Building Consultative Skills Through Applied Creativity

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1 Building Consultative Skills Through Applied Creativity Thursday September 15, 2005 Toronto Marketing Research & Intelligence Association 1

2 Basadur Applied Creativity Centre 2

3 A Creative Space 3

4 Characteristics of an Effective Organization Flexibility Efficiency Adaptability 4

5 Innovative Results Equation Innovative Results = Content + Process + Process Skills + Style Diverge Converge + Tools 5

6 A Complete Process Diverge Converge Problem Problem Diverge Converge Solution Solution Diverge Converge Action 6

7 The Process is Circular Solution Implementation Problem Formulation Solution Formulation 7

8 The Simplex Process 8

9 The Process Has 4 Stages Implementing Getting things done Generating Getting things started finding new problems & opportunities Optimizing Turning abstract ideas into practical solutions and plans Conceptualizing Defining problems & putting ideas together 9

10 Different Styles Strong Implementer Strong Generator Strong Optimizer Strong Conceptualizer 10

11 The Process Styles Strong Generator Initiator Comfortable with ambiguity Very sensitive to the surrounding environment Likes to get things started 11

12 The Process Styles Strong Conceptualizer Idea developer Patient thinker Able to put pieces together to form the big picture Develops understanding 12

13 The Process Styles Strong Optimizer Testing and experimenting Practical solutions Thorough analysis Confirms ideas and notions Creating step-by-step plans 13

14 The Process Styles Strong Implementer Gaining acceptance from others for changes Making changes work and stick Will do anything and try anything to make the solution work Experiments and alters plans to make them work in the real world 14

15 What Our Research Shows about the Different Process Style Preferences 1. Everyone is a blend of preferences 2. States not traits 3. You can be skilled in all four quadrants 4. Heterogeneous Teams perform more innovatively (but have less satisfaction) 5. Generators are in short supply in corporations 6. Different jobs/functions favour different quadrants/styles (this can cause much wasted time and frustration) 15

16 Not Enough Time Devoted to Conceptualization and Optimization. An organization attempting to establish new financial products quickly in a very competitive environment, but encountering a high percentage of failures. 16

17 Not Enough Generators A typical group of managers from a large aerospace company serving the aircraft, airline, and aerospace industries and having trouble expanding into new products and new markets 17

18 A Special Team of Insiders and Outsiders Formed Especially to find a New Breakthrough Product Idea For an Old Traditional mid- Size Company Implementing Creative Problem Solving Profiles Warwick Manufacturing Group Generating X-T Conceptualizing Optimizing I-E 18

19 Directors College 30 CPS Profile Scatter Diagram : Date October 23, X-T I-E 19

20 The Why? / What s stopping? Analysis Innovative Results = Content + Process + Process Skills + Style + Tools A tool for Problem Definition Step 1: Ask Why? / or What s stopping us? of the challenge Step 2: Answer in a complete simple statement Step 3: Transform the answer into a new challenge (How might we?) 20

21 Irish Spring 21

22 Challenge Statement HMW make a better green striped bar? 22

23 Why Irish Spring Challenge Map HMW regain market share? HMW make a better green striped bar? 23

24 Irish Spring Challenge Map HMW regain market share? Why? HMW make a more refreshing bar? Why9 HMW make a better green striped bar? 24

25 Coast 25

26 Lubricants Distribution Division Strategic Plan as a Hierarchy of Challenges VISION Increase customer value MISSION Consistently provide services, products & attitudes that meet our customers requirements OBJECTIVES Why? Provide world class logistics expertise to our customers Understand & meet customers requirements the first time, every time Promote employee empowerment STRATEGIES What s Stopping? Extend logistics services to non-lubricant customers Help our customers manage their wastes Use inventory as a strategic marketing weapon Continuously improve our customer satisfaction Gain employee commitment to change by promoting lifetime learning Employ state of the art tools to carry out our business processes PROGRAMS Manage tank car fleets Provide logistics services to international customers Provide emergency lubricant response services Expand our used oil program Help customers manage their other waste streams Improve the order tracking business process Improve the warehousing business process Implement the new inventory mgmt software Implement ISO-9000 Implement the reliable supplier program Introduce telemarketing Involve employees in improving business processes Implement the new accounting software Complete the bar coding project Continuously improve employee skills 26

27 Top Management Challenge Map Why? Problem Selected For Solutions HMW get the stock price up? HMW = HOW MIGHT WE HMW achieve consistent top-line and earnings growth? HMW get analysts excited about our future? HMW purposefully plan for consistent top line earnings and growth? HMW commercialize products faster & more effectively? HMW adjust our capital structure? HMW take advantage of current markets to build mass? HMW improve cash flow to 100% of net income? HMW communicate our value creation strategy credibly? HMW encourage commercialization? HMW create a process for faster commercialization? HMW get more product ideas? HMW work earlier with our customers? HMW change business mix to assure consistency? HMW get new product platforms? HMW prune business to free up resources? HMW get management to emphasize cash flow performance? HMW decide on desirable businesses to get into? HMW emphasize cash flow incentives and culture? HMW improve our product mix? HMW analyze our SBU cash flow capabilities? HMW get more knowledge about new markets and new expertise? HMW determine the types of businesses we want to be in? What s Stopping? 27

28 Three necessary components of a successful organizational effort to mainstream innovation Business Need Structure Creative Process 28

29 Strategic Plan for Innovation HMW grow our short & long term profits? Why..? HMW sustain current profits? HMW gain more control over our pricing? HMW increase the % of high margin sales? STRUCTURE HMW differentiate ourselves from others in the market? HMW commercialize more new products each year? HMW derive additional revenue each year from newly commercialized products? BUSINESS NEED HMW expand the implementation of our new products? HMW sell new products as well as we sell current products? HMW participate in more noncommodity businesses? HMW get 4 different functions working together as a team to commercialize more new products? HMW come up with more tangible concepts faster that could be applied to our R&D process? HMW make it easier to move validated concepts to market faster? HMW get concepts validated faster? What s Stopping..? Note: HMW = How Might We? 29

30 A Specific Innovation Strategy Commercialize More New Products Each Year Commercialization Teams Creative Process 30

31 Specific Example of an Innovation Strategy - Frito-Lay Offset Inflation Inter-functional Teams Creative Process 31

32 Make the Business Need as Measurable as Possible and Start at the Top $500 Million in Five Years to the bottom line Begin With Vice- Presidential Interfunctional Team Simplex Creative Process 32

33 If You Want to Know More Discover your own personal Basadur CPS Style by going to Sign-up to receive our e-newsletter online or drop off your business card after the presentation to let us sign you up. Call our office at SOLVE or me at to find out about you might attend one of our workshops. 33