Collaborative Innovation

Transcription

1 Collaborative Innovation

2 A.T. Kearney: Growth through essence and influence Our success as consultants will depend upon the essential rightness of the advice we give and our capacity for convincing those in authority that it is good. A.T. Kearney XX/ID 1 1

3 Our belief on innovation Disciplined creativity drives great innovations A.T. Kearney XX/ID 2 2

4 Not the theatre We are all-in for the crazy stuff, as long as it comes with data supported arguments We want launch partners, accelerate, incubate Even this session is be part of it! A.T. Kearney XX/ID 3 3

5 Real innovation is irritating and confronting Who do they to care so much? Chill out, this is awkward, you re irritating. Burn the heretic! A.T. Kearney XX/ID 4 4

6 ABC of Collaborative Innovation A. VALUE rationale for both B. SET-UP organizational framework C. DEAL financial / legal construct A.T. Kearney XX/ID 5 5

7 VALUE: Create a strong story why collaborate A.T. Kearney XX/ID 6 6

8 Market growth Know the corporate s starting point: purpose and stage Purpose: do you share the mission? Uncertain growth Rising Growth Stable growth Declining growth Enter next cycle with market creating innovations Maturity Market creating innovations Sustaining innovations ( making good products better ) Efficiency innovations A.T. Kearney XX/ID 7 7

9 Example purpose statements Bring a man to the moon Good health can t wait Accelerate the world s transition to sustainable energy Today A better everyday life Humanizing technology Provide access to the world s information in one click A.T. Kearney XX/ID 8 8

10 The starting point drives the corporate s partnership logic New Customer value proposition Existing Adjust Business model Get Disruptive New Business Model Strengthen Business Model Adjust Business model Existing Delivery model (Resources, processes) New A.T. Kearney XX/ID 9 9

11 The corporate s aspiration will drives the partnership goals Growth aspirations Innovation portfolio Innovation Type Be more disruptive by bringing in different perspectives New New GAP Adjacent Core Adjacent Core Today Future Time to market (yrs) A.T. Kearney XX/ID 1010

12 The SME in search of business model or ready to scale? Question Low Degree of Proof High Is there a need? Said Shown Used Purchased Repeated Advocated Can you deliver? Dreamed Drawn Prototyped Piloted Delivered Scaled Is it worth it? Model: Envelope Model: Unit Economics Model: Entire Business Revenue Producing; Unit Economics Validated Line of Sight to Profitability Profitable What do you need to proceed: Resources, e.g. access to customers, customer data, trusted brand, technology, top management talent, supply chain, cash for growth Processes, e.g. customer service, cash management, etc Source: The First Mile by Scott Anthony; A.T. Kearney A.T. Kearney XX/ID 1111

13 Agreeing about what need to be tested to jointly de-risk? How certain are we that our assumption is right? Concept The assumption prioritization table surfaces critical assumptions about each component of the business model. Assumptions with both low confidence and significant negative impact must be tested first in the test and learn plan. Key Assumptions Is there an unmet need? 1) 2) Test Last 3) Can we do it? Is it worth it? 4) 5) 6) 7) 8) 9) Test Next Test Now Low Impact High What happens if the assumption is wrong? Source: The First Mile by Scott Anthony; A.T. Kearney A.T. Kearney XX/ID 1212

14 Ultimately there are 10 sources of value 10 sources of value Create revenues Commercialising new offerings which create revenues for both partners Financial Save cost Reduce cost with cross-organisational cost synergies Receive funding Receive funding for joint projects Access HR Receive access to scale HR or to develop specialised expertise Access customers/ markets Access new customer groups or new markets via partner sales channels Nonfinancial Organisational Access know-how/ IP Access or develop specialised know-how and intellectual property (IP) Access other assets Foster brand Access other assets such as products, lab equipment or work spaces Foster a brand, make it better known by collaborating with innovative partners Personal Be educated or entertained Engage socially Be educated or entertained, e.g. by a gamification-related idea crowdsourcing platform Reach self-fulfillment by contributing and exchanging with like-minded innovators Source: IMP³rove European Innovation Management Academy, 2018 A.T. Kearney XX/ID 1313

15 Last but not least, pull it all into a captivating CEO pitch SITUATION COMPLICATION SOLUTION Market, players Big customer problem New business model A.T. Kearney XX/ID 1414

16 SET-UP: Enable interaction with strangers Source: StarWars.com A.T. Kearney XX/ID 1515

17 1. Ensure the right position in the corporate s organization Fit with Organization s Processes Structure of Development Team Concept The new venture fit assessment determines whether the new venture should be placed in/outside the organization and the structure of the responsible development team, based on fit with organization s processes and its Rules & Metrics Poor Fit Position of Responsible Commercial Structure Autonomous organization is required Mainstream organization should be responsible Heavyweight teams C A Lightweight teams D B Good Fit Functional organization Source: The innovator s Solution, Christensen Poor Fit (Disruptive) Good Fit (Sustaining) Fit with Organization s Rules & Metrics A.T. Kearney XX/ID 1616

18 2. Make sure the partnership is governed right for the job New Customer value proposition Existing ASSUMPTIONS Adjust Business model Get Disruptive New Business Model Test & learn and discovery Emergent strategy New customer needs Funds for milestones Business model viability Many small bets Strengthen Business Model Adjust Business model Different measures, review questions, reporting granularity KNOWLEDGE Existing Delivery model (Resources, processes) New A.T. Kearney XX/ID 1717

19 3. Ensure the appropriate collaboration processes & tools SME-readiness Common language Contracting IT / Legal compliance Customer Value Proposition Means of communication Key Resources Key Processes Profit Formula Jobs to be done, workaround, etc. A.T. Kearney XX/ID 1818

20 DEAL: Plan for good and bad times and battle it out A.T. Kearney XX/ID 19

21 Choose the appropriate deal construct Licensing use of resource Reseller of product/service Partial or full acquisition A.T. Kearney XX/ID 2020