Building an Innovation Lab in Times of Uncertainty: A Guide for Forward-Thinking Organizations
Erich R. Bühler
Philanthropist, logosophist, founder and CEO of Hanna Prodigy and Enterprise Agility University. Author of Leading Exponential Change, Enterprise Agility Fundamentals, and The Convergence.
In my two decades as an organizational consultant, I have seen many innovation initiatives, techniques, and methodologies rise and fall. I’m sure you also experienced the same. Many stories exist about failed products such as Microsoft Zune, Google Glasses, or Sony Betamax.
In my opinion, the need for a well-structured innovation lab has never been more critical than in today’s accelerated markets characterized by uncertainty and disruption. In this article, I will give you some ideas of what I have learned from helping companies and explain some of the principles of enterprise agility. I will also walk you through how to build an innovation lab that not only survives but can also deal with accelerated markets and AI reality.
Why Do We Need an Innovation Lab?
Before we dive into the how, let’s address the why. In an era of accelerated change, organizations must be able to adapt quickly and innovate continuously and sustainably. An innovation lab is a dedicated space for experimentation, learning, and developing new ideas. It’s a place where the constraints of day-to-day operations are lifted, allowing creative thinkers to express themselves and take calculated risks.
I remember working with a traditional manufacturing company that was struggling with external situations. They could explore new technologies and business models by establishing an innovation lab without disrupting their core operations. This led to the development of a smart manufacturing system that revolutionized their production process and positioned them as industry leaders.
The TriValue Approach to Innovation
From my perspective, it is crucial to adopt the TriValue Company Model (or TVC) when building an innovation lab. This approach emphasizes creating value for customers, the company, and the workforce. This balanced perspective ensures that innovation efforts are sustainable and aligned with organizational goals.
Let’s take a look at how we can see these 3 types of values when building an innovation lab:
Structuring Your Innovation Lab
Now, let’s discuss the practical aspects of setting up your innovation lab. First, you must create a physical or virtual space conducive to creative thinking. This space should be separate from the regular work environment to allow for a mental shift when team members enter the lab.
In my experience, the most successful innovation labs have a few key characteristics:
Staffing Your Innovation Lab
The success of your innovation lab depends mainly on the individuals you bring into it. The most effective labs have a diverse team with a mix of skills, backgrounds, and perspectives. This diversity is crucial for generating novel ideas and approaching problems from different angles.
When selecting team members, look for individuals who exhibit high levels of Mental Agility . These are people who can adapt quickly to new situations, challenge assumptions, and think creatively. They should also be comfortable with ambiguity and willing to take calculated risks.
It is also important to have a mix of full-time lab members and rotating participants from different parts of the organization. This rotation helps cross-pollinate ideas and ensures that the lab stays connected to the broader organizational context.
Implementing the Science of Accelerated Change
To ensure your innovation lab can effectively navigate uncertainty and accelerated markets, it is crucial to incorporate the pillars of the Science of Accelerated Change . This interdisciplinary approach combines neuroscience , behavioral science , and strategic mobility insights to help organizations adapt quickly to changing circumstances.
An important aspect is creating a psychological flow state in your innovation lab. This state, characterized by deep concentration and engagement, can significantly improve creativity and problem-solving skills. Design your lab’s processes and environment to support this flow state, for example, through focused work or mindfulness exercises.
If you are an organizational change professional, consider Enterprise Social Density and Enterprise Social Visibility concepts.
Another critical element is experiential learning . Encourage your team to learn by doing, to embrace failure as a learning opportunity, and to reflect deeply on their experiences. This approach accelerates skill development and builds resilience in the face of uncertainty.
Fostering a Culture of Innovation
Creating an innovation lab is not just about the physical space or the team — it’s about fostering a culture that supports and encourages innovation. This culture should extend beyond the lab and permeate the entire organization.
In my work, I have found that the most innovative organizations share certain cultural traits:
Celebration of Failure: Failed experiments are seen as valuable learning experiences rather than mistakes to be punished.
Additionally, I recommend you take a look at Sebastian Vetter's fantastic framework for innovation . It can provide structure and help you understand the different types of innovation you need to consider.
Future Thinking and Strategic Foresight
A practical innovation lab should not just react to current trends but also anticipate future developments. Incorporating the Enterprise Agility Future Thinking approach into your lab’s processes is crucial. This might involve regular scenario planning exercises, trend analysis, or the use of tools like the Shared Progress Stock Exchange to make strategic decisions about which innovations to pursue.
Measuring Success and Iterating
Finally, it’s crucial to have a system for measuring the success of your innovation lab. This can be challenging, as traditional metrics often don’t capture the full value of innovation activities. Consider using a balanced scorecard approach that includes metrics related to all three aspects of the TriValue Company model TVC and the 16 Spot Indicators or Futures found in Future Thinking .
As you can see, building an innovation lab in times of uncertainty is no easy task. It requires a balance of structure and flexibility, a deep understanding of your organization’s needs and a commitment to continuous learning and adaptation. But when done right, an innovation lab can be a powerful engine for growth and resilience, helping your organization not only weather uncertainty, but survive it.
As you embark on this journey, remember that the process itself is a form of innovation. Be prepared to experiment, learn, and adjust your approach as you go. And above all, stay curious. In my experience, it’s this curiosity — this relentless desire to explore, understand, and improve — that truly drives innovation!
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