How can you maximize innovation deals for a competitive edge?

I believe we need to understand our organization's strategy, current competitive edge, and what is the brand positioning. this is one way of narrowing down the pool of innovations that we need to focus more on. Next, let's identify where is the opportunity. in other words, let's make a SWOC analysis so we understand what we need. Next, let's study our potential to achieve such a goal. here we will mention again a strong R&D team plus on-ground experience and feedback from current customers.

To conquer innovation, wield purpose like a sword. Define your innovation goals as the North Star. With unwavering focus, navigate the competitive cosmos, securing deals that propel you to the forefront of transformation.

Closing the right innovation deal can be transformative. However, the first question should always be: make, partner, or buy? Think Apple’s decision to design its own A-series Chip vs. Spotify partnership with Samsung vs. Facebook’s acquisition of Instagram. Many companies set up their investment capital and resources following the current industry trend instead of asking this important question first. ?? The 'make, partner, or buy' decision shapes the trajectory of innovation deals. ???? Evaluate Internal Strengths: Is "making" aligned with your core competencies? ???? Assess Partnership Dynamics: Will a partnership bring complementary strengths? ???? Analyze Acquisition Benefits: Does "buying" offer a faster route to your goals?

Thanks for inviting me to contribute. Here are my 5 practical elements that are necessary for innovation: 1. Identifying gap that needs to be filled 2. The innovative solution proposed should be a win-win 3. Every innovation needs excellent communication n followup loops to keep improving it 4. Building for contingency is a must as innovations may fail n human ego needs to be set aside for not getting locked on the innovation but focus on the learnings instead 5. ROI and unit economics are vital keys to be defined for any innovation to succeed. A tolerable variance always helps as innovations seldom land on target.

I think Identifying clear and specific innovation goals is crucial to drive your organization's success. Begin by defining the areas in which you want to innovate, whether it's product development, operational efficiency, customer experience, or market expansion.

In my opinion, Scouting for the best partners is the trickiest part of the whole process, because it has as many variables as the number of projects. I believe the most important part here is: Relevance, willingness to develop, and communication. A team with such qualities with a skilled leader will be able to achieve outstanding results.

Innovative partners must share values and objectives to be successful. If you and your partners aren't aligned, this will create inefficiencies and distrust that can trickle down into your internal team. Partnerships should foster positive change in your business with both sides ultimately working towards a shared vision.

I totally agree! From my experience, prior to embarking on the search for potential partners, it is imperative to have a well-defined understanding of your desired outcomes from “innovative agreements”. Changing direction can be challenging if you begin with incorrect assumptions. Therefore, when it comes to "Defining your innovation objectives", I place a particular emphasis on the "lean approach" in project management, which proves highly beneficial in environments marked by ongoing change and complexities. This approach aids teams in adjusting to evolving requirements and efficiently delivering value.

To find the right partners for your innovation goals, follow these steps: 1. Diverse Sourcing: Utilize various channels like industry events, online platforms, referrals, and research reports to discover potential partners. 2. Compatibility Assessment: Seek partners whose assets, skills, or networks align with your innovation needs, enhancing your capabilities. 3. Cultural Fit: Ensure shared values and work ethics for successful collaboration. 4. Strategic Alignment: Choose partners whose strategies match your objectives, fostering productivity. 5. Reputation Matters: Investigate potential partners' track records to enhance the success of your innovation endeavors.

Effective communication skills are paramount in fostering successful partnerships. At their core, partnerships are relationships that require mutual understanding and collaboration. There have been instances where exceptional products have faltered, not due to their inherent quality, but because of communication breakdowns within these vital relationships. --- or lack there of

One way I've applied this in my career, it's been reading the contracts with partners carefully and asking others who've worked with them about any insights they might have. You have to assess whether or not the pros outweigh the cons and whether or not you can complete your end of the deal 100%. In many cases I've found we have to renegotiate terms in order for us to meet their requirements.

I believe Assess the market demand and competition, and consider how the deal aligns with your long-term objectives. Ultimately, the goal is to determine whether the deal is feasible and offers the potential for a positive return on investment, both in the short and long term.

Developing small proof-of-concept projects together with the potential innovation partner allows not only the technological assessment but also the relationship and partnership dynamics. If this pilot project is successful, it will allow us to advance a longer-term agenda for joint exploration of opportunities in the market.

Examine all potential risks, such as intellectual property, regulatory challenges, and market competition. Develop a risk mitigation strategy to address these concerns. A thorough understanding of the risks involved will allow you to make informed decisions and take necessary precautions, ensuring that your innovation deals have a higher chance of success and contribute to your competitive edge.

