Getting Off the Starting Blocks for an Agile Innovation Sprint
My work continues. I am a coach to two manufacturing organizations attempting to test and learn in agile innovation sprints. They are testing new technologies to drive digital innovation. It is easier said than done. The barriers are high. Organizations are not designed to execute agile sprints. The largest barrier is organizational alignment. The focus on functional metrics makes it difficult to move at all, much-less move fast. The organization is very good at protecting the status quo. The bias is making the current processes more efficient. Here are some insights I have learned:
- Drive Cross-Functional Alignment Early. Procurement goals are a barrier to an agile sprint. The procurement organization is incented for payables that are long (75-120 days). An agile sprint requires quick funding for a 10-12 week effort. In addition, procurement organizations tend to treat all vendors with the same terms and conditions. An agile sprint requires the sharing of risk and reward; whereas traditional Ts and Cs push the risk to the technology provider. Take away? Bring the procurement team to the table early and review standard contract terms to be sure that they are consistent with the spririt of an agile sprint.
- Fail Forward. The traditional organization works hard to not fail. The concept of fail forward is viewed in disbelief. Encourage failure. Let's face it. Through test and learn, we learn as much from failure as success. However, no one in the organization is comfortable failing. Next steps? Focus on learning. Highlight the goals of the group then market both success and failure with a focus on the learning.
- Avoid Religious Arguments. Terms like agile, demand-driven, lean and sprint have many definitions. When teams get into religious arguments, everyone loses. Instead focus on the business goal. Test innovation and new ways of working with the goal in mind.
- Walk on the Wild Side. Agile spring ideation does not happen through discussions with traditional consultants and technology providers. They are as focused on maintaining the status quo as you are. Push to know innovators. Go where the innovators are and push to understand the art of the possible. As a leader, make time for teams to learn from innovators. I have seen companies do this in many ways including site visits to silicon valley, innovation days where technology leaders showcase new ideas, and visits to innovation conferences.
- Build Innovation Labs. Take time to build processes to drive innovation using stage gate processes. Use the governance model of product R&D as a guide and form a cross-functional group to move projects from ideation to adoption. Be sure to have cross-functional leadership representation on the governance group.
- Lead by Example. Build a Learning Culture. Invite technology leaders to drive learning. As a leader, be the first to drive discussions on how new technologies like Hadoop, Cognitive Learning, Additive Manufacturing, Wearables can drive change. Ask groups to learn and report back on new possibilities.
These are my insights on a rainy Sunday. What are yours? I look forward to hearing from you. Please share.
CEO - InnovationTech startup. Open Innovation, Venturing & Partnerships for impact. Board member, ex PepsiCo, Mars, Novartis and Danone.
6 年Lora, great post and i can’t agree more - to win for today and tomorrow organizations have to be more agile, innovative and cross functional teams work hand in hand with same goal in mind - listen, anticipate and satisfy customers needs. At pace.
Assoc Managing Director - Connected Supply Chain | CSCP
6 年Eagerness to learn from competition - be open to acknowledge. Benchmark within and outside industry as well. Business should show resilience of a marathon than achieve or seek short term EBIDTA. Middle management should also be sensitized as "torch bearers" of innovation translated into tangble results. Disrupt "now" or be disrupted. Operating model changes are inevitable - run the core business, transform or retire business without emotional dra
Digitizing Sustainable Agriculture & Food | Dimitra | ESG & Carbon
6 年Lora, I agree that quite often procurement organizations struggle aligning their processes and artefacts with modern innovation initiatives. Leaders need to step up and embrace change to effectively support corporate innovation. A new balance of risk management and incentive based KPI’s can prove to drive effective results. Did your clients embrace open innovation practices with their suppliers? Thanks for the article, I'd love to learn more, I have spent a great deal of time studying supply chains role in innovation. Jon
Chief Executive Officer (CEO) of BRISCA
6 年You’ve sparked my interest Lora, where did you learn about this?
| Healthcare
6 年Cari L.