and things you absolutely do or don’t want to have in your design. Before we started we observed that good briefings at other contests resulted in higher quality contributions so we took our time to write a good briefing.

Good feedback
It is vital to give supportive feedback to the people that contribute to your challenge. This feedback results in a higher quantity and quality of new submissions. This stems from the fact that people enrich each other’s designs based upon your feedback. Imagine one specific designer submits a design at Crowdspring and gets feedback from you that a specific element is really cool but another element definitely needs to be changed. If this happens a couple of times with different designs, new entrants will be better directed towards the type of design that you like. So in the end, people build upon each other’s submissions to come to higher quality submissions. In the end we received 197 design submissions of which the quality kept improving during the process.

Scout the community for input
You should scout through the profiles of the community members to find people you think can make a good contribution. We did this soon after we started our design challenge. We went through other design challenges and looked for designs that we liked and sent messages to the designers to tell them we liked their previous designs and asked them to participate in our challenge. Our eventual winner was someone we found in this way.

Diversity boosts creativity
Another great aspect of a community like Crowdspring is the fact that it’s members come from all over the world and have different backgrounds. Sure, they all do something with design, but compared to one specific design agency it’s a very diverse group. The resulting creative contributions are absolutely amazing. We selected the following design from a Japanese designer named Kiona:

Green_at_Work

Self-regulation within the community
At a certain point in the contest, one Crowdspring member even sent us a message that he found a similarity in one of the design submissions. He noticed that one of the submissions in our contest was a slightly altered copy of a submission from a different designer at a previous project. Obviously, copying is a complete no-go in a design process. So the community even helps to keep the contest ‘clean’. This is something that is hardly do-able without those extra hundreds pairs of eyes.

Idea management
In general, when you ask a community a question you leverage the principle: nobody is as smart as everybody. Specifically when you involve a diverse group. But when an organisation sets up idea management one should realise that resources should be made available to coordinate the process. In a previous blogpost “Implementing Idea Management” we concluded that implementing effective idea management is about asking the right people the right questions. A significant amount of time should be spent getting the questions right. While supplying feedback to idea generators can improve the quality of a specific idea and motivates them to keep submitting ideas that constantly increase in quality. This feedback and motivation is part of community management, a crucial element within idea management.

An idea challenge normally runs for a specific amount of time (compared to open ended idea management) and is focussed around a specific subject.

Crowd-sourced design process in the context of idea management
Because of our experience at Innovation Factory with idea challenges we could see the potential upfront to leverage a community like Crowdspring where the diverse background of its members contributes to a very creative logo. I find it really interesting to see that the above mentioned crowd-sourced design process has a lot of similarities with an idea challenge:

  1. Clear question. It is very important to state a well thought out briefing as this gives direction. At an idea challenge the way you formulate your question is identically crucial. Also a set timing of two weeks helps the “sense of urgency” of contributors to submit a design quickly rather than postponing it. Idea challenges also run best for a set time.
  2. Good feedback. From our experience with idea challenges we know that it is absolutely vital to give constructive and fast feedback. As a result you get more and higher quality contributions.
  3. Scout the community for input. Part of the community management activities we perform at idea challenges consists of looking through member profiles to see if their experience and knowledge matches a specific idea. We then contact those people to ask if they can contribute to the idea. This proactive moderation activity was exactly what we did at the Crowdspring design contest as well by searching for designers that we thought could make a good contribution.
  4. Diversity boosts creativity. In general diversity helps to boost creativity. In that respect internet tools help to lower the barrier significantly to attract a broad public. This holds both for idea management software but also for the Crowdspring website.
  5. Self-regulation within the community. The self-regulation we saw at the logo design process, also happens in another form at idea challenges. People place corrective comments on ‘bad’ ideas and the community also acts as a first filter on which ideas are good and which are not. This is done by letting people vote ideas up or down and the commenting.

In the end it means that you definitely need to make time available to coordinate the whole process. It takes a lot of time to support the community in the right way, but you will probably be positively surprised by the good results you will get with open innovation.

December 23rd, 2009 by Jurjan Huisman

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Internal or External Idea Management

groene eendenOur intern Jan Martijn Everts mentioned a piece of interesting research to me that I would like to share with you.

Poetz and Schreir (2009) present “the first real world comparison of ideas actually generated by a firm’s professionals with those generated by users in the course of an idea generation contest.” Their findings are interesting:
1- Ideas created by professionals score significantly lower in terms of novelty than ideas created by users.
2- Professional ideas are attributed lower customer benefit compared to other ideas.
3- Ideas created by professionals tend to be easier to realize.