Once I have narrowed down on potential partners, these are the few simple rules which I personally follow: 1. Do a thorough internal research of the partner's current standing in the market, their strength, how will they add value proposition. 2. If possible, meet the people involved in-person or virtually, as your instinct will tell you about their company culture. You will gain this through experience, don't worry if you don't have this initially. 3. Have a detailed look into the contract and compliance, if possible take a neutral opinion from third party. 4. Estimate the ROI, what are you getting through this deal? It may be increase in revenue, lead generation, brand building, reputation in the market, etc

Validating a collaborative venture's feasibility is just the beginning. The next crucial step is negotiating the deal's terms and conditions. A transparent, balanced agreement delineating roles, expectations, ownership, compensation, and conflict resolution mechanisms is essential. Through effective communication, addressing concerns promptly, and ensuring fairness, we establish a foundation of trust and collaboration. This meticulous negotiation process fosters an environment where both parties thrive, creating a win-win situation that fuels innovation and mutual success.

Aside from terms within your scope, you need to assess the requirements/terms with the relevant areas. For instance, I've found that many of the contracts I've seen involve some sort of IT integration. Pass the information on to the IT team to see if you've got the time and resources. Also, in logistics it's pretty common to include operational SLAs and customer service SLAs. Pass it on to both areas and with their feedback either accept or renegotiate the terms.

In assessing a deal's feasibility and potential, I then move to negotiate its terms and conditions. My approach involves defining clear roles, expectations, and deliverables, determining ownership and governance arrangements, discussing compensation and incentives, establishing a dispute resolution process, aiming for a mutually beneficial partnership, and maintaining open and transparent communication. By structuring the agreement in this manner, I aim to foster a strong, collaborative partnership and ensure its success.

On the aspect of dispute resolution, ensure all parties have a clearly defined exit strategy and there is consensus as to how parties who wish to continue the project buyout others.

Always leave some leeway and room for negotiation. Once, when I worked on a deal between two retail giants, I made sure that both parties had things to gain from the deal, but at the same time went into the negotiation with a little wiggle room.

If you Communicate the plan to all relevant stakeholders and allocate necessary resources. Monitor progress, make necessary adjustments, and maintain open lines of communication with your partners or team members

Once the ink has dried on the deal, the real work begins. Implementation and management demand a dedicated team and joint steering committee to navigate the deal's execution. Allocation of resources, seamless coordination, and vigilant monitoring of each party's tasks are paramount. Performance metrics must be meticulously tracked, with results and feedback transparently reported. Adaptability is key; the deal must evolve as needed. Challenges and conflicts are met head-on, resolved swiftly to ensure the collaborative venture stays on course and continues to flourish.

In my experience, the project champion and project manager roles must be filled by consensus-builders and collaborators. They must also have strong financial acumen.

Usually deals involve many different areas, so the implementation part involves having internal meetings with the involved parties and setting deadlines for things like integrations or implementations of certain things like hiring an extra customer service rep just for the project, for example.

In my experience, while managing the implementation of a contract, all obligations should be screened and detailed for all different team members to arrange and prepare all operations tasks with the anticipated risks and its risk response plans.

Evaluate the deal's performance against the initially defined objectives and key performance indicators. Identify both the successes and shortcomings, and analyze the root causes of any issues. Encourage open and honest feedback from all involved parties.

Check-in with your team after completing a deal. As leaders we often are working "on" the business rather than "in" the business. Your team that's working in the business will be able to provide feedback on the partnership that you may have not seen.

It's happened before that we sign a contract with a customer or service partner and we forgot/didn't think of adding certain critical clauses. So from experience you can add them in an addendum or in next year's agreement and with other new contracts.

Not all innovation deals work out. And that's ok. Having a post mortem procedure is crucial for knowledge management within the company. I would suggest to document experiences in a central repository, within folders that new members can access, as most likely this wouldn't be the last deal for the company. New members will be so thankful for this document to read through for their own learning. This is also intellectual property for the company to hold.

Try to see if your service partner's goals are compatible with your organization's. Like, let's say, your service provider is very price-oriented and not so much quality-oriented. Do your customers value price over everything? Or would it be better to re-evaluate the partnership and find a higher cost, but also higher quality alternative?

In a rapidly evolving world, staying competitive often hinges on access to the latest innovations. Innovation deals allow organizations to tap into external sources of innovation, which can be a game-changer in enhancing their offerings, reducing costs, and speeding up time-to-market. Leveraging innovation deals can lead to a significant competitive advantage. By integrating external technologies or entering new markets, companies can offer unique value propositions, stay ahead of the competition, and adapt to changing customer demands more effectively.

In the realm of innovation deals, strategic acumen, shared vision, and continuous evolution form the pillars of enduring success. By integrating these principles into the fabric of collaborations, businesses can not only gain a competitive edge but also pave the way for a future defined by innovation, resilience, and sustainable growth.