Kristensson, Gustafsson and Archer (2004, p. 11) provide the first laboratory-based insights that “professional developers elaborated with informational elements that were not as cognitively remote,“ whereas users seemed to have “access to informational elements that were further apart“. Users are thus able to come up with more novel solutions.

In short: If you want to come up with new and customer beneficial ideas it is good practice to involve diverse people with considerable distance to the company processes.

Get the paper.

November 2nd, 2009 by Jaap Linssen

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The company as a wiki at Best Buy

On the blog Elsua I ran into a film made by Best Buy on the way they use social media. What I found interesting about the 4 minute film is that Best Buy use a variety of media and are very clear about the reason why they use the media.

From our experience one of the most important success criteria of implementing social media is having clear vision and intention. Social media very often lead to changes in the way people work (together). The intention therefore needs to be changing patterns and empowering people, not successfully implementing software.

Best buy is using social patforms in 5 different ways:

  1. Blueshirtnation: Their “Myspace” like network that allows workers to connect to each other. They have many stores throughout the country and they find that it improves job satisfaction if employees feel they are part of something larger than just their store.
  2. Watercooler: This online discussion forum is used widely by teams or in stores to spread information quickly and discuss it.
  3. wiki’s empower people to all contribute.
  4. Loop marketplace: is a space employees can post ideas. Other employees discuss and enrich them.
  5. Prediction markets: By trading stocks employees predict future business outcomes. Examples of the outcomes can be sales figures or the completion of projects. This system harnesses the collective knowledge of all employees to help make the best decisions.

April 14th, 2009 by Jaap Linssen

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Implementing Idea Management

This article describes the main reason idea management projects tend to underperfom.  It then provides an insight into a proven 4 step methodology for successfully implementing idea management.

Why Idea Management systems underperform
Although idea management systems are seen as a crucial driver for large organisations to become more innovative, they have to be seen as a tool supporting ‘a more widespread organisational change. These systems need to support a process and an organisation, not the other way around. There are scores of cases of companies that buy and deploy a system without the required consideration given to what needs to be in place for such a system to deliver its full value.Light bulb

In our practice we most often see idea management systems being deployed with a lack of focus. The organisation has not scoped the problem(s) they want to be solved and identified the people that should  participate in solving them. If you open up the system to a large group of people without a clear question many employees will enter the ideas they have been walking around with and couldn’t sell. This creates a tsunami of poor ideas overwhelming management that cannot evaluate properly because they do not have the capacity to do so. Because the quality of the ideas is low management will not increase resources to evaluate the ideas. This results in neither being able to evaluate ideas properly, give feedback to employees, nor find the good ideas. The lack of feedback leads to disgruntled employees who feel the organisation is not taking them and their ideas seriously. The lack of good ideas lead to disgruntled senior management that feels they are wasting budget. On average such implementations do not last very long.

This wouldn’t be such an issue if you could stop, rethink and try again. However, you have just lost your employees trust. The organisation will need years to forget that, in their eyes, their ideas have gone to waste.

Gary Hamel wrote the following analogy to playing Golf in an article called Innovation Hacker:

April 7th, 2009 by Jaap Linssen

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Venture capitalists understand innovation principles

Future of management A little while ago I read a book called “The future of management” by Gary Hamel. Besides the fact that it is a great book full of nice metaphors and examples for management issues, I liked Hamel’s opinion on venture capitalists in relation to innovation:

Innovation follows a power law: for every 1,000 oddball ideas, only 100 will be worth experimenting with; out of those, no more than 10 will merit a significant investment, and only two or three will ultimately produce a bonanza. Venture capitalists understand this arithmetic. In a given year, a typical VC firm will review thousands of business plans, meet with hundreds of would-be entrepreneurs, invest in a dozen or so companies, and then hope that one or two of them will become the next Google, Cisco, or Amgen. Few managers, though, seem eager to acknowledge the inescapable arithmetic of innovation.”

Innovation Funnel
This actually means that venture capitalists understand how to utilise the innovation funnel. In a structured innovation process, a lot of ideas need to go into the innovation funnel and along the different stages of the funnel the quantity of ideas goes down and the quality of the ideas goes up. In this way, the innovation funnel provides organisations with a staged process for innovation. Innovation FunnelTo use the same amount of ideas that Hamel mentioned: out of the 1000 ideas that are brought in, the 100 best ideas are selected and get a little time and funding to be developed a little further; at the next stage, these 100 ideas are rated at stricter criteria so that the best 10 ideas will go into the following stage. At the end the one or two best ideas will be developed into actual products or services and all the other ideas and knowledge gathered along the process are stored. In any case it is important not to bet on one horse from the start. Diversification of the ideas is needed. As Hamel puts it:

October 23rd, 2008 by Jurjan Huisman

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